Annual financial statement
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Appendix 4E PRELIMINAR Y FINAL REPORT Objective Corporation Limited ABN: 16 050 539 350 For the year ended 30 June 2026 (Previous corresponding period being the year ended 30 June 2025)
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Objective Corporation Limited ABN 16 050 539 350 Page 2 RESULTS FOR ANNOUNCEMENT TO THE MARKET KEY INFORMATION 2026 $'000 2025 $'000 $’000 Change % Change Revenue from ordinary activities 134,711 123,500 11,211 + 9 % Profit from ordinary activities after income tax attributable to shareholders 37,191 35,440 1,751 + 5 % Net profit for the year attributable to shareholders 37,191 35,440 1,751 + 5 % DIVIDENDS Amount per security Franked amount per security 2026 Interim unfranked dividend 13.0 cents Nil Final franked dividend 8.0 cents 100% Final unfranked dividend 5.0 cents Nil 2025 Interim unfranked dividend 9.0 cents Nil Final unfranked dividend 13.0 cents Nil Record date for determining entitlement to the final franked dividend and final unfranked dividend is 3 September 2026 and 9 September 2026 respectively. The final franked dividend will be paid on 14 September 2026 and the final unfranked dividend will be paid on 15 September 2026. Objective Corporation’s Dividend Reinvestment Plan (‘DRP’) is currently suspended. There is no conduit foreign income attributed to the dividends. EARNINGS PER SHARE 2026 2025 Basic earnings per share (EPS) 38.9 cents 37.2 cents Diluted earnings per share 38.4 cents 36.6 cents Weighted average number of ordinary shares used in basic earnings per share 95,636,217 95,342,877 Effect of potentially dilutive shares 1,288,068 1,415,586 Weighted average number of ordinary shares used in diluted earnings per share 96,924,285 96,758,463
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Objective Corporation Limited ABN 16 050 539 350 Page 3 RESULTS FOR ANNOUNCEMENT TO THE MARKET NET TANGIBLE ASSETS PER SHARE 2026 2025 Net tangible assets per share (NTA) 30.2 cents 41.1 cents CONTROL GAINED OR LOST OVER ENTITIES Entities over which control has been acquired or lost during the year On 1 July 2025, the Group acquired 100% of the issued capital of Isovist Holdings Limited.
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Objective Corporation Limited ABN 16 050 539 350 Page 4 REVIEW OF OPERATIONS Results summary for full year ended 30 June 2026 30 June 2025 Change AU $’000 AU $’000 (%) Revenue 134,711 123,500 + 9 % Adjusted EBITDA 1 51,535 46,496 + 11 % Net profit after tax 37,191 35,440 + 5 % Annualised Recurring Revenue (ARR) 2 117,288 120,245 - 2 % R&D investment 3 33,780 31,226 + 8 % Cash at balance date 92,696 99,157 - 7 % Earnings per share 38.9 cps 37.2 cps + 5 % Dividends 26.0 cps 22.0 cps + 18 % 1 Adjusted earnings before interest, tax, depreciation and amortisation expenses and excluding foreign exchange gains, share-based payment expenses and merger and acquisition costs for the year is a non-IFRS financial measure and is unaudited. Refer to page 9 for details 2 Annualised Recurring Revenue is a non-IFRS financial measure and is unaudited, it represents future contracted annual revenue at year end. 3 Includes $17,431,000 in capitalised development costs (FY2025: $15,674,000). FINANCIAL HIGHLIGHTS Group revenue for financial year 2026 (FY202 6) grew by 9% to $134.7 million (FY2025: $123.5 million), Adjusted EBITDA increased by 11% to $51.5 million (FY2025: $46.5 million) and Net Profit After Tax (NPAT) increased by 5% to $37.2 million (FY2025: $35.4 million). During FY2026, 100% of our software revenue was contracted under a subscription model and recurring revenue represented 8 7% of total revenue from customers. The Annualised Recurring Revenue (ARR) balance at 30 June 2026 decreased by 2% to $117.3 million ($120 .2 million at 30 June 2025). Information Intelligence ARR decreased by 5% to $81.0 million (FY2025: $85.1 million); Regulatory Solutions ARR increased by 4% to $17.6 million (FY2025: $16.9 million); Planning and Building ARR increased by 3 % to $18.7 million (FY2025: $18.2 million). During FY2026 , we invested $33.8 million in Research and Development (R&D) (FY2025: $31.2 million), representing 30% of software revenue. $17.4 million of this R&D investment was capitalised in FY2026 (FY2025: $15.7 million). Group operating cash flow in FY2026 was $49.3 million (FY2025: $46.3 million) and the total cash balance at 30 June 2026 was $92.7 million, a decrease of 7% over the balance at 30 June 2025, after net payments of NZ$4.0 million for acquisition of Isovist and total capital returns ( in the form of dividends) to shareholders of $24.9 million (FY2025: $24.8 million) and share buybacks of $7.1 million (FY2025: $nil). The Group has no external borrowings. The consolidated statement of financial position of the Group provides significant capacity to further pursue investment opportunities that enhance returns for stakeholders.
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Objective Corporation Limited ABN 16 050 539 350 Page 5 BUSINESS LINE SUMMARY INFORMATION INTELLIGENCE In FY2026, revenue in our Information Intelligence business increased by 5% to $87.9 million (FY2025: $83.4 million). Closing ARR at 30 June 2026 decreased by 5% to $81.0 million over the balance at 30 June 2025 ($85.1 million). Highlights from FY2026 include: • Customer organisations accelerated their AI adoption journeys and recognised the critical importance of trusted information. AI presents real opportunities for the public sector to enhance productivity and automation, leveraging the value of their unstructured information. Agencies succeeding with AI are not simply those deploying the most tools, but those establishing trusted, governed and accessible information foundations. Objective's Information Intelligence platform addresses this imperative by enabling organisations to confidently leverage AI while maintaining rigorous compliance, security and governance standards across their unstructured information assets. • Tauranga City Council extended their Objective Nexus platform to establish a trusted information foundation supporting AI adoption, using classification, curation and access controls to make relevant knowledge available to AI while protecting sensitive content. We extended our relationship with a major Financial Services and Insurance (FSI) customer who transitioned to Nexus cloud as part of a cloud -first strategy, leveraging embedded security capabilities and industry -specific workflows that demonstrate the platform's applicability across highly regulated sectors. Scottish Government extended their use of the Objective Nexus platform with a secure AI -powered solution to manage, categorise and summarise information for a high profile and complex public enquiry. • We established a dedicated team focused on the Defence and National Security (DNS) sector, with early validation demonstrated through new customer acquisition and expanded adoption within existing customers. Objective's established presence in the DNS sector together with sovereign capabilities provides strong foundations to address this market where trusted, secure and AI-ready information underpins critical decision- making and complex security requirements. We extended our capabilities for this market with vertical market solutions to address sector - specific legislation, including Export Controls delivered through Objective Connect, positioning Objective to capture opportunities in a market where information trust is paramount. Results summary 30 June 2026 30 June 2025 Change AU $’000 AU $’000 % Information Intelligence Sales revenue 87,853 83,392 + 5 % ARR 80,932 85,124 - 5 % Planning & Building Sales revenue 18,481 13,061 + 41 % ARR 18,723 18,225 + 3 % Regulatory Solutions Sales revenue 25,302 23,622 + 7 % ARR 17,633 16,896 + 4 %
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Objective Corporation Limited ABN 16 050 539 350 Page 6 INFORMATION INTELLIGENCE (CONTINUED) • Our innovation program continued its cloud-first trajectory. Substantial enhancements to Objective Nexus deliver faster, more relevant search capabilities that provide greater flexibility for future AI - enabled capabilities. Additional functionality delivered only in Nexus Cloud included new privilege reporting capabilities that give organisations unprecedented visibility into information access patterns and extended system administration capabilities through the native Nexus UI. Integration of broader capabilities into the Information Intelligence platform included surfacing curated organisational information to the customer’s choice of interface; natively through Objective Intelligence or Microsoft Copilot. The Information Intelligence platform can now leverage connectivity into multiple data repositories within an organisation to identify duplicate content and determine authoritative records, reducing information sprawl and creating cleaner foundations for processes driven by both humans and AI. Other AI capabilities delivered through the platform include AI enrichment capabilities to analyse broader content types through multimodal AI models, enabling automatic classification and contextualisation at scale. • Objective Connect capabilities expanded to include new capabilities in Digital Signatures and Tag Based Access Control to align with market development activity in Export Controlled Markets, particularly Defence Industry sensitive and classified file sharing. Objective Connect's integration with the Information Intelligence platform deepened, with enhanced functionality and speed of ConnectLink for Nexus, enabling new features such as the ability to complete digital signature processes directly from documents in Objective Nexus. Objective Connect expanded use within customer sites, welcomed new customers across the public sector and FSI but experienced some higher-than-expected customer churn due to customers requirement for SharePoint connectors, which were released for Objective Connect in late FY26. • Objective Keystone further expanded its superannuation customer base, expanded use of Keystone in six existing FSI customer sites and won the first UK FSI customer. We expanded the capabilities of the solution with the release of model connectors which allowed direct integration of Objective Keystone with data models and data brokerage services to enhance the presentation of financial information in regulated documents. These enhancements, supplemented by new editing tools that leverages market standard UI frameworks, expanded the use cases for Objective Keystone in the FSI market, including in the funds management industry. PLANNING & BUILDING In FY2026, revenue in our Planning & Building business increased by 41% to $18.5 million (FY2025: $13.1 million). Closing ARR at 30 June 2026 increased by 3% to $18.7 million over the balance at 30 June 2025 ($18.2 million). Highlights from FY2026 include: • Objective Build was officially released in Australia in April 2026, progressing from foundation development to commercial launch. We welcomed North Sydney Council as the first Australian Objective Build customer, providing an important reference site in the New South Wales market . Product development continued in partnership with foundation partner councils across New South Wales, Victoria, Queensland and Western Australia to address the different planning requirements of each jurisdiction. • Objective Build continued to strengthen its position as New Zealand’s leading building consent platform, and the number of users registered on the Objective Build applicant portal increased from 45,000 to 60,000. Western Bay of Plenty District Council and Taupō District Council went live during 2HY2026, taking the number of live Objective Build customers to 35 and seven further projects were active and approaching go-live at year end. We also continued to grow our
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Objective Corporation Limited ABN 16 050 539 350 Page 7 PLANNING & BUILDING (CONTINUED) presence in the private certification market and grew volumes processed through Building Consent Authority Limited (BCAL) and secured a commitment to Objective Build by Consentium, a government-associated private Building Consent Authority. • The GoGet to Objective Build migration program made further progress toward consolidating New Zealand customers on Objective Build. During the GoGet transition, 1 1 customers selected alternative solutions. We are maintaining engagement with these organisations and will seek to win back this business as Objective Build’s product breadth, demonstrated customer value and implementation performance continue to strengthen. Regulatory changes in New Zealand, expected to drive future council consolidations, are also likely to further enhance Objective Build adoption amongst customers who are currently utilising an alternative solution. • R&D investment delivered new AI -powered vetting and application checks to users of the Objective Build applicant portal, helping applicants submit better quality, complete consent applications before submission. During FY2026, we released Remote Inspections capabilities in Objective Build to strong response from our customers, with 21 councils adopting the module. Remote Inspections enables inspections to be completed through mobile devices and integrated directly with the building consent process, reducing travel requirements and improving productivity for inspectors. Objective Build also responded to regulatory change through the release of support for Small Standalone Dwellings consents. 33 customers rapidly adopted the new module, demonstrating strong demand for the expanded consent types offered through Objective Build. • Following the rapid integration of Isovist into the Planning & Building business, we completed the first phase of investment in the Isoplan platform with the release of Isoplan Professional. This release introduced a redesigned user interface and a substantial overhaul of the plan- editing experience, improving usability for planning professionals and creating a stronger foundation for future digital -planning capabilities. Engagement with Isoplan customers is strong, and we've identified further opportunities to extend digital planning functionality into Objective Build. • Objective Trapeze was enhanced with Advanced PDF Editing, adding more sophisticated document-editing capabilities and extending the platform’s relevance to a broader range of users within local government. The release supports greater use of Objective Trapeze beyond traditional planning teams and strengthens its role in collaborative assessment and review processes across councils. Over 250 councils within Australia and New Zealand use Objective Trapeze as a critical tool in their application assessment process, providing a strong base for expanding the use of Objective Build within these organisations. REGULATORY SOLUTIONS In FY2026, revenue in our Regulatory Solutions business increased by 7% to $25.3 million ( FY2025: $23.6 million). Closing ARR at 30 June 2026 increased by 4% to $17.6 million over the balance at 30 June 2025 of ($16.9 million). Following the end of FY2026, we discontinued a managed services contract with the National Heavy Vehicles Register (NHVR) which reduced ARR by $3.2 million to $14.4 million. Highlights from FY2026 include: • We continued to invest in go-to-market capability, product development and internal processes to support the global scaling of Objective RegWorks. Targeted market analysis, industry engagement and conference sponsorship established an initial presence in Canada. We also continued our broad engagement with regulatory bodies in the UK. In Australia, the completion of our IRAP
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Objective Corporation Limited ABN 16 050 539 350 Page 8 REGULATORY SOLUTIONS (CONTINUED) assessment strengthened our readiness to pursue opportunities within the Australian Government. These initiatives, together with continued engagement across our established markets, delivered an active pipeline of opportunities in all markets that we target. • The Department of Climate Change, Energy, the Environment and Water (DCCEEW) chose Objective RegWorks to deliver a modern, reusable regulatory platform that will transform how regulation is delivered across the Department. Objective RegWorks will underpin the digital transformation of DCCEEW by consolidating disparate systems into a single, configurable platform by leveraging pre-packaged RegWorks Accelerate workflows. At the centre of this initiative is the creation of a reusable regulatory platform. Delivered initially in a single agency, Objective Regworks is a strategic investment designed to enable repeatable, scalable, regulatory delivery across 18 agencies within the department. • R&D investment culminated in the launch of Objective RegWorks v8, a major release focused on improving user experience, applying our specialist regulatory domain knowledge and introducing AI-powered capabilities. Objective RegWorks v8 introduced purpose-built capabilities for complex regulatory and investigatory work such as Running Log (a structured, chronological record of the actions, decisions and observations associated with an investigation or case); Record Explorer (helping users understand the relationships between a record and its associated activities and information) and enhanced UI to enable better search experience across information held within complex regulatory processes. • Objective RegWorks v8 has also incorporated enhanced AI functionality into the platform to deliver direct productivity benefits to regulatory authorities. The AI Public Form Assistant uses agency guidance, user manuals and supporting materials to help members of the public navigate their interactions with regulators more efficiently, while also providing the flexibility to support internal teams. The RegWorks Assistant enables back -office users to make context -aware enquiries against regulatory information held within the platform, improving access to relevant information and supporting more timely decision-making. • The scope of Objective RegWorks Accelerate expanded during FY2026, incorporating additional functionality into the standardised implementation framework. Advanced in -app configuration capabilities allow implementation teams and customers to adapt business processes with less reliance on bespoke development, supporting faster implementations and more efficient change following go-live. Accelerate remains an important differentiator from general -purpose competitor platforms that typically require extensive customisation for each deployment, improving time -to- value and reducing the lifetime cost of ownership for customers. • A significant program of customer upgrades and technical migrations was also completed during the year. These initiatives transitioned customer environments from legacy technology to more modern platform foundations, improving scalability, simplifying ongoing support and creating a stronger pathway for future product upgrades. The program positions customers to benefit more readily from continuing innovation across Objective RegWorks, while supporting more efficient and consistent delivery throughout the customer lifecycle.
