Annual report
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ANNUAL REPORT Bank of Queensland Limited | ABN 32 009 656 740 20 26
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Contents. Who we are. 4 Message to shareholders. 6 How we create value. 10 Our material themes. 12 Our stakeholders. 14 Corporate governance. 25 Risk management. 45 Sustainability report. 55 Financial performance. 81 Directors' report. 111 Financial report. 141 Shareholding details. 229 Glossary. 235 Bank of Queensland Limited ABN 32 009 656 740 AFSL No. 244616 Level 3, 100 Skyring Terrace Newstead QLD 4006 Unless otherwise stated, the Annual Report encompasses all BOQ activities for the financial year that commenced 1 September 2025 and ended 31 August 2026. All monetary values in this document are presented in Australian dollars, which is the Bank’s functional currency. 2 Bank of Queensland Limited and its Controlled Entities
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Sustainability Data Pack Investor Materials Annual Report Our reporting suite. The full suite of reporting is available at www.boq.com.au/2026 Important information and disclaimer This document may contain forward-looking statements, forecasts, estimates, projections, and opinions. These forward-looking statements may be identified by the use of forward-looking terminology, including the terms “believe”, “estimate”, “plan”, “target”, “project”, “anticipate”, “expect”, “intend”, “likely”, “may”, “will”, “could”, “should” or other similar expressions, or by discussions of strategy, plans, objectives, targets, goals, future events or intentions. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements. There can be no assurance that actual outcomes will not differ materially from these statements. Forward-looking statements reflect BOQ’s current views about future events. There are a number of factors (which may involve known or unknown risks and uncertainties, many of which are outside the control of BOQ) that could cause BOQ’s financial performance and actual results to differ materially from those expressed, anticipated, or implied, by any forward-looking statements. These factors include changes in BOQ’s operating environment, changes to the financial performance or position of BOQ, material changes to the law or applicable regulation, risks and uncertainties associated with the Australian and global economic/political environment and capital market conditions. Readers should not place undue reliance on any forward-looking statements. To the maximum extent permitted by law, BOQ takes no responsibility for the accuracy or completeness of any forward-looking statements, whether as a result of new information, future events or results or otherwise. BOQ does not undertake to update any forward-looking statements contained in this document. Acknowledgement of Country BOQ Group acknowledges Aboriginal and Torres Strait Islander people as the First Australians. We acknowledge the Yuggera people and the Turrbal people as the Traditional Custodians of Booroodabin (Newstead), the lands on which our head office is located. We pay our respects to Elders past and present, across Australia. Image | Burrul gi-gi magula (Growing Together) by Kamilaroi artist, Merinda Walters. 2026 Annual Report 3
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Who we are. BOQ Group BOQ Group is one of Australia’s leading mid-tier banks. Supporting Australians since 1874, we pride ourselves on building long-term customer relationships. We have a deep 152-year history in Queensland, and a national reach through branches, mobile bankers and digital channels. We serve 1.4 million customers across our retail and business banking brands and products, and have 3.5 thousand employees across Australia. Our brands BOQ operates a number of brands which offer a diverse range of products and services for our retail and business customers. Digital brands: Virgin Money provides home loans, deposits and third-party products (including superannuation, credit cards and insurance). ME provides digital deposits and home loans, with a strong presence in the Broker channel. myBOQ is the future state for BOQ retail customers and currently offers deposit products. Relationship brands: BOQ services customers who prefer a relationship bank, providing deposits, credit cards, home loans and insurance and has a footprint of 102 branches. BOQ Specialist provides business banking products, with a particular focus on small to medium businesses in healthcare, agriculture and diversified industries. BOQ Finance services both personal and business customers in equipment finance and asset finance needs. Branches and service centres 75 1 9 1 1 8 1 6 Bank of Queenslanders. /uni004D/uni0061/uni006B/uni0065/uni0020/uni0069/uni0074/uni0020/uni0061/uni006C/uni006C/uni0020/uni0072/uni0065/uni0077/uni0061/uni0072/uni0064/uni0061/uni0062/uni006C/uni0065/uni002EMakes sense to ME. 4 Bank of Queensland Limited and its Controlled Entities
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2026 Annual Report 5
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Message to shareholders. (1) Notable item this year was a $47 million asset impairment charge. For further detail, refer to page 154. (2) Yield calculated on 31 August 2026 share price of $6.53. (3) August 2026 volume. Dear Shareholders, It has been a year of significant execution at your bank, building on the foundations of many years of investment and our business transformation strategy. We are well progressed in our plan to deliver a simpler, specialist bank. We are refocused on, and energised by, our Queensland heritage. With a strong pipeline of investment into the state, we see opportunities to differentiate and win customers, underpinned by improved risk practices and leveraging the modern digital banking assets we have built. The Group delivered $358 million in cash earnings after tax, excluding notable items (1), and statutory profit after tax of $250 million. We have maintained prudent liquidity, provisioning and capital settings throughout a period of heightened macro- economic uncertainty. In May this year, we entered into a capital partnership with Challenger, including a whole-of-loan sale of equipment finance contracts and establishing a forward flow arrangement for ongoing origination of these facilities. This partnership enabled a one-off, fully franked special dividend to shareholders of 15 cents per share. The Board has declared a final dividend of 20 cents per share, representing a yield of 6.1 per cent (2). Shareholders received total dividend payments of 55 cents per share this year. Digital progress All three Retail brands are on the digital bank and this year we completed the migration of ME customers to the new platform. ME customers are now experiencing an end-to-end digital banking proposition, with home lending, transactional banking, at-call deposits and term deposits available on the modern technology stack, the result of significant work that commenced in 2024. The proposition delivered through our digital assets is attracting younger customers, with more stable, intuitive banking services that have significant self-serve functionality. While the digital bank has offered deposit products across all three Retail brands, this year our home lending proposition reached scale, with 88 per cent of all Group application volumes now originating through the digital channel. (3) Following the successful migration of all ME customers, the Group is finalising the decommissioning of heritage systems and applications, which remains on track to occur in calendar year 2026. This decommissioning will provide material cost savings, simplification and help reduce risks to the Group, as aged technology will no longer need to be maintained. Commitment to customers and communities The migration to the digital bank provided customers with a better banking experience and enhanced features, including stronger protections against scams and fraud. The majority of customers were migrated successfully and are now benefiting from this improved service. However, we recognise that the transition was not as expected for some of our customers who experienced disruption, inconvenience and frustration during migration. This resulted in heightened complaints and an increased need for customer support. We acknowledge this impact to our customers and thank them for their patience during this period. In response, we established a cross-functional team to listen to customer feedback, capture and respond to their concerns, and identify emerging themes to enable resolution of areas of potential customer harm and frustration. This enabled us to address the key issues, stabilise areas of concern and strengthen customer support throughout the transition. Importantly, insights from this are informing how we plan future migration activities, with a greater focus on customer readiness, risk identification and support. We continue to see evidence of a materially improved customer experience on the digital platform. During a period of continued cost of living pressures, we provided tailored solutions to support 3,877 customers experiencing financial difficulty. The volume of assistance provided was pronounced during the second half of the financial year. Given ongoing cost of living pressures, we are encouraging customers to continue approaching us, should they need assistance. Our commitment to the communities we serve remained key throughout the year. Through our partnerships, we focused on support for vulnerable Australians and bringing communities together. Orange Sky Australia remained our primary community partner, and we leveraged opportunities to create awareness of the charity through our Queensland Reds partnership. 6 Bank of Queensland Limited and its Controlled Entities
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In our second year as presenting partner of the Royal Queensland Show (Ekka), during a milestone 150 th year celebration, we facilitated employee volunteering opportunities and community activations including The Ultimate Queenslander Test, recognising the strong connection both BOQ and Ekka have to the prosperity of the state. Building on the foundations for growth Having built the digital bank and migrated a significant cohort of customers, we are now scaling the digital offering for home loans and deposits, alongside the continuing growth in our Business Bank. We’ve materially simplified our business across distribution channels, product mix and technology architecture. The benefits from our Remedial Action Plans are translating into outcomes, with 74 per cent of activities now complete, and evidence of an improved risk culture. With the right foundations for success in place for the Group’s next phase, we are focused on a sustainable return to growth, built on four strategic pillars: • Grow our customer relationships: focused growth in customer segments where we can win, building on our strengths and Queensland heritage • Rewire the bank for the future: building on our technology investments to drive operational leverage, deploy Artificial Intelligence (AI) and ensure we have the capability and capacity to grow into the future • Accelerate the culture shift: embedding accountability for risk, financial and customer outcomes, and equipping our people with the capabilities to deliver them • Optimise the bank economics: maintaining disciplined use of capital to generate strong and sustainable returns Board and management As the Group reorients towards growth and continues to adapt to a rapidly advancing technology landscape, the Board was pleased to welcome Chris Eigeland as an Independent Non-Executive Director in May 2026. Chris brings a depth of entrepreneurial and technology expertise, including first-hand experience overseeing complex digital ecosystems. In March 2026, Rod Finch succeeded Patrick Allaway as Managing Director and Chief Executive Officer. Rod’s appointment follows three years as Chief Transformation and Operations Officer, leading the digital transformation and risk uplift. On behalf of the Board and management, we thank Patrick for his leadership during a challenging and transformative period for BOQ. During his tenure, he helped strengthen the operational and financial resilience of the bank and laid the foundations for a materially improved customer experience. We are pleased to have appointed Mandy Khanna as Chief Risk Officer (4). Mandy will commence with the Group in January 2027, bringing over 25 years’ risk experience in banking and financial services across Australia and Asia Pacific. Her deep credit expertise and enterprise risk, regulatory and transformation leadership will be valuable as the Group undertakes a return to sustainable growth in FY27. “We focused on support for vulnerable Australians and bringing communities together” Outlook This year has been one of uncertainty for our customers, with persistent domestic inflation and higher cash rates. While economic growth has continued, it has been at a moderated pace and with continuing geopolitical risks. As households and businesses navigate the year ahead, our role remains unchanged: to support customers, as we have done for 152 years. As we enter this next phase of our strategy, your Board and management team are sharply focused on the disciplined allocation of capital and growing sustainably, building on the strong foundations we have established as part of our transformation. With improved operational resilience, a simpler business model, modernised technology and renewed focus on our strengths, we are optimistic about growth opportunities for the Group, serving more customers and generating stronger returns for shareholders. We thank our customers for choosing to bank with us, our people for their dedication and you, our valued shareholders, for your ongoing support. Sincerely, (4) Appointment was made after balance date, as such Ms Khanna is not included in FY26 gender diversity data. Andrew Fraser Chair 14 October 2026 Rod Finch Managing Director & CEO 14 October 2026 2026 Annual Report 7
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CREA TING V ALUE. 2026 Annual Report 9
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A3 Grow our custom er relatio n sh ip s R ew ire the bank for the future A c ce lerate the culture shift Optim ise the bank eco n o m ic s How we create value. Value drivers. Customers With a clearly defined customer proposition across our retail and business bank brands, we have supported customers for 152 years. Technology & data capabilities The digital bank and simplified technology landscape are equipped to deliver customer experiences faster, more securely and at a lower cost to the Group. People & talent Our people are what set us apart. Dedicated bankers and support teams who strive to deliver outstanding customer experiences. Capital & funding A diverse mix of funding through customer deposits, wholesale debt and capital markets. We deploy shareholder capital to generate returns. Our strategy A simple, specialist bank 10 Bank of Queensland Limited and its Controlled Entities
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A3 Grow our custom er relatio n sh ip s R ew ire the bank for the future A c ce lerate the culture shift Optim ise the bank eco n o m ic s Value created. Customers • $53bn in housing loans • $15bn in commercial lending • 3,877 customers supported through financial difficulty Shareholders • Capital partnership established • $363m in fully franked dividends paid Community • $1.9m raised for community partners • Sustainability report in line with new standards People • Five percentage point improvement in risk culture index, exceeding our FY26 target • 588 leaders received bespoke leadership training Our vision T o be the bank customers choose 2026 Annual Report 11
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BOQ Group recognises that meaningful stakeholder engagement is essential to building trusted relationships and informing the identification and prioritisation of sustainability focus areas. Consistent with previous years, a range of stakeholders including customers, employees, investors, brokers, communities, government, media, regulators and suppliers were considered for engagement to ensure the Group’s approach remains inclusive and responsive. BOQ’s 2026 stakeholder engagement and materiality process is described as follows: This approach has been informed by the United Nations Environment Programme Finance Initiative’s ( UNEPFI) Guidance on Client Engagement and the Global Reporting Index. BOQ Group recognises this process may continue to develop as stakeholder engagement broadens and new topics emerge. Our material themes. Chief Economist updates: breaking it down for everyday Australians In a year marked by shifting interest rates, cost of living pressures and global economic uncertainty, BOQ Group Chief Economist Peter Munckton translated economic headlines into plain, practical insight through appearances in Queensland local media, customer engagement events and in the Money with Munckton podcast series. Peter’s updates helped local businesses and households make sense of economic conditions. These updates covered everything from RBA cash rate decisions and housing market movements to half year and full year reviews of the broader outlook. His commentary on the resilience of the Queensland economy pointed to the state's infrastructure pipeline, population growth and employment. Beyond the screen and the inbox, Peter took these insights directly to customers, fronting events where business owners could ask questions and stress test their own plans against his read of the economy. 54 Judgement Significant judgement exercised when collating the material topics. Reviewed and validated by subject matter experts. Reporting Findings shared with governing Committees and the Board for consideration. Material topics used to inform annual reporting. 3 Consider Review of broader banking and economic context, including regulatory environment and industry trends. 2 Capture Information for engagement activities collected and analysed with key topics documented. 1 Identify Development of an annual plan to inform strategic approach to stakeholder engagement. L-R Anna Horton, Peter Munckton, Yun Tin, Garret Goring 12 Bank of Queensland Limited and its Controlled Entities
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The annual sustainability materiality assessment identified the material topics outlined below. Topics which were elevated for stakeholders this year were ethical business conduct, innovation & digitisation and customer & business resilience. These topics align with the Group's strategic focus areas. Material Topic Sustainable Development Goals Description Ethical business conduct Upholding the highest standards of ethical business conduct, including measures to promote human rights, anti-corruption, trust and ethical supply chains. Data governance Ethical and safe protection of data and safeguarding systems from cyber security threats. Fraud & financial crime Protecting the Group and its customers from fraud, money laundering and other financial crimes. Innovation & digitisation Continuing to innovate and transform the business through digitisation to provide consistent and accessible services to customers. Customer & business resilience Supporting economic resilience, by monitoring macro trends and events, such as cost of living challenges and potential movement in housing prices. Customer experience Delivering exceptional customer experiences through consistent, fair, easy to use, and accessible banking products and services that accommodate diverse customer needs. This includes supporting vulnerable customers and those experiencing hardship, helping to support financial inclusion, wellbeing and participation in the financial system. Financial resilience & inclusion Supporting a stronger Australia, by ensuring we only lend what customers can afford to pay and focusing on potential adverse impacts on customers and communities. The icons above appear throughout this report where a disclosure relates to the material topics. The 2026 Sustainability Data Pack can be found at www.boq.com.au/2026 which includes further information on engagement with stakeholders over the year, the BOQ Group 2026 Global Reporting Index, and data tables. The 2026 Sustainability Data Pack is not subject to independent assurance. 2026 Annual Report 13
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Customers. Customer focus has been the foundation of our business for 152 years. We have a differentiated approach to meeting our customers' banking needs across our unique brands, through the newly built digital banking apps, personalised service for the banking moments that matter, and strong protection against an ever-changing scams and fraud landscape. Digital banking Following the launch of digital mortgages across three retail banking brands, BOQ Group continued to scale the digital offering during FY26. Progress included the migration of new broker lending flows from legacy ME platforms, expansion of lending capability to support more complex lending scenarios and commencement of the BOQ network pilot to support a broader rollout in FY27. The digital home loan remains a key component of BOQ's digital transformation strategy, delivering a streamlined omni-channel lending experience and is expected to reduce the mortgage origination and servicing cost by fifty per cent, compared to a heritage home loan. This year, the migration of ME customers to the digital bank was completed, which is a key milestone in the Group’s transformation. Insights from this program will be utilised to inform the BOQ customer migration in future years. Contact centre experience The contact centre played an essential role in supporting customers throughout the year. In response to evolving market conditions, including the increased cost of living, the contact centre also strengthened its focus on supporting customers experiencing vulnerability. Several initiatives were advanced to improve service flexibility and the customer experience. The Group invested in AI-enabled tools via phone and chat services, as well as greater self-service capabilities for customers, to enable a more seamless contact centre experience. Scams and fraud Acknowledging the continued heightened threat to Australians from scams is an important consideration in the Group's approach to managing risk. BOQ Group remains committed to a whole of ecosystem approach, aligned with emerging regulatory frameworks and customer expectations. Through collaboration across industry, government and intelligence sharing with cross- sector partners, the Group aims to reduce the potential impact of scams on customers. During the year, the Group achieved an average fraudulent deposit account onboarding intervention rate of 99.4 per cent, and prevented or recovered $7.5 million in scam and online fraud losses. Separately, planned Scams Prevention Framework uplifts were delivered, including case management, governance and reasonable steps artefacts, payment and payee controls, channel and digital restrictions, limit reviews and supporting process and training updates. Continued investment in scams and fraud risk infrastructure remains a key priority in a dynamic threat environment. We recovered or prevented $7.5 million in scam and online fraud losses to customers. Modernising technology The Group continued to modernise its technology foundations this year, supporting a more secure and stable banking environment for our customers and people. Completion of the ME customer migration marked a significant milestone in the Group's simplification agenda. The Group decommissioned over 100 technology assets during the year, including assets associated with the migration, reducing complexity and reliance on legacy technology. Remaining ME archive and decommissioning activities are progressing, with final legacy data retirement on track to complete in calendar 2026. BOQ Group has continued to invest in analytics capabilities, AI and data governance, to enhance decision making, strengthen risk management and improve customer experiences. Key indicators for data quality and management are regularly reported to Management and Board. Our stakeholders. 14 Bank of Queensland Limited and its Controlled Entities
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Capital Partnership In May 2026 (1), the Group formed a strategic capital partnership with Challenger Limited, an ASX-listed investment manager and retirement services and income firm. The partnership included a $3.6 billion whole-of-loan sale of equipment finance assets and the commencement of a forward flow arrangement. This partnership is designed to optimise the Group’s balance sheet by transferring the underlying assets, exposure to direct credit risk and net interest income, in exchange for capital light origination and servicing fees. The Group has retained flexibility to continue originating these contracts on its own balance sheet. Through this partnership, the Group will, for facilities originated through the forward flow, continue to originate and service equipment finance facilities, without capital and funding requirements. It is aimed at improving shareholder returns and supporting more customers with their equipment finance needs. Following settlement of the whole-of-loan sale, the Group announced its intention (2) to provide a capital return to shareholders of approximately $295 million. A special dividend of 15 cents per share was paid to shareholders on 24 August 2026, and an on-market share buy-back of up to $196 million commenced on 25 August 2026. Cyber security Keeping customer information safe remains critical in an ever-evolving threat landscape, and requires continual investment into the strength and maturity of the Group’s cyber security. Along with a dedicated team including incident response, threat, and vulnerability management spanning security architecture, strategy, governance and risk, the Group engages a leading cyber security consultancy for independent testing and reviews of its environment and penetration and controls testing. Annual attestations are conducted for partners, for reporting to regulators and insurers. The Group had no significant notifiable cyber security or privacy breaches in FY26 resulting in the public disclosure of data. Growth in the Business Bank During FY26, the Group continued to strengthen its position as a specialist relationship bank through targeted expansion in healthcare, agribusiness, and diversified industries. Continued investment in enhanced credit capability and productivity initiatives supported customer acquisition and lending growth. This was complemented by a growing banker presence through co-located sites with Retail branches and a disciplined approach to risk and portfolio quality. The Group’s strategic capital partnership also created additional capacity to support future equipment finance growth while optimising capital allocation. Customer resilience This year, the Group supported 3,877 customers to access financial difficulty assistance. The total volume of financial difficulty assistance applications increased in the second half of FY26, reflecting higher cost of living pressure in households during the second half of our financial year. Financial inclusion and accessibility The Group’s digital applications have been designed with accessibility as a key element and are regularly tested. The applications support adjustable text sizing, zoom support, screen readers, hearing aid compatibility and dictation. Physical cards have accessibility features including cut outs to assist with orientation for VMA, and braille on ME Go cards. Customer complaints Customer complaints are an important source of feedback to highlight areas where we aren’t meeting expectations. This year, there was a 99 per cent increase in internal complaints received (3) and a 134 per cent increase in external complaints received (4). Resolutions were provided within five days for 88 per cent of complaints, and 75 per cent on the same day they were raised. While these resolution timeframes improved against last year, by three percentage points, the heightened complaint activity shows our customers overall were not receiving the standard of care we aim to deliver. The increased complaints were primarily driven by the cumulative impact of multiple change events and operational challenges, including elevated volumes of ME complaints during the migration period. During this period of higher complaints, the Group established a dedicated cross-functional team that monitors complaint trends, drives volume reduction initiatives, and addresses underlying root causes. This has also included specific engagement with regulators. Alongside this, the Group continued to deliver its program to uplift systems, processes, data and people capability required to manage customer complaints. Key milestones from the program this year were: • launching a single way to record, manage and resolve complaints across all brands and business units, strengthening complaint handling, data capture, reporting and oversight across the Group; • delivering a complaints capability uplift including updated procedures, guidance materials, leader resources and role- based training to support better customer outcomes, regulatory compliance and adoption across the Group; and • migrating complaints from the legacy customer service platform which improved consistency in how complaints are managed across the Group. (1) Capital partnership was announced to the ASX on 7 April 2026 and 1 May 2026. (2) Capital return was announced to the ASX on 10 August 2026. (3) Internal complaint refers to a customer complaint to a frontline or BOQ complaints team. (4) External complaint refers to a complaint to the Australian Financial Complaints Authority. 2026 Annual Report 15
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Engagement and culture During the year, activities to support the Group's target state culture (customer-focused, outcomes driven and agile) were progressed, including a partnership with a leading external provider to define the transformational roadmap and disciplined approach to ways of working and building a climate in which team members can thrive, with the customer experience central to progress. Recognising the critical role leaders play in driving this cultural shift, we continued the delivery of our leadership program, Lead on Q, with 588 leaders having completed the program at the end of FY26. Underpinning this, the Group has aligned its performance framework to focus on outcomes and impact, including impact on culture and risk, ensuring both the "what" and the "how" are considered in reward. The Group's employee listening strategy, which includes people surveys, was enhanced during the year, to provide additional flexibility in our approach. With a participation rate of 79 per cent, the people experience engagement index remained stable at 72 per cent, compared to 73 per cent in August 2025. Trends observed in this year's survey were: • 85 per cent of individuals reported it is safe to speak up in their part of the business (an increase of two percentage points compared to August 2025); • 77 per cent of individuals agreed that the organisation has effective processes for controlling risk (an increase of five percentage points since August 2025); and • 92 per cent of individuals agreed they understand the risk delegations of their role (an increase of one percentage point from August 2025). The Risk Culture Index increased five percentage points to 77 (from 72 in August 2025), with improvement across all underlying questions, indicating that activities delivered through the remedial action plans are translating to a stronger risk culture. Diversity and inclusion BOQ Group is committed to a workplace where people feel safe, can bring their authentic selves to work, and are valued and respected for who they are. This includes embedding diversity and inclusion practices in setting measurable objectives, reporting, recruitment, performance and remuneration, flexible working, promotions and succession, and capability programs. We recognise that diversity is a key enabler of success and inclusion is central to our culture. We value and respect differences across gender, marital or family status, sexual orientation, age, ability, ethnicity, religious beliefs, cultural background, socio-economic background and experience. BOQ Group is currently developing its second Innovate Reconciliation Action Plan, due to be launched in FY27. The Group's Diversity and Inclusion Policy can be found on its website. Diversity targets BOQ is committed to the fair and equitable treatment of all employees. The Group’s Diversity and Inclusion Policy requires the Board to set measurable objectives for achieving gender diversity and is reviewed annually. As of 31 August 2026, the representation of women against target was: • Women in senior leadership (1) was 38 per cent (against target of 40 per cent); and • Women in leadership (2) was 41 per cent (against a target of 42 per cent) The percentage of employees identifying as women in BOQ Group is 54 per cent. As of 31 August 2026, there were six permanent executives, and an interim Chief Risk Officer. Female representation of permanent executives was 33 per cent and reflects the smaller executive team. In accordance with the Workplace Gender Equality Act 2012, BOQ lodged its annual public report to Workplace Gender Equality Agency ( WGEA) for 2026, which can be located on the BOQ website and http://www.wgea.gov.au . In March 2026, the Group also lodged the following numeric targets in support of WGEA recommendations. • increase representation of women in Senior Manager (3) roles from 41.7 per cent to 42.7 per cent by the end of March 2029; • reduce the gender pay gap for average base salary from 16.7 per cent to 14.7 per cent by the end of March 2029; and • increase men’s uptake of parental leave from 24 per cent year- on-year to 33 per cent by the end of March 2029. Diversity governance The Group’s People, Culture and Remuneration Committee plays an important role to: • review, note and monitor the effectiveness of the Group's approach to diversity and inclusion; • review and recommend to the Board; • measurable objectives for achieving diversity and inclusion; and • review both the objectives and progress in achieving the objectives, including the relative proportion of women and men at all levels. This Committee also reviews annual performance remuneration outcomes including a review of the outcomes, by gender, of the distribution of performance ratings, change in salary and short term incentive awards, and has a focus on gender pay equity. Gender balance of the Board is the responsibility of the Nomination and Governance Committee. (1) Senior leadership encompasses our Executive Committee, General Managers and Heads of who are responsible for leading an organisational department. This calculation includes employees in tiers 8 and above. (2) Women in leadership encompasses senior leaders (as defined above), as well as senior managers in tiers 7 and above. (3) Senior leader in this context encompasses Executive Committee, General Managers, Heads of and senior managers in tiers 7 and above. People. Our people are at the heart of our success. We are committed to a high performing and safe workplace, that invests in resilience and readiness for the future, celebrates inclusion, and where everyone can do their best work in service of our customers. 16 Bank of Queensland Limited and its Controlled Entities
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Affinity groups Passionate advocates within BOQ Group are spread across six employee affinity groups, all of which support an inclusive workplace and facilitate belonging. Talent management BOQ Group’s talent strategy is focused on building a workforce equipped to meet the opportunities and challenges of the future. This means developing leaders and team members who think enterprise-first, adapt quickly to change, work effectively with AI and speak up when needed. In FY26, this approach shaped how senior roles were assessed, developed and filled. More emphasis was placed on a person’s potential, supported by structured assessments and diverse, well qualified candidate shortlists. Building AI capability is a core part of this strategy. Through our AI Academy, leaders and employees were given opportunities to build their confidence and skills in using AI at work. We also continued to broaden the way talent is assessed with a stronger focus on adaptability, willingness to learn and the ability to work with emerging technologies. Workforce planning became more robust, giving leaders a clearer view of the skills and capacity needed to deliver the Group’s strategy. This helped direct investment towards priority areas including strengthening banker and specialist capability in the Business Bank. Together, these efforts are helping BOQ Group build a workforce with the skills, capabilities and mindset needed to deliver on its vision of being the bank customers choose . Leadership and risk management Our focus on further lifting leadership capability throughout the organisation, remains a high priority for the executive team. Our program of leadership development work is multi-faceted and caters to multiple cohorts of leaders and needs. Underpinning our approach is our signature leadership program, Lead on Q. This two day program helps leaders build the skills and understanding needed to meet our Group-wide leadership expectations. Nearly 600 leaders have completed the program, including our network of branch leaders. The program continues to receive exceptional feedback, while leadership support measures in our employee listening surveys have also improved. In addition, forums to support our General Managers, have been extended to a broader leadership audience, increasing the opportunity for our leaders to gain timely insight into Group priorities, market landscape, and emerging leadership capability needs. Champion accessibility to help our people and customers reach their full potential. Strengthen relationships with Aboriginal and Torres Strait Islander peoples, communities and employees. Celebrate and amplify the rich cultural diversity of our people, customers and communities. Amplify the voice of the LGBTQIA+ and ally community through education, events and advocacy. Drive gender equality to build a gender balanced workforce and inclusive culture. Support personal and professional development across the Group. In recognition of Wear it Purple Day, our employee-led inclusion network ProudlyMe, hosted a panel discussion titled You Can't Talk About That. This event brought together leading LGBTQIA+ advocates who shared their perspectives on visibility, allyship and creating environments where people feel safe to bring their whole selves to work. Reflecting this year's theme, Colours of Courage, panellists explored the many ways people show courage, from living authentically and speaking up as allies. Discussion reinforced that meaningful progress requires ongoing commitment, open conversations and everyday actions that help people feel seen, heard and valued. It also highlighted the important role workplaces play in fostering a culture of inclusion and belonging. BOQ executives and staff with Wear it Purple panelists. 2026 Annual Report 17
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Recognition ThanQ is the Group’s peer recognition platform. This year, more than 13,500 real time recognitions were shared, celebrating employees who brought our culture and values to life. Building capability Supporting the Group's strategic focus on accelerating growth in business banking, BOQ Group leveraged its partnership with an industry-recognised external training provider to uplift credit risk capability. Bankers across both front line lending and credit risk completed programs tailored to their role. This was complemented by the Business Bank delegated approval authority uplift program, building the depth of credit judgement to enable decision-making closer to the customer at pace, while retaining appropriate risk oversight. In the Retail Bank, capability programs underpinned people readiness for at-scale customer migrations, the myBOQ digital home loan pilot and stronger support for digital customers in branch. Targeted lender training and refreshed sales and service rhythms further strengthened our teams’ ability to identify opportunities, grow customer relationships and support sustainable growth. Work to transition from the Group's legacy learning management system is well advanced and will conclude in FY27. The new platform will unify mandatory learning, role-based training and development activity together in a single connected ecosystem, empowering learners and leaders with improved self-service capabilities. Alongside the AI Academy, it will provide the infrastructure needed to support a future-ready workforce. AI Academy BOQ Group is focused on embedding AI into the organisation’s culture and everyday ways of working. In February 2026, the Group launched an AI Academy to support employee upskilling and build practical AI capability to improve efficiency, consistency and decision making. Through the AI Academy, employees have access to AI learning and the opportunity to hear from AI experts from the Group’s strategic partners, Capgemini and Microsoft, who share insights into AI best practice and its application across industries through a regular speaker series. The Group also ran a 90 Day Challenge during which employees were encouraged to dedicate time each week to AI learning, complete a fortnightly activity to build practical AI skills, and share their learnings with colleagues to uplift collective capability. BOQ’s use of AI is guided by a policy that defines the requirements for managing AI risk and provides users with guardrails on safe and responsible use of AI. Conduct The Group’s Code of Conduct ( CoC) outlines the expectations and standards of behaviour for employees, agency and contingent workers, leaders, senior leadership and Directors at BOQ Group. It connects the Group's vision and values with key policies to make a positive difference to customers, people, partners, shareholders, and the community. Leadership and targeted capability programs in conjunction with Group-wide mandatory risk training continued to strengthen risk culture and reinforce accountability for effective risk management across the Group. The Group's Whistleblower Policy, Whistleblower Standard and Speak Up Standard support employees to understand expected behaviour, and how to raise concerns when those standards are not met. This year, there were five whistleblower reports. The Group continuously monitors conduct and applies consequences for breaches to the CoC. In accordance with BOQ’s Board Charter, conduct matters are regularly reported to the Board. BOQ's approach to corporate governance is set out in the Corporate Governance Statement on pages 24 to 43. In 2026, there were 41 breaches of the CoC. Of these, 14 resulted in terminations of employment and the remaining 27 resulted in formal warnings issued. All BOQ Group employees and representatives are required to undertake mandatory training to develop and maintain the knowledge and skills required to uphold obligations to customers, team members, regulators and communities. In FY26, 98 per cent of the BOQ workforce completed assigned mandatory compliance learning modules. BOQ Enterprise Agreement This year, the Group negotiated a new Enterprise Agreement, which was endorsed by the Fair Work Commission on 24 August 2026. Of the 83 per cent of eligible employees who voted on the proposed Agreement, 92 per cent supported the Agreement. The Agreement will deliver meaningful benefits for employees over the next three years, including new leave entitlements. Team members who work full time (or pro-rata for part time) now have access to five days of Wellbeing Leave each year, in addition to four weeks of Annual Leave, supporting a positive work-life balance. Team members can also access a paid day of Volunteer Leave per year, creating more opportunities for them to positively contribute to their communities. The Group’s new Enterprise Agreement will uplift the employee experience while remaining sustainable for the organisation as the bank continues to support its customers and invest in growth to deliver stronger returns for shareholders. 18 Bank of Queensland Limited and its Controlled Entities
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Leading with passion and purpose Executive Branch Manager Amanda Watt leads the BOQ Capalaba and Birkdale branches in Queensland. Over the past five years with the bank, she has earned a reputation as a leader with a genuine passion for delighting her customers, empowering her team, and building strong community connections. Amanda is an avid supporter of BOQ’s community sponsorships. She was a core contributor to the bank’s partnership with Queensland Rugby Union throughout the 2026 season, volunteering her time to bring to life community activations to support the professional teams and junior grassroots rugby. She also volunteered across multiple shifts at BOQ’s on-site booth at Ekka. From attending local expos to running educational seminars for first home buyers, Amanda is always looking for opportunities to make a positive difference and represents BOQ with professionalism and heart. “I’m proud to be part of events that bring people together and strengthen our local community. Taking the time to show up, connect and work together is what creates long-term impact.” – Amanda Amanda at the 2026 Vanloads of Hope Breakfast event Throughout the year, the Group showcased the impact of strong banking relationships through a content series sharing the stories of BOQS customers. Dr Tapiwa Gwengo’s story that brought that impact to life, showing how specialist banking support can help business owners pursue growth while staying focused on what matters most to their own customers. Dr Tapiwa Gwengo, is the founder of Apex Orthodontics, and for him, building a practice was about more than straightening teeth, it was about creating an experience patients could trust. The business has grown steadily, drawing upon the specialist expertise of Senior Relationship Executive Aaron Montoro and his team along the way. Working with a banking partner who understands the complexities of running and scaling a dentistry business has given Dr Gwengo confidence in his plans to expand the business over the next five years. “I’ve created an environment where I can combine advanced treatment, innovation and a warm, personal experience for every patient,” he says. “Support (from BOQS) has been personal, seamless and encouraging, and that partnership allows us to focus on delivering exceptional care for our patients,” Dr Gwengo said. Dr Gwengo, Apex Orthodontics 2026 Annual Report 19
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Orange Sky Orange Sky July remains BOQ Group's flagship community fundraising campaign and a powerful expression of purpose in action. In FY26, the campaign achieved its strongest result to date, raising more than $240,000 for Orange Sky Australia and helping provide practical support and meaningful connection for Australians experiencing homelessness and hardship. The month-long campaign brought together employees, customers, community partners and suppliers in support of a shared cause. A highlight was the annual Vanloads of Hope Breakfast, which united business and community leaders to raise awareness and funds for Orange Sky while showcasing the impact that can be achieved through collaboration and partnership. Across the Group, employees embraced opportunities to support the campaign through branch and workplace fundraising activities, volunteering and advocacy. Market stalls, bake sales, raffles, trivia nights and workplace giving initiatives helped create a strong sense of connection and engagement, while reinforcing a commitment to supporting local communities. Orange Sky July continues to be one of BOQ Group's most engaging employee-led initiatives, strengthening connections between colleagues and fostering a shared sense of purpose. Community. We aim to positively contribute to the communities in which we operate, through deep and interconnected partnerships that provide impactful support for vulnerable Australians and bring communities together. Vanloads of Hope breakfast For the second consecutive year, BOQ Group hosted the Vanloads of Hope breakfast for customers and partners to commence Orange Sky July. More than 200 attendees came together at Howard Smith Wharves in Brisbane, raising more than $53,000 in a single morning. Pictured below L -R: Lucas Patchett (Orange Sky Co-Founder), Andrew Fraser (Chair of BOQ and Orange Sky), Rod Finch (CEO) and Nic Marchesi (Orange Sky Co-Founder) Christmas gift wrapping In the lead-up to the festive season, BOQ Group brought people together through a 12 Days of Giving campaign, supporting communities during a time when it matters most. Team members in Brisbane donated gifts to Orange Sky which were given to families who were living in crisis accommodation. They also volunteered their time to sort, wrap and prepare presents for delivery. Across the country, branches also rallied behind local causes, fundraising for charities in their communities, with every dollar raised matched by BOQ through our dollar-for-dollar program, amplifying the collective impact of local communities. Every Try For Orange Sky 2026 saw the introduction of our Every Try for Orange Sky initiative, which united BOQ, Orange Sky and the Queensland Reds in support of vulnerable Australians. For every try scored at a home game by the Queensland Reds women’s and men’s teams throughout the season, BOQ donated to Orange Sky. The initiative generated $15,400 in donations, equating to 641 loads of laundry and hot showers. It reflects our shared belief in backing communities and creating positive outcomes both on and off the field. 20 Bank of Queensland Limited and its Controlled Entities
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Celebrating Ekka Icons In celebration of 150 years of Ekka and the second year of BOQ’s presenting partnership, BOQ decided to shine a light on the Queenslanders who help bring the magic to this iconic annual event through a video series called Ekka Icons. The series featured BOQ customer, the Katavic family, from Mt Gravatt, Queensland. Together, the family of four has fielded more than 100 entries in Ekka’s craft and cookery competitions since 2022. For parents Amber and Pete, preparing the entries with 11 year old Rose and 12 year old Henry isn’t really about the blue ribbons – though they’ve won a few. It’s about sharing a creative streak, learning useful skills and making memories as a family. The series also featured Matt Welsh (pictured above), BOQ customer and Queensland cattle farmer. Based at Huntington Charbray Stud near Taroom, about 450km north west of Brisbane, Matt shows his Charbray cattle at the Ekka in front of breeders, buyers and the public. BOQ is proud to be backing Matt on his mission to prove the breed belongs in the mainstream Australian beef industry. Both the Katavic family and Matt appear on the cover of this report. Ekka presenting partnership Staff volunteers continued as presenting partner of The Royal Queensland Show (Ekka) in 2026, supporting one of Queensland’s most significant community events and creating a valuable platform to engage customers, employees and the broader public. BOQ once again provided strawberry sundaes to attendees, a much loved tradition, and engaged the community through The Ultimate Queenslander Test to bring Queensland pride to life. The interactive booth was supported by employee volunteers, creating practical opportunities to recognise and engage customers in a trusted community setting. The impact of the partnership was recognised internationally in its first year, with BOQ and Ekka receiving Bronze in the International Association of Fairs & Expositions Awards for First-Time Sponsorship. The award acknowledged the partnership’s strong brand integration, community impact and innovative delivery. Above and top right | Staff Volunteers at the BOQ Ekka booth 2026 Annual Report 21
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Celebrating Lunar New Year Dancing lions, shared plates and new connections set the scene as the BOQS team in Queensland welcomed the Year of the Horse alongside customers in February. The Year of the Horse symbolises energy, independence and new beginnings, a fitting theme for an evening focused on connection. Customers were encouraged to bring a friend or colleague, helping to spark new conversations and broaden networks. Jared Moriarty, QLD State Manager BOQS reflected on the value of bringing key customers together in this way as it strengthened existing relationships while opening the door to new opportunities. ‘It was a memorable night that captured the spirit of the season: connection, momentum and a positive start to the year ahead,’ Jared said. Queensland Rugby Union BOQ continued its major sponsorship of Queensland Rugby Union and the Queensland Reds in 2026, extending its connection with communities through one of the state’s most recognised sporting partnerships. Throughout the season, BOQ connected with fans at every Queensland Reds home game through match day activations supported by employee volunteers. Initiatives including BOQ Bucket Hat Bay, exclusive BOQ x Reds merchandise and the Reds Biggest Fan content series helped create distinctive experiences for supporters and deepen engagement throughout the season. The partnership also supported grassroots and regional rugby across Queensland. Player of the match awards were distributed through community rugby competitions and BOQ Group employees supported community activations at Queensland Rugby Union games and events across the state. BOQ also launched the BOQ Boost Program, providing grants to junior clubs in Toowoomba, Rockhampton, Mackay, Cairns and Townsville to support facility improvements and club development. Through the sponsorship, the Group continues to invest in a partnership that enables community participation, regional development and employee advocacy, while building brand relevance and stronger connections with customers and communities in an important home market. ME Go charity cards BOQ Group donated $355,000 this year, to five charity partners through ME Go debit cards. Through these cards, customers can choose which charity they would like to support and one cent per each digital tap is donated to the chosen charity by the Group. Helping BOQS customers to drive community impact The FY26 BOQS commercial lending spring campaign was a first of its kind, putting $190,000 back into communities where Business Bank customers live and work. For every new business loan during the campaign, the Group donated $500 to the customer’s choice of four charity partners who do vital work across the country: Orange Sky, Beyond Blue, Rural Aid and LifeFlight. The campaign helped connect customers with the services provided to millions of Australians each year. Donations helped to fund Orange Sky shifts to deliver laundry services to people experiencing homelessness, enabled additional calls to be answered by Beyond Blue, supported LifeFlight to deliver critical ICU-level care in remote and time-critical emergencies and increased Rural Aid’s supply of hay bales, domestic water tanks and gift cards which are provided to farming families. BOQS bankers (L -R): Julia Liang, Jaivis Lau and Hayley Wong 22 Bank of Queensland Limited and its Controlled Entities
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Profit results ($m) Earnings and dividends (cents per ordinary share) Cash earnings excl. notable items Reported statutory net profit after tax 450 124 343 383 358 285 133 250 2024 2025 20262023 Cash (1) basic earnings per ordinary share Dividends per ordinary share Special dividends per ordinary share 68.4 41 52.2 58.3 54.4 55 34 38 2024 2025 20262023 Cash earnings after tax excl. notable items Down 7% on FY25 $358M Cash(1) net interest margin Up 6bps on FY25 1.70% Reported statutory net profit after tax Up 88% on FY25 $250M Cash(1) cost to income ratio Up 70bps on FY25 65.4% Cash(1) basic earnings per ordinary share Down 7% on FY25 54.4� Cash(1) return on equity Down 30bps on FY25 6.1% Final dividend per ordinary share 1H26 dividend 20 � 20� Fully franked special dividend 15� Further detail on the Group’s financial performance can be found on page 80. FY26 financial performance (1) Cash earnings excl. notable items Shareholders. Through a disciplined approach to deploying capital, we are working toward long-term sustainable returns to our shareholders. Excellence in marketing FY26 was a memorable year for BOQ Group’s Digital & Marketing team, who earned a number of industry accolades for their contributions. The team was named Marketing Team of the Year at the 2026 Mumbrella Awards and was also shortlisted in both the Media Campaign of the Year and the Digital & UX Craft Award categories. In addition, General Manager Digital & Marketing, Adrian McCaffrey, was awarded Chief Marketing Officer ( CMO) of the Year at the 2026 CMO Awards, while Phoebe Duke, Senior Manager Brand, Social and Sponsorships, was named a 2026 AdNews Emerging Leader of the Year. Central to the team’s achievements was the successful execution of the Bank of Queenslanders brand repositioning initiative, which has elevated BOQ’s share of voice in the Queensland media market, driven greater brand awareness and trust, and contributed to strong commercial growth. BOQ Group marketing team 2026 Annual Report 23
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CORPORA TE GOVERNANCE. 2026 Annual Report 25
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Corporate governance at BOQ Group is the framework of systems, policies and processes by which the Group is directed and controlled. It supports effective decision-making, ensuring our people are empowered while remaining accountable for outcomes impacting our business, customers and stakeholders. The framework defines the respective roles and responsibilities of the Board, management and employees, and establishes clear lines of oversight and accountability. It also provides for the monitoring and evaluation of Board and management performance, and underpins our approach to corporate reporting and disclosure, remuneration, risk management and stakeholder engagement. The following section forms our Corporate Governance Statement describing the key governance arrangements at BOQ. BOQ has followed the ASX Corporate Governance Principles and Recommendations (4th edition) ( CGPR) published by the ASX Limited’s Corporate Governance Council available at https://www.asx.com.au for the reporting period ending 31 August 2026. The Statement has been approved by the Board and is current as at 14 October 2026. BOQ’s Appendix 4G is available on the following section of our website: boq.com.au/about-us/corporategovernance. The Corporate Governance Statement should be read together with the following sections of the 2026 Annual Report, which are incorporated in this statement by reference: • Information on our Inclusion and Diversity Policy and measurable objectives on page 16; • Risk Management overview (including sustainability risk management) on pages 44 to 53. BOQ’s Risk Management Framework was reviewed in the reporting period ending 31 August 2026; • The Remuneration Report on pages 110 to 135; and • BOQ’s climate related financial disclosures on pages 55 to 79. The Board regularly reviews and refines its corporate governance arrangements to consider their appropriateness. This includes incorporation of new laws and regulations, evolving stakeholder and regulator expectations and the volatile environment in which we operate. More information on BOQ’s Constitution, Board and Committee Charters and key corporate governance policies is available on our website. The framework BOQ has designed its corporate governance framework, policies, and practices with the objective of delivering a high standard of corporate governance. BOQ’s corporate governance framework is outlined below. Overview. Shareholders BOQ Board Board Reserved Powers and Delegation of Authority Policy Customer, Transformation and Technology Committee Risk Committee Nomination and Governance Committee People, Culture and Remuneration Committee Audit Committee Managing Director and CEO Executive Committee Independent assurance and advice 26 Bank of Queensland Limited and its Controlled Entities
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Board of Directors. Rod Finch Managing Director & Chief Executive Officer BEc(Hons), GAICD Rod was appointed Managing Director & Chief Executive Officer of BOQ Group on 1 March 2026. Rod previously served as BOQ’s Chief Transformation and Operations Officer since 2023. He brings more than 20 years’ experience in the financial services industry, with a track record of delivery across customer, product, strategy and transformation roles in Australia and the United Kingdom. Prior to joining BOQ, Rod held senior leadership roles at AMP , including Managing Director of AMP Bank and Managing Director of Wealth Products & Platforms. Earlier in his career, Rod held a number of executive roles at Lloyds Banking Group in the United Kingdom and Westpac in Australia. Rod holds a Bachelor of Economics (Honours) from Monash University and is a Graduate of the Australian Institute of Company Directors. Andrew Fraser Non-Executive Independent Director LLB BCom (1st Class Hons) Andrew was appointed a Director of BOQ on 8 February 2024, before becoming Chair on 24 October 2025. Andrew is a Director of Brisbane Broncos Limited and President of Motorsport Australia, is Chair of Orange Sky Australia and in June 2026 was appointed a Non-Executive Director of Bapcor Limited. In 2022, he was appointed Chancellor of Griffith University. His previous roles have included Head of Strategy & Investment at National Rugby League, and Director of the Australian Sports Commission, Moorebank Intermodal Company, Australian Retirement Trust and the Hear and Say Centre. Andrew also served as a Minister in two governments, including as Treasurer of Queensland from 2007 to 2012. Andrew is also Chair of the Nomination & Governance Committee and a member of the Audit; Risk; People, Culture & Remuneration; and Customer, Transformation & Technology Committees. Chris Eigeland Non-Executive Independent Director LLB (1st Class Hons), BA Chris was appointed a Director of BOQ on 18 May 2026. Chris is a Queensland-based global technology founder and CEO with deep experience building, scaling and governing large scale digital platforms operating across multiple jurisdictions. He is the co-founder and CEO of Go1, one of Australia’s largest global technology companies, which has scaled from a Brisbane based start-up to a global workplace learning platform, serving enterprise and institutional customers worldwide. Chris is a member of the Audit; Nomination & Governance; Risk; People, Culture & Remuneration; and Customer, Transformation & Technology Committees. 2026 Annual Report 27
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Paul Riordan Non-Executive Independent Director BEcon, CPA, F FIN, GAICD, FCSI Paul was appointed a Director of BOQ on 16 April 2025. Paul brings more than 40 years of experience and expertise across corporate governance, risk management, financial markets, treasury and payments infrastructure. He has held senior executive roles across major banking institutions, both internationally and locally, including as Chief Risk Officer, Institutional & Business Banking at CBA, and most recently, Group Chief Credit & Market Risk Officer at NAB. Paul is currently an Independent Non- Executive Director of FINSIA (Financial Services Institute of Australasia) and a Senior Advisor to Korda Mentha. Paul is the Chair of the Audit Committee and a member of the Nomination & Governance; Risk; People, Culture & Remuneration; and Customer, Transformation & Technology Committees. Board of Directors. Karen Penrose Non-Executive Independent Director BCom, CPA, FAICD Karen was appointed a Director of BOQ on 26 November 2015. Karen is an experienced non-executive director and banker. As a banker, Karen has 20 years of experience leading businesses within Commonwealth Bank of Australia and HSBC, and over 10 years in accounting and finance roles. She has particular expertise in the financial services, health, property, resources and energy sectors. Karen is a Non-Executive Director of Cochlear Limited, Ramsay Health Care Limited and Charter Hall Group. Karen is also a Director of Ramsay Générale de Santé. She was formerly a Non-Executive Director of Reece Limited, Estia Health Limited, Vicinity Centres Limited, AWE Limited, Spark Infrastructure Group and Future Generation Global Investment Company Limited. Karen is a member of Chief Executive Women. Karen is the Chair of the People, Culture & Remuneration Committee and is a member of the Audit; Nomination & Governance; Risk; and Customer, Transformation & Technology Committees. Mickie Rosen Non-Executive Independent Director B.A., Economics, MBA Mickie was appointed a Director of BOQ on 4 March 2021. Mickie has over three decades of strategy, operating, and board experience at the intersection of media, technology, and e-commerce. She has led, built, and transformed businesses for global brands such as Yahoo, Fox, and Disney, as well as early-stage companies including Hulu and Fandango. She currently advises startups and is also a Director of Nine Entertainment Company and Centurion Acquisition Corp in the United States. Prior, Mickie has served on several listed boards, including Domain Holdings, Fairfax Media, FaZe Clan, Pandora Media, and Ascendant Digital Acquisition Corp. Mickie commenced her career with McKinsey & Company, is based in California, and holds an MBA from Harvard Business School. Mickie is the Chair of the Customer, Transformation & Technology Committee and is a member of the Audit; Nomination & Governance; Risk; and People, Culture & Remuneration Committees. 28 Bank of Queensland Limited and its Controlled Entities
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Mary Waldron Non-Executive Independent Director B.E.S.S (Hons), FCA, GAICD Mary was appointed to the Board on 11 November 2024. Mary brings over 35 years’ experience across audit, risk and consulting to Australian listed, government and private companies during her tenure in professional services. In her executive career, she held senior leadership roles at Arthur Anderson, Ernst & Young and PricewaterhouseCoopers. She is a graduate of the Australian Institute of Company Directors and a fellow of the Institute of Chartered Accountants in Australia. Mary is also a Director at Zurich Financial Services Australia Limited and subsidiaries, Crown Melbourne Limited, the Melbourne Symphony Orchestra Pty Ltd. She is Chair of the Advisory Board of Horizon Nexus Partners and a member of Chief Executive Women. Mary was formerly a Director of Chartered Accountants Australia & New Zealand, the Macfarlane Burnet institute for Medical Research & Public Health, Opera Australia, the Melbourne Recital Centre, and Chairperson of the Centre for Ethical Leadership Advisory Board. Mary is the Chair of the Risk Committee and a member of the Audit; Nomination & Governance; People, Culture & Remuneration; and Customer, Transformation & Technology Committees. Board gender diversity (1) FemaleMale 57% 43% Board tenure 0 - 1 years 1 - 3 years 3 - 6 years 6 - 9 years > 9 years 14% 14% 29% 43% (1) Board encompasses Executive and Non-Executive Directors. 2026 Annual Report 29
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Company Secretaries. The Board is responsible for appointing the BOQ Group Company Secretaries. The Board had two appointed Company Secretaries as at 31 August 2026. The Company Secretaries are accountable directly to the Board, through the Chair, on all matters to do with the proper functioning of the Board. Fiona Daly LLB, LLM, ACG, MAICD Fiona joined BOQ in October 2018, was appointed joint company secretary on 30 April 2019, then assumed full company secretary duties in September 2020, and General Counsel responsibilities on 31 January 2023. Fiona commenced her career as a corporate lawyer at Phillips Fox (now DLA Piper) before joining Allens. Prior to working for BOQ, Fiona held senior legal and regulatory roles including as senior legal counsel, global regulatory affairs manager and joint company secretary at Energy Developments, an international energy company. Ricky-Anne Lane-Mullins LLB, B Bus Ricky-Anne joined BOQ in September 2014, and was appointed company secretary on 17 January 2024. Ricky-Anne commenced her career as a corporate lawyer at Minter Ellison Lawyers before moving to London and Sydney where she held senior legal counsel roles at Credit Lyonnais, HBOS Treasury and Bank of Scotland plc/Lloyds Banking Group in the areas of financial markets, derivatives and capital markets. During her time at BOQ, Ricky-Anne has led the Corporate and Lending legal team and the Corporate and Commercial legal team. 30 Bank of Queensland Limited and its Controlled Entities
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Racheal Kellaway Chief Financial Officer BCom, FCPA, GAICD Racheal was appointed the Group Chief Financial Officer in July 2022 and leads Group Finance, Treasury, Group Strategy, Group Transformation and Corporate Affairs for BOQ Group. Racheal joined in 2019 as Deputy CFO after over a decade at the Commonwealth Bank of Australia during which time she held leadership roles at CBA Group and within the Business and Private Banking and the Retail Banking divisions. Racheal is a seasoned banking executive with over 25 years in the industry and has a track record of driving strong business outcomes and value creation within Australia, New Zealand and UK. Racheal currently holds the positions of Non-Executive Director at Barnardos Australia Ltd, supporting children and families, Finance and Risk Committee member at the Australian Banking Association Ltd, and is a member of Chief Executive Women. Rod Finch Managing Director & Chief Executive Officer BEc(Hons), GAICD Refer to Board of Directors page 27 for Rod’s biography. Executive team. Greg Boyle Group Executive Retail Banking LLB, BBus Greg is the Group Executive, Retail Banking, at BOQ Group. He is accountable for leading the Group’s retail distribution channels, growing the BOQ, Virgin Money and ME brands within their target market segments, and guiding the Group’s digital bank strategy. Prior to this appointment, Greg held senior leadership positions including Director Retail Brands and Distribution, BOQ Group, and Chief Executive Officer, Virgin Money Australia. In these roles, Greg has been instrumental in the transformation of BOQ Group's retail division including the build of the new multi-brand digital banking platform for the Virgin Money Australia, BOQ and ME brands. Before serving as Chief Executive, Greg was Strategy and Commercial Director at Virgin Money Australia and part of the Investment Management team for Virgin Group in London. During this period, he helped oversee the performance of Virgin’s portfolio of companies globally across multiple sectors, including financial services, and was responsible for the execution of major projects within the Virgin Group. Prior to his roles at Virgin, Greg was a corporate lawyer in Australia and London at Mallesons and Freshfields. 2026 Annual Report 31
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Executive team. Alexandra Taylor Chief People Officer BBus, CA, GAICD Alexandra joined BOQ Group as Chief People Officer in March 2024. She has over 25 years’ people and culture experience, predominantly in the financial services sector and is recognised as a leader who executes strategies that support the achievement of business outcomes. Prior to joining BOQ, Alexandra spent three years at National Australia Bank as Chief People Officer to the Business, Private & Personal Banking Divisions. Before that, she held a number of executive roles at Citi, including Regional Head of Human Resources for the APAC & EMEA Consumer Bank, Chief Human Resources Officer for Australia and New Zealand and Chief Operating Officer for the Corporate and Investment Banking Division. Alexandra is a commercial, results- focused executive who brings deep financial sector knowledge, diverse experience and a track record of driving change, transformation and high impact human resource strategies that accelerate strategic business outcomes. Alexandra holds a Bachelor of Business from the University of Technology, Sydney, is a Chartered Accountant, a member of Chief Executive Women, and a graduate of the Australian Institute of Company Directors and a Non-Executive Director of KU Children's Services. Keith Strachan Group Executive, Business Banking B.Proc Keith joined BOQ in September 2021 and has held several senior leadership positions within the Business Bank. In October 2025, Keith was appointed as Group Executive Business Banking where he is currently responsible for BOQ Specialist, BOQ Finance, and BOQ Wholesale Banking and Markets businesses. With over 25 years’ experience in financial services, Keith is an experienced banker who combines a sharp focus on execution with a deep understanding of regulatory and risk requirements, ensuring change is customer led and sustainably embedded. Known as a collaborative leader, Keith believes strong culture and clear purpose are the foundations for lasting change and invests heavily in developing talent and fostering inclusion. He is passionate about creating a simpler, stronger and more connected experience for customers and colleagues alike, enabling them to grow and thrive. Prior to joining BOQ, Keith held a number of senior executive roles with Investec, including Chief Operating Officer and Head of Banking. Keith has completed executive education in organisational leadership at Harvard Business School, studied leading organisational change at Stanford University, and holds a Bachelor of Law Degree from the University of Pretoria. At 31 August 2026, BOQ Group’s Interim Chief Risk Officer was Brad Davis who was appointed 1 June 2026, following the departure of Rachel Stock. Craig Ryman Chief Information & Operations Officer BCom Craig joined BOQ Group as Chief Information Officer in July 2020. In FY26, his role expanded to also lead Operations. Craig is responsible for driving the technology transformation agenda. He is a seasoned executive with more than 25 years’ experience in financial services, leading technology transformation programs. Craig was previously at AMP Limited where he held Group Executive roles as Chief Information Officer and Chief Operating Officer. During this time he had responsibility for critical business functions including Technology, Operations, Strategic Sourcing, Corporate Real Estate and Innovation. Craig is a well-regarded technology leader and known for establishing visionary and innovative strategies that re-invent operating environments and future proof the foundations for a technology-enabled and customer focused enterprise. He has a proven track record in transformational change. He holds a Bachelor of Commerce from the Australian National University. 32 Bank of Queensland Limited and its Controlled Entities
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Role of the Board The role of the Board is to set the Group’s strategic direction, risk appetite and cultural expectations through the Code of Conduct by leading from the top. The Board’s responsibility is to effectively oversee the prudent and effective management of BOQ in a manner that ensures effective governance and supports the achievement of Group strategy, whilst driving actions that lead to better outcomes for customers, shareholders and our people. The Board has adopted a Board Charter which details the roles and responsibilities of the Board and of Management including those matters expressly reserved to the Board and those delegated to Management. The Board delegates to the Managing Director and Chief Executive Officer ( MD&CEO) (who may sub-delegate to the Executive Committee), responsibility for the day-to-day management of BOQ Group, developing and implementing BOQ’s strategy, and operating within the risk appetite that has been approved by the Board. The Delegation Authority Framework is reviewed regularly. The Chair The role of the Chair is to lead the Board and oversee the processes for the Board’s performance of its role in accordance with the Board Charter. The role and responsibilities of the Chair are set out in the Board Charter. The current Board Chair is an independent Non-Executive Director elected by the Board. The roles of Chair and MD&CEO are separate and are held by different individuals. Andrew Fraser was appointed BOQ’s Chair on 24 October 2025. Andrew also chairs the Nomination & Governance Committee (and is a member of all other Board Committees). Prior to his retirement from the BOQ Board, Warwick Negus held the position of Chair from March 2023 and also chaired the Nomination & Governance Committee from March 2023 until his retirement in October 2025. Key Board activities in FY26 Key areas of focus for the Board in FY26 (including with assistance from its Board Committees) were: • the appointment of Rod Finch as BOQ’s Managing Director and Chief Executive Officer (following the retirement of Mr Patrick Allaway), who commenced on 1 March 2026; • transition of Chair to Andrew Fraser (following the retirement of Warwick Negus); • oversight and delivery of the remedial action plans (AML First and Program rQ), BOQ’s major regulatory remediation and uplift programs, focused on strengthening financial crime compliance, risk management, governance, operational resilience and risk culture to support the delivery of a stronger and more resilient bank; • overseeing execution against BOQ’s strategy, supporting the transition from strengthening the Bank’s foundations to sustainable growth, with a continued focus on customer outcomes, disciplined execution, operational resilience and long-term shareholder value; • overseeing BOQ’s digital transformation to ensure technology investments, platform modernisation and digital capabilities support strategic objectives, customer outcomes and sustainable growth; and • overseeing BOQ’s cultural transformation to promote customer focus, accountability, constructive challenge and prudent risk- taking across the organisation. Meetings Meetings are a key driver of corporate governance at BOQ. Board meetings allow the Directors to have oversight of the performance of the BOQ Group against its strategy and allow the Board to set the tone from the top and their expectations of the executive team. The Board’s calendar is set in advance and provides for at least eight meetings per financial year with the ability to call additional meetings as required. In FY26 the Board held 17 meetings. The Board’s forward planner reflects the Board Charter and allows flexibility to raise other matters and to tailor Board updates to emerging topics and regulatory change. Agendas are reviewed by the Chair, in consultation with the MD&CEO. Each of the principle Committees also have a forward planner reflecting that Committee’s Charter, which are reviewed, together with agendas, by the respective Committee Chair in consultation with the relevant Group Executive. Board committees BOQ has five principal Board Committees, each of which has its own charter describing its roles and responsibilities. Each of these charters can be found on our website . The Board has also established a Due Diligence Committee (which may also be convened as required). As the purpose and mandate of the Due Diligence Committee is determined by the Board as the case requires, the Committee does not have a separate charter. The Board has the ability to establish other ad hoc committees from time to time as may be required. Board Audit Committee Nomination & Governance Committee People, Culture & Remuneration Committee Risk Committee Customer, Transformation & Technology Committee Andrew Fraser Rod Finch Chris Eigeland Karen Penrose Paul Riordan Mickie Rosen Mary Waldron Member Chair Board composition, diversity and performance. 2026 Annual Report 33
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Composition of Committees The composition of the five principal Board Committees is outlined below: Committee Chair Composition Key responsibilities Audit Committee Paul Riordan (from 24 October 2025 and prior to that Andrew Fraser) The Audit Committee must have: • three independent Non- Executive Directors ( NEDs) • an independent NED as Chair who is not Chair of the Board or the Risk Committee The Audit Committee assists the Board on matters relating to oversight and review of: • external reporting of financial information and regulatory reporting for the Group; • the internal financial control framework for the Group; • the Chief Audit Executive and internal audit function and the external auditors; and • Monitoring the progress of the remediation of audit findings. Risk Committee Mary Waldron The Risk Committee must have: • three independent NEDs • an independent NED as Chair who is not Chair of the Board or the Audit Committee The Risk Committee assists the Board on matters relating to oversight and review of: • the design, implementation and operation of the Risk Management Framework; • monitoring the risk appetite and overall risk profile of the Group within the material risk types; • monitoring the effectiveness of the compliance management framework; and • monitoring and assessing risk culture, including whether it supports operation within risk appetite. People, Culture and Remuneration Committee Karen Penrose The People, Culture and Remuneration Committee must have: • three independent NEDs • an independent NED as Chair The People, Culture and Remuneration Committee assists the Board on matters relating to oversight and review of: • BOQ’s values, culture, inclusion and diversity, health, safety and wellbeing and conduct expectations; • the Remuneration Framework and Remuneration Policy and other people related policies; and • remuneration arrangements for NEDS, Key Management Personnel ( KMP) and other specified roles in the Group. Nomination and Governance Committee Andrew Fraser (from 24 October 2025 and prior to that Warwick Negus) The Nominations and Governance Committee must have: • three independent NEDs • all Committee members comprised of NEDs • the Chair of the Board as the Chair of the Committee except when dealing with the appointment of a successor to the Chair of the Board The purpose of the Nomination and Governance Committee is to assist the Board on matters relating to: • the composition of the Board and Board Committees; • Director independence assessments; • performance review processes for the Board and its Committees; • recommendations on the appointment, election and re-election of Directors; • Board succession planning, including for the Chair and the MD&CEO; and • corporate governance framework and policies for the Group. Customer, Transformation & Technology Committee Mickie Rosen The Customer, Transformation & Technology Committee must have: • three independent NEDs • an independent NED as Chair The purpose of the Customer, Transformation and Technology Committee is to assist the Board on matters relating to: • the end-to-end customer experience (1); • the Group’s strategic transformation agenda; • significant transformation and technology projects (including larger-scale investments); • technology strategy and operations; and • data strategy and governance, cyber security strategy and capabilities and AI strategy and governance. (1) The charter for the Customer, Transformation and Technology Committee (formerly the Technology & Transformation Committee) was amended and approved on 5 August 2026, to broaden the Committee’s remit to include customer experience, customer outcomes and customer impacts of change, delivery and operational activity. Board composition, diversity and performance. 34 Bank of Queensland Limited and its Controlled Entities
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Attendance at meetings Details of Director attendance at Board and Committee meetings in FY26 are detailed below. The number of meetings of the Group’s Directors (including Committees of Directors) and the number of meetings attended by each Director during the financial year were: Board of Directors Audit Committee Nomination & Governance Committee People, Culture & Remuneration Committee Risk Committee Customer, Transformation & Technology Committee Tenure as at 31 August 2026 Patrick Allaway (1) 9/9 -- -- -- -- -- 6 years, 9 months Rod Finch (2) 8/8 -- -- -- -- -- 6 months Andrew Fraser 17/17 9/9 5/5 7/ 7 8/8 5/5 2 years, 6 months Chris Eigeland (3) 5/5 2/2 1/1 2/2 2/2 2/2 3 months Warwick Negus (4) 0/2 0/3 0/1 0/3 0/3 -- 9 years, 1 month Karen Penrose 17/17 9/9 5/5 7/ 7 8/8 5/5 10 years, 9 months Paul Riordan 17/17 9/9 5/5 4/4 8/8 5/5 1 year, 4 months Mickie Rosen 17/17 6/6 5/5 7/ 7 8/8 5/5 5 years, 6 months Mary Waldron 17/17 9/9 5/5 4/4 8/8 5/5 1 year, 9 months Note: Prior to 24 October 2025, Paul Riordan and Mary Waldron were not members of the People, Culture & Remuneration Committee, and Mickie Rosen was not a member of the Audit Committee. (1) Patrick Allaway ceased as Director, effective 28 February 2026. (2) Rod Finch commenced as Director, effective 1 March 2026. (3) Chris Eigeland commenced as a Director on 18 May 2026. (4) Warwick Negus ceased as a Director on 24 October 2025. Board composition Effective from the close of the 2025 Annual General Meeting ( AGM), the Board comprised five Non-Executive Directors. An additional Non-Executive Director was appointed in May 2026. The Board's composition takes into account a number of matters including: • ensuring it is of an appropriate size to facilitate efficient decision making; • that there is a broad range of skills, experience and diversity; • that there is a majority of independent Directors; and • the existing workload of Directors and that they have sufficient capacity to undertake their duties. BOQ has a Board approved Diversity & Inclusion Policy. The Board with the People, Culture and Remuneration Committee sets measurable objectives for achieving gender diversity in the composition of the Board. The Measurable objective set for the Board is 40 per cent of each gender. As at 31 August 2026 women represented 43 per cent of the Board and men represented 57 per cent. Board skills matrix Each year the Board assesses the skills and experience of each Director and the combined capabilities of the Board. The skills matrix documents this assessment which considers: • BOQ’s business and strategic needs; • Board renewal and the skills sought in succession planning and for new appointments; and • areas of focus for continuing education and use of external expertise. To prepare the skills matrix, the following process was adopted: • the previous year’s skill matrix was assessed against BOQ’s strategy and considered that it remained appropriate; • a draft matrix was provided to the Directors, • each Director self-rated and then went through a moderation exercise; and • the Board then reviewed the matrix against current and future needs. 2026 Annual Report 35
