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G8 EDUCATION LIMITED 2026 Half Year Results Presentation 25 August 2026 G8 Education | 2025 Full Year Results 1 UPDATE IMAGE
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DISCLAIMER & NON-IFRS INFORMATION The material in this presentation has been prepared by G8 Education Limited (G8)(ASX:GEM) and is general background information about G8’s activities current as at the date of this presentation. The presentation does not purport to be complete and should be read in conjunction with G8’s other periodic and continuous disclosure announcements which are available via www.asx.com.au. This presentation is for information purposes only and is not financial product or investment advice or a recommendation to acquire G8 securities and has been prepared without taking into account the objectives, financial situation or needs of individuals. Before making an investment decision, prospective investors should consider the appropriateness of the information having regard to their own objectives, financial situation and needs and seek legal and taxation advice appropriate to their jurisdiction. This presentation contains certain “forward-looking statements”. The words “expect”, “should”, “could”, “may”, “predict”, “plan” and other similar expressions are intended to identify forward- looking statements. Indications of, and guidance on, future earnings and financial position and performance are also forward-looking statements. Forward-looking statements, opinions and estimates provided in this presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. Forward-looking statements including projections, guidance on future earnings and estimates are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. Actual results, performance or achievements may vary materially for many projections because events and actual circumstances frequently do not occur as forecast and these differences can be material. This presentation contains such statements that are subject to risk factors associated with the industry in which G8 operates which may materially impact on future performance. Investors should form their own views as to these matters and the assumptions on which any forward-looking statements are based. G8 assumes no obligation to update or revise such information to reflect any change in expectations or assumptions. The inclusion of forward-looking statements in this presentation should not be regarded as a representation, warranty or guarantee with respect to its accuracy or the accuracy of the underlying assumptions or that G8 will achieve, or is likely to achieve, any particular results. Neither G8, not its related bodies corporate, directors, officers, employees, agents, contractors, consultants or advisers makes or gives any representation, warranty or guarantee, whether express or implied, that the information contained in this presentation is complete, reliable or accurate or that it has been or will be independently verified, or that reasonable care has been or will be taken by them in compiling, preparing or furnishing this presentation and its context. Non IFRS information G8 results are reported under International Financial Reporting Standard (IFRS). This presentation also includes certain non–IFRS measures including “adjusted”, “operating” and “underlying”. These measures are used internally by management to assess the performance of our business, make decisions on the allocation of resources and assess operational management. Non- IFRS measures have not been subject to audit or review. All numbers listed as ‘statutory’ or ‘reported’ comply with IFRS. G8 Education | 2026 Half Year Results | 2
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3G8 Education | 2025 Full Year Results
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AGENDA SUMMARY AND PROGRESS Pejman Okhovat FINANCIAL PERFORMANCE Steven Becker CURRENT TRADING AND OUTLOOK Pejman Okhovat QUESTIONS Pejman Okhovat and Steven Becker APPENDIX G8 Education | 2026 Half Year Results | 4
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SUMMARY AND PROGRESS G8 Education | 2025 Full Year Results | 5
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EVERYTHING IN OUR WORLD STARTS WITH CHILDREN G8 Education | 2026 Half Year Results | 6 We are driven by our purpose in “To nurture the greatness in every child to grow, thrive and learn”