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Objective Corporation Limited ABN 16 050 539 350 Page 9 RECONCILIATION BETWEEN IFRS AND NON-IFRS FINANCIAL INFORMATION (UNAUDITED) CONSOLIDATED 30 June 2026 30 June 2025 $’000 $’000 Net profit after tax 37,191 35,440 - Depreciation and amortisation expenses 8,686 7,234 - Net interest (income) / expense (2,559) (2,843) - Foreign exchange losses / (gains) 133 (935) - Share-based payment expenses 700 1,226 - M&A costs 119 441 - Income tax expense 7,265 5,933 Adjusted EBITDA 51,535 46,496 The Directors believe that the presentation o f certain non-IFRS financial measures in this report provides additional insight into the underlying performance, financial position, and cash flow generation of the Group. These measures are used by management to monitor the Group’s operation and make informed business decisions. They are also considered useful for investors and other users of the Annual Report in understanding the Group’s financial performance and in facilitating comparability with industry peers. AUDIT The financial statements and notes thereto have been audited and the auditor’s report is attached. The remainder of the information requiring disclosure to comply with listing rule 4.3A is contained in the attached financial statements and notes thereto.
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FY2026 Financial Report Objective Corporation Limited ABN: 16 050 539 350
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 11 DIRECTORS’ REPORT The Directors of Objective Corporation Limited (‘the Company’) present the Annual Report of the Company and its controlled entities (collectively ‘the Group’) for the year ended 30 June 2026. DIRECTORS The names and details of the Company’s directors in office during the financial year and until the date of this report are set out below. Directors were in office for this entire period unless otherwise stated: MR TONY WALLS Chairman and Chief Executive Officer Tony founded the Company in 1987 and has extensive experience in the IT industry . He is a member of the Audit Committee. Tony has a B.Math (Computing Science), a Grad.Dip in Applied Finance (SIA) and is a Fellow of the Australian Institute of Company Directors. Tony was appointed a director of Mirrabooka Investments Limited in March 2023. MR NICK KINGSBURY Independent Non-Executive Director Nick was appointed as a Non -Executive Director in July 2008 and is the Chair of the Audit Committee. Nick is an experienced international software entrepreneur, strategist and venture capitalist. Nick founded, led and then sold a leading UK Business Process Management company. Nick then spent 7 years with the international venture capital company 3i, where he headed up the software sector team. From October 2011 to June 2015 he chaired a UK AIM listed cyber security company Accumuli , plc, which was successfully sold to NCC Group. As well as his role with Objective, he is a Partner with the venture capital firm Amadeus Capital Partners and sits on the boards of several early- stage technology businesses. MR DARC RASMUSSEN Independent Non-Executive Director Darc was appointed as a Non -Executive Director in August 2018 and is a member of the Audit Committee . Darc is a seasoned enterprise software professional with over 25 years’ experience successfully building and growing Software as a Service (SaaS) and c loud-based businesses across global markets. Darc spent time working and living in Europe, the USA and Asia/Pacific growing public and private companies including Infor, SAP, IntraPower (Trusted Cloud) and Integrated Research. Darc led the SAP (NYSE:SAP ) global CRM Line of Business, building it from start- up to total annual revenues of US$1.5 billion in 2007, establishing SAP as the global leader in the CRM market. He was CEO at Integrated Research (ASX:IRI) and led the company through a whole- of-business transformation strategy that delivered 70%+ growth in Revenue and Profits along with a tripling of the company’s market capitalisation. During Darc’s tenure , IRI was named a Gartner “Cool Vendor” and became the global leader in the Unified Communications Performance Management market. Darc was appointed as non-executive director of Gentrack Group Limited (NZX/ASX : GTK) on 12 December 2019 and resigned from the GTK board with effect from 20 th April 2026. Darc joined the board of Urbanise.Com Ltd (ASX:UBN) on 18 April 2023. MR STEPHEN BOOL Independent Non-Executive Director Stephen joined the Board in January 2022, after 17 years with Objective Corporation Limited in senior leadership positions, most recently as Chief Operating Officer for over 5 years. In that time, Stephen made important contributions across the entire organisation, helping shape the culture and operating structures that support our current business success.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 12 DIRECTORS’ REPORT (CONTINUED) DIRECTORS (CONTINUED) MR STEPHEN BOOL (CONTINUED) Non-Executive Director Prior to joining Objective, Stephen had served in senior leadership roles at US multinational Software and Consulting Services companies including PeopleSoft (Oracle), and SPL WorldGroup (Oracle) during a career that spans over 30 years in the industry. Stephen holds a Bachelor ’s Degree in Computer Science and Master ’s Degree in Business Administration. COMPANY SECRETARY MR BEN TREGONING Company Secretary Ben is the Chief Financial Officer and was also appointed Company Secretary in July 2016. Ben has over 15 years’ experience in financial roles within Financial Services and corporate finance businesses both in Australia and the UK. He is responsible for company secretarial and corporate governance support at Objective. Ben has a B.Commerce and a M.Commerce. PRINCIPAL ACTIVITIES The principal activity of the Group during the year was the supply of information technology software and services. There was no significant change in the nature of the Group’s activities during the year. DIVIDENDS An ordinary final unfranked dividend of $ 12,430,000 was paid on 16 September 2025. An ordinary interim unfranked dividend of $12,468,000 was paid on 17 March 2026. Since the end of the financial year, the directors have recommended the payment of a final fully franked divide nd of 8.0 cents per ordinary share on 14 September 2026 and final unfranked dividend of 5.0 cents per ordinary share on 15 September 202 6. The aggregate amount of the dividends expected to be paid is $ 12,430,000. There is no conduit foreign income attributed to this final dividend declared.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 13 DIRECTORS’ REPORT (CONTINUED) REVIEW OF OPERATIONS AND FINANCIAL RESULTS A review of the G roup operations and the results for the year ended 30 June 2026 is set out on the inside front cover to page 8 of the annual report and forms part of the Directors’ Report. This includes the summary of consolidated results as well as an overview of the Group’s financial performance. The management of the Company and the execution of its growth are subject to a number of risks which could adversely affect the Group’s future development, such as the attraction and retention of customers, loss of people, cash and other financial assets, research and development and cyber security. SIGNIFICANT CHANGES IN STATE OF AFFAIRS There were no significant changes in the state of affairs of the Group during the financial year. SHARE CAPITAL As at 30 June 2026 the Company had 95,606,053 (2025: 95,592,996) fully paid ordinary shares on issue. SHARE OPTIONS AND RIGHTS Unissued shares under options and rights As at the date of this report unissued ordinary shares in the Company under share-based payment arrangements are: Options on Issue Number Grant Date Expiry Date Employee options exercisable at $2.75 41,250 01/01/2019 01/01/2029 Employee options exercisable at $7.50 205,000 01/07/2020 01/07/2030 Employee options exercisable at $14.85 100,000 24/02/2022 30/04/2027 Employee options exercisable at $10.35 725,750 29/09/2023 01/01/2028 Employee options exercisable at $10.35 143,500 29/09/2023 01/01/2028 Employee options exercisable at $14.85 412,500 29/09/2023 01/01/2028 Employee options exercisable at $12.00 40,000 30/01/2024 01/01/2028 Employee options exercisable at $12.00 50,000 22/02/2024 01/01/2028 Employee options exercisable at $17.99 20,000 14/07/2025 31/12/2029 Total options on issue 1,738,000 Weighted average exercise price $11.33 Rights on issue Number Grant Date Expiry Date Rights exercisable at $nil 21,500 22/12/2021 22/12/2026 Rights exercisable at $nil 1,000 21/03/2022 21/03/2027 Rights exercisable at $nil 14,700 29/09/2023 02/11/2027 Rights exercisable at $nil 750 23/05/2025 31/12/2026 Rights exercisable at $nil 1,375 22/07/2025 31/12/2029 Total rights on issue 39,325 Weighted average exercise price $nil
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 14 DIRECTORS’ REPORT (CONTINUED) SHARE OPTIONS AND RIGHTS (CONTINUED) Details of the options and rights on issue under each share- based payment arrangement are contained in Notes 20 and 28 to the financial statements. Shares issued on exercise of options and rights Movements in equity incentives and shares issued on exercise of equity incentives during and since the end of the year: Instrument Number of instruments granted Number of instruments forfeited Number of instruments exercised Number of ordinary shares issued on exercise Amount paid per share Amount unpaid on shares Share options 20,000 15,000 381,750 381,750 $9.29 - Rights 4,995 - 23,270 1 18,270 - - 15,000 rights exercised were fulfilled by ordinary shares purchased on the ASX by Objective Corporation Limited Employee Share Trust. Refer Note 28 for further details. During the year, the Group issued 400,020 ordinary shares of the Company as a result of the exercise of 381,750 options and 18,270 rights at various prices under the share-based payment arrangements. Since the end of the financial year, the Group issued 7,250 ordinary shares of the Company as a result of the exercise of 7,250 rights, at $nil under the share- based payment arrangements, by employees. LIKELY DEVELOPMENTS The Group delivered strong profitability in FY2026 . We continued to invest in our product portfolio and our workforce, as well as developing new markets for our products and pursuing non-organic growth opportunities. The Directors have identified opportunities to continue to grow the business in FY2027 and the Group will be pursuing these whilst maintaining a focus on increasing profitability. Through product innovation and the development of outstanding software, we have expanded our addressable market in the regions in which we are well established, and our globally competitive products provide an opportunity for us to expand our presence beyond our current geographic footprint. The Group also retains significant financial capacity to pursue investment opportunities outside of the current product portfolio and customer reach. Refer to the Review of Operations section for further details. PERFORMANCE IN RELATION TO ENVIRONMENTAL REGULATION The Board places a high priority on environmental issues and is satisfied that systems are in place for the management of the Company’s compliance with applicable environmental regulations under the laws of the Commonwealth, States and Territories of Australia. The Company is not aware of any pending prosecutions relating to environmental issues, nor is the Company aware of any environmental issues, which would materially affect the business as a whole. EVENTS AFTER BALANCE SHEET DATE Subsequent to year end, the Group was advised that the Australian Department of Defence would not renew its Objective ECM Upgrade and Support Program agreement from 1 July 2026. The agreement contributed revenue of $8,252,000 for the year ended 30 June 2026. All revenue recognisable under this contract ceased on 30 June 2026.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 15 DIRECTORS’ REPORT (CONTINUED) EVENTS AFTER BALANCE SHEET DATE (CONTINUED) For dividends resolved to be paid after 30 June 2026, refer Note 21. Other than the above, the Directors have not become aware of any matter or circumstance not otherwise dealt with in the report or in the financial statements that has significantly or may significantly affect the operations of the Group, the results of those operations or the state of affairs of the Group in subsequent financial years. INDEMNIFYING OFFICERS OR AUDITOR During the financial year the Company has paid an insurance premium for a Directors’ and Officers’ insurance policy. The liabilities insured are legal costs that may be incurred in defending civil or criminal proceedings that may be brought against the Directors or Company Secretary as a result of the work performed in their capacity as officers of entities in the Group to the extent permitted by law. The Directors have not disclosed the amount of the premium as such disclosure is prohibited under the terms of the contract. The Company has not otherwise, during or since the financial year, indemnified or agreed to indemnify an officer or auditor of the Company or any related body corporate against a liability incurred. CORPORATE GOVERNANCE STATEMENT The Company’s Directors and management are committed to conducting the Group’s business in an ethical manner and in accordance with the highest standards of corporate governance. The Company has adopted and substantially complies with the ASX Corporate Governance Principles and Recommendations (4th Edition) (‘Recommendations’) to the extent appropriate to the size and nature of the Group’s operations. The Company has prepared a Corporate Governance Statement which sets out the corporate governance practices that were in operation throughout the financial year for the Company, identifies any Recommendations that have not been followed, and provides reasons for not f ollowing such Recommendations. The Company’s Corporate Governance Statement and policies will be approved at the same time as the Annual Report and will be found on its website: http://www.objective.com/about/investors. DIRECTORS’ INTEREST Directors’ beneficial interest in shares, options and rights at the date of this report were: Director Number of ordinary shares Number of options Number of Rights Tony Walls 62,000,000 - - Nick Kingsbury 100,000 - - Darc Rasmussen 130,214 - - Stephen Bool 127,025 - - Total directors’ interest 62,357,239 - -
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 16 DIRECTORS’ REPORT (CONTINUED) MEETINGS OF DIRECTORS The number of Director s’ and Audit Committee meetings held during the financial year and the number of meetings attended by each of the Directors are as follows: Directors’ Meeting Audit Committee Meetings Director Number of Meetings Held Number of Meetings Attended Number of Meetings Held Number of Meetings Attended Tony Walls 12 12 2 2 Nick Kingsbury 12 12 2 2 Darc Rasmussen 12 12 2 2 Stephen Bool 12 12 n/a n/a AUDITOR’S INDEPENDENCE DECLARATION A copy of the auditor’s independence declaration in relation to the financial year is included on page 67. AUDITOR’S NON- AUDIT SERVICES The Company has not engaged the Group auditor, Pitcher Partners, to provide non -audit services during the financial year. ROUNDING OF AMOUNTS The Company is an entity to which ASIC Corporations (Rounding in Financial / Directors’ Reports) Instrument 202 6/183 applies and accordingly, amounts in the financial statements and Directors’ Report have been rounded to the nearest thousand dollars, unless specifically stated to be otherwise. PROCEEDINGS ON BEHALF OF THE COMPANY No person has applied to the Court for leave to bring proceedings on behalf of the Company, or to intervene in any proceedings to which the Company is a party, for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings. The Company was not a party to any such proceedings during the year. AUDITED REMUNERATION REPORT This remuneration report details the key management personnel (“KMP”) remuneration arrangements for the Group, in accordance with the requirements of the Corporations Act 2001 (Cth) and its Regulations. The table below lists the Executives of the Group for the year ended 30 June 202 6 and whose remuneration details are outlined in this Remuneration Report. Directors Tony Walls Chairman and Chief Executive Officer Nick Kingsbury Independent Non-Executive Director Darc Rasmussen Independent Non-Executive Director Stephen Bool Non-Executive Director