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The skills matrix presented below reflects the output of that process and will inform Board renewal and education. Skill Description Measure Leadership and governance Experience as a senior leader or as a director in companies of similar size and complexity and in managing businesses through a period of significant change. 7 Banking and financial services experience Experience in the financial services sector including retail and business banking services. Experience working in a regulated environment. 115 Strategy, transformation and commercial judgement Ability to contribute to the development of a robust strategy, to constructively challenge and oversight its execution. Experience in organisational transformations and integrations. Ability to demonstrate sound commercial judgement. 7 Risk management and compliance Experience in recognising and evaluating financial and non-financial risks that could impact the organisation, overseeing risk management frameworks; and overseeing the management of compliance risks. 124 Financial acumen High level of financial literacy. Ability to: analyse and interpret financial statements, and capital management for businesses of this type; and evaluate the effectiveness of internal controls. 16 People, culture and remuneration Experience in: leadership development, talent management and succession planning; driving organisational culture improvements that are shaped by the ‘tone from the top’; and setting a remuneration framework that attracts and retains talent. 133 Customer Experience developing, growing and sustaining differentiated value propositions and brands, overseeing the development of strong customer focussed cultures and driving customer outcomes. 34 Digital business models and technology Experience in driving business transformation and improvements using digital led platforms and technology, including cultural transformation. Good understanding and oversight of cyber resilience and technology risks. 43 Sustainability and stakeholder engagement Understanding the impact of potential risks and opportunities from an environmental and social perspective. Experience in building and maintaining transparent and collaborative relationships with regulators, industry groups and community partners. 313 Very StrongStrongModerate The Board undertook continuing education in FY26 in the following areas: sustainability and climate related financial disclosures; artificial intelligence; CPS 230; managing through change; leadership capability; psychological safety and workplace health and safety & crisis simulation. Board performance evaluation The Board recognises the importance of reviewing its own performance and that of its Board Committees to enable ongoing development and to seek to maintain a high level of performance. Under the Board Performance Review and Renewal Policy, which can be found on our website , the Board evaluates its performance annually. An external performance review was undertaken in FY26. The review process involved an assessment of the performance of the Board and the Board Committees, with responses collected, reviewed and presented to the Board. The Board discussed the results and agreed follow-up items. The review recognised that the Board and Executive Team are navigating a period of meaningful change. A key action from the review was to continue to focus on strategic discussion and horizon scanning. The Board (excluding the Chair) reviewed the performance results of the Chair, as part of the process. An internal review will be conducted in FY27. Board composition, diversity and performance. 36 Bank of Queensland Limited and its Controlled Entities
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Director engagement with BOQ’s people In FY26, the Board participated in a number of engagements including: • call centre visit to better understand our customer’s perspectives and the needs of our front line staff; • listening to calls with teams who support customers through financial difficulty; • regular informal lunches with staff on site, to understand business priorities and their day-to-day work; • meetings with senior leaders allowing them insight into culture, engagement on topics coming before the Board and Committees and providing them a forum for informal feedback; • involvement in town halls with BOQ staff; • engagement on progress against BOQ’s CEUs; • community partner engagement with Orange Sky; and • regional branch visits. Remuneration policies and practices The Board has approved a Remuneration Policy which forms part of BOQ’s people and culture and risk management system in accordance with the APRA requirements set out in APRA CPS511 Remuneration. In accordance with BOQ’s performance framework, all employees and leaders are encouraged to have regular conversations focused on achievement and development, as well as a formal end of year review. The annual cycle commences with setting strategic objectives and results at the start of the year. Objectives should be aligned to BOQ’s strategic pillars and articulate how each employee’s contribution to delivering on the strategy will be measured. A formal evaluation of each employee’s performance against their agreed objectives is undertaken following the completion of the financial year (or, more frequently in some front-line roles). The review also considers behaviours in line with BOQ’s values and the completion of core requirements. The outcomes of this process inform an individual’s variable reward outcome. A performance evaluation of the executives was completed in respect of FY26 in accordance with this framework. Details of remuneration paid to Directors (Executive and Non-executive) are set out in the 2026 Remuneration Report contained on pages 110 to 139. The Remuneration Report also contains information on BOQ’s policy for determining the nature and amount of remuneration for Directors and senior executives. The People, Culture and Remuneration Committee Chair, the Board Chair and the General Manager Investor Relations & Corporate Affairs meet with institutional shareholders and corporate governance agencies throughout the year to discuss BOQ’s remuneration framework and seek feedback on the Remuneration Report. BOQ has a written agreement with the MD&CEO and each of its executives which sets out the contractual terms of their employment. Townsville Community Engagement In August 2026, the BOQ Group Board and executive committee travelled to Townsville to visit the vibrant North Queensland business hub. Townsville is a recognised key growth area for the Business Bank, and the purpose of the visit was to listen, learn and strengthen relationships in a region where there is enormous potential. This visit also gave local bankers the chance to introduce Board and executive members to their clients in the area, including a community function attended by more than 70 customers, community leaders, government representatives, industry groups and partners. 2026 Annual Report 37
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Appointment and election All new and existing Directors are subject to an assessment of their fitness and propriety to hold office, both at the time of initial appointment, under the Independence Policy and BOQ’s Fit and Proper Policy, and on an ongoing basis. BOQ undertakes extensive background and screening checks prior to nominating a Director for election by shareholders, including checks as to character, experience, education, criminal record and bankruptcy history. Information relevant to the election or re-election of Directors at an AGM, including their professional experience and all other material information relevant to a decision on whether or not to elect or re-elect a Director, is included in the Notice of Meeting distributed each year in advance of the AGM. BOQ has formal letters of appointment in place with all Non- Executive Directors setting out the terms of their appointment. Directors’ induction training and continuing education BOQ delivers an induction program to assist and introduce all new Directors to the working environment of BOQ. As part of the induction, new Directors are provided with a detailed overview of BOQ’s business operations, copies of all material policies and procedures, and information on the functions and responsibilities of the Board, Board Committees and Management. Meetings with members of the Executive Committee, and other senior managers are also held as part of the induction program. On an ongoing basis, education sessions are provided to the Board on topical matters. Specific sessions are scheduled around Board meeting dates and BOQ provides other appropriate professional development opportunities for Directors to develop and maintain the skills and knowledge needed to perform their role as a Director effectively. Independence The Board assesses the independence of a Non-Executive Director candidate prior to initial appointment, on an annual basis, and as required (depending on disclosures made). It is the responsibility of the Board to determine the independence of Directors in accordance with the Policy on Independence of Directors. The Board has assessed the independence of all Non-Executive Directors and determined that all Non-Executive Directors remain independent. As such, BOQ considers that no Non-Executive Directors have any relationship, interest or position that might influence, or reasonably be perceived to influence, in a material respect, their capacity to bring independent judgement to bear on issues before the Board and to act in the best interest of the entity as a whole, rather than in the interests of any individual security holder or other party. Accordingly, BOQ considers that the majority of the Board are independent Directors. BOQ does not consider that the length of service on the Board of any of the independent Directors is currently a factor affecting the Director’s ability to act independently and in the best interests of BOQ and its security holders. As at the date of this statement, Ms Penrose has served on the Board for more than 10 years. The Board has considered Ms Penrose’s independence and has determined that she remains independent. Conflicts of interest All Directors are required to disclose to the Board any actual, potential or apparent conflicts of interest upon appointment and are required to keep those disclosures up to date. Any Director with a material personal interest in a matter being considered by the Board must declare their interest and may not be present during any relevant Board discussion nor may they vote on such matter unless the Board resolves otherwise. Access to advice The Board, and all Directors individually, can seek independent professional advice, at BOQ’s expense, to help them carry out their responsibilities, subject to obtaining prior written approval from the Chair (such approval not to be unreasonably withheld). Share qualification Within five years of appointment each Non-Executive Director must accumulate and then maintain a holding in BOQ shares that is equivalent to 100 per cent of a Non-Executive Director’s base fee. All Non-Executive Directors who have served five years have met the holding requirement. Non-Executive Directors appointed within the last five years are building towards their shareholding requirement. Commencing 1 September 2026, BOQ has introduced a minimum shareholding requirement with respect to Group Executives. Under that policy, Executive KMP are required to acquire and maintain equity holdings in BOQ within five years of commencement in their role or from commencement of the policy, whichever is later. The MD&CEO is required to hold a value equivalent to 150 per cent of fixed remuneration, the Chief Risk Officer is required to hold a value equivalent to 75 per cent of fixed remuneration, and all other Executive KMP are required to hold a value equivalent to 100 per cent of fixed remuneration. Culture At BOQ Group, we believe that a constructive culture where our people live our values (spirited, optimistic, curious, inclusive, accountable and lionhearted) is essential to creating long term value for our customers, people and shareholders. We are continuing to strengthen a culture that supports accountability, sound decision-making and the delivery of sustainable outcomes for our customers, people and shareholders. BOQ’s Board and Management both play an important role in setting the cultural tone. The Board sets the tone from the top, works with Management, and guides BOQ’s culture through the Executive Committee and our Code of Conduct. The Board monitors our culture through surveys, audits, compliance and whistleblower reports and various other sources on an ongoing basis. The Board also considers culture through the quality of leadership, decision- making, accountability and customer outcomes across the organisation. Director appointment, election, education and independence. 38 Bank of Queensland Limited and its Controlled Entities
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Key policies. Code of Conduct Further information on BOQ’s Code of Conduct is found on page 18 of this report and in BOQ’s Code of Conduct, which can be found on our website . Fit and Proper Due to BOQ’s status as an Authorised Deposit-Taking Institution ( ADI), it is required under APRA Prudential Standard CPS 520 Fit and Proper to maintain a Fit and Proper Policy which reflects the requirements of CPS 520. BOQ’s Fit and Proper Policy sets out the requirements that the BOQ Group must follow to assess the competencies and fitness for office of persons appointed as Directors, Executives, Company Secretary, responsible persons and auditors. The person must have the appropriate skills, experience and knowledge for the role and act with the requisite character, diligence, honesty, integrity and judgement. FAR The Financial Accountability Regime (FAR) is designed to strengthen accountability, governance, and risk management within APRA regulated entities. At BOQ, accountability for key business, risk and regulatory responsibilities is held by designated Accountable Persons, comprising Directors and senior executives. These individuals are responsible for exercising their duties with honesty, integrity, due skill, care, and diligence, and must take reasonable steps to ensure the effective management of their areas of responsibility. BOQ maintains an accountability framework that clearly defines accountable roles and responsibilities and supports effective governance, oversight, and decision-making across the Group. Whistleblowing The Board and Management are seeking to shape a culture that encourages openness, integrity and accountability through our purpose and values. The Whistleblower Policy has been developed so that current and former employees, officers, associates, contractors, sub-contractors and relatives of these people can freely, and without detriment, raise concerns regarding actual or suspected misconduct by BOQ or anyone connected to the BOQ Group. The Board receives reporting on whistleblowing matters, including reports of any material incidents reported under the Whistleblower Policy, at each scheduled Board meeting. Further information is available in the Whistleblower Policy, which can be found on our website. Anti-Bribery and Corruption Consistent with our values, BOQ has zero tolerance for any form of bribery and corruption. Our Anti-Bribery and Corruption Policy outlines our expectations and approach to identifying and preventing the risks of bribery and corruption by BOQ entities, personnel and business partners. In accordance with the Policy, material breaches of BOQ’s Anti-Bribery and Corruption Policy are reported through the Risk Committee to the Board. The Anti-Bribery and Corruption Policy can be found on our website . The Board regularly reviews BOQ’s policy framework to assess whether it is appropriate and contemporary, and meets the needs and expectations of key stakeholders. 2026 Annual Report 39
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Disclosure and Communication BOQ’s practice is to release market sensitive information to the ASX promptly and without delay in accordance with the ASX Listing Rules and then to the market and community generally through our media releases and website. BOQ requires Directors, officers and employees to advise the Disclosure Officer of any information that may require disclosure. Continuous disclosure confirmation is a standing agenda item at all Board and Board Committee meetings. BOQ’s Board receives copies of all market announcements promptly after they have been made. Any new and substantive investor or analyst presentation is released to the ASX ahead of presentation. The Group General Counsel and Company Secretary is the Disclosure Officer and is jointly responsible for communications with the ASX together with the Corporate Counsel and Company Secretary. All announcements made by BOQ to the ASX are accessible via its website. A copy of the Disclosure and Communication Policy is available on our website . Securities Trading Policy BOQ’s Securities Trading Policy provides Directors, Executives, employees, agents and contractors of BOQ with information regarding their legal obligations with respect to trading in BOQ securities. The Securities Trading Policy strictly prohibits trading in securities by all employees, Directors and contractors who possess information that is not generally available and that could be reasonably expected to have a material or significant effect on the price or value of a BOQ security. The Policy specifically prohibits BOQ Directors and certain “restricted persons” and their associates from trading in BOQ securities during “blackout periods” as defined by the Policy. The Policy prohibits BOQ Directors entering hedging arrangements (the use of financial products to protect against or limit the risk associated with equity instruments such as shares, securities or options) in relation to any employee shares, securities or options received as part of their performance-based remuneration, whether directly or indirectly. The Securities Trading Policy meets the requirements of the ASX Listing Rules and is available on our website . Modern Slavery BOQ Group does not tolerate any form of modern slavery and acknowledges our responsibility to respect human rights and to prevent modern slavery within our operations and supply chain. We recognise that our business decisions, procurement activities and partner relationships can elevate the risk of modern slavery and human rights breaches. We take a risk-based approach to identifying, assessing and addressing modern slavery and human rights risks. Our approach is supported by Group -wide policies and standards, including the Code of Conduct, Diversity and Inclusion Policy, Whistleblower Policy and Speak Up Standard, which set clear expectations for ethical behaviour and provide mechanisms for concerns to be raised without fear of retaliation. BOQ Group considers the risk of modern slavery and human rights breaches within our operations and supply chain to be low. The majority of our suppliers are based in Australia, with offshore services generally limited to professional services and highly skilled activities. During FY26, we continued to deliver our multi -year program to strengthen the Group’s approach to modern slavery. Key actions included completing a targeted supplier deep dive, executing treatment plans for identified Business Critical suppliers to address gaps in modern slavery requirements, and progressing the uplift of supplier governance through our procurement system. BOQ Group remains committed to building awareness of modern slavery and human rights risks across the Group and to strengthening our capability to prevent, detect and respond to those risks. We will continue to embed a sustainable, proportionate and risk-based approach to modern slavery and human rights, supported by continuous improvement and strong leadership oversight. 40 Bank of Queensland Limited and its Controlled Entities
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(1) The Audit Committee approves non-audit services in excess of $100,000 and is notified of non-audit services of less than $100,000 (as approved by the CFO). External auditor In FY26, BOQ’s external auditor was PricewaterhouseCoopers (PwC). PwC were appointed following a formal tender process and approval by BOQ's shareholders at BOQ's AGM in 2021. The Audit Committee is responsible for the appointment, evaluation, management and removal of the external auditor, and approval of the external auditor’s annual fee (subject to shareholder approval where required). To encourage open communication and to seek to ensure that appropriate matters come to the attention of the Audit Committee, the MD&CEO, Chief Financial Officer ( CFO), Group Chief Risk Officer, Chief Audit Executive and the external auditor have direct and unfettered access to the Audit Committee. The role of the External Auditor is to provide an independent opinion that BOQ’s financial reports are true and fair and comply with accounting standards and applicable regulations. The external auditor performs an independent audit in accordance with Australian Auditing Standards. The Audit Committee pre-approves audit, audit-related and non-audit services (1) whether on an engagement basis or under a specific service pre-approved by the Audit Committee, regularly reviews the independence of the external auditor, and evaluates their effectiveness. BOQ’s Auditor Independence Policy aims to support the independence of the external auditor by regulating the services it can provide to the Group and ensuring compliance with: • Corporations Act • APRA Prudential Standard CPS 510 Governance; and • Accounting Ethical Professional Standards APES 110 – Code of Ethics for Professional Accountants Section 290 Independence. As required by the Corporations Act, information about the non- audit services provided by the external auditor, PwC, is set out in the Directors' report. Legislation requires the rotation of the external audit senior personnel who are significantly involved in BOQ’s audit after five successive years, including the lead partner. BOQ's lead partner was last rotated in FY23. The external auditor attends the AGM and is available to answer questions from security holders relevant to the audit. Internal audit BOQ’s Internal Audit ( IA) team is independent from Management and is responsible for providing the Board and Management with an independent appraisal of the internal controls established by BOQ’s first (business) and second (Group Risk) lines of defence. IA operates under a Board approved Charter. The outcomes of IA’s work are reported through the Audit Committee, and the Chief Audit Executive has a direct line of communication to the Chair of the Audit Committee, MD&CEO and the external auditor. The IA plan is developed and reviewed in line with BOQ’s overall risk appetite and Risk Management Framework. The Chief Audit Executive presents a report at each Audit Committee meeting covering major activities and findings, statistics on issued audit reports, and ratings and information about the IA function before proceeding to the Board for noting. Financial reporting and management declarations The Board receives regular reporting from Management on BOQ’s performance, including details of all key financial and business results. Prior to approving BOQ’s corporate reporting suite for the half year ended 28 February 2026 and full year ended 31 August 2026, the Audit Committee and Board received written declarations from the MD&CEO and the CFO that, in their opinion: • the financial records of the entity have been properly maintained; and • the financial statements comply with appropriate accounting standards and give a true and fair view of BOQ’s financial position and performance. The MD&CEO and CFO also declare that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively. Periodic corporate reports BOQ conducts an internal verification process on all periodic corporate reporting. The process that is followed to verify BOQ’s periodic reporting is based on the nature of the relevant report, its subject matter and where it will be published, adhering to the following general principles: • periodic reporting is prepared by or under the oversight of the relevant subject matter expert for the area being reported on; • the report should comply with applicable legislation or regulations; and • the report should be reviewed with regard to ensuring it is not inaccurate, false, misleading or deceptive. Non-audited sections of the Annual Report (including the Corporate Governance Statement) are prepared by the relevant subject matter experts and reviewed by members of the Executive Committee and senior managers prior to Board approval. ASX announcements (other than administrative announcements) are reviewed in accordance with BOQ’s Disclosure and Communications Policy. BOQ’s external auditors provide recommendations for consideration to enhance reporting of non-financial performance measures. BOQ’s APRA Basel III Pillar 3 reports have been prepared to meet its disclosure requirements as set out in APRA’s prudential standard APS 330 ‘Public Disclosure’ (APS 330) and have been prepared in accordance with Board approved policy on disclosure controls and procedures. Audit and financial governance. 2026 Annual Report 41
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Engaging with stakeholders. Customers BOQ has a Customer Advocate who operates independently from its business operations and supports the Group by: • championing the interests of customers within BOQ, particularly where decisions, policies or practices may result in unfair or unintended customer outcomes; • providing guidance and insight to BOQ on customer fairness; • providing reporting to the Board; • identifying opportunities for improvement arising from feedback, customer experience, emerging customer themes and community expectations; and • influencing change by recommending improvements to products, services, systems, processes and policies which reflect the needs of BOQ Group’s diverse customers. Engaging with our frontline BOQ Group’s Directors and executive team prioritise connecting directly with customers and the team members who serve them, to understand their experiences, and opportunities to enhance customer centric decision making. On his first day as MD&CEO, Rod Finch visited the BOQ Capalaba branch in Brisbane. Throughout the year, executive team members spent time in BOQ branches connecting with our dedicated frontline staff, including those branches which have recently been redesigned as co-located retail and business banking hubs. This co-location model aligns to geographical areas where there are opportunities to serve more customer needs, where customers are supported in building confidence self-servicing their everyday banking, and have access to specialist support for more complex needs or business lending. This direct engagement provides valuable insights for the executive team in pursuing the Group's vision to become the bank customers choose. Shareholders BOQ is focused on growing shareholder value and strives for transparency in our business practices. We understand the impact of quality disclosure on the trust and confidence of shareholders, the wider market and the community. To enable security holders to access corporate reporting documents (including ASX announcements, charters and corporate governance policies) these are made available via the Governance Page and BOQ's Shareholder Centre on our website. The Shareholder Centre includes the following: • links for security holders to view details of their holding through its share registry provider’s secure website, as well as access to contact details for the share registry; • links for security holders to view details on historical dividend payments and information on BOQ’s Dividend Reinvestment Plan; • a financial calendar for the key events in the upcoming year, including results announcements, the AGM and dividend payments; • BOQ’s ASX announcements; • details of AGMs, which are webcast on BOQ’s website; and • details of BOQ’s preference shares and previous capital raisings. The Corporate Governance Statement can be accessed from the BOQ website. Investor relations program BOQ operates an ongoing investor relations program to facilitate effective two-way communication with investors on BOQ’s market activities which involves: • half-year and annual results briefings (made available via webcast on BOQ’s website) which allow for questions from market participants; • annual or semi-annual meetings with key proxy adviser groups; • meetings with domestic and international institutional investors; • presentations to institutional and retail brokers and their clients (with any new information being released to the ASX in advance of communication with investors at such meetings); and • responding to ad-hoc queries from analysts and investors (institutional and retail), as well as financial media, on market releases made by BOQ. These initiatives represent an opportunity for BOQ to provide investors, market participants and the general public with a greater understanding of BOQ’s business, financial performance, governance and prospects, whilst also providing investors and other market participants the opportunity to express their views to BOQ on matters of concern or interest to them. These views are gathered and communicated to the Board, wherever appropriate. Security holders may elect to receive communications from BOQ and its share registry electronically via the share registry’s secure website, which is accessible from the Shareholder Centre on BOQ’s website at My Shareholding or by contacting the share registry by phone on 1800 779 639 (within Australia) or +61 1800 779 639 (outside Australia). Security holders may contact the BOQ Investor Relations team by email at InvestorRelations@boq.com.au and BOQ’s share registry can be contacted by email at boq@cm.mpms.mufg.com . Security holders may elect to receive a document electronically or in physical form at least once in each financial year. AGM The 2026 AGM will be held on 1 December 2026. Shareholders are encouraged to submit questions ahead of the AGM. The Chair and the MD&CEO will seek to address the more frequently asked questions received ahead of the AGM in their address at the Meeting. Shareholders will also be provided with a reasonable opportunity to ask questions about, or make comments on, the business of the Meeting, the management of the Company or about the Company generally during the Meeting. All substantive resolutions are decided by poll rather than a show of hands. The AGM will be webcast live, and a recording of the AGM will be made available after the Meeting on BOQ’s website at Annual General Meeting for security holders who are unable to attend. 42 Bank of Queensland Limited and its Controlled Entities
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RISK MANAGEMENT . 2026 Annual Report 45
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Risk management underpins the strength and resilience of the Group and is the foundation of delivering value to stakeholders. Risks exist across the BOQ Group and are inherent in its operations. The ability to manage risk effectively allows BOQ to deliver on its objectives and protect the interests of customers, people and shareholders. This is achieved through the Group’s Risk Management Strategy (RMS) and associated risk frameworks, policies and standards. Risk management framework At BOQ, risk management is undertaken through the development and embedment of our systems, structures, policies, processes and people that identify, measure, evaluate, monitor, report and control or mitigate on both internal and external sources of material risk. The Board of BOQ is ultimately responsible for the risk management framework and for the oversight of its operation by management. When the elements of the risk management framework work cohesively and effectively, they enable BOQ’s people to focus on the risks that matter most, make informed risk-based decisions, and ultimately, be a successful, operationally and financially resilient organisation. The following diagram shows the key elements of BOQ’s risk management framework. BOQ’s Risk Management Framework (1) Enterprise-wide Committees include Asset & Liability Committee ( ALCO) and the Credit Risk Committee BOQ Purpose, Vision and Values What we will deliver – BOQ’s strategic objectives Guardrails for risks we take pursuing our strategy Governance, reporting and key risk-decisions Three Lines of Defence Model Risk Information Systems enable Risk Practices and risk monitoring, reporting, insights, and decision making Business Strategy | Business Plan Risk Management Strategy | ICAAP | Forward-looking Scenario Analysis & Stress Testing | Risk Appetite Statement Divisional Risk Committees ↔ Enterprise-wide 1 & Executive Risk Committees ↔ Board Risk Committee ↔ Board Line 1 – Business Lines Own their risks and execute risk practices Line 2 – Risk Function Set and govern frameworks for managing risk across the Group Line 3 – Internal Audit Function Review the effectiveness of risk frameworks Material Risks Risk Frameworks And Policies Supported By Capital Management Sustainability Technology Credit Data Compliance Liquidity & Funding Operational Information Security Market People Conduct Strategic Third Party Financial Crime Obligations Management Issues Management Risk Assessment Risk Indicators Scenario Analysis Risk in Change Control Management Risk Event & Breach Management Assurance Risk Culture & Capability Risk management. 46 Bank of Queensland Limited and its Controlled Entities
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The RMS describes the Group’s material risks and the approach to managing these risks. It summarises our key risk management documents and the roles and responsibilities of the risk management function, as well as outlining the risk governance relationship between the Board and senior management with respect to the risk management framework. The RMS is reviewed annually by the Board Risk Committee and approved by the Board. The diagram below outlines BOQ's Risk Committee governance. The MD&CEO leads the Executive Team and is responsible for implementing the board's strategic objectives and managing the day-to-day operations of the bank, including overseeing business activities, ensuring regulatory compliance, maintaining effective risk management practices, and fostering a culture of ethical behaviour and accountability within BOQ. Stakeholder Accountability Board Committees Executive Committees Established by the Board with delegated authority to assist the Board in fulfilling its responsibilities and to enable effective consideration of specialist or complex issues. Along with the MD&CEO the Executives are responsible for delivering on BOQ's purpose and strategy. They seek to do this by focusing on key stakeholders, shaping culture and capability, prioritising effort and allocation of resources and identifying and considering current and potential issues, opportunities and risks through the Executive Level Committees. BOQ is expected to operate in a manner sensitive to a broad range of interests including our shareholders, customers, regulators, employees and community. BOQ must demonstrate that transparency, accountability and efficient management is in place to safeguard their interests. The role of the Board is to set BOQ's strategic objectives and risk appetite as well as oversee the management, performance, culture and governance of the BOQ Group, providing transparency, demonstrating accountability and ensuring that effective governance is in place to safeguard the interests of BOQ's stakeholders. Recommendations made with Board to retain collective responsibility for decision making BOQ Board As Needed Operational, & Project Committees Risk Committee Line 2 Line 1 RISK GOVERNANCE involves an emphasis on risk management to better serve all stakeholders and applies the principles of good governance to the identification, assessment, management & communications of risks. Organisations with good risk governance achieve higher risk- adjusted performance over the long term. Managing Director & CEO Divisional Level Business Units Delegated Authority Framework Transparency & Accountability Timely & accurate information to facilitate informed decision-making Timely & accurate information to facilitate informed decision-making Principle Committees Executive Committee Asset & Liability Transformation Committee Audit Committee Nomination & Governance Customer, Transformation & T echnology People, Culture & Remuneration Executive Risk Committee Divisional Risk Committees Governance Professionals & Company Secretariat Internal Audit Function 2026 Annual Report 47
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Risk culture A strong risk culture is essential for the Group’s risk management frameworks, policies and standards to operate effectively. At BOQ Group, we are focused on building the foundations of a strong culture fostering the right behaviours and outcomes. During FY26 we continued to embed our new risk culture framework, which clearly articulates the risk mindsets and behaviours expected of employees. It aligns and supports organisational culture and values and empowers our people to have risk at the forefront of their mind when carrying out day to day activities. Our risk culture framework sets out BOQ’s risk culture target state, to support effective management of risk culture across the organisation. Three lines of defence Three lines of defence is the operating model that helps our people understand the roles they are expected to play in risk management. The first line of defence is the business units who are responsible for identifying and owning the risks in all aspects of their activity. The second line of defence is the Group Risk and compliance function who design risk frameworks and guardrails and review and challenge the effectiveness of risk management. The third line of defence is the Internal Audit function who provide independent assurance that risk management practices are being complied with and operating effectively. Providing our people with the tools and resources to effectively manage risk in alignment with the strategy empowers them to be forthcoming and proactive, ultimately protecting the interests of those who put their trust in BOQ, including customers, people, shareholders and the community. Remedial Action Plans (RAPs) The two EUs with regulators, APRA and AUSTRAC, are addressing weaknesses in risk management practices and risk culture. Building a stronger bank by embracing these EUs as a platform for change, the Group has improved risk culture, operational and financial resilience. The RAPs are multi-year, Group-wide programs. Significant progress across both programs has been made this year. Program rQ is addressing the APRA EU, and AML First is addressing the AUSTRAC EU, they are a key priority for the Group, and are overseen by management and the Board. While accountable executives oversee defined workstreams, and targeted workstream groups are accountable for specific action delivery, all BOQ Group executives have collective accountability for the delivery of program outcomes. AML First AML First is designed to address weaknesses and gaps across the Anti-Money Laundering and Counter Terrorism Financing ( AML/ CTF) operating model. The program aims to enhance systems, policies, and processes to deliver sustainable change, deliver against the requirements of the EU and uplift the Group’s approach to AML/CTF. Key deliverables under the AML First program are: • strengthening the operating model and governance where roles, responsibilities and accountabilities are well defined and managed, and there is sufficient training in place to support capability uplift and awareness; • strengthening and realigning risk assessment methodologies and due diligence frameworks within the Group’s risk appetite; • updated and simplified the customer onboarding forms and KYC steps and process across the Group; • uplifting customer due diligence and enhanced customer due diligence processes; • enhancing the controls associated with the transaction monitoring framework to identify, mitigate and manage customer transaction risks; • assessment and validation of regulatory reporting issues identified by AUSTRAC to mitigate risks associated with regulatory reporting requirements; and • alignment and uplift of data and technology to enable effective and technical compliance with the Group's AML/CTF program. This year, the AML First program progressed with key milestones achieved including the implementation of refreshed 'know your customer', demonstrated success with customer risk rating, ongoing improvement in data quality feeding to AML systems, deployment of improved transaction monitoring governance and detection scenario uplift. This year, AML First has moved to the embed phase and completed 83 per cent of all activities. The Group continues to work closely with AUSTRAC and industry bodies on the ongoing AML/CTF Reforms. 48 Bank of Queensland Limited and its Controlled Entities
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Program rQ Program rQ is designed to strengthen risk culture, capability, governance and financial and operational resilience to build a stronger and simpler bank. There are over 150 unique activities across the following eight key themes: Role of the Board Setting the tone from the top, ensuring the right capabilities, skills and experience are held by the Board along with a demonstrated culture of inclusion, curiosity, constructive challenge and healthy debate in pursuit of strategic objectives. Governance & reporting Governance structures are clear and simple, enabling effective information flows, escalation pathways and risk- based decision making. Standardised risk reporting across the Group, with effective monitoring of risks and timely and effective engagement with regulators. Risk Management Framework Risk and compliance policies and frameworks are fit-for- purpose and roles and responsibilities are clear across the three lines of defence. The risk management framework is underpinned by a strong risk management strategy and a clearly defined risk appetite set from the top. End-to-end risk and control environment Key processes, risks, obligations and controls supporting BOQ's critical operations are consistently defined and mapped across the Group. Risk Culture Framework Clearly defined risk culture target state, with meaningful risk culture reporting, embedded within divisional and Board reporting. Code of Conduct clearly sets expectations for behaviours. Capability & capacity Required risk capability and capacity is understood and prioritised across the three lines of defence, to deliver against BOQ's requirements in accordance with the risk management framework. Accountability, performance & consequence management Accountabilities are clearly articulated and well understood. Performance and consequence management frameworks are consistently applied, to reinforce risk expectations and behaviours in accordance with BOQ's risk culture target state. Strategic change Effective planning and governance to ensure well informed prioritisation, risk mitigation, effective delivery and sustainability of BOQ's strategic change roadmap. Throughout FY26, BOQ has continued to execute the actions set out in the RAP to uplift financial and operational resilience, risk culture and governance. This year, Program rQ moved to the embed phase of the program, with 108 RAP activities completed and closed. 2026 Annual Report 49
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Material risks. Credit The risk of financial loss resulting from the failure of a customer or counterparty to settle its financial or contractual obligations to the Group as and when they fall due. Management The Group's credit risk management strategy reflects its credit risk appetite and credit risk profile. The objective of credit risk management is to maximise the risk-adjusted rate of return by maintaining credit risk exposure within acceptable parameters. Accordingly, credit risk inherent in the entire portfolio as well as the risk in individual credits or transactions is managed. Capital management The risk that the Group has inadequate capital to support its business activities under normal and stressed conditions or to meet minimum prudential requirements. Management To maintain financial resilience, the Board approves and oversees capital limits, triggers and target ranges set in the risk appetite statement and the internal capital adequacy assessment process ( ICAAP). ICAAP and the Group recovery plan are designed to identify and manage potential threats and ongoing business viability. Compliance The risk of failing to abide by compliance obligations required of us or otherwise failing to have behaviours and practices that deliver suitable, fair and clear outcomes for our customers and that support market integrity. Management A compliance risk management framework (CRMF) is maintained, that integrates compliance considerations into business practices to manage compliance with laws and regulations. The CRMF supports the objectives of the RMS in relation to the effective management of compliance risk as well as clarifying the key roles and responsibilities within the Group for managing, or providing oversight of, BOQ’s compliance obligations. It defines how compliance risks must be identified, measured, evaluated, monitored, reported, and controlled or mitigated across the Group. It outlines the minimum practices and expectations for business units and risk functions. BOQ's governance, risk and compliance tool provides an organised way of managing relevant compliance matters, including in relation to obligations and compliance incidents. BOQ has implemented a range of actions over FY26 to improve its approach to manage compliance, with further actions planned as part of the Group’s RAPs. Data The risk of failing to appropriately manage and maintain data, including all types of data, for example, client data, employee data, and the organisation's proprietary data, having regard to business objectives and legal, compliance and regulatory objectives. Management As reviewed and approved by the enterprise information management committee, BOQ's data risk management framework sets guiding principles and formalises the approach for the consistent management of data risk across the Group in alignment with the RMS and guidance contained in Prudential Practice Guide CPG 235 Managing Data Risk. Conduct The risk of failing to act in accordance with customers' best interests, fair market practices and codes of conduct. Management Conduct risk is considered in the context of customers’ interests and is overseen by the group risk, compliance, legal and people functions. It is managed through the compliance risk management framework and supporting policies standards and processes to support good customer outcomes. BOQ’s day to day operations involve managing a range of risks (material risks). The following categories of risk have been identified as the material risks for BOQ: capital management, liquidity and funding risk, credit risk, market risk, strategic risk, sustainability risk, operational risk, third party risk, data risk, people risk, technology risk, information security risk, compliance risk, conduct risk and financial crime risk. In addition, BOQ also considers emerging risks, including AI and geopolitical risks, as part of our internal and external operating environment and in alignment with regulatory insights. 50 Bank of Queensland Limited and its Controlled Entities
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Material risks. Market The risk of an adverse impact on earnings resulting from changes in the value of the Group's positions as a result of a change in financial market factors, such as foreign exchange rates, interest rates, commodity prices and equity prices. This includes interest rate risk in the banking book - the risk to income from a mismatch between the duration of assets and liabilities that arises in the normal course of business activities. Management The Group's treasury and financial markets risk policies detail the risk appetite, governance and control frameworks for traded and non-traded market risk, including principles which act as the litmus test for effective management of this risk. In addition, a comprehensive limit framework is maintained that controls all material market risks, including value at risk, stress and scenario testing, position limits, loss limits and monitoring. Liquidity and funding The risk that the Group cannot meet its payment obligations or that it does not have the appropriate amount, tenor and composition of funding and liquidity to support its assets or to meet regulatory requirements. Management A diverse and stable pool of high- quality liquid assets, adequate liquidity buffers, short-term funding capacity, to withstand periods of disruption, and diversified potential long term funding sources is maintained. This includes a strategic focus on growing a core stable retail customer deposit base. This risk is governed by treasury and financial markets risk policies, liquidity and funding risk appetite statement, liquidity stress testing policy, contingency funding plan and Group recovery plan. Information security The risk of information security incidents, including the loss, theft or misuse of data/ information, including all types of data (e.g. client data, employee data and the organisation's proprietary data), and can include the failure to comply with rules concerning information security. Management Information security risks are managed through dynamic risk assessments by monitoring the threat landscape and the effectiveness of information security controls. Practices are governed through key documents such as the Information Security Policy and Cyber Security Strategy. Information security risk is also managed in accordance with the Operational Risk Management Framework ( ORMF ). Financial crime The risk of BOQs products, services, customers or channels being used to facilitate money laundering, terrorism financing, proliferation financing or other forms of financial crime. Management Broadly, the Group's AML/CTF obligations are managed through the customer lifecycle. There is an AML/CTF Compliance Officer responsible for the maintenance and oversight of this program as well as Board and senior management oversight and approval. In addition to progress under the RAP, the Group has commenced work to implement changes to comply with the Anti-Money Laundering and Counter-Terrorism Financing Amendment Act 2024 and maintains open engagement with AUSTRAC on the implementation of the new legislation and the ongoing AML First progress. Operational The risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. Management The Group's ORMF defines the approach to operational risk management and is supported by underlying policies and standards. The ORMF also informs the running of divisional risk committees to ensure risk monitoring and profiling is effective throughout the business. 2026 Annual Report 51
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Material risks. Third party The risk that a service provider (or its subcontractors/fourth parties) fails to deliver products or services in accordance with BOQ’s requirements due to inadequate governance, oversight or risk management, resulting in adverse impacts to customers, operations, compliance, financial performance, reputation or the achievement of BOQ’s strategic objectives. Management All agreements are subject to initial and ongoing due diligence and monitoring under a suite of supplier policies and standards, including where an arrangement is material. Compliance with CPS 230 and CPS 234 is considered as part of this due diligence and monitoring. Third party risk is also managed in accordance with the ORMF. Strategic The risk that the Group makes inappropriate strategic choices, does not implement its strategies successfully, or does not respond effectively to changes in the operating environment. Management The risks identified through the Group’s strategic planning process and execution are governed through the RMS and ORMF. These risks are measurable through clear objectives, benefits and roadmaps with milestones, and are governed through appropriate forums on an executive and Board level. Technology The risk associated with the failure or outage of systems, including hardware, software, network infrastructure, cloud resources and data assets. Management The Group's technology architecture ensures there is review, governance and approval channels that provides sound management and sustainability of technology investments. This is supported by development, testing, change and release management, and an IT incident management team. Technology risk is also managed in accordance with the ORMF. People The risk of breaching employment legislation, mismanaging employee relations, failing to ensure a safe work environment and creating an environment for people that is not conducive to achieving Group strategy and objectives. Included within people risk is people management risk, described as the risk that the Group fails to achieve its strategic goals due to lack of adequate human resources. This includes insufficient staffing levels, lack of skilled personnel, high turnover rates, and inadequate leadership, training and development programs. Management Led by people and culture, leaders across the organisation play a key role in managing people risk, together with BOQ Group purpose and values and Code of Conduct. People policies and frameworks inform learning programs, pulse and culture surveys, employee development, wellness and remuneration. These are governed by the Board Risk Committee and People, Culture & Remuneration Committee. Sustainability The risk that the Group fails to comply with sustainability related environmental, social or governance regulatory requirements or to recognise and appropriately respond to stakeholder expectations or concerns. Management The Board delegates the day-to-day management of sustainability risks and opportunities, including climate change, to management and its committees, where appropriate. The executive committees are accountable for actions and commitments to embed climate change into business strategy and risk management. The Sustainability Committee supports the executive committees with the development and implementation of sustainability initiatives and reporting requirements. The Group’s processes for identifying and assessing sustainability-related risks including climate are integrated into Group-wide risk management activities. Refer to pages 54 to 79 for further details on management of climate risk. 52 Bank of Queensland Limited and its Controlled Entities
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SUSTAINABILITY REPORT . 2026 Annual Report 55
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Sustainability Report. Basis of preparation. Statement of compliance The Climate Statements contained within the Sustainability Report have been prepared in accordance with the Corporations Act 2001 (Cth) and the Australian Sustainability Reporting Standard AASB S2 Climate-related disclosures ( AASB S2). They represent the climate-related financial disclosures for Bank of Queensland Limited and its controlled subsidiaries (the Bank or the Group) for the year ended 31 August 2026. The Climate Statements were authorised for issue by the Directors on 14 October 2026. The Directors have the power to amend and reissue the Climate Statements. The Climate Statements have been prepared for the same consolidated reporting entity as the Group’s Consolidated Financial Statements, as described in Note 1.2 Basis of preparation on page 151. Transition reliefs For the year ended 31 August 2026, being the first annual reporting period in which AASB S2 applies to the Group, the Group has applied the following transition reliefs (1) in preparing the Climate Statements: • No disclosure of Scope 3 greenhouse gas (GHG) emissions has been made in this report, including the methodologies and judgements used in their calculation, for the current and comparative periods. • The Group has voluntarily disclosed comparative information for Scope 1 and Scope 2 emissions with GHG accounting methodologies applied consistently across the current and comparative periods. Early adoption of amendments to AASB S2 The Group has elected to voluntarily early adopt AASB S2025-1 Amendments to Greenhouse Gas Emissions Disclosures in the current period, prior to it being mandatory for the Group in the financial year beginning 1 September 2027. Due to the transition reliefs applied, those provisions early adopted are specific to the Scope 1 and Scope 2 GHG emissions, paragraphs 29(a), B21-B22, B24 and B28. The Group’s climate-related position The following is an outline of the key climate-related commitments and bodies to which the Group is connected: • The Bank is a signatory of, and remains committed to the United Nations Environment Programme Finance Initiative's (UNEPFI) Principles for Responsible Banking (UN PRB). • The Bank also remains committed to the objectives of the Paris Agreement, including the transition to a lower-emissions economy aligned with limiting global temperature rise. • The Bank is no longer a member of the Net-Zero Banking Alliance (NZBA), which ceased operations as a membership- based alliance in October 2025. The Bank continues to reference the UN PRB’s publicly available Guidance for Climate Target Setting for Banks as a relevant industry framework. (1) In doing so the Bank is applying the transition reliefs in AASB S2 Appendix C, paragraph C4(b). Ecologist Jemma Manfre and a Bilby Ecologist Jemma Manfre releasing a Greater Bilby after annual survey at Mt Gibson Wildlife Sanctuary Credit: Robin Sinclair and Australian Wildlife Conservancy (AWC) 56 Bank of Queensland Limited and its Controlled Entities
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Sustainability Report. Use of significant judgements and measurement uncertainty The preparation and presentation of the Climate Statements involve the application of judgement to ensure that disclosed information is relevant, reliable and informative. Measurement uncertainty may arise due to factors such as data limitations or variability, the use of proxy information, external influences, and forward-looking assumptions. The significant estimates and judgements applied in preparing the Climate Statements are outlined below, with further detail as to how they are applied provided throughout the report. Significant judgements Area Description Material information Judgement was applied in determining which climate-related information is material for disclosure, including the identification, assessment and prioritisation of risks and opportunities that could reasonably be expected to affect the Group’s financial position, performance or prospects. This includes consideration of both qualitative and quantitative factors, informed by stakeholder information needs, expected financial impacts, and alignment with AASB S2 requirements. Identifying climate- related risks and opportunities (CRROs) Judgement was applied in identifying and analysing the CRROs that could reasonably be expected to affect the Group, including the level of materiality, where CRROs arise across the Group’s value chain, and the time- horizons over which they may affect the Group. CRROs are determined through stakeholder engagement and expert input and are based on information available at the reporting date. Time horizons The Group applied judgement in determining the appropriate time horizons to adopt for the assessment and disclosure of its CRROs. The short term and medium term time horizons align with the Group’s business planning cycle, including the five year strategy and planning period. Time horizons used for CRROs are defined as follows: • short term - less than one year • medium term - one to five years • long term - five to twenty-five years. Current and anticipated financial effects Judgements were made in determining the extent to which CRROs impact financial performance, financial position and cash flows of the Group. This includes determination of whether impacts are identifiable, reliably quantifiable and material to users of the financial reports. Forward-looking disclosures are inherently judgemental as they may rely on outputs from climate scenario analysis (CSA) and evolving modelling approaches. CSA inputs and assumptions Judgement was applied in determining the Group’s CSA approach, including the decision to undertake a qualitative assessment in the current period due to limitations in data availability, quality and coverage required for robust quantitative modelling. In the current period, CSA is qualitative in nature only and relies on emerging data sources and methodologies. Judgement was also exercised in selecting two plausible and contrasting climate scenarios to assess potential impacts across the Group’s business model and value chain. GHG emissions framework and organisational boundary Judgment was applied in selecting the GHG Protocol and Partnership for Carbon Accounting Financials (PCAF) methodology as the appropriate framework for measuring and reporting GHG emissions. Judgement was also applied in determining relevant emission sources for inclusion. These judgements establish the basis by which emissions are measured and reported and are material as they directly impact the scope, completeness and comparability of the disclosures. Calculation methodology – GHG emissions The Group applied judgement in selecting the most appropriate methodologies to calculate Scope 1 and Scope 2 GHG emissions. Judgement was applied in determining relevant categories and materiality thresholds, and use of emissions factors and proxies where direct data is unavailable. Data sources used are aligned to PCAF guidance. Assessment of activities vulnerable to climate- related risks Judgement was applied in determining which assets and business activities are vulnerable to climate-related risks, including the selection of risk drivers, scenarios, methodologies and thresholds to apply. Portfolio characteristics, assumptions and proxies are used to assess potential exposure and align outcomes with the Group’s risk framework. 2026 Annual Report 57
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Use of significant judgements and measurement uncertainty (continued) Measurement uncertainty Area Description GHG emissions Measurement uncertainty arises due to reliance on third-party data, use of emissions factors, evolving methodologies, proxy-based estimation techniques and extrapolations. The availability and quality of emissions data vary by category, portfolios, geographies and asset classes. As emissions measurement methodologies continue to evolve, and as the Group gains a deeper understanding of the impacts of mandatory reporting on its value-chain stakeholders, improvements in data availability and quality may result in different reported GHG emissions outcomes over time. Assessment of activities vulnerable to climate-related risks The assessment is subject to significant uncertainty due to its forward-looking nature and reliance on CSA, assumptions and proxy data. Outcomes are sensitive to changes in inputs, methodologies and climate scenarios. Current and anticipated financial effects Measurement uncertainty arises in determining and quantifying the anticipated financial effects resulting from each CRRO. In the current period, the Group has undertaken a qualitative assessment of anticipated financial effects only. Available data remains insufficient in completeness and reliability to support the quantification of anticipated financial effects. As a result, significant measurement uncertainty exists, and any quantitative estimates would not currently be considered sufficiently reliable or decision-useful. CSA inputs and assumptions CSA and climate resilience assessment are subject to inherent uncertainty due to the long term and complex nature of climate risks. Outcomes are sensitive to the frequency and severity of physical climate events as well as changes in regulatory, policy and market conditions, which influence climate and transition pathways over time. The analysis relies on emerging data sources and methodologies, management judgement and climate scenarios. Key uncertainties are: • the changing frequency and severity of physical climate risks • the pace and coordination of domestic and international decarbonisation, including the timing, stringency and enforcement of climate-related policy and regulation • macroeconomic outcomes of the transition, including impacts on GDP growth and capital allocation. Sustainability Report. 58 Bank of Queensland Limited and its Controlled Entities
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Governance. Board oversight of CRROs The Board and its Committees oversee CRROs in accordance with their respective Charters. The Board holds the ultimate accountability for the overall climate-related leadership, including the approval and overseeing of strategies designed to respond to CRROs and ongoing risk management. Board The Board has ultimate oversight of the Group’s sustainability strategy, including CRROs. It approves key sustainability policies and disclosures, and monitors management’s delivery. The Board is informed through regular reporting from management and its committees on sustainability performance, material climate and sustainability risks. In the current period, the Board was directly informed on various climate and sustainability topics three times. Board Audit Committee (BAC) Oversees the integrity and quality of sustainability reporting including climate-related disclosures. It reviews key judgements, methodologies and controls underpinning disclosures and recommends reporting for Board approval. Board Risk Committee (BRC) Oversees the embedment and effectiveness of the Group’s Risk Management Framework, this includes sustainability risks for which climate-related risk is a sub-set. It supports the Board in setting, monitoring and overseeing risk appetite, of which is informed through regular risk reporting from management via the annual Material Risk Report. Nomination and Governance Committee (NGC) Supports effective oversight by reviewing Board composition, capability and governance frameworks, including consideration of relevant skills and experience. The NGC is informed through periodic Board performance reviews, capability assessments and updates on governance developments. Further information about the Board and its Committees, including changes in composition and meeting attendance throughout FY26, is included on pages 33 to 35 in the Corporate Governance section of the Annual Report. Board competency and upskilling The Board skills matrix is included on pages 35 to 36 of the Corporate Governance Section in this Annual Report. The skills matrix includes Sustainability and Stakeholder Engagement as a requisite skill. Although climate is not a standalone requisite skill within the matrix, climate-related competencies are assessed through the Sustainability and Stakeholder Engagement requisite. To support the continuing education and professional development of Directors, in the current period, the Board attended a climate capability session facilitated by the University of Queensland focusing on the application of climate to the Group’s value chain. Board consideration of climate strategy and targets In accordance with its Charter, the Board and its Committees are responsible for the overall strategy and direction of the Group and for approving the Group Risk Appetite Statement and Risk Management Strategy. Through its oversight of CRROs, the Board and its Committees consider the associated trade-offs, including the timing and nature of risk management responses and the balance between adaptation and mitigation measures. As part of its annual review and approval of the Group's strategy and business plans, the Board considers material matters that may affect the Group's long term performance and prospects, including relevant sustainability- related topics. The Group does not have a standalone climate strategy. Climate-related considerations are assessed, where relevant, through the Group's existing governance, risk management and decision-making processes. The Group has not established climate-related targets as at the reporting date. Any future climate-related targets would be subject to Board approval and oversight through the Group’s governance and Risk Management Framework. Sustainability Report. 2026 Annual Report 59
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Sustainability Report. The role of management The Board retains oversight of the Group’s approach to climate change, with day-to-day management of the approach to climate change delegated to the Managing Director and Chief Executive Officer (MD&CEO) and Chief Financial Officer (CFO). Further delegation is made to management and committees, where appropriate. The Executive Committees are accountable for actions and commitments to embed climate change into business strategy and risk management. The Sustainability Committee, chaired by the CFO, supports the Executive Committees and meets at least four times a year. It includes general managers and senior management from the wider business with sustainability responsibilities, including climate-related topics. The Sustainability Committee is responsible for overseeing the Group’s sustainability strategy, risk management, governance, and reporting. The Committee also supports the governance of CRROs by overseeing the Group’s climate priorities and policy implementation. It provides strategic guidance, monitors compliance with evolving regulatory and governance requirements, and ensures appropriate risk management controls are in place. The Committee also reviews and endorses sustainability reporting and disclosures, advising on metrics, transparency, and assurance to support consistent and reliable communication with stakeholders. The sustainability team sets priorities, advises on emerging risks and reporting requirements, and ensures alignment with external standards and stakeholders. The Group manages CRROs through coordinated sustainability, operational, and procurement activities led by management, of which the Board is informed through the existing reporting and governance process. Executive remuneration The Group assesses executive performance against strategic priorities through a combination of the Group Scorecard and individual scorecards. The MD&CEO is assessed against the Group Scorecard, while other Executives are assessed through a balanced combination of Group and individual scorecard outcomes. The Chief Risk Officer is assessed solely against an individual scorecard. All Group Executives are assessed against risk management objectives. Progress against the Group Scorecard is reported quarterly to the Executive Committee and the Board. As at the reporting date, the Group does not incorporate specific climate-related performance metrics or targets within its executive remuneration frameworks. From FY27 the Group intends to incorporate specific climate-related performance metrics for the relevant executives. Further information is provided on pages 118 to 125 of the Remuneration Report in this Annual Report. 60 Bank of Queensland Limited and its Controlled Entities
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Strategy. The Group recognises the importance of addressing climate change and incorporating CRROs into its decision-making. The Group is in the early stages of building its approach to incorporating climate into the broader business strategy and acknowledges its role in supporting customers and the broader economy as CRROs evolve. The approach is intended to support its customers, communities, people and shareholders, while contributing to sustainable economic growth. Business model and value chain The Group’s business model is centred on providing retail and business banking services, including but not limited to, home lending, commercial lending, asset finance and deposit products to customers across Australia. To support this business model, the Group’s end to end value chain is focused on distribution and manufacturing of banking services to support retail and business bank customers. The Group operates across all Australian states and territories, with lending exposures concentrated in Queensland, New South Wales and Victoria. Climate-related risks and opportunities The Group’s business activities and assets are spread across a wide range of sectors and geographies that could inherently expose the business model to CRROs across the short, medium and long term. Given the nature of the Group’s business model, all CRROs have been considered within the context of the Australian retail and business banking sector. The Group’s exposure to CRROs is primarily linked to its role as a provider of finance. Physical climate risks are most relevant to the Group’s downstream residential and business lending portfolios, where changes in economic conditions, sector transition pathways and physical climate impacts may influence customer cash flows, credit risk and asset values, including the value of collateral securing the Group’s lending exposures. Transition risks may affect the Group through both its lending activities and broader banking operations, reflecting the systemic nature of climate-related risks in the financial sector. These risks may arise through customer exposures to transition-sensitive sectors, affecting credit origination and portfolio performance, and through upstream capital markets, where changing investor, regulatory or market expectations may influence treasury, liquidity and funding conditions. Climate-related factors may also influence funding conditions and, to a lesser extent, the Group’s operations. CRRO identification and analysis The Group has undertaken a structured and iterative process to identify the CRROs that could reasonably be expected to affect its prospects over the short, medium and long term. CRROs are prioritised based on their relevance to the Group’s business model and value chain, and their potential to affect the Group’s prospects over the time horizons. In prioritising the list of CRROs disclosed on pages 62 to 64, management considered the nature of each risk, as well as the likelihood and magnitude of potential impacts. The Risk Management section on pages 69 to 70 of this report outlines the process undertaken by the Group to identify, manage and prioritise CRROs. This includes details on the Group's risk rating methodology which was applied in determining the CRROs for prioritisation. The identified CRROs reflect the Group's underlying climate-related exposures, with mitigation and adaptation efforts considered separately as part of the assessment. In 2026, the Group undertook a detailed assessment to understand its exposure to physical and transition risks, as well as climate- related opportunities. From the analysis, three climate related risks were identified which could reasonably be expected to affect the Group’s prospects over the short, medium or long term. Six plausible transmission channels (1) and potential impacts were identified by which these risks could reasonably be expected to impact the Group’s future prospects across its time horizons. These risks and transmission channels are presented in the tables below. As part of the assessment, potential opportunities arising from the transition to a lower-emissions economy were also considered. Based on the reasonable and supportable information available at the reporting date, there were no climate-related opportunities identified that could reasonably be expected to affect the Group’s prospects over the short, medium or long term. (1) The Bank adopts the NGFS definition of transmission pathways for climate risks, reiterated in the paper Basel Committee on Banking Supervision - Climate-related risk drivers and their transmission channels. The paper defines transmission channels as the causal chains linking climate risk drivers to the financial risks faced by banks and the banking sector. They can also be viewed as the way through which climate change might materialise as a source of financial risk. Sustainability Report. 2026 Annual Report 61
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Sustainability Report. Physical risks Acute and chronic climate hazards impacting customers, operations and insurance Overview Acute and chronic climate-related events impacting customers’ operations may increase credit risk and reduce collateral values, and drive second order impacts including market value volatility, funding and liquidity pressures, and higher capital needs. Increasing insurance unaffordability or unavailability (including underinsurance) in hazard- exposed locations may reduce customers’ financial resilience to physical events and amplify collateral devaluation and loss severity. Time horizon Impacts are low in the short term; however, they are expected to increase progressively over the medium term and become elevated in the long term. Short term Medium term Long term < 1 year 1-5 years 5-25 years Potential impacts Physical risks may disrupt customer operations, adversely affecting revenues and cash flows, while also reducing collateral values and increasing loan-to-value ratios ( LVRs), default risk and loss severity. These impacts may extend to exposures originated by the Group but held by other institutions, potentially affecting origination volumes, business income, and serviceability. Physical risks may also reduce the availability and affordability of insurance and contribute to land use or zoning changes that further constrain insurability and asset use. Reduced or lapsed insurance coverage may increase the Group’s exposure to collateral damage and customer default, resulting in further pressure on collateral values, customer cashflows, credit quality and portfolio resilience over time. Physical risks may impact downstream lending, due to the potential impacts to customer cashflows, impacting the Group’s financial returns. The potential impact may become more significant in the long term as the severity and frequency of physical climate-related impacts intensify. Anticipated financial impact In the short term, climate-driven impacts on BOQ customer operations are expected to be limited. In the medium to long term, as insurance availability and costs risk rise with increasing physical risk severity and frequency, the level of insurance coverage across the Group’s portfolio may decline as customers reduce coverage or choose not to insure. The Group’s exposure across high climate risk regions could also heighten in the long term. Together, this could have a financial impact due to higher LVRs and increases in the probability of default, resulting in higher provisions for loan losses and reducing interest income. Mitigation and adaptation efforts The Group requires customers to maintain insurance on property collateral, with confirmation of insurance validated at loan origination. While ongoing validation is not currently embedded as a standard monitoring activity, the Group expects to continue reviewing and, where appropriate, enhance its insurance-related controls and monitoring practices as physical climate risks evolve over the medium and long term. 62 Bank of Queensland Limited and its Controlled Entities
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Transition risks Transition risk impacts from customer exposures and funding market expectations Overview Customers with high GHG emissions or high exposure to transition drivers may create strategic, reputational or performance risk for the Group. This may present through portfolio misalignment with publicly stated commitments, sector repricing or stranded-asset dynamics, changes in customer demand, competitive positioning, and rising cost of capital and funding. These impacts could potentially flow through to credit risk, market value and investor pressure. The Group may be exposed to this transition risk through two primary channels: customer exposures to emissions-intensive or transition- vulnerable sectors, and broader market, investor and funding expectations relating to the Group’s climate risk profile. Time horizon Impacts are expected to emerge in the medium term and become more pronounced in the long term. Short term Medium term Long term < 1 year 1-5 years 5-25 years Potential impacts Customers with high GHG emissions or exposure to transition drivers, including policy, technology, market shifts and stakeholder expectations, may face higher capital and operating costs, changes in demand or asset repricing. This may affect customer financial resilience and increase credit risk within the Group’s lending portfolio, particularly in emission-intensive sectors such as agriculture and transport. Separately, the Group may be exposed to transition-related funding and market impacts where regulatory developments, investor expectations or wholesale funding market conditions influence perceptions of the Group’s climate risk profile. This may impact the Group through its upstream value chain, as regulatory developments contribute to higher funding spreads, reduced investor demand or more constrained access to debt and equity markets over time. Anticipated financial impact Transition risk may increase credit risk where customers in emissions-intensive or transition-vulnerable sectors face higher costs, changing demand or asset repricing. For lending exposures, this may weaken customer cash flows and debt serviceability, contributing to higher default risk and credit provisions over the medium to long term. Separately, broader market, investor and funding expectations relating to the Group’s climate risk profile may result in higher funding spreads or more constrained market access over time. Mitigation and adaptation efforts Given the medium to long term nature of this risk and the ongoing development of the Group’s climate risk assessment capabilities, management of related exposures occurs through existing business-as-usual risk management, portfolio monitoring and funding management practices. The Group will continue to assess opportunities to enhance climate-related controls and management processes as climate risk capabilities, data availability and industry practices mature, to support ongoing management of transition risk. Sustainability Report. 2026 Annual Report 63
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Evolving regulation, disclosure and conduct risk Overview Emerging and evolving climate-related regulation, prudential expectations and mandatory disclosure requirements may increase the Group’s regulatory, legal and conduct risk. This includes the risk of non-compliance, inadequate governance or controls, data and reporting deficiencies, and exposure to greenwashing and greenhushing allegations where disclosures, public statements or delivery progress are not aligned. These risks may also affect the Group’s reputation, stakeholder confidence and competitive positioning over time. The Group may be exposed to this transition risk through two primary channels: evolving regulatory and disclosure expectations, and stakeholder perceptions relating to the Group’s climate-related response. Time horizon Impacts are relatively lower in the short term, expected to increase in the medium term, with the potential to become significant in the long term. Short term Medium term Long term < 1 year 1-5 years 5-25 years Potential impacts Increased regulatory and disclosure expectations may require additional investment in governance, controls, systems, data, assurance and reporting capability. This may increase compliance costs and, over time, influence capital management where climate- related considerations are incorporated into prudential frameworks. Separately, failure to meet evolving regulatory, disclosure or conduct expectations may also result in reputational impacts, regulatory scrutiny or reduced stakeholder confidence. These impacts could affect customer and investor perceptions of the Group’s climate risk profile and, indirectly, its competitive position and market share. This could impact downstream segments such as business and household lending, which could result in reduced growth and profitability. Anticipated financial impact Financial impacts may arise through higher compliance, assurance, governance and reporting costs as climate-related regulatory and disclosure requirements mature. Over time, climate-related prudential expectations may also affect capital requirements, cost of capital and capital allocation flexibility. Additional impacts may arise where reputational or conduct-related matters affect stakeholder confidence, customer growth, investor perceptions or competitive positioning, with potential downstream effects on funding outcomes and profitability over the long term. Mitigation and adaptation efforts The Group has controls and processes in place to monitor and assess this broader risk; however, it has not implemented climate- specific controls to mitigate the risk at this time. In relation to potential capital management impacts, existing capital management, forecasting and stress-testing processes provide mechanisms to monitor, assess and respond to potential changes in capital requirements. The appropriateness of these processes will continue to be reviewed as climate-related prudential expectations and methodologies develop. Sustainability Report. 64 Bank of Queensland Limited and its Controlled Entities