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KEY MESSAGES Improvements in core operations, prudent cost and capital management ensuring sustainability in an evolving environment G8 Education | 2026 Half Year Results | 7 At G8 Education we are committed to providing safe, high-quality care and education that empowers children to thrive SAFETY, QUALITY AND COMPLIANCE • Occupancy has remained subdued across the sector Group H1 Occupancy 57.0%, -7.5% PCP Spot Occupancy 61.9%, -5.1% PCP • We have continued to deliver improvements on operational KPIs demonstrating our focus on safety, quality, family experience and team engagement • Team retention increased to 80%, our highest in the last 6 years and our engagement remains above Australian and sector benchmarks • Family experience improved, with NPS increasing by 7 points to 58. • Improving our NQS ratings with 97% of our centres meeting or exceeding the standards – year-on-year improvement continued for the 4th year • Earnings continued to be affected by the challenging operating environment • Taking decisive actions in response to challenging conditions: The Group announced suspension of the operations of 40 centres in April Restructure of the Group’s support office in June 26 Targeted procurement efforts to improve cost base Estimated cost saving of at least c$10m, annualised • Maintaining a conservative balance sheet with stable liquidity and moderate gearing • Network optimisation continued with 2 centres divested and 5 leases surrendered or expired • The Group has complied with its financial covenants during this reporting period PRUDENT COST, CAPITAL AND NETWORK MANAGEMENT IMPROVING OUR CONTROLLABLES Continued focus on raising the bar to strengthen child safe policies and procedures, aligned with national and state regulations, including the following: • Child Safe Organisation Plan aligned with the National Child Safe Standards in place • Safety leaders now embedded in our centres • Compliance outcomes maintained across the network, supported by compliance assurance program • Active engagement with Governments and Regulators to support reforms that strengthen child safety • Continued investment in quality and pedagogy programs with over 97% of our centres now meeting or exceeding the standards
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G8 Education | 2026 Half Year Results | 8 REPORTED Statutory EBIT ($29.8)m NPAT ($38.8)m Revenue $413.6m • Revenue shortfall was due to lower occupancy in CY26 H1, which continues to be constrained by macro-economics, affordability and supply-demand issues. • The main difference between operating and reported NPAT relates to the Net impairment expense of c$47m. • The main difference between operating and reported revenue are other non-operating income items e.g. interest income and non-trading income e.g. gain on lease modifications. Note: All measures are relative to the prior corresponding period unless otherwise stated 1. Refer to Note 3 of G8 Interim Financial Report for non-trading items FINANCIAL OVERVIEW Earnings remain impacted by softer occupancy and wider economic and sector wide challenges Operating Costs $394.4m OPERATING Excludes non-trading1 items and includes lease interest expense Revenue $409.1m EBIT (lease adjust) $14.7m NPAT $6.7m % change vs PCP % change vs PCP 12.0% 7.0% 63.7% 73.7% 11.1% 150.9% 272.2% Net debt $124m 6% (v 31/12/25, last reporting period)
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ENVIRONMENTAL, SOCIAL AND GOVERNANCE HIGHLIGHTS Delivering long term value through disciplined governance, service quality, workforce stability and environmental commitments G8 Education | 2026 Half Year Results | 9 Nappy Recycling Pilot Exploring waste reduction Emissions 18% reduction in Scope 1 and Scope 2 carbon emissions compared to PCP Strong Career Pathways 73% of Centre Manager appointments filled through internal promotion Faster, stronger hiring Average speed to hire improved by 9% against PCP, achieved alongside enhanced screening and governance processes Board Diversity >50% female Board Focus on Culture and Values Culture remained resilient through a period of significant transition, with Psychological Safety increasing to 75% Protective Behaviours Program G8 collaboration with Act for Kids to implement Emmy and Friends Program nationally CCTV Rollout Program progressing to plan, with pilot deployment underway in 2026 Network Quality 97.4% of centres are “meeting” or “exceeding” the overall NQS Family Engagement NPS 58 up 7pts vs PCP Safety Committee Dedicated Board Committee responsible for oversight of child safety governance, compliance and safeguarding performance Inaugural Climate Disclosure Published first climate-related financial report in compliance with new Australian standards. Well progressed in meeting Scope 3 emissions reporting requirements for FY2026 Enterprise Risk Management Refreshed enterprise risk management framework to strengthen governance and risk oversight Waste Reduction 11% reduction in waste weight (tonnes) compared to PCP Climate Risk Framework Developed and implemented a structured framework to identify, assess, manage and report climate- related risks and opportunities Educational Excellence 98.6% of centres are “meeting” or “exceeding” the NQS Quality Area 1 – Educational program and practice ECT Vacancy Reduction Early Childhood Teacher (ECT) vacancies reduced by 57%, reflecting improved teacher retention Higher Recycling Recycling rate improved by 18% compared to pcp Solar Energy Saving Generated 506 MWh of power via on-site solar installations across 49 sites including Varsity Lakes HQ