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 17 DIRECTORS’ REPORT (CONTINUED) AUDITED REMUNERATION REPORT (CONTINUED) Overview of remuneration approach and framework (Continued) Executive key management personnel Ben Tregoning VP Corporate Services and Chief Financial Officer (CFO) Overview of remuneration approach and framework The Board from time to time reviews the remuneration packages of all Directors and Executive Officers with due regard to performance and other relevant factors. The remuneration policy generally is to ensure the remuneration package properly reflects the person’s duties and responsibilities and that the remuneration is competitive to attract, retain and motivate employees of the highest calibre. Executive Directors and Executives (Executive KMP) The Group aims to reward executives with a level and mix of remuneration based on their position and responsibility. All Executive KMP remuneration is comprised of the following: • Fixed remuneration made up of contractual base salary, leave entitlements and legislated superannuation guarantee • Variable remuneration in the form of short- term cash incentive and a long -term incentive through the issue of share options and/or rights at the Board’s discretion. The variable component s, such as b onuses, are structured to reward outstanding performance against agreed Key Performance Indicators (“KPIs”) including financial and non -financial metrics aligned with the Group’s business strategy . Ultimately, bonuses and discretionary payments to Executive KMP are at the discretion of the Board. Remuneration and other terms of employment of the Executive KMP are formalised in employment agreements and contain the following key terms: Chief Executive Officer Chief Financial Officer Annual Salary Total fixed remuneration of $303,262 inclusive of superannuation Total fixed remuneration of $399,501 inclusive of superannuation Performance Bonus No STI potential Total potential STI of up to 4 1% of Annual Salary, based on performance measured against a range of performance indicators Long-term Incentive Long-term incentives include long service leave Long-term incentives include long service leave and share-based payments. Equity interest None Equity holdings and acquisition of shares in the Company under the employee share plans Notice Period Six months One month There are no retirement and termination benefits for Executive Directors or Executives apart from those that accrue from the relevant laws such as unpaid annual leave, superannuation, long service leave and notice of termination. The Group may consider payments on termination even though legally not required, to protect its rights if it is commercially beneficial to its interests.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 18 DIRECTORS’ REPORT (CONTINUED) AUDITED REMUNERATION REPORT (CONTINUED) Non-Executive Directors Fees and payments to Non -Executive Directors reflect the demands that are made on, and the responsibilities of, the Directors. The Board decides the total amount paid to each non-executive Director as remuneration for their services as a Director. Non -Executive Directors receive an annual fee, paid monthly. The fees are not linked to performance of the Company. However, to align Non-Executive Directors’ interest with shareholder interests, the Non-Executive Directors are encouraged to hold shares in the Company and are able to participate in the employee share option plan. Voting and comments made at the Company's 25th November 2025 Annual General Meeting ('AGM') At the 202 5 AGM, 97.6% of the votes received supported the adoption of the remuneration report for the year ended 2025. The Company did not receive any specific feedback at the AGM regarding its remuneration practices. The Group did not engage a remuneration consultant to provide recommendations in respect of the remuneration of KMP. Group performance Information about the Group’s earnings and movements in shareholder wealth for the past five years up to and including the current financial year are set out in the table below. Measure 2026 2025 2024 2023 2022 Revenue ($’000) 134,711 123,500 117,500 110,364 106,505 Net profit after tax ($’000) 37,191 35,440 31,330 21,087 19,563 Basic earnings per share 38.9 cps 37.2 cps 32.9 cps 22.2 cps 20.7 cps Dividends 26.0 cps 22.0 cps 17.0 cps 13.5 cps 11.0 cps Share price at 30 June ($) 10.30 19.16 12.03 13.77 13.73 Share buy-backs ($’000) 7,136 - 2,848 1,239 - Remuneration received by KMP is set out in the table below. Short-term Long-term Share- based payments (SBP) Post employ- ment Total % perform -ance related Value of SBP as % of remune- ration Salary and fees Bonus Other Leave entitle- ments Options and rights Super- annuation 2026 $ $ $ $ $ $ $ % % N Kingsbury 71,261 - - - - - 71,261 - - T Walls 279,504 - (6,174) 5,286 - 30,000 308,616 - - D Rasmussen 55,000 - - - - - 55,000 - - S Bool 63,636 - - - 33,450 7,636 104,722 - 31.9 % B Tregoning 359,016 26,663 1 10,485 17,694 192,138 30,000 635,996 4.2 % 30.1 % 1 Granted by the Board on 26 February 2026 and represents 16% bonus as a percentage of maximum achievable.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 19 DIRECTORS’ REPORT (CONTINUED) AUDITED REMUNERATION REPORT (CONTINUED) Remuneration received by KMP in the previous corresponding period is set out in the table below. Short-term Long-term Share- based payments (SBP) Post employ- ment Total % perform -ance related Value of SBP as % of remune- ration Salary and fees Bonus Other Leave entitle- ments Options and rights Super- annuation 2025 $ $ $ $ $ $ $ % % N Kingsbury 71,963 - - - - - 71,963 - - T Walls 249,296 - - 37,509 - 27,669 314,474 - - D Rasmussen 54,167 - - - - - 54,167 - - S Bool 63,636 - - - 33,450 7,318 104,404 - 32.0 % B Tregoning 350,763 60,338 1 1,342 10,901 329,532 29,932 782,808 7.7 % 42.1 % 1 Granted by the Board on 18 March 2025 and represents 40% bonus as a percentage of maximum achievable The bonuses in the above tables are short-term incentives fully vested to the Executive for that year. The cash bonuses are determined by the Board based on overall Group performance and achievement of financial and operational targets within individual areas of control. Refer table on page 17 for other key terms relating to short-term incentives. The fair value of options and rights ha s been determined using either Black-Scholes or Monte-Carlo Simulation option pricing models, taking into account the exercise price, the term of the option, the vesting criteria, the impact of dilution, the non-tradeable nature of the option, the price at grant date of the underlying share and the expected price volatility of that share, the expected dividend yield and the risk -free interest rate for the term of the option and rights. The value of the option or right at grant date is then amortised over the relevant vesting period. The value included in remuneration of key management personnel above relates to the amortised value of options and rights granted and vested. Refer to Note 2 8 for further details. Details of options over ordinary shares granted and vested for Directors or other KMP during the current year Directors and KMP Number of options at 30 June 2025 Number granted Number exercised Number of options at 30 June 2026 Vested and exercisable at 30 June 2026 Amount paid per share Amount unpaid on share B Tregoning 426,250 - (13,750) 412,5001 - $7.50 - Weighted average exercise price $14.61 - $7.50 $14.85 n/a n/a n/a Fair value per option n/a n/a $0.44 n/a n/a n/a n/a 1 Includes options that are exercisable in three remaining equal tranches with an exercise price of $14.85 per share and contain exercise restriction periods up to 15th December 2027. Share options are subject to restrictions dependent on length of service.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 20 DIRECTORS’ REPORT (CONTINUED) AUDITED REMUNERATION REPORT (CONTINUED) Details of movement in share rights for Directors or other KMP during the current year Directors and KMP Number of rights at 30 June 2025 Number granted Number exercised Number of rights at 30 June 2026 Grant date Fair value per right - granted Vested and exercisable at 30 June 2026 S Bool 5,000 - (5,000) -1 28/11/2022 n/a - B Tregoning - 3,620 (3,620) -1 22/07/2025 $19.05 - Exercise price n/a $nil $nil n/a n/a n/a n/a 1 Share rights vest subject to the relevant hold ers remaining employed or engaged as at the reporting date. There are no performance conditions attached to these rights. Shareholdings of Key Management Personnel KMP Number of shares at 30 June 2025 Share options exercised Rights exercised Shares sold Number of shares at 30 June 2026 T Walls 62,000,000 - - - 62,000,000 N Kingsbury 100,000 - - - 100,000 D Rasmussen 130,214 - - - 130,214 S Bool 130,000 - 5,000 (7,975) 127,025 B Tregoning 328,750 13,750 3,620 (79,861) 266,259 There were no loans to key management personnel during the financial year. Signed in accordance with a resolution of the Board of Directors. Tony Walls Director Date: 27 August 2026
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 21 CONSOLIDATED STATEMENT OF PROFIT OR LOSS FOR THE YEAR ENDED 30 JUNE 202 6 CONSOLIDATED Notes 2026 20251 $'000 $'000 Revenue 3 & 5 134,711 123,500 Cost of sales (7,669) (7,195) Gross profit 127,042 116,305 Distribution expenses (47,574) (43,376) Research and development expenses (16,350) (15,552) Administration and other operating expenses (9,396) (9,312) Depreciation and amortisation expenses 6 (8,686) (7,234) Finance costs (516) (582) Other (losses) / gains 6 (134) 935 Other income 70 189 Profit before income tax 3 & 6 44,456 41,373 Income tax expense 8 (7,265) (5,933) Profit for the year attributable to shareholders of Objective Corporation Limited 37,191 35,440 Cents Cents Basic earnings per share 4 38.9 37.2 Diluted earnings per share 4 38.4 36.6 The above consolidated statement of profit or loss should be read in conjunction with the accompanying notes.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 22 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 30 JUNE 202 6 CONSOLIDATED Notes 2026 2025 $'000 $'000 Profit for the year 37,191 35,440 Other comprehensive income Items that may be reclassified subsequently to profit or loss: Exchange differences on translation of foreign operations 22 (3,252) 521 Other comprehensive (loss) / income for the year, net of tax (3,252) 521 Total comprehensive income for the year 33,939 35,961 Total comprehensive income for the year attributable to shareholders of Objective Corporation Limited 33,939 35,961 The above consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 23 The above consolidated statement of financial position should be read in conjunction with the accompanying notes. CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 20 26 CONSOLIDATED Notes 2026 2025 $'000 $'000 Current assets Cash and cash equivalents 9 92,696 99,157 Trade and other receivables 11 5,976 9,880 Contract assets 12 2,353 2,093 Current tax assets - 556 Other assets 13 3,725 3,881 Total current assets 104,750 115,567 Non-current assets Property, plant and equipment 14 1,722 2,122 Right-of-use assets 15 7,907 9,384 Intangible assets 16 80,577 66,885 Other assets 13 7 6 Total non-current assets 90,213 78,397 Total assets 194,963 193,964 Current liabilities Trade and other payables 17 13,396 11,934 Contract liabilities 12 45,509 52,916 Lease liabilities 18 2,906 3,057 Current tax liabilities 1,410 - Provisions 19 6,901 6,408 Other liabilities 97 - Total current liabilities 70,219 74,315 Non-current liabilities Lease liabilities 18 6,710 8,387 Deferred tax liabilities 8 7,455 3,884 Provisions 19 1,110 1,187 Total non-current liabilities 15,275 13,458 Total liabilities 85,494 87,773 Net assets 109,469 106,191 Equity Share capital 20 16,692 13,857 Reserves 22 (20,784) (8,934) Retained earnings 113,561 101,268 Total equity 109,469 106,191
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 24 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 30 JUNE 202 6 CONSOLIDATED Notes Share capital Reserves Retained earnings Total $’000 $’000 $’000 $’000 As at 30 June 2024 12,385 (10,681) 90,597 92,301 Profit for the year - - 35,440 35,440 Exchange differences on translation of foreign operations 22 - 521 - 521 Total comprehensive income for the period - 521 35,440 35,961 Transactions with owners in their capacity as owners: Share-based payments 22 - 1,226 - 1,226 Share options exercised 20 1,472 - - 1,472 Dividends paid 10(b) & 21 - - (24,769) (24,769) Buy-back of ordinary shares 22 - - - - Treasury shares acquired and issued 20 & 22 - - - - Total transactions with owners in their capacity as owners 1,472 1,226 (24,769) (22,071) As at 30 June 2025 13,857 (8,934) 101,268 106,191 Profit for the year - - 37,191 37,191 Exchange differences on translation of foreign operations 22 - (3,252) - (3,252) Total comprehensive income for the period - (3,252) 37,191 33,939 Transactions with owners in their capacity as owners: Share-based payments 22 - 700 - 700 Share options exercised 20 673 - - 673 Dividends paid 10(b) & 21 - - (24,898) (24,898) Buy-back of ordinary shares 22 - (7,136) - (7,136) Treasury shares acquired and issued 20 & 22 2,162 (2,162) - - Total transactions with owners in their capacity as owners 2,835 (8,598) (24,898) (30,661) As at 30 June 2026 16,692 (20,784) 113,561 109,469 The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 25 CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 202 6 CONSOLIDATED Notes 2026 2025 $'000 $'000 Cash flows from operating activities Receipts from customers 141,517 131,465 Payments to suppliers and employees (93,369) (83,387) Interest received 3,586 2,759 Interest paid (515) (572) Income taxes paid, net (1,894) (4,005) Net cash inflow from operating activities 10(a) 49,325 46,260 Cash flows from investing activities Repayment of loans by employees - 8 Payment for acquisition of subsidiaries, net of cash acquired 1 (3,004) (94) Payments for intangibles 16 (17,431) (15,674) Payments for property, plant and equipment 14 (571) (587) Net cash outflow from investing activities (21,006) (16,347) Cash flows from financing activities Dividends paid 10(b) (24,828) (24,810) Repayment of lease liabilities 10(b) (2,973) (2,847) Payment for buy-back of shares (7,136) - Treasury shares acquired (62) (132) Proceeds from issue of shares 735 1,604 Net cash outflow from financing activities (34,264) (26,185) Net (decrease) / increase in cash and cash equivalents (5,945) 3,728 Cash and cash equivalents at the beginning of the financial year 99,157 95,979 Effects of exchange rate changes on cash and cash equivalents (516) (550) Cash and cash equivalents at end of the financial year 9 92,696 99,157 1 Made up of the purchase consideration for the acquisition of Isovist Holdings Limited in the amount of $4,350,000 (NZD 4,696,000) net of cash acquired of $1,346,000 (NZD 1,453,000) The above consolidated statement of cash flows should be read in conjunction with the accompanying notes.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 26 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 1 GENERAL INFORMATION Corporate information Objective Corporation Limited (“the Company”) is a limited company incorporated in Australia whose shares are publicly traded on the Australian Securities Exchange. The address of its registered office is Level 30, 177 Pacific Highway, North Sydney NSW 2060, Australia. This financial report includes the consolidated financial statements of Objective Corporation Limited and its controlled entities (“the Group”). Information about subsidiaries at 30 June 2026 is set out under Note 24. The Group is a ‘for profit’ entity and the principal activities for the Group’s various business areas are described in more detail in Note 3 Segment Information. The financial statements were approved by the Board of Directors and authorised for issue on 27 August 2026. Basis of preparation This financial report is a general purpose financial report which: • has been prepared in accordance with Australian Accounting Standards and the Corporations Act 2001 (Cth); • complies with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) and Interpretations as issued by the IFRS Interpretations Committee (IFRIC); • has been prepared on a historical cost basis except for certain items measured at fair value; • has been prepared on a going concern basis; • is presented in Australian dollars (AUD), which is the Group’s functional and presentation currency; and • is presented with values rounded to the nearest thousand dollars in accordance with ASIC Corporations (Rounding in Financial/Directors’ Reports) Instrument 2026/183. Where necessary, comparative information has been restated to conform to the current year’s disclosures (Refer Note 2). NOTE 2 MATERIAL ACCOUNTING POLICY INFORMATION Material accounting poli cies applied by the Group in the preparation of the consolidated financial statements are incorporated into the individual notes, and supplemented by the disclosures hereunder. The accounting policies applied are consistent with those of the previous financial year except for the adoption of new accounting standards, interpretations, or amendments.