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Sustainability Report. Current financial impact The Group assessed the impact of CRROs on its financial position, financial performance and cashflows, considering any known climate events in the current year. The analysis showed no material impact to the Group in the current period, nor is there expected to be any material adjustment in the next reporting period. Response to CRROs The exposure reflects key areas through which climate- related factors may influence the Group’s lending portfolios, operations and broader financial position over time. While the identified CRROs are considered material to the Group’s prospects from a risk exposure perspective, the current assessment did not identify material current or anticipated financial effects based on reasonable and supportable information available at the reporting date. Accordingly, the Group does not consider any change to its business model or strategy necessary in the current period. The Group remains focused on refining and monitoring the identified CRROs, strengthening climate risk capabilities and ongoing assessment, including climate scenario analysis. These activities are intended to improve the Group’s understanding of exposures across climate- sensitive sectors and geographies, supporting capability uplift to better inform business decisions. The Group’s business model remains centred on its existing retail and business banking model, underpinned by a strategy to generate long term sustainable returns. While the Group has not made any changes to its existing strategy to take advantage of any potential climate-related opportunities, it continues to embed climate considerations into existing risk management and governance processes. This provides for a strong foundation for any future climate- related changes to be made. 2026 Annual Report 65
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Sustainability Report. Climate scenario analysis Scenario analysis is used to support the assessment of climate resilience by considering a range of plausible future states reflecting both transition and physical climate risks. It provides insight into how the Group’s business model and risk profile may respond under different climate pathways and supports an assessment of its ability to adapt to changing conditions over time. Due to limitations in the availability, quality, and coverage of the data required to support a robust and credible modelling exercise, quantitative modelling of the financial impacts of CRROs under climate scenarios was not conducted in the current financial period. The Group has undertaken a qualitative assessment of CRROs and detailed on pages 62 to 64 the potential impacts to the value chain that were identified through this analysis. Management determined the best approach to be continuing to establish the foundations required to support future quantification, rather than producing results with a high degree of uncertainty. This approach included identifying key data gaps, improving understanding of data requirements, and defining the processes needed to collect, maintain, and govern the datasets. The Group intends to progressively include quantitative analysis to support future disclosures as data availability, quality and methodologies mature. Scenario selection The Group applied an approach proportionate to its current level of climate risk maturity, designing two distinct and plausible scenarios covering a range of temperature outcomes. The scenarios were selected to meet regulatory requirements while providing contrasting risk profiles across transition and physical risk dimensions, and to support a balanced and decision-useful assessment of the potential impacts on the Group’s strategy and financial position. In the current period, qualitative scenario analysis was conducted across key CRROs to understand how impacts may evolve across our business model and value chain. The low-warming scenario reflects an orderly transition broadly aligned with limiting global warming to ~1.4°C by 2100. The high-warming scenario reflects a disorderly, high-emissions pathway resulting in ~3.6°C warming by 2100. A summary of the scenarios used in the analysis is provided below. Scenario Low-warming High-warming Scenario details SSP1-1.9 (~1.5°C) SSP3-7.0 (>2.5°C) Global temperature rise Achieves Paris Agreement goals. Estimated rise of ~1.4°C by 2100. Estimated rise of ~3.6°C by 2100. Description Represents a pathway aligned with the Paris Agreement. Assumes strong climate policy, coordinated global action and rapid decarbonisation. Represents a higher-emissions pathway with limited climate policy action. Assumes geopolitical fragmentation and delayed or absent decarbonisation. Key scenario sources IPCC(1): SSP(2) 1-1.9 (SSP1-2.6 proxy data for physical risks) NGFS(3): Highway to Paris (short term), Net-Zero by 2050 (long term) IPCC(1): SSP3-7.0(2) NGFS(3): Disasters and Policy Stagnation (short term), Current Policies (long term) (1) IPCC: Intergovernmental Panel on Climate Change is the United Nations body charged with overseeing climate change and publishing the global climate models. (2) SSP: Shared Socioeconomic Pathways are five plausible scenarios used in climate research, they have been formally adopted by and integrated into the IPCC. (3) NGFS: Network for Greening the Financial System is a global coalition of central banks and financial supervisors with a goal to manage environmental and climate risks in the climate sector. The coalition includes RBA and APRA. 66 Bank of Queensland Limited and its Controlled Entities
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Climate scenario analysis (continued) Low-warming ~1.5°C Scenario details Under the low-warming scenario, risks are primarily driven by the transition to a lower-carbon economy. In the short to medium term , strong policy settings, rapid technological change and shifting market expectations may increase costs for customers, including capital expenditure and operating cost pressures, leading to potential stress on borrower cashflows and credit quality. These transition dynamics may also contribute to sector repricing and changes in demand, with implications for portfolio composition and alignment with climate commitments. In the long term, transition risks are expected to stabilise as decarbonisation progresses, with comparatively lower physical risk impacts relative to the high-warming scenario. Key assumptions • Strong and coordinated global climate policy including regulatory tightening and alignment with Paris Agreement objectives. • Rapid decarbonisation, driven by accelerated technology development and adoption. • Relatively stable macroeconomic conditions, with climate-related impacts absorbed over time without significant disruption. • Increasing transition pressures on customers, including higher capital and operating costs. • Moderate physical risks over time, relative to higher warming scenarios. • Ongoing changes in market dynamics and investor expectations, supporting a lower-emissions pathway. Outcomes of analysis In the short term , coordinated climate policy and transition momentum is expected to build, with limited near term impact on funding, credit or market dynamics. In the medium term , transition pressures increase costs for emissions-intensive borrowers but do not translate into significant credit risk for the Bank. Capital demand increases to fund the transition, having an inflationary effect, increasing market interest rates and cost of funding. In the long term, while exposure is higher than present day, borrowers are more resilient due to early adaptation. Reputational risk continues to influence how pricing and credit access is applied across sectors. High-warming >2.5°C Scenario details Under the high-warming scenario, risks are primarily driven by increasing physical climate impacts over time. In the short term , impacts are comparatively limited, although emerging pressures may begin to affect specific geographies or sectors. In the medium to long term , more frequent and severe weather events, alongside chronic climatic changes, may disrupt customer operations, reduce asset values and constrain insurance availability and affordability. These impacts may increase borrower default risk and loss severity and contribute to concentration risk in climate-exposed regions, while transition risks may emerge later in a more disorderly manner. Key assumptions • Limited or delayed climate policy action and geopolitical fragmentation. • Slower technological transition, with continued reliance on higher-emissions activities. • Increasing frequency and severity of physical climate hazards. • Greater impacts on customers and asset values due to physical disruption and insurance constraints. • Reflects a more disorderly or delayed transition. Outcomes of analysis In the short term , while physical hazards may drive localised borrower impacts, credit quality and market dynamics remain largely unchanged. In the medium term , global fragmentation and a worsening physical climate drive higher costs for customers, placing pressure on cashflows, while inflation risks may increase the Group’s overall funding costs. By the long term, without adaptation, severe physical impacts drive sustained borrower stress, resulting in the potential for portfolio level credit risk. Sustainability Report. 2026 Annual Report 67
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Climate scenario analysis (continued) Capacity to adapt strategy and business model The analysis demonstrates the resilience of the Group's current business model. As a result, no material changes to the Group's strategy or business model were made in the current period. The analysis also indicated that some of these sources of resilience may become more constrained over time under certain climate- related scenarios. The Group recognises the evolving nature of the CRROs and with this, will seek to refresh and refine its approach to resilience over time. Climate transition plan A climate transition plan outlines an organisation’s approach to managing the transition to a lower-carbon economy in response to CRROs. It may describe planned actions, strategic priorities, targets, assumptions and dependencies that support the achievement of climate-related objectives and the adaptation of the business model over time. As at the reporting date, the Group has not established a standalone climate transition plan. Relevant information regarding the Group's management of climate-related transition risks is disclosed throughout these Climate Statements, including within the strategy, risk management, scenario analysis, climate resilience, and metrics and targets sections. The Group continues to assess and enhance its approach to transition planning, including the development of supporting assumptions, methodologies, governance arrangements and management actions, recognising that these areas are expected to evolve as data, capabilities and regulatory expectations mature. Sustainability Report. Climate resilience Overall, the qualitative scenario analysis indicates that the Bank’s current business model has a number of resilience characteristics across physical and transition risks, while also noting key limitations and dependencies. Several key areas are foundational to the Bank’s climate resilience, including: • Diversified lending portfolio: The Bank’s lending portfolio is diversified across asset classes, industries and geographies. • Limited exposure to emissions-intensive sectors: Financed emissions are primarily concentrated in agriculture and transport, with limited exposure to coal, oil and gas. • Borrower resilience: The Bank’s borrowers exhibit financial resilience through savings buffers, income flexibility and access to insurance coverage. • Predominantly secured lending portfolio: The Group’s portfolio is strongly weighted toward secured lending, with residential mortgages and commercial real estate accounting for the majority of total drawn exposure. • Operational and capital management flexibility: The Bank benefits from inherent structural flexibility in its business models, enabling the Bank to adapt lending, pricing, and capital allocation as risk conditions change. Scenario analysis highlighted that these sources of resilience may be subject to certain constraints and dependencies over time. These include: • Ongoing visibility over insurance coverage may be limited, as insurance is typically assessed at loan origination and is not consistently reassessed over the life of the loan. • External market dynamics, including the characteristics of the Australian mortgage market, may affect the extent and timing of the Group’s ability to adjust pricing and capital management settings in response to evolving climate-related risks. • Portfolio diversification may help reduce exposure to localised acute events; however, broader or more persistent chronic risks may affect multiple regions or sectors across the portfolio. 68 Bank of Queensland Limited and its Controlled Entities
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Risk management. Sustainability risk is recognised under the Group’s Risk Management Strategy and managed within the Group’s enterprise-wide Risk Management Framework. Sustainability risk, comprising Environmental (including Climate), Governance and Social risks, is classified within the Group’s risk taxonomy and assessed through the potential to affect, and be transmitted through, established financial and non-financial risk classes, including credit and operational risks. Over the past two years, the Group has made meaningful progress in integrating sustainability risk, including enhancements to risk identification, assessment and supporting data and metrics for monitoring and reporting. Further development is ongoing to support consistency of application across the Group. Further information on the Group’s Risk Management Framework is provided in the Risk Management Report on pages 46 to 47 of this Annual Report. Climate risk and opportunity management approach (1) Approach Sustainability risk drivers, including physical and transition climate-related factors, may impact the Group directly or indirectly through customers, counterparties and broader economic conditions. Accordingly, the Group seeks to manage these climate- related risks through existing risk management processes. For secured property lending, identified physical hazards are considered through applicable valuation and credit processes, which may result in escalation, loan approval conditions and requirements for evidence of insurance covering the identified risk. The management of climate risk continues to evolve in response to developments in methodologies, data availability, and regulatory expectations. Identify and assess CRROs are identified through a process that draws on external and internal sources, including climate data, scenario analysis, sector and portfolio insights and engagement across business and risk functions. This is informed by physical climate hazard data, transition pathway assumptions and portfolio exposure information, using reasonable and supportable information available at the reporting date to determine those risks and opportunities that could reasonably be expected to affect the Group’s prospects. The nature of exposure (including physical and transition), likelihood of occurrence across short, medium and long term time horizons (informed by scenario analysis and external data), and the magnitude of potential impact, including impacts on borrower cashflows, collateral values, portfolio performance, funding conditions and capital requirements are considered. CSA is used to inform and validate the identification of CRROs by identifying key risk drivers, transmission pathways and emerging risks under different climate pathways. Refer to the CSA analysis on pages 66 to 68 for further detail. Framework The approach to managing climate-related risks is set out in the suite of sustainability governing documents, which were implemented during the current reporting period. They provide a structured approach for assessing how sustainability risk drivers, including climate-related risks, transmit to risk classes (including credit, funding, capital and operational risk) across the Group’s risk taxonomy. These documents align with the Group’s broader risk management framework and establish the foundations for integrating climate-related risks into business-as-usual risk management activities. Prioritise Once identified, CRROs are subsequently prioritised by applying qualitative factors including the significance of portfolio exposure, sensitivity to climate drivers and potential financial or strategic impact. This prioritisation is undertaken within the context of the Group’s broader risk and financial materiality framework, enabling climate-related risks to be assessed and prioritised relative to other material risks. Sustainability Report. 2026 Annual Report 69
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Risk rating methodology Climate-related risks which have been identified for prioritisation are assigned inherent risk ratings based on the nature of the exposure, the likelihood of occurrence and the magnitude of potential impacts. The rating represents the level of exposure before considering the effect of controls, management actions or mitigating activities. Ratings are determined using the Group's risk rating methodology, which considers both likelihood and impact. These risks are then incorporated into the Sustainability Risk Register and are monitored by management on an ongoing basis. Climate-related opportunities Climate-related opportunities are identified through the Group’s existing risk and strategy processes. These include consideration of market and transition dynamics associated with the shift to a lower-emissions economy and the potential impacts to the Group’s lending portfolios. In the current reporting period, no material climate-related opportunities were identified that could reasonably be expected to affect Group’s prospects. Climate risk management roadmap In the current reporting period, the Group has focused on progressing implementation of its climate risk management roadmap. The roadmap describes how sustainability-related governance and risk management can be embedded across the Group. This includes establishing a qualitative sustainability risk appetite and undertaking qualitative CSA, ensuring potential risk impacts are identified, assessed and prioritised. The Group continues to develop its capabilities in climate risk management, including the expansion of scenario analysis, enhancement of data quality, and further integration into strategic planning and risk processes. Sustainability Report. 70 Bank of Queensland Limited and its Controlled Entities
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Metrics & targets. The Group adopts a measurement approach that aligns with both prevailing market and banking-industry practice, ensuring that reporting remains comparable. The following outlines the Group’s climate-related metrics and targets. There have been no changes to the measurement approach, inputs or assumptions used to estimate GHG emissions in the current reporting period. For further detail on the inputs, methods and assumptions used in estimating the GHG emissions refer to the measurement approach section detailed on page 73 of the report. Emissions reporting boundary The Group uses the operational control approach in determining its organisational and operational boundary for the purposes of measuring and disclosing GHG emissions. This approach provides the most accurate reflection of the emissions BOQ can directly influence, and results in the inclusion of all entities in the BOQ Consolidated Group, as disclosed within Note 5.4(a) to the Financial Statements. Accordingly, Scope 1 and Scope 2 GHG emissions represent emissions from activities considered within the Group’s operational control. The Group elected to apply the transition relief available under AASB S2 for first year reporting and therefore, has not disclosed Scope 3 emissions in this report for the current or comparative periods. Scope 1 and Scope 2 emissions performance The Group measures operational emissions in accordance with the Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (2004) (the GHG Protocol ). Scope 1 and Scope 2 operational emissions Absolute gross GHG emissions for the financial year ended 31 August (tCO 2-e) 2026 2025 Scope 1 emissions 237 270 Scope 2 emissions – location-based 2,425 2,785 Scope 2 emissions – market-based - - Scope 1 GHG emissions Scope 1 emissions arise from direct sources owned or controlled by the Group, this includes fuel consumed by the vehicle fleet. Scope 2 GHG emissions Scope 2 emissions arise from the generation of purchased electricity consumed by the Group in undertaking its operations, this includes electricity consumed at branches and offices. Under the GHG Protocol, Scope 2 emissions are calculated using two distinct methods, which are reported separately. The location-based method estimates emissions from the consumption of electricity, reflecting the average emissions intensity of grids on which energy consumption occurs. Where electricity is acquired through an electricity grid, consumption activity data is multiplied by relevant emissions factors to calculate the location-based emissions. Market-based emissions reflect the electricity products and renewable energy instruments the Group chooses to purchase, rather than the average emissions intensity of the electricity grid from which it consumes electricity. This reflects the Group's procurement of renewable electricity products such as GreenPower© and eligible renewable energy certificates such as Large-scale Generation Certificates (LGCs). The Bank is committed to source the equivalent of 100 per cent of electricity demands from renewables for the relevant reporting period by procuring and surrendering LGCs. During the reporting period, the procurement of Greenpower© accounted for 2,077MWh of total electricity purchased and the Bank applied a further 943 MWh of LGCs to achieve zero Scope 2 market-based emissions. LGCs applied in the reporting period include 379 MWh of LGCs that were acquired and surrendered in previous reporting periods and 564MWh of LGCs acquired and surrendered during the reporting period. This is consistent with the approach the Bank has taken to achieving zero Scope 2 market-based emissions since the year ended 31 August 2024. Accordingly, the Bank considers this to represent the continuation of an established procurement commitment rather than an emissions reduction target. Sustainability Report. 2026 Annual Report 71
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Sustainability Report. Other climate-related metrics Capital deployment During the reporting period, the Bank has not deployed material capital expenditure, financing or investment specifically to the management of CRROs. Expenditure for the period was immaterial and is primarily comprised of supporting foundational data, governance and reporting capability for the Group’s climate-related disclosures and broader sustainability program. Internal carbon price The Group does not currently apply an internal carbon price to inform business or investment decision-making. Climate-related transition risks The Group has quantified its exposure to transition risk by assessing the amount and percentage of lending associated with emissions-intensive industries. Based on this assessment, the Group has identified that lending to the agriculture sector ($1.0bn, 1.1 per cent of total assets) and the medium and heavy vehicles sector ($0.2bn, 0.2 per cent of total assets) represent the highest vulnerability to transition risk. These sectors do not currently have credible, science-aligned pathways to net zero, and as such, the Group considers these exposures to carry elevated transition risk over the medium to long term. Climate-related physical risks As at 31 August 2026, the Group has not completed quantitative analysis to assess its vulnerability to physical climate risks. Consistent with the approach outlined in the CRROs section of this report, the Group applied a qualitative assessment in the current period. The Group intends to progressively enhance its physical risk assessment capabilities as data and methodologies mature. Climate-related opportunities As at 31 August 2026, the Bank has not identified any material climate-related opportunities that could reasonably be expected to affect the Group’s prospects. Emissions targets Status and monitoring of climate-related targets As at the reporting date, the Group has not established formal climate-related targets for the purpose of monitoring performance against CRROs. This includes GHG emissions reduction targets, financed emissions targets, or other transition- related quantitative commitments. In the prior voluntary reporting period, the Group outlined its intention to establish climate-related targets in FY26. The CRROs identified in the current year presently do not require any change to the Group's strategy or business model. The Group will work to further strengthen underlying data, measurement approaches and governance processes to support the development of decision-useful targets. Over time, and as this foundation continues to mature, development of climate-related targets will be revisited. The Group holds an immaterial amount of carbon credits from residual commitments. The Group previously acquired and retired carbon credits to offset operational emissions and if targets are established in the future, will review the role of offsets within the Group’s strategy. 72 Bank of Queensland Limited and its Controlled Entities
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Measurement approach Scope 1 and scope 2 emissions Scope Method Emissions factor Activity data Key judgements and assumptions Scope 1 Average-data Emissions factors are obtained from the most recent Australian National Greenhouse Accounts ( NGA)(1) factors available at the beginning of the reporting period and are applied across all Scope 1 and Scope 2 emissions measurement. Activity data utilised in the calculation of GHG emissions is obtained from third party records such as invoices, contracts, supplier statements or the Australian Clean Energy Regulator's REC Registry and are supplemented by management estimates where data is not available. • Calculated by multiplying the amount of fuel combusted by relevant energy conversion and emission factors. Where activity data is not available, energy usage may be estimated based on extrapolating available data. Scope 2 (Location-based) (2) Activity-based • Electricity consumption is determined using invoice data where available, followed by estimates based on net lettable area and then full-time equivalent employee numbers. • Electricity consumption associated with the Group’s electric vehicle fleet was modelled based on the fuel efficiency (kWh per 100km) of each vehicle model and an estimated annual distance travelled. Scope 2 (Market-based) Activity-based • Electricity consumption is determined using invoice data where available, followed by estimates based on net lettable area and then full-time equivalent employee numbers. • Electricity consumption associated with the Group’s electric vehicle fleet was modelled based on the fuel efficiency (kWh per 100km) of each vehicle model and an estimated annual distance travelled. (1) The Group has determined NGA factors to be the most appropriate and verifiable factors. They are regularly published by the Australian Government, ensuring current, transparent and nationally consistent data aligning to Australia’s GHG inventory which is published at: https://www.dcceew.gov.au/climate-change/publications/national- greenhouse-accounts-factors-2025. (2) Emissions from landlord-provided heating and cooling for leased assets over which the Group has no operational control are recorded as Scope 3 operational GHG emissions (Category 8). Sustainability Report. 2026 Annual Report 73
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The Directors declare that in the Directors’ opinion, Bank of Queensland Limited has taken reasonable steps to ensure the substantive provisions of the Sustainability Report for the financial year ended 31 August 2026 set out on pages 56 to 73 are in accordance with the Corporations Act 2001 (Cth), including: a) section 296C of the act (compliance with the Australian Sustainability Reporting Standard AASB S2 Climate-related Disclosures); b) section 296D of the act (climate statement disclosures); and c) as modified by section 1707C. This declaration is made in accordance with a resolution of the Directors. Directors’ declaration. Andrew Fraser Chair 14 October 2026 Rod Finch Managing Director & CEO 14 October 2026 74 Bank of Queensland Limited and its Controlled Entities
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Independent Auditor’s Report. For the year ended 31 August 2026 PricewaterhouseCoopers, ABN 52 780 433 757 One International Towers Sydney, Watermans Quay, BARANGAROO NSW 2000, GPO BOX 2650 SYDNEY NSW 2001 T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.au Liability limited by a scheme approved under Professional Standards Legislation. pwc.com.au Independent Auditor’s Review Report on specified Sustainability Disclosures To the Members of Bank of Queensland Limited Review Conclusion We have conducted a review of the following specified Sustainability Disclosures in the Sustainability Report of Bank of Queensland Limited (the Company) and its controlled entities (together, the Group) for the year ended 31 August 2026 as required by Australian Standard on Sustainability Assurance ASSA 5010 Timeline for Audits and Reviews of Information in Sustainability Reports under the Corporations Act 2001 issued by the Auditing and Assurance Standards Board (AUASB): Specified Sustainability Disclosures Reporting requirement of Australian Sustainability Reporting Standard AASB S2 Climate-related Disclosures (AASB S2) (including related general disclosures required by Appendix D) Location in Sustainability Report Governance Paragraph 6 The governance disclosures presented on pages 59 to 60. Strategy (risks and opportunities) Subparagraphs 9(a), 10(a) and 10(b) The following physical risk on page 62: • Acute and chronic climate hazards impacting customers, operations and insurance The following transition risks on pages 63 and 64: • Transition risk impacts from customer exposures and funding market expectations • Evolving regulation, disclosure and conduct risk The information presented under the sub-heading ‘CRRO identification and analysis’ on page 61. Scope 1 and 2 emissions Subparagraphs 29(a)(i)(1) to (2) and 29(a)(ii) to (v) The following emissions disclosures: • Scope 1 emissions – 237 tCO2e • Scope 2 emissions (location-based) – 2,425 tCO2e • Scope 2 emissions (market-based) – 0 tCO2e The information presented under the heading ‘Measurement approach’ on page 73. 2026 Annual Report 75
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Independent Auditor’s Report. For the year ended 31 August 2026 The requirements of AASB S2, identified in the table above, form the criteria relevant to the specified Sustainability Disclosures and apply under Division 1 of Part 2M.3 of the Corporations Act 2001 (the Act). We have not become aware of any matter in the course of our review that makes us believe that the Sustainability Disclosures specified in the table above do not comply with Division 1 of Part 2M.3 of the Corporations Act 2001 . Basis for Conclusion Our review has been conducted in accordance with Australian Standard on Sustainability Assurance ASSA 5000 General Requirements for Sustainability Assurance Engagements (ASSA 5000) issued by the AUASB. Our review includes obtaining limited assurance about whether the specified Sustainability Disclosures are free from material misstatement. In applying the relevant criteria, we note that subsection 296C(1) of the Act includes a requirement to comply with AASB S2. Our conclusion is based on the procedures we have performed and the evidence we have obtained in accordance with ASSA 5000. The procedures in a review vary in nature and timing from, and are less in extent than for, an audit. Consequently, the level of assurance obtained in a review is substantially lower than the assurance that would have been obtained had an audit been performed. See the ‘Summary of the Work Performed’ section of our report below. Our responsibilities under ASSA 5000 are further described in the Auditor’s Responsibilities section of this report. We are independent of the Company in accordance with the applicable ethical requirements of the Accounting Professional & Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code), together with the ethical requirements in the Act, that are relevant to our review of the specified Sustainability Disclosures and public interest entities in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code. Our firm applies Australian Standard on Quality Management ASQM 1 Quality Management for Firms that Perform Audits or Reviews of Financial Reports and Other Financial Information, or Other Assurance or Related Services Engagements, which requires the firm to design, implement and operate a system of quality management, including policies and procedures regarding compliance with ethical requirements, professional standards, and applicable legal and regulatory requirements. We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our conclusion. 76 Bank of Queensland Limited and its Controlled Entities
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Independent Auditor’s Report. For the year ended 31 August 2026 Other Information The directors of the Company are responsible for the other information. The other information comprises the information included in the Annual Report for the year ended 31 August 2026 , but does not include the specified Sustainability Disclosures and our auditor's report thereon. Our conclusion on the specified Sustainability Disclosures does not cover the other information and we do not express any form of assurance conclusion thereon. We have issued a separate opinion on the Financial Report including the Remuneration Report included in the Annual Report. In connection with our review of the specified Sustainability Disclosures, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the specified Sustainability Disclosures, or our knowledge obtained when conducting the review, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities for the specified Sustainability Disclosures The directors of the Company are responsible for: • The preparation of the specified Sustainability Disclosures in accordance with the Act; and • Designing, implementing and maintaining such internal control necessary to enable the preparation of the specified Sustainability Disclosures, in accordance with the Act, that are free from material misstatement whether due to fraud or error. Inherent Limitations in preparing the specified Sustainability Disclosures Sustainability information may be subject to more inherent limitations than financial information, given both its nature and the methods used for determining, calculating, and estimating such information. Different acceptable methods have varying precision and can affect the comparability of sustainability information across entities and over time. In addition, greenhouse gas emissions quantification is subject to inherent uncertainty, which arises because of incomplete scientific knowledge used to determine emissions factors and the values needed to combine emissions of different gases. The specified Sustainability Disclosures in relation to Strategy (risks and opportunities) have been prepared using assumptions about future events, and management’s actions, that may not occur. 2026 Annual Report 77
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Independent Auditor’s Report. For the year ended 31 August 2026 Auditor’s Responsibilities Our objectives are to plan and perform the review to obtain limited assurance about whether the specified Sustainability Disclosures are free from material misstatement, whether due to fraud or error, and to issue a review report that includes our conclusion. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence decisions of users taken on the basis of the specified Sustainability Disclosures. As part of a review in accordance with ASSA 5000, we exercise professional judgement and maintain professional scepticism throughout the engagement. We also: • Perform risk assessment procedures, including obtaining an understanding of internal control relevant to the engagement, to identify and assess the risks of material misstatements, whether due to fraud or error, at the disclosure level but not for the purpose of providing a conclusion on the effectiveness of the entity’s internal control. • Design and perform procedures responsive to assessed risks of material misstatement at the disclosure level. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Summary of the Work Performed A review is a limited assurance engagement and involves performing procedures to obtain evidence about the specified Sustainability Disclosures. The nature, timing and extent of procedures selected depend on professional judgement, including the assessed risks of material misstatement at the disclosure level, whether due to fraud or error. In conducting our review, we: • Inspected the specified Sustainability Disclosures and assessed the completeness and accuracy of these disclosures against the relevant disclosure requirements of AASB S2 and with reference to the knowledge and evidence obtained during the assurance engagement; • Performed enquiries of management regarding the methodologies, processes and controls for capturing, collating, calculating and reporting the specified Sustainability Disclosures and assessed their alignment with AASB S2 and applicable method and measurement approaches; • Inspected and assessed, on a sample basis, charters, policies, minutes of meetings regarding the monitoring, management and oversight of climate-related matters, and other underlying evidence supporting the climate- related financial disclosures on governance; • Performed enquiries of management and examined underlying evidence on a sample basis regarding the approach taken by the Group to: 78 Bank of Queensland Limited and its Controlled Entities
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Independent Auditor’s Report. For the year ended 31 August 2026 o Identify climate-related risks and opportunities; o Identify material information for disclosure with regards to the Strategy (risks and opportunities) disclosures. • Performed enquiries of management and examined underlying evidence to assess the completeness and accuracy of the establishment of the organisational boundary, and sources of emissions, in the context of the specified Sustainability Disclosures. • Performed enquiries of management and examined underlying evidence on a sample basis regarding the estimates, assumptions, conversion factors and greenhouse gas emission factors applied within the calculations of the Scope 1 and 2 emissions; • Applied analytical procedures to evaluate the Scope 1 and 2 emissions and the underlying activity data, and; • Performed sample-based testing over the calculations of the Scope 1 and 2 emissions, including testing the activity data utilised within the calculations to third-party records, and other relevant underlying information. These procedures did not include any examination of whether Energy Attribute Certificates applied within these calculations, such as Large-scale Generation Certificates or Renewable Energy Certificates, actually represent renewable electricity generated. PricewaterhouseCoopers Craig Stafford Sydney Partner 14 October 2026 2026 Annual Report 79
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Bank of Queensland Limited and its Controlled Entities 80
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FINANCIAL PERFORMANCE. 2026 Annual Report 81
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1. Financial highlights. 1.1 Reconciliation of cash earnings to statutory profit Note on cash earnings to statutory profit Statutory profit is prepared in accordance with the Corporations Act 2001 and the Australian Accounting Standards, which comply with the International Financial Reporting Standards ( IFRS). Cash earnings are a non-statutory measure commonly used in the banking industry to assist in presenting a view of the underlying earnings of Bank of Queensland Limited and its controlled entities (BOQ or the Group). Cash earnings excluding notable items is a non-statutory measure that further adjusts cash earnings for notable items that management considers are not reflective of the Group’s underlying business performance. The intention of this measure is to assist users with understanding the performance of the Group’s ongoing business activities and to improve comparability across reporting periods. Figures disclosed in the Financial performance report are presented on a cash earnings excluding notable items basis, unless stated as being on a statutory profit or other basis. These non-statutory measures have not been subject to an independent audit or review. The exclusions from cash earnings in FY26 relate to: • Whole-of-loan sale (1) – accounting remeasurements associated with the sale of the equipment finance portfolio; • Branch strategy - conversion costs, associated amortisation of the right-to-operate assets that were acquired as part of the Owner Managed Branch (OMB) network, as announced in August 2024 and completed on 1 March 2025, and costs to optimise the network; • Hedging and fair value changes – represents earnings volatility from changes in the fair value of economic hedges which represent timing differences that will reverse through earnings in the future and ineffectiveness from designated hedge accounting transactions; and • Amortisation of acquisition fair value adjustments – these arise from the acquisition of subsidiaries. Notable items refer to: • Impairment charges related to aged technology assets and low value corporate and branch network assets. (2) (1) Further details can be found in the Group’s ASX announcements dated 7 April 2026 and 1 May 2026. (2) Further details can be found in the Group’s ASX announcement dated 10 August 2026. 82 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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1.1 Reconciliation of cash earnings to statutory profit (continued) a) Reconciliation of cash earnings to statutory net profit after tax Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Cash earnings after tax 325 383 (15%) 149 176 (15%) Whole-of-loan sale (52) - large (21) (31) (32%) Branch strategy (22) (43) (49%) (14) (8) 75% Amortisation of acquisition fair value adjustments (1) 3 large (1) - large Hedging and fair value changes - (1) (100%) 1 (1) large Goodwill impairment - (170) (100%) - - - Restructuring costs - (25) (100%) - - - Remedial Action Plans - (14) (100%) - - - Statutory net profit after tax 250 133 88% 114 136 (16%) b) FY26 non-cash earnings reconciling items Cash earnings Aug 26 $m Whole-of-loan sale $m Branch strategy $m Amortisation of acquisition fair value adjustments $m Statutory net profit Aug 26 $m Net interest income 1,520 - - 7 1,527 Non-interest income 159 - - - 159 T otal income 1,679 - - 7 1,686 Operating expenses (1,145) (66) (31) (8) (1,250) Underlying profit 534 (66) (31) (1) 436 Loan impairment expense (54) - - - (54) Profit before tax 480 (66) (31) (1) 382 Income tax expense (155) 14 9 - (132) Profit after tax 325 (52) (22) (1) 250 In the financial tables throughout the Financial performance report, ‘large’ indicates that the absolute percentage change in the balance was greater than 200% or 500 basis points or indicates the result was a gain or positive in one period and a loss or negative in the corresponding period. 2026 Annual Report 83 For the year ended 31 August 2026 Financial performance.
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1.2 Financial summary (1) Measures are on an excluding notable items basis. The comparable measures on a cash earnings and statutory earnings basis are included in section 2.1 Income statement and key metrics. (2) 2H25 includes the impact of the first period post the conversion of the branch network. Cash earnings after tax excluding notable items ($m) Down 9% 171 183 176 10.66 11.64 26.0 1.57 2010.94 2H24 2H24 2H24 2H24 2H24 2H24 1H25 1H25 1H25 1H25 1H25 1H25 2H25 2H25 2H25 2H25 2H25 2H25 2H26 2H26 2H26 2H26 2H26 2H26 1H26 1H26 1H26 1H26 1H26 1H26 Statutory net profit after tax ( NPAT) ($m) Large 136134 171 114 Up 40bps Down 50bps Return on average equity ( ROE) (%)(1) 1.57 1.73 27.9 26.8 27.6 Cash net interest margin ( NIM) (%)(2)Basic earnings per share ( EPS) (cents)(1) Stable Up 70bps 17 20 20 15 10.87 11.18 Dividends per ordinary share (cents)Common equity tier 1 ratio ( CET1 ratio) (%) Down 9% Up 3bps 30.4 182200 1.70 1.67 (38) 18 67.7 2H24 1H25 2H25 2H261H26 65.6 66.5 Cost to income ratio ( CTI) (%)(1)(2) 64.363.9 5.7 2H24 1H25 2H25 2H261H26 6.2 6.16.6 6.1 Special dividend 84 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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1.2 Financial summary (continued) Net profit after tax Cash net interest margin Cash operating expenses excl. notable items $358m Cash earnings excl. notable items Down 7% on FY25, largely due to a higher loan impairment expense off a low base. Cash earnings including notable items were down 15% on FY25. $250m Statutory NPAT Up 88% on FY25 primarily due to an impairment of goodwill in FY25 more than offsetting the asset impairment and transaction related charges incurred in FY26. 1.70% Up 6 basis points on FY25 driven by benefits from the branch conversion and optimisation of funding, partially offset by competition for lending. 2H26 NIM of 1.73% was up 6 basis points on 1H26 due to higher interest rates and funding optimisation, partially offset by lending competition. $1,098m Up 2% on FY25 reflecting inflation, a full year of branch network costs, group-wide transformation activities, investment in business bank growth and higher amortisation. These costs were materially offset by benefits from the Group’s productivity program. Cash loan impairment expense (LIE) CET1 ratio Cash ROE excl. notable items $54m Up 157% or $33 million on FY25 due to the non-recurrence of the FY25 provision release in commercial lending. The asset finance and retail expense remained in line with FY25, with commercial lending and retail loss rates remaining low. 11.64% Up 70 basis points on FY25 driven by cash earnings net of dividends and capital released from the whole-of-loan sale. 6.1% Down 30 basis points on FY25 reflecting lower earnings. Cash earnings after tax excluding notable items were $358 million in FY26, down $25 million or 7% on FY25. Cash earnings after tax excluding notable items were $182 million in 2H26, up $6 million or 3% on 1H26, reflecting higher revenue and lower operating expenses. The impact of a full year of branch operating costs, inflation and investment in both business bank growth and transformation was largely offset by benefits delivered through the Group’s productivity program. LIE increased to $54 million from a low base in FY25. Statutory net profit after tax of $250 million was $117 million or 88% higher than FY25, primarily due to an impairment of goodwill in FY25 more than offsetting an asset impairment and transaction related charges, associated with the equipment finance whole-of-loan sale, incurred in FY26. Notable items There is one notable item in 2H26 of $47 million of impairment charges related to aged technology assets and low value corporate and branch network assets. (1) Net interest income Net interest income (NII) of $1,520 million increased by $5 million, driven by a 6 basis point improvement in net interest margin (NIM) to 1.70%, partially offset by a $3.1 billion decrease in average interest earning assets (AIEA). The increase in NIM reflected the full year benefits of the branch conversion completed during FY25, funding optimisation and higher returns from the replicating portfolio and unhedged low-cost deposits and capital. This was partially offset by ongoing competition across home and business lending. NIM was up 6 basis points on 1H26 primarily due to funding optimisation, partially offset by competition for lending. AIEA decreased 3% on FY25, primarily due to an 8% contraction in housing balances and the sale of $3.6 billion of equipment finance assets. This was partially offset by 16% growth in commercial lending balances as the Group continued to rebalance its portfolio mix towards higher-returning business lending. Non-interest income Non-interest income of $159 million increased by $17 million or 12% on FY25, reflecting higher business lending fees, increased origination and servicing fees from the capital partnership, and ceasing the revenue share arrangement following the branch conversion in 2H25. Operating expenses Operating expenses excluding notable items increased by $26 million or 2% on FY25, reflecting the full year operating costs of the branch network, investment in business bank growth, group-wide transformation and higher amortisation costs. These costs, as well as inflation and ongoing investment in risk and regulatory programs, were materially offset by savings from productivity initiatives. Loan impairment expense Loan impairment expense of $54 million increased by $33 million on FY25, primarily due to the non-recurrence of a provision release in commercial lending in FY25. The asset finance expense remained in line with FY25 due to a specific provision for a single large asset finance exposure. Loss rates in retail and commercial remained low. Capital management CET1 ratio of 11.64% was 70 basis points higher than FY25 driven by the capital generated through cash earnings net of dividends and capital released from the equipment finance whole-of- loan sale. At 11.64%, the CET1 ratio is above the management target range of 10.25 – 10.75%. On 24 August 2026, the Group paid a special fully franked dividend of 15 cents per share; then commenced an on-market buy-back of shares.(1) Shareholder returns BOQ has determined to pay a final ordinary dividend of 20 cents per share, which is 72.9% of 2H26 cash earnings excluding notable items. The Board has set a target cash dividend payout ratio of 60-75%. (2) (1) Further details can be found in the Group’s ASX announcement dated 10 August 2026. (2) The amount of any dividend paid will be at the discretion of the Board and subject to capital requirements of the business. 2026 Annual Report 85 For the year ended 31 August 2026 Financial performance.
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2. Group performance analysis. 2.1 Income statement and key metrics Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Net interest income 1,520 1,515 - 765 755 1% Non-interest income 159 142 12% 82 77 6% T otal income 1,679 1,657 1% 847 832 2% Operating expenses excl. notable items (1,098) (1,072) 2% (545) (553) (1%) Notable expense items(1) (47) - large (47) - large T otal operating expenses (1,145) (1,072) 7% (592) (553) 7% Underlying profit 534 585 (9%) 255 279 (9%) Loan impairment expense (54) (21) 157% (34) (20) 70% Profit before tax 480 564 (15%) 221 259 (15%) Income tax expense (155) (181) (14%) (72) (83) (13%) Cash earnings after tax 325 383 (15%) 149 176 (15%) Notable items after tax 33 - large 33 - large Cash earnings after tax excl. notable items 358 383 (7%) 182 176 3% Statutory net profit after tax (2) 250 133 88% 114 136 (16%) (1) Notable items include impairment charges related to aged technology assets and low value corporate and branch network assets. (2) Refer to Section 1.1 (a) Reconciliation of cash earnings to statutory profit for a reconciliation of cash earnings to statutory net profit after tax. 86 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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2.1 Income statement and key metrics (continued) Year end performance Half year performance Key metrics Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 SHAREHOLDER RETURNS Share price $ 6.53 7.27 (10%) 6.53 7.00 (7%) Market capitalisation $m 4,313 4,809 (10%) 4,313 4,630 (7%) Dividends per ordinary share (fully franked) cents 40 38 5% 20 20 - Special dividend per ordinary share (fully franked) cents 15 - large 15 - large CASH EARNINGS EXCL. NOTABLE ITEMS Basic earnings per share (EPS) (1) cents 54.4 58.3 (7%) 27.6 26.8 3% Diluted EPS (1) cents 51.1 55.7 (8%) 26.0 25.3 3% Dividend payout ratio (2) % 73.9 65.6 large 72.9 75.1 (220bps) CASH EARNINGS BASIS Basic EPS (1) cents 49.4 58.3 (15%) 22.6 26.8 (16%) Diluted EPS (1) cents 46.8 55.7 (16%) 21.7 25.3 (14%) Dividend payout ratio (2) % 81.4 65.6 large 89.0 75.1 large STATUTORY BASIS Basic EPS (1) cents 38.1 20.1 90% 17.4 20.7 (16%) Diluted EPS (1) cents 37.2 19.9 87% 17.2 20.1 (14%) Dividend payout ratio (2) % 105.5 189.7 large 115.4 97.3 large OTHER METRICS Full time equivalent (FTE) - spot (3) # 3,249 3,558 (9%) 3,249 3,394 (4%) Average interest earning assets (AIEA) $m 89,433 92,518 (3%) 87,502 91,395 (4%) Gross loans and advances (GLA) $m 71,914 77,860 (8%) 71,914 76,443 (6%) Customer deposits $m 62,904 66,729 (6%) 62,904 65,275 (4%) Deposit to loan ratio % 87 86 100bps 87 85 200bps Liquidity coverage ratio (LCR) - quarterly average % 136.30 142.90 large 136.30 140.50 (420bps) LCR – half year average % 137.30 142.10 (480bps) 137.30 141.50 (420bps) Net stable funding ratio (NSFR) % 123.40 124.20 (80bps) 123.40 123.30 10bps (1) Basic and diluted EPS are calculated using the weighted average number of shares outstanding in each period. The number of days shares were held varies across periods, causing differentiation in the weighted average number of shares. This may result in full-year EPS not equalling the sum of the two half-year figures. (2) Dividend payout ratio is calculated based on ordinary dividends declared and excludes the FY26 special dividend. (3) FTE and operating expenses include the impacts of branch conversion from 2H25. 2026 Annual Report 87 For the year ended 31 August 2026 Financial performance.
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2.1 Income statement and key metrics (continued) Year end performance Half year performance Key metrics Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 PROFITABILITY AND EFFICIENCY MEASURES CASH EARNINGS EXCL. NOTABLE ITEMS BASIS Net profit after tax $m 358 383 (7%) 182 176 3% Underlying profit (1) $m 581 585 (1%) 302 279 8% Cost to income ratio (CTI) % 65.4 64.7 70bps 64.3 66.5 (220bps) Return on average equity (ROE) % 6.1 6.4 (30bps) 6.1 6.1 - Return on average tangible equity (ROTE) (2) % 7.3 7.9 (60bps) 7.3 7.4 (10bps) CASH EARNINGS BASIS Net profit after tax $m 325 383 (15%) 149 176 (15%) Underlying profit (1) $m 534 585 (9%) 255 279 (9%) NIM (3) % 1.70 1.64 6bps 1.73 1.67 6bps CTI % 68.2 64.7 350bps 69.9 66.5 340bps Loan impairment expense (LIE) to GLA bps 8 3 5 9 5 4 ROE % 5.5 6.4 (90bps) 5.0 6.1 (110bps) ROTE (2) % 6.7 7.9 (120bps) 6.0 7.4 (140bps) Effective Tax Rate % 32.3 32.1 20bps 32.6 32.0 60bps STATUTORY BASIS Net profit after tax $m 250 133 88% 114 136 (16%) Underlying profit (1) $m 436 298 46% 206 230 (10%) NIM (3) % 1.71 1.65 6bps 1.74 1.67 7bps CTI % 74.1 82.1 large 75.8 72.5 330bps LIE to GLA bps 8 3 5 9 5 4 ROE % 4.3 2.2 210bps 3.9 4.7 (80bps) ROTE (2) % 5.2 2.8 240bps 4.7 5.7 (100bps) Effective Tax Rate % 34.6 52.2 large large 35.2 large ASSET QUALITY 30 days past due (DPD) arrears $m 1,264 1,394 (9%) 1,264 1,258 - 90 DPD arrears $m 734 815 (10%) 734 727 1% Impaired assets $m 75 94 (20%) 75 84 (11%) Specific provisions to impaired assets % 60 51 large 60 63 (300bps) Normalised total provision / GLA(4) bps 38 37 1 38 36 2 T otal provision / GLA bps 38 39 (1) 38 39 (1) CAPITAL CET1 ratio % 11.64 10.94 70bps 11.64 11.18 46bps T otal capital adequacy ratio % 16.29 15.18 111bps 16.29 15.39 90bps Risk weighted assets (RWA) $m 38,342 40,140 (4%) 38,342 40,314 (5%) (1) Profit before loan impairment expense and tax. (2) Based on net profit applied to average shareholders’ equity less goodwill and identifiable intangible assets. (3) NIM is calculated net of offset accounts. (4) Prior periods have been adjusted to exclude equipment finance and ME unsecured portfolios subsequently sold. 88 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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2.2 Net interest income Year end performance Half year performance Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 Net interest income (1) $m 1,520 1,515 - 765 755 1% AIEA $m 89,433 92,518 (3%) 87,502 91,395 (4%) NIM % 1.70 1.64 6bps 1.73 1.67 6bps (1) Refer to Section 1.1 (b) FY26 Non-cash earnings reconciling items for a reconciliation of cash net interest income to statutory net interest income. Net interest income of $1,520 million increased by $5 million on FY25, reflecting a 6 basis point improvement in NIM, partially offset by a 3% decline in AIEA. The increase in NIM was driven by the full year benefit of the branch conversion, funding optimisation, and cash rate increases benefitting both the replicating portfolio and the unhedged low-cost deposit and capital portfolios. AIEA decreased by $3.1 billion or 3% on FY25, primarily due to the equipment finance whole-of-loan sale and the net contraction in lending balances as the Group continued to shift its portfolio mix from home lending to business lending. Net interest income of $765 million in 2H26 increased by $10 million or 1% on 1H26, driven by a 6 basis points increase in NIM, partially offset by a 4% decline in AIEA. NIM in 2H26 of 1.73% was up 6 basis points on 1H26. The key drivers of the movement within NIM are set out below. Asset pricing and mix (-5bps): Driven by continued competitive pressure in housing and commercial lending, and impacts from the equipment finance whole-of-loan sale, partially offset by mix benefits from continued rebalancing of the portfolio towards business lending. Funding costs and mix (+11bps): Improved funding mix due to a higher proportion of deposit funding and benefits from optimising the Group’s at-call, retail term deposits and wholesale funding portfolios following the equipment finance whole-of-loan sale. Capital and low-cost deposits (+3bps): The invested and uninvested capital and low-cost deposit portfolios continued to benefit from the replicating portfolio and the impacts of higher cash rates on the uninvested portfolio. Third party costs (-2bps): This was primarily driven by the non- recurrence of one-off reductions in brokerage and amortisation expenses noted in 1H26. Liquidity and other (-1bps): An increase in lower yielding, high- quality liquid assets (HQLA) balances was partially offset by improvements in cash-bills spreads. Net interest margin - 1H26 to 2H26 Third party costs (0.05%) 0.11% (0.02%)0.03% (0.01%) Asset pricing and mix Funding costs and mix Capital and low cost deposits Liquidity and other Feb 26 1.67% Aug 26 1.73% 2026 Annual Report 89 For the year ended 31 August 2026 Financial performance.
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2.3 Non-interest income Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Banking income 84 77 9% 41 43 (5%) Other income 72 64 13% 41 31 32% Trading income 3 1 200% - 3 (100%) Non-interest income (1) 159 142 12% 82 77 6% (1) Refer to Section 1.1 (b) FY26 Non-cash earnings reconciling items for a reconciliation of cash non-interest income to statutory non-interest income. Non-interest income of $159 million was up $17 million or 12% on FY25. This was driven by: Banking income of $84 million increased by $7 million or 9% on FY25, largely driven by higher business lending fees and the full year benefit from ceasing the revenue share arrangement following branch conversion in 2H25. Other income of $72 million increased by $8 million or 13% on FY25 driven by fees from the equipment finance whole-of-loan sale and benefits following the branch conversion, partially offset by transition activities temporarily impacting origination across third party credit card and insurance products. Trading income of $3 million increased by $2 million on FY25. 90 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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2.4 Operating expenses Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Salaries and on costs 544 529 3% 275 269 2% Employee share programs and other 13 17 (24%) 5 8 (38%) Employee expenses 557 546 2% 280 277 1% Information technology services 242 232 4% 119 123 (3%) Amortisation - intangible assets 96 81 19% 53 43 23% Depreciation - fixed assets 2 3 (33%) 1 1 - Technology expenses 340 316 8% 173 167 4% Marketing 40 39 3% 18 22 (18%) Communications, print and stationery 23 32 (28%) 10 13 (23%) Processing costs 23 17 35% 13 10 30% Other 31 37 (16%) 12 19 (37%) Operational expenses 117 125 (6%) 53 64 (17%) Occupancy expenses 52 52 - 23 29 (21%) Administration expenses 32 33 (3%) 16 16 - Operating expenses excl. notable items 1,098 1,072 2% 545 553 (1%) Notable items (1) 47 - large 47 - large Total operating expenses (2) 1,145 1,072 7% 592 553 7% Cash CTI ratio (%) 68.2 64.7 350bps 69.9 66.5 340bps Cash CTI ratio excluding notable items (%) 65.4 64.7 70bps 64.3 66.5 (220bps) T otal FTE 3,249 3,558 (9%) 3,249 3,394 (4%) (1) Notable items include impairment charges related to aged technology assets and low value corporate and branch network assets. (2) Refer to Section 1.1 (b) “FY26 Non-cash earnings reconciling items” for a reconciliation of cash operating expenses to statutory operating expenses. Summary Operating expenses increased by $73 million or 7% on FY25. Excluding notable items, operating expenses increased by $26 million or 2%. This reflects the full year cost of running the branch network which was converted during FY25, investment in business bank growth, group-wide transformation and higher amortisation. These costs, as well as inflation and ongoing investment in risk and regulatory programs, were materially offset by savings from productivity initiatives. Employee expenses Employee expenses of $557 million increased by $11 million or 2% on FY25. The increase was driven by a full year of running the branch network, inflation, investment in business bankers and risk and regulatory programs. This was partially offset by benefits driven by transformation and simplification of the operating model, including the benefit of new outsourcing arrangements. These changes resulted in an FTE decrease of 9% on FY25. Technology expenses Technology expenses of $340 million increased by $24 million or 8% on FY25. The increase in amortisation and information technology services reflects investment in digital transformation. Inflation and higher software licensing costs were materially offset by savings from productivity initiatives. Operational expenses Operational expenses of $117 million decreased by $8 million or 6% on FY25, driven by savings from productivity initiatives. The increase in processing costs reflects new outsourcing arrangements with strategic partners, the benefits of which are reflected in Employee expenses and Technology expenses. Occupancy expenses Occupancy expenses of $52 million were flat on FY25. Higher costs driven by the conversion of branch sites were offset by the continued optimisation of the Group’s property footprint. Occupancy expenses were $6 million or 21% lower than 1H26 mainly due to optimisation of the branch and corporate footprint. Administration expenses Administration expenses of $32 million decreased by $1 million or 3% on FY25 primarily driven by lower project related consulting costs following the achievement of key transformation milestones. 2026 Annual Report 91 For the year ended 31 August 2026 Financial performance.
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2.5 Investment expenditure Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Expensed investment expenditure (1) 62 88 (30%) 34 28 21% Capitalised investment expenditure 118 100 18% 69 49 41% Total investment expenditure 180 188 (4%) 103 77 34% Software intangible assets 423 460 (8%) 423 485 (13%) Assets under construction 117 107 9% 117 88 33% Total carrying value of technology assets 540 567 (5%) 540 573 (6%) (1) Expensed investment expenditure in FY25 includes the pre-tax increase in the Remedial Action Plan provision, which is a non-cash item. Refer to Note 4.2 Provisions and contingent liabilities in the statutory financial statements for further details. Total investment expenditure of $180 million in FY26 was $8 million or 4% lower than FY25. Investment expenditure of $103 million in 2H26 was $26 million or 34% higher than 1H26. During the period, the Group progressed with developing its digital deposit and home lending offerings, its business banking origination and risk management capabilities, transitioning to a new technology and operations outsource partner and continued investment in risk and compliance. The carrying value of technology assets decreased by $27 million or 5% to $540 million compared to FY25. This reflects amortisation and the impairment of aged technology assets. ME migration was completed, with customers migrated to the digital bank. The Group expects to complete decommissioning of ME core heritage platforms in calendar year 2026. The Group continued to progress the delivery of its Remedial Action Plans, having completed approximately 74% of activities. 2.6 Lending As at Aug 26 $m Feb 26 $m Aug 25 $m Aug 26 vs Feb 26 Aug 26 vs Aug 25 Housing lending 48,270 50,145 52,052 (4%) (7%) Housing lending - APS 120 qualifying securitisation (1) 4,598 5,117 5,449 (10%) (16%) 52,868 55,262 57,501 (4%) (8%) Commercial lending 15,238 14,110 13,176 8% 16% Asset finance 3,712 6,966 7,011 (47%) (47%) Consumer 96 105 172 (9%) (44%) Gross loans and advances 71,914 76,443 77,860 (6%) (8%) Provisions for impairment (274) (298) (307) (8%) (11%) Net loans and advances 71,640 76,145 77,553 (6%) (8%) (1) Securitised loans subject to capital relief under APRA’s Prudential Standard APS 120 Securitisation (APS 120). Gross loans and advances of $71.9 billion contracted by $5.9 billion or 8% on FY25, driven by the $3.6 billion equipment finance whole- of-loan sale completed in 2H26, and lower housing lending balances. Housing balances decreased by $4.6 billion or 8% on FY25, reflecting lower settlement volumes and higher portfolio run-off. Commercial lending increased by $2.1 billion or 16% reflecting above-system growth. Excluding the $3.6 billion equipment finance whole-of-loan sale, asset finance grew $321 million or 5%. Consumer lending contracted $76 million or 44% on FY25, following the closure and subsequent sale of the ME credit card and personal loans portfolios. 92 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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Growth in commercial lending ($m) Commercial lending balances grew $2.1 billion or 16% on FY25. Commercial lending delivered strong growth while maintaining disciplined risk-adjusted returns. Growth was across a diverse range of industries and businesses, with lending well secured by property. FY26 growth was enabled by the investment and expansion of the banker footprint and continued focus on key growth corridors. BOQ continues to focus on specialist segments of healthcare, agribusiness and diversified industry business segments and supports both family owned businesses and larger commercial clients. FY25 FY26 2,062 14% Growth 16% Growth Nil 1,598 Growth in asset finance ($m) Asset finance balances contracted $3.3 billion or 47% on FY25 due to the equipment finance whole-of-loan sale of $3.6 billion to a capital partner. Excluding the sale, asset finance grew by $0.3 billion or 5% on FY25. The commencement of the capital partnership allows the Group to leverage its capability in originating and servicing equipment finance facilities, while underlying direct credit risk exposure will be held by the capital partner for facilities originated through the partnership. The growth in the on-balance sheet asset finance portfolio was driven by strong growth in the structured finance portfolio of $262 million reflecting strong relationships across the novated leasing sector and continued demand for electric vehicles. 2.6 Lending (continued) Growth in housing lending ($m) The housing portfolio contracted $4.6 billion or 8% on FY25 reflecting lower settlement volumes and higher portfolio run-off in a period of significant transformation activity. This included the ongoing transition of originations to the digital platform, migration of ME customers from legacy platforms, and the transition of operational activities to a new outsource partner. In 2H26, housing application volumes and portfolio run-off improved, providing a stronger foundation for the planned return to home lending growth in FY27. The Group remains focused on optimising and scaling the digital platform through phased market launches, continued product and process simplification and improved customer experience. (1) BOQ includes both the BOQ Retail and BOQ Business brands including BOQ Specialist. FY25 FY26 2% Growth 5% Growth excl. whole-of-loan sale 143 (3,620) 321 Whole-of-loan sale Asset Finance Nil (3,299) FY25 FY26 7% Contraction 8% Contraction (4,633) (4,293) (5,009)(4,953) 1,279 2,028 (903)(1,368) VMA BOQ (1) ME Nil 2026 Annual Report 93 For the year ended 31 August 2026 Financial performance.
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2.7 Customer deposits As at Aug 26 $m Feb 26 $m Aug 25 $m Aug 26 vs Feb 26 Aug 26 vs Aug 25 Transaction accounts (1) 5,164 5,406 5,236 (4%) (1%) T erm deposits 18,667 20,965 22,350 (11%) (16%) Savings and investment accounts 33,617 33,283 33,551 1% - Sub-total 57,448 59,654 61,137 (4%) (6%) Mortgage offsets (1) (2) 5,456 5,621 5,592 (3%) (2%) Customer deposits 62,904 65,275 66,729 (4%) (6%) Deposit to loan ratio 87% 85% 86% 2% 1% (1) Comparative periods have been restated to reflect mortgage offset balances which were previously reported as transaction accounts. Transaction account balances presented for Aug 25 and Feb 26 were reduced by $186 million and $143 million, respectively, with corresponding increases to mortgage offset balances. (2) Mortgage offset balances are netted against home loans for the purposes of customer interest payments. Customer deposits Customer deposits of $62.9 billion decreased by $3.8 billion or 6% on FY25 reflecting lower funding requirements as housing lending volumes contracted and the focus on funding optimisation following the equipment finance whole-of-loan sale. The Group has maintained strong funding diversification with the deposit to loan ratio increasing to 87%. Transaction accounts Transaction accounts were broadly in line with FY25, and decreased by $242m or 4% on 1H26 due to elevated end of financial year and seasonal outflows. Term deposits Term deposits decreased by $3.7 billion or 16% on FY25 reflecting lower funding requirements and pausing term deposit origination on a number of legacy portfolios while digital term deposits were introduced. Savings and investment accounts Savings and investment accounts were stable on FY25 with growth in digital deposits offset by contraction in legacy portfolios. Mortgage offsets Mortgage offsets decreased by $0.1 billion or 2% on FY25. 94 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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3. Business settings. 3.1 Asset quality As at PROVISION COVERAGE Aug 26 Feb 26 Aug 25 Aug 26 vs Feb 26 Aug 26 vs Aug 25 Specific provision (SP) $m 45 53 48 (15%) (6%) Collective provision (CP) $m 229 245 259 (7%) (12%) Total provision $m 274 298 307 (8%) (11%) SP to impaired assets % 60 63 51 (300bps) large T otal provisions / impaired assets % 365 355 327 large large CP / T otal RWA bps 60 61 65 (1) (5) Normalised total provision / GLA (1) bps 38 36 37 2 1 T otal provision / GLA bps 38 39 39 (1) (1) IMPAIRED ASSETS Total impaired assets $m 75 84 94 (11%) (20%) T otal impaired assets / GLA bps 10 11 12 (1) (2) (1) Prior periods have been adjusted to exclude equipment finance and ME unsecured portfolios subsequently sold. Provision coverage Total provisions of $274 million decreased by $33 million or 11% on FY25, primarily driven by portfolio sales. Specific provisions of $45 million decreased by $3 million or 6% on FY25. Specific provisions across retail and commercial remained subdued in FY26 due to strong net property values over recent years and prudent lending standards. This was offset by an increase in asset finance provisions primarily driven by one large exposure. Collective provisions of $229 million decreased by $30 million or 12% on FY25, primarily driven by the sale of ME unsecured portfolio and the equipment finance whole-of-loan sale. Excluding the impact of the sales, collective provisions increased by $2 million over the year and $7 million over 2H26. On a like-for-like basis, retail coverage increased during FY26, as uncertainty in the economic outlook was reflected in updated economic scenarios. Commercial and asset finance coverage remained relatively stable throughout FY26. Economic forecasts and scenario weightings cater for uncertainties in the outlook and the possibility of a downturn. Specific provisions ($m) PORTFOLIO Retail Commercial Asset finance Total Aug 25 $m 8 20 20 48 Realisation and other (1) $m (3) (5) (11) (19) New specific $m 1 2 21 24 Feb 26 $m 6 17 30 53 Realisation and other (1) $m (1) (2) (18) (21) New specific $m 1 2 10 13 Aug 26 $m 6 17 22 45 (1) Includes realisations and movements within existing provisions. 2026 Annual Report 95 For the year ended 31 August 2026 Financial performance.
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3.1 Asset quality (continued) Impaired assets PORTFOLIO Retail Commercial Asset finance Total Aug 25 $m 22 44 28 94 Realisation and other (1) $m (12) (16) (14) (42) New impaired $m 6 2 24 32 Feb 26 $m 16 30 38 84 Realisation and other (1) $m (6) (5) (21) (32) New impaired $m 6 5 12 23 Aug 26 $m 16 30 29 75 (1) Includes realisations and movements within existing provisions. BOQ impaired assets of $75 million decreased by $19 million or 20% on FY25. Reductions were observed across retail and commercial portfolios reflecting low levels of new specific provision activity, which was offset by a small increase in asset finance, primarily driven by one large exposure. Loan impairment expense Year end performance Half year performance PORTFOLIO Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 Retail lending (1) $m 5 3 67% 12 (7) large Commercial lending $m 10 (22) large 7 3 133% Asset finance $m 39 40 (3%) 15 24 (38%) Total loan impairment expense $m 54 21 157% 34 20 70% Total loan impairment expense / GLA (2) bps 8 3 5 9 5 4 (1) Retail lending includes both housing and consumer lending. (2) Half yearly ratios are annualised. The loan impairment expense of $54 million increased by $33 million on FY25. This was driven by the non-recurrence of a provision release in commercial lending in FY25 and the asset finance expense remaining elevated. The asset finance expense was higher in 1H26 primarily due to a specific provision raised on one large exposure. The increase in the retail expense in 2H26 was off a low base and due to increased collective provisions to cater for further uncertainty in the economic outlook. Retail and commercial loan impairment expenses remain well below long-run averages. 96 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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3.1 Asset quality (continued) Arrears Key metrics Aug 26 portfolio balance $m Aug 26 Feb 26 Aug 25 Aug 26 vs Feb 26 Aug 26 vs Aug 25 Total lending - portfolio balance $m 71,914 76,443 77,860 (6%) (8%) 30 days past due $m 1,264 1,258 1,394 - (9%) 90 days past due $m 734 727 815 1% (10%) Proportion of portfolio 30 days past due: GLAs 1.76% 1.65% 1.79% 11bps (3bps) 90 days past due: GLAs 1.02% 0.95% 1.05% 7bps (3bps) BY PORTFOLIO 30 days past due: GLAs (Retail) (1) 52,964 1.87% 1.76% 1.93% 11bps (6bps) 90 days past due: GLAs (Retail) (1) 1.05% 1.00% 1.14% 5bps (9bps) 30 days past due: GLAs (Commercial) 15,238 1.14% 1.10% 1.34% 4bps (20bps) 90 days past due: GLAs (Commercial) 0.79% 0.79% 0.74% - 5bps 30 days past due: GLAs (Asset finance) 3,712 2.81% 1.88% 1.55% 93bps 126bps 90 days past due: GLAs (Asset finance) 1.71% 0.96% 0.90% 75bps 81bps (1) Retail arrears includes housing and consumer lending. Total arrears balances reduced through FY26, although arrears rates have increased in 2H26 as a result of the portfolio balance contraction combined with a marginal increase in arrears balances. The 30 days past due (DPD) rate decreased by 3 basis points and the 90 DPD category decreased by 3 basis points compared to FY25. Retail arrears Retail arrears have reduced since FY25. The 30 DPD category decreased by 6 basis points and the 90 DPD category decreased by 9 basis points compared to FY25. The minor increase in retail arrears rates in 2H26 reflects further contraction of the retail portfolio as well as ongoing cost-of-living pressures. Commercial arrears Commercial arrears reduced by 20 basis points in the 30 DPD category and increased marginally in the 90 DPD category since FY25, as conditions remained relatively stable. Asset finance arrears Asset finance arrears rates have increased on FY25, as a result of the equipment finance whole-of-loan sale reducing the portfolio balance and a small number of individual exposures. Although the 90 DPD category increased by 75 basis points and the 30 DPD category increased by 93 basis points in 2H26, the arrears balances have reduced by $3m and $27m respectively over this same period. 2026 Annual Report 97 For the year ended 31 August 2026 Financial performance.
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3.2 Funding and liquidity BOQ’s funding and liquidity risk appetite strategy is designed to support the Group’s ability to meet its financial obligations as they fall due under all market conditions. Management of the Group’s liquidity risk is focused on developing a stable customer deposit base, maintaining access to diversified wholesale funding markets and disciplined management of maturity profiles. BOQ regularly stress tests its liquidity risk profile to identify vulnerabilities under a diverse range of market scenarios and to maintain an appropriate level of liquidity. Funding and liquidity ratios Aug 26 Feb 26 Aug 25 Aug 26 vs Feb 26 Aug 26 vs Aug 25 LCR - quarterly average 136.3 140.5 142.9 (420bps) large LCR - half year average 137.3 141.5 142.1 (420bps) (480bps) NSFR - spot 123.4 123.3 124.2 10bps (80bps) Liquidity coverage ratio (LCR) BOQ’s level 2 quarterly average LCR for 2H26 of 136.3% decreased 420 bps from 1H26 driven by a decrease in wholesale funding and other contractual funding obligations. The average level 2 LCR for 2H26 was 137.3%, a decrease of 420bps from 1H26. APRA requires that ADIs maintain a minimum LCR of 100%. BOQ manages its LCR on a daily basis and actively maintains a buffer above the regulatory minimum which is informed by BOQ’s liquidity stress testing results in line with BOQ’s prescribed risk appetite and policy settings. Net stable funding ratio (NSFR) BOQ’s level 2 spot NSFR for 2H26 of 123.4% increased 10 bps from 1H26. The increase was primarily due to net balance sheet movements after the equipment finance whole-of-loan sale with a reduction in wholesale funding and retail deposits which were mostly offset by a reduction in performing loans and securities. The NSFR encourages ADIs to fund their lending activities with more stable sources of funding, thereby promoting greater balance sheet resilience. BOQ manages its NSFR on a daily basis and actively maintains a buffer above the regulatory minimum of 100%, in line with BOQ’s prescribed risk appetite and policy settings. Funding BOQ’s funding strategy and risk appetite reflects the Group’s business strategy and the current economic environment. Funding is optimised to allow for flexibility in managing various scenarios while ensuring a resilient balance sheet. The table below outlines the mix of total funding between customer deposits, short term and long term wholesale: As at Funding mix Aug 26 Feb 26 Aug 25 Aug 26 vs Feb 26 Aug 26 vs Aug 25 Customer deposits (1) $bn 62.9 65.3 66.7 (4%) (6%) Short term wholesale $bn 9.7 10.0 9.9 (3%) (2%) Long term wholesale $bn 13.5 15.4 16.3 (12%) (17%) Total funding (2) $bn 86.1 90.7 92.9 (5%) (7%) (1) The classification of customer deposits is defined as all deposits excluding those from financial institutions as defined under APS 210 Liquidity. (2) Foreign currency balances have been translated at end of day spot rates. Term funding issuance During FY26, BOQ accessed wholesale funding markets via $1.1 billion of issuances under its Debt Issuance Programme, comprising a $750 million domestic senior unsecured issuance in 1H26 and a $350 million domestic subordinated debt issuance in 2H26. BOQ’s broad suite of secured and unsecured debt programs continues to deliver funding diversification benefits, enabling BOQ to support future asset growth, manage refinancing risk, and smooth term maturity profiles over the next five years. During the period, BOQ completed the $3.6 billion equipment finance whole-of-loan sale to a capital partner. The transaction reduced wholesale funding requirements and enhanced balance sheet flexibility, supporting BOQ’s disciplined approach to funding, capital and liquidity management. The table below outlines term funding maturities from 1H27 to 2H31: T erm funding maturity profile: (1) (2) (3) Major Maturities ($m) 1H27 2H27 1H28 2H28 1H29 2H29 1H30 2H30 1H31 2H31 Subordinated Debt - 400 - - - - 250 - - 350 Additional Tier 1 - 260 - - 400 - - - - - Covered Bonds - 896 - 900 - 977 - 1,050 - - Senior Unsecured 1,600 - - - 750 900 - - - - T otal 1,600 1,556 - 900 1,150 1,877 250 1,050 - 350 (1) Any transaction issued in a currency other than AUD is shown in the applicable AUD equivalent hedged amount. (2) Senior unsecured maturities greater than or equal to $100 million shown but exclude private placements. (3) Table shows subordinated debt notes and additional tier 1 notes at first optional call date. Redemption of subordinated debt notes and additional tier 1 notes at the optional call date is at BOQ’s option and is subject to obtaining prior written approval from the Australian Prudential Regulatory Authority. 98 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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3.3 Capital management The Group’s capital management aims to ensure adequate capital levels are maintained to protect deposit holders. The Group’s capital is measured and managed in line with Prudential Standards issued by APRA. The Group’s Internal Capital Adequacy Assessment Process (ICAAP) provides the framework to ensure that the Group is capitalised to meet internal capital targets and APRA’s requirements. The ICAAP is reviewed regularly and submitted to the Board annually for approval. The Group’s capital position is monitored on a continuous basis and reported monthly to the Asset and Liability Committee and Board. BOQ operates under APRA’s revised Basel III capital framework. The Board has determined the Group will target to operate within the Common Equity Tier 1 (CET1) range of between 10.25-10.75%, in normal conditions. Capital adequacy Aug 26 $m Feb 26 $m Aug 25 $m Aug 26 vs Feb 26 Aug 26 vs Aug 25 QUALIFYING CAPITAL FOR LEVEL 2 ENTITIES (1) COMMON EQUITY TIER 1 CAPITAL Ordinary share capital 5,319 5,323 5,333 - - Reserves 258 383 276 (33%) (7%) Retained profits, including current period profits 161 191 299 (16%) (46%) Total CET1 Capital 5,738 5,897 5,908 (3%) (3%) REGULATORY ADJUSTMENTS Goodwill and intangibles (957) (1,003) (1,031) (5%) (7%) Deferred expenditure (299) (331) (368) (10%) (19%) Other deductions (20) (55) (118) (64%) (83%) T otal CET1 regulatory adjustments (1,276) (1,389) (1,517) (8%) (16%) CET1 Capital 4,462 4,508 4,391 (1%) 2% Additional Tier 1 Capital 660 660 660 - - Total Tier 1 Capital 5,122 5,168 5,051 (1%) 1% Provisions eligible for inclusion in Tier 2 capital 139 152 156 (9%) (11%) Tier 2 Capital 986 886 886 11% 11% Total Tier 2 Capital 1,125 1,038 1,042 8% 8% Total Capital 6,247 6,206 6,093 1% 3% T otal RWA 38,342 40,314 40,140 (5%) (4%) CET1 ratio 11.64% 11.18% 10.94% 46bps 70bps Tier 1 Capital ratio 13.36% 12.82% 12.58% 54bps 78bps T otal Capital adequacy ratio 16.29% 15.39% 15.18% 90bps 111bps (1) APRA Prudential Standard CPS 001 ‘Defined terms’ defines Level 2 as the Group and all of its subsidiary entities other than non-consolidated subsidiaries. The non-consolidated subsidiaries excluded from Level 2 regulatory measurements as at 31 August 2026 are listed below. Hence, the balances in the table will not directly correlate to the consolidated balance sheet. • Bank of Queensland Limited Employee Share Plans Trust; • Home Credit Management Pty Ltd; • Series 2019-1 REDS Trust; • Series 2023-1 REDS Trust; • Series 2024-1 REDS Trust; • Series 2024-2 REDS Trust; • SMHL Series Securitisation Fund 2019-1; • SMHL Series Private Placement Trust 2017-2; • SMHL Series Private Placement Trust 2019-1; • SMHL Series Private Placement 2019-2; and • SMHL Securitisation Trust 2020-1. 2026 Annual Report 99 For the year ended 31 August 2026 Financial performance.