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G8 Education | 2026 Half Year Results | 10 Strong performance has continued across strategic priorities within our control, while navigating ongoing external market pressures 1. Team Retention for HY2025 now rounds to 78% vs the 79% previously stated. This is a result of minor system amendments after the fact. 2. Quality Area 1 – Educational program and practice of NQS 3. Operating EBIT less lease interest BALANCED SCORECARD Measure Team retention1 NPS % of centres meeting or exceeding overall National Quality Standard (NQS) % of centres meeting or exceeding Quality Area 1 of NQS2 Occupancy EBIT margin3 CY26 H1 (Actual) 98.6% 80% 58 57.0% 3.6% 97.4% Progress CY25 H1 to CY26 H1 2% pts 7 pts 3.7% pts 4.1% pt 7.5% pts 5.1% pts Team Operating Model Team Quality Education & Inclusion Financial Sustainability Family Experience Strategic focus area
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TEAM Building a stable, capable and engaged workforce through investment in leadership, culture and safety CAPABILITY & LEADERSHIP CULTURE & ENGAGEMENT G8 Education | 2026 Half Year Results | 11 WORKFORCE STABILITY • A stable workforce continued to support operational performance, with improved retention, low vacancies, and increased internal leadership appointments • Vacancy rates remained low at 2% (fewer than 140 vacancies nationally) supporting operational continuity across the network • 57% reduction in permanent vacancies on PCP, with average time to hire rates improving 9% on PCP Growing capability through leadership and development Strengthening our workforce through stability, capability, culture and safety Listening, living our values, and strengthening culture • Building leadership capability remains a key priority, with continued investment in leadership development and induction to strengthen new and existing leaders • 73% of Centre Manager vacancies were filled through internal promotion, demonstrating a strong leadership pipeline, compared with 41% PCP • A high-impact Centre Manager Summit for all Centre Managers and operational leaders, strengthening leadership capability and organisational alignment 79% 77% 2025 2026 Employee Engagement1 • Embedment of our Purpose and Values, led by Safety, First & Always, continues to strengthen our culture • Team engagement relating to Safety, First & Always increased to 80%, reflecting stronger alignment between our values and team experience • Culture remained resilient through a period of significant transition, with Psychological Safety responses increasing to 75%, exceeding both Sector and Australian benchmarks • Despite a 2%pt decline in Team Engagement, overall attrition remained stable 1. Team Engagement methodology has changed in 2026. Historical results have been recalculated with revised methodology to ensure comparability. 41% 73% 2025 2026 Centre Manager Promotions 78% 75%80% 85% Centre Retention ECT Retention Centre Retention and ECT Retention 2025 2026
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FAMILY EXPERIENCE NPS and family experience continue to trend positively, with improvements across all family experience measures NET PROMOTOR SCORE FREQUENCY1 G8 Education | 2026 Half Year Results | 12 NEW FAMILIES • The continued embedment of the Family Value Proposition is strengthening key family experience drivers and improving family engagement across all measures • As well as overall sentiment gains, key areas of focus achieved growth compared with PCP such as Health & Safety Standards, Quality Education & Learning, and Centre Environment • Frequency has increased by 0.02 days per week on PCP despite affordability challenges • Affordability remains a key barrier to families increasing their permanent bookings • Key focus in H1 on improving family experience across casual day bookings supported by technology enhancements scheduled for H2 Frequency gains despite affordability impacting additional days for families • Enquiry levels in HY26 remain lower vs PCP, reflecting the impact of continued sector conditions • Enquiry-to-enrolment conversion outperformed PCP by 2%, reflecting our ongoing efforts to enhance the family experience NPS continues positive trajectory reaching highest level since launch in May 2023 Continued focus on Family Value Proposition helps lift enquiry-to-enrolment conversion 1. Frequency refers to average bookings per child per week 2. Like-For-Like returns data for centres open through both periods only 51 58 2025 2026 All families NPS (Rolling 12 Months) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Frequency By Month 2025 2026 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Like-For-Like2 Enquiries By Month 2025 2026