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 27 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 2 MATERIAL ACCOUNTING POLICY INFORMATION (CONTINUED) New or revised accounting standards In the current year , the Group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board that are mandatory for the current reporting period. None of these standards have had a material impact on the disclosures or on the amounts recognised in the consolidated financial statements. New standards and interpretations and amendments to existing standards and interpretations issued by the IASB, but not yet mandatory, have not been early adopted by the Group for the annual reporting period ended 30 June 2026. The Group’s assessment of the impact of these new or amended Accounting Standards and Interpretations, most relevant to the Group, are set out below. AASB 18 Presentation and Disclosure of Financial Statements This standard is applicable to annual reporting periods beginning on or after 1 January 2027 and early adoption is permitted. The standard replaces IAS 1 ‘Presentation of Financial Statements’, with many of the original disclosure requirements retained and there will be no impact on the recognition and measurement of items in the financial statements. But the standard will affect presentation and disclosure in the financial statements, including introducing five categories in the consolidated statement of profit or loss and other comprehensive income: operating, investing, financing, income taxes and discontinued operations. The standard introduces two mandatory sub -totals in the statement: ‘Operating profit’ and ‘Profit before financing and income taxes’. There are also new disclosure requirement for ‘management-defined performance measures’, such as earnings before interest, taxes, depreciation and amortisation (‘EBITDA’) or adjusted profit. The standard provides enhanced guidance on grouping of information (aggregation and disaggregation), including whether to present this information in the primary financial statements or in the notes. The Group will adopt this standard from 1 July 2027, and it is expected that there will be a significant change to the layout of the consolidated statement of profit or loss and consolidated statement of other comprehensive income. Basis of consolidation The consolidated financial statements have been prepared by aggregating the financial statements of all the entities that comprise the Group, being Objective Corporation Limited and its controlled entities. In these consolidated financial statements: • results of each controlled entity are included from the date Objective Corporation Limited obtains control and until such time as it ceases to control an entity; and • all inter-entity balances and transactions are eliminated. Control is achieved when Objective Corporation Limited is exposed to, or has rights to, variable returns from its involvement with an entity and has the ability to affect those returns through its power to direct the activities of the entity. Assets and liabilities in foreign subsidiaries, whose functional currencies differ from the presentation currency, are converted to AUD using the exchange rate in effect at the reporting date. Income and expenses from foreign companies are converted to AUD using the monthly average rate of exchange. All translation differences are recognised in other comprehensive income and accumulated in the foreign currency translation reserve. Foreign currency transactions and balances Transactions in foreign currency are converted at the exchange rate applicable on the transaction date. Monetary items in a foreign currency are converted to AUD using the exchange rate applicable on the balance sheet date. Changes to exchange rates are recognised in the consolidated statement of profit or loss as they occur during the accounting period.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 28 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 2 MATERIAL ACCOUNTING POLICY INFORMATION (CONTINUED) Significant judgments and key sources of estimation uncertainty Significant judgments and key assumptions that management has made in applying the Group's material accounting policies and that have a significant effect on the amounts recognised in the consolidated financial statements are: Note Judgement / Estimation 3, 5 Revenue from contracts with customers 11 Expected credit loss allowance 16 Capitalised development costs 14, 15, 16 Useful life for depreciable assets 15, 18 Lease terms and incremental borrowing rates 19, 27 Employee benefits assumptions and share-based remuneration 8 Income taxes 16 Impairment assessment The estimates and assumptions are based on the information available at the date of issuance of the consolidated financial statement s, historical experience and other factors, including expectations of future eve nts which are believed to be reasonable at that time. The actual results might differ from the estimates. NOTE 3 SEGMENT INFORMATION Operating and reportable segments The Group applies a ‘management approach’ to identify its segments, based on the information provided to the Group’s chief operating decision -makers (CODM). Accordingly, segment information is prepared on the basis of internal management reporting that is regularly reviewed by the CODM to assess the performance of the segment and make decisions regarding the allocation of resources. Within the Group, the function of the CODM is exercised by the CEO. The CODM assesses the financial performance of the Group on an integrated basis only, and accordingly the Group is managed on the basis of a single segment. Revenue by product group The revenue analysis presented to the CODM on a monthly basis is categorised by product group as below: CONSOLIDATED 2026 2025 $’000 $’000 Revenue by product group: Information Intelligence 87,853 83,392 Planning & Building 18,481 13,061 Regulatory Solutions 25,302 23,622 Total revenue from contracts with customers 131,636 120,075 Other revenue: Interest income 3,075 3,425 Total revenue 134,711 123,500
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 29 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 3 SEGMENT INFORMATION (CONTINUED) Product groups Description Information Intelligence Includes revenue from Objective Nexus , which allow s customers to manage information and process governance across the enterprise through either on - premise or cloud infrastructure. Also includes the revenue from the sale of Objective Connect products which enable customers to collaborate with external organisations with the security, information governance and auditability demanded by government and Objective Redact products which allow users to irreversibly remove sensitive information from any electronic document. It also i ncludes results from the sale of Objective Keystone products that improve efficiency and deliver governance in the process of authoring, reviewing, engaging with and publishing documents. Planning & Building Includes revenue from sales of Objective Build, a leading end -to-end building consenting solution, Objective Trapeze products which digitally transform development application plan reviews and assessments and Isoplan products. Regulatory Solutions Includes revenue from Objective RegWorks and Objective Reach products that are focused on the delivery of government regulation technology solutions, helping governments and regulators to productively carry out the essential work of delivering safety, regulation, compliance and enforcement outcomes that make our communities safer places to live. Revenue by geographic location A large amount of revenue is generated by customers that are global, from transactions that cross multiple countries and where the source of revenue can be unrelated to the location of the users accessing the software. CONSOLIDATED 2026 2025 $’000 $’000 Revenue by location: Australia 103,126 95,795 United Kingdom 16,275 14,095 New Zealand 14,268 12,060 Rest of the world 1,042 1,550 Total revenue 134,711 123,500 There were no customers contributing more than 10% of total revenue during the current and comparative period. The CODM continues to consider the financial position of the business from a geographical perspective and as such the assets and liabilities of the Group are presented by geographical region for both the year ended 30 June 2025 and the comparative period. Reportable segment assets and liabilities by geographic location 30 June 2026 Asia Pacific Europe Total $’000 $’000 $’000 Reportable segment assets 163,805 31,158 194,963 Reportable segment liabilities 74,066 11,428 85,494
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 30 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 3 SEGMENT INFORMATION (CONTINUED) Reportable segment assets and liabilities by geographic location (Continued) 30 June 2025 Asia Pacific Europe Total $’000 $’000 $’000 Reportable segment assets 162,700 31,264 193,964 Reportable segment liabilities 73,913 13,860 87,773 Reconciliation of non-current assets CONSOLIDATED 2026 2025 $’000 $’000 Non-current assets by location of assets Australia 59,411 48,924 United Kingdom 11,390 11,199 New Zealand 13,145 11,550 Rest of the world 6,267 6,724 Total non-current assets 90,213 78,397 NOTE 4 EARNINGS PER SHARE CONSOLIDATED 2026 2025 Net profit for the year attributable to the shareholders of Objective Corporation Limited ($’000) 37,191 35,440 Weighted average number of ordinary shares used in basic earnings per share 95,636,217 95,342,877 Effect of potentially dilutive shares 1,288,068 1,415,586 Weighted average number of ordinary shares used in diluted earnings per share 96,924,285 96,758,463 Basic earnings per share 38.9 cents 37.2 cents Diluted earnings per share 38.4 cents 36.6 cents NOTE 5 REVENUE FROM CONTRACTS WITH CUSTOMERS CONSOLIDATED 2026 2025 $’000 $’000 Revenue from contracts with customers 131,636 120,075 Other revenue: Interest income 3,075 3,425 Total revenue 134,711 123,500
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 31 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 5 REVENUE FROM CONTRACTS WITH CUSTOMERS (CONTINUED) Disaggregation of revenue from contracts with customers The Group’s revenue disaggregated by pattern of revenue recognition is as follows. CONSOLIDATED 2026 2025 $’000 $’000 Timing of revenue recognition: - products and services transferred at a point in time - - - products and services transferred over time 131,636 120,075 Total revenue from contracts with customers 131,636 120,075 Recognition and measurement – Revenue from contracts with customers Revenue from contracts with customers is recogni sed upon transfer of control of the promised goods or services to customers in an amount that reflects the consideration the Group expects to receive in exchange for those goods or services. The Group designs, develops and delivers specialised software solutions to assist predominantly public sector bodies to operate with increased effectiveness, transparency and efficiency through uptake of the Group ’s content, collaboration and process management solutions. From these activities, the Group generates the following streams of revenue: • Software licence or subscription revenue • Implementation and consulting revenue • Other ancillary fees such as hosting and support service fees Each of the above services delivered to customers is considered separate performance obligations, even though for practical expediency they may be governed by a single legal contract with the customer. Revenue recognition for each of the above revenue streams is as follows: Revenue stream Performance obligation Timing of recognition Software license revenue Access to software Software license revenue offered on a subscription basis is recognised over time based on an equal daily rate over the term of the contract as the customer simultaneously receives and consumes the benefit of accessing the software. Subscription c ustomers are typically invoiced annually in advance and prior to revenue recognition, which results in contract liabilities. The consideration is payable when invoiced. Implementation and consulting revenue As defined in the contract Professional service revenue billed on a time and materials basis is recognised over time as services are delivered. Revenue from providing services is recognised in the accounting period in which the services are rendered. Revenue is calculated based on time and materials.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 32 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 5 REVENUE FROM CONTRACTS WITH CUSTOMERS (CONTINUED) Revenue stream Performance obligation Timing of recognition Implementation and consulting revenue As defined in the contract For fixed-price contracts, revenue is recognised over time based on the extent of progress towards completion of the performance obligation, on a project‐by‐project basis. The method used to measure progress depends on the nature of the services. Revenue is recognised on the basis of time and materials incurred to date relative to the total budgeted inputs. The output method on the basis of milestones is used when the contractual terms align the Group’s performance with measurements of value to the customer. Revenue is recognised for services performed to date based on contracted rates and/or milestones that correspond to the amount the Group is entitled to invoice. Other ancillary fees Provision of hosting services, cloud services, support and maintenance services. Over time, depending on circumstances. Significant accounting estimates and judgements – revenue from contracts with customers Performance obligations The Group’s contracts with customers may include multiple performance obligations, such as software installation, licences and upgrade support. Management assesses whether each good or service is distinct and accounted for separately, should be combined with other goods or services, or forms part of a series of substantially similar goods or services transferred to the customer in the same pattern. Transaction price At contract inception, the Group estimates the transaction price, including variable consideration arising from performance against agreed key performance indicators. Variable consideration is included using the expected value method only to the extent that it is highly probable that reversals in the cumulative amount of revenue recognised will not occur in subsequent periods. The expected value method for estimating variable consideration is generally used where the Group has a large number of contracts with similar characteristics. The transaction price is allocated to each performance obligation based on the relative stand -alone selling prices of the distinct products or services, considering customer pricing, contract size and duration, and the Group’s overall go-to-market strategy. Contract modifications The Group’s contracts with customers may be modified for changes in specifications or requirements. Modifications that change enforceable rights and obligations are accounted for as an adjustment to revenue, either prospectively as a separate or replacement contract, through a cumulative catch -up adjustment, or a combination of these approaches, depending on the nature of the modification. For contracts involving a series of distinct goods or services recognised over time, modifications are treated prospectively.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 33 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 5 REVENUE FROM CONTRACTS WITH CUSTOMERS (CONTINUED) Contract modifications (Continued) Judgement is applied in relation to the accounting for such modifications where the final terms or legal contracts have not been agreed prior to the period end as management need to determine if a modification has been approved and if it either creates new or changes existing enforceable rights and obligations of the parties. Depending upon the outcome of such negotiations, the timing and amount of revenue recognised may be different in the relevant accounting periods. Modification and amendments to contracts are undertaken via an agreed formal process. For example, if a change in scope has been approved but the corresponding change in price is still being negotiated, management use their judgement to estimate the change to the total transaction price. Importantly any variable consideration is only recognised to the extent that it is highly probable that no revenue reversal will occur. NOTE 6 PROFIT AND LOSS ITEMS CONSOLIDATED 2026 2025 Expenses: $’000 $’000 Depreciation expenses – property, plant and equipment (924) (1,017) Depreciation expenses – right-of-use assets (2,705) (2,831) Amortisation expenses– intangible assets (5,057) (3,386) Expected credit loss reversal – trade receivable and contract assets - 146 Interest expense – lease liabilities (503) (567) Other finance costs (13) (15) Other short term lease expenses (35) (34) Employee benefits expense (68,787) (64,509) Superannuation expense (5,902) (5,346) Share-based payments expense (700) (1,226) Net foreign exchange (losses) / gains (133) 935 Merger and acquisition costs (119) (441) NOTE 7 AUDITOR ’S REMUNERATION CONSOLIDATED 2026 2025 $ $ Pitcher Partners Audit and review of financial statements 198,500 188,500 Total remuneration of Pitcher Partners 198,500 188,500 Non-Pitcher Partners Audit and review of financial statements 41,577 43,242 Tax compliance and accounting services 8,163 8,544 Total remuneration of non-Pitcher Partners 49,740 51,786 Audit fee is included in Administration and Other Operating Expenses on the face of the consolidated statement of profit or loss. Pitcher Partners is the auditor of the Group.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 34 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 8 INCOME TAXES (a) Components of income tax expense CONSOLIDATED 2026 2025 $’000 $’000 Current tax expense on profits for the year 3,861 2,722 Deferred tax expense related to movements in deferred tax balances 3,290 3,163 Income tax under provided in prior years 114 48 Income tax expense 7,265 5,933 (b) Reconciliation of income tax expense to prima facie tax payable CONSOLIDATED 2026 2025 $’000 $’000 Profit before income tax expense 44,456 41,373 Prima facie income tax expense calculated at the tax rate of 30% 13,337 12,412 Tax effect of amounts which are not deductible / (taxable) in calculating taxable income: Amortisation expenses - intangibles 93 113 Share-based payment expenses 210 368 Other non-allowable deductions 71 405 Subtotal 13,711 13,298 Different tax rates of subsidiaries operating in other jurisdictions (190) (267) Adjustments for current tax of prior periods 114 48 Research and development tax credit (3,971) (3,957) Tax effect of cash contributions to employee share trust (2,399) (2,346) Recoupment in the current year of previously unrecognised tax losses - (412) Previously unrecognised tax losses now recognised as deferred tax assets - (431) Income tax expense 7,265 5,933 (c) Deferred tax balances as disclosed in the consolidated statement of financial position CONSOLIDATED 2026 2025 $’000 $’000 Deferred tax assets arising on deductible temporary differences 3,328 3,355 Deferred tax liabilities arising on taxable temporary differences (10,783) (7,239) Total net deferred tax liabilities (7,455) (3,884)