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3.3 Capital management (continued) In August 2026, following the completion of the equipment finance whole-of-loan sale to a capital partner, the Group announced a capital return to shareholders of approximately $295 million, comprising a special dividend of $99 million and a share buy-back of up to $196 million. The special dividend was paid in August 2026 and the share buy-back commenced, with expected completion during FY27. The total capital return represents the capital released from the reduction in risk weighted assets due to the equipment finance whole-of-loan sale. The Group’s CET1 ratio of 11.64% increased by 46 basis points from 11.18% in 1H26 due to: • Credit risk weighted assets released following completion of equipment finance whole-of-loan sale (78 basis points increase); • Capital returned via payment of the special dividend and share buy-back in August (28 basis points decrease); • Cash earnings after tax excluding notable items of $182 million (47 basis points increase); • Payment of the 1H26 interim dividend (35 basis points decrease); • Increase in underlying risk weighted assets (RWA) (21 basis points decrease) offset by a reduction in loan origination costs (6 basis points increase); • Investment spend net of amortisation broadly flat; and • A number of small movements in other deductions and reserves (1 basis point decrease). (1) RWA includes loan origination costs and movements in capital relief securitisation. (2) Capitalised expenses net of amortisation. 3.4 Tax expense BOQ tax expense arising on cash earnings for FY26 amounted to $155 million. This represented an effective tax rate of 32.3% on a cash earnings basis, which is above the corporate tax rate of 30% primarily due to the non-deductibility of interest payable on capital notes which were issued in FY21 and FY23. CET1 ratio - 1H26 to 2H26 2H26 1H26 Cash earnings after tax excl. notable items 0.47% Other movements (0.01%) 11.64% (0.35%) Dividend - Investment (2)RWA (1) (0.15%) 11.18% Equipment finance whole-of-loan sale RWA release Capital returned 0.78% (0.28%) 100 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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4. Divisional performance. 4.1 Retail income statement, key metrics and financial performance review Overview The Retail Bank meets the financial needs of personal customers. The division supports 1.2 million customers through a network of branches, third party intermediaries, customer call centres, digital services, and mobile mortgage specialists. Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Net interest income 807 807 - 415 392 6% Non-interest income 84 94 (11%) 40 44 (9%) T otal income 891 901 (1%) 455 436 4% Operating expenses excl. notable items (746) (738) 1% (370) (376) (2%) Notable expense items(1) (35) - large (35) - large T otal operating expenses(2) (781) (738) 6% (405) (376) 8% Underlying profit 110 163 (33%) 50 60 (17%) Loan impairment expense (9) (2) large (14) 5 large Profit before tax 101 161 (37%) 36 65 (45%) Income tax expense (32) (52) (38%) (11) (21) (48%) Cash earnings after tax 69 109 (37%) 25 44 (43%) Notable items after tax 25 - large 25 - large Cash earnings after tax excl. notable items 94 109 (14%) 50 44 14% Year end performance Half year performance Key metrics Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 PERFORMANCE INDICATORS CTI % 87.7 81.9 large 89.0 86.2 280bps CTI excluding notable items % 83.7 81.9 180bps 81.3 86.2 (490bps) Net interest income / average GLA (3) % 1.77 1.65 12bps 1.84 1.69 15bps ASSET QUALITY 90 DPD arrears $m 512 616 (17%) 512 522 (2%) Impaired assets $m 11 14 (21%) 11 15 (27%) LIE / GLA bps 2 - 2 6 (2) 8 BALANCE SHEET GLA $m 48,366 51,623 (6%) 48,366 50,134 (4%) Housing $m 48,343 51,539 (6%) 48,343 50,117 (4%) Other retail $m 23 84 (73%) 23 17 35% Credit risk weighted assets (4) $m 14,276 15,319 (7%) 14,276 14,779 (3%) Customer deposits (5) $m 33,367 35,467 (6%) 33,367 34,591 (4%) Transaction accounts(6) $m 3,474 3,414 2% 3,474 3,518 (1%) T erm deposits $m 11,334 12,989 (13%) 11,334 12,011 (6%) Savings and investment $m 14,124 14,718 (4%) 14,124 14,609 (3%) Mortgage offsets(6) $m 4,435 4,346 2% 4,435 4,453 - Deposit to loan ratio % 69 69 - 69 69 - (1) Notable items include impairment charges related to aged technology assets and low value corporate and branch network assets. (2) The methodology for allocating indirect expenses was updated in 2H25, with a minor impact to divisional expenses, following the completion of the branch conversion on 1 March 2025. (3) Calculated on a cash earnings basis and net of mortgage offsets. (4) Credit RWAs reflect on balance sheet exposures. (5) Treasury managed customer deposits are included in the Group’s Other operating business unit. (6) Comparative periods have been restated to reflect mortgage offset balances which were previously reported as transaction accounts. Transaction account balances presented for Aug 25 and Feb 26 were reduced by $186 million and $143 million, respectively, with corresponding increases to mortgage offset balances. 2026 Annual Report 101 For the year ended 31 August 2026 Financial performance.
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4.1 Retail income statement, key metrics and financial performance review (continued) FY26 vs FY25 Retail Bank cash earnings after tax excluding notable items decreased by $15 million or 14% on FY25 to $94 million. Total income decreased $10 million or 1% on FY25. Operating expenses, excluding notable items, increased by $8 million or 1% on prior year. Loan impairment expense was $7 million higher than prior year. Net interest income Net interest income of $807 million was flat to FY25, driven by the benefits of the branch conversion, deposit pricing and higher earnings on the replicating portfolio, offset by the impact of lower housing and customer deposit balances. Spot balance sheet movements included: • Housing contraction of $3.2 billion or 6% on FY25, reflecting lower settlement volumes and higher portfolio run-off from closed legacy channels and the continued transition to the digital platform; and • Customer deposits contracted $2.1 billion or 6% on prior year, primarily driven by a targeted reduction in term deposits as the Group optimised funding requirements. Net interest margin of 1.77% increased by 12 basis points on FY25, reflecting the benefits of the branch conversion, improved replicating portfolio returns and deposit optimisation. This was partially offset by continued competitive pressure across housing and lower customer deposits. Non-interest income Non-interest income of $84 million decreased by $10 million or 11% on FY25, reflecting a temporary reduction in third-party commissions due to the transition to a new insurance provider, partially offset by benefits following the branch conversion and a gain on the sale of the ME credit card portfolio. Operating expenses Operating expenses, excluding notable items, of $746 million increased by $8 million or 1% on FY25. This was driven by the full year operating costs of the branch network, inflation, and investment in technology transformation, partially offset by productivity initiatives. Loan impairment expense Loan impairment expense of $9 million compares to $2 million in FY25. This was driven by an increase in the collective provision due to increased cost-of-living pressures, a reduction in house prices and increased uncertainty in the economic outlook. 2H26 vs 1H26 Retail Bank cash earnings after tax excluding notable items increased by $6 million or 14% on 1H26 to $50 million. Total income increased by $19 million or 4% on 1H26. Operating expenses, excluding notable items, decreased by $6 million or 2% on 1H26. Loan impairment expense was a charge of $14 million in 2H26, reflecting an increased collective provision given the changed economic outlook, compared to a $5 million release in 1H26. Net interest income Net interest income of $415 million increased by $23 million or 6% on 1H26, driven by deposit pricing and higher earnings on the replicating portfolio, partially offset by lower housing balances. Spot balance sheet movements included: • Housing contraction of $1.8 billion or 4% on 1H26, reflecting lower settlement volumes and higher portfolio run-off during the continued transition to the digital platform; and • Customer deposits contracted $1.2 billion or 4% on 1H26, driven by a targeted reduction in term deposits. Net interest margin of 1.84% increased by 15 basis points on 1H26, reflecting improved funding costs and replicating portfolio returns, partially offset by competitive pressure across housing. Non-interest income Non-interest income of $40 million decreased by $4 million or 9% on 1H26, reflecting a temporary reduction in third-party commissions associated with the transition to a new insurance provider and the non-recurrence of a gain on the sale of the ME credit card portfolio in 1H26. Operating expenses Operating expenses, excluding notable items, of $370 million decreased by $6 million or 2% on 1H26 reflecting productivity initiatives, offsetting inflation and the continued investment in technology transformation. Loan impairment expense Loan impairment expense of $14 million in 2H26 compares to a $5 million release in 1H26. This was driven by a higher collective provision due to increased cost-of-living pressures, a reduction in house prices and increased uncertainty in the economic outlook. 102 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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4.2 BOQ Business income statement, key metrics and financial performance review Overview The BOQ Business division provides tailored business banking solutions, including commercial lending, equipment finance and leasing, foreign exchange hedging and international transfers, interest rate hedging, transaction banking, home lending and deposits for business customers. Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Net interest income 722 713 1% 356 366 (3%) Non-interest income 72 50 44% 43 29 48% T otal income 794 763 4% 399 395 1% Operating expenses excl. notable items (352) (334) 5% (175) (177) (1%) Notable expense items (1) (12) - large (12) - large T otal operating expenses (2) (364) (334) 9% (187) (177) 6% Underlying profit 430 429 - 212 218 (3%) Loan impairment expense (45) (19) 137% (20) (25) (20%) Profit before tax 385 410 (6%) 192 193 (1%) Income tax expense (124) (131) (5%) (63) (61) 3% Cash earnings after tax 261 279 (6%) 129 132 (2%) Notable items after tax 8 - large 8 - large Cash earnings after tax excl. notable items 269 279 (4%) 137 132 4% Year end performance Half year performance Key metrics Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 PERFORMANCE INDICATORS CTI % 45.8 43.8 200bps 46.9 44.8 210bps CTI excluding notable items % 44.4 43.8 60bps 43.9 44.8 (90bps) Net interest income / average GLA (3) % 2.98 2.89 9bps 3.03 2.94 9bps ASSET QUALITY 90 DPD arrears $m 222 200 11% 222 205 8% Impaired assets $m 64 80 (20%) 64 69 (7%) LIE / GLA bps 19 7 12 17 19 (2) BALANCE SHEET GLA $m 23,548 26,237 (10%) 23,548 26,309 (10%) Housing $m 4,525 5,962 (24%) 4,525 5,145 (12%) Commercial and other $m 15,311 13,264 15% 15,311 14,198 8% Asset finance $m 3,712 7,011 (47%) 3,712 6,966 (47%) Credit risk weighted assets (4) $m 17,163 18,269 (6%) 17,163 18,820 (9%) Customer deposits (5) $m 8,595 9,556 (10%) 8,595 9,286 (7%) Transaction accounts $m 1,690 1,822 (7%) 1,690 1,888 (10%) T erm deposits $m 1,211 1,434 (16%) 1,211 1,248 (3%) Savings and investment $m 4,673 5,055 (8%) 4,673 4,981 (6%) Mortgage offsets $m 1,021 1,245 (18%) 1,021 1,169 (13%) Deposit to loan ratio % 36 36 - 36 35 100bps (1) Notable items include impairment charges related to aged technology assets and low value corporate and branch network assets. (2) The methodology for allocating indirect expenses was updated in 2H25, with a minor impact to divisional expenses, following the completion of the branch conversion on 1 March 2025. (3) Calculated on a cash earnings basis and net of mortgage offsets. (4) Credit RWAs reflect on balance sheet exposures. (5) Treasury managed customer deposits are included in the Group’s Other operating business unit. 2026 Annual Report 103 For the year ended 31 August 2026 Financial performance.
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4.2 BOQ Business income statement, key metrics and financial performance review (continued) FY26 vs FY25 BOQ Business cash earnings after tax excluding notable items decreased by $10 million or 4% on FY25 to $269 million. Total income increased by $31 million or 4% on FY25. Operating expenses excluding notable items increased by $18 million or 5%. Loan impairment expense was $45 million in FY26, an increase of $26 million on FY25, following a release of commercial lending provision in the prior year. Net interest income Net interest income of $722 million increased by $9 million or 1% on FY25, reflecting higher commercial lending assets and a 9 basis points improvement in net interest margin, partially offset by lower asset finance balances following the whole-of-loan sale. Spot balance sheet movements included: • Commercial and other lending growth of $2.0 billion or 15% across a diverse range of industries and businesses, with lending well secured by property. FY26 growth was enabled by the investment and expansion of the banker footprint and continued focus on key growth corridors. • Asset finance balances contracted by $3.3 billion or 47% on FY25 due to the equipment finance whole-of-loan sale of $3.6 billion to a capital partner. • Housing contraction of $1.4 billion or 24% reflecting higher run-off as economic returns were prioritised over growth in a competitive housing market; and • Customer deposits contraction of $961 million or 10%, driven by a targeted reduction in term deposits as the Group optimised funding. Net interest margin of 2.98% increased by 9 basis points on FY25, reflecting the benefits of the branch conversion and favourable asset mix, partially offset by continued competitive pressure across business lending. Non-interest income Non-interest income of $72 million increased by $22 million or 44% on FY25, reflecting fee revenue associated with the capital partnership and higher business banking fees. Operating expenses Operating expenses of $352 million, excluding notable items, increased by $18 million or 5% on FY25, driven by investment in additional frontline bankers, the full year operating costs of the branch network, inflation and technology transformation. Loan impairment expense Loan impairment expense of $45 million compared to $19 million in FY25. This was primarily due to the non-recurrence of a provision release in commercial lending in FY25 and loan impairment expense in asset finance remaining elevated. 2H26 vs 1H26 BOQ Business cash earnings after tax excluding notable items increased by $5 million or 4% on 1H26 to $137 million. Total income increased by $4 million or 1% on 1H26. Operating expenses excluding notable items decreased by $2 million or 1% on 1H26. Loan impairment expense was $20 million in 2H26, a decrease of $5 million on 1H26. Net interest income Net interest income of $356 million decreased by $10 million or 3% on 1H26, reflecting lower asset balances following the equipment finance whole-of-loan sale, which more than offset commercial lending growth of $1.1 billion during 2H26. The impact of lower asset balances was partially offset by a 9 basis point improvement in net interest margin. Spot balance sheet movements included: • Commercial and other lending growth of $1.1 billion or 8% across a diverse range of industries and businesses, with lending well secured by property. Growth in 2H26 was enabled by the investment and expansion of the banker footprint and continued focus on key growth corridors. • Asset finance balances contracted by $3.3 billion or 47% on 1H26 due to the equipment finance whole-of-loan sale of $3.6 billion to a capital partner. • Housing contraction of $620 million or 12% reflecting higher run-off as economic returns were prioritised over growth in a competitive housing market; and • Customer deposits contraction of $691 million or 7%, driven by a targeted reduction in term deposits as the Group optimised funding. Net interest margin of 3.03% increased by 9 basis points on 1H26 reflecting favourable balance sheet mix, partially offset by continued competitive pressure across business lending. Non-interest income Non-interest income of $43 million increased by $14 million or 48% on 1H26, reflecting fee revenue associated with the capital partnership and higher business banking fees. Operating expenses Operating expenses of $175 million, excluding notable items, decreased by $2 million or 1% on 1H26 as productivity initiatives offset inflation and technology transformation. Loan impairment expense Loan impairment expense of $20 million compared to $25 million in 1H26 driven by a lower asset finance loan impairment expense. 104 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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4.3 Other income statement and financial performance review Overview The Other business unit includes Treasury and Group Head Office. Year end performance Half year performance Aug 26 $m Aug 25 $m Aug 26 vs Aug 25 Aug 26 $m Feb 26 $m Aug 26 vs Feb 26 Net interest income / (expense) (9) (5) 80% (6) (3) 100% Non-interest income / (expense) 3 (2) large (1) 4 large T otal income / (loss) (6) (7) (14%) (7) 1 large Operating expenses - - - - - - Underlying profit / (loss) (6) (7) (14%) (7) 1 large Loan impairment expense - - - - - - Profit / (loss) before tax (6) (7) (14%) (7) 1 large Income tax (expense) / benefit 1 2 (50%) 2 (1) large Cash profit / (loss) after tax (5) (5) - (5) - large Financial performance review Cash loss after tax of $5 million in FY26 compares to cash loss after tax of $5 million in FY25. Net interest income / (expense) Net interest expense of $9 million in FY26 compares to net interest expense of $5 million in FY25. This primarily includes the finance costs related to the Remedial Action Plans provision and lease liabilities in line with accounting standards. Non-interest income / (expense) Non-interest income of $3 million in FY26 compares to non-interest expense of $2 million in FY25. 4.4 Outlook (1) Further moderation in economic growth is forecast in FY27. Sustained elevated competition for quality lending and deposit funding is expected. Consumer and business confidence continues to be weighed down by inflation, rising cash rates and geopolitical uncertainty. Further increases in the cash rate are possible and a reduction is not expected before calendar year 2028. BOQ will continue to support customers as they manage through a higher cash rate environment and continued inflationary pressures. The Group has planned for a sustainable return to growth in home lending in FY27. This will be enabled by expanding the Group’s digital mortgage to additional channels and customer segments. BOQ is targeting commercial lending growth comparable to FY26, with quality lending in target segments. The Group is focused on continued growth in digital deposits, and an increase in commercial deposits, both of which will support asset growth. A modest uplift in margin in 1H27 is expected, subject to market conditions, alongside higher non-interest income from the capital partnership (2), offset by lower average interest earning assets. Equipment finance originations and servicing through the partnership are expected to generate capital light earnings for the Group, with no direct credit risk exposure or funding requirements. BOQ retains flexibility to originate facilities onto its own balance sheet or through the forward flow arrangement. Transition of the technology and business processing partnership will continue, along with the decommissioning of ME legacy assets, both delivering productivity benefits. BOQ is targeting flat annual cost growth in FY27. Credit quality is expected to remain strong, with a relatively stable loan impairment expense. There is no change to the CET1 capital management target range of 10.25–10.75% and the dividend payout ratio target range also remains unchanged at 60–75% of cash earnings (3). (1) Subject to no material change in market conditions. (2) The forward flow arrangement has a 12-month initial term, extendable by agreement between the parties. (3) The amount of any dividend paid will be at the discretion of the Board and subject to capital requirements of the business. 2026 Annual Report 105 For the year ended 31 August 2026 Financial performance.
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5. Appendix to Financial performance. 5.1 Cash EPS calculations Year end performance Half year performance Aug 26 Aug 25 Aug 26 vs Aug 25 Aug 26 Feb 26 Aug 26 vs Feb 26 RECONCILIATION OF CASH EARNINGS FOR EPS Cash earnings after tax $m 325 383 (15%) 149 176 (15%) Cash earnings available for ordinary shareholders $m 325 383 (15%) 149 176 (15%) Effect of capital notes 2 $m 14 14 - 7 7 - Effect of capital notes 3 $m 21 22 (5%) 11 10 10% Cash diluted earnings available for ordinary shareholders $m 360 419 (14%) 167 193 (13%) WEIGHTED AVERAGE NUMBER OF SHARES (WANOS) Basic WANOS - ordinary shares m 657 658 - 657 657 - Effect of award rights m 7 7 - 8 7 14% Effect of capital notes 2 m 40 35 14% 40 38 5% Effect of capital notes 3 m 63 53 19% 63 59 7% Diluted WANOS for cash earnings EPS (1) (2) m 767 753 2% 768 761 1% CASH EARNINGS PER SHARE (2) Cash basic EPS - ordinary shares cents 49.4 58.3 (15%) 22.6 26.8 (16%) Cash diluted EPS - ordinary shares cents 46.8 55.7 (16%) 21.7 25.3 (14%) CASH EARNINGS ITEMS PER SHARE EXCL. NOTABLE ITEMS (2) Cash basic earnings available for ordinary shareholders $m 358 383 (7%) 182 176 3% Cash diluted earnings available for ordinary shareholders $m 393 419 (6%) 200 193 4% Cash basic EPS - ordinary shares cents 54.4 58.3 (7%) 27.6 26.8 3% Cash diluted EPS - ordinary shares cents 51.1 55.7 (8%) 26.0 25.3 3% (1) The Group had awarded 10,144,873 employee share options as at 31 August 2026. The options were anti-dilutive during the period and therefore have not impacted diluted WANOS. (2) Basic and diluted cash EPS are calculated using the weighted average number of shares outstanding in each period. The number of days shares were held varies across periods, causing differentiation in the weighted average number of shares. This may result in full-year EPS not equalling the sum of the two half-year figures. 106 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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5.2 Average balance sheet and margin analysis The following table outlines the major categories of interest earning assets and interest bearing liabilities of the Group together with the respective interest earned or paid and the average interest rate for each of 1H26, 2H26, FY26 and FY25. 2H26 1H26 Average balance $m Interest $m Average rate % Average balance $m Interest $m Average rate % INTEREST EARNING ASSETS Loans and advances (1) 67,935 2,029 5.92 71,760 1,962 5.51 Investments and other securities 19,567 429 4.35 19,635 364 3.74 T otal interest earning assets 87,502 2,458 5.57 91,395 2,326 5.13 Non-interest earning assets Property, plant and equipment 134 145 Other assets 2,205 2,437 Provision for impairment (284) (304) T otal non-interest earning assets 2,055 2,278 Total assets 89,557 93,673 INTEREST BEARING LIABILITIES Retail deposits 58,855 1,073 3.62 61,409 990 3.25 Wholesale deposits and borrowings 23,622 620 5.21 25,116 581 4.66 T otal interest bearing liabilities 82,477 1,693 4.07 86,525 1,571 3.66 Non-interest bearing liabilities 1,249 1,307 T otal liabilities 83,726 87,832 Shareholders’ funds 5,831 5,841 Total liabilities and shareholders’ funds 89,557 93,673 INTEREST MARGIN AND INTEREST SPREAD Interest earning assets 87,502 2,458 5.57 91,395 2,326 5.13 Interest bearing liabilities 82,477 1,693 4.07 86,525 1,571 3.66 Net interest spread 1.50 1.47 Benefit of free funds 0.23 0.20 NIM - on average interest earning assets 87,502 765 1.73 91,395 755 1.67 (1) Net of average mortgage offset balances. 2026 Annual Report 107 For the year ended 31 August 2026 Financial performance.
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5.2 Average balance sheet and margin analysis (continued) FY26 FY25 Average balance $m Interest $m Average rate % Average balance $m Interest $m Average rate % INTEREST EARNING ASSETS Loans and advances (1) 69,832 3,991 5.72 73,604 4,309 5.85 Investments and other securities 19,601 793 4.05 18,914 806 4.26 T otal interest earning assets 89,433 4,784 5.35 92,518 5,115 5.53 Non-interest earning assets Property, plant and equipment 139 150 Other assets 2,321 2,585 Provision for impairment (294) (309) T otal non-interest earning assets 2,166 2,426 Total assets 91,599 94,944 INTEREST BEARING LIABILITIES Retail deposits 60,121 2,063 3.43 61,756 2,291 3.71 Wholesale deposits and borrowings 24,363 1,201 4.93 25,814 1,309 5.07 T otal interest bearing liabilities 84,484 3,264 3.86 87,570 3,600 4.11 Non-interest bearing liabilities 1,279 1,377 T otal liabilities 85,763 88,947 Shareholders’ funds 5,836 5,997 Total liabilities and shareholders’ funds 91,599 94,944 INTEREST MARGIN AND INTEREST SPREAD Interest earning assets 89,433 4,784 5.35 92,518 5,115 5.53 Interest bearing liabilities 84,484 3,264 3.86 87,570 3,600 4.11 Net interest spread 1.49 1.42 Benefit of free funds 0.21 0.22 NIM - on average interest earning assets 89,433 1,520 1.70 92,518 1,515 1.64 (1) Net of average mortgage offset balances. 108 Bank of Queensland Limited and its Controlled Entities For the year ended 31 August 2026 Financial performance.
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DIRECTORS' REPORT . 2026 Annual Report 111
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Remuneration Report. For the year ended 31 August 2026 Dear Shareholder Introduction On behalf of the Board, I am pleased to present the FY26 Remuneration Report. FY26 was a year marked by strategic execution and organisational change for BOQ. Against a backdrop of subdued economic conditions, heightened regulatory expectations and evolving customer needs, the Group remained focused on customer outcomes, simplifying the business, strengthening risk management and accountability, and progressing other strategic priorities. The Board remains committed to a remuneration framework that supports prudent decision-making, reinforces accountability and aligns executive remuneration outcomes with the delivery of sustainable long-term shareholder value. FY26 remuneration outcomes reflected the Board's assessment of performance across a balanced set of financial and non-financial measures. Financial Performance The banking sector continued to navigate a challenging operating environment during FY26. Competitive pressures across retail and business banking, heightened regulatory and prudential expectations, and investment in technology, risk management and operational resilience contributed to persistent competitive, economic and regulatory pressures across the industry. Economic conditions also remained subdued, with cost-of-living pressures influencing customer and business activity. BOQ delivered cash earnings excluding notable items of $358 million in FY26, with a return on equity of 6.1%. The result reflected lending contraction during a period of significant transformation activity and a higher loan impairment expense, partly offset by disciplined cost management, with expense growth maintained below inflation and in line with market guidance. A key strategic achievement during the year was the completion of BOQ Group's capital partnership with Challenger, comprising the whole-of-loan sale of $3.6 billion in Equipment Finance facilities and a related forward flow origination and servicing arrangement. The partnership is expected to generate capital- light revenue streams for the Group and enabled the return of capital to shareholders. This included a special fully franked dividend of 15 cents per share paid in August and the announcement of an on-market share buy-back of up to $196 million. The Board has determined to pay a fully franked final dividend of 20 cents per share, taking the total dividend for FY26 to 55 cents per share. In assessing financial performance for remuneration purposes, the Board considered the Group's earnings performance, capital management initiatives and shareholder returns delivered during the year. Non-financial Performance Beyond financial performance, the Group progressed its key priorities during FY26, with a focus on customer outcomes, simplifying the business, strengthening risk management and accountability, and progressing other strategic priorities across the organisation. A key milestone during the year was the completion of the migration of ME customers to BOQ’s digital banking platform. At year end, 68% of customers were on the digital bank, supporting the transition to a simpler technology environment and positioning the Group to realise further customer, operational and efficiency benefits over time. The migration was a significant undertaking and involved temporary disruption for some customers. As the Group embeds the benefits of the digital transformation, it remains focused on minimising disruption and improving customer outcomes and experiences. The Group also further simplified its product and technology environment through the deliberate reduction of heritage products and decommissioning of legacy applications. These initiatives contribute to a simpler and more efficient operating model by reducing complexity, cost and risk, while strengthening the foundations for more sustainable performance over time. The Group's Remedial Action Plans (RAPs), including Program rQ and AML, together with BOQ's customer remediation uplift program, strengthened risk management capability, regulatory compliance and accountability across the organisation. Meaningful progress was made during FY26 through the delivery of key remediation activities and capability uplift initiatives. While important milestones were achieved, further work is required to embed and fully realise the intended risk and regulatory outcomes. While all planned Phase 1 milestones for the customer remediation "Meaningful progress in our transformation towards a simpler, specialist bank." 112 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. uplift program were delivered during FY26, the intended outcomes have not yet been fully demonstrated. Further work has been incorporated into FY27 to strengthen the delivery of more consistent and enduring customer outcomes. The Group’s investment in risk management and remediation is increasingly reflected in organisational outcomes. Results from the Group’s internal risk culture survey improved from 72% to 77% during the year, reflecting stronger risk ownership, accountability and decision-making across the organisation. Separately, results from the Group's broader culture survey, which assesses the organisational behaviours, highlighted that further progress is required to continue strengthening organisational culture and reinforce positive customer outcomes and long-term business performance. The Group continued to invest in fostering a high-performance, customer-focused culture that enables our people to deliver better outcomes for customers and stakeholders. In assessing the Group's overall non-financial performance and determining FY26 remuneration outcomes, the Board considered both the progress achieved and the work remaining. FY26 Remuneration Framework and Outcomes The Executive Remuneration Framework remained largely unchanged during FY26 and reinforced the Group's strategic priorities, prudent risk management and long-term shareholder interests. During the year, the Board approved a change to the Long- T erm Variable Remuneration (L TVR) performance metrics, replacing the absolute T otal Shareholder Return (TSR) measure with a relative TSR measure to better align with market practice and maintain a clear link to shareholder outcomes. Based on the recommendation of the People, Culture & Remuneration Committee, the Board approved the following remuneration outcomes for FY26, reflecting the balanced assessment of financial and non-financial outcomes. • Fixed Remuneration: Continuing KMPs received an average increase of 3.3% in fixed remuneration. Individual adjustments reflected relative market positioning of pay and individual role accountabilities. • The FY26 Group Scorecard outcome was assessed at 81% of target, reflecting the weighted assessment of both financial and non-financial measures. Taking into account individual performance outcomes, STVR awards for Executives ranged from 79% to 94% of target, and 61% to 75% of maximum opportunity. Risk outcomes were considered through the Group Scorecard and individual performance assessments, and no additional adjustments were applied in determining remuneration outcomes. • Further detail is provided in Section 3 and 4. FY27 Remuneration Changes The Board considers the current Executive Remuneration Framework to be appropriately aligned with the Group's strategy, risk settings, regulatory requirements and shareholder interests. Accordingly, no material changes will be made to the Executive Remuneration Framework or remuneration structure in FY27. T o further strengthen alignment between executives and shareholders, BOQ introduced Executive Minimum Shareholding Requirements, which took effect on 1 September 2026. Under the new requirements, the MD&CEO will be required to hold shares equivalent to 150 per cent of fixed remuneration, other Executive KMPs 100 per cent, and the CRO 75 per cent. Executives have until the later of five years from commencing a KMP role or five years from the commencement of the Policy to achieve the minimum shareholding requirement. The Board considers that these requirements reinforce a long-term focus on sustainable value creation. Leadership Changes During the year, the Board welcomed Chris Eigeland as an independent Non-Executive Director. Chris brings significant experience in technology, digital transformation and strategy, further strengthening the Board's capability as BOQ continues to execute its transformation agenda and position the Group for its next phase of growth. The Board also acknowledges the contributions of Patrick Allaway, who retired as MD&CEO, and former Chief Risk Officer Rachel Stock. We thank Patrick and Rachel for their leadership, dedication and service to BOQ. Following Patrick Allaway's retirement, Rod Finch was appointed MD&CEO. Rod brings extensive banking experience and a strong understanding of BOQ's strategy and transformation agenda, having played a key role in delivering a number of the Group's strategic priorities. Under Rod's leadership, BOQ remains focused on its strategy, strengthening customer outcomes, maintaining sound risk management, and delivering sustainable long-term value for shareholders. The Board remains confident that the depth of experience and capability across the executive leadership team positions BOQ well to continue delivering on its strategic priorities and supporting customers, people and shareholders through the next chapter of the Group's transformation journey. Conclusion The Board considers the FY26 remuneration outcomes appropriately reflect the Group's performance during the year and remain aligned with the interests of shareholders. We remain committed to maintaining a remuneration framework that supports sustainable performance, prudent risk management and long-term value creation. I encourage shareholders to read the Remuneration Report ahead of the 2026 Annual General Meeting and welcome feedback. Yours faithfully, Karen Penrose Chair, People, Culture & Remuneration Committee Table of Contents. 1. Key management personnel 114 2. Remuneration governance 115 3. FY26 remuneration framework 118 4. FY26 remuneration outcomes 121 5. Non-Executive director remuneration 127 6. Statutory disclosures 128 2025 Annual Report 113 2026 Annual Report
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Remuneration Report. For the year ended 31 August 2026 1. Key management personnel This section identifies Directors and Group Executives who are classified as Key Management Personnel ( KMP) and outlines the changes within this cohort for the year ended 31 August 2026. T able 1 - Executive and Non-Executive directors Name Position Term CURRENT Rod Finch (1) Managing Director & Chief Executive Officer Commenced 1 March 2026 Andrew Fraser (2) Non-Executive Director & Chair Full year Chris Eigeland Non-Executive Director Commenced 18 May 2026 Karen Penrose Non-Executive Director Full year Mary Waldron Non-Executive Director Full year Mickie Rosen Non-Executive Director Full year Paul Riordan Non-Executive Director Full year FORMER Patrick Allaway (3) Managing Director & Chief Executive Officer Retired 28 February 2026 Warwick Negus Non-Executive Director & Chair Retired 24 October 2025 T able 2 - Group Executives Name Position Term CURRENT Racheal Kellaway Chief Financial Officer Full year Alexandra Taylor Chief People Officer Full year Craig Ryman (4) Chief Information and Operations Officer Full year Greg Boyle Group Executive Retail Banking Full year Keith Strachan (5) Group Executive Business Banking Commenced 10 October 2025 FORMER Rachel Stock Chief Risk Officer Ceased 31 May 2026 (6) (1) Rod Finch held the role of Chief Transformation & Operations Officer until 28 February 2026 and commenced as MD&CEO on 1 March 2026. Rod Finch was a member of KMP throughout FY26. (2) Andrew Fraser was appointed Chair of the Board on 24 October 2025, having served as an Independent Non-Executive Director since 8 February 2024. (3) Patrick Allaway retired as MD&CEO and ceased as a KMP on 28 February 2026. His employment with the Group concluded on 31 August 2026. (4) Craig Ryman served as Chief Information Officer until 28 February 2026. From 1 March 2026, his responsibilities were expanded and his role changed to Chief Information and Operations Officer. (5) Keith Strachan was appointed Group Executive, Business Banking effective 10 October 2025 and became an Accountable Person and KMP from that date. Remuneration disclosures reflect the period from his appointment as a KMP. (6) Effective 1 June 2026, Brad Davis, General Manager Market Risk Credit Models and Insights, was appointed Interim Chief Risk Officer and an Accountable Person. As Brad Davis served in an interim capacity, he was not considered a KMP for the purposes of the remuneration disclosures in this report. 1.1 Executive KMP exit arrangements Patrick Allaway retired as MD&CEO, and ceased to be a Key Management Personnel ( KMP), on 28 February 2026. His employment with the Group concluded on 31 August 2026. Consistent with the good leaver provisions of the applicable Award Terms and Plan Rules, Mr Allaway's equity awards remain on foot and continue to be subject to their original terms and conditions. The Board exercised its discretion to allow the FY24 Executive Performance Rights ( EPRs) and FY23 Premium Priced Options ( PPOs) to remain on foot in full, which would otherwise have been subject to pro-rata treatment on cessation, to align their treatment with awards granted under subsequent plans. Mr Allaway also received a pro-rated FY26 Short-Term Variable Reward ( STVR), reflecting the period he served as MD&CEO from 1 September 2025 to 28 February 2026. Rachel Stock ceased as Chief Risk Officer and as a Key Management Personnel ( KMP) on 31 May 2026. Her employment with the Group concluded on 31 August 2026. In accordance with the cessation of employment provisions set out in the applicable Award Terms and Plan Rules, all of her unvested and restricted equity awards lapsed and Ms Stock will not receive any STVR for FY26. 114 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 2. Remuneration governance 2 .1 Group remuneration policy The Group Remuneration Policy (the Policy ) sets out the governance structure for oversight of BOQ’s remuneration frameworks and practices and the minimum expectations for their implementation. The Policy outlines the pivotal roles both financial and non-financial elements play in our remuneration design and decision-making, while ensuring that there are adequate controls in place to prevent and mitigate conduct risk with appropriate consequences. The Policy is reviewed and approved by the Board on an annual basis to ensure that it remains compliant with all relevant regulatory requirements. It was last updated and approved by the Board in July 2026 in compliance with APRA Remuneration Standard CPS 511. In line with the requirements under CPS 511 , the Policy ensures that the Group’s performance and remuneration frameworks: • are aligned with BOQ’s business plan, strategic objectives and risk management framework (RMF); • promote effective management of both financial and non-financial risks, sustainable performance and BOQ’s long-term soundness; and • support the achievement of strategic, customer and financial objectives, as well as prevention and mitigation of conduct risk. 2.2 Roles and responsibilities The People, Culture & Remuneration Committee ( PCRC) considers matters relating to the remuneration of KMP as well as the remuneration policies of the Group generally. This includes reviewing and recommending to the Board, the remuneration of the Chair and Non-Executive Directors, Executive KMP, Accountable Persons and Senior Managers. The main responsibilities of the Committee are outlined in the Committee Charter available on the corporate governance page of the Company’s website: https://www.boq.com.au/About-us/corporate-governance Under the PCRC's Charter, the Committee Chair and the majority of Committee members must be independent Non-Executive directors. All members of the Committee (including the Chair of the Committee) are independent Non-Executive directors. Details of members of the Committee and their background are included in the Directors' Report. The following diagram outlines BOQ’s remuneration decision- making structure. BOARD • Reviews and approves the remuneration policy, framework, strategy and outcomes. • Exercises discretion on strategic objectives, targets and funding pools to ensure alignment with strategic people priorities, performance outcomes, consequence management and the Group's risk appetite. • Reviews and approves individual remuneration arrangements for Accountable Persons, and Specified Roles of Senior Managers. • Reviews and approves collective remuneration arrangements for others in Specified Roles (Highly Paid Material Risk Takers, Material Risk Takers and Risk and Financial Control Personnel). PEOPLE, CULTURE AND REMUNERATION COMMITTEE (PCRC) • Assists the Board to discharge its responsibility by overseeing the design, operation and monitoring of the remuneration strategy, framework and policy. • Reviews and recommends individual remuneration arrangements for Accountable Persons, and Specified Roles of Senior Managers. • Reviews and recommends collective remuneration arrangements for others in Specified Roles (Highly Paid Material Risk Takers, Material Risk Takers and Risk and Financial Control Personnel). • Reviews and recommends consequence management actions, considering risk matters and input from the Chief Risk Officer and the Board Risk Committee. SHAREHOLDERS • Feedback received through shareholder voting on the Remuneration Report at the AGM and consultation with key stakeholders. MANAGEMENT • The MD&CEO assesses and provides remuneration recommendations for all Executives (excluding the MD&CEO) to the Committee and Board for approval. • Oversees implementation of remuneration policies. REMUNERATION ADVISERS • External and independent remuneration advisers are engaged from time to time to assist the Committee on remuneration matters. • No remuneration recommendations were sought or received from external advisers during FY26. 2026 Annual Report 1152026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 2.3 Consequence Management Framework BOQ introduced its new Consequence Management Framework, commencing from 1 September 2025, representing the next stage in the evolution of its approach to risk culture and remuneration governance. The framework builds on BOQ's existing practices and strengthens the link between risk, conduct and behavioural outcomes and remuneration outcomes across the Group, supporting fair, transparent and proportionate remuneration decisions. The Consequence Management Framework forms an integral component of BOQ's remuneration framework and provides the mechanism through which performance, risk, conduct and behavioural outcomes are reflected in remuneration decisions. Where outcomes are inconsistent with BOQ's expectations, consequences may be applied having regard to the nature and severity of the matter, customer and stakeholder impacts, individual responsibility and other relevant circumstances. Consequences may include both financial and non-financial outcomes, with remuneration adjustments forming one component of BOQ's broader consequence management approach. T able 3 - How consequence management framework is integrated into our remuneration framework FEATURES DESCRIPTION Policies and frameworks • BOQ's Consequence Management Framework operates alongside the Performance Framework, Risk Management Framework and Remuneration Framework. • Together, these frameworks support the assessment of performance, risk and conduct outcomes and ensure remuneration outcomes appropriately reflect both what was achieved and how outcomes were achieved. Scope • The Consequence Management Framework applies to all employees, including the MD&CEO. Assessment • Performance, risk, conduct and behavioural matters are assessed by leaders and through divisional consequence management and risk governance processes to determine the appropriate consequence. • The PCRC and Board receive biannual reporting on the operation of the framework, including emerging themes and outcomes, to support effective oversight and consistency across the Group. • The Chief Risk Officer provides biannual reporting on material risk events and Executive KMP risk outcomes. This reporting informs the Board's assessment of risk and conduct outcomes when determining remuneration outcomes, including STVR outcomes and when considering the vesting of, or removal of restrictions from, deferred equity awards. Consequence Management Framework • Purpose: – Reinforce prudent risk-taking and a strong risk culture. – Promote fair, transparent, consistent and proportionate outcomes. – Strengthen the alignment between remuneration outcomes and risk and conduct performance. • Assessment factors: – Nature and severity of the matter. – Customer, stakeholder, financial, operational and reputational impacts. – Individual responsibility and level of influence. – Previous conduct history and any mitigating or aggravating circumstances. • Consequences: – Consequences may be financial and/or non-financial, depending on the circumstances. – Non-financial consequences may include coaching, training, performance management, formal warnings, or termination of employment. Remuneration adjustment tools • In-period adjustment – reduction of current-year variable remuneration outcomes. • Malus – reduction, lapse or forfeiture of unvested variable remuneration. • Clawback – recovery of variable remuneration that has vested or been paid, where permitted under applicable plan rules and law. • Deferral – a portion of variable remuneration is deferred and remains subject to ongoing risk, conduct and performance assessment, including potential application of malus where appropriate. 116 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 2.4 Board discretion Executive KMP remuneration is determined in accordance with the Executive Remuneration Framework. Remuneration outcomes are determined in accordance with relevant performance measures, plan design and the Equity Incentive Plan Rules. The PCRC and the Board recognise that there are a range of factors which are specific to current and future years, and these may be considered when arriving at the overall remuneration outcomes for each year. To account for those factors, the PCRC and the Board may make discretionary adjustments to remuneration outcomes for Executive KMP, those employees in Specified Role Categories and all other employees. These discretionary adjustments may impact an individual’s remuneration positively or negatively. In accordance with this principle, remuneration outcomes have been adjusted in prior years. The criteria used by the PCRC and the Board to recommend and approve discretionary adjustments include: • factors either not known or not relevant at the beginning of a performance period or financial year, which can impact performance positively or negatively during the course of that performance period or financial year; • the degree of stretch implicit in the performance measures and targets, and the environment and market context in which the targets were set; • whether the operating environment during the performance period or financial year was materially different than forecast; • comparison of the Group’s performance relative to its competitors; • the emergence of any major positive or negative risk or reputational issues; • the quality of financial results as shown by their composition and consistency; • whether leadership behaviours consistent with the Group’s Code of Conduct and values have been regularly demonstrated throughout the performance period or financial year; and • any other matters that the PCRC and Board deem to be relevant. 2.5 Executive KMP contract terms The employment terms for Executive KMP are formalised in their Executive Services Agreement (ESA). Each ESA provides for the payment of fixed and performance-based variable remuneration, superannuation and other benefits such as statutory leave entitlements. The employment terms of each Executive KMP are summarised in Table 4 below. T able 4 - Executive KMP contract terms CONTRACT DETAILS TERMS Contract type Permanent ongoing ESA Notice period by Executive 6 months Notice period by BOQ Group 6 months Termination payments (includes notice period) 6 months’ fixed reward in lieu of notice 2.6 Use of Remuneration Consultants During FY26, the Board did not engage any remuneration consultant to provide a remuneration recommendation, as defined under the Corporations Act 2001. During the year, EY was engaged to undertake BOQ's triennial independent review of compliance with APRA Prudential Standard CPS 511 Remuneration. This engagement did not involve the provision of a remuneration recommendation or remuneration assessment under the Act. 2025 Annual Report 117 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 3. FY26 remuneration framework 3.1 Our remuneration principles Our Vision. To be the bank customers choose. Our Strategy. To be a simple, specialist bank. Pillars. REWIRE THE BANK FOR THE FUTURE ACCELERATE THE CULTURE SHIFT OPTIMISE THE BANK ECONOMICS GROW OUR CUSTOMER RELATIONSHIPS Reward principles. 3.2 Our executive remuneration framework BOQ's executive remuneration framework is designed to align with the Group's strategy, market practice, investor expectations and the requirements of APRA Prudential Standard CPS 511 Remuneration. Figure 1 illustrates the delivery profile of the different remuneration components for FY26 awards. Further details of executive remuneration arrangements are provided in section 3.3. Figure 1 - Delivery and realisation timeframes – FY26 Granted Performance assessment Restriction lifted Performance Period Restriction Period Year 1 FY26 Year 2 FY27 Year 3 FY28 Year 4 FY29 Year 5 FY30 Year 6 FY31 Year 7 FY32 MD&CEO (inc. former MD&CEO) Fixed reward 100% 50% 10% 10% 15% 15% LT VR 33% 33% 34% Other Executive KMP (inc. former CRO) Fixed reward 100% 50% 25% 25% LT VR 50% 50% Subject to malus and clawback STVR (Cash) STVR (Cash) STVR (Restricted Shares) STVR (Restricted Shares) Promote performance outcomes consistent with BOQ Group's risk culture. Align reward to sustainable value creation and shareholder interests. Drive a high performance culture. Recognise the importance of exceptional customer and people experience. Ensure remuneration frameworks are clear, transparent and market competitive. 118 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 3.3 Remuneration structure The detailed FY26 Executive Remuneration Framework is outlined in table 5. T able 5 - FY26 Executive Remuneration Framework FIXED REWARD STVR LT VR Purpose Fixed remuneration forms an integral component of the overall employee value proposition, designed to attract and retain the talent required to run the bank. Fixed remuneration is designed to reflect the individual’s skills, capabilities and experience and ensure a competitive market position. STVR is designed to reward participants for execution of the Company’s strategy, individually and collectively, during the performance period. The Group Scorecard is reviewed annually and reflects the most critical strategic priorities for the financial year. LTVR is designed to align Executive KMP interests with the interests of shareholders and reward participants for their contribution towards delivering long-term sustainable shareholder value. Delivery Cash 50% Cash 50% Restricted Shares Performance Rights with a four-year performance period Opportunity N/A Current MD&CEO and other Executive KMP: target 75% of FR; maximum 94% of FR Former MD&CEO: target 110% of FR; maximum 147% of FR Former CRO(2) : target 60% of FR; maximum 75% of FR Current MD&CEO and other Executive KMP: 140% of FR. Former MD&CEO: 100% of FR. Former CRO: 112% of FR. Eligibility N/A At least three months’ active employment during the performance period. At least three months’ active employment during the grant year. Performance criteria Compliance with the terms and conditions of employment including the Code of Conduct and fulfilment of accountabilities under the Financial Accountability Regime. MD&CEO (inc. former): Group Scorecard (refer table 7) Other Executive KMP: 50% Group Scorecard, 50% Individual Objectives. Former CRO: Individual Objectives. Financial: 70% Non-Financial: 30% In addition to the performance hurdles set for each tranche of the award, the Board will undertake a pre- vesting and pre-release assessment. Risk Assessment Effective management of financial and non-financial risk, contribution to strengthening the Group’s risk maturity and improving risk culture. The Board will undertake a pre-release assessment prior to lifting the Dealing Restrictions from each tranche. Restricted awards are subject to malus. A clawback period of two years applies to each tranche, from the date restrictions are lifted from Restricted Shares, and from the date of payment for the cash component. Risk assessment prior to vesting and release of Dealing Restrictions. Unvested awards are subject to malus. Post-vesting Dealing Restrictions apply in satisfaction of CPS 511 deferral requirements. A clawback period of two years from the date the restrictions are lifted applies to each tranche. Vesting and restriction profile N/A 50% of the STVR will be paid in Cash on completion of the one-year performance period. Out of the 50% of the STVR that will be delivered via Restricted Shares, restrictions will be lifted in tranches as follows: MD&CEO (inc. former): 10% in December 2027; 10% in December 2028; 15% in December 2029; 15% in December 2030 (i.e., on completion of years two, three, four, and five). Other Executive KMP: 25% in December 2027; 25% in December 2028 (i.e., on completion of years two and three). Performance criteria test on completion of the four-year performance period. Restrictions released as follows: MD&CEO (inc. former): 33% in December 2029; 33% in December 2030; 34% in December 2031 (i.e., on completion of years four, five and six). Other Executive KMP: 50% in December 2029; 50% in December 2030 (i.e., on completion of years four and five). Cessation of employment N/A Restricted Shares issued under Deferred STVR will continue to vest in the event of a Qualifying Reason (1); and will be forfeited in the event of summary dismissal or resignation, including when notice of resignation is given. Unvested EPRs will remain on foot (rather than being pro-rated) in the event of a Qualifying Reason (1); and will be forfeited in the event of dismissal, resignation or working with a competitor within 6 months of cessation. (1) Qualifying Reason refers to retrenchment, retirement, mutually agreed separation, death, total and permanent disablement. (2) Rachel Stock ceased as Chief Risk Officer and a KMP on 31 May 2026 and concluded her employment with the Group on 31 August 2026. Effective 1 June 2026, Brad Davis served as Interim Chief Risk Officer and, given the interim nature of the role, was not considered a KMP for the purposes of this report. 2025 Annual Report 119 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 3.4 Remuneration mix The remuneration mix is designed so that a significant proportion of Executive KMP remuneration is at risk and contingent on performance outcomes. Figure 2 illustrates the FY26 target remuneration mix for Executive KMP. Figure 2 - FY26 remuneration mix at-target 11.9% STVR cash STVR equity LT VRFixed Reward 11.9% 44.4%MD&CEO and Other Executive KMP 32.3%Former MD&CEO 31.8% 17.7%32.3% 17.7% 11.0% 11.0% 41.2%36.8%Former CRO 120 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 4. FY26 remuneration outcomes This section details remuneration outcomes for Executive KMP during FY26. 4.1 Executive KMP actual reward outcomes for FY26 (non-statutory disclosure) This section provides a summary of the total reward received by Executive KMP during FY26. Table 6 includes a breakdown of: • fixed reward (including base salary and employer superannuation contributions); • the value of non-monetary and other short-term benefits; • termination benefits; and • the value of any variable remuneration that was realised, lapsed or forfeited during FY26. For remuneration disclosures in accordance with the Australian Accounting Standards, please refer to Section 6 (Statutory Disclosures). T able 6 - Non-statutory disclosure - FY26 Executive KMP Realised Remuneration Name Position title Year Fixed reward (1) $ STVR Cash (2) $ Value of deferred equity realised in period (3) $ Termination benefits (4) $ Total reward value (5) $ Prior years' equity forfeited / lapsed (6) $ CURRENT EXECUTIVE KMP Rod Finch (7) Managing Director & Chief Executive Officer 2026 1,171,052 341,719 280,985 - 1,793,756 - 2025 766,676 264,375 232,211 - 1,263,262 - Racheal Kellaway Chief Financial Officer 2026 859,265 280,500 280,014 - 1,419,779 - 2025 805,145 273,188 223,020 - 1,301,353 - Alexandra Taylor Chief People Officer 2026 729,308 254,203 228,638 - 1,212,149 - 2025 703,049 253,313 123,316 - 1,079,678 - Craig Ryman (8) Chief Information and Operations Officer 2026 853,268 244,406 369,391 - 1,467,065 - 2025 843,044 298,547 414,296 - 1,555,887 - Greg Boyle Group Executive Retail Banking 2026 775,202 222,188 290,372 - 1,287,762 - 2025 766,717 264,375 319,408 - 1,350,500 - Keith Strachan (9) Group Executive Business Banking 2026 646,506 193,423 131,989 - 971,918 - 2025 - - - - - - FORMER EXECUTIVE KMP Patrick Allaway (10) Former Managing Director & Chief Executive Officer 2026 799,970 356,400 110,860 1,214,363 2,481,593 - 2025 1,502,541 627,750 - - 2,130,291 - Rachel Stock (11) Former Chief Risk Officer 2026 645,796 - 50,553 252,527 948,876 2,300,532 2025 866,910 229,500 - - 1,096,410 - (1) Fixed reward comprises salary and superannuation, including annual leave paid, and the value of short-term benefits such as allowances and non-monetary benefits (including associated FBT), including car parking, accommodation, relocation and travel. (2) Cash STVR earned in respect of FY26, which will be paid in November 2026. (3) The value of deferred equity awards realised during the period, measured using the closing share price on the vesting date or the date on which restrictions were lifted. This excludes equity awards granted in prior years that were not realised during the period. (4) Includes termination payments in lieu of notice and, where relevant, any periods of gardening leave. For departing KMP, this also includes any leave paid out on termination of employment. (5) The total value of fixed reward, benefits, cash STVR, vested equity, deferred awards released from dealing restrictions and termination payments. (6) The value of equity that was forfeited or lapsed during the period as a result of performance hurdles not being met, the application of malus and/or cessation of employment. Rights and restricted shares are valued using the closing share price on the forfeiture or lapsing date. Premium -priced options are valued at nil, as the share price did not exceed the relevant exercise price at the lapsing date. (7) Rod Finch held the role of Chief Transformation & Operations Officer until 28 February 2026 and commenced as MD&CEO on 1 March 2026. (8) Craig Ryman served as Chief Information Officer until 28 February 2026. From 1 March 2026, his responsibilities were expanded and his role changed to Chief Information and Operations Officer. (9) Keith Strachan was appointed Group Executive, Business Banking effective 10 October 2025 and became a KMP from that date. (10) Patrick Allaway retired as MD&CEO and ceased as a KMP on 28 February 2026. His employment with the Group concluded on 31 August 2026. (11) Rachel Stock ceased as Chief Risk Officer and as a KMP on 31 May 2026. Her employment with the Group concluded on 31 August 2026. 2025 Annual Report 121 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 4.2 Fixed reward Fixed reward for Executive KMP is determined having regard to the size and scope of the role, individual capability, experience and market positioning against financial services organisations and other similarly sized ASX-listed companies. During FY26, fixed reward for continuing Executive KMP increased by an average of 3.3%. Fixed reward for newly appointed Executive KMP was set in accordance with the principles outlined above and the terms of their appointment. During FY26, Mr Allaway retired as MD&CEO and was succeeded by Mr Finch. Following Mr Finch's appointment, the Board reviewed the remuneration package for the MD&CEO to ensure it remained appropriately positioned and aligned with the Group's remuneration framework. The revised remuneration structure includes lower fixed remuneration and a greater proportion of remuneration at risk, increasing the emphasis on performance-based remuneration. In particular, the proportion of remuneration delivered through long- term variable remuneration increased from 32% of the former MD&CEO's target remuneration package to 44% for Mr Finch. This strengthens alignment between remuneration outcomes, long-term shareholder value creation and sustained business performance, while bringing the MD&CEO remuneration structure more closely into line with that of other Executive KMP . 4.3 Short-term variable reward outcomes STVR is determined based on a combination of Group Scorecard outcomes and Executive KMP’s performance against their individual objectives. The performance framework that underpins STVR places equal importance on both the delivery (the "what") and the impact (the "how"). Performance and STVR outcomes may be modified by the Board using its informed judgement in respect of key results, core requirements, management of accountabilities, effective risk management, underlying market and operational conditions and other considerations as determined by the Board. The performance outcomes for Executive KMP reflect their individual contribution to delivering both financial and non-financial objectives, their leadership in driving the transformation journey and their demonstration of sound risk behaviours. 4.3.1 Individual Objectives For Executive KMP other than the MD&CEO and the former CRO, individual objectives have a 50 per cent weighting to STVR outcomes. For the former CRO, individual objectives have a 100 per cent weighting. The Group Scorecard is the basis for the MD&CEO’s performance assessment. Each Executive KMP’s individual objectives, aligned to the Group Scorecard, were set with the MD&CEO at the commencement of FY26. The weighting of financial and non-financial measures in each scorecard varies by role, as outlined in Figure 3. Figure 3 - Weighting of individual financial and non-financial objectives Non-FinancialFinancial Racheal Kellaway Chief Financial Officer Alexandra Taylor Chief People Officer Craig Ryman Chief Information and Operations Officer Greg Boyle Group Executive Retail Banking Keith Strachan Group Executive Business Banking Rachel Stock Former Chief Risk Officer 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 55% 45% 25% 75% 40% 60% 50% 50% 25% 75% 45% 55% 4.3.2 FY26 Group Scorecard Outcomes The Group Scorecard articulates the areas of focus that support the achievement of the Group's strategy and sets the tone for how achievement is measured throughout the performance period. In FY26, the Group Scorecard informed the STVR outcome for the MD&CEO and 50 per cent of STVR outcomes for Executive KMP other than the former Chief Risk Officer. It also informed the size of the Group STVR pool. The FY26 Group Scorecard builds on the approach introduced in FY25, maintaining a focus on the key measures that drive business performance and shareholder value. Compared to FY25, the scorecard simplified the assessment of financial performance by placing greater emphasis on Cash NPAT and Return on Equity, which incorporate the benefits of disciplined cost management alongside growth and returns. The scorecard also increased the focus on execution through risk remediation and regulatory uplift delivery and adoption, and introduced a Business Bank customer growth measure to better align performance assessment with the Group's strategic priorities. The performance measures underpinning the FY26 Group Scorecard are summarised in Table 7, together with the associated rationale and FY26 outcomes. Based on these outcomes, the Board determined that STVR awards ranging from 79% to 94% of target (equivalent to 61% to 75% of maximum) were appropriate, as detailed in Table 8. 122 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. Table 7 - Assessment of FY26 group scorecard Metrics Rationale for inclusion FY26 Results FY26 outcome detail Threshold Target Exceed Customer (15%) Customers on digital bank (%) Migration to target-state digital platforms is critical to improving customer experience, reducing operational complexity and lowering the cost of servicing customers compared to legacy systems. The completion of the migration of ME customers to BOQ’s digital banking platform was a significant milestone and was assessed at target. The migration was a complex undertaking that was successfully delivered, although it involved temporary disruption for some customers. As the Group continues to embed the benefits of its digital transformation, a continued focus remains on minimising disruption and improving customer outcomes and experiences. Business Bank Gross Loan and Advances Growth ('000) Growth in the Business Bank's commercial lending portfolio supports the Group's strategic objective of growing higher-value customer relationships and delivering long-term earnings growth. Commercial lending growth within the Business Bank finished the year just above target, reflecting continued progress in executing the Group’s strategy to grow higher-value customer relationships and support long-term earnings growth. Culture Transformation (10%) Culture Transformation Index (%) Culture transformation remains a foundational pillar of the Group’s broader transformation agenda. Progress is measured through the Culture Transformation Index. Results from the Group’s internal culture survey conducted in August 2026 were below the threshold level and highlighted opportunities to further strengthen organisational culture. Risk Culture Index (%) A strong risk culture supports prudent decision- making, accountability and sustainable performance across the Group. The Risk Culture Index measures progress in embedding positive risk behaviours and practices across the organisation. 72% 74% 76% 77% Results from the Group’s internal risk culture survey conducted in August 2026 exceeded the target performance level, demonstrating the progress made through the Group’s continued investment in risk management and remediation initiatives. Risk, Remediation and Regulatory Uplift (15%) Program rQ (1) Delivery and adoption of the GRC platform and divisional risk profiles supports the uplift of risk management capability, governance and accountability across the Group. Partially delivered to plan Delivered to plan Exceeded plan Delivered to plan Program rQ delivered outcomes above its approved quantitative targets during FY26. The outcome has been assessed at target, reflecting that further work is required to embed the changes and realise the intended risk management outcomes. AML (2) Delivery of AML remediation initiatives supports regulatory compliance, strengthens financial crime controls and reduces enterprise risk. Partially delivered to plan Delivered to plan Exceeded plan Delivered to plan AML delivered outcomes that exceeded its approved quantitative targets during FY26. The outcome has been assessed at target, recognising that the program is focused on delivering agreed remediation commitments and strengthening sustainable risk and regulatory outcomes. Customer Remediation Uplift Program (3) Delivery of ASIC remediation commitments supports improved customer outcomes, regulatory compliance and stakeholder confidence. While all planned Phase 1 milestones for this program were delivered during FY26, the Board determined that further work was required to demonstrate the effectiveness and sustainability of the intended compliance outcomes. As a result, the outcome was assessed at below threshold. Simplification (10%) Heritage applications decommissioned (#) Operating and maintaining legacy applications remains a material driver of cost, risk and complexity. The measure provides a leading indicator of progress against the Group's technology simplification agenda. 90 100 110 102 While overall targets were achieved, the ME Bank simplification outcomes, which were the most significant component of the measure, were not fully delivered as planned due to the deferral of certain decommissioning activities into FY27. As a result, the intended benefits have not yet been fully realised and the outcome has been assessed at threshold. Reduction of Heritage Products for Sale (#) Product simplification enables downstream efficiencies across governance, processes and technology and supports a simpler operating model. 16 15 14 12 The number of heritage products for sale reduced to 12, resulting in an exceeded performance outcome. Profitability (35%) Cash NPAT (excluding notable items) ($) Cash NPAT (excluding notable items) reflects the Group's underlying and sustainable earnings. It holds management to be accountable for delivering results that support dividend payments, capital strength, and shareholder value. $350m $392m $434m $358m Cash NPAT (excluding notable items) resulted in an outcome just above threshold, reflecting lending contraction during a period of significant transformation activity and increased loan impairment expense, partly offset by disciplined cost management. Returns (15%) Return on Equity (%) Return on equity measures the Group’s effectiveness in generating shareholder value and reflects cash NPAT (excluding notable items) generated from average shareholder capital. 5.7% 6.4% 7.2% 6.1% FY26 Cash ROE (excluding notable items) of 6.1% reflected lower earnings during the year, partially offset by continued focus on capital management and optimisation initiatives. The outcome was assessed at threshold. Overall Group Scorecard Assessment Assessment: 81% (1) Program rQ metrics relate to delivery, adoption and completion respectively. (2) AML metrics relate to RAP issues closed or downgraded and KYC refresh completion. (3) The program metrics relate to the percentage of Consolidated Action Plan ( CAP) items implemented on time and validated by Grant Thornton ( GT). (4) Subject to target outcomes being achieved and no material adverse customer impacts from migration or digital adoption. 61% 68% 68% + qualitative overlay (4) 68% 1,598 2,002 2,400 2,060 65% 67% 69% 61% Partially delivered to plan Delivered to plan Exceeded plan Below threshold 2025 Annual Report 123 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 4.3.3 FY26 Executive KMP STVR Outcomes Table 8 represents the FY26 STVR outcomes for Executive KMP, relative to both target and maximum opportunity. T able 8 - FY26 Executive KMP STVR outcomes Name Role Performance outcome Target STVR opportunity $ Maximum STVR opportunity $ STVR awarded $ STVR as % of target STVR as % of maximum % of maximum forfeited CURRENT EXECUTIVE KMP Rod Finch (1) Managing Director & Chief Executive Officer Delivered $843,750 $1,057,500 $683,438 81% 65% 35% Racheal Kellaway Chief Financial Officer Delivered $637,500 $799,000 $561,000 88% 70% 30% Alexandra Taylor Chief People Officer Delivered $543,750 $681,500 $508,406 94% 75% 25% Craig Ryman Chief Information and Operations Officer Delivered $618,750 $775,500 $488,813 79% 63% 37% Greg Boyle Group Executive Retail Banking Delivered $562,500 $705,000 $444,375 79% 63% 37% Keith Strachan (2) Group Executive Business Banking Delivered $468,904 $587,693 $386,846 83% 66% 34% FORMER EXECUTIVE KMP Patrick Allaway (3) Managing Director & Chief Executive Officer Delivered $880,000 $1,176,000 $712,800 81% 61% 39% (1) Rod Finch’s STVR opportunity and actual STVR reflect his role as Chief Transformation & Operations Officer until 28 February 2026 and his role as MD&CEO from 1 March 2026 to year end. (2) The STVR opportunity and STVR outcome disclosed for Keith Strachan reflect only the period during which he was a KMP, commencing on 10 October 2025 following his appointment as Group Executive, Business Banking. (3) Patrick Allaway’s STVR opportunity and actual STVR represent amounts attributable to the period up to 28 February 2026, being the period during which he was a KMP. 4.4 Linking performance & reward outcomes Variable reward at BOQ is linked to the performance of both the Group as well as the individual contribution towards BOQ’s strategic objectives. T able 9 - Group performance summary 5 YEAR COMPANY PERFORMANCE FY26 FY25 FY24 FY23 (1) FY22 (1) Cash earnings after tax (2) $m 358 383 343 450 491 Basic cash earnings per share (2) cents 54.4 58.3 52.2 68.4 75.8 Cost to income ratio (2) % 65.4 64.7 66.8 58.0 56.5 Share price at balance sheet date $ 6.53 7.27 6.32 5.76 7.03 Dividends per ordinary share (fully franked) (3) cps 55 38 34 41 46 Cash return on average equity (2) % 6.1 6.4 5.7 7.3 8.2 (1) Metrics were restated to reflect prior period adjustments detailed in Note 1.5 of the 2023 Financial Statements. (2) Cash earnings after tax, basic cash earnings per share, cost to income ratio and cash return on average equity are non-statutory measures presented on a cash basis and exclude notable items. Non-statutory measures are not subject to audit. (3) The FY26 dividend of 55 cents per share includes a fully franked special dividend of 15 cents per share. 