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QUALITY, EDUCATION AND SAFEGUARDING G8 Education | 2026 Half Year Results | 13 QUALITY EDUCATION 1. For long day care services 2. ACECQA NQF snapshot Q 2 (2026) SAFEGUARDING • 97% Meeting or Exceeding across the G8 network which is 6%pts above the sector average • Continued embedment of our Individual Learning Plans to support children’s learning, development and wellbeing • Focus ahead on lifting Exceeding understandings and improvement in critical reflection to support quality uplift and improved outcomes for children Outperforming the sector with 97% of centres meeting or exceeding NQS • G8 Education has collaborated with Act for Kids to implement the evidence based Learn to Be Safe with Emmy and Friends Program • The protective behaviours program includes materials for children, families and educators to deliver the program in a child friendly manner • The program supports our commitment to paramountcy and Child Safe Organisations and has been well received by team and families • Following training and awareness sessions the program moves to an embedment phase moving forward. • Teacher retention continues to improve year on year. Focussed attention has seen a significant decrease in ECT waivers • Funded programs continue to expand in some states. The South Australian 3-year-old Pre School funded program has commenced in some G8 centres with further expansion in 2027 • A new pilot program focusing on supporting children's positive behaviours has commenced, funded by the Queensland GovernmentQuality ratings continue to increase year on year Strong teacher retention supports three- and four- year-old program delivery Safeguarding children through protective behaviours 96% 99% 96% 2025 2026 Sector 2026 G8 Meeting/Exceeding QA12 % vs. Sector Average To Date 95% 97% 91% 2025 2026 Sector 2026 G8 Meeting/Exceeding % vs. Sector Average1 To Date 52% 87% Q126 Q226 Program Awareness of Emmy and Friends
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G8 Education | 2026 Half Year Results | 14 • Sector conditions continue to impact demand Affordability and cost of living Low birthrate impacting demand Net supply of new centres continues, 2.5% last quarter Operating environment evolving • Group occupancy for HY26 was 57.0%, 7.5% pts below HY25 • Portfolio optimisation has improved our overall occupancy since June • Key focus has been improving conversion by 2%, now at 32% OCCUPANCY PERFORMANCE We are focused on improving our operations and performance in a tough occupancy environment Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Group Occupancy 2025 2026 3.5% 3.3% 3.3% 3.7% 3.9% 3.5% 3.2% 2.7% 2.8% 2.5% Qtr 1 Qtr 2 Qtr 3 Qtr 4 Qtr 1 Qtr 2 Qtr 3 Qtr 4 Qtr 1 Qtr 2 CY24 CY24 CY24 CY24 CY25 CY25 CY25 CY25 CY26 CY26 Year on Year Supply Change By Quarter 30.0% 32.1% 2025 2026 Like-For-Like* YTD Conversion
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OCCUPANCY DRIVE Actions underway to rebuild occupancy and strengthen centre performance DRIVE DEMAND Revised marketing approach: • A new national campaign focusing on local approach • Regional campaigns driving enquiries through optimised digital marketing • Local presence through activities, community partnerships and social media presence Amplifying our difference: • Embedment of Moments and Milestones Program across our curriculum including school readiness • Individual learning plans across the network • Emmy and Friends Protective Behaviours program with Act for Kids CONVERT AND EXECUTE • Additional Area Manager investment to increase centre support, coaching and drive performance • Centre specific growth plans focusing on enrolment, utilisation and local market opportunities • Enhancing tour quality and enrolment processes to improve enquiry-to-enrolment conversion. • Simplify and speed up casual booking acceptance through digital capability • Target of 24-hour turnaround for family queries and feedback • Ongoing focus on safety, quality and family experience as key drivers of long-term occupancy growth COMPETE EFFECTIVELY • Disciplined pricing structure pilots for driving demand in highly competitive areas • Testing optionality for families such as flexible day offers by region • Continued investment in our centres with potential growth opportunities • Facebook capability at local level, trial and rollout plan Our focus is on stronger conversion, operational performance and competing locally at scale.