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 35 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 8 INCOME TAXES (CONTINUED) (d) Movement in deferred tax balances CONSOLIDATED Opening balance Acquisition of subsidiary Charged to profit or loss Foreign currency translation Closing balance At 30 June 2026 $’000 $’000 $’000 $’000 $’000 Property, plant and equipment 359 - 97 (2) 454 Unrealised foreign exchange 25 - (36) - (11) Employee benefits provision 2,086 - 133 (9) 2,210 Rent incentive provision 230 - (173) (1) 56 Deferred expenditures for tax purposes 7 - - - 7 Other individually insignificant balances 217 - 37 - 254 Tax losses 431 - 7 (91) 347 Intangibles (6,845) (234) (3,508) 55 (10,532) Accrued interest income (394) - 153 1 (240) Total net deferred tax liabilities (3,884) (234) (3,290) (47) (7,455) At 30 June 2025 $’000 $’000 $’000 $’000 $’000 Property, plant and equipment 373 - (9) (5) 359 Unrealised foreign exchange - - 25 - 25 Employee benefits provision 1,977 - 136 (27) 2,086 Rent incentive provision 150 - 83 (3) 230 Deferred expenditures for tax purposes 33 - (26) - 7 Other individually insignificant balances 299 - (86) 4 217 Tax losses - - 431 - 431 Intangibles (3,486) - (3,406) 47 (6,845) Accrued interest income (84) - (311) 1 (394) Total net deferred tax liabilities (738) - (3,163) 17 (3,884) (e) Tax losses CONSOLIDATED 2026 2025 $’000 $’000 Unused tax losses for which no deferred tax asset has been recognised 30 37 Potential tax benefit 5 6 Recognition and measurement Income tax expense or credit is calculated on the basis of the tax laws enacted or substantively enacted at the reporting date in the countries where the Group operates and generates taxable income. Current tax payable is recognised as a liability (or asset) to the extent that it is unpaid (or refundable) and expected to be settled (or refunded) within twelve months of the year-end date.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 36 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 8 INCOME TAXES (CONTINUED) Recognition and measurement (continued) Current tax assets and tax liabilities are offset where the entity has a legally enforceable right to offset and intends to either settle on a net basis or to realise the asset and settle the liability simultaneously. Current and deferred tax is recognised in the consolidated statement of profit or loss. Deferred tax is determined using the balance sheet liability method for temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are recognised for all deductible temporary differences and the carry forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profits will be available against which the deductible temporary differences and the carry forward of unused tax credits and unused tax losses can be utilised. Deferred taxes are not recognised for the initial recognition of goodwill; the initial recognition of assets or liabilities, outside of a business combination, that affect neither accounting nor taxable profit, and do not give rise to equal taxable and deductible temporary differences. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be used. Deferred tax assets and liabilities are offset in the consolidated financial statements when there is a legally enforceable right to offset current tax assets and liabilities and when the deferred tax balances relate to the same taxation authority. Tax consolidation Objective Corporation Limited (the parent entity) and its wholly owned Australian resident subsidiaries formed a tax - consolidated group pursuant to Australian taxation law with effect from 1 July 2002 and are therefore taxed as a single entity from that date. Objective Corporation Limited is the head entity in the tax-consolidated group. Tax expense/credit, 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 the ‘standalone taxpayer’ approach by reference to the carrying amounts in the separate financial statements of each entity and the tax values applying under tax consolidation. Current tax liabilities and assets and deferred tax assets arising from unused tax losses and tax credits of the tax - consolidated group are recognised by the head entity in the tax consolidated group. Uncertain tax positions The Group’s income tax assets and liabilities are based on interpretations of income tax legislation across various jurisdictions, primarily in Australia, New Zealand, United Kingdom and United States. The Group’s effective tax rate can change from year to year based on the mix of income among jurisdictions, changes in tax laws in these jurisdictions, and changes in the estimated value of deferred tax assets and liabilities. The Group’s income tax expense reflects an estimate of the taxes it expects to pay for the current year, as well as a provision for changes arising in the values of deferred tax assets and liabilities during the year. The tax value of these assets and liabilities is impacted by factors such as accounting estimates inherent in these balances, management’s expectations about future operating results, and differing interpretations of tax regulations by the taxable entity and the responsible tax authorities. Uncertainties exist with respect to the interpretation of complex tax regulations and the amount and timing of deferred taxable income. Where the final tax outcome of these matters is different from the estimated amounts, such differences will impact the current and, where recognised, deferred tax provisions in the period in which such determination is made.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 37 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 202 6 NOTE 8 INCOME TAXES (CONTINUED) Uncertain tax positions (Continued) The Group exercises judgement in determining whether deferred tax assets, like tax losses, are probable of recovery. Factors considered include the ability to offset tax losses within the groups of entities in different tax jurisdictions, the nature of the tax loss, the length of time that tax losses are eligible for carry forward to offset against future taxable profits and whether future taxable profits are expected to be sufficient to allow recovery of deferred tax assets. NOTE 9 CASH AND CASH EQUIVALENTS CONSOLIDATED 2026 2025 $’000 $’000 Cash at bank and on hand 92,696 99,157 Total cash and cash equivalents1 92,696 99,157 1 The cash and cash equivalents disclosed above and in the consolidated statement of cash flows include $ 1,928,000 (2025: $1,760,000) in highly liquid investments which are restricted for use and held as security for rental guarantee. Refer Note 23 and 29 for further details. Cash and cash equivalents comprise cash , bank balances and term deposits that are readily convertible to a known amount of cash throughout their term and subject to an insignificant risk of change in value assessed against the amount at inception. NOTE 10 CASH FLOW INFORMATION (a) Reconciliation of profit for the year to net cash inflow from operating activities CONSOLIDATED 2026 2025 $’000 $’000 Profit for the year 37,191 35,440 Adjustments: Depreciation and amortisation expenses 5,981 4,403 Depreciation of right-of-use assets 2,705 2,831 Non-cash employee benefits expense – share-based payments 700 1,226 Other insignificant non-cash adjustments 54 (82) Credit loss reversal – trade receivables and contract assets - (146) Change in operating assets and liabilities: Decrease / (increase) in trade and other receivables 4,321 (5,562) Decrease / (increase) in other operating assets 176 (1,255) (Increase) / decrease in contract assets (260) 688 Increase in trade and other payables 1,209 2,010 (Decrease) / increase in contract liabilities (8,543) 4,414 Increase / (decrease) in current tax balances 2,009 (1,218) Increase in deferred tax balances 3,362 3,147 Increase in provisions 324 364 Increase in other liabilities 96 - Net cash inflow from operating activities 49,325 46,260
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 38 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 10 CASH FLOW INFORMATION (CONTINUED) (b) Reconciliation of movements in liabilities to cash flows arising from financing activities CONSOLIDATED Dividends payable 1 Lease liabilities Total 30 June 2026 $’000 $’000 $’000 Opening balance at 1 July 2025 180 11,444 11,624 Cash flows from financing activities (24,828) (2,973) (27,801) Dividends declared (Note 21) 24,898 - 24,898 Additions arising from new leases, net of interest - 1,311 1,311 Foreign exchange movement - (166) (166) Total liabilities from financial activities 250 9,616 9,866 30 June 2025 Opening balance at 1 July 2024 221 13,448 13,669 Cash flows from financing activities (24,810) (2,847) (27,657) Dividends declared (Note 21) 24,769 - 24,769 Additions arising from new leases, net of interest - 691 691 Foreign exchange movement - 152 152 Total liabilities from financial activities 180 11,444 11,624 1 Dividends payables are included as part of the Trade and other payables balance on the consolidated statement of financial position. (c) Non-cash investing and financing activities CONSOLIDATED 2026 2025 $’000 $’000 Additions to the right of use assets 1,354 1,043 Leasehold improvements – lease make good - 42 Shares issued under employee share plan 700 1,226 Total non-cash investing and financing activities 2,054 2,311 NOTE 11 TRADE AND OTHER RECEIVABLES CONSOLIDATED 2026 2025 $’000 $’000 Trade receivables 5,378 8,037 Other receivables 635 1,884 Sub-total 6,013 9,921 Expected credit loss allowance (a) (37) (41) Total trade and other receivables, net 5,976 9,880
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 39 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 11 TRADE AND OTHER RECEIVABLES (CONTINUED) (a) Movement in expected credit loss allowance is as follows: CONSOLIDATED Trade receivables Contract assets Total 30 June 2026 $’000 $’000 $’000 Balance at beginning of the year 41 - 41 Foreign currency translation (4) - (4) Total expected credit loss allowance at year end 37 - 37 30 June 2025 Balance at beginning of the year 187 245 432 Net re-measurement of expected credit loss allowance (146) - (146) Write-offs against contract assets - (245) (245) Total expected credit loss allowance at year end 41 - 41 Recognition and measurement Trade and other receivables are recognised initially at fair value and subsequently measured at amortised cost, less any expected credit loss allowance. The Group applies the simplified approach to measuring expected credit losses which uses a lifetime expected loss allowance for all trade receivables. Expected credit losses are measured by grouping trade receivables and contract assets based on shared credit risk characteristics and the days past due. A provision matrix is then determined based on the Group ’s historical collection and loss experience and incorporates forward-looking factors, where appropriate. Classification as trade and other receivables Trade receivables are generally due for settlement within 30 days and therefore are all classified as current. The ageing of the Group’s trade and other receivables at reporting date together with impairment and other accounting policies for trade and other receivables are outlined in Note 23. NOTE 12 CONTRACT ASSETS AND CONTRACT LIABILITIES CONSOLIDATED 2026 2025 Current $’000 $’000 Contract assets 2,353 2,093 Contract liabilities 45,509 52,916
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 40 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 12 CONTRACT ASSETS AND CONTRACT LIABILITIES (CONTINUED) Changes in contract balances during the current year are: Contract assets Contract liabilities $’000 $’000 Balance at the beginning of the year 2,093 (52,916) Addition from acquisition of subsidiary (Note 25) - (1,136) Transfer from contract assets to trade receivables (2,093) - Write-offs against expected credit loss allowance - - Revenue recognised for work performed but not yet billed 2,385 - Transfer from contract liabilities to contract assets 1 - 497 Revenue recognised during the year that was included in contract liabilities at the beginning of the year - 52,916 Increase due to cash received, excluding amount recognised during the year - (47,139) Foreign currency translation (32) 2,270 Balance at the end of the year at gross 2,353 (45,509) Changes in contract balances during the prior year are: Balance at the beginning of the year 3,027 (48,502) Transfer from contract assets to trade receivables (2,782) - Write-offs against expected credit loss allowance (245) - Revenue recognised for work performed but not yet billed 2,047 - Transfer from contract assets to contract liabilities 1 - 2,947 Revenue recognised during the year that was included in contract liabilities at the beginning of the year - 48,671 Increase due to cash received, excluding amount recognised during the year - (55,552) Foreign currency translation 46 (480) Balance at the end of the year at gross 2,093 (52,916) 1 In fixed-price contracts, the customer pays the fixed amount based on an agreed payment schedule. If the services rendered by the Grou p exceed the payment received, a contract asset is recognised. If the payments received exceed the services rendered, a contract liability is recognised. represented Recognition and measurement Contract assets relate to unbilled receivable balances which have not yet been invoiced and balances arise when the revenue has been recognised as a result of the fulfilment of a contractual obligation and before the customer has made a payment or before the conditions for invoicing and thus for recognising a receivable are present. These are generally related to consultancy or services projects. Contract liabilities consist of billings or payments received in advance of revenue recognition from subscription services, including non -cancellable and non -refundable committed funds and deposits. Customers are typically invoiced for these agreements in regular instalments and revenue is recognised on a straight -line basis over the contractual subscription period or as the performance obligations under contracts with customers are satisfied. Contract liability does not represent the total contract value of annual or multi -year non -cancellable subscription agreements.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 41 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 12 CONTRACT ASSETS AND CONTRACT LIABILITIES (CONTINUED) Unsatisfied performance obligations The Group applies the practical expedient in the revenue standard and does not disclose information about the remaining performance obligation on contracts that have an original expected duration of one year or less or where the Group has the right to consideration from a customer in an amount that corresponds directly to the value transferred to customer, typically involving time and material based contracts. The aggregate amount of contract liabilities of the performance obligations that are unsatisfied at 30 June 202 6 was $45,509,000 (2025: $52,916,000) and is expected to be recognised as revenue within the next twelve months. NOTE 1 3 OTHER ASSETS CONSOLIDATED 2026 2025 $’000 $’000 Current assets Prepayments 3,697 3,853 Rental deposits 28 28 Total other assets 3,725 3,881 Non-current assets Other assets 7 6 Total other assets 3,732 3,887 NOTE 1 4 PROPERTY, PLANT AND EQUIPMENT CONSOLIDATED Plant and equipment Leasehold improvements Motor vehicles Total 30 June 2026 $’000 $’000 $’000 $’000 Gross carrying amount – cost 9,790 6,486 65 16,341 Accumulated depreciation (8,316) (6,238) (65) (14,619) Total property, plant and equipment, net 1,474 248 - 1,722 Represented by: Net carrying amount at 1 July 2025 1,703 419 - 2,122 Additions recognised on business combination (Note 25) 3 - - 3 Additions 571 - - 571 Depreciation expenses (769) (155) - (924) Foreign exchange differences (34) (16) - (50) Net carrying amount at 30 June 2026 1,474 248 - 1,722
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 42 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 1 4 PROPERTY, PLANT AND EQUIPMENT (CONTINUED) CONSOLIDATED Plant and equipment Leasehold improvements Motor vehicles Total 30 June 2025 $’000 $’000 $’000 $’000 Gross carrying amount – cost 9,518 6,611 72 16,201 Accumulated depreciation (7,815) (6,192) (72) (14,079) Total property, plant and equipment, net 1,703 419 - 2,122 Represented by: Net carrying amount at 1 July 2024 2,006 500 4 2,510 Additions recognised on business combination - - - - Additions 572 42 - 614 Depreciation expenses (888) (125) (4) (1,017) Foreign exchange differences 13 2 - 15 Net carrying amount at 30 June 2025 1,703 419 - 2,122 Estimated useful life 2-10 years 2-7 years or shorter of lease term 5-8 years Recognition and measurement Property, plant and equipment are recorded at cost less accumulated depreciation and any impairment losses. All repair and maintenance costs are recognised in the consolidated statement of profit or loss as incurred. Significant accounting estimates and judgements - depreciation methods and useful lives Depreciation is calculated using the straight -line method to allocate their cost, net of their residual values, over their estimated useful lives. Estimates of remaining useful lives , residual values and depreciation methods require significant management judgement, are reviewed annually, and where changes are made, their effects are accounted for on a prospective basis. NOTE 15 RIGHT -OF-USE ASSETS Movements in the net carrying amount of right-of-use assets during the year are presented below: CONSOLIDATED 2026 2025 Buildings $’000 $’000 Gross carrying amount – cost 26,629 25,916 Accumulated amortisation (18,722) (16,532) Total right-of-use assets, net 7,907 9,384