124 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 4.5 Long-term variable reward allocations In FY26, BOQ granted Executive Performance Rights (EPRs) as the instrument for delivering L TVR to Executives. The FY26 L TVR framework continues to maintain an appropriate balance between financial and non-financial measures. T o better align with market practice and shareholder interests, Relative T otal Shareholder Return (rTSR) replaced Absolute T otal Shareholder Return (aTSR) as the financial performance measure. Performance measures will be tested on completion of the four-year performance period, subject to the Board's assessment of the vesting conditions. T able 10 - L TVR key characteristics FEATURES DETAIL Performance period 1 September 2025 to 31 August 2029. Performance measures Relative Total Shareholder Return ( rTS R) – 70% Customer experience measures – 30%. Relative Total Shareholder Return (r TSR) Measures BOQ's TSR performance relative to a peer group of companies in the S&P/ASX100 Index, excluding companies in the energy and materials sectors. • The peer group is determined as at 1 September 2025 and may be adjusted where companies are taken over, demerged, delisted or otherwise determined by the Board to no longer be an appropriate peer. • TSR is measured using the five-day VWAP at the beginning and end of the performance period, with dividends assumed to be reinvested. Vesting scale: • 0% vesting below the 50th percentile; • 50% vesting at the 50th percentile; • Straight-line vesting between the 50th and 75th percentiles; • 100% vesting at or above the 75th percentile. Customer experience measures Measures long-term customer outcomes across both the Retail Bank and Business Bank over the four-year performance period. The customer experience measure represents 30% of LTVR and is equally weighted between the Retail Bank and Business Bank (15% each). Retail Bank customer experience is assessed based on the following measures and weightings: • transaction account activation rates (40% weighting), reflecting the proportion of transaction accounts activated within three months of opening (threshold: 43%; target: 45%); • net change in customer product holdings (40% weighting), reflecting the extent to which customers deepen their relationships with BOQ through increased product holdings (threshold: 4.5%; target: 5.5% cumulative improvement); and • customer sentiment (20% weighting), measured through customer survey results (threshold: +5 NPS; target: +10 NPS). Business Bank customer experience is assessed based on the following measures and weightings: • net customer growth (40% weighting), reflecting growth in the target business customer base (threshold: 8%; target: 12% cumulative growth); • net change in customer product holdings (40% weighting), reflecting the extent to which business customers deepen their relationships with BOQ through increased product holdings (threshold: 2%; target: 4% cumulative improvement); and • customer sentiment (20% weighting), measured through customer survey results (threshold: +5 NPS; target: +10 NPS). These measures are designed to assess the Group's ability to attract and retain customers, deepen customer relationships and improve customer advocacy and satisfaction over the performance period. The overall customer experience outcome is determined based on the weighted performance achieved across the underlying measures. Vesting is subject to Board-approved threshold and target performance levels established for each metric, based on the following vesting scale: • 0% vesting below threshold performance. • 50% vesting at threshold performance. • Straight-line vesting between threshold and target performance. • 100% vesting at target performance. Pre-vesting assessment In addition to testing the performance measures, the Board will conduct a pre-vesting assessment before any EPRs vest, including consideration of risk, conduct, compliance and other relevant factors. The Board retains discretion to reduce vesting outcomes, including to zero. Any EPRs that do not vest will lapse. Vesting schedule Shares will be allocated in respect of any vested EPRs. Once issued, the following release schedule will apply: • MD&CEO: 33% released in December 2029, 33% in December 2030 and 34% in December 2031. • Other Executive KMP: 50% released in December 2029 and 50% in December 2030. Any unreleased shares remain subject to dealing restrictions until the applicable release date. Board discretion The Board may adjust vesting outcomes and release schedules where appropriate, including to address significant unexpected or unintended consequences or outcomes. Any EPRs that do not vest will lapse. 2025 Annual Report 125 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 4.6 Dealing restrictions released during FY26 In December 2025, Dealing Restrictions were lifted from the: • third and final tranche (34%) of Restricted Shares issued on conversion of FY22 Performance Shares for 4 Executives (Rod Finch, Racheal Kellaway, Craig Ryman and Greg Boyle); • second tranche (33%) of Restricted Shares issued on conversion of FY23 Performance Shares for 4 Executives (Rod Finch, Racheal Kellaway, Craig Ryman and Greg Boyle). 4.7 Equity vested during FY26 In December 2025, the following awards were vested: • The first tranche of restricted shares awarded under the FY24 Deferred STVR vested for five current executives (Rod Finch, Racheal Kellaway, Alexandra Taylor, Craig Ryman and Greg Boyle) and two former executives (Patrick Allaway and Rachel Stock). • The second tranche of FY21 Premium Priced Options (PPOs) vested for Rod Finch, Greg Boyle, Racheal Kellaway and Craig Ryman. These PPOs are currently out of the money and will lapse if the BOQ share price does not exceed the exercise price of $9.3337 before the expiry date of 8 December 2026. • The first tranche of FY22 Premium Priced Options (PPOs) vested for Rod Finch, Greg Boyle, Racheal Kellaway, Craig Ryman and Keith Strachan. These PPOs are currently out of the money and will lapse if the BOQ share price does not exceed the exercise price of $9.5861 by the expiry date of 31 January 2028. • The second tranche of restricted shares awarded to Alexandra Taylor as part of her make-good arrangement vested during the year, representing 44% of the total make-good award. • A number of equity awards granted to Keith Strachan prior to his appointment as an Executive KMP vested during the year, including FY23 Deferred Award Rights (DARs), FY24 Chair Award Rights (CARs), FY24 Long-Term Variable Remuneration (LT VR) awards, FY25 one-off DARs, and discretionary equity DARs. 4.8 Other awards No additional one-off awards were granted during FY26. The one-off Deferred Award Rights ( DARs) granted to Craig Ryman in FY25 remain subject to their original terms and performance conditions. The first tranche of the award is scheduled to vest on 7 December 2026, subject to the Board assessing performance against the relevant milestones ahead of the vesting date. The outcome of the Board's assessment and the resulting vesting outcome will be disclosed in the FY27 Remuneration Report. 126 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 5. Non-Executive Director remuneration 5.1 Fee pool NED fees are determined within an aggregate fee pool limit. The current fee pool stands at $2,800,000 inclusive of superannuation and was approved by shareholders on 30 November 2016. The fee pool provides the Board with flexibility to accommodate changes in its size and composition. The Board will not seek shareholder approval to increase the fee pool at the 2026 AGM. 5.2 Remuneration framework NED fees are set to attract and retain individuals of appropriate calibre to the Board and Committees. Fees are reviewed periodically by the PCRC having regard to external market data and the fees paid by organisations of comparable size and complexity. The Chair’s fee is determined independently from the fees of other Directors and is also based on the external market. The Chair is not present at any discussions relating to the determination of his own remuneration. To maintain independence and impartiality, NEDs do not receive any performance-based remuneration including share options or rights subject to a performance condition in addition to their prescribed fees. NEDs are not provided with retirement benefits apart from statutory superannuation. Under the BOQ Constitution, Directors may receive additional remuneration for extra or special services performed for the Company. No Director received additional remuneration of this nature during FY26. 5.3 Non-Executive Director fees During FY26, BOQ operated an individual committee fee structure, under which Non-Executive Directors receive a base Board fee together with additional fees for Committee Chair and Committee membership responsibilities. The Chair did not receive additional remuneration for Committee participation. The Board comprised six Non-Executive Directors at the commencement of FY26 and returned to six following the appointment of Chris Eigeland. For substantially all of FY26, all Non-Executive Directors served on all standing Board Committees, reflecting the Board's composition and supporting effective governance across the Group's governance framework during a period of enhanced oversight. During FY26, the Due Diligence Committee and Investment Committee were discontinued with those responsibilities incorporated into the other existing Committees. Accordingly, no fees were paid in respect of these Committees during the year. No changes were made to Non-Executive Director fees during FY26. The FY26 fee structure will continue to apply in FY27 and remains within the aggregate fee pool approved by shareholders. Details of the fee structure are outlined in Table 11. T able 11 - FY26 and FY27 NED fees ANNUAL FEES Chair (1) ($) Member ($) Base fees 515,000 205,000 Audit Committee 60,000 30,000 Customer, Transformation & Technology Committee 60,000 30,000 People, Culture & Remuneration Committee 60,000 30,000 Risk Committee 60,000 30,000 Nomination & Governance Committee 0 0 (1) The chair receives no additional remuneration for involvement with Committees. 5.4 Minimum shareholding requirements NEDs are required to hold equity interests equivalent to 100 per cent of their base fee within five years of their appointment to the Board. They may acquire these interests by purchasing on market in accordance with the Group Securities Trading Policy. All directors currently meet, or are on track to meet, the minimum shareholding requirement, with detailed holdings disclosed in Table 17. The NED Fee Sacrifice Rights Plan was not offered during FY26 and remains suspended indefinitely. 2025 Annual Report 127 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 6. Statutory disclosures The following tables include details of the nature and amount, as required by the Corporations Act 2001 (Cth), of each major element of the remuneration of each Non-Executive and Executive KMP of the Group, calculated in accordance with Australian Accounting Standards. Details of the nature and amount of each major element of the remuneration of each Director of the Group are as outlined in Table 12 below. T able 12 - Directors’ Remuneration Name Year Salary and fees (1) $ STVR Cash (2) $ Non- monetary benefits (3) $ Other short- term benefits (4) $ Total short- term benefits $ Post- employment (5) $ Other long-term (6) $ Termination Benefits (7) $ Rights (8) $ Shares and units (9) $ Total $ Proportion of remuneration performance based % CURRENT EXECUTIVE DIRECTOR Rod Finch (10) 2026 1,136,692 341,719 15,336 - 1,493,747 53,841 93,575 - 392,804 232,164 2,266,131 28% 2025 756,763 264,375 14,652 - 1,035,790 29,949 16,376 - 459,433 230,697 1,772,245 39% CURRENT NON-EXECUTIVE DIRECTORS Andrew Fraser (11) 2026 458,039 - - - 458,039 29,717 - - - - 487,756 N/A 2025 269,257 - - - 269,257 29,777 - - - - 299,034 N/A Chris Eigeland (12) 2026 84,447 - - - 84,447 10,134 - - - - 94,581 N/A 2025 - - - - - - - - - - - N/A Karen Penrose 2026 324,583 - - - 324,583 30,417 - - - - 355,000 N/A 2025 289,843 - - - 289,843 30,156 - - - - 319,999 N/A Mary Waldron 2026 320,235 - - - 320,235 31,450 - - - - 351,685 N/A 2025 227,554 - - - 227,554 24,281 - - - - 251,835 N/A Mickie Rosen 2026 341,260 - - - 341,260 9,392 - - - - 350,652 N/A 2025 306,825 - - - 306,825 8,175 - - - - 315,000 N/A Paul Riordan 2026 315,480 - - - 315,480 31,584 - - - - 347,064 N/A 2025 88,949 - - - 88,949 10,426 - - - - 99,375 N/A FORMER EXECUTIVE DIRECTORS Patrick Allaway (13) 2026 739,850 356,400 7,530 - 1,103,780 15,000 (79,740) 1,139,653 1,620,290 738,479 4,537,462 52% 2025 1,521,755 627,750 14,652 - 2,164,157 29,949 29,478 - 527,916 345,575 3,097,075 28% FORMER NON-EXECUTIVE DIRECTORS Warwick Negus (14) 2026 80,833 - - - 80,833 5,000 - - - - 85,833 N/A 2025 470,057 - - - 470,057 29,944 - - - - 500,001 N/A (1) Salary and fees includes base salary (for Executive Directors) or directors’ fees (for Non -Executive Directors) earned during the financial year, including annual leave accrued during the year. (2) Represents 50% of the accrued STVR award, being the cash component of the STVR outcome. The remaining 50% is delivered as deferred Restricted Shares. (3) Company-funded benefits (and associated FBT) such as car parking, accommodation, relocation and travel. (4) Other cash benefits paid during the year, such as allowances. (5) Superannuation contributions made in the financial year. (6) Comprises long service leave accrued and/or utilised during the financial year. Included in FY26 is a negative long service leave expense of $79,740 for Patrick Allaway, reflecting the reversal of long service leave expense accrued prior to the beginning of FY26. (7) Includes payments in lieu of notice, other equity-related benefits provided on termination and, where applicable, remuneration paid during the contractual notice period and associated leave. (8) The fair value of rights is calculated at the date of grant using an industry-accepted option pricing model. (9) Represents the value of Restricted Shares awarded through short-term variable reward as well as converted Performance Shares. The fair value of shares has been calculated at the grant date using an industry-accepted pricing model. (10) Rod Finch held the role of Chief Transformation & Operations Officer until 28 February 2026 and commenced as MD&CEO on 1 March 2026.Amounts disclosed represent remuneration received in respect of his executive responsibilities throughout FY26. (11) Andrew Fraser was appointed Chair of the Board on 24 October 2025, having served as an Independent Non-Executive Director since 8 February 2024. (12) Chris Eigeland was appointed as a Non-Executive Director effective 18 May 2026. (13) Patrick Allaway retired as MD&CEO and ceased as a KMP on 28 February 2026. His employment with the Group concluded on 31 August 2026. (14) Warwick Negus retired from the Board effective 24 October 2025. 128 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 6. Statutory disclosures (continued) Details of the nature and amount of each major element of the remuneration of each Executive KMP of the Group are as outlined in Table 13 below. T able 13 - Executive KMP remuneration Name Position title Year Salary and fees (1) $ STVR Cash (2) $ Non- monetary benefits (3) $ Other short- term benefits (4) $ Total short-term benefits $ Post- employment (5) $ Other long- term (6) $ Termination benefits (7) $ Rights (8) $ Shares and units (9) $ Total $ Proportion of remuneration performance based % CURRENT EXECUTIVE KMP Racheal Kellaway Chief Financial Officer 2026 787,507 280,500 15,336 - 1,083,343 40,557 24,906 - 431,195 234,030 1,814,031 37% 2025 722,657 273,188 28,052 - 1,023,897 29,949 18,068 - 515,795 203,174 1,790,883 40% Alexandra Taylor Chief People Officer 2026 676,848 254,203 - 1,203 932,254 37,796 14,259 - 279,172 256,816 1,520,297 35% 2025 695,826 253,313 - 1,203 950,342 29,949 13,238 - 201,309 316,122 1,510,960 34% Craig Ryman (10) Chief Information and Operations Officer 2026 778,530 244,406 15,336 1,203 1,039,475 40,005 15,319 - 748,712 236,467 2,079,978 47% 2025 828,693 298,547 14,652 1,203 1,143,095 29,949 16,384 - 843,475 285,574 2,318,477 49% Greg Boyle Group Executive Retail Banking 2026 702,074 222,188 15,336 - 939,598 38,348 13,147 - 398,327 206,269 1,595,689 38% 2025 737,722 264,375 14,652 - 1,016,749 29,949 35,229 - 493,381 189,578 1,764,886 39% Keith Strachan (11) Group Executive Business Banking 2026 584,989 193,423 13,729 1,075 793,216 33,352 31,874 - 145,983 179,128 1,183,553 27% 2025 - - - - - - - - - - - - FORMER EXECUTIVE KMP Rachel Stock (12) Former Chief Risk Officer 2026 611,266 - 11,900 - 623,166 22,500 (25,506) 239,334 (203,054) (102,598) 553,842 0% 2025 848,444 229,500 14,652 - 1,092,596 29,949 16,218 - 176,670 138,114 1,453,547 22% (1) Salary and fees includes base salary earned and annual leave accrued during the year. (2) Represents 50% of the accrued STVR award, being the cash component of the STVR outcome. The remaining 50% is delivered as deferred Restricted Shares. (3) Company-funded benefits (and associated FBT) such as car parking, accommodation, relocation and travel. (4) Other cash benefits paid during the year, such as allowances. (5) Superannuation contributions made in the financial year. (6) Comprises long service leave accrued and/or utilised during the financial year. Rachel Stock's FY26 amount includes a reversal of long service leave expense of $25,506 accrued prior to the beginning of FY26. (7) Includes payments in lieu of notice, other equity-related benefits provided on termination and, where applicable, remuneration paid during the contractual notice period and associated leave. (8) The fair value of rights is calculated at the date of grant using an industry-accepted option pricing model. Rachel Stock's FY26 amount includes a reversal of previously recognised expense of $203,054 following the lapse of awards upon cessation of employment. (9) Represents the value of Restricted Shares awarded through short-term variable reward and make-good awards as well as converted Performance Shares. The fair value of shares has been calculated at the grant date using an industry-accepted pricing model. Rachel Stock's FY26 amount includes a reversal of previously recognised expense of $102,598 following the lapse of awards upon cessation of employment. (10) Craig Ryman served as Chief Information Officer until 28 February 2026. From 1 March 2026, his responsibilities were expanded and his role changed to Chief Information and Operations Officer. (11) Keith Strachan was appointed Group Executive, Business Banking and became a KMP effective 10 October 2025. The remuneration expense disclosed reflects the period from his commencement as a KMP. (12) Rachel Stock ceased as Chief Risk Officer and as a KMP on 31 May 2026. Her employment with the Group concluded on 31 August 2026. 2025 Annual Report 129 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 6.1 Equity held by Executive KMP 6.1.1 Underlying factors used to value equity awards held by Executive KMP The underlying factors used to value equity awards held by Executive KMP are set out in Tables 14 and 15 and inform the disclosures in Table 12 and 13. The acronyms for award names as shown in Tables 14, 15 and 16 are as follows: • Deferred Award Rights (DARs) • Executive Performance Rights (EPRs) • Performance Shares (PS) • Premium Priced Options (PPOs) • CEO and Chair Award Rights (CARs) • Restricted Shares (RS). T able 14 - Valuation inputs for awards issued in 2026 Award name Tranche number Performance Condition Vesting date / date restrictions are lifted (1) Grant date assumed for valuation Share price (2) $ Fair value (3) $ Expiry date FY26 RS 1 Non-Market 07/12/2026 17/12/2025 $6.41 $6.41 - FY26 RS 2 Non-Market 06/12/2027 17/12/2025 $6.41 $6.41 - FY26 RS 1 Non-Market 07/12/2026 22/01/2026 $6.77 $6.77 - FY26 RS 2 Non-Market 06/12/2027 22/01/2026 $6.77 $6.77 - FY26 RS (4) 3 Non-Market 08/12/2028 22/01/2026 $6.77 $6.77 - FY26 RS (4) 4 Non-Market 07/12/2029 22/01/2026 $6.77 $6.77 - FY26 RS (4) 5 Non-Market 06/12/2030 22/01/2026 $6.77 $6.77 - FY26 EPRs 1, 2, 3 Market 06/12/2029 22/01/2026 $6.77 $3.28 22/01/2033 FY26 EPRs 1, 2, 3 Non-Market 06/12/2029 22/01/2026 $6.77 $5.45 22/01/2033 (1) Represents the vesting date for EPRs and the date on which dealing restrictions are lifted for RS. (2) Closing share price on the grant date. (3) The fair value of rights granted measured using industry accepted pricing methodologies, taking into account the terms and conditions upon which the rights are granted. (4) Tranches 3, 4 and 5 of the FY26 Restricted Shares relate only to the former MD&CEO, Patrick Allaway. 130 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 6.1 Equity held by Executive KMP (continued) T able 15 - Valuation inputs for awards issued in prior years Award name Tranche number Performance Condition Vesting Date Grant date assumed for valuation Share price (1) $ Fair value (2) $ Expiry date/ Restrictions lifted (3) FY21 PPOs 2 Non-Market 8/12/2025 9/04/2021 8.73 0.88 8/12/2026 FY21 PPOs 2 Non-Market 8/12/2025 6/01/2021 7.48 0.58 8/12/2026 FY21 PPOs 2 Non-Market 8/12/2025 30/06/2021 9.11 1.02 8/12/2026 FY22 PPOs 1 Non-Market 8/12/2025 31/01/2022 7.64 0.56 31/01/2028 FY22 PPOs 2 Non-Market 6/12/2026 31/01/2022 7.64 0.62 31/01/2029 FY24 DARs 3 Non-Market 7/12/2026 20/12/2023 6.03 5.06 20/12/2030 FY23 PS 3 Non-Market 6/12/2023 13/02/2023 7.16 6.87 6/12/2026 FY23 PPOs 1 Non-Market 6/12/2026 13/02/2023 7.16 0.69 6/12/2028 FY23 PPOs 2 Non-Market 6/12/2027 13/02/2023 7.16 0.73 6/12/2029 FY23 PS 3 Non-Market 6/12/2023 24/05/2023 5.68 5.52 6/12/2026 FY23 PPOs 1 Non-Market 6/12/2026 24/05/2023 5.68 0.24 6/12/2028 FY23 PPOs 2 Non-Market 6/12/2027 24/05/2023 5.68 0.28 6/12/2029 FY24 CARs 3 Non-Market 6/12/2026 31/01/2024 6.04 5.06 31/01/2031 FY24 EPRs 1, 2, 3 Non-Market 6/12/2027 30/01/2024 5.96 4.84 30/01/2031 FY24 EPRs 1, 2, 3 Market 6/12/2027 30/01/2024 5.96 2.32 30/01/2031 FY23 PPOs 1 Non-Market 6/12/2026 31/01/2024 6.04 0.24 6/12/2028 FY23 PPOs 2 Non-Market 6/12/2027 31/01/2024 6.04 0.31 6/12/2029 FY24 EPRs 1, 2 Non-Market 6/12/2027 22/05/2024 5.92 4.83 22/05/2031 FY24 EPRs 1, 2 Market 6/12/2027 22/05/2024 5.92 2.28 22/05/2031 FY24 RS 3 Non-Market 7/12/2026 24/05/2024 5.84 5.92 7/12/2026 FY25 RS 2 Non-Market 7/12/2026 19/12/2024 6.72 6.77 7/12/2026 FY25 RS 3 Non-Market 6/12/2027 19/12/2024 6.72 6.77 6/12/2027 FY25 RS 4 Non-Market 8/12/2028 19/12/2024 6.72 6.77 8/12/2028 FY25 EPRs 1, 2, 3 Non-Market 6/12/2028 24/01/2025 6.79 5.62 24/01/2032 FY25 EPRs 1, 2, 3 Market 6/12/2028 24/01/2025 6.79 3.06 24/01/2032 FY25 DARs 2 Non-Market 7/12/2026 24/01/2025 6.79 6.20 24/01/2032 FY25 DARs 3 Non-Market 6/12/2027 24/01/2025 6.79 5.90 24/01/2032 FY25 DARs 1 Non-Market 7/12/2026 15/05/2025 7.64 7.07 15/05/2032 FY25 DARs 2 Non-Market 7/12/2029 15/05/2025 7.64 6.08 15/05/2032 (1) Closing share price on the grant date assumed for valuation. (2) The fair value of rights granted is measured using industry accepted pricing methodologies, taking into account the terms and conditions upon which the rights are granted. (3) Performance Shares lapsed if they were not converted to Restricted Shares on completion of the one-year performance period. Once converted, Restricted Shares do not have an expiry date. The date shown for converted Performance Shares and Restricted Shares is the date that Dealing Restrictions are lifted. 2025 Annual Report 131 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 6.2 Equity instruments - holdings and movements The movement in equity instruments held by Executive KMP during FY26 is set out in Table 16. The table includes equity awards granted, vested, exercised, forfeited or lapsed during the year, together with the balance of equity instruments held at 31 August 2026 and the value realised on vesting. T able 16 - Movement and value of equity awards held by Executive KMP during financial year 2026 Balance 1 Sep 25 (1) Other Granted (2) Vested / Converted (3) Forfeited / Lapsed Exercised / Restrictions lifted (4) Balance 31 Aug 26 (5) Value at 31 Aug 26 (6) $ Vested and unexercised as at 31 Aug 26(10) UnitsGrant Units $ Units Date Units Date Units Date $ UnitsUnits CURRENT EXECUTIVE KMP Rod Finch EPRs 292,975 - 136,162 535,426 - - - - - - - 429,137 1,704,815 - PPO 1,143,469 - - - 243,031 08/12/2025 79,153 06/12/2025 - - - 1,064,316 717,815 243,031 PS 46,191 - - - - - - - 27,416 08/12/2025 189,924 18,775 127,010 18,775 RS 32,567 34,284 232,103 16,283 08/12/2025 16,283 08/12/2025 110,236 50,568 342,346 - Racheal Kellaway DARs - - - - - - - - - - - - - - EPRs 302,885 - 154,317 606,814 - - - - - - - 457,202 1,815,788 - PPO 1,478,653 - - - 346,939 08/12/2025 226,591 06/12/2025 - - - 1,252,062 898,600 346,939 PS 49,603 - - - - - - - 25,589 08/12/2025 176,686 24,014 164,976 24,014 RS 35,919 - 35,427 239,841 17,959 08/12/2025 - - 17,959 08/12/2025 121,582 53,387 361,430 - Alexandra Taylor EPRs 210,841 - 131,623 517,577 - - - - - - - 342,464 1,344,500 - RS 60,654 - 32,850 222,395 35,558 08/12/2025 - - 35,558 08/12/2025 217,712 57,946 378,172 - Craig Ryman DARs 225,772 - - - - - - - - - - 225,772 1,484,451 - EPRs 327,028 - 149,778 588,965 - - - - - - - 476,806 1,895,311 - PPO 2,089,741 - - - 611,891 08/12/2025 389,973 06/12/2025 - - - 1,699,768 1,102,878 611,891 PS 61,187 - - - - - - - 36,455 08/12/2025 255,177 24,732 169,909 24,732 RS 41,986 - 38,716 262,107 20,993 08/12/2025 - - 20,993 08/12/2025 142,123 59,709 404,229 - Greg Boyle EPRs 288,652 - 136,162 535,426 - - - - - - - 424,814 1,686,616 - PPO 1,525,314 - - - 459,571 08/12/2025 295,694 06/12/2025 - - - 1,229,620 883,967 459,571 PS 48,182 - - - - - - - 28,397 08/12/2025 198,581 19,785 135,922 19,785 RS 33,525 - 34,284 232,103 16,762 08/12/2025 - - 16,762 08/12/2025 113,479 51,047 345,588 - Keith Strachan (7) CARs 7,542 - - - 2,828 08/12/2025 - - 2,828 08/05/2026 15,158 4,714 23,853 - DARs 29,941 - - - 17,699 08/12/2025 - - 17,699 08/05/2026 99,731 12,242 65,452 - EPRs - - 127,085 499,731 - - - - - - - 127,085 499,731 - PPO 71,128 - - - 35,564 08/12/2025 - - - - - 71,128 41,966 35,564 RS - - 24,694 158,289 - - - - - - - 24,694 158,289 - (1) Opening balance represents the balance at the date the individual became a KMP. (2) Represents the maximum number of securities that may vest to each Executive. The value is calculated as the number of securities multiplied by the fair value. The minimum total value that may vest is zero. (3) Represents Premium Priced Options, CARs and DARs vested on 8 December 2025 and Restricted Shares released from dealing restrictions on 8 December 2025. (4) The value represents the fair value at grant date multiplied by the number of units or rights exercised, or shares released from dealing restrictions. (5) Balance amounts as at 31 August 2026 represent unvested awards and vested awards that are not yet exercised. (6) Balance amounts as at 31 August 2026 are measured by multiplying the number of awards by their fair value. (7) Keith Strachan commenced as KMP on 10 October 2025. The opening balance reflected holdings as at 10 October 2025. (8) Patrick Allaway ceased to be a KMP on 28 February 2026. He commenced a six-month notice period on gardening leave and ceased employment with the Group on 31 August 2026. (9) Rachel Stock ceased to be a KMP on 31 May 2026 and concluded employment with the Group on 31 August 2026. (10) Vested PPOs are immediately exercisable. Vested Performance Shares are held under dealing restrictions. 132 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 6.2 Equity instruments - holdings and movements (continued) Balance 1 Sep 25 (1) Other Granted (2) Vested / Converted (3) Forfeited / Lapsed Exercised / Restrictions lifted (4) Balance 31 Aug 26 (5) Value at 31 Aug 26 (6) $ Vested and unexercised as at 31 Aug 26(10) UnitsGrant Units $ Units Date Units Date Units Date $ UnitsUnits FORMER EXECUTIVE KMP Patrick Allaway (8) EPRs 498,810 - 207,485 815,868 - - - - - - - 706,295 2,824,376 - PPO 796,562 - - - - - - - - - - 796,562 219,055 - RS 86,206 - 81,406 551,119 17,241 08/12/2025 - - 17,241 08/12/2025 116,722 150,371 1,018,012 - Rachel Stock (9) EPRs 191,221 - 123,454 485,456 - - 314,675 31/08/2026 - - - - - - RS 15,725 - 29,762 201,489 7,862 08/12/2025 37,625 31/08/2026 7,862 08/12/2025 53,236 - - - (1) Opening balance represents the balance at the date the individual became a KMP. (2) Represents the maximum number of securities that may vest to each Executive. The value is calculated as the number of securities multiplied by the fair value. The minimum total value that may vest is zero. (3) Represents Premium Priced Options, CARs and DARs vested on 8 December 2025 and Restricted Shares released from dealing restrictions on 8 December 2025. (4) The value represents the fair value at grant date multiplied by the number of units or rights exercised, or shares released from dealing restrictions. (5) Balance amounts as at 31 August 2026 represent unvested awards and vested awards that are not yet exercised. (6) Balance amounts as at 31 August 2026 are measured by multiplying the number of awards by their fair value. (7) Keith Strachan commenced as KMP on 10 October 2025. The opening balance reflected holdings as at 10 October 2025. (8) Patrick Allaway ceased to be a KMP on 28 February 2026. He commenced a six-month notice period on gardening leave and ceased employment with the Group on 31 August 2026. (9) Rachel Stock ceased to be a KMP on 31 May 2026 and concluded employment with the Group on 31 August 2026. (10) Vested PPOs are immediately exercisable. Vested Performance Shares are held under dealing restrictions. 2025 Annual Report 133 2026 Annual Report
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For the year ended 31 August 2026 Remuneration Report. 6.2 Equity instruments - holdings and movements (continued) The number of equity instruments held directly, indirectly, or beneficially by each Director, Executive KMP or related party is set out in Table 17. All shares were acquired by Directors under normal terms and conditions or through the (now suspended) NED Fee Sacrifice Rights Plan. T able 17 - Number of other equity instruments held directly, indirectly or beneficially Ordinary Shares (1) Held on 1 September 2025 Purchases / (Sales) Rights granted under NED Fee Sacrifice Rights Plan Received on exercise of Rights or when restrictions were lifted from Restricted Shares Held on 31 August 2026 CURRENT DIRECTORS Rod Finch 55,066 - - 43,699 98,765 Andrew Fraser 11,533 18,320 - - 29,853 Karen Penrose 33,912 - - - 33,912 Mary Waldron - 10,500 - - 10,500 Mickie Rosen 30,000 - - - 30,000 Paul Riordan - 15,375 - - 15,375 FORMER DIRECTORS Patrick Allaway (2) 242,742 - - 17,241 N/A Warwick Negus (3) 246,300 - - - N/A CURRENT EXECUTIVE KMP Racheal Kellaway 120,725 - - 43,548 164,273 Alexandra Taylor 17,846 - - 35,558 53,404 Craig Ryman 124,349 - - 57,448 181,797 Greg Boyle 51,778 - - 45,159 96,937 Keith Strachan (4) 0 - - 20,527 20,527 FORMER EXECUTIVE KMP Rachel Stock (5) 14,500 - - 7,862 N/A (1) Directors and KMPs with nil shareholding opening balances as at 1 September 2025 and closing balances as at 31 August 2026 have been excluded from the table. (2) Patrick Allaway retired as MD&CEO and ceased as a KMP on 28 February 2026. His employment with the Group concluded on 31 August 2026. When Patrick Allaway first transitioned from Chairman to MD&CEO, he held 221,864 ordinary shares. (3) Warwick Negus retired from the Board effective 24 October 2025. (4) Keith Strachan was appointed Group Executive, Business Banking on 10 October 2025 and became a KMP from that date. (5) Rachel Stock ceased as Chief Risk Officer and as a KMP on 31 May 2026. Her employment with the Group concluded on 31 August 2026. 134 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Remuneration Report. 6.3 KMP - other transactions 6.3.1 Loan transactions Loans to KMP and their related parties (including close family members and entities over which the KMP and/or their close family members have control, joint control, or considerable influence) are provided in the ordinary course of business. Normal commercial terms and conditions are applied to all loans. Any discounts provided to KMP are the same as those available to all employees of the Group. There have been no write-downs or amounts recorded as provisions during FY26. Details of loans held by KMP and their related parties during FY26, where the individual’s aggregate loan balance exceeded $100,000 at any time in this period, are set out in Table 18. T able 18 - Aggregated loan transactions with KMP Balance at 1 September 2025 $ Interest and fees charged during the year $ Balance at 31 August 2026 $ Highest balance during the year $ CURRENT EXECUTIVE KMP Greg Boyle 1,077,826 1,833 965,541 1,077,827 OTHER RELATED PARTIES - CURRENT Karen Penrose related parties 1,616,656 90,475 1,421,748 1,621,737 Details regarding the aggregate value of loans made, guaranteed, or secured by any entity in the economic entity to all KMP and their related parties and the number of individuals in each group are set out in Table 19. T able 19 - Aggregated loan and lease transactions with KMP Balance at 1 September 2025 $ Interest and fees charged during the year $ Balance at 31 August 2026 $ Number in Group at 31 August 2026 Current Executive KMP 1,192,658 7,048 985,591 3 Other Related Parties - Current 1,616,656 90,475 1,421,748 1 6.3.2 Capital notes On 14 November 2022, the Bank issued Capital Notes at price of $100 per note. Details of those notes issued to KMP are set out in Table 20. T able 20 - Capital notes Balance at 31 August 2026 $ Interest earned for the year $ CURRENT DIRECTORS Karen Penrose Capital Notes 3 50,000 2,574 2025 Annual Report 135 2026 Annual Report
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Directors' Report. For the year ended 31 August 2026 Principal activities The principal activities of the Group are set out on page 4. There have been no significant changes in the nature of the principal activities of the Group during 2026. Operating and Financial Review The Group's Operating and Financial Review is contained in pages 81 to 108 of this report Indemnification of officers The Bank’s Constitution, supported by a Deed of Indemnity, Insurance and Access, provides an indemnity in favour of all directors and officers of the Bank against liabilities incurred by them in their capacity as an officer to the maximum extent permitted by law. Insurance of officers Since the end of the previous financial year, the Bank has paid insurance premiums in respect of a Directors’ and Officers’ liability insurance contract. The contract insures each person who is or has been a director or officer (as defined in the relevant policy) of the Bank against certain liabilities arising in the course of their duties to the Bank and its subsidiaries, as defined in the relevant policy. The Directors have not included details of the nature of the liabilities covered or the amount of the premium paid in respect of the insurance contract as such disclosure is prohibited under the terms of the contract. Directors’ interests Directors' interests as at the date of this report are disclosed in the remuneration report on pages 132 to 135. Information on Directors, Company Secretaries and Directors' meetings Information on the directors, company secretaries and Board and Board Committee meetings are set out in the Corporate Governance Statement on pages 26 to 38. Audit and non-audit services During the year, PwC, the Bank’s auditor, has performed certain other services in addition to their statutory duties. The Board has considered the non-audit services provided during the year by the auditor are compatible with, and did not compromise, the auditor’s independence requirements of the Corporations Act 2001 (Cth) for the following reasons: • all non-audit services were subject to the corporate governance procedures adopted by the Bank and have been reviewed by the Audit Committee to ensure they do not impact the integrity and objectivity of the auditor; and • the non-audit services provided do not undermine the general principles relating to auditor’s independence as set out in APES 110 Code of Ethics for Professional Accountants, as they did not involve reviewing or auditing the auditor’s own work, acting in a management or decision making capacity for the Bank or acting as an advocate for the Bank or jointly sharing risks and rewards. Details of the amounts paid to the auditor of the Bank, PwC and its related practices, for audit and non-audit services provided during the year are set out in Note 5.6 Auditor’s remuneration to the financial statements. Lead auditor’s independence declaration The lead auditor’s independence declaration is set out on page 138 and forms part of the Directors’ report for the year ended 31 August 2026. Significant changes in state of affairs Director changes during the year included: • Warwick Negus ceased as an Independent Non-Executive Director and Chair of the Board effective 24 October 2025; • Andrew Fraser was appointed Chair of the Board and Chair of the Nomination and Governance Committee effective 24 October 2025; • Patrick Allaway ceased as Managing Director on 28 February 2026 and Rod Finch was appointed Managing Director effective 1 March 2026; and • Chris Eigeland was appointed as an Independent Non-Executive director of the Board effective 18 May 2026. Management changes during the year included: • Keith Strachan was appointed Group Executive Business Bank effective 10 October 2025; • Patrick Allaway ceased as CEO on 28 February 2026; • Rod Finch ceased as Chief Transformation and Operations Officer, and was appointed CEO, effective 1 March 2026. The Chief Transformation and Operations Officer role has not been replaced with Operations realigned under the Chief Information Officer, and Strategy and Transformation responsibilities assumed by the Chief Financial Officer; and • Rachel Stock ceased in the role of Chief Risk Officer effective 12 June 2026 and ceased with the Group on 31 August 2026. Brad Davis was appointed as Acting Chief Risk Officer effective 12 June 2026. Mandy Khanna will commence as Chief Risk Officer effective 11 January 2027. For any other significant developments, please refer to page 215 which forms part of the Directors' report. 136 Bank of Queensland Limited and its Controlled Entities
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Directors' Report. For the year ended 31 August 2026 Management attestation The Board has been provided with a joint written statement from the Group’s Managing Director & CEO and Chief Financial Officer confirming that, in their opinion, the financial records of the Bank and the Group have been properly maintained and the accompanying financial statements and notes in accordance with the Corporations Act 2001 (Cth) comply with accounting standards and present a true and fair view in all material respects of the Bank’s and Group’s financial position and performance as at and for the year ended 31 August 2026. The statement also confirms t o the Board that the consolidated entity disclosure statement (CEDS) contained on pages 219 to 220 of the Annual Report is true and correct. The Directors’ Declaration can be found on page 221 of the financial statements. Environmental regulation The Group is not required to report under the National Greenhouse and Energy Reporting Act 2007 (Cth) because our business operations are below the threshold at which those requirements apply. The Group does not believe its operations are subject to other significant environmental regulation under a law of the Commonwealth or a State or Territory. The Group may become subject to environmental regulation as a result of its lending activities in the ordinary course of business and has processes in place designed to ensure any potential risk is addressed. We are not aware of the Group incurring any material liability under any environmental legislation. For more information on our approach to climate reporting, please refer to our Sustainability Report. Dividends Details of dividends paid during the financial year ended 31 August 2026 are outlined in Note 2.4 Dividends to the financial statements. Subsequent events The Bank has determined a fully franked dividend of 20 cents per share amounting to $132 million to be paid on 19 November 2026. The financial effect of these dividends has not been brought to account in the financial statements for the year ended 31 August 2026. Further details with respect to the dividend payment and dividend reinvestment plan can be obtained from Note 2.4 Dividends to the financial statements. No matters or circumstances have arisen since the end of the financial year and up until the date of this report which significantly affect the operations of the Bank and the Group, the results of those operations, or the state of affairs of the Bank and the Group in subsequent years. Rounding The amounts in this report have been rounded to the nearest one million dollars in accordance with ASIC Corporations Instrument 2026/183 dated 24 March 2026, unless otherwise stated. Any discrepancies between total and sums of components in tables contained in this report are due to rounding. Signed in accordance with a resolution of the Directors: Andrew Fraser Chair 14 October 2026 Rod Finch Managing Director & CEO 14 October 2026 2026 Annual Report 137
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Lead Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001. For the year ended 31 August 2026 PricewaterhouseCoopers, ABN 52 780 433 757 One International Towers Sydney, Watermans Quay, BARANGAROO NSW 2000, GPO BOX 2650 SYDNEY NSW 2001 T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.au pwc.com.au Liability limited by a scheme approved under Professional Standards Legislation. Auditor’s Independence Declaration As lead auditor of Bank of Queensland Limited's financial report and specified sustainability disclosures within the sustainability report for the year ended 31 August 2026, I declare that, to the best of my knowledge and belief, there have been: a) no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the audit of the financial report or the review of the specified sustainability disclosures; and b) no contraventions of any applicable code of professional conduct in relation to the audit of the financial report or the review of the specified sustainability disclosures. Craig Stafford Sydney Partner 14 October 2026 PricewaterhouseCoopers 138 Bank of Queensland Limited and its Controlled Entities
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140 Bank of Queensland Limited and its Controlled Entities
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2026 Annual Report 141 2026 FINANCIAL REPORT .
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For the year ended 31 August 2026 Income statements. Consolidated Bank Note 2026 $m 2025 $m 2026 $m 2025 $m Interest income: Effective interest income 2.1 4,016 4,327 4,721 5,087 Other 2.1 733 727 700 687 Interest expense 2.1 (3,222) (3,527) (4,190) (4,609) Net interest income 2.1 1,527 1,527 1,231 1,165 Net other operating income 2.1 159 141 493 430 Net operating income before impairment and operating expenses 2.1 1,686 1,668 1,724 1,595 Operating expenses 2.2 (1,250) (1,370) (1,168) (1,321) Impairment (loss) / benefit on loans and advances (54) (20) (10) 16 Profit before income tax 382 278 546 290 Income tax expense 2.3 (132) (145) (132) (124) Profit for the year 250 133 414 166 PROFIT ATTRIBUTABLE TO: Equity holders of Bank of Queensland Limited 250 133 414 166 EARNINGS PER SHARE (EPS) Basic EPS - Ordinary shares (cents) 2.6 38.1 20.1 Diluted EPS - Ordinary shares (cents) 2.6 37.2 19.9 The income statements should be read in conjunction with the accompanying notes. 142 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Statements of comprehensive income. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Profit for the year 250 133 414 166 OTHER COMPREHENSIVE INCOME, NET OF INCOME TAX Items that may be reclassified subsequently to profit or loss Cash flow hedges: Net movement taken to equity (76) (6) (33) (13) Net movement transferred to profit or loss (5) (1) (5) (1) Debt instruments at fair value through other comprehensive income ( FVOCI): Net change in fair value 33 7 33 7 Net movement transferred to profit or loss (1) (3) (1) (3) Items that will not be reclassified subsequently to profit or loss Equity instruments at FVOCI: Net change in fair value 4 3 4 3 Other comprehensive loss, net of income tax (45) - (2) (7) Total comprehensive income for the year 205 133 412 159 TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO: Equity holders of Bank of Queensland Limited 205 133 412 159 The statements of comprehensive income should be read in conjunction with the accompanying notes. 2026 Annual Report 143
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Balance sheets. As at 31 August 2026 Consolidated Bank Note 2026 $m 2025 $m 2026 $m 2025 $m ASSETS Cash and cash equivalents 3.1 2,248 3,024 1,018 1,660 Due from other financial institutions 190 236 106 148 Derivative financial assets 3.2, 3.8 945 696 891 413 Financial assets at fair value through profit or loss ( FVTPL) 3.2 1,054 941 1,054 941 Debt instruments at FVOCI 3.2 16,035 16,331 16,035 16,331 Equity instruments at FVOCI 3.2 10 6 10 6 Debt instruments at amortised cost 3.2 15 15 10,635 12,843 Loans and advances 3.3 71,640 77,553 68,704 71,365 Assets held for sale - 4 - - Other assets 352 380 535 558 Current tax assets 46 82 46 83 Amounts due from controlled entities 5.3a) - - 4,422 7,270 Property, plant and equipment 133 156 131 154 Investments in controlled entities 5.4a) - - 359 384 Deferred tax assets 2.3 72 59 108 133 Intangible assets 4.1 967 1,043 946 1,000 Total assets 93,707 100,526 105,000 113,289 LIABILITIES Due to other financial institutions 1,427 1,003 1,427 1,003 Deposits 3.4 71,227 75,677 71,437 75,892 Derivative financial liabilities 3.2, 3.8 340 194 198 194 Accounts payable and other liabilities 4.3 1,041 949 940 895 Provisions 4.2 94 140 92 140 Amounts due to controlled entities 5.3a) - - 16,205 19,111 Borrowings 3.5 13,840 16,656 9,016 10,411 Total liabilities 87,969 94,619 99,315 107,646 Net assets 5,738 5,907 5,685 5,643 EQUITY Issued capital 5,319 5,333 5,354 5,361 Reserves 283 277 323 274 Retained profits 136 297 8 8 Total equity 5,738 5,907 5,685 5,643 The balance sheets should be read in conjunction with the accompanying notes. 144 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Statements of changes in equity. Consolidated Issued capital $m Employee benefits reserve $m Cash flow hedge reserve $m FVOCI reserve $m Profit reserve $m Retained profits $m Total equity $m YEAR ENDED 31 AUGUST 2026 Balance as at 31 August 2025 5,333 57 30 (33) 223 297 5,907 TOTAL COMPREHENSIVE INCOME FOR THE YEAR Profit for the year - - - - - 250 250 Transfers to profit reserve - - - - 414 (414) - OTHER COMPREHENSIVE INCOME, NET OF INCOME TAX: Cash flow hedges: Net movement taken to equity - - (76) - - - (76) Net movement transferred to profit or loss - - (5) - - - (5) Debt instruments at FVOCI: Net change in fair value - - - 33 - - 33 Net movement transferred to profit or loss - - - (1) - - (1) Equity instruments at FVOCI: Net change in fair value - - - 4 - - 4 Total other comprehensive income / (loss) - - (81) 36 - - (45) Total comprehensive income / (loss) for the year - - (81) 36 414 (164) 205 TRANSACTIONS WITH EQUITY HOLDERS IN THEIR CAPACITY AS EQUITY HOLDERS Dividends to shareholders (1) - - - - (363) 3 (360) Share buy-back (2) (7) - - - - - (7) Treasury shares (7) - - - - - (7) Total contributions by and distributions to owners (14) - - - (363) 3 (374) Balance as at 31 August 2026 5,319 57 (51) 3 274 136 5,738 (1) The dividend reinvestment plan (DRP) for the dividends paid on 21 November 2025 and 27 May 2026 was satisfied through the on-market purchase of 1,665,632 and 1,793,793 shares, respectively. Each purchase was valued at $11 million. The DRP was suspended for the special dividend paid on 24 August 2026. Dividends paid on shares held by the BOQ Employee Share Plan Trust are eliminated on consolidation within retained earnings. (2) On 10 August 2026, the Group announced its intention to undertake an on-market share buy-back of up to $196 million. As at 31 August 2026, the Group has bought back and cancelled 1,040,214 shares at an average price of $6.40. After the balance sheet date, the purchase of a further 681,948 shares at an average price of $6.50 settled and the shares were cancelled. The statements of changes in equity should be read in conjunction with the accompanying notes. 2026 Annual Report 145
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For the year ended 31 August 2025 Statements of changes in equity. Consolidated Issued capital $m Employee benefits reserve $m Cash flow hedge reserve $m FVOCI reserve $m Profit reserve $m Retained profits $m Total equity $m YEAR ENDED 31 AUGUST 2025 Balance as at 31 August 2024 5,342 60 37 (37) 251 364 6,017 TOTAL COMPREHENSIVE INCOME FOR THE YEAR Profit for the year - - - - - 133 133 Transfers to profit reserve - - - - 203 (203) - OTHER COMPREHENSIVE INCOME, NET OF INCOME TAX: Cash flow hedges: Net movement taken to equity - - (6) - - - (6) Net movement transferred to profit or loss - - (1) - - - (1) Debt instruments at FVOCI: Net change in fair value - - - 7 - - 7 Net movement transferred to profit or loss - - - (3) - - (3) Equity instruments at FVOCI: Net change in fair value - - - 3 - - 3 Transfer from reserves (1) - - - (3) - 3 - Total other comprehensive income / (loss) - - (7) 4 - 3 - Total comprehensive income / (loss) for the year - - (7) 4 203 (67) 133 TRANSACTIONS WITH EQUITY HOLDERS IN THEIR CAPACITY AS EQUITY HOLDERS Dividends to shareholders (2) - - - - (231) - (231) Equity settled transactions - (3) - - - - (3) Treasury shares (9) - - - - - (9) Total contributions by and distributions to owners (9) (3) - - (231) - (243) Balance as at 31 August 2025 5,333 57 30 (33) 223 297 5,907 (1) Disposal of equity instruments at FVOCI in the year ended 31 August 2025 resulted in a transfer of cumulative gain in respect of these instruments from FVOCI reserve to retained profits. (2) The dividend reinvestment plan for the dividends paid on 19 November 2024 and 23 May 2025 was satisfied through the on-market purchase of 1,530,045 and 1,360,097 shares respectively. Each purchase was valued at $10 million. The statements of changes in equity should be read in conjunction with the accompanying notes. 146 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Statements of changes in equity. Bank Issued capital $m Employee benefits reserve $m Cash flow hedge reserve $m FVOCI reserve $m Profit reserve $m Retained profits $m Total equity $m YEAR ENDED 31 AUGUST 2026 Balance as at 31 August 2025 5,361 57 27 (33) 223 8 5,643 TOTAL COMPREHENSIVE INCOME FOR THE YEAR Profit for the year - - - - - 414 414 Transfers to profit reserve - - - - 414 (414) - OTHER COMPREHENSIVE INCOME, NET OF INCOME TAX: Cash flow hedges: Net movement taken to equity - - (33) - - - (33) Net movement transferred to profit or loss - - (5) - - - (5) Debt instruments at FVOCI: Net change in fair value - - - 33 - - 33 Net movement transferred to profit or loss - - - (1) - - (1) Equity instruments at FVOCI: Net change in fair value - - - 4 - - 4 Total other comprehensive income / (loss) - - (38) 36 - - (2) Total comprehensive income / (loss) for the year - - (38) 36 414 - 412 TRANSACTIONS WITH EQUITY HOLDERS IN THEIR CAPACITY AS EQUITY HOLDERS Dividends to shareholders (1) - - - - (363) - (363) Share buy-back (2) (7) - - - - - (7) Total contributions by and distributions to owners (7) - - - (363) - (370) Balance as at 31 August 2026 5,354 57 (11) 3 274 8 5,685 (1) The dividend reinvestment plan (DRP) for the dividends paid on 21 November 2025 and 27 May 2026 was satisfied through the on-market purchase of 1,665,632 and 1,793,793 shares, respectively. Each purchase was valued at $11 million. The DRP was suspended for the special dividend paid on 24 August 2026. (2) On 10 August 2026, the Group announced its intention to undertake an on-market share buy-back of up to $196 million. As at 31 August 2026, the Group has bought back and cancelled 1,040,214 shares at an average price of $6.40. After the balance sheet date, the purchase of a further 681,948 shares at an average price of $6.50 settled and the shares were cancelled. The statements of changes in equity should be read in conjunction with the accompanying notes. 2026 Annual Report 147
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Bank Issued capital $m Employee benefits reserve $m Cash flow hedge reserve $m FVOCI reserve $m Profit reserve $m Retained profits $m Total equity $m YEAR ENDED 31 AUGUST 2025 Balance as at 31 August 2024 5,361 60 41 (37) 251 42 5,718 TOTAL COMPREHENSIVE INCOME FOR THE YEAR Profit for the year - - - - - 166 166 Transfers to profit reserve - - - - 203 (203) - OTHER COMPREHENSIVE INCOME, NET OF INCOME TAX: Cash flow hedges: Net movement taken to equity - - (13) - - - (13) Net movement transferred to profit or loss - - (1) - - - (1) Debt instruments at FVOCI: Net change in fair value - - - 7 - - 7 Net movement transferred to profit or loss - - - (3) - - (3) Equity instruments at FVOCI: - - Net change in fair value - - - 3 - - 3 Transfer from reserves (1) - - - (3) - 3 - Total other comprehensive income / (loss) - - (14) 4 - 3 (7) Total comprehensive income / (loss) for the year - - (14) 4 203 (34) 159 TRANSACTIONS WITH EQUITY HOLDERS IN THEIR CAPACITY AS EQUITY HOLDERS Dividends to shareholders (2) - - - - (231) - (231) Equity settled transactions - (3) - - - - (3) Total contributions by and distributions to owners - (3) - - (231) - (234) Balance as at 31 August 2025 5,361 57 27 (33) 223 8 5,643 (1) Disposal of equity instruments at FVOCI in the year ended 31 August 2025 resulted in a transfer of cumulative gain in respect of these instruments from FVOCI reserve to retained profits. (2) The dividend reinvestment plan for the dividends paid on 19 November 2024 and 23 May 2025 was satisfied through the on-market purchase of 1,530,045 and 1,360,097 shares respectively. Each purchase was valued at $10 million. The statements of changes in equity should be read in conjunction with the accompanying notes. For the year ended 31 August 2025 Statements of changes in equity. 148 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Statements of cash flows. Consolidated Bank Note 2026 $m 2025 $m 2026 $m 2025 $m CASH FLOWS FROM OPERATING ACTIVITIES Interest received 4,680 5,032 5,156 5,576 Fees and other income received 147 133 262 258 Interest paid (3,186) (3,620) (4,165) (4,704) Cash paid to suppliers and employees (955) (1,088) (989) (1,031) Income tax paid (90) (230) (90) (231) 596 227 174 (132) DECREASE / (INCREASE) IN OPERATING ASSETS: Loans and advances at amortised cost 2,044 2,595 2,751 2,809 Proceeds from forward-flow arrangement 5.5b) 238 - - - Other financial assets (225) 111 1,859 109 (DECREASE) / INCREASE IN OPERATING LIABILITIES: Deposits (4,467) (544) (4,037) (613) Due to other financial institutions 424 (61) 424 (61) Net cash inflows / (outflows) from operating activities 3.1 (1,390) 2,328 1,171 2,112 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from whole-of-loan sale 5.5a) 3,641 - - - Payments for property, plant and equipment (21) (13) (21) (13) Proceeds from sale of property, plant and equipment 2 3 - - Payments to owner managers for branch fitouts - (7) - (7) Proceeds from sale of equity investments - 6 - 6 Proceeds from sale of joint arrangement 3 2 - - Proceeds from sale of ME legacy credit card portfolio 29 - 29 - Payments to owner managers for right to operate intangible assets 4.1 - (92) - (92) Payments for software 4.1 (106) (100) (106) (100) Dividends received from controlled entities - - 103 18 Net cash inflows / (outflows) from investing activities 3,548 (201) 5 (188) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings 3.5 1,438 1,987 1,438 1,987 Repayments of borrowings 3.5 (3,950) (3,723) (2,528) (2,348) Net movement in other financing activities - - (303) (990) Payments for treasury shares (20) (24) (20) (24) Share buy-back 3.10 (7) - (7) - Dividends paid 2.4 (360) (231) (363) (231) Payment of lease liabilities (35) (39) (35) (39) Net cash outflows from financing activities (2,934) (2,030) (1,818) (1,645) Net increase / (decrease) in cash and cash equivalents (776) 97 (642) 279 Cash and cash equivalents at beginning of year 3,024 2,927 1,660 1,381 Cash and cash equivalents at end of year 3.1 2,248 3,024 1,018 1,660 The statements of cash flows should be read in conjunction with the accompanying notes. 2026 Annual Report 149
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For the year ended 31 August 2026 Notes to the financial statements. Page Note 1. Basis of preparation. 151 1.1 Reporting entity 151 1.2 Basis of preparation 151 1.3 Use of estimates and judgements 151 1.4 New Australian accounting standards and legislative changes 151 Note 2. Financial performance. 153 2.1 Operating income 153 2.2 Operating expenses 154 2.3 Income tax expense and deferred tax 156 2.4 Dividends 159 2.5 Operating segments 160 2.6 Earnings per share 162 Note 3. Capital and balance sheet management. 163 3.1 Cash and cash equivalents 163 3.2 Financial assets and liabilities 164 3.3 Loans and advances 166 3.4 Deposits 175 3.5 Borrowings 176 3.6 Financial risk management 178 3.7 Fair value of financial instruments 187 3.8 Derivative financial instruments and hedge accounting 190 3.9 Capital management 196 3.10 Capital and reserves 196 Note 4. Other assets and liabilities. 198 4.1 Intangible assets 198 4.2 Provisions and contingent liabilities 201 4.3 Accounts payable and other liabilities 205 Note 5. Other notes. 206 5.1 Employee benefits 206 5.2 Commitments 209 5.3 Related parties information 209 5.4 Controlled entities 211 5.5 Capital partnership 214 5.6 Auditor’s remuneration 215 5.7 Events subsequent to balance date 215 5.8 Material accounting policies 216 150 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. Note 1. Basis of preparation. 1.1 Reporting entity The Bank of Queensland Limited ( the Bank) is a for-profit company domiciled in Australia. Its registered office is Level 3, 100 Skyring Terrace, Newstead, QLD 4006. The Financial Report includes the consolidated and standalone financial statements of the Group and the Bank. The consolidated financial statements as at and for the financial year ended 31 August 2026 comprise the Consolidated Entity (the Group), being the Bank and its controlled entities. The principal activity of the Group is the provision of financial services to the community. 1.2 Basis of preparation a) Statement of compliance These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and interpretations issued by the Australian Accounting Standards Board ( AASB) and the Corporations Act 2001 (Cth). The financial statements and notes thereto also comply with International Financial Reporting Standards ( IFRS) as issued by the International Accounting Standards Board ( IASB). The financial statements were authorised for issue by the Directors on 14 October 2026. The Directors have the power to amend and reissue the financial statements. b) Basis of measurement The financial statements are prepared on a going concern basis using a historical cost basis, with the exception of the following assets and liabilities which are stated at their fair value: • Derivative financial instruments; • Financial instruments at FVTPL; • Loans at FVTPL; and • Financial instruments at FVOCI. c) Functional and presentation currency The financial statements are presented in Australian dollars, which is the Bank’s functional currency. d) Rounding The Group and the Bank are of a kind referred to in ASIC Corporations Instrument 2026/183 dated 24 March 2026 and in accordance with that instrument, amounts in the financial statements have been rounded to the nearest million dollars, unless otherwise stated. e) Significant accounting policies Significant accounting policies are included within each of the relevant notes throughout the financial statements with the exception of policies listed in Note 5.8. f) Changes in accounting policies During the year ended 31 August 2026, the Group revised its accounting treatment of ongoing trail commissions payable to mortgage brokers. The Bank has recognised a liability within accounts payable and other liabilities equal to the present value of expected future trail commission payments and a corresponding increase in capitalised brokerage costs in gross loans and advances. Comparative information has not been restated. 1.3 Use of estimates and judgements The preparation of the financial report in conformity with Australian Accounting Standards requires management to make judgements, estimates and assumptions that affect the application of accounting policies and reported amounts of assets, liabilities, income and expenses. These estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. These accounting policies have been consistently applied throughout the Group. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting standards are recognised in the period in which the estimates are revised if the revision only affects that period, or in the period of the revision and future periods if the revision affects both current and future periods. Information about significant areas of estimation uncertainty and critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements are described below: • Loans and advances - weighted average life (WAL) - Note 3.3; • Loans and advances - expected credit losses (ECL) - Note 3.3; • Fair value of financial instruments - Note 3.7; • Intangible assets - Note 4.1; • Provisions and contingent liabilities - Note 4.2; • Capital partnership (non consolidation of SPV and derecognition of transferred assets) – Note 5.5; and • Consolidation of structured entities - Note 5.8a). 1.4 New Australian accounting standards and legislative changes Standards, amendments to standards and interpretations issued by the AASB and the IASB, including those that are not yet effective, are not expected to result in significant changes to the Group or the Bank. Sustainability reporting standards In September 2024, the AASB issued Australian Sustainability Reporting Standards AASB S1 General Requirements for Disclosure of Sustainability-related Financial Information (AASB S1) and AASB S2 Climate-related Disclosures ( AASB S2). As a Group 1 reporting entity, BOQ has prepared its Sustainability Report in accordance with the Corporations Act 2001 (Cth) and AASB S2 for the year ended 31 August 2026, available on pages 55 to 74. The Group does not intend to voluntarily adopt AASB S1. 2026 Annual Report 151
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For the year ended 31 August 2026 Notes to the financial statements. 1.4 New Australian accounting standards and legislative changes (continued) AASB 18 Presentation and Disclosure in Financial Statements AASB 18 Presentation and Disclosure in Financial Statements was issued in June 2024 and will be effective for the Group from 1 September 2027. The standard is required to be applied retrospectively and replaces AASB 101 Presentation of Financial Statements. AASB 18 focuses on improving information disclosed about financial performance in the income statement, with new requirements relating to the disclosure of management-defined performance measures as well as the introduction of newly defined subtotals and grouping information. The changes are aimed to improve transparency and comparability of financial information for investors. The Group is continuing to assess the impact of adopting this standard. Amendments to AASB 7 Financial Instruments: Disclosures and AASB 9 Financial Instruments AASB 2024-2 Amendments to Australian Accounting Standards - Classification and Measurement of Financial Instruments was issued in July 2024 and will be effective for the Group from 1 September 2026. The amendments include clarification on the derecognition of financial liabilities settled via electronic payment systems and guidance on assessing contractual cash flow characteristics for financial assets with environmental, social, and governance or similar features. The disclosure requirements for equity instruments at FVOCI were also amended, with disclosures required for financial instruments with contingent features that do not relate directly to basic lending risks and costs. The Group has assessed the amendments and does not expect their adoption to have a material impact on the Group's consolidated financial statements. 152 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. Note 2. Financial performance. 2.1 Operating income Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m INTEREST INCOME Effective interest income Loans and other receivables 4,016 4,327 4,525 4,887 Due from controlled entities - - 196 200 Other: Securities at fair value 733 727 700 687 Total interest income 4,749 5,054 5,421 5,774 INTEREST EXPENSE Retail deposits (2,061) (2,300) (2,061) (2,301) Wholesale deposits and borrowings (1,158) (1,223) (2,125) (2,304) Lease liabilities (3) (4) (3) (4) Due to controlled entities - - (1) - Total interest expense (3,222) (3,527) (4,190) (4,609) Net interest income 1,527 1,527 1,231 1,165 INCOME FROM OPERATING ACTIVITIES Customer fees and charges (1) 72 71 71 70 Loyalty program expenses (6) (8) (6) (8) Commissions 31 48 11 12 Foreign exchange income – customer based 15 17 15 17 Income from capital partnership (2) 15 - - - Origination costs associated with capital partnership (2) - - - Net gain/(loss) from financial instruments and derivatives at fair value 8 (2) 12 (2) Profit on sale of ME credit card portfolio (3) 4 - 4 - Profit on sale of joint venture 2 1 - - Securitisation income from controlled entities - - 141 157 Dividend income from controlled entities - - 143 58 Management fees from controlled entities - - 85 117 Other income 20 14 17 9 Net other operating income 159 141 493 430 Total 1,686 1,668 1,724 1,595 (1) Customer charges on lending, banking and leasing products. (2) Includes servicing fee income as well as fair value gain/(loss) on equipment finance loans measured at Fair Value Through Profit or Loss ( FVTPL ) under the forward-flow arrangement. Refer to Note 3.3. (3) In February 2026, the Group sold its ME legacy credit card portfolio, with a total carrying value of $42 million. Interest income and expense Interest income and expense for all interest bearing financial instruments, excluding loans measured at fair value through profit or loss (FVTPL), is recognised in the income statement using the effective interest rate of the financial assets or financial liabilities to which they relate. The effective interest rate is the rate that discounts estimated future cash flows through the expected life of the financial instrument or, where appropriate, a shorter period, to the net carrying amount of the financial instrument. When calculating the effective interest rate, the Group estimates cash flows considering all contractual terms of the financial instrument but not future credit losses. Commitment fees, establishment fees, and transaction costs that are directly attributable to the origination or acquisition of financial instruments and are considered integral to the effective interest rate are included in the measurement of the effective interest rate. Interest income on finance lease receivables is recognised progressively over the life of the lease, reflecting a constant periodic rate of return in the lease. Interest income on financial instruments that are classified at FVTPL or fair value through other comprehensive income (FVOCI) is accounted for on a contractual rate basis, and includes amortisation of premium or discounts. Other operating income Other lending, banking and leasing fees revenue is recognised over the contract period in line with the performance obligation delivered to the customers. Customer service fees that represent the recoupment of the costs of providing the service are recognised when the service is provided. Commissions are recognised as income when performance obligations in respect of those commissions have been satisfied. Dividends are recognised when control of a right to receive consideration is established. Securitisation income includes servicing fees and trust distributions. Servicing fees are recognised as income over the period in which services are provided. Trust distributions represent residual income allocated to unitholders and are recognised once the Bank is entitled. Management fee income is recognised in profit or loss as management services are provided and the related performance obligations are satisfied. Servicing fee income is earned under the Group's capital partnership and is recognised as the related performance obligations are satisfied over time. 2026 Annual Report 153
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For the year ended 31 August 2026 Notes to the financial statements. 2.2 Operating expenses Consolidated Bank Note 2026 $m 2025 $m 2026 $m 2025 $m EMPLOYEE EXPENSES Salaries, wages and superannuation contributions 520 501 520 501 Payroll tax 31 30 31 30 Equity settled transactions 9 12 9 12 Other employee expenses 11 15 11 15 571 558 571 558 IT EXPENSES Technology services 242 232 237 227 Amortisation - computer software 4.1 96 82 94 79 Impairment - intangible assets (1) 4.1 37 13 37 13 Depreciation - IT equipment 2 3 2 3 377 330 370 322 OCCUPANCY EXPENSES Depreciation of ROU assets and lease expenses 39 38 39 38 Depreciation - property, plant and equipment 13 13 13 13 Impairment - lease and leasehold improvements (1) 6 2 6 2 Other occupancy expenses 6 5 6 5 64 58 64 58 ADMINISTRATIVE EXPENSES Professional fees 22 25 21 23 Directors’ fees 2 2 2 2 Other administrative expenses 8 9 17 18 32 36 40 43 OTHER OPERATING EXPENSES Advertising 40 39 23 21 Communications and postage 17 27 17 27 Processing costs 23 17 23 17 Printing and stationery 6 6 6 6 Other (1) 39 49 39 49 125 138 108 120 OTHER Loss on whole-of-loan sale 5.5a) 66 - - - Impairment – goodwill - 170 - 143 Amortisation - right to operate assets 4.1 21 38 21 38 Amortisation - acquired intangibles 4.1 8 8 8 8 Remedial Action Plans 4.2 (3) 21 (3) 21 Restructuring provision 4.2 (11) 10 (11) 10 Impairment - joint arrangements - 3 - - 81 250 15 220 Total operating expenses 1,250 1,370 1,168 1,321 (1) These line items contain $47 million impairment announced on 10 August 2026, comprising $37 million related to computer software, $5 million to tangible assets and $5 million to prepayments in other assets. 154 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 2.2 Operating expenses (continued) Operating expenses are recognised on an accruals basis, over the period in which services are rendered. Employee expenses Employee expenses are recognised over the period during which employees provide services. Refer to Note 4.2 for details regarding the measurement of annual leave and long service leave entitlements. For the accounting policy on equity-settled transactions, refer to Note 5.1b). Information Technology (IT) expenses Technology expenses are recognised on an accruals basis over the period in which the services are rendered. IT expenses include the amortisation of intangible assets, which is recognised in profit or loss using the straight-line method over the estimated useful life of the asset. Refer to Note 4.1 for further information. Occupancy expenses Depreciation is calculated using the straight-line method over the estimated useful lives of the individual components of property, plant, and equipment. Depreciation of right-of-use assets is recognised over the shorter of the lease term or the useful life of the underlying asset. 2026 Annual Report 155
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For the year ended 31 August 2026 Notes to the financial statements. 2.3 Income tax expense and deferred tax Income tax expense The major components of income tax expense along with a reconciliation between pre-tax profit and tax expense are detailed below: Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m CURRENT TAX EXPENSE Current year 124 135 114 98 Adjustments for prior years 2 (2) (8) - 126 133 106 98 DEFERRED TAX EXPENSE Origination and reversal of temporary differences 6 12 26 26 Total income tax expense in income statement 132 145 132 124 DEFERRED TAX RECOGNISED IN EQUITY Cash flow hedge reserve 35 (3) 16 (6) Other (15) 2 (15) 2 Income tax charged in equity 20 (1) 1 (4) NUMERICAL RECONCILIATIONS BETWEEN TAX EXPENSE AND PRE-TAX PROFIT Profit before tax 382 278 546 290 Income tax using the Australian corporate tax rate of 30% (2025: 30%) 115 83 164 87 INCREASE IN INCOME TAX EXPENSE DUE TO: Loss on sale of New Zealand asset portfolio - (1) - - Goodwill impairment - 51 - 43 Non-deductible other expenses 17 12 11 11 DECREASE IN INCOME TAX EXPENSE DUE TO: Other (1) - - (43) (17) Income tax expense on pre-tax net profit (2) 132 145 132 124 (1) In the Bank, this includes the impact of dividends received from subsidiary members in the tax consolidated group which are eliminated at the Group level. (2) The Group’s effective tax rate for the year ended 31 August 2026 was 34.6% (2025: 52.2%). This is above the corporate tax rate of 30 per cent, primarily attributable to the interest payable on Capital Notes, which is non-deductible for tax purposes. Prior year effective tax rate was above the corporate tax rate of 30 per cent primarily due to the impairment of Goodwill and interest payable on Capital Notes, which are both non-deductible for tax purposes. 156 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 2.3 Income tax expense and deferred tax (continued) Recognised deferred tax assets and liabilities Deferred tax assets and liabilities are attributable to the following: Assets Liabilities Net Consolidated 2026 $m 2025 $m 2026 $m 2025 $m 2026 $m 2025 $m Accruals 24 22 - - 24 22 Capitalised expenditure - - (4) (10) (4) (10) ECL Provisions 77 88 - - 77 88 Other provisions 30 42 - - 30 42 Equity reserves 23 3 - - 23 3 ROU Asset and Lease Liability 44 44 (38) (36) 6 8 Lease financing relating to lessor activities - - (82) (101) (82) (101) Intangible assets - - (5) (7) (5) (7) Right to Operate Assets (OMB) - - (10) (16) (10) (16) Other 13 30 - - 13 30 Total tax assets / (liabilities) 211 229 (139) (170) 72 59 Bank Accruals 22 22 - - 22 22 Capitalised expenditure - - (1) (1) (1) (1) Provisions for impairment 56 60 - - 56 60 Other provisions 30 42 - - 30 42 Equity reserves 4 3 - - 4 3 ROU Asset and Lease Liability 44 44 (38) (36) 6 8 Lease financing relating to lessor activities - - (6) (8) (6) (8) Intangible assets - - (5) (7) (5) (7) Right to operate assets (OMB) - - (10) (16) (10) (16) Other 12 30 - - 12 30 Total tax assets / (liabilities) 168 201 (60) (68) 108 133 Unrecognised deferred tax assets Deferred tax assets have not been brought to account for the following items as realisation of the benefit is not regarded as probable: 2026 $m 2025 $m Gross income tax losses (1) 18 19 Gross capital gains tax losses 73 73 (1) Income tax losses are subject to utilisation over an expected 15 - 20 year period. 2026 Annual Report 157