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G8 Education | 2026 Half Year Results | 16 OPERATING MODEL Improved efficiency and operating model adjustments to drive execution and performance SAFETY AND COMPLIANCE SYSTEMS AND PROCESSES OPERATING MODEL CHANGES • Re-design of our Support Office structure to be more efficient and drive focus and accountability on our operations • 21% reduction in Support Office headcount • Increasing the number of Area Managers to drive overall performance and execution • Technology road map on track to deliver efficiency and productivity New facilities and maintenance systems Integration of facilities, procurement and incident management systems Enabling clear visibility, transparency and delivery improvements New and more efficient payroll system • Process mapping end-to-end removing complexity and administration • Centre based information and reporting to improve efficiency of workflow and actions • AI application focus across marketing, operational performance and internal administrative processes • Key initiatives to raise the bar on safety and compliance including Safety Leader Program, Centre Manager workshops, weekly safety shares and high focus centre support across the network • Significant training for all our team members, 118,000 hours delivered in H1 • CCTV project has gone through a rigorous procurement process with pilot to commence Q3 to inform CY27 roll out • H1 Sector statutory compliance actions increased by 100% compared to PCP (doubled) 1. Against this intensifying regulatory backdrop, G8 statutory compliance actions reduced by 5% compared to PCP • Reportable compliance incidents reduced by approximately 25% vs PCP • High risk compliance incidents reduced by 56% vs PCP 1. Source: ACECQA Q1 and Q2 Snapshots available https://www.acecqa.gov.au/nqf/snapshots
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Capex (excl SaaS) = $22.1m vs $12.0m in PCP FINANCIAL SUSTAINABILITY Disciplined capital and cost management, maintaining a conservative balance sheet • Cost base remained well controlled, supported by ongoing focus on operating cost discipline and continued benefit from strategic procurement activities • A significant restructure / realignment was undertaken of the Group’s Support Office function in June 2026. This initiative has contributed to estimated cost saving of as least c$10m, annualised as outlined earlier • Wages as % revenue was slightly higher YOY with continued wage optimisation supporting additional safety training G8 Education | 2026 Half Year Results | 17 • Operating cash flow continued to be positive despite difficult operating conditions. This was supported by prudent cost management • Capex was in line with target, supporting strategic centre and resources improvement • A conservative balance sheet was maintained, with stable liquidity and moderate gearing • The Group also extended the maturity of one of its $100m revolving debt facilities from December 2027 to January 2029 • CY26 H1 network optimisation saw 2 centres divested and 5 surrendered or expired leases. The Group also closed and merged one outside school hours care centre with an existing long day care centre • As a response to challenging conditions, the Group suspended the operations of 40 centres. Of the 40 suspended centres, 1 centre was divested and 3 centres had their leases surrendered or they expired before 30 June 2026* • Portfolio optimisation activity will continue, assessing underperforming centres to refine and strengthen the network footprint 2 Centre divested 5 Leases surrendered/expired 350 Operating centres Network Optimisation 19.9 1.0 1.2 Centre Improvements Equipment and Resources Technology (excl SaaS) CAPITAL ALLOCATION COST MANAGEMENT ` NETWORK OPTIMISATION ` * Included in divestments/surrendered referenced in point 1 above