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 43 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 15 RIGHT-OF-USE ASSETS (CONTINUED) Movements in the net carrying amount of right-of-use assets during the year are presented below: CONSOLIDATED 2026 2025 Buildings $’000 $’000 Movement in balance: Net carrying amount at 1 July 9,384 11,056 Additions – new leases 1 1,354 1,043 Depreciation of right-of-use assets (2,705) (2,831) Foreign exchange differences (126) 116 Net carrying amount at 30 June 7,907 9,384 1 Lease incentives received are deducted from this initial value in the measurement of the right-of-use asset. The Group leases office premises in the ordinary course of its business. The Group’s office premises leases comprise office building leases in eleven cities across Australia, New Zealand, United Kingdom and United States of America. The non-cancellable period of the leases ranges from 5 to 10 years with variable options to extend the lease terms . The lease payments are adjusted every year, based on contractual fixed percentage increases and in one instance additionally increased by the prevailing consumer price index (“CPI”) at the lease review date. Recognition and measurement At the lease commencement date, the Group recognises a right -of-use asset equal to the measurement of the lease liability less any lease incentives received, and a lease liability measured at the present value of future lease payments. As the interest rate implicit in the lease is not readily determinable, the Group uses its incremental borrowing rate to measure the lease liability. The right-of-use asset is subsequently depreciated using the straight- line method from the commencement date to the earlier of the end of the useful life of the right -of-use asset or the end of the lease term. In addition, the right -of- use asset is periodically assessed for impairment losses, and adjusted for certain remeasurements of the lease liability resulting from lease modifications. Where the lease is subject to periodic adjustments based on consumer price indexes , the Group remeasures the lease liability with an unchanged discount rate and recognises the adjustment against the right -of-use asset. The adjustment is recognised when the change in payments is in effect. The Group has elected to exempt leases that have a shorter duration than one year and leases where the value of the underlying asset is considered insignificant . Costs in leasing contracts for offices that relate to the provision of services such as outgoings, maintenance and utilities are identified and treated separately as non-lease components. These costs are expensed as incurred. Significant accounting estimates and judgements – incremental borrowing rates and lease terms The incremental borrowing rate is determined for each lease using interest rates acquired from external financing sources and adjusted by management, as appropriate, to provide a borrowing rate that is representative of a collateralised amortising loan.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 44 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 15 RIGHT -OF-USE ASSETS (CONTINUED) Significant accounting estimates and judgements – incremental borrowing rates and lease terms At year end, t here are four leases with options to renew for a further term ranging from 5 to 7 years. The Group determines the lease term as the non -cancellable period of a lease, together with periods covered by an option to extend or an option to terminate if it is reasonably certain to exercise an extension option or to not exercise a termination option. Management considers all facts and circumstances that create an economic incentive to exercise an extension option or to not exercise a termination option. This judgment is based on factors such as contract rates compared to market rates, economic reasons, significance of leasehold improvements, termination and relocation costs. NOTE 1 6 INTANGIBLE ASSETS Capitalised development costs Other intangibles Goodwill Total 30 June 2026 $’000 $’000 $’000 $’000 Gross carrying amount – cost 47,075 5,567 41,020 93,662 Accumulated amortisation (9,053) (4,032) - (13,085) Total intangible assets, net 38,022 1,535 41,020 80,577 Represented by: Net carrying amount at 1 July 2025 25,527 1,276 40,082 66,885 Internally generated development costs 17,431 - - 17,431 Additions recognised on business combination (Note 25) - 820 3,348 4,168 Amortisation expenses (4,681) (376) - (5,057) Foreign exchange differences (255) (185) (2,410) (2,850) Net carrying amount at 30 June 2026 38,022 1,535 41,020 80,577 30 June 2025 Gross carrying amount – cost 29,934 5,069 40,082 75,085 Accumulated amortisation (4,407) (3,793) - (8,200) Total intangible assets, net 25,527 1,276 40,082 66,885 Represented by: Net carrying amount at 1 July 2024 12,684 1,553 39,170 53,407 Internally generated development costs 15,674 - - 15,674 Amortisation expenses (2,994) (392) - (3,386) Foreign exchange differences 163 115 912 1,190 Net carrying amount at 30 June 2025 25,527 1,276 40,082 66,885 Expected useful life 2-10 years 1-10 years Indefinite
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 45 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 16 INTANGIBLE ASSETS (CONTINUED) Recognition and measurement (Continued) Research costs are expensed in the period in which they are incurred. Capitalised development costs represent the up-front costs of developing new products or enhancing existing products to meet customer needs. Development costs are capitalised when it is probable that the project will be a success considering its commercial and technical feasibility; the Group is able to use or sell the asset; the Group has sufficient resources and intent to complete the development; and its costs can be measured reliably. The costs remain in work -in-progress during the development phase and are transferred to capitalised development costs when products are considered ready for their intended use. A portion of software development within the Group occurs contemporaneously with the research phase and ongoing operating and maintenance activities in supporting core customer systems. Where the expenditure related to the development activity cannot be reliably measured, these are expensed in the period they are incurred. Development costs are capitalised when it is probable that the project will be a success considering its commercial and technical feasibility, and the costs can be measured reliably. The key judgements relate to: ● determining the portion of the internal salary and on -costs that are directly attributable to development of the Group’s product suite and software; and ● identifying and assessing the technical feasibility of completing the intangible asset and generating future economic benefits Critical accounting estimates and judgements – asset impairment Intangible assets with finite lives are amortised on a straight-line basis over their estimated useful lives. Useful lives are reassessed each period. Assessments of useful lives and estimates of remaining useful lives require significant management judgement. The useful lives could change significantly as a result of technical innovations or some other event. The amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or items no longer in use will be written off or written down. The Group tests intangible assets for impairment to ensure they are not carried at above their recoverable amounts: • at least annually for goodwill and intangible assets with indefinite lives; and • where there is an indication that the assets may be impaired (which is assessed at least each reporting date or whenever events or changes in circumstances indicate that the carrying amount may not be recoverable).
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 46 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 16 INTANGIBLE ASSETS (CONTINUED) Critical accounting estimates and judgements – asset impairment (Continued) These tests for impairment are performed by assessing the recoverable amount of each individual asset or, if this is not possible, then the recoverable amount of the cash generating unit (CGU) to which the asset belongs. CGUs are the lowest levels at which assets are grouped and generate separately identifiable cash inflows. The recoverable amount is the higher of an asset or a CGU’s fair value less costs of disposal and value in use. The value in use calculations are based on discounted cash flows expected to arise from the asset. Management judgment is required in these valuations to forecast future cash flows and a suitable discount rate to calculate the present value of these future cash flows. The carrying value of goodwill is allocated to the Group’s cash generating units (“CGU”) identified as follows: 2026 2025 $’000 $’000 Objective Keystone 6,226 6,785 Objective Build 1 8,827 9,970 Objective Regulatory Solutions 16,720 16,720 Objective Information Intelligence (2025: Objective Content Solutions) 9,247 6,607 Total goodwill 41,020 40,082 1 CGU in New Zealand. During the current year, the Group rebranded Objective Content Solutions to Objective Information Intelligence. The initiative reflects a considered effort to modernize brand expression, enhance market clarity and sharpen brand identity. All comparative disclosures remain fully consistent with prior year. The recoverable amount of each CGU is determined based on a value-in-use calculation, which applies a two -year cash flow projection model with a terminal value. The model uses cash flow projections based on a one-year financial budget approved by management, with a subsequent year of forecast growth applied. Year-two growth assumptions of 20% (2025: 20%) have been applied to Objective Regulatory Solutions and Objective Build CGUs whilst 5% and 10% (2025: 5% and 10% ) have been applied for Objective Keystone and Objective Information Intelligence respectively. Beyond this period, a long-term growth rate of 5% (2025: 5%) and a uniform discount rate of 15.5% (2025: 15.5%) has been adopted for all CGUs. In assessing the value of the CGU, the estimated future cash flows are discounted to their present value using a p ost-tax discount rate of 15.5 % (2025 : 15.5%). Sensitivity analysis performed indicates that if the expected cash flows were to decrease by up to 5 % for each CGU, there would be no impairment. The current financial forecasts used in the calculation are determined by management based on past performance and its expectations for market development and include a number of initiatives designed to drive incremental sales and increased margins as well as reduce the costs of doing business. Management have assessed that the CGUs are sensitive to reasonably possible changes in the cash flow forecasts covering a period of one year and believe that any reasonably foreseeable changes in any of the above key assumptions would not cause the carrying amount of goodwill to exceed the recoverable amount.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 47 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 1 7 TRADE AND OTHER PAYABLES CONSOLIDATED 2026 2025 $’000 $’000 Trade payables and accruals 9,738 8,096 Goods and services tax payable, net 3,411 3,658 Dividends payable 247 180 Total trade and other payables 13,396 11,934 NOTE 18 LEASE LIABILITIES CONSOLIDATED 2026 2025 $’000 $’000 Current lease liabilities 2,906 3,057 Non-current lease liabilities 6,710 8,387 Total lease liabilities 9,616 11,444 The Group’s average incremental borrowing rate used is 4.79% (2025: 4.36%). Lease payments included in the measurement of the lease liability are made up of fixed payments (including in - substance fixed), variable payments based on an index or rate and payments arising from options reasonably certain to be exercised. Subsequent to initial measurement, the liability will be reduced for payments made and increased for interest. It is remeasured to reflect any reassessment or modification, or if there are changes in in -substance fixed payments. When the lease liability is remeasured, the corresponding adjustment is reflected in the right -of-use asset, or consolidated statement of profit or loss if the right-of-use asset is already reduced to zero. Future minimum lease payments at 30 June 2026 are: CONSOLIDATED Minimum lease payments Finance charges Total 30 June 2026 $’000 $’000 $’000 Within 1 year 3,302 (396) 2,906 1-2 years 2,755 (272) 2,483 2-3 years 1,860 (170) 1,690 3-4 years 1,742 (88) 1,654 4-5 years 870 (16) 854 After 5 years 29 - 29 Net carrying amount at 30 June 2026 10,558 (942) 9,616
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 48 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 18 LEASE LIABILITIES (CONTINUED) Future minimum lease payments at 30 June 2025 are: CONSOLIDATED Minimum lease payments Finance charges Total 30 June 2025 $’000 $’000 $’000 Within 1 year 3,513 (456) 3,057 1-2 years 3,071 (330) 2,741 2-3 years 2,434 (220) 2,214 3-4 years 1,534 (136) 1,398 4-5 years 1,496 (66) 1,430 After 5 years 611 (7) 604 Net carrying amount at 30 June 2025 12,659 (1,215) 11,444 NOTE 19 PROVISIONS CONSOLIDATED 2026 2025 $’000 $’000 Current Employee benefits 6,901 6,408 Total current provisions 6,901 6,408 Non-current Employee benefits 637 715 Other provisions - 473 472 Total non-current provisions 1,110 1,187 Total provisions 8,011 7,595 Recognition and measurement A provision is recognised when the Group has a present legal or constructive obligation as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation, and a reliable estimate can be made as to the amount of the obligation. The amount recognised is the best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the risks and uncertainties surrounding the obligation. A provision is made for benefits accruing to employees in respect of annual leave and long service leave. Liabilities expected to be settled within 12 months are measured at their nominal values using the remuneration rate expected to apply at the time of settlement. Liabilities which are not expected to be settled within 12 months are measured as the present value of the estimated future cash outflows to be made by the Group in respect of services provided by employees up to the reporting date.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 49 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 19 PROVISIONS (CONTINUED) Significant accounting estimates and judgements – employee benefits assumptions In estimating the value of employee benefits, consideration is given to expected future salary and wage levels (including on-cost rates), experience of employee departures and periods of service. The assumptions are reviewed periodically and given the nature of the estimate, reasonably possible changes in assumptions are not considered likely to have a material impact. Where a provision is measured using the cash flows estimated to settle the obligation, the cash flows are discounted using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. Discount rates are reviewed periodically and given the nature of the estimate, reasonably possible changes are not considered likely to have a material impact. NOTE 20 ISSUED CAPITAL CONSOLIDATED 2026 2025 Number of shares $’000 Number of shares $’000 Share capital 95,606,053 fully paid ordinary shares (2025: 95,592,996) Movement: Opening balance 95,592,996 13,857 95,090,246 12,385 Share options exercised by employees 1 400,020 673 502,750 1,472 Buy-back of shares 2 (586,963) - - - Shares issued to OCL Trust 3 200,000 2,162 - - Closing balance 95,606,053 16,692 95,592,996 13,857 1 Represents proceeds from share issues associated with limited recourse loans issued under the Objective Employee Incentive Plan and the Objective Employee Equity Plan (Refer Note 28) 2 The payment for share buy-backs is recognised in a share buy-back reserve within equity. 3 Represents ordinary shares held by the Objective Corporation Limited Employee Share Trust as at 30 June 2026 as Treasury Shares (Refer Note 22) Share capital Holders of ordinary shares are entitled to receive dividends as declared and are entitled to one vote per share at shareholders’ meetings. In the event of winding up of the Company, ordinary shareholders rank after all other creditors and are fully entitled to any proceeds on liquidation. The ordinary shares have no par value and the Company does not have a limited amount of authorised capital. Capital raising costs are deducted from contributed equity.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 50 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 20 ISSUED CAPITAL (CONTINUED) Options issued during the year under the Employee Incentive Plan The Company issues employee share options pursuant to the Employee Incentive Plan. Under the terms and conditions of the current Employee Incentive Plan, selected employees are granted the right to acquire shares at a nominated exercise price subject to agreed service and performance criteria (i.e. vesting conditions) being satisfied. On satisfaction of the vesting conditions the shares are issued to the employee with the exercise price being financed by a limited recourse loan. No amount is paid or payable by the employee on receipt of these shares. Dividends declared and paid on the issued shares are for the benefit of the employee. The employee is not permitted to deal in the shares until the limited recourse loan has been repaid. The value of the limited recourse loans and issue price of the shares are not recorded as loans receivable or share capital of the Company until repayment or part repayment of the loans occur. The Employee Incentive Plan shares are entitled to dividends. The dividends are applied to reduce the loans and increase share capital in accordance with both the current terms of the Employee In centive Plan and AASB 2: Share-based Payment. Each option entitles the holder to the right to acquire one ordinary share at the nominated exercise price during the period commencing on the available for exercise date of the options. The OCL Trust Employee Equity Plan On 22 December 2021, the Group established The Objective Corporation Limited Employee Share Trust (OCL Trust) and appointed Certane CT Pty Ltd to administer the Group’s employee share schemes as the Trustee of the Trust for the purposes of holding certain shares in the Company on trust for the benefit of the participants in the Objective Employee Incentive Plan and Objective Employee Equity Plan. The OCL Trust is consolidated, as the substance of the relationship is that the trust is controlled by the Group. Through contributions to the OCL Trust, the Group purchases shares in the Company. Shares acquired are held by the OCL Trust, are disclosed as Treasury shares and adjusted against treasury share reserve. Refer Note 28 for further details. NOTE 21 DIVIDENDS AND FRANKING CREDITS (a) Dividends Dividend type Cents per share Franking Total amount $’000 Date paid / payable 2026 Final franked 1 8.0 100% 7,649 14/09/2026 2026 Final unfranked 1 5.0 Nil 4,781 15/09/2026 2026 Interim unfranked 13.0 Nil 12,468 17/03/2026 2025 Final unfranked 13.0 Nil 12,430 16/09/2025 2025 Interim unfranked 9.0 Nil 8,590 17/03/2025 1 The final fully franked dividends and final unfranked dividends for the year ended 30 June 202 6 have not been recognised in this financial report because it was resolved to be paid after 30 June 2026. (b) Franking credits 2026 2025 $’000 $’000 The balance of franking credit account at balance date adjusted for the payment of current tax liability / receipt of current tax asset 3,516 3,285