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For the year ended 31 August 2026 Notes to the financial statements. 2.3 Income tax expense and deferred tax (continued) Accounting for income tax Income tax expense comprises current and deferred tax. Income tax is recognised in profit or loss in the income statement except to the extent that it relates to items recognised directly in equity, or other comprehensive income. Current tax is the expected tax payable/receivable on the taxable income/loss for the year and any adjustment to the tax payable/receivable in respect of previous years. It is measured using tax rates enacted or substantially enacted at the reporting date. Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax assets are recognised for unused tax losses and deductible temporary differences to the extent that it is probable that future taxable profits will be available against which they can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realised. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, using tax rates enacted or substantially enacted at the reporting date. The measurement of deferred tax reflects the tax consequences that would follow the manner in which the Group expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities. T ax consolidation The Bank is the head entity in the tax-consolidated group comprising all the Australian wholly-owned subsidiaries. The implementation date for the tax-consolidated group was 1 September 2003. Current tax expense (income), deferred tax liabilities and deferred tax assets arising from temporary differences of the members of the tax-consolidated group are recognised in the separate financial statements of the members of the tax-consolidated group using a ‘group allocation’ approach by reference to the carrying amounts in the separate financial statements of each entity and the tax values applying under tax consolidation. Any current tax liabilities (or assets) and deferred tax assets arising from unused tax losses of the subsidiaries are assumed by the head entity in the tax-consolidated group and are recognised as amounts payable (receivable) to (from) other entities in the tax-consolidated group in conjunction with any Tax Funding Agreement (TFA) amounts. Any difference between these amounts is recognised by the Bank as an equity contribution, or distribution from the subsidiary. Any subsequent period amendments to deferred tax assets arising from unused tax losses as a result of a revised assessment of the probability of recoverability is recognised by the head entity only. Nature of tax funding and tax sharing arrangements The Bank, in conjunction with other members of the tax-consolidated group, has entered into a TFA which sets out the funding obligations of members of the tax-consolidated group in respect of tax amounts. The TFA requires payments to/from the head entity equal to the current tax liability/asset assumed by the head entity and any tax-loss deferred tax asset assumed by the head entity, resulting in the Bank recognising an inter-entity payable/receivable equal in amount to the tax liability/asset assumed. Contributions to fund the current tax liabilities are payable as per the TFA and reflect the timing of the head entity’s obligation to make payments for tax liabilities to the relevant tax authorities. The Bank, in conjunction with other members of the tax-consolidated group, has also entered into a Tax Sharing Agreement (TSA). The TSA provides for the determination of the allocation of income tax liabilities between the entities should the head entity default on its tax payment obligations. No amounts have been recognised in the financial statements in respect of this agreement as payment of any amounts under the TSA is considered remote. 158 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 2.4 Dividends Bank 2026 2025 Cents per share $m Cents per share $m ORDINARY SHARES Final 2025 dividend paid 21 November 2025 (2024: 19 November 2024) 20 132 17 112 Interim 2026 ordinary share dividend paid 27 May 2026 (2025: 23 May 2025) 20 132 18 119 Special dividend paid 24 August 2026 (2025: nil) 15 99 - - 363 231 All dividends paid on ordinary shares have been fully franked. Since the end of the financial year, the Directors have determined the following dividends: Cents per share $m Final 2026 ordinary share dividend 20 132 The final ordinary share dividend will be paid on 19 November 2026 to owners of ordinary shares at the close of business on 28 October 2026 (record date). Shares will be quoted ex-dividend on 27 October 2026. Bank 2026 $m 2025 $m 30% franking credits available to shareholders of the Bank for subsequent financial years 595 649 The ability to utilise the franking credits is dependent upon there being sufficient available profits to pay dividends. The profits accumulated in the profit reserve are available for dividend payments in future years. All dividends paid by the Bank since the end of the previous financial year were franked at the tax rate of 30 per cent. The balance of the Bank’s dividend franking account at the date of this report, after adjusting for franking credits and debits that will arise on payment of income tax and proposed dividends relating to the year ended 31 August 2026 , is $536 million calculated at the 30 per cent tax rate (2025: $590 million). It is anticipated, based on these franking account balances that the Bank will continue to pay fully franked dividends in the foreseeable future. Dividend reinvestment plan The dividend reinvestment plan ( DRP) provides ordinary shareholders with the opportunity to reinvest all or part of their entitlement to a dividend into additional ordinary shares. The price for shares issued or transferred under the DRP is the Market Price less such discount (if any) as the directors may determine from time to time and notify to the ASX (rounded to the nearest cent). Market price is the arithmetic average, rounded to four decimal places, of the daily volume weighted average price of: • all shares sold in the ordinary course of trading on the ASX automated trading system; and • where shares are sold on trading platforms of Australian licensed financial markets operated by persons other than ASX, all shares sold in the ordinary course of trading on such of those trading platforms determined by the Board, from time to time, during the 10 trading day period commencing on the second trading day after the record date in respect of the relevant dividend. The calculation of the daily volume weighted average price shall not include certain transactions, as outlined in the DRP terms and conditions. If, after this calculation, there is a residual balance, that balance will be carried forward (without interest) and added to the next dividend for the purpose of calculating the number of shares secured under the DRP at that time. Shares issued or transferred under the DRP will be fully-paid and rank equally in all respects with existing shares. The last date for election to participate in the DRP for the 2026 full year dividend is 29 October 2026. 2026 Annual Report 159
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For the year ended 31 August 2026 Notes to the financial statements. 2.5 Operating segments Segment information The Group determines and presents operating segments based on the information that is provided internally to the Managing Director and CEO, the Group’s and the Bank’s chief operating decision maker. An operating segment is a component of the Group that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Group’s other components. All operating segments’ operating results are regularly reviewed by the Group’s chief operating decision maker to make decisions about resources to be allocated to each segment and assess performance for which discrete financial information is available. Segment results that are reported to the chief operating decision maker include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. The Group’s operating segments comprise the following: Retail Bank - retail banking solutions provided to customers through a network of BOQ branches, ME Bank and Virgin Money distribution channels, digital platforms, and third- party intermediaries; and BOQ Business - provides tailored business banking solutions, including commercial lending, equipment finance and leasing, foreign exchange hedging and international transfers, interest rate hedging, transaction banking, home lending and deposit solutions for business customers. Management monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss which in certain respects is measured differently from operating profit or loss in the consolidated financial statements. Transfer prices between operating segments are on an arm’s length basis, reflecting the Bank’s external cost of funds, in a manner similar to transactions with third parties. Major customers No revenue from transactions with a single external customer or counterparty amounted to 10 per cent or more of the Group’s total revenue in 2026 or 2025. Geographic information The business segments operate in Australia. Goodwill For goodwill allocation between segments, refer to Note 4.1. Presentation The following table presents income, profit and certain asset and liability information regarding the Group’s operating segments. Consistent with the information provided to the chief operating decision maker, the information is on a cash basis, with the statutory adjustments shown below the line. Inter-segment revenue and expenses and transfer pricing adjustments are reflected in the performance of each operating segment. Other column includes Treasury and Group Head Office operations. This is not reported internally to the Group’s and the Bank’s chief operating decision maker as an operating segment. 160 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 2.5 Operating segments (continued) Retail Bank BOQ Business Other (1) Total 2026 $m 2025 $m 2026 $m 2025 $m 2026 $m 2025 $m 2026 $m 2025 $m CASH BASIS: INCOME Net interest income (2) 807 807 722 713 (9) (5) 1,520 1,515 Non-interest income 84 94 72 50 3 (2) 159 142 Total income 891 901 794 763 (6) (7) 1,679 1,657 Operating expenses excl. notable items (746) (738) (352) (334) - - (1,098) (1,072) Notable expense items (3)(4) (35) - (12) - - - (47) - Total operating expenses (781) (738) (364) (334) - - (1,145) (1,072) Underlying profit / (loss) 110 163 430 429 (6) (7) 534 585 Loan impairment (loss) / benefit (9) (2) (45) (19) - - (54) (21) Cash profit / (loss) before tax 101 161 385 410 (6) (7) 480 564 Income tax (expense) / benefit (32) (52) (124) (131) 1 2 (155) (181) Cash earnings after tax 69 109 261 279 (5) (5) 325 383 Notable items after tax 25 - 8 - - - 33 - Cash earnings after tax excl. notable items 94 109 269 279 (5) (5) 358 383 Cash earnings after tax 69 109 261 279 (5) (5) 325 383 STATUTORY BASIS ADJUSTMENTS: Whole-of-loan sale (5) - - (52) - - - (52) - Goodwill impairment - (170) - - - - - (170) Branch strategy (6) (16) (31) (6) (12) - - (22) (43) Hedging and fair value changes - - - - - (1) - (1) Amortisation of acquisition fair value adjustments - - - - (1) 3 (1) 3 Restructuring costs - - - - - (25) - (25) Remedial Action Plans - - - - - (14) - (14) Statutory net profit / (loss) after tax 53 (92) 203 267 (6) (42) 250 133 INCLUDED IN THE RESULTS: Depreciation and amortisation (112) (93) (28) (31) (8) (8) (148) (132) Segment assets 49,677 52,820 24,624 27,254 19,406 20,452 93,707 100,526 Segment liabilities 33,367 35,467 8,595 9,556 46,007 49,596 87,969 94,619 (1) This is not reported internally to the Group’s and the Bank’s chief operating decision maker as an operating segment. (2) Interest income and interest expenses are disclosed in this note on a net interest income basis. This is in line with the information provided internally to the Group's chief operating decision maker. (3) This excludes a number of items that introduce volatility and / or one-off distortions of the current period performance. (4) During the year, the Group recognised $47 million of impairment announced on 10 August 2026. These are related to intangible assets following a reassessment of their expected future economic benefits, aged technology assets being replaced as the Group transitions to modern digital infrastructure, low-value tangible assets identified through a review of corporate and branch network assets, and a prepayment asset. (5) In April 2026, the Group entered into a capital partnership agreement which included a whole-of-loan sale of the Group’s equipment finance portfolio. For further detail, refer to Note 5.5. (6) Branch strategy costs predominantly comprise conversion costs, associated amortisation of the right-to-operate assets that were acquired as part of the Owner Managed Bank (OMB) network and costs to optimise the network. 2026 Annual Report 161
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For the year ended 31 August 2026 Notes to the financial statements. 2.6 Earnings per share Basic earnings per share ( EPS) is calculated by dividing the relevant earnings attributable to ordinary shareholders by the average weighted number of shares on issue. Diluted EPS takes into account the dilutive effect of all outstanding share rights vesting as ordinary shares. Consolidated 2026 $m 2025 $m EARNINGS RECONCILIATION Profit for the year 250 133 Profit available for ordinary shareholders 250 133 BASIC EARNINGS Effect of Capital Notes 2 (1) 14 - Effect of Capital Notes 3 (1) 21 - Diluted earnings 285 133 Weighted average number of shares used as the denominator 2026 Number of shares 2025 Number of shares NUMBER FOR BASIC EARNINGS PER SHARE Ordinary shares 656,809,046 658,119,186 NUMBER FOR DILUTED EARNINGS PER SHARE Ordinary Shares 656,809,046 658,119,186 Add: Effect of award rights 7,320,312 7,159,674 Add: Effect of Capital Notes 2 (1) 40,484,177 - Add: Effect of Capital Notes 3 (1) 62,840,000 - Diluted WANOS for earnings EPS (2) 767,453,535 665,278,860 EARNINGS PER SHARE Basic earnings per share - ordinary shares cents 38.1 20.1 Diluted earnings per share - ordinary shares cents 37.2 19.9 (1) Capital notes 2 and Capital notes 3 were anti-dilutive during the year ended 31 August 2025, and as a result, their impact has been excluded from diluted EPS calculation. (2) The Group had awarded 10,144,873 employee share options as at 31 August 2026. The options were anti-dilutive during the year and therefore have not impacted diluted WANOS. 162 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. Note 3. Capital and balance sheet management. 3.1 Cash and cash equivalents Components of cash and cash equivalents Cash and cash equivalents comprise cash at branches, cash on deposit, cash in transit and balances with the RBA. Cash flows from the following activities are presented on a net basis in the statements of cash flows: • Sales and purchases of trading securities; • Customer deposits and withdrawals from deposit accounts; and • Loan drawdowns and repayments. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Notes, coins and cash at bank 1,918 2,727 703 1,381 Remittances in transit 330 297 315 279 Total 2,248 3,024 1,018 1,660 Notes to the statements of cash flows Reconciliation of profit for the year to net cash provided by operating activities: Profit from ordinary activities after income tax 250 133 414 166 Adjustments Depreciation 54 42 54 42 Amortisation - right to operate assets 21 38 21 38 Amortisation - acquired intangibles 8 8 8 8 Software amortisation 96 82 94 79 Loss on whole-of-loan sale 66 - - - Impairment - intangible assets 37 13 37 13 Impairment - leases 6 2 6 2 Impairment - goodwill - 170 - 143 Equity settled transactions 9 12 9 12 Dividends received from controlled entities - - (143) (58) Increase / (decrease) in impairment on loans and advances 54 20 10 (16) (Increase) / decrease in derivatives (454) 42 (782) 250 Increase/ (decrease) in amounts due to controlled entities - - 284 (605) Decrease / (increase) in other assets 434 (23) 164 79 Increase/ (decrease) in accounts payable and other liabilities 38 (224) (16) (208) Increase / (decrease) in current tax liabilities 36 (96) 37 (98) (Increase) / decrease in deferred tax asset and liabilities (13) 11 25 22 Decrease in provisions (46) (3) (48) (1) Decrease in loans and advances 2,044 2,595 2,751 2,809 Proceeds from forward-flow arrangement 238 - - - (Increase) / decrease in financial assets (225) 111 1,859 109 Decrease in deposits (4,467) (544) (4,037) (613) Increase / (decrease) in due to other financial institutions 424 (61) 424 (61) Net cash (outflow) / inflow from operating activities (1,390) 2,328 1,171 2,112 2026 Annual Report 163
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For the year ended 31 August 2026 Notes to the financial statements. 3.2 Financial assets and liabilities Financial instruments measured at amortised cost Regular way purchases and sales of financial assets are recognised on trade date, being the date on which the Group commits to purchase or sell the asset. Financial assets that are held to collect the contractual cash flows and that contain contractual terms that give rise on specified dates to cash flows that are solely payments of principal and interest, are measured at amortised cost. In addition, most financial liabilities are measured at amortised cost. Financial assets or financial liabilities are initially recognised at fair value, inclusive of any directly attributable costs. They are subsequently measured at each reporting date at amortised cost using the effective interest method. This is a method of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset. The Bank invests in debt securities at amortised cost that are issued by 100 per cent owned securitisation vehicles within the Consolidated Group. The programs’ underlying pool of financial instruments are recorded within the Bank’s loans and advances. Also included in this category are loans and advances at amortised cost (refer to Note 3.3 Loans and advances) and receivables due from other financial institutions recognised and measured at amortised cost. For financial liabilities at amortised cost, refer to Note 3.4 for further information on Deposits and Note 3.5 for further information on Borrowings. Financial assets measured at fair value through other comprehensive income (FVOCI) Financial assets are measured at FVOCI where they are held in a business model that aims to both collect contractual cash flows and realise value through sales of financial assets, and where the contractual cash flows comprise solely payments of principal and interest. Gains or losses arising from changes in the fair value of these financial instruments are recognised in other comprehensive income. Interest income and foreign exchange gains and losses are recognised in profit or loss. Upon derecognition of the financial instrument, any cumulative gain or loss previously recognised in other comprehensive income is reclassified to profit or loss. Equity instruments that are not held for trading are measured at FVOCI, where an irrevocable election has been made by management. Amounts presented in other comprehensive income are not subsequently transferred to profit or loss, but can be reclassified to retained profits. Dividends on such investments are recognised in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment. Financial instruments and derivatives at fair value through profit or loss (FVTPL) Financial assets that do not meet the criteria to be measured at amortised cost or FVOCI are measured at FVTPL, with all changes in fair value recognised in the income statement. Financial assets in this category are those that are held for trading and have been designated by management upon initial recognition or are mandatorily required to be measured at fair value under AASB 9 Financial Instruments (AASB 9). Also included in this category are loans measured at FVTPL (refer to Note 3.3 Loans and advances). Modification of financial instruments A financial instrument is modified when its original contractual cash flows are modified. A financial instrument that is modified is derecognised if the existing agreement is cancelled and a new agreement is made on substantially different terms or if the existing terms of the financial instrument are substantially modified. Where the modification results in derecognition of the original financial instrument, a new financial instrument is recorded initially at fair value and the difference is recorded in profit or loss in the income statement. When the modification does not result in derecognition, the difference between the financial instrument’s original contractual cash flows and the modified cash flows, discounted at the original effective interest rate, is recognised as a gain or loss in the income statement. Reclassification of financial instruments The Group reclassifies financial assets when, and only when, it changes its business model for managing those assets. Reclassified financial assets are subsequently measured based on the new measurement category. The Group does not reclassify financial liabilities. Derecognition of financial instruments Financial assets are derecognised when the contractual rights to receive cash flows from the assets have expired, or where the Group has transferred its contractual rights to receive the cash flows of the financial assets or substantially all the risks and rewards of ownership, or upon substantial modification. Financial liabilities are derecognised when they are extinguished, i.e. when the obligation is discharged, cancelled or expired. 164 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.2 Financial assets and liabilities (continued) Financial assets and liabilities recognised and measured at fair value and debt instruments at amortised cost are listed below. For other financial assets and liabilities refer to Note 3.1 for Cash and cash equivalents, Note 3.3 for Loans and advances, Note 3.4 for Deposits, Note 3.5 for Borrowings and Note 3.8 for Derivative financial instruments and hedge accounting. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m DERIVATIVE FINANCIAL ASSETS Less than 12 months 230 198 176 198 Greater than 12 months 715 498 715 215 Total derivative financial assets 945 696 891 413 FINANCIAL ASSETS AT FVTPL Floating rate notes and bonds 1,054 941 1,054 941 Total financial assets at FVTPL 1,054 941 1,054 941 Less than 12 months 1,054 941 1,054 941 FINANCIAL ASSETS AT FVOCI Debt instruments (1) 16,035 16,331 16,035 16,331 Equity instruments 10 6 10 6 Total financial assets at FVOCI 16,045 16,337 16,045 16,337 Less than 12 months 3,267 4,363 3,267 4,363 Greater than 12 months 12,778 11,974 12,778 11,974 DEBT INSTRUMENTS AT AMORTISED COST Less than 12 months - - 17 17 Greater than 12 months 15 15 10,618 12,826 Total debt instruments at amortised cost 15 15 10,635 12,843 DERIVATIVE FINANCIAL LIABILITIES Less than 12 months (57) (63) (57) (64) Greater than 12 months (283) (131) (141) (130) Total derivative financial liabilities (340) (194) (198) (194) (1) The Group invests in high-grade mortgage-backed securities with external counterparties. The balance as at 31 August 2026 was $521 million (2025: $50 million) and represents maximum exposure to loss from interests in unconsolidated structured entities. 2026 Annual Report 165
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances Loans and advances are primarily measured at amortised cost, with certain portfolios measured at Fair Value Through Profit or Loss (FVTPL). Loans and advances at amortised cost Loans and advances measured at amortised cost are originated by the Group and are recognised upon cash being advanced to the borrower. Loans and advances are initially recognised at fair value, plus incremental directly attributable transaction costs. They are subsequently measured at each reporting date at amortised cost using the effective interest method. The method used to determine the appropriate period to amortise any upfront payments or receipts on origination of loan contracts is the WAL of the loan category. The Group estimates the WAL of each loan portfolio by reference to historical prepayment rates and contractual maturities. The WAL for each loan category is reassessed at each reporting period. Loans and advances at FVTPL Equipment finance loans originated within the asset finance and leasing portfolio following the commencement of the forward-flow arrangement are classified and measured at FVTPL (refer to Note 5.5 Capital partnership). These assets are recognised upon cash being advanced to the borrower and are initially recognised at fair value, with directly attributable transaction costs recognised immediately in profit or loss as incurred. Subsequent to initial recognition, loans and advances at FVTPL are measured at fair value at each reporting date. Changes in fair value are recognised in profit or loss in the period in which they arise. As these assets are measured at FVTPL, they are not subject to the expected credit loss impairment requirements of AASB 9. The impact of credit risk is included in the determination of fair value. Finance lease receivables Loans and advances include finance lease receivables. Finance leases are those products where substantially all the risks and rewards of the leased asset have been transferred to the lessee. Lease receivables are recognised at amounts equal to the net investment in the lease. Lease repayments are apportioned between interest income and the reduction of the lease receivable over the term of the lease in order to reflect a constant periodic rate of return on the net investment. Consolidated Bank Loans and advances 2026 $m 2025 $m 2026 $m 2025 $m Residential property loans 52,868 57,501 52,868 57,501 Personal loans 36 49 36 49 Overdrafts 114 153 114 153 Commercial loans 15,123 13,061 15,123 13,022 Credit cards 60 123 60 123 Asset finance and leasing 3,642 7,223 700 730 71,843 78,110 68,901 71,578 LESS: Unearned finance lease income (295) (250) (12) (13) Gross loans and advances 71,548 77,860 68,889 71,565 Specific provision for impairment (45) (48) (25) (35) Collective provision for impairment (229) (259) (160) (165) Total loans and advances at amortised cost 71,274 77,553 68,704 71,365 Asset finance loans at FVTPL 366 - - - Total loans and advances 71,640 77,553 68,704 71,365 166 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) In accordance with AASB 9, the Group and Bank utilise a forward-looking ECL approach. The ECL allowance is based on the credit losses expected to arise over the next 12 months of the financial asset, unless there has been a significant increase in credit risk (SICR) since origination. In this case, the allowance is based on the ECL for the life of the financial asset. The 12 month ECL is the portion of lifetime ECLs resulting from default events on a financial asset that are possible within the 12 months after the reporting date. At the end of each reporting period, the Group performs an assessment of whether a financial asset’s credit risk has increased significantly since initial recognition. This is done by considering the change in the risk of default occurring over the remaining life of the financial asset. The Group applies a three stage approach to measuring the ECL, as described below: • Stage 1 – For financial assets where there has not been a SICR since initial recognition and that are not credit impaired upon origination, the portion of the lifetime ECL associated with the probability of default (PD) occurring within the next 12 months is recognised as the 12 month ECL, adjusted for forward-looking information. Stage 1 includes facilities where the credit risk has improved and the loan has been reclassified from Stage 2 or Stage 3. • Stage 2 – When there has been a SICR, the lifetime ECL is determined with reference to the financial asset’s lifetime PD and the lifetime losses associated with that PD, adjusted for forward-looking information. The Group assesses whether there has been a SICR since initial recognition based on qualitative, quantitative, and reasonable and supportable forward-looking information that includes significant management judgement. Use of alternative criteria could result in significant changes to the timing and amount of ECL to be recognised. Lifetime ECL considers the expected behaviour of the asset as well as forward-looking macro-economic forecasts. Stage 2 also includes facilities where the credit risk has improved and the loan has been reclassified from stage 3. • Stage 3 – This includes financial assets that are deemed to be credit impaired, which generally correspond to the APRA definition of default, and include exposures that are at least 90 days past due. The provision is also equivalent to the lifetime ECL. Financial assets in Stage 3 will have a collective provision determined by the ECL model, although some loans are individually covered by a specific provision. A specific provision is calculated based on estimated future cash flows discounted to their present value, net of any collateral held against that financial asset. • Purchased or originated credit-impaired (POCI) - POCI assets are financial assets that are purchased or originated as being credit impaired. The ECL for POCI assets is measured at an amount equal to the lifetime ECL. However, the amount recognised as a loss allowance for these assets is not the total amount of lifetime ECLs, but instead the changes in lifetime ECLs since initial recognition of the asset. Write-offs Financial assets are written off, either partially or in full, against the related provision when the Group concludes that there is no reasonable expectation of recovery and all possible collateral has been realised. Recoveries of financial assets previously written off are recognised in profit or loss based on the cash received. Definition of default A default is considered to have occurred when the borrower is unlikely to pay its credit obligations in full without recourse by the Group to the realisation of available security and/or the borrower is at least 90 days past due on their credit obligations. This definition is in line with the regulatory definition of default and also aligned to the definition used for internal credit risk management purposes across all portfolios. Significant increase in credit risk SICR for financial assets is assessed by comparing the risk of a default occurring over the expected life of a financial asset at the reporting date compared to the corresponding risk of default at origination. In determining what constitutes a significant increase in credit risk, the Group considers qualitative and quantitative information. For the majority of BOQ’s portfolios, SICR is assessed using PD based triggers, by comparing the PD at the reporting date to the PD at origination. PD’s are primarily assigned through either a Customer Risk Rating or statistical models, utilising account behaviours. For all loan portfolios, the primary indicator is in addition to the secondary SICR indicator, which is based on 30 days past due arrears information and other qualitative criteria. The assessment also includes the impact of forward-looking macro-economic scenarios as well as adjustments for emerging risks. For the year ended 31 August 2026 this accounts for approximately 21% of Stage 2 exposures for the Group and 21% for the Bank (2025: 29% for the Group and 26% for the Bank). Calculation of ECL ECLs for financial assets in Stage 1 and 2 are assessed for impairment on a collective basis whilst those in Stage 3 are subjected to either collective or individual assessment. Where ECL is modelled collectively for portfolios of exposures, it is modelled primarily as the product of the PD, the loss given default (LGD) and the exposure at default ( EAD). These parameters are generally derived from internally developed statistical models combined with historical, current and forward- looking information, including macro-economic data: • The 12-month and lifetime PD, for accounting purposes, represent the estimation of the point-in-time probability of a default over the next 12 months and remaining lifetime of the financial instrument, respectively, based on conditions existing at the balance sheet date and future economic conditions that affect credit risk; • The EAD represents the expected exposure at default, taking into account the repayment of principal and interest from the balance sheet date to the default event together with any expected drawdown of a facility; and • The LGD represents the expected loss conditional on default, taking into account the mitigating effect of collateral, its expected value when realised, and the time value of money. 2026 Annual Report 167
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) Incorporation of forward-looking information The credit risk factors described above are point in time estimates based on the probability weighted forward-looking economic scenarios. The inclusion of a forward-looking component in the model anticipates changes in the economic outlook, and is an important component of the provisioning process. The Group considers four forward-looking macro-economic scenarios (base, upside, downside and severe downside) over the next three years. The scenarios are then probability weighted based on the likelihood of the scenario occurring to ensure ECL appropriately captures forward-looking effects and considers the range of possible economic outcomes. The scenarios, including their underlying indicators, are developed using a combination of publicly available data and internal forecasts to form the initial baseline. The scenarios are refined through consultation with internal specialists and benchmarking to external data from reputable sources, which includes forecasts published from a range of market economists and official data sources, including major central banks. Economic outlook factors that are taken into consideration include unemployment, interest rates, gross domestic product, commercial and residential property price indexes, and require an evaluation of both the current and forecast direction of the macro-economic cycle. Incorporating forward-looking information, including macro-economic forecasts, increases the degree of judgement required to assess how changes in these data points will affect ECLs. The methodologies and assumptions, including any forecasts of future economic conditions, are reviewed regularly. • Base case scenario: This scenario represents BOQ’s baseline economic outlook where inflationary pressures persist through the remainder of this year and returns to the RBA target range by mid-2027. Cash rate remains elevated to drive down inflation, while unemployment rises gradually from current levels. Economic growth slows further into early next year before stabilising and gradually recovering. There is a modest contraction in house prices reflecting affordability constraints and reduced investor demand. Base case assumptions are supported by RBA forecasts where available. • Upside scenario: This scenario represents a slight to moderate improvement on the economic conditions from the base case. • Downside scenario: This scenario reflects the impacts of an economic downturn, where unemployment rates rise steeply and economic activity contracts, with GDP growth turning negative. Cash rates rise above the base scenario before easing and falling below the baseline path to stimulate economic recovery. Property prices also experience significant declines reflecting softer demand and deteriorating market sentiment. • Severe downside scenario: This scenario also represents downturn economic outcomes and accounts for the potential impact of lower likelihood but higher severity macro-economic conditions. This includes the unemployment rate peaking at 10.8% in 2028, annual GDP reduction reaching a low of -4% in 2027 and house prices declining by approximately 30% in 2027. Cash rates decrease to 2.4% by mid-2028 under this scenario. The table below provides a summary of macro-economic assumptions used in the Base and Downside scenarios as at 31 August 2026. Base Downside Macro-economic assumption (1) 2026 % 2027 % 2028 % 2026 % 2027 % 2028 % GDP Growth/(reduction) (YoY) 1.4 1.6 1.8 0.4 (1.2) 0.6 Unemployment Rate 4.5 4.7 4.8 5.0 7.4 7.8 Residential Property Price Growth/(reduction) (YoY) (0.7) 1.4 1.4 (2.4) (13.7) (8.0) Commercial Property Price Growth/(reduction) (YoY) 2.1 3.9 3.9 (3.3) (15.1) (7.1) Cash Rate 4.4 4.5 4.4 4.5 3.7 3.4 (1) The forecasts in the table reflect calendar year numbers. In determining the reported ECL of $274 million, the Group has taken into account the facts, circumstances and forecasts of future economic conditions and supportable information available at the reporting date. Provisioning assumption updates have been made during FY26 which include a complete review of overlays and adjustments, which are held for external factors not captured in the core models, including specific industry or portfolio stresses and uncertainties related to model precision, as well as a review of scenarios and scenario weightings to cater for economic uncertainties. Key drivers of management overlays remain related to emerging risks associated with construction, transport, agriculture, manufacturing, retail trade, accommodation and food services and rental, hiring and real estate services. 168 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) Incorporation of forward-looking information (continued) The final ECL reflects an unbiased and probability weighted amount, determined by the evaluation of a range of possible forward-looking economic outcomes, rather than being based on a best or worst case scenario. The table below shows weightings applied to derive the probability weighted ECL, utilising the most up to date macro-economic information available as at reporting date. Upside Base Downside Severe 2026 2025 2026 2025 2026 2025 2026 2025 Weighting % 5 5 50 50 30 30 15 15 Sensitivity of provisions for impairment The ECL reflects an unbiased and probability weighted amount across a range of macro-economic scenarios as described above. The following table compares the reported ECL to approximate levels of ECL under each scenario assuming a 100 per cent weighting was applied to each scenario with all other assumptions held constant. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Reported probability weighted ECL 274 307 185 200 100% Upside scenario 189 228 106 128 100% Base case scenario 200 237 116 136 100% Downside scenario 306 328 213 214 100% Severe downside scenario 483 523 389 407 Sensitivity of provisions for impairment to SICR assessments If one per cent of Stage 1 credit exposures as at 31 August 2026 was included in Stage 2, provisions for impairment would increase by approximately $4 million for the Group and $3 million for the Bank (2025: $8 million for the Group and $7 million for the Bank) based on using coverage ratios by stage to the movement in the gross exposure by stage. 2026 Annual Report 169
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) Governance The Credit Risk Committee has the delegation for reviewing and approving the determination of ECL, including any judgements and assumptions. Where applicable, management adjustments or overlays may be made to account for situations where known or expected risks and information have not been considered in the modelling process. The Group’s provision for impairment on loans and advances, and key areas of judgement are reported to the Board Audit Committee at each reporting period. Movements in ECL provisions and gross carrying amounts by stage The following table discloses the breakdown of the Group’s ECL by component for the year ended 31 August 2026. Consolidated Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Total $m Balance as at 1 September 2025 70 105 132 307 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 25 (18) (7) - Stage 2 (6) 16 (10) - Stage 3 (2) (7) 9 - New provisions 20 19 5 44 Increased provisions 3 52 59 114 Write-back of provisions no longer required (52) (40) (17) (109) Derecognised as part of disposal transactions (1) (15) (16) (1) (32) Amounts written off, previously provided for - - (50) (50) Balance as at 31 August 2026 43 111 120 274 The table below discloses the effect of movements in the gross carrying value of loans and advances measured at amortised cost in the different stages of the ECL model of the Group during the year ended 31 August 2026. Consolidated Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Stage 3 - POCI loans $m Total $m Gross carrying amount as at 1 September 2025 58,218 18,241 1,283 118 77,860 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 4,393 (4,343) (50) - - Stage 2 (6,169) 6,458 (289) - - Stage 3 (342) (369) 711 - - New loans and advances originated or purchased 14,834 1,803 51 - 16,688 Loans and advances derecognised or repaid during the year including write-offs (14,920) (4,745) (440) (24) (20,129) Loans and advances derecognised as part of disposal transactions (1) (1,779) (1,091) (1) - (2,871) Gross carrying amount as at 31 August 2026 54,235 15,954 1,265 94 71,548 Provision for impairment (43) (111) (120) - (274) Net carrying amount as at 31 August 2026 54,192 15,843 1,145 94 71,274 (1) Relates to the whole-of-loan sale of the Group’s equipment finance portfolio (refer Note 5.5) and the sale of the ME legacy credit card portfolio, net of portfolio originations during the year. The loss allowance associated with the POCI loans for the Bank reduced by $0.3 million for the year ended 31 August 2026 (FY25 reduction: $0.5 million), from an opening balance of $1.3 million (FY25 opening balance: $1.8 million), and was taken directly to the balance of the gross carrying value of loans and advances. No new POCI loans were recognised in the year ended 31 August 2026. 170 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) The following table discloses the breakdown of the Group’s ECL by component for the year ended 31 August 2025. Consolidated Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Total $m Balance as at 1 September 2024 69 113 134 316 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 39 (32) (7) - Stage 2 (8) 17 (9) - Stage 3 (2) (7) 9 - New provisions 29 16 10 55 Increased provisions 9 50 65 124 Write-back of provisions no longer required (66) (52) (47) (165) Amounts written off, previously provided for - - (23) (23) Balance as at 31 August 2025 70 105 132 307 The table below discloses the effect of movements in the gross carrying value of loans and advances measured at amortised cost in the different stages of the ECL model of the Group during the year ended 31 August 2025. Consolidated Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Stage 3 - POCI loans $m Total $m Gross carrying amount as at 1 September 2024 62,396 16,682 1,258 143 80,479 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 4,115 (4,061) (54) - - Stage 2 (8,683) 8,902 (219) - - Stage 3 (340) (366) 706 - - New loans and advances originated or purchased 16,684 1,723 66 - 18,473 Loans and advances derecognised or repaid during the year including write-offs (15,954) (4,639) (474) (25) (21,092) Gross carrying amount as at 31 August 2025 58,218 18,241 1,283 118 77,860 Provision for impairment (70) (105) (132) - (307) Net carrying amount as at 31 August 2025 58,148 18,136 1,151 118 77,553 The loss allowance associated with the POCI loans for the Bank reduced by $0.5 million for the year ended 31 August 2025 (FY24 reduction: $1.2 million), from an opening balance of $1.8 million (FY24 opening balance: $3 million), and was taken directly to the balance of the gross carrying value of loans and advances. No new POCI loans were recognised in the year ended 31 August 2025. 2026 Annual Report 171
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) The following table discloses the breakdown of the Bank’s ECL by component for the year ended 31 August 2026. Bank Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Total $m Balance as at 1 September 2025 30 79 91 200 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 19 (15) (4) - Stage 2 (4) 12 (8) - Stage 3 (1) (4) 5 - New provisions 12 15 2 29 Increased provisions 3 47 28 78 Write-back of provisions no longer required (40) (38) (33) (111) Amounts written off, previously provided for - - (11) (11) Balance as at 31 August 2026 19 96 70 185 The table below discloses the effect of movements in the gross carrying value of loans and advances measured at amortised cost in the different stages of the ECL model of the Bank during the year ended 31 August 2026. Bank Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Stage 3 - POCI loans $m Total $m Gross carrying amount as at 1 September 2025 53,730 16,613 1,104 118 71,565 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 4,296 (4,264) (32) - - Stage 2 (5,950) 6,220 (270) - - Stage 3 (306) (329) 635 - - New loans and advances originated or purchased 13,828 1,716 38 - 15,582 Loans and advances derecognised during the period including write-offs (13,427) (4,466) (341) (24) (18,258) Gross carrying amount as at 31 August 2026 52,171 15,490 1,134 94 68,889 Provision for impairment (19) (96) (70) - (185) Net carrying amount as at 31 August 2026 52,152 15,394 1,064 94 68,704 The loss allowance associated with the POCI loans for the Bank reduced by $0.3 million for the year ended 31 August 2026 (FY25 reduction: $0.5 million), from an opening balance of $1.3 million (FY25 opening balance: $1.8 million), and was taken directly to the balance of the gross carrying value of loans and advances. No new POCI loans were recognised in the year ended 31 August 2026. 172 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) a) Loans and advances - Expected Credit Losses (ECL) (continued) The following table discloses the breakdown of the Bank’s ECL by component for the year ended 31 August 2025. Bank Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Total $m Balance as at 1 September 2024 27 95 105 227 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 30 (25) (5) - Stage 2 (3) 10 (7) - Stage 3 - (5) 5 - New provisions 12 8 3 23 Increased provisions 8 40 46 94 Write-back of provisions no longer required (44) (44) (49) (137) Amounts written off, previously provided for - - (7) (7) Balance as at 31 August 2025 30 79 91 200 The table below discloses the effect of movements in the gross carrying value of loans and advances measured at amortised cost in the different stages of the ECL model of the Bank during the year ended 31 August 2025. Bank Stage 1 – 12 month ECL $m Stage 2 – Lifetime ECL $m Stage 3 – Lifetime & Specific ECL $m Stage 3 - POCI loans $m Total $m Gross carrying amount as at 1 September 2024 57,057 15,993 1,189 143 74,382 TRANSFERS DURING THE YEAR TO / (FROM): Stage 1 3,935 (3,886) (49) - - Stage 2 (7,799) 8,013 (214) - - Stage 3 (252) (342) 594 - - New loans and advances originated or purchased 14,597 1,222 23 - 15,842 Loans and advances derecognised during the period including write-offs (13,808) (4,387) (439) (25) (18,659) Gross carrying amount as at 31 August 2025 53,730 16,613 1,104 118 71,565 Provision for impairment (30) (79) (91) - (200) Net carrying amount as at 31 August 2025 53,700 16,534 1,013 118 71,365 The loss allowance associated with the POCI loans for the Bank reduced by $0.5 million for the year ended 31 August 2025 (FY24 reduction: $1.2 million), from an opening balance of $1.8 million (FY24 opening balance: $3 million), and was taken directly to the balance of the gross carrying value of loans and advances. No new POCI loans were recognised in the year ended 31 August 2025. 2026 Annual Report 173
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) b) Lease receivables Asset finance and leasing include the following finance lease receivables for leases where the Group is the lessor. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m GROSS INVESTMENT IN FINANCE LEASE RECEIVABLES: Less than one year 620 535 18 9 Between one and five years 1,406 1,176 67 72 More than five years 26 32 19 23 2,052 1,743 104 104 Unearned finance lease income (295) (250) (12) (13) Net investment in finance leases 1,757 1,493 92 91 NET INVESTMENT IN FINANCE LEASES: Less than one year 502 436 18 9 Between one and five years 1,233 1,031 58 64 More than five years 22 26 16 18 Net investment in finance leases 1,757 1,493 92 91 c) Transfer of financial assets Securitisation program Through its REDS Securitisation ( RMBS Trusts), REDS EHP Securitisation ( REDS EHP Trusts) and SMHL Securitisation ( SMHL Trusts) programs, the Group packages loans and advances through a series of securitisation vehicles from which debt securities are issued to investors. The Group is entitled to any residual income from the vehicles after all payments to investors and costs of the programs have been met. The securitised loans and advances are included in Loans and advances and the securitisation liabilities are included in Borrowings on the Group’s balance sheet. The note holders have recourse only to the loan pool of assets. Refer to Note 5.8 a) (ii) for further information. Under internal securitisation arrangements, the Bank also holds debt securities issued by securitisation vehicles that are backed by the Bank's loans and advances. These are recognised as Debt Instruments at Amortised Cost in the Bank with a corresponding liability in Amounts Due to Controlled Entities representing the related obligations to the securitisation vehicles. Covered bond programmes The Bank issues covered bonds for funding and liquidity purposes. The bonds are issued to external investors and are secured against a pool of the Bank’s housing loans. Housing loans are assigned to a bankruptcy remote structured entity to provide security for all obligations payable on the covered bonds issued by the Bank. The covered bond holders have dual recourse to the Bank and the cover pool of assets. The Bank is required to maintain the cover pool at a level sufficient to cover the obligations of the bonds. The Bank is entitled to any residual income of the covered bond structured entity after all payments due to the covered bond holders and any costs related to the program have been met. The housing loans are included in Loans and advances and the covered bonds issued are included in Borrowings on the Group’s and the Bank’s balance sheet. Refer to Note 5.8 a) (iii) for further information. The Bank earns fees for provision of services and facilities to the securitisation vehicles and the covered bond program, including the management and servicing of the loans and leases securitised. The receivable for these fees is included in Other Assets on the Bank’s balance sheet. The following table sets out the transferred financial assets and associated liabilities of the securitisation and covered bond programmes that did not qualify for derecognition under AASB 9 and typically result in the transferred assets continuing to be recognised in full. 174 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.3 Loans and advances (continued) c) Transfer of financial assets (continued) Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m TRANSFERRED FINANCIAL ASSETS Securitisation - Loans and advances 3,983 5,210 14,587 17,575 Covered bonds - Loans and advances 5,301 5,505 5,301 5,505 9,284 10,715 19,888 23,080 ASSOCIATED FINANCIAL LIABILITIES Securitisation liabilities - external investors 4,828 6,249 - - Covered bonds - external investors 3,812 4,115 3,812 4,115 Amounts due to controlled entities - - 15,432 18,362 8,640 10,364 19,244 22,477 FOR THOSE LIABILITIES THAT HAVE RECOURSE (1) Fair value of transferred assets 9,280 10,721 19,883 23,084 Fair value of associated liabilities (8,640) (10,364) (19,244) (22,477) Net position 640 357 639 607 (1) The fair values of transferred assets and liabilities that reprice within six months are assumed to equate to the amortised cost. All other fair values are calculated using a discounted cash flow model. 3.4 Deposits Deposits are initially recognised at fair value, net of any directly attributable transaction costs. Subsequent to initial measurement, they are measured at amortised cost using the effective interest method. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Deposits at call 45,542 42,768 45,752 42,983 Term deposits 21,437 28,021 21,437 28,021 Certificates of deposit 4,248 4,888 4,248 4,888 Total deposits 71,227 75,677 71,437 75,892 CONCENTRATION OF DEPOSITS Customer deposits 62,904 66,729 63,114 66,944 Wholesale deposits 8,323 8,948 8,323 8,948 71,227 75,677 71,437 75,892 2026 Annual Report 175
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For the year ended 31 August 2026 Notes to the financial statements. 3.5 Borrowings Borrowings are initially recognised at fair value, net of any directly attributable transaction costs. Subsequent to initial measurement, they are measured at amortised cost using the effective interest method. The Group recorded the following movements on borrowings: Consolidated Securitisation liabilities (1) $m Covered bonds liabilities (2)(3) $m EMTN program (3) $m ECP program (3) $m Subordinated notes $m Senior unsecured notes $m Capital notes (4) $m Total $m YEAR ENDED 31 AUGUST 2026 Balance at beginning of year 6,245 4,107 16 348 898 4,387 655 16,656 Proceeds from issues - - - 338 350 750 - 1,438 Repayments (1,422) - (15) (373) (250) (1,890) - (3,950) Amortisation of deferred costs (5) 1 2 - - - 1 2 6 Foreign exchange translation (5) - (302) (1) (7) - - - (310) Balance at end of year 4,824 3,807 - 306 998 3,248 657 13,840 Consolidated Securitisation liabilities (1) $m Covered bonds liabilities (2)(3) $m EMTN program (3) $m ECP program (3) $m Subordinated notes $m Senior unsecured notes $m Capital notes (4) $m Total $m YEAR ENDED 31 AUGUST 2025 Balance at beginning of year 7,618 3,798 15 280 648 5,175 653 18,187 Proceeds from issues / new funding - 1,062 - 375 250 300 - 1,987 Repayments (1,374) (950) - (305) - (1,090) - (3,719) Deferred establishment costs (1) (3) - - - - - (4) Amortisation of deferred costs (5) 2 2 - - - 2 2 8 Foreign exchange translation (5) - 198 1 (2) - - - 197 Balance at end of year 6,245 4,107 16 348 898 4,387 655 16,656 (1) Securitisation liabilities are secured by a floating charge over securitised assets for amounts owing to note holders and any other secured creditors of the securitisation vehicles. (2) Covered bonds liabilities are secured by a charge over a pool of loans and advances and guaranteed by the covered bond guarantor. (3) At the end of the year the BOQ Group held borrowings in the following currencies, Covered Bonds EUR €1.8bn (2025: EUR €1.8bn), EMTN Program EUR nil (2025: EUR €9m), ECP Program USD $30m and EUR €20m (2025: USD $141m and EUR €20m). All other balances are denominated in Australian dollars. (4) Capital notes 2 On 30 November 2020, the Bank issued 2,600,000 Capital notes 2 at a price of $100 per note. Capital notes 2 are perpetual and convertible notes issued by BOQ, with preferred, discretionary, non-cumulative distributions. They are not guaranteed or secured. As at 31 August 2026, 2,600,000 Capital Notes 2 were outstanding. Capital notes 2 must convert into ordinary shares on 15 May 2029 if certain mandatory conversion conditions are satisfied, unless they are converted or redeemed earlier. Where the mandatory conversion conditions are satisfied, a holder will receive a number of ordinary shares per Capital note 2 based on the volume weighted average price of ordinary shares during a specified period. Capital notes 2 must also convert to ordinary shares of the Bank with the occurrence of a loss absorption event or an acquisition event. BOQ may elect to convert, redeem or resell Capital notes 2 on 14 May 2027 or following a regulatory or tax event. BOQ may also elect to convert all Capital notes 2 following a potential acquisition event. These options are subject to APRA’s prior written approval and certain conditions being satisfied. In a winding up of the Bank, Capital notes 2 will rank for payment ahead of ordinary shares, equally with Capital notes 3 and other equal ranking instruments, but behind the claims of all senior ranking creditors, including depositors and unsubordinated and subordinated creditors. Capital notes 2 are additional tier 1 capital and form part of the Group’s capital adequacy. Capital notes 3 The Capital notes 3 were issued on 14 November 2022 at a price of $100 per note. Capital notes 3 are non-cumulative, perpetual, convertible, unguaranteed and unsecured notes with discretionary distributions, issued by BOQ. As at 31 August 2026, 4,000,000 Capital notes 3 were outstanding. Capital notes 3 must convert into ordinary shares on 16 June 2031 if certain mandatory conversion conditions are satisfied, unless they are converted or redeemed earlier. Where the mandatory conversion conditions are satisfied, a holder will receive a number of ordinary shares per Capital Note 3 based on the volume weighted average price of ordinary shares during a specified period. Capital notes 3 must also convert to ordinary shares of the Bank with the occurrence of a loss absorption event or an acquisition event. BOQ may elect to convert, redeem or resell capital notes 3 on 15 December 2028, 15 March 2029 and 15 June 2029 or following a regulatory or tax event. BOQ may also elect to convert all Capital notes 3 following a potential acquisition event. These options are subject to APRA’s prior written approval and certain conditions being satisfied. In a winding up of the Bank, Capital notes 3 will rank for payment ahead of ordinary shares, equally with Capital notes 2 and other equal ranking instruments, but behind the claims of all senior ranking creditors, including depositors and unsubordinated and subordinated creditors. Capital notes 3 are additional tier 1 capital and form part of the Group’s capital adequacy. (5) Amortisation of deferred costs and foreign exchange translation are non-cash movements. Foreign exchange translation movements are 100 per cent hedged. 176 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.5 Borrowings (continued) The Bank recorded the following movements on borrowings: Bank Covered bonds liabilities (1)(2) $m EMTN program (2) $m ECP program (2) $m Subordinated notes $m Senior unsecured notes $m Capital notes (3) $m Total $m YEAR ENDED 31 AUGUST 2026 Balance at beginning of year 4,107 16 348 898 4,387 655 10,411 Proceeds from issues - - 338 350 750 - 1,438 Repayments - (15) (373) (250) (1,890) - (2,528) Amortisation of deferred costs (4) 2 - - - 1 2 5 Foreign exchange translation (4) (302) (1) (7) - - - (310) Balance at end of year 3,807 - 306 998 3,248 657 9,016 Bank Covered bonds liabilities (1)(2) $m EMTN program (2) $m ECP program (2) $m Subordinated notes $m Senior unsecured notes $m Capital notes (3) $m Total $m YEAR ENDED 31 AUGUST 2025 Balance at beginning of year 3,798 15 280 648 5,175 653 10,569 Proceeds from issues 1,062 - 375 250 300 - 1,987 Repayments (950) - (305) - (1,090) - (2,345) Deferred establishment costs (3) - - - - - (3) Amortisation of deferred costs (4) 2 - - - 2 2 6 Foreign exchange translation (4) 198 1 (2) - - - 197 Balance at end of year 4,107 16 348 898 4,387 655 10,411 (1) Covered bonds liabilities are secured by a charge over a pool of loans and advances and guaranteed by the covered bond guarantor. (2) At the end of the year the BOQ Group held borrowings in the following currencies, Covered Bonds EUR €1.8bn (2025: EUR €1.8bn), EMTN Program EUR nil (2025: EUR €9m), ECP Program USD $30m and EUR €20m (2025: USD $141m and EUR €20m). All other balances are denominated in Australian dollars. (3) Capital notes 2 On 30 November 2020, the Bank issued 2,600,000 Capital notes 2 at a price of $100 per note. Capital notes 2 are perpetual and convertible notes issued by BOQ, with preferred, discretionary, non-cumulative distributions. They are not guaranteed or secured. As at 31 August 2026, 2,600,000 Capital notes 2 were outstanding. Capital notes 2 must convert into ordinary shares on 15 May 2029 if certain mandatory conversion conditions are satisfied, unless they are converted or redeemed earlier. Where the mandatory conversion conditions are satisfied, a holder will receive a number of ordinary shares per Capital Note 2 based on the volume weighted average price of ordinary shares during a specified period. Capital notes 2 must also convert to ordinary shares of the Bank with the occurrence of a loss absorption event or an acquisition event. BOQ may elect to convert, redeem or resell Capital notes 2 on 14 May 2027 or following a regulatory or tax event. BOQ may also elect to convert all Capital notes 2 following a potential acquisition event. These options are subject to APRA’s prior written approval and certain conditions being satisfied. In a winding up of the Bank, Capital notes 2 will rank for payment ahead of ordinary shares, equally with Capital notes 3 and other equal ranking instruments, but behind the claims of all senior ranking creditors, including depositors and unsubordinated and subordinated creditors. Capital notes 2 are additional tier 1 capital and form part of the Group’s capital adequacy. Capital notes 3 The Capital notes 3 were issued on 14 November 2022 at a price of $100 per note. Capital notes 3 are non-cumulative, perpetual, convertible, unguaranteed and unsecured notes with discretionary distributions, issued by BOQ. As at 31 August 2026, 4,000,000 Capital notes 3 were outstanding. Capital notes 3 must convert into ordinary shares on 16 June 2031 if certain mandatory conversion conditions are satisfied, unless they are converted or redeemed earlier. Where the mandatory conversion conditions are satisfied, a holder will receive a number of ordinary shares per Capital Note 3 based on the volume weighted average price of ordinary shares during a specified period Capital notes 3 must also convert to ordinary shares of the Bank with the occurrence of a loss absorption event or an acquisition event. BOQ may elect to convert, redeem or resell Capital notes 3 on 15 December 2028, 15 March 2029 and 15 June 2029 or following a regulatory or tax event. BOQ may also elect to convert all Capital notes 3 following a potential acquisition event. These options are subject to APRA’s prior written approval and certain conditions being satisfied. In a winding up of the Bank, Capital notes 3 will rank for payment ahead of ordinary shares, equally with Capital notes 2 and other equal ranking instruments, but behind the claims of all senior ranking creditors, including depositors and unsubordinated and subordinated creditors. Capital notes 3 are additional tier 1 capital and form part of the Group’s capital adequacy. (4) Amortisation of deferred costs and foreign exchange translation are non-cash movements. Foreign exchange translation movements are 100 per cent hedged. 2026 Annual Report 177
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management Financial risk is fundamental to the Group’s business of providing banking services to our customers. BOQ’s key material financial risks are Capital Management risk, Credit risk, Market risk and Liquidity & Funding risk. BOQ’s approach to Capital Management risk has been detailed in Note 3.9. The Group and the Bank adopts a comprehensive approach to managing financial risk, with Board approved policies in relation to the assessment, management and monitoring of these risks. Development of the frameworks and policies reside with the Chief Risk Officer, with limit frameworks delegated from the Board’s Risk Committee to key executive committees. The continued improvement of the Group’s risk management function focusses on a number of key areas, with particular emphasis on: 1. the efficiency and effectiveness of the Group’s credit, market and liquidity risk management process, controls and policies to support the Bank’s customer proposition in line with its risk appetite; 2. providing management and the Board with risk reporting that is integrated into both day to day and strategic decision making and in line with sound corporate governance; 3. implementing frameworks to support maintaining regulatory compliance; and 4. contributing to the Group achieving risk based performance management. Group Risk is an independent function and is responsible for providing and overseeing adherence to the frameworks and policies for managing credit, market and liquidity risk throughout the Group. Policies are set in line with the governing strategy and risk guidelines set by the Board. Monitoring The Group’s enterprise risk management framework incorporates active management and monitoring of a range of risks including (but not limited to): 1. Market; 2. Credit; and 3. Liquidity. a) Market risk Market risk is the risk that movements in market rates and prices will result in profits or losses to the Group. The objective of market risk management is to manage and control market risk to balance risk vs return and stabilise the Group's long term earnings. (i) Interest rate risk in the banking book (IRRBB) IRRBB is the risk of loss in net interest income (NII) or in the economic value (EV) in the banking book due to movements in interest rates. IRRBB arises predominantly from the Group’s general balance sheet funding and lending activities. The operations of the Group are subject to the risk of interest rate fluctuations as a result of mismatches in the timing of the interest rate repricing on the Group’s assets and liabilities. The Group takes a prudent approach to the management of IRRBB, balancing NII and EV within Board risk appetite and aiming to reduce volatility in current and future earnings. Risks are monitored and measured against limits delegated by the Asset-Liability Committee (ALCO) and approved by the Board’s Risk Committee. The figures in the table below indicate the potential increase/ (decrease) in net interest income for an ensuing 12 month period of a one per cent parallel shock increase to the yield curve. NII sensitivities 2026 $m 2025 $m Exposure at the end of the year 34 (1) Average monthly exposure during the year 11 1 High month exposure during the year 38 10 Low month exposure during the year - (6) The IRRBB Value-at-Risk (VaR) model uses the historical simulation approach method to measure the risk of losses in EV from changes in base interest rates to a 99 per cent confidence level and 12 month holding period. In addition to VaR, the Group measures IRRBB risk through a framework of daily metrics and models, including scenarios that would potentially have an extreme impact on earnings. The following table outlines the non-traded VaR for the Bank for the year: IRRBB VaR 2026 $m 2025 $m Average 19 18 Maximum 36 37 Minimum 10 8 178 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) a) Market risk (continued) (ii) Foreign exchange risk It is the Group’s policy not to carry material foreign exchange (FX) exposures, net of associated hedging instruments, in the banking book. At balance date, there are no net material foreign exchange rate exposures in the banking book. The Group uses cross currency swaps and FX forward exchange contracts to hedge its FX exposures arising from borrowing offshore in foreign currencies. The Group uses FX forward exchange contracts to hedge FX exposures created by customer-originated foreign currency transactions. The Group's foreign exchange risk in the trading book is measured in section (iii) Traded market risk. (iii) Traded market risk Market risks attributable to trading activities are primarily measured using a historical simulation VaR model based on historical data. The Traded market risk VaR is a statistical technique used to quantify the potential loss in the value of positions in the trading book from adverse market movements and is calculated to a 99 per cent confidence level over a one day holding period. As an additional overlay to VaR, the individual market risks of interest rate, foreign exchange, and credit are managed on a daily basis using a framework that includes stress testing, scenario analysis, sensitivity analysis and stop losses. Risks are monitored and measured against limits delegated by the ALCO and approved by the Board’s Risk Committee. The portfolio (interest rate, foreign exchange, and credit) VaR for the Bank’s trading portfolio for the year was as follows: Trading VaR 2026 $m 2025 $m Average 0.40 0.20 Maximum 1.30 0.54 Minimum 0.05 0.05 b) Credit risk Credit risk arises in the business from lending activities, the provision of guarantees including letters of credit and commitments to lend, investment in bonds and notes, financial market transactions and other associated activities. Credit risk is the potential loss arising from the possibility that customers or counterparties fail to meet contractual payment obligations to the Group as they fall due. The Board has implemented a structured framework of policies, systems and controls to monitor and manage credit risk comprising: • documented credit risk management principles; • documented credit policies, lending standards and procedures; • a process for approving risk, based on tiered delegated approval authorities, whereby the largest exposures are assessed by the Credit Risk Committee consisting of Senior Executives and senior risk managers, chaired by the Chief Risk Officer; • risk grading the Bank’s commercial exposures based on items inclusive of financial performance and stability, organisational structure, industry segment and security support. Exposures within this segment of the portfolio are generally subject to annual review which may include reassessment of the assigned risk grade; • an automated scorecard and decision strategy model for the Bank’s home loan portfolio; • a credit assurance framework that includes hindsight of credit decisions and portfolio reviews to assess credit quality; and • a series of management reports detailing industry concentrations, counterparty concentrations risk grades and security strength ratings. The Group uses derivative financial instruments to hedge its exposure to foreign exchange and interest rate risks arising from operating, financing and investing activities. In accordance with its treasury and financial markets risk policies, the Group can hold derivative financial instruments for trading purposes. Credit risk on derivative contracts used for these purposes is minimised as counterparties are either qualifying central counterparties or recognised financial intermediaries with acceptable credit ratings determined by a recognised rating agency. 2026 Annual Report 179
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) b) Credit risk (continued) (i) Maximum exposure to credit risk The amounts disclosed are the maximum exposure to credit risk, before taking account of any collateral held or other credit enhancements. For financial assets recognised on the balance sheet, the exposure to credit risk equals their carrying amount. For customer funding commitments, the maximum exposure to credit risk is the full amount of the committed facilities as at reporting date. The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk at the reporting date was: 2026 $m 2025 $m Consolidated Stage 1 Stage 2 Stage 3 Total Total Cash and cash equivalents 2,248 - - 2,248 3,024 Due from other financial institutions 190 - - 190 236 Other financial assets (including accrued interest) (1) 17,303 - - 17,303 17,469 Derivative financial instruments (1) 945 - - 945 696 Total financial assets other than loans and advances 20,686 - - 20,686 21,425 Gross loans and advances at amortised cost 54,235 15,954 1,359 71,548 77,860 Asset finance loans at FVTPL (1) 366 - - 366 - Total gross loans and advances 54,601 15,954 1,359 71,914 77,860 Total financial assets 75,287 15,954 1,359 92,600 99,285 Customer funding commitments (2) 9,643 - - 9,643 9,922 Total potential exposure to credit risk 84,930 15,954 1,359 102,243 109,207 2026 $m 2025 $m Bank Stage 1 Stage 2 Stage 3 Total Total Cash and cash equivalents 1,018 - - 1,018 1,660 Due from other financial institutions 106 - - 106 148 Other financial assets (including accrued interest) (1) 27,922 - - 27,922 30,295 Derivative financial instruments (1) 891 - - 891 413 Financial assets other than loans and advances 29,937 - - 29,937 32,516 Gross loans and advances 52,171 15,490 1,228 68,889 71,565 Total financial assets 82,108 15,490 1,228 98,826 104,081 Customer funding commitments (2) 8,906 - - 8,906 9,225 Total potential exposure to credit risk 91,014 15,490 1,228 107,732 113,306 (1) While derivative financial instruments, financial assets at FVTPL and asset finance loans measured at fair value are not subject to classification by stage, they have been included in this analysis to provide a more comprehensive view of the Group's exposure to credit risk. (2) Refer to Note 5.2 for details of customer funding commitments. 180 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) b) Credit risk (continued) (ii) Credit quality The credit quality categories of financial assets have been determined based on Standard & Poor’s credit ratings, APRA risk weightings and the Bank’s standard risk grading. The categories are classified as below: • High grade – generally corresponds to Standard & Poor’s credit ratings AAA+ to BBB-; • Satisfactory – generally corresponds to Standard & Poor’s credit rating BB+ to B; • Weak – generally corresponds to Standard & Poor’s credit ratings up to B; and • Unrated – Loans and advances which have been classified as unrated are not secured, however these are not deemed to be weak. The table below presents an analysis of the credit quality of financial assets: Consolidated 2026 $m 2025 $m Gross loans and advances Gross loans and advances Row labels Retail Commercial Total GLAs(1) Other financial assets Retail Commercial Gross loans and advances Other financial assets High 51,085 6,864 57,949 20,621 55,365 5,719 61,084 21,410 1 38,947 6,094 45,041 20,621 40,358 5,298 45,656 21,410 2 12,138 770 12,908 - 15,007 421 15,428 - 3 - - - - - - - - Satisfactory 961 10,117 11,078 50 1,073 13,332 14,405 - 1 845 7,750 8,595 50 1,007 10,732 11,739 - 2 116 2,367 2,483 - 66 2,600 2,666 - 3 - - - - - - - - Weak 918 1,678 2,596 - 1,172 876 2,048 - 1 83 591 674 - 157 343 500 - 2 9 554 563 - 25 122 147 - 3 826 533 1,359 - 990 411 1,401 - Unrated - 291 291 15 - 323 323 15 1 - 291 291 15 - 323 323 15 2 - - - - - - - - 3 - - - - - - - - Grand Total 52,964 18,950 71,914 20,686 57,610 20,250 77,860 21,425 (1) Gross loans and advances includes loans measured at amortised cost as well as asset finance loans measured at FVTPL. 2026 Annual Report 181
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) b) Credit risk (continued) (ii) Credit quality (continued) Bank 2026 $m 2025 $m Gross loans and advances Gross loans and advances Retail Commercial Gross loans and advances Other financial assets Retail Commercial Gross loans and advances Other financial assets High Grade 51,085 4,464 55,549 28,761 55,365 3,772 59,137 31,268 Stage 1 38,947 4,055 43,002 28,761 40,358 3,645 44,003 31,268 Stage 2 12,138 409 12,547 - 15,007 127 15,134 - Stage 3 - - - - - - - - Satisfactory 960 10,362 11,322 50 1,076 9,405 10,481 - Stage 1 844 7,749 8,593 50 1,011 8,131 9,142 - Stage 2 116 2,613 2,729 - 65 1,274 1,339 - Stage 3 - - - - - - - - Weak 919 981 1,900 - 1,173 683 1,856 - Stage 1 83 375 458 - 157 337 494 - Stage 2 9 205 214 - 25 115 140 - Stage 3 827 401 1,228 - 991 231 1,222 - Unrated - 118 118 1,126 - 91 91 1,248 Stage 1 - 118 118 1,126 - 91 91 1,248 Stage 2 - - - - - - - - Stage 3 - - - - - - - - Grand Total 52,964 15,925 68,889 29,937 57,614 13,951 71,565 32,516 182 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) b) Credit risk (continued) (iii) Concentration of exposure for gross loans and advances Concentration of credit risk exists when a number of counterparties are engaged in similar activities, are in the same geographical areas or industry sectors and/or have similar economic characteristics, so that their ability to meet contractual obligations is similarly affected by changes in economic, political or other conditions. The Group monitors concentrations of credit risk by geographical location and industry sectors for loans and advances. An analysis of the geographical concentrations of credit risk at the reporting date, determined by the borrower's residence, is presented below, with industry sector concentrations presented in the accompanying industry concentration table. Consolidated (1) Bank Geographical concentration of credit risk for loans and advances (before provisions and unearned income) 2026 $m 2025 $m 2026 $m 2025 $m Queensland 20,479 23,025 19,373 20,971 New South Wales 22,330 22,824 21,415 21,228 Victoria 16,723 17,769 16,085 16,251 Northern Territory 340 412 303 342 Australian Capital Territory 2,023 2,255 1,955 2,174 Western Australia 6,522 7,288 6,145 6,557 South Australia 2,427 2,871 2,290 2,483 Tasmania 1,132 1,341 1,102 1,247 International 233 325 233 325 72,209 78,110 68,901 71,578 Consolidated (1) Bank Industry concentration of credit risk for loans and advances (before provisions and unearned income) 2026 $m 2025 $m 2026 $m 2025 $m Residential mortgages 54,208 59,000 54,208 59,000 Property and construction 7,250 6,921 6,867 5,152 Healthcare 2,759 2,668 2,682 2,541 Professional services 1,800 1,857 1,756 1,714 Agriculture 1,108 1,468 1,012 958 Transportation 257 853 89 41 Manufacturing and mining 393 785 227 285 Hospitality and accommodation 720 660 710 619 Other retail lending 85 131 85 130 Other 3,629 3,767 1,265 1,138 72,209 78,110 68,901 71,578 (1) Gross loans and advances includes loans measured at amortised cost as well as asset finance loans measured at FVTPL. 2026 Annual Report 183