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FINANCIAL PERFORMANCE G8 Education | 2025 Full Year Results | 18
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G8 Education | 2026 Half Year Results | 19 GROUP PERFORMANCE Statutory NPAT impacted by softer occupancy and the suspension of operations of 40 centres 1. Operating EBIT (adjusted for leases) = Reported EBIT (loss of $29.8m) – Lease Interest (note 6 of the Interim Financial Report $20.4m) + pre-tax non-trading items (note 3 of the Interim Financial Report $65.0m). 2. Excludes interest expense on lease liabilities. 3. Tax before non-trading items. Refer to note 3 of the Interim Financial Report for tax benefit from non-trading items. Operating and statutory NPAT was impacted in challenging market conditions: • Revenue was lower vs PCP largely as a result of occupancy shortfall vs PCP • Disciplined procurement efforts supported a well-controlled cost base • Underlying network Support Office costs reduced vs PCP • Finance costs increased as a result of higher interest rates on higher debt levels • Non-trading items primarily relate to impairment expense (plant and equipment and right of use assets impacted by the suspension of operations of 40 centres), portfolio optimisation (including the recognition of an onerous contracts provision relating to the suspension of operations of centres) and SaaS expenses as a result of new systems $m CY26 H1 CY25 H1 Change Group operating revenue 409.1 464.7 (12.0%) Centre operating EBIT 44.5 71.4 (37.7%) Network support costs (29.8) (30.9) (3.6%) Group operating EBIT1 14.7 40.5 (63.7%) Group operating EBIT 1 margin 3.6% 8.7% (5.1%) Net finance costs2 (4.7) (3.9) 20.5% Tax3 (3.3) (11.1) (70.3%) Operating NPAT 6.7 25.5 (73.7%) Operating NPAT margin 1.6% 5.5% (3.8%) SaaS expense (2.3) (1.6) Net gain / (loss) on centre exits 1.8 (1.2) Net restructuring, regulatory and legal costs recovery (11.7) 3.8 Interest expense on lease liabilities on suspended centres (0.3) - Net impairment expense (33.0) (4.0) Total non-trading items (after tax) (45.5) (3.0) Reported Net (Loss) / Profit After Tax (38.8) 22.5 (272.2%)
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CENTRE PERFORMANCE Centre performance impacted by softer occupancy, partially offset by disciplined cost management • Centre performance was impacted primarily by the occupancy shortfall vs PCP Employment costs have decreased vs PCP, driven by lower booking volumes Wages as % of revenue increased slightly Operating expenses decreased YOY driven by lower bookings and continued cost discipline Rent as % of revenue remained consistent Depreciation has increased slightly due to the increased investment in capital works completed on centre upgrades and centre-based resources G8 Education | 2026 Half Year Results | 20 Centre costs as a % of operating centre revenue3 Centre performance $m CY26 H1 CY25 H1 Change Group occupancy 57.0% 64.5% (7.5%) Revenue 409.0 462.1 (11.5%) Employment costs 242.8 262.9 (7.6%) Rent Proxy1 58.1 66.5 (12.6%) Depreciation 15.6 14.7 5.8% Other 48.0 46.7 2.8% Centre Expenses 364.5 390.8 (6.7%) Centre operating EBIT2 44.5 71.4 (37.7%) Centre EBIT2 Margin 10.9% 15.4% (4.5%) % CY26 H1 CY25 H1 Change Employment costs 61.2% 58.2% 3.0% Rent 14.7% 14.7% - Depreciation 3.9% 3.3% 0.6% Other 12.1% 10.3% 1.8% 1. Proxy for rent expense comprising lease depreciation, lease interest and outgoings 2. Centre Operating EBIT (adjusted for leases) excluding Support Office costs 3. Operating centre revenue excludes centre funding income