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 51 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 22 RESERVES CONSOLIDATED Treasury share reserve Share buy- back reserve Share-based payments reserve Foreign currency translation reserve Total At 30 June 2026 $’000 $’000 $’000 $’000 $’000 Opening balance - (14,535) 6,182 (581) (8,934) Share-based payment - - 700 - 700 Shares issued to OCL Trust and held in Treasury (2,162) - - - (2,162) Buy-back of shares - (7,136) - - (7,136) Translation of foreign operations - - - (3,252) (3,252) Closing balance (2,162) (21,671) 6,882 (3,833) (20,784) At 30 June 2025 Opening balance - (14,535) 4,956 (1,102) (10,681) Share-based payment - - 1,226 - 1,226 Shares issued to OCL Trust and held in Treasury - - - - - Buy-back of shares - - - - - Translation of foreign operations - - - 521 521 Closing balance - (14,535) 6,182 (581) (8,934) Treasury shares reserve Treasury shares are ordinary shares in the Company held by OCL Trust in respect of employee equity plan awards to employees. The OCL Trust is a controlled entity and is consolidated by the Group. Shares issued to, or otherwise held by, the OCL Trust are accounted for as treasury shares and presented as a deduction from total equity through the Treasury Share Reserve. Where treasury shares are subsequently allocated or transferred to participants under the Group's employee equity plans, the corresponding balance in the Treasury Share Reserve is reversed within equity. Share buy-back reserve The share buy-back reserve represents the value of the Company’s shares which were purchased and subsequently cancelled. The cancellation of the shares creates a non-distributable reserve. Foreign currency translation reserve Exchange differences arising on translation of the financial statements of the Group’s foreign controlled entities into Australian dollars are in other comprehensive income and accumulated in a separate reserve within equity. Share-based payments reserve The share-based payments reserve is used to recognise the share- based payments expense resulting from the value of share options issued to key management personnel and employees under the Group’s Employee Incentive Plan and Objective Employee Equity Plan. Further information about share-based payments to employees is made in Note 28.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 52 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 23 FINANCIAL RISK MANAGEMENT AND FAIR VALUES Exposure to credit, liquidity, interest rate and currency risks arises in the normal course of the Group’s business. The Group’s exposure to these risks and the financial risk management policies and practices used by the Group to manage these risks are described below. (a) Credit risk Financial assets which potentially subject the Group to credit risk consist principally of cash, short- term deposits , trade debtors and contract assets . The Group’s deposits and cash are placed with major financial institutions with sound credit ratings. Trade debtors and contract assets are presented net of the allowance for expected credit losses. Credit risk with respect to trade debtors is limited due to the large number of customers comprising the Group’s customer base are government organisations or their diverse dispersion across different industries and geographical areas. Accordingly, the Group has no significant concentration of credit risk. The Group manages credit risks by monitoring credit ratings and limiting the aggregate risk to any individual counterparty. The recoverability of trade debtors and contract assets at 30 June 2026 have been assessed and an amount of $37,000 has been estimated as expected credit loss allowance in accordance with AASB 9 (Refer Note 11(a)). The below table summarises the Group’s exposure to credit risk at the end of the reporting period: CONSOLIDATED 2026 2025 $’000 $’000 Cash and cash equivalents1 92,696 99,157 Trade and other receivables, at gross 6,013 9,921 Contract assets, at gross 2,353 2,093 Ageing analysis of trade and other receivables and contract assets is as follows: Fully performing debts 5,239 8,201 Past due more than 30 days 2,150 3,183 Past due more than 60 days 558 209 Past due more than 90 days 419 421 Total 8,366 12,014 1 The Group held cash and cash equivalents with banks and financial institution counterparties , the majority of which are rated AA- (long term) to F1+ (short term), based on Fitch ratings. AA ratings denote expectations of very low default risk and F1 indicates the strongest capacity for timely payment of financial commitments relative to other issuers or obligations in the same country. Where the liquidity profile is particu larly strong, a "+" is added to the assigned rating. (b) Currency risk The Group is exposed to foreign currency risk primarily as a result of operations in the Asia Pacific region, the United Kingdom, Singapore and the United States of America. The Group also has transactional currency exposures arising from sales and purchases that are denominated in currencies other than the functional currency of the operations to which they relate. The currencies giving rise to foreign currency risk are primarily denominated in Pounds Sterling (“GBP”), United States dollars (“USD”), New Zealand dollars (“NZD”), Singapore dollars (“SGD”) and Euro (EUR). The Group’s exposure to the movement in foreign exchange rates is partly mitigated by a natural hedge arising from operations in these countries. The Group regularly monitors its foreign currency exposure which includes considering the level of cash in foreign currency and cash flow forecasting.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 53 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 23 FINANCIAL RISK MANAGEMENT AND FAIR VALUES (CONTINUED) (b) Currency risk (Continued) The summary quantitative data about the Group’s exposure to foreign currency risk is as follows: 30 June 2026 GBP NZD SGD USD EUR A$’000 A$’000 A$’000 A$’000 A$’000 Cash and cash equivalents 46 2,088 3 176 26 Trade and other receivables - 565 9 333 - Trade and other payables - - - 216 - Impact on group’s profit or loss after tax if exchange rate had moved by 10%, with all other variables unchanged 3 169 1 46 2 30 June 2025 GBP NZD SGD USD EUR A$’000 A$’000 A$’000 A$’000 A$’000 Cash and cash equivalents 34 2,486 3 446 28 Trade and other receivables - 464 9 1 - Trade and other payables - - - 60 - Impact on group’s profit or loss after tax if exchange rate had moved by 10%, with all other variables unchanged 2 188 1 32 2 (c) Interest rate risk The Group’s cash and cash equivalents are subject to interest rate fluctuations. At reporting date if interest rates had been 1% higher or lower and all other variables were held constant, the Group’s profit or loss after tax would increase or decrease by $649,000 (2025: $694,000). (d) Liquidity The tables below present the Group’s financial liabilities into relevant maturity groupings based on their contractual maturities for all non -derivative financial liabilities. The amounts disclosed in the table are the contractual undiscounted cash flows. CONSOLIDATED Less than 1 year 1-5 years 5+ years Total contractual cashflows Carrying amount of liabilities 30 June 2026 $’000 $’000 $’000 $’000 $’000 Trade and other payables 13,396 - - 13,396 13,396 Lease liabilities 3,302 7,227 29 10,558 9,616 Contingent consideration - 97 - 97 97 Total non-derivatives 16,698 7,324 29 24,051 23,109
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 54 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 23 FINANCIAL RISK MANAGEMENT AND FAIR VALUES (CONTINUED) (d) Liquidity (Continued) CONSOLIDATED Less than 1 year 1-5 years 5+ years Total contractual cashflows Carrying amount of liabilities 30 June 2025 $’000 $’000 $’000 $’000 $’000 Trade and other payables 11,934 - - 11,934 11,934 Lease liabilities 3,513 8,535 611 12,659 11,444 Contingent consideration - - - - - Total non-derivatives 15,447 8,535 611 24,593 23,378 As the Group is in a net financial assets position, the Directors are of the opinion that the Group will be able to pay off its debts as and when they are due and payable. Capital management Management controls the capital of the Group in order to maintain a sustainable debt to equity ratio, generate long‑term shareholder value and ensure that the Group can fund its operations and continue as a going concern. The Group’s capital and debt include ordinary share capital and financial liabilities, supported by financial assets. Management effectively manages the Group’s capital by assessing the Group’s financial risks and adjusting its capital structure in response to changes in these risks and in the market. These responses include the management of cash levels, distributions to shareholders and share issues. The total equity of the Group at 30 June 2026 was $109,469,000 (2025: $106,191,000) and total cash and cash equivalents at 30 June 2026 were $92,696,000 (2025: $99,157,000). The Group is not subject to any externally imposed capital requirements. NOTE 2 4 SUBSIDIARIES AND OTHER CONTROLLED ENTITIES The consolidated financial statements incorporate the assets, liabilities and financial results of the following subsidiaries and other controlled entities in accordance with the accounting policies of the Group. Name of subsidiary Country of Incorporation Ownership 2026 2025 Objective RegTech Pty Limited Australia 100% 100% Isovist Australia Pty Limited Australia 100% - Objective Corporation Solutions NZ Limited New Zealand 100% 100% Objective Corporation Singapore Pte Limited Singapore 100% 100% Objective Corporation North America Inc United States of America 100% 100% Objective Corporation UK Limited United Kingdom 100% 100% GoCouncil Limited New Zealand 50% 50% The Objective Corporation Limited Employee Share Trust Australia n/a n/a On 30 June 2026, the Company completed the amalgamation of all its subsidiaries in New Zealand to streamline the Group’s compliance activities in New Zealand. Objective Corporation Solutions NZ Limited has assumed the operations of all amalgamating entities from 1 July 2026.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 55 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 25 BUSINESS COMBINATIONS (a) Acquisitions in the current year On 1 July 2025, the Group acquired 100% of the issued capital of Isovist Holdings Limited, a specialist provider of e- planning software for local government that transforms planning from a static document- based process to a dynamic digital solution. The acquisition of the business was strategic as it enhances the Group’s product offering. The total consideration for the transaction was $4, 350,000 (NZD 4,696,000), net of cash acquired of $1,346,000 (NZD 1,453,000). The acquired net identifiable assets were $1,002,000, giving rise to goodwill of $3,348,000. Details of the purchase consideration, the net identifiable assets acquired and goodwill arising from the acquisition of Isovist Holdings Limited, at the acquisition date are as follows: $’000 Fair value of purchase consideration in the form of cash payments 4,350 Assets acquired and liabilities assumed: Cash and bank balances 1,346 Trade and other receivables 417 Current tax assets 41 Other current assets 22 Property, plant and equipment 3 Other intangibles 820 Trade and other payables (184) Contract liabilities (1,136) Deferred tax liabilities (234) Provisions (93) Fair value of net assets acquired 1,002 Goodwill arising on acquisition 3,348 Reconciliation of purchase consideration to statement of cash flow $’000 Fair value of purchase consideration in the form of cash payments 4,350 Less: cash and bank balances acquired (1,346) Purchase consideration, net of cash and bank balances acquired 3,004 The goodwill is attributable to key employees, future growth opportunities and synergies from combining operations with Isovist Holdings Limited. The goodwill is not deductible for tax purposes. Revenue and profit contribution From the date of acquisition to 30 June 2026, the acquired entity contributed a total revenue of $ 2,125,000. The business has been integrated into the Group’s existing activities and it is not practicable to precisely identify the impact on the Group profit in the year. During the year ended 3 0 June 2026, transaction costs of $119,000 relating to business combinations were recognised as an expense in the consolidated statement of profit or loss.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 56 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 6 PARENT ENTITY DISCLOSURES (a) Summary statement of financial position 2026 2025 $’000 $’000 Current assets 75,266 77,086 Non-current assets 72,108 65,994 Total assets 147,374 143,080 Current liabilities 59,669 75,769 Non-current liabilities 10,878 6,102 Total liabilities 70,547 81,871 Share capital 16,691 13,857 Reserves (16,945) (8,348) Retained earnings 77,081 55,700 Total equity 76,827 61,209 (b) Summary statement of profit or loss and other comprehensive income 2026 2025 $’000 $’000 Profit for the year 46,279 23,540 Total comprehensive income for the year 46,279 23,540 NOTE 2 7 RELATED PARTY DISCLOSURES The parent entity in the Group is Objective Corporation Limited. Interests in subsidiaries are set out under Note 24. Details of transactions between the Group and other related parties are disclosed below. (a) Key management personnel remuneration Total remuneration paid or payable to Directors and key management personnel is set out below: CONSOLIDATED 2026 2025 $ $ Short-term employee benefits 859,391 851,505 Long-term employee benefits 22,980 48,410 Post-employment benefits 67,636 64,919 Share-based payments expense 225,588 362,982 Total remuneration paid or payable 1,175,595 1,327,816 Details of remuneration and the Objective Corporation Limited equity holdings of Directors and other key management personnel are shown in the Remuneration Report on pages 16 to 20.