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) c) Liquidity and funding risk Liquidity risk arises from the possibility that the Group is unable to meet its financial obligations as they fall due or incurs a loss on converting a position or selling an asset for cash to meet such obligations. These obligations include the repayment of deposits on demand or at their contractual maturity, the repayment of wholesale borrowings and capital notes as they mature and the payment of interest on borrowings. These risks are governed by the Group’s prescribed risk appetite, which is set by the Board, and managed by Group Treasury. Market Risk reviews the effectiveness of risk management and oversight is provided by the Group ALCO. The Board is ultimately responsible for the prudent management of liquidity risk across the Group and to ensure compliance with risk appetite. Key controls and risk mitigation strategies include: • Daily monitoring of liquidity risk exposures, including LCR and NSFR. • Maintaining adequate liquidity buffers and short term funding capacity to withstand periods of disruption in long-term wholesale funding markets. • Operating a prudent funding strategy which ensures appropriate diversification and limits maturity concentrations and imposing internal limits that are in addition to regulatory requirements. • Maintaining a contingent funding plan designed to address liquidity shortfalls in a crisis situation. • Managing a robust limit framework including stress testing and scenario analysis. The liquid asset portfolio held as part of these principles aims to be well diversified by tenor, counterparty and product type. The composition of the portfolio mainly includes cash, commonwealth government and semi government securities. In addition, the Group holds internal RMBS as a source of contingent liquidity. Funding mix The Group’s funding is comprised of a mix of deposits, including retail transaction accounts, savings accounts and term deposits, together with term wholesale funding, short- term wholesale funding and equity. The Group manages this within risk appetite settings to ensure suitable funding of its asset base and to enable it to respond to changing market conditions and regulatory requirements. The Group is focused on developing a stable customer deposit base and maintaining access to diversified wholesale funding markets via its term funding programmes. In addition, during the 2026 financial year, the Group continued to access domestic and to a lesser extent international short-term wholesale markets. 184 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) c) Liquidity and funding risk (continued) Total contractual cashflows Consolidated 2026 Carrying amount $m At call $m 3 months or less $m 3 to 12 months $m 1 to 5 years $m Over 5 years $m Total $m FINANCIAL LIABILITIES Due to other financial institutions 1,427 1,027 401 - - - 1,428 Deposits 71,227 45,541 12,112 13,495 890 - 72,038 Derivative financial instruments (1) 39 - 11 17 12 1 41 Accounts payable and other liabilities 1,041 - 931 21 88 1 1,041 Securitisation liabilities (2) 4,824 - 192 3,424 597 1,333 5,546 Borrowings (3) 9,016 - 1,018 2,864 5,976 - 9,858 Total financial liabilities 87,574 46,568 14,665 19,821 7,563 1,335 89,952 DERIVATIVE FINANCIAL INSTRUMENTS (HEDGING RELATIONSHIP) Contractual amounts payable - 722 2,048 4,105 85 6,960 Contractual amounts receivable - (675) (2,407) (4,275) (131) (7,488) (614) - 47 (359) (170) (46) (528) OFF BALANCE SHEET POSITIONS Guarantees, indemnities and letters of credit - 242 - - - - 242 Customer funding commitments - 9,401 - - - - 9,401 - 9,643 - - - - 9,643 (1) Derivative financial instruments other than those designated in hedge relationships. (2) Repayment of securitisation bonds is forecast based on the expected repayment profile of the underlying assets of the Trusts. (3) Excludes securitisation liabilities. Total contractual cashflows Consolidated 2025 Carrying amount $m At call $m 3 months or less $m 3 to 12 months $m 1 to 5 years $m Over 5 years $m Total $m FINANCIAL LIABILITIES Due to other financial institutions 1,003 603 401 - - - 1,004 Deposits 75,677 42,768 17,913 14,774 1,025 4 76,484 Derivative financial instruments (1) 35 - 32 (6) 9 - 35 Accounts payable and other liabilities 949 - 812 25 92 20 949 Securitisation liabilities (2) 6,245 - 175 2,414 2,646 1,738 6,973 Borrowings (3) 10,411 - 934 1,938 8,548 - 11,420 Total financial liabilities 94,320 43,371 20,267 19,145 12,320 1,762 96,865 DERIVATIVE FINANCIAL INSTRUMENTS (HEDGING RELATIONSHIP) Contractual amounts payable - 642 958 4,593 57 6,250 Contractual amounts receivable - (578) (1,138) (4,833) (67) (6,616) (498) - 64 (180) (240) (10) (366) OFF BALANCE SHEET POSITIONS Guarantees, indemnities and letters of credit - 254 - - - - 254 Customer funding commitments - 9,668 - - - - 9,668 - 9,922 - - - - 9,922 (1) Derivative financial instruments other than those designated in hedge relationships. (2) Repayment of securitisation bonds is forecast based on the expected repayment profile of the underlying assets of the Trusts. (3) Excludes securitisation liabilities. 2026 Annual Report 185
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For the year ended 31 August 2026 Notes to the financial statements. 3.6 Financial risk management (continued) c) Liquidity and funding risk (continued) Total contractual cash flows Bank 2026 Carrying amount $m At call $m 3 months or less $m 3 to 12 months $m 1 to 5 years $m Over 5 years $m Total $m FINANCIAL LIABILITIES Due to other financial institutions 1,427 1,027 401 - - - 1,428 Deposits 71,437 45,751 12,112 13,495 890 - 72,248 Derivative financial instruments (1) 39 - 11 17 12 1 41 Accounts payable and other liabilities 940 - 830 21 88 1 940 Borrowings 9,016 - 1,018 2,864 5,976 - 9,858 Amounts due to controlled entities 16,205 16,205 - - - - 16,205 Total financial liabilities 99,064 62,983 14,372 16,397 6,966 2 100,720 DERIVATIVE FINANCIAL INSTRUMENTS (HEDGING RELATIONSHIP) Contractual amounts payable - 679 1,024 1,794 85 3,582 Contractual amounts receivable - (672) (1,356) (2,188) (131) (4,347) (701) - 7 (332) (394) (46) (765) OFF BALANCE SHEET POSITIONS Guarantees, indemnities and letters of credit - 242 - - - - 242 Customer funding commitments - 8,664 - - - - 8,664 - 8,906 - - - - 8,906 (1) Derivative financial instruments other than those designated in hedge relationships. Total contractual cash flows Bank 2025 Carrying amount $m At call $m 3 months or less $m 3 to 12 months $m 1 to 5 years $m Over 5 years $m Total $m FINANCIAL LIABILITIES Due to other financial institutions 1,003 603 401 - - - 1,004 Deposits 75,892 42,983 17,913 14,774 1,025 4 76,699 Derivative financial instruments (1) 35 - 32 (6) 9 - 35 Accounts payable and other liabilities 895 - 758 25 92 20 895 Borrowings 10,411 - 934 1,938 8,548 - 11,420 Amounts due to controlled entities 19,111 19,111 - - - - 19,111 Total financial liabilities 107,347 62,697 20,038 16,731 9,674 24 109,164 DERIVATIVE FINANCIAL INSTRUMENTS (HEDGING RELATIONSHIP) Contractual amounts payable - 610 867 1,323 57 2,857 Contractual amounts receivable - (578) (1,056) (1,379) (67) (3,080) (215) - 32 (189) (56) (10) (223) OFF BALANCE SHEET POSITIONS Guarantees, indemnities and letters of credit - 254 - - - - 254 Customer funding commitments - 8,971 - - - - 8,971 - 9,225 - - - - 9,225 (1) Derivative financial instruments other than those designated in hedge relationships. 186 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.7 Fair value of financial instruments a) Fair value of financial instruments The financial assets and liabilities listed below are recognised and measured at fair value and therefore their carrying value equates to their fair value: • Derivatives; • Financial instruments designated at FVTPL; and • Financial instruments designated at FVOCI. The fair value estimates for instruments carried at amortised cost are based on the methodologies and assumptions below. Cash and cash equivalents, due from and to other financial institutions, accounts payable and other liabilities The fair value approximates to their carrying value as they are short term in nature or are receivable or payable on demand. Loans and advances Loans and advances are net of specific and collective provisions for impairment and unearned income. The fair values of loans and advances that reprice within six months of year ended 31 August 2026 are assumed to equate to the carrying value. The fair values of all other loans and advances are calculated using discounted cash flow models based on the contractual maturity of the loans and advances. The discount rates applied are based on the current interest rates at the reporting date for similar types of loans and advances, if the loans and advances were performing at the reporting date. The differences between estimated fair values and carrying values reflect changes in interest rates and creditworthiness of borrowers since loan or advance origination. Deposits The fair value of non-interest bearing, at call and variable rate deposits and fixed rate deposits repricing within six months is the carrying value. The fair value of other term deposits is calculated using discounted cash flow models based on the deposit type and its related maturity. Borrowings and debt instruments at amortised cost The fair values are calculated based on a discounted cash flow model using a yield curve appropriate to the remaining maturity of the instruments. b) Comparison of fair value to carrying amounts The table below discloses the fair value of financial instruments where their carrying values are not a reasonable approximation of their fair value: Carrying value Fair value Consolidated 2026 $m 2025 $m 2026 $m 2025 $m ASSETS CARRIED AT AMORTISED COST Loans and advances 71,274 77,553 71,170 77,608 71,274 77,553 71,170 77,608 LIABILITIES CARRIED AT AMORTISED COST Deposits (71,227) (75,677) (71,259) (75,667) Borrowings including subordinated notes (13,840) (16,656) (13,860) (16,641) (85,067) (92,333) (85,119) (92,308) Bank ASSETS CARRIED AT AMORTISED COST Loans and advances 68,704 71,365 68,678 71,381 Debt instruments at amortised cost 10,635 12,843 10,640 12,842 79,339 84,208 79,318 84,223 LIABILITIES CARRIED AT AMORTISED COST Deposits (71,437) (75,892) (71,469) (75,882) Borrowings including subordinated notes (9,016) (10,411) (9,037) (10,393) (80,453) (86,303) (80,506) (86,275) 2026 Annual Report 187
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For the year ended 31 August 2026 Notes to the financial statements. 3.7 Fair value of financial instruments (continued) c) Fair value hierarchy The Group measures fair values using the following fair value hierarchy and valuation techniques, which reflect the significance of the inputs used in making the measurements: • Level 1: This category includes assets and liabilities for which the valuation is determined from inputs based on unadjusted quoted market prices in active markets for identical instruments. • Level 2: This category includes assets and liabilities for which the valuation is determined from inputs other than quoted prices included within level 1, which are observable either directly or indirectly. This includes the use of discounted cash flow analysis, option pricing models and other market accepted valuation models. • Level 3: This category includes assets and liabilities for which the valuation includes inputs that are not based on observable market data. This includes equity instruments where there are no quoted market prices. The fair value of loans at FVTPL is determined with reference to terms and conditions implied by the forward-flow arrangement (refer to Note 5.5 Capital partnership). The fair value hierarchy classification of instruments held at amortised cost: • Debt instruments at amortised cost – Level 2. • Loans and advances – Level 3. • Deposits and borrowings – Level 2. The table below analyses financial instruments carried at fair value, by the valuation method: 2026 Consolidated Level 1 $m Level 2 $m Level 3 $m Total $m FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE Derivative financial assets - 945 - 945 Financial assets at FVTPL - 1,054 - 1,054 Debt instruments at FVOCI 11,951 4,084 - 16,035 Loans at FVTPL - - 366 366 Equity Instruments at FVOCI 10 - - 10 Total assets measured at fair value 11,961 6,083 366 18,410 Derivative financial liabilities - (340) - (340) Net financial instruments at fair value 11,961 5,743 366 18,070 2025 Consolidated Level 1 $m Level 2 $m Level 3 $m Total $m FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE Derivative financial assets - 696 - 696 Financial assets at FVTPL - 941 - 941 Debt instruments at FVOCI 11,139 5,192 - 16,331 Equity instruments at FVOCI 6 - - 6 Total assets measured at fair value 11,145 6,829 - 17,974 Derivative financial liabilities - (194) - (194) Net financial instruments at fair value 11,145 6,635 - 17,780 188 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.7 Fair value of financial instruments (continued) c) Fair value hierarchy (continued) 2026 Bank Level 1 $m Level 2 $m Level 3 $m Total $m FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE Derivative financial assets - 891 - 891 Financial assets at FVTPL - 1,054 - 1,054 Debt instruments at FVOCI 11,951 4,084 - 16,035 Equity Instruments at FVOCI 10 - - 10 Total assets measured at fair value 11,961 6,029 - 17,990 Derivative financial liabilities - (198) - (198) Net financial instruments at fair value 11,961 5,831 - 17,792 2025 Bank Level 1 $m Level 2 $m Level 3 $m Total $m FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE Derivative financial assets - 413 - 413 Financial assets at FVTPL - 941 - 941 Debt instruments at FVOCI 11,139 5,192 - 16,331 Equity instruments at FVOCI 6 - - 6 Total assets measured at fair value 11,145 6,546 - 17,691 Derivative financial liabilities - (194) - (194) Net financial instruments at fair value 11,145 6,352 - 17,497 2026 Annual Report 189
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting a) Fair value of derivatives The following tables summarise the notional and fair value of the Group’s and Bank’s commitments to derivative financial instruments at reporting date. Fair value in relation to derivative financial instruments is estimated using net present value techniques. The tables below set out the fair values of the derivative financial instruments. Consolidated 2026 2025 Notional amount Fair value Notional amount Fair value $m Asset $m Liability $m $m Asset $m Liability $m DERIVATIVES AT FAIR VALUE THROUGH PROFIT OR LOSS Interest rate swaps 106,908 22 (27) 58,898 30 (20) Options 1,862 1 (1) 499 2 (1) Foreign exchange forwards 743 7 (11) 913 7 (14) 109,513 30 (39) 60,310 39 (35) DERIVATIVES HELD AS CASH FLOW HEDGES Interest rate swaps 50,563 267 (146) 56,081 255 (95) Cross currency swaps 2,925 54 (142) 2,939 285 - 53,488 321 (288) 59,020 540 (95) DERIVATIVES DESIGNATED AS FAIR VALUE HEDGES Interest rate swaps 12,282 594 (13) 11,160 117 (64) Total derivatives measured at fair value 175,283 945 (340) 130,490 696 (194) 190 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting (continued) a) Fair value of derivatives (continued) Bank 2026 2025 Notional amount Fair value Notional amount Fair value $m Asset $m Liability $m $m Asset $m Liability $m DERIVATIVES AT FAIR VALUE THROUGH PROFIT OR LOSS Interest rate swaps 106,908 22 (27) 58,898 30 (20) Options 1,862 1 (1) 499 2 (1) Foreign exchange forwards 743 8 (11) 913 7 (14) 109,513 31 (39) 60,310 39 (35) DERIVATIVES HELD AS CASH FLOW HEDGES Interest rate swaps 50,148 266 (146) 55,789 254 (95) Cross currency swaps - - - 14 3 - 50,148 266 (146) 55,803 257 (95) DERIVATIVES DESIGNATED AS FAIR VALUE HEDGES Interest rate swaps 12,282 594 (13) 11,160 117 (64) Total derivatives measured at fair value 171,943 891 (198) 127,273 413 (194) b) Hedging strategy The Group and Bank used derivative financial instruments for both hedging and trading purposes in the current year and prior year. Refer to Note 3.6 a) for an explanation of the Group’s and Bank’s risk management framework. The Group uses derivative financial instruments to hedge its exposure to foreign exchange and interest rate risks arising from operating, financing and investing activities. The Group’s hedging strategy is to protect net interest income from variability in interest rates in Australian dollars. This requires the Group to enter into interest rate swaps allowing for the mitigation of interest rate risk. Foreign currency exposures are swapped to Australian dollars using cross currency swaps. These cross currency swaps will be matched to the underlying fixed or floating interest rate exposure, respectively. The majority of exposures are managed under the above strategy. Where a risk is within agreed limits, the Group may decide not to apply hedge accounting to that risk. Instead, the Group will manage its exposure under broader risk management processes. c) Accounting for derivatives In accordance with its treasury risk policies, the Group can hold derivative financial instruments for trading purposes. Derivatives that do not qualify for hedge accounting are accounted for as trading instruments. Derivative financial instruments are initially measured at fair value. Subsequent to initial recognition, gains or losses on derivatives are recognised in the income statement, unless they are entered into for hedging purposes. The fair value of interest rate swaps is the estimated amount that the Group would receive or pay to terminate the swap at the reporting date, taking into account current interest rates and current creditworthiness of the swap counterparties. The fair value of forward exchange contracts is their quoted market price at the reporting date, being the present value of the quoted forward price. The fair value of futures contracts is their quoted market price. 2026 Annual Report 191
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting (continued) c) Accounting for derivatives (continued) The following table shows the maturity profile of hedging derivatives based on their notional amounts. 2026 $m 2025 $m Consolidated 0 to 12 months 1 to 5 years Over 5 years Total 0 to 12 months 1 to 5 years Over 5 years Total Interest rate swaps 36,101 21,001 5,743 62,845 45,054 21,462 725 67,241 Foreign exchange forwards - - - - - - - - Cross currency swaps 896 2,029 - 2,925 14 2,925 - 2,939 Bank Interest rate swaps 35,713 20,974 5,743 62,430 44,592 21,632 725 66,949 Cross currency swaps - - - - 14 - - 14 d) Hedging relationships Cash flow hedges Cash flow hedges are used by the Group to manage exposure to variability in future cash flows, which may result from fluctuations in interest and exchange rates. The Group principally uses interest rate swaps and cross currency swaps to protect against such fluctuations. Where a derivative financial instrument is designated as a hedge of the variability of the cash flows of a recognised asset or liability, or a highly probable forecasted transaction, the effective part of any gain or loss on the derivative financial instrument is recognised directly in other comprehensive income and accumulated in reserves in equity. The ineffective portion of any gain or loss is recognised immediately in profit or loss in the income statement. If a hedge of a forecast transaction subsequently results in the recognition of a financial asset or a financial liability, then the associated gains and losses previously recognised directly in other comprehensive income are reclassified to profit or loss in the income statement in the same period or periods in which the asset acquired or liability assumed affects the income statement (i.e. when interest income or expense is recognised). When a hedging instrument expires or is sold, terminated or exercised, or the Group revokes designation of the hedge relationship and the hedged forecast transaction is still expected to occur, the cumulative gain or loss at that point remains in other comprehensive income and is recognised in profit or loss in the income statement when the transaction occurs. If the hedged transaction is no longer expected to take place, then the cumulative unrealised gain or loss is recognised immediately in profit or loss in the income statement. The following table shows the executed rates for the most significant hedging instruments that have been designated in cash flow hedges that are in place at the balance date. Consolidated Hedging Instruments Currency 2026 2025 Cash flow hedges Interest rate swaps AUD 0.536% - 4.813% 0.233% - 4.730% Cash flow hedges Cross currency swaps AUD / EUR 0.570 - 0.670 0.570 - 0.670 192 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting (continued) d) Hedging relationships (continued) Fair value hedges Fair value hedges are used by the Group to manage exposure to changes in the fair value of an asset. Changes in fair values arise from fluctuations in interest rates. The Group principally uses interest rate swaps to protect against such fluctuations. Changes in the value of fair value hedges are recognised in other comprehensive income, together with changes in the fair value of the hedged asset or liability that are attributable to the hedged risk. All gains and losses associated with the ineffective portion of fair value hedge relationships are recognised immediately in the income statement. If the hedge relationship no longer meets the criteria for hedge accounting, it is discontinued. The fair value adjustment to the hedged item is amortised to the income statement from the date of discontinuation over the period to maturity of the previously designated hedge relationship using the effective interest method. If the hedged item is sold or repaid, the unamortised fair value adjustment is recognised immediately in the income statement. The following table shows the carrying value of hedged items designated in fair value hedge accounting relationships and the cumulative fair value hedge accounting adjustment that has been recognised as part of that carrying value. These balances are being amortised to the income statement on an effective yield basis. The Group does not hedge its entire exposure to a class of financial instruments, nor does it apply hedge accounting in all instances, therefore the carrying amounts below will not equal the total carrying amounts disclosed in other notes to these financial statements. As noted in the Group’s accounting policies, since the hedged item is adjusted only for the hedged risk, the hedged item’s carrying value disclosed in the table will not be equivalent to its fair value as disclosed in other notes to these financial statements. The accumulated amount of fair value hedge adjustments remaining in the balance sheet for hedged items that have ceased to be adjusted for hedging gains and losses is nil (2025: nil) for the Group. Consolidated 2026 $m 2025 $m Carrying value (1) Fair value hedge adjustments Debit / (Credit) Carrying value (1) Fair value hedge adjustments Debit / (Credit) ASSETS Debt instruments at FVOCI 11,738 273 11,039 13 (1) Accrued interest is excluded from the carrying amounts of hedged items. Derivatives that do not qualify for hedge accounting Certain derivative instruments not held for trading do not qualify for hedge accounting. Changes in the fair value of any derivative instrument that does not qualify for hedge accounting are recognised immediately in the income statement and are included in other income. 2026 Annual Report 193
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting (continued) e) Hedge ineffectiveness Hedge ineffectiveness, in the case of a fair value hedge, is the extent to which the changes in the fair value of the hedging instrument differ to that of the hedged item and, in the case of cash flow relationships, the extent to which the change in the hedging instrument exceeds that of the hedged item. Sources of hedge ineffectiveness primarily arise from basis and timing differences between the hedged items and hedging instruments. The following table contains the hedge ineffectiveness associated with cash flow hedge and fair value hedge relationships during the period, as recognised in other operating income in the income statement: Consolidated 2026 $m 2025 $m Gains / (losses) on hedging instruments Gains / (losses) on hedged items Hedge ineffectiveness Gains / (losses) on hedging instruments Gains / (losses) on hedged items Hedge ineffectiveness INTEREST RATE RISK Fair value hedges: Interest rate swaps 261 (260) 1 (97) 96 (1) Cash flow hedges: (1) Interest rate swaps (43) 47 4 (33) 33 - INTEREST RATE AND FOREIGN EXCHANGE RISK Cash flow hedges: (1) Cross currency swaps 368 (368) - (234) 234 - (1) Amounts recognised in OCI for cashflow hedges includes $3 million (2025: $5 million) related to de-designated hedges. 194 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.8 Derivative financial instruments and hedge accounting (continued) f) Master netting or similar arrangements The Group enters into derivative transactions under International Swaps and Derivatives Association (ISDA) master netting agreements. Amounts owed by each counterparty are aggregated into a single net amount that is payable by one party to another. The Group also receives and gives collateral in the form of cash in respect of derivatives and such collateral is subject to standard industry terms. The Group has not offset these amounts in the balance sheet as their ISDA agreements do not meet the criteria to do so. The Group has no current legally enforceable right to offset recognised amounts as the right to offset is only enforceable on the occurrence of future events. The Group normally settles on a net basis or realises the derivative assets and liabilities simultaneously. The following tables set out the effect of netting arrangements on derivative financial assets and derivative financial liabilities if they were to be applied. 2026 $m Consolidated Gross amounts as presented in the balance sheet Net amounts of recognised assets and liabilities available for offset Calculated balance Cash collateral Net amounts if offsetting applied in the balance sheet Derivative financial assets 945 (175) 770 (713) 57 Derivative financial liabilities (340) 175 (165) 7 (158) 2025 $m Consolidated Gross amounts as presented in the balance sheet Net amounts of recognised assets and liabilities available for offset Calculated balance Cash collateral Net amounts if offsetting applied in the balance sheet Derivative financial assets 696 (171) 525 (234) 291 Derivative financial liabilities (194) 171 (23) 15 (8) 2026 $m Bank Gross amounts as presented in the balance sheet Net amounts of recognised assets and liabilities available for offset Calculated balance Cash collateral Net amounts if offsetting applied in the balance sheet Derivative financial assets 891 (175) 716 (713) 3 Derivative financial liabilities (198) 175 (23) 7 (16) 2025 $m Bank Gross amounts as presented in the balance sheet Net amounts of recognised assets and liabilities available for offset Calculated balance Cash collateral Net amounts if offsetting applied in the balance sheet Derivative financial assets 413 (171) 242 (234) 8 Derivative financial liabilities (194) 171 (23) 15 (8) In addition to the above, the Group has entered into a $400m (2025: $400m) repurchase agreement, recorded in Due to other financial institutions that is not subject to a master netting arrangement and is secured by semi-government bonds. 2026 Annual Report 195
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For the year ended 31 August 2026 Notes to the financial statements. 3.9 Capital management The Group’s capital management aims to ensure adequate capital levels are maintained to protect deposit holders. The Group’s capital is measured and managed in line with Prudential Standards issued by APRA. The Group’s Internal Capital Adequacy Assessment Process ( ICAAP) provides the framework to ensure that the Group is capitalised to meet internal capital targets and APRA’s requirements. The ICAAP is reviewed regularly and submitted to the Board annually for approval. The Group’s capital position is monitored on a continuous basis and reported monthly to the Asset and Liability Committee and Board. BOQ operates under APRA’s revised Basel III capital framework. The Board has determined the Group will target operations within the Common Equity Tier 1 (CET1) range of between 10.25 - 10.75 per cent, in normal operating conditions. 3.10 Capital and reserves a) Ordinary shares Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares and share rights are recognised as a deduction from equity, net of any tax effects. Treasury shares Ordinary shares of the Bank may be purchased from time to time by a controlled entity of the Bank, pursuant to the Awards Rights Plan, Equity Incentive Plan and Non-Executive Director Fee Sacrifice Rights Plan. Where these shares remain unvested to employees they are treated as treasury shares and deducted from capital as required by AASB 132 Financial Instruments: Presentation. No profit or loss is recorded on purchase, sale, issue or cancellation of these shares. T erms and conditions Holders of ordinary shares are entitled to receive dividends as determined by the Bank and are entitled to one vote per share at shareholders’ meetings. In the event of a winding up of the Bank, ordinary shareholders rank after capital note holders and creditors and are fully entitled to any residual proceeds of liquidation. Consolidated Bank 2026 No of shares 2025 No of shares 2026 No of shares 2025 No of shares MOVEMENTS DURING THE YEAR Balance at the beginning of the year – fully paid 661,469,455 661,469,455 661,469,455 661,469,455 Share buy-back (1) (1,040,214) - (1,040,214) - Dividend reinvestment plan (2) - - - - Balance at the end of the year – fully paid 660,429,241 661,469,455 660,429,241 661,469,455 TREASURY SHARES (INCLUDED IN ORDINARY SHARES ABOVE): Balance at the beginning of the year 3,981,555 2,833,720 Net acquisitions and disposals during the year 1,205,742 1,147,835 Balance at the end of the year 5,187,297 3,981,555 (1) On 10 August 2026, the Group announced its intention to undertake an on-market share buy-back of up to $196 million. As at 31 August 2026, the Group has bought back and cancelled 1,040,214 shares at an average price of $6.40. After the balance sheet date, the purchase of a further 681,948 shares at an average price of $6.50 settled and the shares were cancelled. (2) Nine per cent of the dividend paid on 27 May 2026 and nine per cent of the dividend paid on 21 November 2025 were reinvested by shareholders as part of the dividend reinvestment plan, satisfied through the on-market purchase of shares. Nine per cent of the dividend paid on 23 May 2025 and nine per cent of the dividend paid on 19 November 2024 were reinvested by shareholders as part of the dividend reinvestment plan, satisfied through the on-market purchase of shares in prior year. 196 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 3.10 Capital and reserves (continued) b) Nature and purpose of reserves Employee benefits reserve The employee benefits reserve is used to record the value of share based payments provided to employees, including key management personnel, as part of their remuneration. Refer to Note 5.1 for further details of these plans. Profit reserve The profit reserve represents accumulated profits available for distribution as a dividend. FVOCI reserve Changes in the fair value of financial assets classified as debt and equity instruments at FVOCI are recognised in other comprehensive income as described in Note 3.2 and accumulated in a separate reserve within equity. For debt instruments at FVOCI, amounts are reclassified to Other operating income in the income statement when the associated assets are sold or impaired. For equity instruments at FVOCI, amounts are not subsequently transferred to the income statement when the associated assets are sold or impaired, but can be reclassified to retained profits. Cash flow hedge reserve The hedging reserve is used to record gains or losses on a hedge instrument in a cash flow hedge that are recognised in other comprehensive income, as described in Note 3.8d). 2026 Annual Report 197
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For the year ended 31 August 2026 Notes to the financial statements. Note 4. Other assets and liabilities. 4.1 Intangible assets Consolidated Goodwill $m Customer related intangibles and brands $m Computer software(3) $m Assets under construction(3) $m Right to operate asset - OMB conversion $m Total $m Balance as at 1 September 2024 567 33 254 308 - 1,162 Additions - - - 100 92 192 Transfers to asset - - 299 (299) - - Amortisation charge - (8) (82) - (38) (128) Impairment (170) - (11) (2) - (183) Balance as at 31 August 2025 397 25 460 107 54 1,043 Balance as at 1 September 2025 397 25 460 107 54 1,043 Additions - - 3 120 - 123 R&D tax incentive (1) - - (17) - - (17) Whole-of-loan sale (2) (20) - - - - (20) Transfers to asset - - 106 (106) - - Amortisation charge (1) - (8) (96) - (21) (125) Impairment - - (33) (4) - (37) Balance as at 31 August 2026 377 17 423 117 33 967 Bank Goodwill $m Customer related intangibles and brands $m Computer software(3) $m Assets under construction(3) $m Right to operate asset - OMB conversion $m Total $m Balance as at 1 September 2024 504 33 244 308 - 1,089 Additions - - - 100 92 192 Transfers to asset - - 299 (299) - - Amortisation charge - (8) (79) - (38) (125) Impairment (143) - (11) (2) - (156) Balance as at 31 August 2025 361 25 453 107 54 1,000 Balance as at 1 September 2025 361 25 453 107 54 1,000 Additions - - 3 120 - 123 R&D tax incentive (1) - - (17) - - (17) Transfers to asset - - 106 (106) - - Amortisation charge (1) - (8) (94) - (21) (123) Impairment - - (33) (4) - (37) Balance as at 31 August 2026 361 17 418 117 33 946 (1) Represents $17 million in R&D incentives recognised against qualifying computer software assets, resulting in a $5 million reduction in associated amortisation. Refer to Note 4.1(vi). (2) Goodwill derecognised as part of the whole-of-loan sale. Refer to Note 5.5 for further details. (3) During the year, $37 million of software assets were impaired following a reassessment of future expected economic benefits and the replacement of aged technology assets as the Group transitions to its modern digital infrastructure. 198 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 4.1 Intangible assets (continued) Recognition and measurement (i) Goodwill Goodwill on acquisitions of subsidiaries is included in intangible assets. Goodwill is not amortised but it is tested for impairment annually, or more frequently if events or changes in circumstances indicate that it might be impaired, and is carried at cost less accumulated impairment losses. Gains and losses on the disposal of an entity include the carrying amount of goodwill relating to the entity sold. (ii) Customer related intangibles and brands Customer relationships acquired in a business combination are recognised at fair value at the acquisition date. They have a finite useful life and are subsequently carried at cost less accumulated amortisation and impairment losses. (iii) Computer software Costs associated with maintaining software programmes are recognised as an expense as incurred. Development costs that are directly attributable to the design and testing of identifiable and unique software products controlled by the group are recognised as intangible assets where the following criteria are met: • it is technically feasible to complete the software so that it will be available for use; • management intends to complete the software and use or sell it; • it can be demonstrated how the software will generate probable future economic benefits; • adequate technical, financial and other resources to complete the development and to use or sell the software are available; and • the expenditure attributable to the software during its development can be reliably measured. Directly attributable costs that are capitalised as part of the software include employee costs and a portion of relevant overheads. Capitalised development costs are recorded as intangible assets and amortised from the point at which the asset is ready for use. Research expenditure and development expenditure that do not meet the criteria above are recognised as an expense as incurred. Development costs previously recognised as an expense are not recognised as an asset in a subsequent period. (iv) Right to operate intangible assets - Owner Managed branch conversion In the year ended 31 August 2025, the Group converted 114 Owner Managed branches to corporate branches and subsequently closed 26 of these branches as part of the Group’s broader branch optimisation program. The exit entitlement amounts paid to Owner Managers on conversion are recognised as right to operate intangible assets on the Group’s Balance Sheet. The intangible assets were recognised on the Consolidated balance sheet when control of the Owner Managed branches passed to the Group. (v) Software as a service Software as a service (SaaS) costs are only recognised as intangible assets if the implementation activities create an asset that the entity controls and the asset meets the recognition criteria. Costs that do not result in intangible assets are expensed as incurred, unless they are paid to the suppliers of the SaaS arrangement to significantly customise the software for the Group, in which case the costs are recorded as a prepayment for services and amortised over the expected renewable term of the arrangement. (vi) Research and development incentives The Group has elected to account for research and development (R&D) tax incentives under AASB 120 Accounting for Government Grants and Disclosure of Government Assistance . Eligible R&D tax incentives are treated as government grants and are recognised when there is reasonable assurance that the Group will satisfy the associated conditions and that the incentive will be received. Where the related expenditure is capitalised as an asset under construction, the incentive is recognised as a reduction in the carrying amount of the asset. The resulting benefit is recognised in profit or loss over the asset's useful life through reduced amortisation charges. Amortisation Except for goodwill, amortisation is charged to profit or loss in the income statement on a straight-line basis over the estimated useful life of the intangible asset unless the life of the intangible asset is indefinite. Where applicable, intangible assets are amortised from the date they are available for use. The amortisation period and method are reviewed on an annual basis. The amortisation rates used in the current and comparative periods are as follows: Years Computer software 3-10 Customer related intangibles and brands 1-6 The right to operate intangible assets are amortised over the shorter of the remaining term of the original franchise agreement or branch closure. Impairment Intangible assets are reviewed for impairment at least annually, or whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. For goodwill, intangible assets with an indefinite life and assets under construction that are yet to commence amortisation, the recoverable amount is estimated at the same time each year. An impairment loss is recognised in profit or loss in the income statement for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount of an asset or Cash-Generating Unit (CGU) is the greater of its value-in use or its fair value less costs to sell. Intangible assets, other than goodwill, that have previously incurred impairment are tested for possible reversal of the impairment whenever events or changes in circumstances indicate that the impairment may have reversed. Cash-Generating Units For the purposes of testing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash inflows that are largely independent of the cash flows from other assets or groups of assets - a Cash-Generating Unit (CGU). In addition to intangible assets, all other non-financial assets, other than deferred tax assets, are allocated and tested for impairment as part of the Group’s CGUs. BOQ Group has two CGUs, Retail Bank and BOQ Business, refer to Note 2.5. All non- financial assets are allocated to these CGU’s for the purposes of impairment testing. The recoverable amount of each CGU is determined using a value-in-use calculation. In determining if the CGU is impaired, the carrying amount of each CGU is compared to its recoverable amount. Impairment losses recognised in respect of CGUs are allocated first to reduce the carrying amount of goodwill allocated to the CGU and then to reduce the carrying amounts of the other assets in the CGU on a pro-rata basis. 2026 Annual Report 199
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For the year ended 31 August 2026 Notes to the financial statements. 4.1 Intangible assets (continued) Value-in-use Value-in-use is calculated by discounting the estimated future cash flows expected to be derived from the continued operation of the CGU. The key assumptions represent management’s assessments of future trends in retail and business banking and are based on both external and internal sources of information. The following key assumptions were used in the value-in-use calculations: • Post-tax cash flow projections based on a five-year financial forecast which is developed annually and approved by management and the Board, as well as terminal-year cash flows beyond the five-year forecast. These forecasts utilise information about current and future economic conditions, observable historical performance and management expectations of future business performance, including: - Net Interest Margin projections based on expectations of future RBA cash rate changes and changes to interest rates on the bank’s lending and deposit products, having regard to expected market conditions. Terminal year key assumptions include mortgage spread assumptions that reflect management’s expectations of sustainable net interest margins (refer ‘Long-run NIM %’ in following table); and - Expense growth projections based on management’s view of the estimated cost base of the business having regard to inflation and required investment to sustain the business in perpetuity, as well as future average credit loss rates (refer ‘Long-run expenses’ in following table) The cash flow projections used in the value-in-use calculations exclude the benefits of future strategic initiatives and transformation programs. • Post-tax discount rate applied to the cash flow projections reflecting the specific risks and conditions relating to the relevant CGUs. • Common Equity Tier 1 Holdback Rate refers to the level of capital held as a percentage of total risk-weighted assets, in line with the midpoint of management’s target CET1 range. • Long term growth rate is used to extrapolate cash flows beyond the forecast period and reflects the upper end of the RBA’s target long-term inflation rate band. The following table sets out the key assumptions used for both Retail Bank and BOQ Business value-in-use calculations: Retail Bank BOQ Business 2026 % 2025 % 2026 % 2025 % Post-tax discount rate 11.58 12.71 10.72 10.44 Common Equity Tier 1 Holdback Rate 10.50 10.50 10.50 10.50 Long term growth rate 3.00 3.00 3.00 3.00 The aggregate carrying amount of goodwill for the BOQ Business CGU is shown below. No goodwill is allocated to the Retail CGU. 2026 $m 2025 $m BOQ Business 377 397 Total 377 397 Sensitivity analysis for Cash-Generating Units The table below shows a sensitivity analysis for the Retail Bank CGU’s recoverable amount. Goodwill in the Retail Bank was fully impaired in the prior year however a reasonably possible change in assumptions could result in impairment which would be allocated to other non-financial assets contained in the Retail Bank CGU. Other non-financial assets predominantly comprise of computer software. This sensitivity analysis assumes the specific assumption moves in isolation while all other assumptions are held constant. The following sensitivities indicate the change in each key assumption that would erode the Retail Bank CGU's headroom to nil. Retail Bank Post-tax discount rate Increase by 42bps Long-run NIM % Decrease by 4.5bps Long-run expenses Increase by $40m p.a. Common Equity Tier 1 Holdback Rate Increase by 80bps Long-term growth rate Decrease by 141bps There are no reasonably possible changes in assumptions that could result in an impairment of the BOQ Business CGU. 200 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 4.2 Provisions and contingent liabilities A provision is recognised in the balance sheet when the Group has a present legal or constructive obligation as a result of a past event and it is probable that an outflow of economic benefits will be required to settle the obligation. If the effect is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, when appropriate, the risks specific to the liability. The carrying amounts of the provisions recognised are: Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Employee benefits (1) 55 54 55 54 Restructuring provision 2 22 2 22 RAP provision 11 38 11 38 Pay and leave entitlements review 1 2 1 2 Other (2) 25 24 23 24 Total 94 140 92 140 (1) Employee benefits provision consist of annual leave (represents present obligations resulting from employees’ services provided up to the reporting date, calculated at discounted amounts based on remuneration wage and salary rates that the Consolidated Entity expects to pay as at reporting date including related on-costs) and long service leave entitlements for employees (represents the present value of the estimated future cash outflows to be made resulting from employees’ services provided to reporting date). The provision is calculated using expected future increases in wage and salary rates including related on-costs, and expected settlement dates based on turnover history and is discounted using the rates attached to Australian 10 year corporate bonds at reporting date which most closely match the terms of maturity of the related liabilities. $50 million (2025: $50 million) of this provision balance is classified as current. (2) Other provisions include lease make good liabilities and other contractual liabilities. Pay and entitlements review In 2020 BOQ commenced a review of payments to employees covering Superannuation Guarantee compliance and whether correct payments had been made to employees under successive BOQ Enterprise Agreements, being 2010, 2014 and 2018. BOQ has made remediation payments for base wage, lump-sum entitlement, superannuation and interest for active and former employees. In the first half of 2026, BOQ received notice from the Fair Work Ombudsman that the matter is now closed. As at 31 August 2026, a provision remains of $1 million (2025: $2 million) for unclaimed money and associated costs. Provision for Remedial Action Plans (RAP) On 30 May 2023, the Group entered into voluntary enforceable undertakings with APRA and AUSTRAC to execute a multi-year program of work to uplift our operational resilience, risk culture, governance and Anti-Money Laundering and Counter- Terrorism Financing program. The enforceable undertakings are court enforceable. The undertaking with APRA addresses remediation of weaknesses in the Group’s risk management practices, controls, systems, governance and risk culture ( the APRA EU). APRA has also determined to apply a capital adjustment to the Group’s minimum capital requirements, adding $50 million to the Group’s operational risk capital requirement (applied as of 30 May 2023). The adjustment reduced the Group’s Level 2 CET1 ratio by approximately 17bps. The Group may apply for removal of all or part of the capital adjustment when it concludes that it can demonstrate compliance to APRA’s satisfaction with commitments in respect of ongoing remediation and the APRA EU. The enforceable undertaking with AUSTRAC addresses remediation of issues in respect of the Group’s anti-money laundering and counter-terrorism financing EU program ( the AUSTRAC EU). The commitments entered into with APRA and AUSTRAC will continue the work commenced under the Remedial Action Plans announced to the market on 14 April 2023. The provision excludes the costs of activities that are expected to be performed by existing resources of the Group, ongoing operating costs and costs related to improvements beyond the matters identified. To date, $83 million of the provision has been utilised. 2026 Annual Report 201
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For the year ended 31 August 2026 Notes to the financial statements. 4.2 Provisions and contingent liabilities (continued) As previously disclosed, a number of risks and uncertainties exist for which assumptions have been made in estimating the provision required, including: • Scope: The provision has been based on matters currently identified that require uplift. It is possible that additional matters are identified as a result of further analysis or required by regulators that could increase the scope and cost of the programs. • Nature and extent of work required to address the matters identified: It has been necessary to estimate the work required to deliver on requirements based on plans at different levels of development. Allowance has been made for this uncertainty in forming the estimate, however it is possible that as work proceeds the scope and cost of the programs required is different to the estimate. • Resources required to deliver the work: As outlined above, the provision has been made for the additional expenditure to the Group necessary to deliver the required uplift such as external support, contractors and independent assurance providers. This has required estimation of the extent and cost of additional resources required based on an assumption of the Group’s capacity to deliver a significant proportion of the activities with its existing and planned internal resources. The Group appointed Grant Thornton as External Auditor for the purpose of the AUSTRAC EU and as Independent Reviewer for the purpose of APRA EU. Throughout the year, BOQ has continued to execute the actions and deliverables required by the RAPs, completing, and closing numerous deliverables across the design, implementation and embed phases. The appointed Independent Reviewers of the Remedial Action Plans continue to oversee and validate closure of activities for both RAPs. In the FY26 financial year, both programs have submitted three reports from Grant Thornton to APRA and AUSTRAC. Reports will continue to be produced and submitted to APRA and AUSTRAC every four months in accordance with the conditions of the CEUs or as otherwise agreed with APRA and AUSTRAC. ATO CRS Reporting remediation In December 2025, the Australian Taxation Office ( ATO) commenced a review of BOQ’s compliance with the Common Reporting Standard (CRS) reporting obligations for the 2022, 2023 and 2024 calendar year reporting periods. The ultimate financial impact of this matter remains uncertain and, whilst not expected to be material for the Group, will continue to be assessed as additional information becomes available. 202 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 4.2 Provisions and contingent liabilities (continued) Movements in provisions Movements in each class of provision during the year, other than employee benefits, are as follows: Consolidated 2026 RAP provision $m Restructuring provision $m Pay and entitlements review $m Other $m Carrying amount at beginning of year 38 22 2 24 Additional provision recognised - - - 16 Unwinding of discount 4 - - - Amounts utilised during the year (28) (9) (1) (10) Release of provision (3) (11) - (5) Carrying amount at end of year 11 2 1 25 Less than 12 months 11 2 1 18 Greater than 12 months - - - 7 Bank 2026 RAP provision $m Restructuring provision $m Pay and entitlements review $m Other $m Carrying amount at beginning of year 38 22 2 24 Additional provision recognised - - - 6 Unwinding of discount 4 - - - Amounts utilised during the year (28) (9) (1) (2) Release of provision (3) (11) - (5) Carrying amount at end of year 11 2 1 23 Less than 12 months 11 2 1 16 Greater than 12 months - - - 7 Consolidated 2025 RAP provision $m Restructuring provision $m Pay and entitlements review $m Other $m Carrying amount at beginning of year 36 37 3 18 Additional provision recognised 21 10 - 12 Unwinding of discount 2 - - - Amounts utilised during the year (21) (25) (1) (4) Release of provision - - - (2) Carrying amount at end of year 38 22 2 24 Less than 12 months 30 22 2 11 Greater than 12 months 8 - - 13 Bank 2025 RAP provision $m Restructuring provision $m Pay and entitlements review $m Other $m Carrying amount at beginning of year 36 37 3 17 Additional provision recognised 21 10 - 12 Unwinding of discount 2 - - - Amounts utilised during the year (21) (25) (1) (4) Release of provision - - - (1) Carrying amount at end of year 38 22 2 24 Less than 12 months 30 22 2 11 Greater than 12 months 8 - - 13 2026 Annual Report 203
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For the year ended 31 August 2026 Notes to the financial statements. 4.2 Provisions and contingent liabilities (continued) Legal claims, remediation, compensation claims and regulatory enforcement The BOQ Group is committed to strengthening, simplifying, digitising and optimising its business to deliver improved outcomes for our customers, people, shareholders and valued partners. The Group has continued to engage with APRA and AUSTRAC as the Group has progressed through its Remedial Action Plans. Any identified areas for uplift, including delays in meeting deliverables under the Remedial Action Plans, have been discussed with relevant regulators, root cause analysis undertaken and BOQ is continuing work to address those items. While it is uncertain whether AUSTRAC or APRA will take any enforcement action (either in relation to the matters referred to in the enforceable undertakings or other matters), neither regulator has indicated to the Group that it intends to do so as at the date of this report. The Group is exposed to contingent risks and liabilities arising from the delivery of its required activities under the Remedial Action Plans. The Group’s potential liability in relation to these matters remains uncertain (and cannot be accurately assessed). There is a risk that from time to time, the Group does not comply with its legal, regulatory obligations or causes customer impact. In some cases where the Group does not comply or causes material customer harm, remediation programs may be undertaken. The Group also undertakes ongoing compliance activities, including breach reporting, reviews of products provided to its customers, and second line assurance and internal audit reviews. Some of these activities may identify weaknesses that result in remediation programs. Where relevant, the Group consults with the respective regulator on these matters. Financial services regulators also periodically engage with the Group, as part of their supervisory and regulatory roles. For example, our regulators or other independent bodies may carry out reviews or audits of our compliance requirements or request certain information from us as part of an inquiry or investigation. Throughout the financial year, the Group has had numerous engagements with its regulators and been subject to several reviews and enquiries. This included continued engagement with ASIC about concerns it had regarding BOQ’s systems and controls relating to its design and distribution obligations, breach reporting, dispute resolution, hardship, and effective compensation arrangement obligations. BOQ has continued to engage with ASIC and deliver on committed remedial action plans within agreed timeframes. However, ASIC has raised concerns that BOQ may not deliver effective and sustainable compliance in practice and have requested that further activities be undertaken. As a result, BOQ is undertaking additional activities to better demonstrate clear customer and conduct outcomes, particularly in the context of managing customer impact. In November 2025, ASIC commenced an industry review of debt collection activities, with BOQ a selected participant. ASIC Notices were received by BOQ in January 2026, with the review to extend across 2026. ASIC has indicated the review may result in some form of public output detailing its observations, in late 2026. BOQ has also liaised with AFCA with respect to system migration matters during the period. AFCA has determined that certain matters are systemic and may refer these matters to relevant regulators. There is a risk that these regulators may seek to commence proceedings, seek to impose fines or sanctions, or take other administrative or enforcement action in relation to the Group’s compliance with relevant laws and regulations. The Group has not been informed of any current intention by these regulators to do so. There is also the risk that the Group incurs increased costs in people, processes and systems to meet regulators’ requirements or expectations. The outcomes and total costs associated with these possible exposures remain uncertain. The Group could be engaged in a range of litigation matters at any given time. The Group (like all entities in the banking and finance sector) is exposed to the risk of litigation and there can be no assurance that significant litigation will not arise in the future. The outcome of legal proceedings, and total costs associated with exposure to litigation, remains uncertain. Where relevant, expert legal advice is obtained and, in the light of such advice, provisions or disclosures as deemed appropriate are made. BOQ is engaging with six former Owner Managers who have lodged disputes with AFCA. It is possible that former Owner Managers may choose to launch legal proceedings regarding BOQ exercising its right to terminate the Owner Managed Branch Agency Agreements. As at 14 October 2026, no legal proceedings had been served. 204 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 4.3 Accounts payable and other liabilities The following table provides a detailed breakdown of accounts payable and other liabilities by component. Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Accrued interest payable 438 452 392 411 Payables and accrued expenses 325 292 275 281 Lease liabilities 119 147 119 147 Other liabilities 159 58 154 56 Total 1,041 949 940 895 Payables and accrued expenses are recognised when there is a present obligation arising from the receipt of goods or services, or from contractual arrangements, and when settlement is probable and can be reliably measured. Payables and accrued expenses are initially recognised at fair value and subsequently measured at amortised cost. Accrued interest payable reflects interest obligations incurred but not yet settled with counterparties. Interest is recognised using the effective interest rate method (refer Note 2.1). Payables and accrued expenses include short term creditor liabilities, salaries and other expense accruals. Lease liabilities are recognised at the commencement of a lease contract and are measured as the present value of the lease payment outstanding at commencement date, discounted using the Group’s incremental borrowing rate applied to the lease term. The lease liability is then increased by the interest expense on the lease liability and decreased by lease payments made. For further detail, refer Note 5.8 e). 2026 Annual Report 205
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For the year ended 31 August 2026 Notes to the financial statements. Note 5. Other notes. 5.1 Employee benefits a) Superannuation commitments Superannuation plan The Group contributes to a number of superannuation plans which comply with the Superannuation Industry (Supervision) Act 1993. Contributions are charged to profit or loss in the income statement as they are payable. Basis of contributions The Group is required to meet the minimum legal obligations under the relevant superannuation guarantee legislation and the industrial instrument provisions. b) Share based payments The Group currently operates the Equity Incentive Plan (previously the Awards Right Plan) for equity-settled compensation. The plan grants the Group's employees rights or options which can convert into shares in the Bank. The fair value of rights granted is recognised as an employee expense with a corresponding increase to the Employee Benefits Reserve. The fair value is measured at grant date and expensed over the service period, which is based on the respective service vesting conditions. The fair value of the rights granted is measured using industry accepted pricing methodologies, taking into account the terms and conditions upon which the rights are granted. Where rights do not vest due to failure to meet a non-market condition (e.g. company internal targets), the expense is reversed. Where rights do not vest due to failure to meet a market condition (e.g. total shareholder return test), the expense is not reversed. (i) Description of share based payments The Award Rights Plan was first introduced and approved by shareholders on 11 December 2008, which was replaced by the Equity Incentive Plan for new awards from 1 September 2020. Types of award rights granted to employees under the new plan are DARs, Premium Priced Options, Performance Shares, Restricted Shares, Executive Performance Rights and CEO and Chair Award Rights (CARs). No amount is payable by employees for the grant of award rights. Performance Shares Performance Shares granted in FY21-23 were delivered in rights that converted to restricted shares at the end of the financial year based on the Board's assessment of the Group Scorecard, individual performance and risk and conduct assessment. Once converted, dealing restrictions are released from restricted shares after a further one, two and three years. Performance shares are expensed over the period in which the employee fulfils the service conditions as determined by the cessation clauses in the relevant award terms. Premium Priced Options Premium Priced Options vest in two tranches with 50 per cent vesting by the end of year three and 50 per cent by the end of year four and may be altered at the Board's discretion. The exercise price, which must be paid by the employee, is set at 120% of the share price following the Annual General Meeting (AGM). For FY21, this was based on a five-day VWAP, while FY22 and FY23 used a ten-day VWAP. This is also based on a risk assessment conducted by the Board. On exercise, the shares are subject to dealing restrictions for a further one year. Premium Priced Options are expensed over the period in which the employee fulfills the service conditions as determined by the relevant pro-rata cessation clauses in the Award Terms. DARs Typically, there are no market performance hurdles or other performance based vesting conditions for DARs but the holder must remain an employee of the Bank, unless employment is ceased for qualifying reasons whereby the holder receives a pro-rata allocation of DARs to cessation date or the full amount of the awards depends on the specific rules of the plan. The vesting conditions may vary depending on the nature of the award. DARs may be used for retention, make-good and other targeted remuneration purposes, and may include specific non-market performance conditions designed to achieve targeted outcomes. The most common vesting schedule for DARS consists of three tranches, 35 per cent vesting by the end of year one, 35 per cent by the end of year two and 30 per cent at the end of year three. The vesting schedule may be adjusted based on the specific terms of the award. The last award of DARs to an Accountable Person occurred during year ended 31 August 2025 with a vesting schedule consisting of three tranches, 50 per cent (tranche 1 and 2) vesting by the end of year one, and 50 per cent vesting by the end of year four. Once vested, DARs may be exercised, to receive ordinary shares. Restricted Shares The Group has used shares with restrictions on disposal as a non-cash, share based component of short term variable awards. On occasion, restricted shares are also used as make- good awards. CEO and Chair Award Rights (CARs) There are no market performance hurdles or other performance based vesting conditions for CARs but the holder must remain an employee of the Bank (unless employment is ceased for qualifying reasons whereby the holder receives a pro-rata allocation of CARs to cessation date or the full amount of the awards depends on the specific rules of the plan). 206 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.1 Employee benefits (continued) b) Share based payments (continued) (i) Description of share based payments (continued) The CARs granted in the years ended 31 August 2023 and 2024 vest in three tranches, with 20 per cent vesting at the end of year one, 30 per cent at the end of year two and 50 per cent at the end of year three. CARs may be exercised, to receive ordinary shares, by the employee once they have vested. Executive Performance Rights (EPRs) EPRs granted in the year ended 31 August 2024 vest over a four year period, subject to the Board’s assessment of three vesting conditions: • Tranche 1 – Customer Experience (20 per cent); being Net Promoter Score (NPS) across BOQ Retail Main Financial Institution (MFI), ME Bank MFI and Business Bank Any Financial Relationship (AFR). Where specific measures are no longer tracked or available, the Board will determine performance outcomes using its judgement, taking into account available customer experience measures and overall customer outcomes; • Tranche 2 - Strengthen (30 per cent); being Program rQ and AML First, BOQ’s Remedial Action Plans, are on track for completion in accordance with the approved plan, within the agreed timeframes, to the satisfaction of the Board, the independent assurers and the regulators, measured via project status (RAG); and • Tranche 3 - Optimise (50 per cent); comprising (i) return on equity (ROE) and (ii) Total Shareholder Return (TSR). EPRs granted in the year end 31 August 2025 vest over a four year period, subject to the Board’s assessment of two vesting conditions: • Tranche 1 – Financial Tranche (70 per cent); being absolute total shareholder return • Tranche 2 – Non Financial Tranche (30 per cent) – relates to the delivery of the digital and relationship banks through the successful migration of customers from, and decommissioning of, the heritage bank. EPRs granted in the year end 31 August 2026 vest over a four-year period, subject to the Board’s assessment of two vesting conditions: • Tranche 1 – Financial Tranche (70 per cent): based on relative total shareholder return (TSR); and • Tranche 2 – Non-financial Tranche (30 per cent): relating to improvement in customer satisfaction and experience, measured across retail and business banking customer segments, reflecting outcomes across customer acquisition, retention and growth, and overall customer sentiment. EPRs can be exercised to receive ordinary shares once they have vested. Upon issuance, 33% of those shares will be available to the MD&CEO and 50% to other Executive KMPs at the end of year four. Dealing restrictions will apply to the remaining shares, released as follows: • Group Executives – the remaining 50% at the end of year five. • MD&CEO – 33% at the end of year five, and 34% at the end of year six. (ii) Award rights on issue The number of rights and restricted shares on issue for the Group is as follows: Deferred Award Rights Premium Priced Options BOQ Transformation Award Rights (1) Performance Shares Restricted Shares CEO & Chair Awards Rights Executive Performance Rights 2026 ’000 2026 ’000 2026 ’000 2026 ’000 2026 ’000 2026 ’000 2026 ’000 Balance at beginning of the year 3,293 10,819 4 512 451 598 2,341 Granted during the year - - - - 838 - 1,203 Forfeited / expired during the year (104) (1,822) - - (38) (14) (315) Exercised during the year (1,159) - (4) (296) (221) (198) - Outstanding at the end of the year 2,030 8,997 - 216 1,030 386 3,229 (1) Refer to previous Annual Reports for a description of Performance Award Rights, BOQ Transformation Award Rights and BOQ Transformation Award Rights-Virgin, issued under the previous Award Rights Plan. 2026 Annual Report 207
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For the year ended 31 August 2026 Notes to the financial statements. 5.1 Employee benefits (continued) b) Share based payments (continued) Deferred Award Rights Premium Priced Options BOQ Transformation Award Rights (1) Performance Shares Restricted Shares CEO & Chair Awards Rights Executive Performance Rights 2025 ’000 2025 ’000 2025 ’000 2025 ’000 2025 ’000 2025 ’000 2025 ’000 Balance at beginning of the year 4,609 12,034 4 912 197 889 1,134 Granted during the year 564 - - - 385 - 1,405 Forfeited / expired during the year (452) (1,215) - - (44) (73) (198) Exercised during the year (1,428) - - (400) (87) (218) - Outstanding at the end of the year 3,293 10,819 4 512 451 598 2,341 (1) Refer to previous Annual Reports for a description of Performance Award Rights, BOQ Transformation Award Rights and BOQ Transformation Award Rights-Virgin, issued under the previous Award Rights Plan. (iii) Measurement of fair values The Premium Priced Options have been valued using a four step methodology that uses a simulation approach to project future share prices and then the Binomial model to value the options on vesting. The EPRs with non-market based hurdles have been valued using a Black-Scholes option pricing model. The EPRs with the TSR (market based) hurdle have been valued using a Monte Carlo simulation-based model to project future share prices and TSR. The fair value of DARs, Performance Shares and CEO and Chair Award Rights have been measured using a Black-Scholes option pricing model. The value of Restricted Shares has been valued using a Black-Scholes option pricing model equivalent taking into account the dividend entitlement during the vesting period. The weighted average of the inputs used in the measurement of the long term incentive award rights grants during the year was as follows: Restricted Shares Executive Performance Rights 2026 2026 Fair value at grant date $ 6.55 3.93 Share price at grant date $ 6.55 6.77 Expected volatility % 23% 23% Risk free interest rate % 4% 4% Dividend yield % 0% 6% Deferred Award Rights Restricted Shares Executive Performance Rights 2025 2025 2025 Fair value at grant date $ 6.38 6.77 3.56 Share price at grant date $ 7.12 6.72 6.78 Expected volatility % 23 24 24 Risk free interest rate % 3.7 3.8 3.9 Dividend yield % 5.0 4.7 5.0 208 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.2 Commitments a) Customer funding commitments Consolidated Bank 2026 $m 2025 $m 2026 $m 2025 $m Guarantees, indemnities and letters of credit 242 254 242 254 Customer funding commitments 9,401 9,668 8,664 8,971 Total 9,643 9,922 8,906 9,225 In the normal course of business the Group makes commitments to extend credit to its customers. Most commitments either expire if not taken up within a specified time or can be cancelled by the Group within one year. Credit risk is significantly less than the notional amount and does not crystallise until a commitment is funded. Guarantees are provided to third parties on behalf of customers. The Group assesses the credit risk associated with guarantee balances and calculates Expected Credit Losses (ECL) using the same methodology applied to loans and advances. b) Lease commitments The Group has entered into a lease commitment for new office premises in Brisbane commencing 1 February 2027. Future minimum lease payments under this agreement amount to $74 million. c) Other commitments Expenditure on software assets and other expenditure contracted for but not provided on the balance sheets is $2 million (2025: $4 million). 5.3 Related parties information a) Controlled entities Details of interests in controlled entities are set out in Note 5.4. During the year there have been transactions between the Bank and its controlled entities. The Bank conducted normal banking business with its operating controlled entities. Amounts owing to or from controlled entities generally attract interest on normal terms and conditions, except in respect of Virgin Money Financial Services Pty Ltd, BOQ Specialist Pty Ltd, BOQ Home Pty Limited, Home Credit Management Pty Ltd, covered bond and securitisation trusts and dormant entities as set out in Note 5.4 a). The Bank receives management fees from its operating controlled entities except Virgin Money Financial Services Pty Ltd, BOQ Specialist Pty Ltd, BOQ Home Pty Limited, Home Credit Management Pty Ltd and dormant entities as set out in Note 5.4 a). The Bank earns fees for provision of services and facilities to the securitisation vehicles and the covered bond programmes, including the management and servicing of the loans and leases securitised. The Bank has the following related party transactions and balances with controlled entities: Disclosure Amounts due from/to controlled entities Balance sheets Interest income and interest expense Note 2.1 Securitisation income, dividend income and management fees Note 2.1 Debt instruments at amortised cost Note 3.2 b) Key management personnel compensation KMP , including Directors and other Senior Executives, have authority and responsibility for planning, directing and controlling the activities of the Bank and the Group. KMP compensation included in ‘administrative expenses’ and ‘employee expenses’ (refer to Note 2.2) is as follows: 2026 $ 2025 $ Short term employee benefits 9,933,456 10,849,172 Long term employee benefits 87,834 149,662 Post employment benefits 429,092 402,305 Share based employment benefits 5,794,184 5,419,530 Termination benefits 1,378,987 404,330 Total 17,623,553 17,224,999 2026 Annual Report 209