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CASH FLOW G8 Education | 2026 Half Year Results | 21 Cash flow $m CY26 H1 CY25 H1 % change Cash flows from operating activities Receipts from customers (inclusive of GST) 402.7 472.0 (14.7%) Payments to suppliers and employees (inclusive of GST) (332.3) (340.1) (2.3%) Interest received 1.3 0.7 Interest paid (non-leases) (3.3) (4.0) Interest paid (leases) (20.4) (22.2) Income taxes received / (paid) 1.4 (21.0) Net cash inflows from operating activities 49.4 85.4 (42.2%) Cash flows from investing activities Payments for purchase of intangible assets (0.3) (0.2) Payments for divestments and surrender fees (0.5) (9.6) Payments for property plant and equipment (24.1) (15.9) Net cash outflows from investing activities (24.9) (25.7) (3.1%) Cash flows from financing activities Dividends paid - (27.6) Principal elements of lease payments (35.1) (33.8) Buy back of equity (including transaction costs) (0.6) (31.7) Payments for purchase of treasury shares - (1.8) Net proceeds from borrowings 9.6 25.4 Borrowing costs paid (0.1) - Net cash outflows from financing activities (26.2) (69.5) (62.3%) Net decrease in cash and cash equivalents (1.7) (9.8) Cash and cash equivalents at the beginning of the half-year 38.1 47.6 Cash and cash equivalents at the end of the half-year 36.4 37.8 (3.7%) Debt Maturity Profile 40,000 - 60,000 100,000 - 20,000 40,000 60,000 80,000 100,000 Dec-29 Jan-29 Undrawn Drawn • Operating cash flow continued to be positive despite difficult operating conditions • This was supported by prudent cost and capital management
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G8 Education | 2025 Full Year Results | 22 UPDATE IMAGE CURRENT TRADING AND OUTLOOK
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CURRENT TRADING UPDATE G8 Education | 2026 Half Year Results | 23 CAPITAL MANAGEMENT • Group ‘spot’ occupancy is 61.9%1, -5.1% pts lower than PCP • YTD occupancy as at end of July is 58.0%2, –7.0% pts lower than P C P, small trend improvement since June YTD • Seasonal patterns remain similar to last year, albeit at a lower level • Enquiries remain lower than PCP, however, our marketing activities through the main aggregator are yielding better than sector average site visits and enquiries per centre OCCUPANCY AND DEMAND • Capital allocation remains prudent focusing on safety and operational priorities • We anticipate CY26 capex to be circa $50m • No H1 dividend is to be paid in respect to 30 June 2026 • Share buyback program has been concluded Maintaining stable performance in a tough environment FAMILY ENGAGEMENT • Family experience and satisfaction factors remain priority for our team, delivering improvements in key metrics NPs, by 7 points Conversion, by 2% Frequency, by 0.02% 1. Spot occupancy as at week ending Friday 21/8/2026 2. YTD Occupancy as end of July 2026
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NEAR TERM OUTLOOK Proactive actions to improve performance and execution, maintaining conservative financial control in a challenging environment G8 Education | 2026 Half Year Results | 24 Improvement in our core operations and controllables over the last 3 years, provides G8 with performance resilience and a high-quality platform position to recover, as the sector improves. TAKING ACTIONS ON CONTROLLABLES • Early Childhood remains a critical part of our social infrastructure and continues to have support for funding • Government, Regulators and sector stakeholders working to build trust and confidence • Worker Retention Payment extended to 2028, supporting workforce attraction and retention • Supply continuing to decline in 2 consecutive quarters, and lowest in 10 quarters • Total Fertility Rate is expected to increase over the medium term 1 • Sector anticipated to contract due to operating and financial challenges • Continue to improve Quality, Safety and Compliance, focusing on exceeding