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For the year ended 31 August 2026 Notes to the financial statements. 5.3 Related parties information (continued) Individual Directors and Senior Executives compensation disclosures Information regarding individual Directors and Senior Executives’ compensation and equity instruments disclosures, as permitted by Regulation 2M.3.03 of the Corporations Regulations 2001, is provided in the Remuneration Report section of the Directors’ Report. Apart from the details disclosed in the Remuneration Report, no Director has entered into a material contract with the Bank since the end of the previous financial year and there were no material contracts involving Directors’ interests existing at year end. c) Other financial instrument transactions with key management personnel and their related parties A number of KMP and their close family members hold positions in other entities that result in them having control or significant influence over the financial or operating policies of those entities. These entities, as well as the KMP and their close family members, are related parties to the Group. Financial instrument transactions with KMP and their related parties during the financial year arise out of the provision of banking services, the acceptance of funds on deposit, the granting of loans and other associated financial activities. The terms and conditions of the transactions entered into with KMP and their related parties were no more favourable than those available, or which might reasonably be expected to be available, on similar transactions to non-related entities, on an arm’s length basis. No amounts have been written down or recorded as impaired during the year (2025: nil). The loans between the Group and KMP or their related parties up to 31 August 2026 are: Balance as at For the period (1) 1 September 2025 $ 31 August 2026 $ Total net loan repayments $ Total loan / overdraft interest $ Total fees on loans / overdrafts $ TERM PRODUCTS (LOANS / ADVANCES) KMP 1,192,658 985,591 (214,115) 7,048 - Other related parties 1,616,656 1,421,748 (285,383) 90,155 320 Total 2,809,314 2,407,339 (499,498) 97,203 320 (1) Amounts are included only for the period that the Director/Executive is classified as a member of the key management personnel. Balance as at For the period (1) 1 September 2024 $ 31 August 2025 $ Total net loan repayments $ Total loan / overdraft interest $ Total fees on loans / overdrafts $ TERM PRODUCTS (LOANS / ADVANCES) KMP 1,318,737 1,192,658 (153,920) 27,841 - Other related parties 1,639,786 1,616,656 (120,453) 96,963 360 Total 2,958,523 2,809,314 (274,373) 124,804 360 (1) Amounts are included only for the period that the Director/Executive is classified as a member of the key management personnel. 210 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.4 Controlled entities a) Particulars in relation to material controlled entities The Group’s controlled entities at 31 August 2026 are set out below. The country of incorporation or registration is also the principal place of business. Place of business / country of incorporation Parent entity’s interest Amount of investment Principal activities Controlled entities: 2026 % 2025 % 2026 $m 2025 $m Alliance Premium Funding Limited New Zealand - 100 - - Deregistered Bank of Queensland Limited Employee Share Plans Trust Australia 100 100 - - Trust BOQ Asset Finance and Leasing Pty Ltd Australia 100 100 - - Dormant BOQ Covered Bond Trust Australia 100 100 - - Issue of covered bonds BOQ Soft Bullet Covered Bond Trust Australia 100 100 - - Issue of covered bonds BOQ Credit Pty Limited Australia 100 100 - - Asset finance & leasing BOQ Equipment Finance Limited Australia 100 100 15 15 Asset finance & leasing BOQF Cashflow Finance Pty Ltd Australia 100 100 - - Professional finance BOQ Finance (Aust) Limited Australia 100 100 230 230 Asset finance & leasing BOQ Finance (NZ) Limited New Zealand 100 100 - 22 Asset finance & leasing BOQ Funding Pty Limited Australia - 100 - - Deregistered BOQ Home Pty Ltd Australia 100 100 60 63 Investment holding entity BOQ Specialist (Aust) Pty Ltd Australia 100 100 1 1 Dormant BOQ Specialist Pty Ltd Australia 100 100 - - Dormant B.Q.L. Management Pty Ltd Australia 100 100 - - Trust management Home Credit Management Pty Ltd Australia 100 100 - - Investment holding entity Members Equity Proprietary Limited Australia 100 100 - - Dormant SMHL Series Private Placement 2014-2 Australia - 100 - - Terminated SMHL Series Securitisation Fund 2016-1 Australia - 100 - - Terminated SMHL Series Securitisation Fund 2017-1 Australia - 100 - - Terminated SMHL Series Private Placement Trust 2017-2 Australia 100 100 - - Securitisation SMHL Series 2018-1 Fund Australia 100 100 - - Securitisation SMHL Series Securitisation Fund 2018-2 Australia - 100 - - Terminated SMHL Series Private Placement Trust 2019-1 Australia 100 100 - - Securitisation 2026 Annual Report 211
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For the year ended 31 August 2026 Notes to the financial statements. 5.4 Controlled entities (continued) a) Particulars in relation to materially controlled entities (continued) Place of business / country of incorporation Parent entity’s interest Amount of investment Principal activities Controlled entities: 2026 % 2025 % 2026 $m 2025 $m SMHL Series Securitisation Fund 2019-1 Australia 100 100 - - Securitisation SMHL Series Private Placement Trust 2019-2 Australia 100 100 - - Securitisation SMHL Securitisation Trust 2020-1 Australia 100 100 - - Securitisation Series 2008-1 REDS Trust Australia 100 100 - - Securitisation Series 2012-1E REDS Trust Australia - 100 - - Terminated Series 2013-1 REDS Trust Australia - 100 - - Terminated Series 2015-1 REDS Trust Australia - 100 - - Terminated Series 2017-1 REDS Trust Australia 100 100 - - Securitisation Series 2018-1 REDS Trust Australia 100 100 - - Securitisation Series 2018-1 REDS EHP Trust Australia - 100 - - Terminated Series 2019-1 REDS Trust Australia 100 100 - - Securitisation Series 2021-1 REDS EHP Trust Australia 100 100 - - Securitisation Series 2022-1 REDS MHP Trust Australia 100 100 - - Dormant Series 2022-1PP REDS EHP Trust Australia 100 100 - - Securitisation Series 2023-1 REDS Trust Australia 100 100 - - Securitisation Series 2024-1 REDS Trust Australia 100 100 - - Securitisation Series 2024-2 REDS Trust Australia 100 100 - - Securitisation Statewest Financial Planning Pty Ltd Australia - 100 - - Deregistered Virgin Money (Australia) Pty Limited Australia 100 100 53 53 Financial services Virgin Money Financial Services Pty Ltd Australia 100 100 - - Financial services 359 384 212 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.4 Controlled entities (continued) b) Significant restrictions In accordance with APS 222 Associations with related entities, the Bank and its subsidiaries that form part of the Extended Licensed Entity have various restrictions. This includes not having unlimited exposures to related entities, including general guarantees. c) Acquisition of controlled entities (i) Accounting for business combinations All business combinations occurring on or after 1 July 2009 are accounted for by applying the acquisition method. For every business combination, the Group identifies the acquirer, which is the combining entity that obtains control of the other combining entities or businesses. The Group controls an entity if it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the investee. The consideration transferred in the acquisition is generally measured at fair value, as are the identifiable net assets acquired. Any goodwill that arises is tested annually for impairment, or more frequently if events or changes in circumstances indicate that it might be impaired. Contingent liabilities A contingent liability of the acquiree is assumed in a business combination only if such a liability represents a present obligation and arises from a past event and its fair value can be measured reliably. Transaction costs Transaction costs that the Group incurs in connection with a business combination, such as a finder’s fee, legal fees, due diligence fees and other professional and consulting fees are expensed as incurred. Transaction costs related to the issue of ordinary shares are recognised as a deduction from equity. d) Disposal of controlled entities (i) Entities closed during the year The following trusts exercised their clean-up call option during the financial year: • Series 2021-1 REDS EHP Trust clean up call option was exercised on 15 October 2025 • Series 2017-1 REDS Trust clean up call option was exercised on 23 March 2026 • Series 2022-1PP REDS EHP Trust clean up call option was exercised on 15 May 2026 • Series 2018-1 REDS Trust clean up call option was exercised on 17 August 2026. The following trusts were closed during the financial year: • SMHL Series Private Placement 2014-2 • SMHL Series Securitisation Fund 2016-1 • SMHL Series Securitisation Fund 2017-1 • SMHL Series Securitisation Fund 2018-2 • Series 2012-1E REDS Trust • Series 2013-1 REDS Trust • Series 2015-1 REDS Trust • Series 2018-1 REDS EHP Trust. The following entities were deregistered during the financial year: • Alliance Premium Funding Limited • BOQ Funding Pty Limited • Statewest Financial Planning Pty Ltd 2026 Annual Report 213
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For the year ended 31 August 2026 Notes to the financial statements. 5.5 Capital partnership a) Whole-of-loan sale On 7 April 2026, the Group entered into a capital partnership with Challenger Limited (the 'Capital Partnership'). The arrangement comprised the sale of a $3.6 billion portfolio of asset finance and leasing receivables (the ‘back-book’), the establishment of a forward- flow arrangement, and a servicing agreement. Settlement of the sale occurred on 1 May 2026. The disposed portfolio comprised fixed-rate loans and finance leases forming part of the BOQ Group’s Business Bank cash generating unit. Accordingly, the carrying amount of the disposed portfolio included $20 million of goodwill allocated to that cash-generating unit. The transaction also included sale of $500 million of securitisation liabilities relating to a portion of the equipment finance portfolio equitably assigned to a REDS EHP trust. A loss on disposal of $66 million was recognised in profit or loss within operating expenses (refer to Note 2.2 Operating expenses). The loss primarily reflected transaction costs and costs incurred to establish new interest rate swaps for the sold portfolio, adjusted for prevailing interest rates. b) Forward-flow arrangement The Group continues to originate and service equipment finance receivables either for retention by the Group or for sale into the forward-flow arrangement. The forward-flow arrangement has an initial term of 12 months and may be extended by mutual agreement of the parties. Equipment finance receivables originated for sale under the forward-flow arrangement are initially recognised on the Group's balance sheet and classified as loans at FVTPL (refer to Note 3.3 for further detail). Eligible receivables are subsequently sold to a special purpose vehicle (SPV) established as part of the structure. Receivables of $238 million were sold to the SPV during the year. As servicer of both the back-book and forward-flow receivables, the Group performs the day-to-day administration of the portfolios and earns ongoing servicing fee income (refer Note 2.1 Operating income). The Group also retains an insignificant exposure to the sold portfolios through a residual profit share and is entitled to a risk oversight fee relating to the back-book. The Group's continuing involvement in the sold portfolios is limited to servicing activities, an insignificant residual profit share and risk oversight fee (back-book only). These interests represent the Group’s maximum exposure to loss arising from its interests in these structured entities. The Group assessed the arrangement under AASB 10 Consolidated Financial Statements (AASB 10) and concluded that these interests, together with its servicing responsibilities, do not provide the Group with control over the SPVs. Accordingly, the SPVs are not consolidated. The Group also assessed the transfer of receivables under the whole-of-loan sale and forward-flow arrangement, in accordance with AASB 9 Financial Instruments (AASB 9). The Group concluded that derecognition was appropriate as substantially all risks and rewards of ownership had been transferred and the Group no longer controlled the assets. 214 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.6 Auditor’s remuneration Consolidated Bank 2026 $000 2025 $000 2026 $000 2025 $000 AUDIT SERVICES Audits and reviews of the financial reports 3,305 3,444 2,889 2,981 Regulatory audits and reviews as required by regulatory authorities 1,019 958 990 933 Total audit services 4,324 4,402 3,879 3,914 AUDIT RELATED SERVICES Other assurance services (1) 134 769 134 769 Total audit related services 134 769 134 769 NON-AUDIT SERVICES Other (2) 463 742 432 608 Total non-audit services 463 742 432 608 (1) Other assurance services relates predominantly to sustainability reporting readiness and assurance. (2) Non-audit services primarily relates to transaction related advice, comfort letters and agreed upon procedures. 5.7 Events subsequent to balance date Dividends have been determined after 31 August 2026. The financial effect of these dividends has not been brought to account in the financial statements for the year ended 31 August 2026. Further details with respect to the dividend amounts per share, payment date and dividend reinvestment plan can be obtained from Note 2.4 Dividends. Except for the matters listed above, the Directors are not aware of any matters or circumstances that have arisen in the interval between the end of the financial year and the date of this report, or any item, event or transaction which significantly affects, or may significantly affect the operations of the Group in future financial years. 2026 Annual Report 215
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For the year ended 31 August 2026 Notes to the financial statements. 5.8 Material accounting policies The accounting policies set out below have been applied consistently to all periods presented in the financial statements and have been applied consistently across the Group and the Bank. a) Basis of consolidation (i) Subsidiaries Subsidiaries are entities controlled by the Bank. Control exists when the Bank has the power, directly or indirectly, to govern the financial and operating policies of an entity so as to benefit from its activities. In assessing control, potential voting rights that presently are exercisable or convertible are taken into account. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases. In the Bank’s financial statements, investments in subsidiaries are carried at cost. (ii) Securitisation The Group's securitisation programs consist of: • REDS RMBS Trusts - securitisation of mortgage loans; • REDS EHP Trusts - securitisation of hire purchase, chattel mortgages and finance leases; and • SMHL Trusts acquired as part of ME Bank acquisition in 2021. The Group The Group receives the residual income distributed by its consolidated Trusts - REDS and SMHL - after all payments due to investors and associated costs of the program have been met. The Group is considered to retain substantially all the risks and rewards of the receivables and they do not meet the derecognition criteria of AASB 9. The Trusts fund their purchase of the loans by issuing floating-rate debt securities. The securities are represented as borrowings of the Group, however, the Group does not stand behind the capital value or the performance of the securities or the assets of the Trusts. The Group does not guarantee the payment of interest or the repayment of principal due on the securities. The loans subject to the securitisation program have been pledged as security for the securities issued by the Trusts. The Group is not obliged to support any losses that may be suffered by investors and does not intend to provide such support. The Bank provides the securitisation programs with arm’s length services and facilities, including the management and servicing of the loans and leases securitised. The Bank has no right to repurchase any of the securitised assets and no obligation to do so, other than in certain circumstances where there is a breach of warranty within 120 days of the sale or when certain criteria are met under the clean up provision per the Trust Deed Supplement. The transferred assets are equitably assigned to the Trusts. The investors in the securities issued by the Trusts have full recourse to the assets transferred to the Trusts. Bank The original transfer of the mortgages from the Bank to the Trusts does not meet the derecognition criteria set out in AASB 9. The Bank continues to reflect the securitised loans in their entirety and also recognises a financial liability to the Trusts. The interest payable on the inter-company financial asset/liability represents the return on an imputed loan between the Bank and the Trusts and is based on the interest income under the mortgages, the fees payable by the Trusts and the interest income or expense not separately recognised under the interest rate and basis swaps transactions between the Bank and the Trusts. All transactions between the Bank and the Trusts are eliminated on consolidation. (iii) Covered bond programs The Bank issues covered bonds for funding and liquidity purposes. Certain housing loans have been assigned to a bankruptcy remote structured entity to provide security for all obligations payable on the covered bonds issued by the Bank. Similar to the securitisation programs, the Bank is entitled to any residual income after all payments due to covered bond investors have been met. As the Bank retains substantially all of the risks and rewards associated with the housing loans, the Bank continues to recognise the housing loans on balance sheet. Investors have dual recourse to the Bank and the covered pool assets. (iv) Transactions eliminated on consolidation Intra-group balances and any unrealised gains and losses or income and expenses arising from intra-group transactions, are eliminated in preparing the consolidated financial statements. Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that there is no evidence of impairment. 216 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Notes to the financial statements. 5.8 Material accounting policies (continued) b) Foreign currency (i) Foreign currency transactions Transactions in foreign currencies are, initially, translated at the foreign exchange rate ruling at the date of the transaction. Subsequently, at reporting date, monetary assets and liabilities denominated in foreign currencies are translated into Australian dollars at the foreign exchange rate ruling at that date. Non-monetary items in a foreign currency that are measured at historical cost remain translated using the original exchange rate at the date of the transaction. Foreign exchange differences arising on translation are recognised in profit or loss. Where a foreign currency transaction is part of a hedge relationship it is accounted for as above, subject to the hedge accounting rules set out in Note 3.8. c) Goods and services tax Revenues, expenses and assets are recognised net of the amount of goods and services tax (GST), except where the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO). In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of the expense. Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from or payable to the ATO is included as a current asset or current liability in the balance sheet. Cash flows are included in the statements of cash flows on a gross basis. The GST components of cash flows arising from investing and financing activities which are recoverable from or payable to the ATO are classified as operating cash flows. d) Property, plant and equipment (i) Recognition and initial measurement Items of property, plant and equipment are measured at cost on recognition. (ii) Subsequent costs Subsequent additional costs are only capitalised when it is probable that future economic benefits in excess of the originally assessed performance of the assets will flow to the Group in future years. Where these costs represent separate components, they are accounted for as separate assets and are separately depreciated over their useful lives. Costs that do not meet the criteria for subsequent capitalisation are expensed as incurred. (iii) Subsequent measurement The Group has elected to use the cost model to measure property, plant and equipment after recognition. The carrying value is the initial cost less accumulated depreciation and any accumulated impairment losses. (iv) Depreciation Depreciation is charged to the profit or loss in the income statement on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment. The estimated useful lives are as follows: Years IT equipment 3-8 Plant, furniture and equipment 3-20 Leasehold improvements (1) 6-12 (1) Or term of lease if less. The useful lives and residual values of property, plant and equipment are reviewed at least annually and revised where appropriate. Property, plant and equipment are also assessed at each reporting date for indicators of impairment. Where such indicators exist, the recoverable amount of the asset is determined and an impairment loss is recognised where the carrying amount exceeds the recoverable amount. Refer to Note 4.1 for accounting policies related to Intangible assets. 2026 Annual Report 217
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For the year ended 31 August 2026 Notes to the financial statements. 5.8 Material accounting policies (continued) e) Leases (i) Identification of a lease A contract is, or contains, a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The Group has identified three types of leases: property leases, vehicle leases and equipment leases. Where practical the Group separates consideration in a contract between lease and non-lease components, only accounting for the lease component under AASB 16 Leases (AASB 16) and the non- lease component under other relevant accounting standards. For property leases it has been possible to separate lease and non-lease components but for some equipment leases the Group has elected not to separate the consideration. The Group has further elected not to recognise right-of-use (ROU) assets and lease liabilities for leases of low value assets (mainly IT equipment). The Group recognises these lease payments as an expense on a straight-line basis. (ii) As a lessee The Group recognises a ROU asset and a lease liability at the lease commencement date. The ROU asset is initially measured at cost and subsequently at cost less any accumulated depreciation and impairment losses. Lease incentives received at commencement reduce the ROU asset value. ROU assets are generally depreciated over the shorter of the asset's useful life and the lease term on a straight-line basis. The lease liability is measured as the present value of the lease payment outstanding at commencement date, discounted using the Group’s incremental borrowing rate applied to the lease term. The lease liability is then increased by the interest expense on the lease liability and decreased by lease payments made. The determination of the lease term in calculation of the lease liability relies on judgement as to whether any extension options or termination options are likely to be exercised. If the lease liability is remeasured, a corresponding adjustment is made to the carrying value of the ROU asset, or, in the income statement, where the carrying value of the ROU asset has been fully written down. (iii) As a lessor At inception or on modification of a contract that contains a lease component, the Group allocates the consideration in the contract to each lease component on the basis of their relative stand-alone prices. The Group determines at lease inception whether each lease is a finance lease or an operating lease. To classify the lease, the Group makes an overall assessment of whether the lease transfers substantially all of the risks and rewards incidental to ownership of the underlying asset. If this is the case, then the lease is a finance lease; if not, then it is an operating lease. As part of the assessment, the Group considers certain indicators such as whether the lease is for the major part of the economic life of the asset. The Group provides both finance and operating leases as part of its Asset Leasing subsidiaries. (iv) Operating leases Operating leases, in which the Group is the lessor, are measured at cost less accumulated depreciation and accumulated impairment losses. Depreciation is calculated to write off the cost of operating lease assets less their estimated residual values using the straight-line basis over the term of the lease. This is generally recognised in profit or loss. Depreciation methods and residual values are reviewed at each reporting date and adjusted if appropriate. (v) Finance leases The Group leases business equipment to commercial customers. These leases typically run for a period of one to five years, with an option to renew the lease after that date or purchase. There are no products offered by the Group that contain variable lease payments. Finance leases are those products where substantially all the risks and rewards of the leased asset have been transferred to the lessee. Finance leases – unearned income Finance lease receivables are recognised at amounts equal to the net investment in the lease. Lease repayments are apportioned between interest income and the reduction of the lease receivable over the term of the lease in order to reflect a constant periodic rate of return on the net investment outstanding in respect of the lease. Assets leased under finance leases are classified and presented as finance lease receivables. Lease receivables include finance charges. These finance charges are recognised as income over the term of the lease, reflecting a constant periodic rate of return on the net investment. The amount of unearned income deducted from gross finance receivables represents income allocable to future periods. The remaining gross finance lease receivables represent the principal in the carrying amount. Finance leases – residual values Finance leases are recorded at the aggregated future minimum lease repayments plus estimated residual values. Residual values are assessed for impairment and in the event of a shortfall, an impairment charge is recognised in the current period. Data regarding equipment values, including appraisals, and historical residual realisation experience are among the factors considered in evaluating estimated residual values. f) Due from/to other financial institutions Amounts due from/to other financial institutions include cash collateral, short term deposits and other balances. Cash collateral includes initial and variation margins in relation to derivative transactions. Amounts due from/to other financial institutions are initially recognised at fair value and subsequently measured at amortised cost. g) Other assets Other assets include accrued interest receivable, GST recoverable (see Note 5.8 c)) and prepayments. Interest receivable is recognised on an accruals basis while prepayments are amortised over the period in which the economic benefits from the underlying goods or services are received. 218 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Consolidated entity disclosure statement. Basis of preparation This consolidated entity disclosure statement ( CEDS) has been prepared in accordance with the Corporations Act 2001 (Cth) and includes information for each entity that was part of the Group at the end of the financial year ended 31 August 2026 in accordance with AASB 10 Consolidated Financial Statements. The tax residency of each entity, as disclosed below, is determined in accordance with the requirements of the Income Tax Assessment Act 1997 ( ITAA 1997). Type of entity % of share capital held Place of business / country of incorporation Australian or foreign tax resident Jurisdiction for foreign residency Bank of Queensland Limited Body corporate - Australia Australian N/A Bank of Queensland Limited Employee Share Plans Trust Trust N/A Australia Australian N/A BOQ Asset Finance and Leasing Pty Ltd Body corporate 100 Australia Australian N/A BOQ Covered Bond Trust Trust N/A Australia Australian N/A BOQ Soft Bullet Covered Bond Trust Trust N/A Australia Australian N/A BOQ Credit Pty Limited Body corporate 100 Australia Australian N/A BOQ Equipment Finance Limited Body corporate 100 Australia Australian N/A BOQF Cashflow Finance Pty Ltd Body corporate 100 Australia Australian N/A BOQ Finance (Aust) Limited Body corporate 100 Australia Australian N/A BOQ Finance (NZ) Limited Body corporate 100 New Zealand Both New Zealand BOQ Home Pty Ltd Body corporate 100 Australia Australian N/A BOQ Specialist (Aust) Pty Ltd Body corporate 100 Australia Australian N/A BOQ Specialist Pty Ltd Body corporate 100 Australia Australian N/A B.Q.L. Management Pty Ltd Body corporate 100 Australia Australian N/A Home Credit Management Pty Ltd Body corporate 100 Australia Australian N/A Members Equity Proprietary Limited Body corporate 100 Australia Australian N/A SMHL Series Private Placement Trust 2017-2 Trust N/A Australia Australian N/A SMHL Series 2018-1 Fund Trust N/A Australia Australian N/A SMHL Series Private Placement Trust 2019-1 Trust N/A Australia Australian N/A SMHL Series Securitisation Fund 2019-1 Trust N/A Australia Australian N/A SMHL Series Private Placement Trust 2019-2 Trust N/A Australia Australian N/A SMHL Securitisation Trust 2020-1 Trust N/A Australia Australian N/A 2026 Annual Report 219
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For the year ended 31 August 2026 Consolidated entity disclosure statement. Type of entity % of share capital held Place of business / country of incorporation Australian or foreign tax resident Jurisdiction for foreign residency Series 2008-1 REDS Trust Trust N/A Australia Australian N/A Series 2017-1 REDS Trust Trust N/A Australia Australian N/A Series 2018-1 REDS Trust Trust N/A Australia Australian N/A Series 2019-1 REDS Trust Trust N/A Australia Australian N/A Series 2021-1 REDS EHP Trust Trust N/A Australia Australian N/A Series 2022-1 REDS MHP Trust Trust N/A Australia Australian N/A Series 2022-1PP REDS EHP Trust Trust N/A Australia Australian N/A Series 2023-1 REDS Trust Trust N/A Australia Australian N/A Series 2024-1 REDS Trust Trust N/A Australia Australian N/A Series 2024-2 REDS Trust Trust N/A Australia Australian N/A Virgin Money (Australia) Pty Limited Body corporate 100 Australia Australian N/A Virgin Money Financial Services Pty Ltd Body corporate 100 Australia Australian N/A 220 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Directors’ declaration. The Directors of Bank of Queensland Limited declare that: 1. In the opinion of the Directors: a) the financial statements and notes (and the remuneration report included within the Directors’ Report) set out on pages 111 to 220 are in accordance with the Corporations Act 2001 (Cth), including: i) complying with the Australian Accounting Standards and the Corporations Regulations 2001; and ii) giving a true and fair view of the financial position of the Bank and the Group as at 31 August 2026 and their performance for the year ended 31 August 2026; b) there are reasonable grounds to believe that the Bank and the Group will be able to pay its debts as and when they become due and payable; and c) the consolidated entity disclosure statement on pages 219 to 220 is true and correct. 2. The Directors have been given the declarations required by section 295A of the Corporations Act 2001 (Cth) from the Managing Director & CEO and the Chief Financial Officer, for the year ended 31 August 2026. 3. Note 1.2a) to the financial statements includes a statement of compliance with International Financial Reporting Standards as issued by the International Accounting Standards Board. This declaration is made in accordance with a resolution of the Directors. Andrew Fraser Chair 14 October 2026 Rod Finch Managing Director & CEO 14 October 2026 2026 Annual Report 221
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For the year ended 31 August 2026 PricewaterhouseCoopers, ABN 52 780 433 757 One International Towers Sydney, Watermans Quay, Barangaroo NSW 2000, GPO BOX 2650 Sydney NSW 2001 T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.au pwc.com.au Liability limited by a scheme approved under Professional Standards Legislation. Independent auditor’s report To the members of Bank of Queensland Limited Report on the audit of the financial report Our opinion In our opinion, the accompanying financial report of Bank of Queensland Limited (the Bank) and its controlled entities (together the Group) is in accordance with the Corporations Act 2001, including: a) giving a true and fair view of the Bank’s and Group’s financial positions as at 31 August 2026 and of their financial performance for the year then ended; and b) complying with Australian Accounting Standards and the Corporations Regulations 2001. What we have audited The financial report comprises: • the Consolidated and Bank balance sheets as at 31 August 2026; • the Consolidated and Bank income statements for the year then ended; • the Consolidated and Bank statements of comprehensive income for the year then ended; • the Consolidated and Bank statements of changes in equity for the year then ended; • the Consolidated and Bank statements of cash flows for the year then ended; • the notes to the financial statements, including material accounting policy information and other explanatory information; • the Consolidated Entity Disclosure Statement as at 31 August 2026; and • the Directors’ declaration. Independent auditor's report. 222 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 2 Basis for opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial report section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Independence We are independent of the Bank and the Group in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional & Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to audits of the financial report of public interest entities in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code. Our audit approach for the Bank and the Group An audit is designed to provide reasonable assurance about whether the financial report is free from material misstatement. Misstatements may arise due to fraud or error. They are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial report. We tailored the scope of our audit to ensure that we performed enough work to be able to give an opinion on the financial report as a whole, taking into account the geographic and management structure of the Bank and the Group, their accounting processes and controls and the industry in which they operate. Bank and Group audit scope Our audit focused on where the Bank and the Group made subjective judgements; for example, significant accounting estimates involving assumptions and inherently uncertain future events. In designing the scope of our audit, we considered the structure of the Bank and the Group which include several business functions that encompass a combination of products, procedures, banking systems, processes, policies and controls. Independent auditor's report. 2026 Annual Report 223
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For the year ended 31 August 2026 3 The nature, timing and extent of audit work performed for each component were determined by each component’s risk characteristics and financial significance to the Bank and the Group, and consideration as to whether sufficient evidence had been obtained for our opinion on the financial report as a whole. Key audit matters Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial report for the current period. The key audit matters were addressed in the context of our audit of the financial report as a whole and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Any commentary on the outcomes of a particular audit procedure is made in that context. The key audit matters identified below relate to both the Bank and the Group audit, unless otherwise stated. We communicated the key audit matters to the Board Audit Committee. Key audit matter How our audit addressed the key audit matter Recoverability of Intangible Assets (Refer to note 4.1) The Bank and the Group assessed the recoverability of intangible assets by calculating the Value in Use (“VIU”) of the relevant cash generating units (“CGUs”) and comparing this VIU to carrying values. We considered the recoverability of intangible assets to be a key audit matter as the balance is significant to the Bank's and Group's balance sheets, and the calculation of VIU requires judgement with respect to determining appropriate: • cash flow projections including net interest margin and expenses; • discount rate; • long term assumptions used to extrapolate cash flows beyond the forecast period. Our procedures included developing an understanding of processes and controls relevant to the intangible assets impairment assessment and assessing whether controls were appropriately designed and implemented. In addition, we performed the following procedures, amongst others: • Evaluated whether the method applied in calculating and allocating the carrying value of net assets to each CGU complies with the requirements of Australian Accounting Standards; • Compared cash flow forecasts to Board approved business plans and tested whether adjustments made to these forecasts for the purposes of the VIU calculations are consistent with the requirements of Australian Accounting Standards; • Tested the arithmetical accuracy and internal consistency of the CGU impairment model and sensitivity analysis model; • Assessed the appropriateness of significant judgements used in the CGU impairment model and sensitivity analysis model; • Compared previous cash flow forecasts to actual results to assess the historical accuracy of forecasting; • Assessed the reasonableness of related disclosures in the financial report having regard to the requirements of Australian Accounting Standards. Independent auditor's report. 224 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 4 Key audit matter How our audit addressed the key audit matter Provisioning for Expected Credit Losses (ECL) (Refer to note 3.3) The provision for ECL is a probability weighted estimate of the cash shortfalls expected to result from defaults over the relevant timeframe determined by evaluating a range of possible outcomes and taking into account the time value of money, past events, current conditions and forecasts of future economic conditions. The Bank and the Group utilise collective provision models and performed individual assessments for certain impaired exposures to estimate the provision for ECL. We considered the provision for ECL a key audit matter due to the uncertainty inherent in its estimation. In particular: • the estimation and use of forward-looking macroeconomic scenarios (MES) and the application of associated weightings; and • judgement is involved in determining the amount of individually assessed provisions for impaired loans. Our procedures included, amongst others, developing an understanding of processes and controls relevant to our audit of the provision for ECL and assessing whether they were appropriately designed and implemented. We tested the operating effectiveness of certain control activities, including review and approval of the macroeconomic scenarios and their associated weights and the overall ECL provision outcome by the Credit Risk Committee (CRC). In addition to control testing, we performed the following procedures, amongst others, with support from PwC credit modelling experts: • Assessed the appropriateness of the ECL model methodology applied for certain loan portfolios, with particular focus on the results of model monitoring performed over significant assumptions, including probability of default, loss given default and SICR for existing models; • Tested the accuracy of the modelled output for certain ECL models through recalculation; • Assessed the appropriateness of macroeconomic scenarios, including underlying forecasts and the weightings assigned to the scenarios; • Tested the completeness and accuracy of certain data elements used as inputs to the ECL models by tracing, on a sample basis, data back to their original source systems and reconciling amounts to supporting documentation; • Tested the appropriateness of individually assessed provisions recognised for a selection of loan assets identified as impaired at the reporting date; and • Assessed the reasonableness of the related disclosures in the financial report in light of the requirements of Australian Accounting Standards. Other information The directors are responsible for the other information. The other information comprises the information included in the annual report for the year ended 31 August 2026 but does not include the financial report and our auditor’s report thereon. Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon through our opinion on the financial report. We have Independent auditor's report. 2026 Annual Report 225
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For the year ended 31 August 2026 Independent auditor's report. 5 issued a separate opinion on the Remuneration Report, and a separate review conclusion on specified Sustainability Disclosures within the Sustainability Report in accordance with the scope of Australian Standard on Sustainability Assurance ASSA 5010 Timeline for Audits and Reviews of Information in Sustainability Reports under the Corporations Act 2001. In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed on the other information that we obtained prior to the date of this auditor’s report, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the directors for the financial report The directors of the Bank are responsible for the preparation of the financial report in accordance with Australian Accounting Standards and the Corporations Act 2001, including giving a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error. In preparing the financial report, the directors are responsible for assessing the ability of the Bank and the Group to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Bank or the Group or to cease operations, or have no realistic alternative but to do so. Auditor’s responsibilities for the audit of the financial report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial report. A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website at: https://auasb.gov.au/media/bwvjcgre/ar1_2024.pdf. This description forms part of our auditor’s report. 226 Bank of Queensland Limited and its Controlled Entities
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For the year ended 31 August 2026 Independent auditor's report. 6 Report on the Remuneration Report Our opinion on the Remuneration Report We have audited the Remuneration Report included in the Directors’ Report for the year ended 31 August 2026. In our opinion, the Remuneration Report of Bank of Queensland Limited for the year ended 31 August 2026 complies with section 300A of the Corporations Act 2001. Responsibilities The directors of the Bank are responsible for the preparation and presentation of the Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards. PricewaterhouseCoopers Craig Stafford Sydney Partner 14 October 2026 2026 Annual Report 227
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5 year financial summary. $m (unless otherwise stated) 2026 2025 2024 2023 2022 FINANCIAL PERFORMANCE (1) Net interest income 1,520 1,515 1,463 1,600 1,505 Non-interest income 159 142 137 142 153 Total income 1,679 1,657 1,600 1,742 1,658 Operating expenses (1,145) (1,072) (1,069) (1,010) (937) Underlying profit before tax (2) 534 585 531 732 721 Loan impairment expense (54) (21) (20) (71) (13) Cash earnings before tax 480 564 511 661 708 Cash earnings after tax excl. notable items 358 383 343 450 491 Cash earnings after tax 325 383 343 450 491 Statutory net profit after tax 250 133 285 124 409 FINANCIAL POSITION Gross loans and advances (3) 71,914 77,860 80,479 81,135 81,226 Total assets 93,707 100,526 103,040 105,352 99,913 Customer deposits 62,904 66,729 67,361 66,964 60,903 Total liabilities 87,969 94,619 97,023 99,222 93,245 Total equity 5,738 5,907 6,017 6,130 6,668 SHAREHOLDER PERFORMANCE Market capitalisation at balance date 4,313 4,809 4,180 3,786 4,551 Share price at balance date $ 6.53 7.27 6.32 5.76 7.03 Statutory basic earnings per share cents 38.1 20.1 43.3 18.3 63.1 Statutory diluted earnings per share cents 37.2 19.9 41.1 18.2 57.8 Cash basic earnings excl. notable items per share cents 54.4 58.3 52.2 68.4 75.8 Cash diluted earnings excl. notable items per share cents 51.1 55.7 48.1 60.2 68.9 Dividends per ordinary share (fully franked) cents 40 38 34 41 46 Special dividend per ordinary share (fully franked) cents 15 - - - - Cash dividend payout ratio to ordinary shareholders % 74 66 65 60 61 CASH EARNINGS RATIOS Net interest margin % 1.70 1.64 1.56 1.69 1.71 Cost to income ratio excl. notable items % 65.4 64.7 66.8 58.0 56.5 Return on average ordinary equity excl. notable items % 6.1 6.4 5.7 7.3 8.2 CAPITAL ADEQUACY Common Equity Tier 1 ratio % 11.64 10.94 10.66 10.91 9.57 Total Capital Adequacy ratio % 16.29 15.18 14.27 15.64 13.78 (1) All amounts disclosed are on a cash basis except statutory net profit after tax. The five year financial summary should be read in conjunction with the financial performance definitions outlined in section 1.1, reconciliation of statutory profit to cash earnings. (2) Underlying profit before tax is profit before impairment on loans and advances, non-cash items and tax. (3) Before expected credit losses. 228 Bank of Queensland Limited and its Controlled Entities
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Shareholding details. Shareholding details. Twenty largest ordinary shareholders. Top 20 ordinary shareholders as at Friday, 18 September 2026: Number of ordinary shares % HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED 143,855,718 21.80 CITICORP NOMINEES PTY LIMITED 66,491,354 10.08 J P MORGAN NOMINEES AUSTRALIA PTY LIMITED 66,436,135 10.07 BNP PARIBAS NOMS PTY LTD 12,387,643 1.88 BNP PARIBAS NOMINEES PTY LTD <AGENCY LENDING A/C> 6,067,291 0.92 PACIFIC CUSTODIANS PTY LIMITED <EMP SHARE PLANS TST> 4,766,651 0.72 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED <NT-COMNWLTH SUPER CORP A/C> 3,532,224 0.54 GOLDEN LINEAGE PTY LTD <GOLDEN LINEAGE INV A/C> 2,597,158 0.39 PACIFIC CUSTODIANS PTY LIMITED <BOQ PLANS CTRL A/C> 1,977,796 0.30 BOND STREET CUSTODIANS LIMITED <BG7 - X03955 A/C> 1,865,000 0.28 BNP PARIBAS NOMINEES PTY LTD <HUB24 CUSTODIAL SERV LTD> 1,612,240 0.24 BNP PARIBAS NOMS (NZ) LTD 1,427,915 0.22 BNP PARIBAS NOMINEES PTY LTD <AGENCY LENDING COLLATERAL > 1,205,256 0.18 NETWEALTH INVESTMENTS LIMITED <WRAP SERVICES A/C> 1,103,767 0.17 CARLTON HOTEL LIMITED 1,084,037 0.16 ACE PROPERTY HOLDINGS PTY LTD 1,080,000 0.16 THE MANLY HOTELS PTY LIMITED 1,045,301 0.16 ALPHOEB PTY LTD 918,429 0.14 IOOF INVESTMENT SERVICES LIMITED <IPS SUPERFUND A/C> 779,016 0.12 CELESTIAL INHERITANCE PTY LTD 728,224 0.11 TOTAL 320,961,155 48.64 The above table includes shareholders that may hold shares for the benefit of third parties. Voting rights Each holder of ordinary shares, or their duly appointed representative, is entitled to one vote on a show of hands and, upon a poll, one vote for each fully paid ordinary share held. 2026 Annual Report 229
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Shareholding details. Twenty largest Capital note 2 holders. Top 20 holders of Capital notes 2 as at Friday, 18 September 2026: Number of Capital notes % BNP PARIBAS NOMINEES PTY LTD <HUB24 CUSTODIAL SERV LTD> 92,203 3.55 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED 87,852 3.38 NETWEALTH INVESTMENTS LIMITED <WRAP SERVICES A/C> 57,472 2.21 DIOCESE DEVELOPMENT FUND - CATHOLIC DIOCESE OF PARRAMATTA 49,989 1.92 CITICORP NOMINEES PTY LIMITED 40,238 1.55 IOOF INVESTMENT SERVICES LIMITED <IPS SUPERFUND A/C> 37,561 1.44 MUTUAL TRUST PTY LTD 34,253 1.32 BNP PARIBAS NOMINEES PTY LTD <IB AU NOMS RETAILCLIENT> 32,358 1.24 IOOF INVESTMENT SERVICES LIMITED <IOOF IDPS A/C> 31,144 1.20 J P MORGAN NOMINEES AUSTRALIA PTY LIMITED 27,100 1.04 NETWEALTH INVESTMENTS LIMITED <SUPER SERVICES A/C> 20,929 0.80 BNP PARIBAS NOMINEES PTY LTD <PITCHER PARTNERS> 13,445 0.52 INVIA CUSTODIAN PTY LIMITED <MR C & MRS C SAVVA A/C> 11,990 0.46 MRS NICOLE MANUELA BROWN 11,982 0.46 INVIA CUSTODIAN PTY LIMITED <A K & E F WILSON A/C> 11,839 0.46 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED - A/C 2 10,469 0.40 YMH HOLDINGS PTY LTD <TULIP INVESTMENT A/C> 9,825 0.38 JASMIND INVESTMENTS PTY LTD <NJD S/F A/C> 9,060 0.35 COOLAN TRADING PTY LTD 8,513 0.33 INVIA CUSTODIAN PTY LIMITED <EIR - CORE PORTFOLIO A/C> 8,118 0.31 TOTAL 606,340 23.32 The above table includes security holders that may hold securities for the benefit of third parties. Voting rights Capital notes 2 do not give the holders any voting rights at any general shareholders meetings, except in certain circumstances. 230 Bank of Queensland Limited and its Controlled Entities
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Shareholding details. Twenty largest Capital note 3 holders. Top 20 holders of Capital notes 3 as at Friday, 18 September 2026: Number of Capital notes % HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED 189,724 4.74 NETWEALTH INVESTMENTS LIMITED <WRAP SERVICES A/C> 133,176 3.33 BNP PARIBAS NOMINEES PTY LTD <HUB24 CUSTODIAL SERV LTD> 118,535 2.96 CITICORP NOMINEES PTY LIMITED 54,863 1.37 IOOF INVESTMENT SERVICES LIMITED <IOOF IDPS A/C> 51,843 1.30 J P MORGAN NOMINEES AUSTRALIA PTY LIMITED 45,677 1.14 NETWEALTH INVESTMENTS LIMITED <SUPER SERVICES A/C> 40,950 1.02 IOOF INVESTMENT SERVICES LIMITED <IPS SUPERFUND A/C> 36,410 0.91 BNP PARIBAS NOMINEES PTY LTD <PITCHER PARTNERS> 32,333 0.81 BNP PARIBAS NOMINEES PTY LTD <IB AU NOMS RETAILCLIENT> 25,520 0.64 MUTUAL TRUST PTY LTD 24,279 0.61 JOHN E GILL TRADING PTY LTD 22,860 0.57 ELM SPRINGS PTY LTD <TURNBULL FAMILY A/C> 21,000 0.53 V G BOWEN HOLDINGS PTY LTD <V G BOWEN FAMILY A/C> 20,660 0.52 BARKLY HIRE PTY LTD 20,000 0.50 FAREX PTY LTD 16,893 0.42 DIOCESE DEVELOPMENT FUND - CATHOLIC DIOCESE OF PARRAMATTA 13,404 0.34 MR BRUCE WILLIAM NEILL 13,400 0.34 SKYPLAZA INVESTMENTS PTY LTD 12,400 0.31 GEAT INCORPORATED <GEAT-PRESERVATION FUND A/C> 12,190 0.30 TOTAL 906,117 22.66 The above table includes security holders that may hold securities for the benefit of third parties. Voting rights Capital notes 3 do not give the holders any voting rights at any general shareholders meetings, except in certain circumstances. 2026 Annual Report 231
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Shareholding details. Distribution of security holders. Distribution of fully paid ordinary shares as at Friday, 18 September 2026: Category Number of shareholders % of shareholders Number of shares % of issued capital 1 - 1,000 54,710 56.14 19,611,744 2.97 1,001 - 5,000 27,754 28.49 70,057,262 10.62 5,001 - 10,000 8,034 8.25 58,481,743 8.86 10,001 - 100,000 6,720 6.90 153,491,988 23.27 100,001 - and over 214 0.22 358,104,556 54.28 Total 97,432 100.00 659,747,293 100.00 Less than marketable parcel (1) 4,482 4.60 142,084 0.02 Distribution of Capital notes 2 as at Friday, 18 September 2026: Category Number of security holders % of security holders Number of securities % of issued capital 1 - 1,000 2,655 86.63 1,056,937 40.66 1,001 - 5,000 366 11.94 788,130 30.31 5,001 - 10,000 28 0.91 184,109 7.08 10,001 - 100,000 16 0.52 570,824 21.95 100,001 - and over - - - - Total 3,065 100.00 2,600,000 100.00 Less than marketable parcel (2) 1 0.03 1 0.00 Distribution of Capital notes 3 as at Friday, 18 September 2026: Category Number of security holders % of security holders Number of securities % of issued capital 1 - 1,000 4,157 86.51 1,555,171 38.88 1,001 - 5,000 588 12.24 1,253,465 31.34 5,001 - 10,000 37 0.77 252,987 6.32 10,001 - 100,000 20 0.42 496,942 12.42 100,001 - and over 3 0.06 441,435 11.04 Total 4,805 100.00 4,000,000 100.00 Less than marketable parcel (3) 1 0.02 1 0.00 (1) Based on a closing price of $6.65 at 18 September 2026. (2) Based on a closing price of $101.55 at 18 September 2026. (3) Based on a closing price of $103.50 at 18 September 2026. 232 Bank of Queensland Limited and its Controlled Entities
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Shareholding details. Partly paid shares. There are no partly paid shares. Substantial shareholders. The names of substantial shareholders in the Bank, per the meaning within the Corporations Act 2001 (Cth), and the number of shares in which each has an interest as disclosed in substantial shareholder notices given to the Bank were: Number of ordinary shares in which interest is held (at date of notification) Date of notification Dimensional Entities 33,090,124 4 August 2026 State Street Global 49,172,281 4 June 2025 The Vanguard Group Inc. 39,741,462 23 October 2024 Securities exchange listing. The shares of Bank of Queensland Limited ( BOQ), Capital notes 2 ( BOQPF) and Capital notes 3 ( BOQPG) are quoted on the Australian Stock Exchange. Notes issued under BOQ’s Euro Medium Term Note Programme and covered bonds issued under BOQ’s Covered bond programmes may be listed on the London Stock Exchange. Unquoted securities. As at 30th September 2026, the following unquoted securities were on issue: Unquoted securities (1) Number of holders in the plan Number of unquoted securities CEO & Chair Awards 87 386,617 Deferred Award Rights 576 2,027,747 Premium Priced Options 16 9,130,355 Executive Performance Rights 10 3,228,311 On market buy-back. On 10 August 2026, the Group announced its intention to undertake an on-market share buy-back of up to $196 million. As at 31 August 2026, the Group has bought back and cancelled 1,040,214 shares at an average price of $6.40. After the balance sheet date, the purchase of a further 681,948 shares at an average price of $6.50 settled and the shares were cancelled. Securities purchased on market. During the year ended 31 August 2026, 3,100,000 shares were purchased on market under the employee incentive scheme. The average price per security was $6.42. Other information. BOQ is a publicly listed company limited by shares and is incorporated and domiciled in Australia. (1) Unquoted securities are issued under the Award Rights Plan and the Equity Incentive Plan. 2026 Annual Report 233
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Shareholding details. Share Registry. MUFG Pension & Market Services Level 21, 10 Eagle Street Brisbane Qld 4000 Australia: 1800 779 639 International: +61 1800 779 639 Email: boq@cm.mpms.mufg.com Website: au.investorcentre.mpms.mufg.com Company Details. Bank of Queensland Limited ABN 32 009 656 740 ACN 009 656 740 Registered office: Level 3, 100 Skyring Terrace Newstead Qld 4006 Telephone: +61 7 3212 3844 Investor Relations: InvestorRelations@boq.com.au boq.com.au Customer Service. Australia: 1300 55 72 72 International: +61 7 3336 2420 Postal address: GPO Box 898 Brisbane Qld 4001 Key Shareholder Dates. Important dates for ordinary shareholders only, and are subject to change: 2026 (BOQ:ASX) Financial full year end 31 August 2026 Full year results and dividend announcement 15 October 2026 Full year ex-dividend date 27 October 2026 Full year dividend record date 28 October 2026 Full year dividend payment date 19 November 2026 Annual General Meeting 1 December 2026 Shareholder communication election. In accordance with the Corporations Act 2001 (Cth), shareholders are able to elect how they wish to receive communications. You can elect either as a one-off or ongoing basis how to receive certain documents. You may elect to receive documents such as the Annual Report and documents for shareholder meetings (and voting/proxy forms) as either physical or electronic reports and communications. We encourage our shareholders to receive these communications electronically, which is the best way to stay informed and support BOQ’s commitment to the environment. You can change your elections through BOQ’s Investor Centre . Company information. 234 Bank of Queensland Limited and its Controlled Entities
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Glossary. Glossary. Anti-money laundering ( AML) The prevention of money laundering, being the process of moving money or property through the economy in a way that hides its illegal origins or intended criminal purpose. APRA Prudential Standard (APS) Prudential standards issued by APRA which are applicable to ADIs. Artificial Intelligence ( AI) Technology that enables computer systems to perform tasks that typically require human intelligence, such as understanding language, recognising patterns and making predictions. Asset backed securities ( ABS) A financial security which is collateralised by the pledge of a pool of assets such as but not limited to loans, leases and credit card debt. Asset-Liability Committee (ALCO) The committee responsible for the oversight and strategic management of the BOQ Group balance sheet, trading books, liquidity and funding positions and capital management activities. Australian Accounting Standards Board ( AASB) An independent government agency responsible for developing, issuing and maintaining accounting standards in Australia. Australian Banking Association ( ABA) The trade association for the Australian banking industry. Australian Prudential Regulation Authority ( APRA) The prudential regulator of the Australian financial services industry. APRA is an independent statutory authority that supervises institutions across banking, insurance and superannuation and promotes financial system stability in Australia. Australian Securities & Investments Commission (ASIC) Australia’s corporate, markets and financial services regulator. Australian Securities Exchange or ASX Limited (ASX) ASX is a multi-asset class, vertically integrated exchange group that functions as a market operator, clearing house and payments system facilitator. It oversees compliance with its operating rules, promotes standards of corporate governance among Australia’s listed companies and helps educate retail investors. Australian Taxation Office (ATO) An Australian statutory agency and the principal revenue collection body for the Australian Government. The ATO has responsibility for administering the Australian federal taxation system, superannuation legislation, and other associated matters. Australian Transactions Reports and Analysis Centre (AUSTRAC) Australia’s financial intelligence unit and anti-money laundering (AML) and counter-terrorism financing (CTF) regulator. Authorised deposit-taking institution ( ADI) A body corporate which is authorised to carry on banking business in Australia under the Banking Act 1959 (Cth). 2026 Annual Report 235
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Glossary. Available stable funding ( ASF) The portion of capital and liabilities expected to be reliable over the time horizon considered by the NSFR, which extends to one year. Average interest earning assets ( AIEA) Average balance over the period for a bank’s assets that accrue interest income. Bank of Queensland Limited (the Bank or BOQ) The Bank is a for-profit entity primarily involved in providing retail banking, business banking and leasing finance products to its customers. Banking Code Compliance Committee ( BCCC) An independent body that monitors banks’ compliance with the Banking Code of Practice. Basel III A global regulatory framework to improve the regulation, supervision and risk management within the banking system developed by the Basel Committee on Banking Supervision. Basis points ( bps) One per cent of one per cent (0.01 per cent). Capital notes 2 ( BOQPF) & Capital notes 3 ( BOQPG) Perpetual, convertible, unguaranteed and unsecured notes issued by BOQ, with preferred, discretionary, non-cumulative distributions. Capital Notes may convert into common shares in certain circumstances as described in the offer documentation of the notes. Capital partner Challenger Limited, the Group's partner under the whole-of-loan sale and forward-flow arrangement for the equipment finance portfolio. Cash-Generating Unit ( CGU) The smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. The CGUs represent the Consolidated Entity’s operating segments – Retail Bank and BOQ Business. Cash earnings A non-accounting standards measure commonly used in the banking industry to assist in presenting a clear view of underlying earnings. Cash earnings excluding notable items A non-statutory financial measure that adjusts cash earnings for notable items that management considers are not reflective of the Group's underlying business performance, to assist comparability across reporting periods. CEO and Chair Award Rights (CARS) A type of long-term variable reward granted to employees below Senior Executive Level. CARs vest subject to service conditions and a risk assessment. Climate-related physical risks Physical risks resulting from climate change can be acute or chronic. Acute physical risks arise from weather-related events such as storms, floods, drought or heatwaves. Chronic physical risks arise from longer-term shifts in climatic patterns such as changes in precipitation and temperature. 236 Bank of Queensland Limited and its Controlled Entities
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Glossary. Glossary. Climate-related transition risks Risks that arise from efforts to transition to a lower-carbon economy. Transition risks include policy, legal, technological, market and reputational risks. CO2 equivalent The universal unit of measurement to indicate the global warming potential of each greenhouse gas, expressed in terms of the global warming potential of one unit of carbon dioxide. This unit is used to evaluate releasing (or avoiding releasing) different greenhouse gases against a common basis. Collective Provision ( CP) An allowance for impairment loss of financial assets that are collectively assessed for impairment in accordance with AASB 9 Financial Instruments. Commercial Real Estate ( CRE) Businesses whose primary purpose is the investment in the construction and / or development of commercial real estate. Common equity tier 1 ( CET1) Capital that is recognised as the highest quality component of capital under APS. Common equity tier 1 ratio (CET1 ratio) CET1 capital divided by total RWA calculated in accordance with relevant APS. Consolidated Entity (the Group or BOQ) BOQ and its subsidiaries. Consolidated Entity Disclosure Statement (CEDS) A requirement of the Corporations Act 2001 (Cth) for all public companies preparing consolidated financial statements to disclose details of all entities that are part of the consolidated entity as at the end of the financial year, including names, ownership interests, place of incorporation or formation and, for foreign resident entities, tax residency. Corporation Regulations 2001 The Corporations Regulations 2001 made under the Corporations Act 2001 (Cth). Corporations Act 2001 The Corporations Act 2001 (Cth). Cost to income ( CTI) ratio Operating expenses divided by total income. Council of Financial Regulators (CFR) The main coordinating body for Australia’s financial regulators. There are four members – APRA, ASIC, RBA and the Treasury. It is a non-statutory body, and as a consequence has no formal regulatory or policy decision-making powers. Those powers rest with its members under their respective acts. Counter terrorism financing (CTF) The prevention of the financing of terrorism, including the financing of terrorist acts, and of terrorists and terrorist organisations. Court Enforceable Undertakings ( CEUs) Legally binding undertakings that have been accepted by APRA and AUSTRAC and are enforceable in a court. 2026 Annual Report 237
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Glossary. Glossary. Covered bond guarantor Perpetual Corporate Trust Limited ABN 99 000 341 533, incorporated with limited liability in the Commonwealth of Australia and having its registered office at Level 18, 123 Pitt Street, Sydney, NSW 2000, as Trustee of the BOQ Covered Bond Trust and the BOQ Soft Bullet Covered Bond Trust (the Trustee). Days past due ( DPD) A metric measuring the number of days a loan or lease payment is overdue measured as either the calendar days since first missing a payment or the total arrears balance divided by the daily repayment amount. Deferred Award Rights ( DARs) A deferred variable reward granted to eligible employees. Vesting is subject to service conditions, a risk assessment and, where applicable, performance conditions. Dividend payout ratio Dividends paid on ordinary shares divided by earnings. Dividend reinvestment plan (DRP) A plan which provides shareholders with the opportunity to convert all or part of their entitlement to a dividend into shares. Dividend yield Dividend per share as a percentage of the share price. Earnings per share ( EPS) Measure of earnings attributed to each equivalent ordinary share. This is calculated by dividing the company’s earnings by the weighted average number of shares on issue in accordance with AASB 133 Earnings per share . Economic Value ( EV) The net present value of the bank’s assets and liabilities in the banking book. Effective tax rate Income tax expense divided by profit before tax. Equipment hire purchase trust (EHP trust) Trust under the REDS securitisation program, issuing asset backed securities to the term market. Euro Medium Term Note (EMTN) An offshore medium term note program. Eurocommercial paper program (ECP) An offshore short term commercial paper program. Executive Performance Rights (EPRs) A type of long-term variable reward granted to senior employees, including executives. Vesting is subject to both financial and non-financial performance hurdles which are defined and disclosed in the remuneration report annually for each grant. Expected credit loss ( ECL) Estimated credit losses, using a forward looking impairment methodology, accounted for in accordance with AASB 9 Financial Instruments . 238 Bank of Queensland Limited and its Controlled Entities
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Glossary. Fair value through other comprehensive income (FVOCI) Classification and measurement of financial assets under AASB 9 Financial Instruments . A financial asset is measured at FVOCI if it is held in a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets. The contractual cash flows must be solely payments of principal and interest. Fair value through profit or loss (FVTPL) Classification and measurement of financial assets under AASB 9 Financial instruments . For financial assets measured at FVTPL all changes in fair value are recognised in the income statement. FVTPL includes financial assets that are held for trading. Financial Accountability Regime (FAR) Financial Accountability Regime Act 2023 imposes core sets of obligations on authorised deposit- taking institutions, insurance companies, and superannuation funds. Full time equivalent ( FTE) A calculation based on number of hours worked by full and part time employees as part of their normal duties. Global Reporting Initiative Standards ( GRI) A set of guidelines and principles for organisations to report on their economic, environmental and social impacts. These standards assist organisations in communicating sustainability performance and impact transparently. Greenhouse gases ( GHG) Refers to the release of gases into the atmosphere that trap heat and contribute to the greenhouse effect, leading to the expansion of global warming and climate change. This includes Scope 1, 2 and 3 greenhouse gas emissions. Gross domestic product ( GDP) Total monetary value of all goods and services produced in a country. Gross loans and advances (GLA) The principal amount of loans and advances provided, gross of provisions and deferred fee income and including any accrued interest. High quality liquid asset (HQLA) Comprised of the Bank’s notes and coins, central bank balances able to be drawn down and marketable securities representing claims on or guaranteed by the Australian Government or Semi- Government authorities. Impaired assets Exposures that have deteriorated to the point where full collection of principal and interest is in doubt. Intangible asset An identifiable, non-monetary asset which lacks physical substance. Interest bearing liabilities The Bank’s liabilities that accrue interest expense. Internal Capital Adequacy Assessment Process ( ICAAP) A framework introduced by APRA to be used by regulated financial institutions, to aid the institutions in understanding their risk profile and capital needs to support it. International Financial Reporting Standards ( IFRS) Standards and interpretations issued by the International Accounting Standards Board. Glossary. 2026 Annual Report 239
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Glossary. International Swaps and Derivatives Agreement ( ISDA) An agreement published by the International Swaps and Derivatives Association ( ISDA), outlines the terms to be applied to a derivatives transaction between two parties, typically a derivatives dealer and a counterparty. Issued capital Value of securities allotted in a company to its shareholders. Liquid assets All unencumbered RBA repurchase eligible liquid assets including HQLA. Liquidity coverage ratio ( LCR) The ratio represents the level of unencumbered high quality liquid assets available to meet obligations over a 30-day period, under a regulator defined liquidity stress scenario. Loan Impairment Expense (LIE) Loan impairment reflects changes in our estimates of expected loan losses as well as bad debts incurred during the year net of any recoveries. Loan to Value Ratio (LVR) The ratio between the loan amount and the appraised value of the underlying asset. Loss given default ( LGD) Loss incurred by a bank when a customer defaults on a loan represented as a percentage of the total exposure at the time of default. Members Equity Bank Limited (ME Bank or ME ) ME is a brand owned by Bank of Queensland Limited, offering primarily home loan products and everyday transaction and online savings accounts. Net cash outflow ( NCO) Represents the total expected cash outflows minus total expected cash inflows under a prescribed stress scenario for the subsequent 30 calendar days. Net Interest income ( NII) The amount of interest income earned less interest expense incurred during the period. Net interest margin ( NIM) Net interest income divided by average interest-earning assets. Net profit after tax ( NPAT) The total profit of a company after all expenses, including taxes, have been deducted from total revenue. Net Promoter Score ( NPS) A customer loyalty metric that measures how likely customers are to recommend a company, product, or service to others. Net stable funding ratio (NSFR) An APRA regulatory liquidity requirement that ensures a bank maintains a stable, long-term funding structure. It compares the amount of available stable funding (ASF) a bank has to the amount of required stable funding (RSF) needed to support its assets and off-balance-sheet activities. Net-Zero Banking Alliance (NZBA) An international alliance of banks established to support the transition to a net zero economy by 2050. While the NZBA ceased operations in October 2025, UNEP FI's Guidance for Climate Target Setting for Banks remains available as a framework for climate target setting. 240 Bank of Queensland Limited and its Controlled Entities
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Glossary. Non-interest earning assets Assets that do not accrue interest income. Owner managed branch (OMB) A BOQ branch operated by a franchisee. All OMBs converted to corporate branches on or before 1 March 2025. Paris Climate Agreement An international treaty on climate change signed in 2016, with the goals of maintaining the increase in the global average temperature to below 2°C above pre-industrial levels and pursuing efforts to limit the increase to 1.5°C above pre-industrial levels. Partnership for Carbon Accounting Financials ( PCAF) A global initiative that provides methodologies and guidance for financial institutions to measure and disclose financed GHG emissions associated with lending and investment activities. Probability of default ( PD) An estimate of the likelihood of a default over a given time horizon. Purchased or originated credit impaired (POCI) assets Financial assets that are purchased or originated as being credit impaired. Remedial Action Plans ( RAPs) Programs to strengthen BOQ’s operational resilience, risk culture and AML/CTF governance and compliance. REDS Term to describe the BOQ REDS securitisation programs. Reserve Bank of Australia (RBA) Australia’s central bank that derives its functions and powers from the Reserve Bank Act 1959 . Residential mortgage-backed securities ( RMBS) BOQ’s securitisation program which enables the trustee to issue debt securities backed by assets originated by the Group such as mortgages. Return on average equity (ROE) Net profit divided by average shareholder equity. Shareholder equity includes capital, retained earnings and the profit reserve, but excludes other reserves. Return on average tangible equity ( ROTE) Net profit divided by average shareholder equity excluding intangible assets. Shareholder equity includes capital, retained earnings and the profit reserve, but excludes other reserves. Right-of-use (ROU) asset A lessee’s right to use an asset over the life of a lease. Risk weighted assets ( RWA) A quantitative measure of various risks including credit, operational and market risk as defined by APS. Significant Increase in Credit Risk (SICR ) A significant change in the estimated risk of default over the remaining expected life of the financial asset. SICR is assessed by comparing the risk of a default occurring over the expected life of a financial asset at the reporting date compared to the corresponding risk of default at origination. Glossary. 2026 Annual Report 241
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Glossary. SMHL Term to describe the ME Bank securitisation programs. Software as a Service (SaaS ) Software delivery and licensing in which software is accessed online via a subscription, rather than bought and installed on individual computers. Sustainability The capacity to maintain the business activities over time without depleting natural or physical resources. This encompasses an approach to address Environmental, Social and Governance (ESG) issues such as climate-related risks. Environmental considerations include but are not limited to climate change and nature. Social considerations include but are not limited to Human Rights and Modern Slavery. Governance considerations include but are not limited to relationships with employees, suppliers, customers, and the communities where the business operates. Sustainability and ESG are considered interchangeable terms within the BOQ context. Tax Funding Arrangement (TFA) An agreement entered into between members of the BOQ income tax consolidated group for the funding of the Australian income tax liability. Tax Sharing Arrangement (TSA) An arrangement entered into between members of the BOQ income tax consolidated group for the apportionment of the Australian income tax liability. Tier 1 capital The aggregate of Common Equity Tier 1 (CET1) capital and instruments that meet the criteria for inclusion as Additional Tier 1 (AT1) capital set out in APS 111 Capital Adequacy: Measurement of Capital. Tier 2 capital Comprises other components of capital that, to varying degrees, do not meet the requirements of Tier 1 capital but nonetheless contribute to the capital strength of an ADI. Tier 1 capital ratio Total Tier 1 Capital divided by total RWA calculated in accordance with relevant APS. Total capital adequacy ratio Total capital divided by total RWA calculated in accordance with relevant APS. Total Shareholder Return (TSR) Measures the change in value delivered to shareholders over a specified period, taking into account both share price appreciation and dividends paid, assuming dividends are reinvested. Treasury shares Shares that the Bank has issued but are held by a trust included within the Bank’s consolidated results. Treasury shares are not considered shares outstanding and are not included in ‘per share’ calculations. United Nations Environment Programme Finance Initiative (UNEPFI) A partnership between the United Nations Environment Programme and the global financial sector that supports banks, insurers and investors in integrating environmental, social and governance (ESG) considerations into their business strategies and decision-making. UN Principles for Responsible Banking ( UN PRB) A framework of principles that guides banks in aligning their business practices with sustainable development and climate goals. 242 Bank of Queensland Limited and its Controlled Entities
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Glossary. Virgin Money Australia (VMA or Virgin Money ) A business operated by BOQ, encompassing Virgin Money Australia Pty Ltd and its subsidiaries, as well as Virgin Money Australia products sold by the Bank. The VMA products offered by the Group include home loans, transaction and savings accounts and the provision of other financial services (e.g. credit cards, insurance and superannuation) on behalf of business partners. Weighted average life ( WAL) The average length of time for the principal on a loan to be paid in full. Weighted average number of shares ( WANOS) Calculated in accordance with AASB 133 Earnings per share . 2026 Annual Report 243