themes • Drive positive engagement with our families, focusing on conversion • Maintain above sector team engagement and retention • Drive occupancy through national, regional and local enrolment and transition plans • Optimise the network • Manage costs diligently, ensuring no compromise on safety and compliance • Ensure financial sustainability and performance resilience PRIORITIES FOR NEAR TERM LEADING TO ‘27 SECTOR CONTINUES TO EVOLVE • Completed a refinancing, maintaining conservative balance sheet and liquidity • Actions to adjust to sector conditions • Procurement savings • 40 centres’ operations suspended • Support Office re-structure reducing cost • Clear performance plans across every centre • Building on improvements in family experience, conversion and team retention • Executing portfolio optimisation and cost initiatives to improve long-term performance 1. Australian Government - Centre for Population, Population Statement 2025 (2026), p. 1: https://population.gov.au/sites/population.gov.au/files/2026-01/ss-2025-pop-statement-aus.pdf
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QUESTIONS G8 Education | 2025 Full Year Results | 25
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APPENDIX G8 Education | 2025 Full Year Results | 26 UPDATE IMAGE
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FINANCIAL STATEMENTS Consolidated Income Statement $m CY26 H1 CY25 H1 % change Continuing operations Revenue 409.0 464.6 (12.0%) Other income 4.6 0.8 475.0% Total 413.6 465.4 (11.1%) Expenses Employment costs (266.8) (285.3) (6.5%) Property, utilities and maintenance costs (26.8) (24.9) 7.6% Direct costs (11.8) (13.8) (14.5%) Software development expenses (3.2) (2.2) 45.5% Depreciation and amortisation (48.7) (53.3) (8.6%) Net impairment expense (47.1) (5.7) 726.3% Other expenses (37.7) (20.9) 80.4% Finance costs (26.4) (27.0) (2.2%) (Loss) / Profit before income tax (54.9) 32.3 (270.0%) Income tax benefit / (expense) 16.1 (9.8) (264.3%) Reported Net (Loss) / Profit after income tax (38.8) 22.5 (272.2%) G8 Education | 2026 Half Year Results | 27 Operating centres and centre team members 1. Excludes centres which have had their operations suspended.
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FINANCIAL STATEMENTS Balance Sheet $m 30 June 2026 31 December 2025 Non-current borrowings 160.0 155.0 Cash and cash equivalents 36.4 38.1 Net Debt1 123.6 116.9 Gearing ratio (%)2 20% 18% Gearing ratio 1. Net Debt excludes lease liabilities and current borrowings for insurance premium funding 2. Gearing ratio = Net Debt (excludes lease liabilities) / (Net Debt (excludes lease liability) + Equity). G8 Education | 2026 Half Year Results | 28 $m 30 June 2026 31 December 2025 ASSETS Current assets Cash and cash equivalents 36.4 38.1 Trade and other receivables 18.5 11.9 Government funding receivables 7.0 6.6 Other current assets 12.9 15.9 Current tax asset 7.2 - Total current assets 82.0 72.5 Non-current assets Property plant and equipment 142.8 150.6 Right of use assets 435.4 513.9 Deferred tax assets 108.9 103.6 Intangible assets 699.1 699.5 Other non-current assets 2.1 2.7 Total non-current assets 1,388.3 1,470.3 Total assets 1,470.3 1,542.8 LIABILITIES Current liabilities Trade and other payables 81.8 79.6 Contract liabilities 7.7 6.7 Government funding liabilities 14.7 14.6 Current tax liability - 2.2 Borrowings 4.6 - Lease liabilities 73.0 70.2 Provisions 75.5 77.1 Total current liabilities 257.3 250.4 Non-current liabilities Borrowings 160.0 155.0 Lease liabilities 540.3 593.9 Provisions 26.3 17.8 Total non-current liabilities 726.6 766.7 Total liabilities 983.9 1,017.1 Net assets 486.4 525.7 EQUITY Contributed equity 836.2 836.8 Reserves 119.7 116.2 Retained losses (469.5) (427.3) Total equity 486.4 525.7