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 57 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 7 RELATED PARTY DISCLOSURES (CONTINUED) (b) Other transactions with Directors or other key management personnel Other transactions entered into during the financial year with Directors of Objective Corporation Limited and other key management personnel of the Group and with their closely related entities which are within normal customer or employee relationships on terms and conditions no more favourable than those available to other customers, employees or shareholders included: • contracts of employment (refer Remuneration Report) and reimbursement of expenses; • equity holdings and acquisition of shares in Objective Corporation Limited under the employee share plans; and • dividends from shares in Objective Corporation Limited. (c) Other related parties No material amounts were receivable from, or payable to, other related parties as at 30 June 202 6 (2025: nil), and no material transactions with other related parties occurred during the year. NOTE 28 SHARE-BASED PAYMENTS Objective Corporation Limited operates two share-based payment plans: • Objective Employee Incentive Plan • Objective Employee Equity Plan Employee Incentive Plan (EIP) The Objective Employee Incentive Plan (EIP) was approved at the 2003 Annual General Meeting of the Company. The EIP is described as follows: Offers Under the EIP, the Board may offer to any employee either options to acquire shares or loans to acquire shares in the Company. Tony Walls, Chief Executive Officer will not be participating in the EIP. The options expire ten years after the date of grant and are subject to service and performance conditions ; however, they are not exercisable until one year after grant and released in four equal tranches on each anniversary of grant date. If a participant under the EIP ceases to be employed by the Company, any unexercised option will be forfeited. Price The Board has discretion to grant options for a fee and set the exercise price and term of the options. Quotation Options issued under the EIP will not be quoted on the ASX. Where the Company issues options and the options are exercised, the Company will apply to have the issued shares quoted on the ASX. Maximum number of shares or options The Company must not issue shares or options to any employee if to do so would contravene applicable laws or result in any employee holding an interest in more than 5% of the shares in the Company. Sales restrictions Options issued under the EIP are not transferable. Shares acquired under the EIP are not transferable unless any loan to acquire the shares has been repaid in full. New shares All shares issued on the exercise of options will rank equally with all existing shares from the date of issue.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 58 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) Dividends All shares acquired pursuant to the EIP rank equal in all respects and will be entitled to any dividends declared by the Company. Any dividends paid on shares acquired under the EIP will be offset against the loan balance outstanding to acquire shares under the EIP. Restrictions The Board may impose vesting and performance conditions before which options cannot be exercised or the shares sold. The options issued pursuant to the EIP will usually lapse and the loans to acquire shares will usually become repayable if the holder ceases to be an employee. Participation in future issues Under the Employee Incentive Plan's rules, the number of shares over which an option is granted and or the exercise price of the options may be altered in the event of a reconstruction of the Company’s share capital or a bonus or rights issue of shares to shareholders. Shares acquired under the EIP will rank equal in all respects with existing shares. Loans The Board has discretion to provide a loan for the acquisition of shares in the Company under terms and conditions as set out in the loan agreement. Fair value of share options granted under the EIP in the year No share options were granted under the EIP during the year ended 30 June 2026 (2025: Nil). Movement in share options under the EIP during the year The following reconciles the share options outstanding under the EIP at the beginning and end of the current year: Grant date Expiry date Option exercise price ($) Balance 1 July 2025 Granted Exercised Forfeited / cancelled Balance 30 June 2026 01/01/2019 01/01/2029 $2.75 100,000 - (58,750) - 41,250 01/07/2020 01/07/2030 $7.50 218,750 - (13,750) - 205,000 318,750 - (72,500) - 246,250 Weighted average exercise price $6.01 - $3.65 - $6.70 Weighted average share price at date of exercise $15.67 Exercisable 276,250 237,500
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 59 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) Movement in share options under the EIP during the prior year The following reconciles the share options outstanding under the EIP at the beginning and end of the prior year: Grant date Expiry date Option exercise price ($) Balance 1 July 2024 Granted Exercised Forfeited / cancelled Balance 30 June 2025 24/02/2015 24/02/2025 $1.17 125,000 - (125,000) - - 01/01/2019 01/01/2029 $2.75 246,250 - (146,250) - 100,000 01/07/2020 01/07/2030 $7.50 291,250 - (72,500) - 218,750 04/01/2021 31/01/2025 $12.50 - - - - - 662,500 - (343,750) - 318,750 Weighted average exercise price $4.54 - $3.18 - $6.01 Weighted average share price at date of exercise $15.70 Exercisable 620,000 276,250 The share options outstanding under the EIP at the end of the year had a weighted average remaining contractual life of 3.75 years (2025: 4.54 years). Employee Equity Plan (EEP) The Objective Employee Equity Plan (EEP) was approved at the 2021 Annual General Meeting of the Company and is governed by the EEP Rules. Under the EEP, the Company may grant Rights, Options and restricted shares (i.e., shares subject to disposal restrictions until service- based vesting conditions are met) (collectively, Awards). Rights and Options granted under the EEP are indeterminate rights for tax purposes as the Board has the discretion to settle Rights and Options granted under the Plan in cash. Under the EEP, there are 39,325 Rights (granted for n o consideration to Participants with vesting subject to a service-based vesting condition) that remain outstanding at balance date. Subject to vesting condition being met, the Rights become exercisable to acquire Company shares (or a cash payment of equivalent value, at the Board’s discretion). As at the date of this annual report, the exercise price of Rights granted under the EEP is nil. Awards granted during the current year under the EEP ha ve been classified as an equity -settled share -based payment arrangement. The fair value at grant date of equity- settled share-based payment transactions is expensed over the vesting period with a corresponding increase shared -based payment reserve in equity, taking into account the best available estimate of the number of shares expected to vest under the service and performance conditions. For awards that contain graded service condition periods, the Company recognises the estimated share- based payment expense on a graded -vesting basis over a requisite service period of one to five years . The Company estimates the expected service condition fulfilment and recognises the share-based payment expense only for those awards expected to meet the service condition . This estimate is reassessed by management each reporting period and may change based upon new facts and circumstances. Changes in assumptions impact the total amount of expense and are recognised over the service condition period.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 60 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) Fair value of share options granted in the year Fair value of share options granted during the year ended 30 June 2026 are provided in the table below: Number of options granted Grant date Expiry date Fair value at grant date ($) Exercise price ($) Risk free interest rate (%) Expected volatility (%) Dividend yield (%) 20,000 14/07/2025 31/12/2029 $4.80 $17.99 3.60% 30% 1.5% No new share options were granted under the EEP during the year ended 30 June 2025. The fair values of awards are determined using Black -Scholes or Monte-Carlo Simulation option pricing model s where market conditions exist, taking into consideration the terms and conditions upon which the options were granted. Assumptions for expected volatility and dividend yield were based on daily observations for historic data. Inputs for risk free rate and grant date share price were determined by the prevailing prices on the date of issue. Movement in share options under the EEP The following reconciles the share options outstanding under the EEP at the beginning and end of the current year: Grant date Expiry date Exercise price ($) Balance 1 July 2025 Granted Exercised Forfeited / cancelled Balance 30 June 2026 24/02/2022 30/04/2027 $14.85 100,000 - - - 100,000 29/09/2023 01/01/2028 $10.35 965,000 - (239,250) - 725,750 29/09/2023 01/01/2028 $10.35 178,500 - (20,000) (15,000) 143,500 29/09/2023 01/01/2028 $14.85 412,500 - - - 412,500 30/01/2024 01/01/2028 $12.00 40,000 - - - 40,000 22/02/2024 01/01/2028 $12.00 100,000 - (50,000) - 50,000 14/07/2025 31/12/2029 $17.99 - 20,000 - - 20,000 1,796,000 20,000 (309,250) (15,000) 1,491,750 Weighted average exercise price $11.76 - $10.62 - $12.09 Weighted average share price at date of exercise $16.91 Exercisable 87,875 458,625
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 61 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) The following reconciles the share options outstanding under the EEP at the beginning and end of the prior year: Grant date Expiry date Exercise price ($) Balance 1 July 2024 Granted Exercised Forfeited / cancelled Balance 30 June 2025 24/02/2022 30/04/2027 $14.85 100,000 - - - 100,000 29/09/2023 01/01/2028 $10.35 965,000 - - - 965,000 29/09/2023 01/01/2028 $10.35 187,500 - (9,000) - 178,500 29/09/2023 01/01/2028 $14.85 550,000 - (137,500) - 412,500 30/01/2024 01/01/2028 $12.00 40,000 - - - 40,000 22/02/2024 01/01/2028 $12.00 100,000 - - - 100,000 1,942,500 - (146,500) - 1,796,000 Weighted average exercise price $11.97 - $14.57 - $11.76 Weighted average share price at date of exercise $14.86 Exercisable at end of the year 25,000 87,875 The share options outstanding under the EEP at the end of the year had a weighted average remaining contractual life of 1.47 years (2025: 2.47 years). Share rights granted in the year Fair value of share rights granted under the EEP during the year ended 30 June 2026 are: Rights issued Fair value at grant date Number Expiry date Exercisable at $nil $18.18 1,375 31/12/2029 Exercisable at $nil $19.05 3,620 31/10/2030 Total rights issued 4,995 Weighted average exercise price $nil Fair value of share rights granted under the EEP during the year ended 30 June 2025 are: Rights issued Fair value at grant date Number Expiry date Exercisable at $nil $15.31 5,510 28/10/2029 Exercisable at $nil $17.69 3,000 31/12/2026 Total rights issued 8,510 Expiry date Weighted average exercise price $nil
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 62 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) Movement in share rights under the EEP The following reconciles the share rights outstanding under the EEP at the beginning and end of the current year: Grant date Expiry date Exercise price ($) Balance 1 July 2025 Granted Exercised Forfeited / cancelled Balance 30 June 2026 22/12/2021 22/12/2026 - 27,000 - (5,500) - 21,500 21/03/2022 21/03/2027 - 4,000 - (3,000) - 1,000 28/02/2022 28/02/2027 - 5,000 - (5,000) - - 28/11/2022 02/11/2027 - 5,000 - (5,000) - - 29/09/2023 01/01/2028 - 15,850 - (1,150) - 14,700 23/05/2025 31/12/2026 - 750 - - - 750 22/07/2025 31/12/2029 - - 1,375 - - 1,375 21/10/2025 31/10/2030 - - 3,620 (3,620) - - 57,600 4,995 (23,270) - 39,325 Weighted average exercise price $nil $nil $nil $nil $nil Weighted average share price at date of exercise $14.61 Exercisable 26,275 29,400 The following reconciles the share rights outstanding under the EEP at the beginning and end of the prior year: Grant date Expiry date Exercise price ($) Balance 1 July 2024 Granted Exercised Forfeited / cancelled Balance 30 June 2025 22/12/2021 22/12/2026 - 37,500 - (9,000) (1,500) 27,000 21/03/2022 21/03/2027 - 4,000 - - - 4,000 28/02/2022 28/02/2027 - 5,000 - - - 5,000 28/11/2022 02/11/2027 - 7,500 - (2,500) - 5,000 29/09/2023 01/01/2028 - 17,100 - (1,250) - 15,850 28/10/2024 28/10/2029 - - 5,510 (5,510) - - 23/05/2025 31/12/2026 - - 3,000 (2,250) - 750 71,100 8,510 (20,510) (1,500) 57,600 Weighted average exercise price $nil $nil $nil $nil $nil Weighted average share price at date of exercise $16.80 Exercisable 19,500 26,275
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 63 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2026 NOTE 2 8 SHARE-BASED PAYMENTS (CONTINUED) Recognition and measurement The Group provides benefits to employees (including Directors) in the form of share -based payment transactions, whereby employees render services in exchange for shares or rights over shares (equity -settled transactions). The Group has two plans in place that provide these benefits. It is the Employee Incentive Plan and the Employee Equity Plan. The cost of these equity-settled transactions with employees is measured by reference to the fair value at the date at which they are granted. The fair value is determined by using a Black & Scholes or Monte-Carlo Simulation option pricing models. The cost of equity- settled transactions is recognised in the consolidated statement of profit or loss, together with a corresponding increase in equity, over the period in which the performance and/or service conditions are fulfilled (the vesting period), ending on the date on which the relevant employees become fully entitled to the award. At each subsequent reporting date until the end of the service condition period , the cumulative charge to the consolidated statement profit or loss is the product of (i) the grant date fair value of the award; (ii) the current best estimate of the number of awards that will vest, taking into account such factors as the likelihood of employee turnover during the service condition period; and (iii) the expired portion of the service condition period. The charge to the consolidated statement of profit or loss for the period is the cumulative amount as calculated above, less the amounts already charged in previous periods. There is a corresponding credit to equity. NOTE 2 9 CONTINGENT LIABILITIES CONSOLIDATED 2026 2025 $’000 $’000 Contingent liabilities, capable of estimation, arise in respect of the following categories: Bank guarantees 1,928 1,760 Total contingent liabilities 1,928 1,760 Bank guarantees are issued to contract counterparties in the normal course of business as security for the performance by Group entities of various contractual obligations. Additionally, a performance guarantee has been provided by the Company to Objective Corporation UK Limited (subsidiary) with regards to the provision of software support services for customers. NOTE 30 SUBSEQUENT EVENTS Subsequent to year end, the Group was advised that the Australian Department of Defence would not renew its Objective ECM Upgrade and Support Program agreement from 1 July 2026. The agreement contributed revenue of $8,252,000 for the year ended 30 June 2026. All revenue recognisable under this contract ceased on 30 June 2026. For dividends resolved to be paid after 30 June 2026, refer to Note 21. There has not arisen in the interval between 30 June 2026 and the date of this report, any other matter or circumstance that has significantly affected or may significantly affect the operations of the Group, the results of those operations or the state of affairs of the Group in subsequent financial years.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 64 CONSOLIDATED ENTITY DISCLOSURE STATEMENT AS AT 30 JUNE 2026 Body corporates Tax residency Entity name Entity type Place formed or incorporated % of share capital held Australian or foreign Foreign jurisdiction Objective Corporation Limited Body corporate Australia N/A Australian N/A Objective RegTech Pty Limited 3 Body corporate Australia 100% Australian N/A Isovist Australia Pty Limited Body corporate Australia 100% Australian N/A Isovist Holdings Limited 1 Body corporate New Zealand 100% Foreign New Zealand Isovist Limited 1 Body corporate New Zealand 100% Foreign New Zealand Objective Corporation Solutions NZ Limited 2 Body corporate New Zealand 100% Foreign New Zealand Objective Corporation Singapore Pte Limited Body corporate Singapore 100% Foreign Singapore Objective Corporation North America Inc Body corporate United States of America 100% Foreign United States of America Objective Corporation UK Limited Body corporate United Kingdom 100% Foreign United Kingdom The Objective Corporation Limited Employee Share Trust Trust N/A N/A Australian N/A GoCouncil Limited Body corporate New Zealand 50% Foreign New Zealand 1 On 30 June 2026, the Company completed the amalgamation of all its subsidiaries in New Zealand to streamline the Group’s compliance activities in New Zealand. Objective Corporation Solutions Limited has assumed the operations of all amalgamating entities (Isovist Holding s Limited and Isovist Limited) from 1 July 2026. 2 Participant in the GoCouncil Limited joint venture which is consolidated in the consolidated financial statements. 3 This entity is part of a tax consolidated group under Australian taxation law, for which Objective Corporation Limited is the head entity. At the end of the financial year, no entity (other than identified above) within the consolidated entity was a trustee of a trust within the consolidated entity, a partner in a partnership within the consolidated entity, or a participant in a joint venture within the consolidated entity. Basis of preparation This consolidated entity disclosure statement (CEDS) has been prepared in accordance with the Corporations Act 2001 and includes information for each entity that was part of the consolidated entity as at the end of the financial year in accordance with AASB 10 Consolidated Financial Statements. Determination of tax residency Section 295 (3A)(vi) of the Corporations Act 2001 defines tax residency as having the meaning in the Income Tax Assessment Act 1997. The determination of tax residency involves judgement as there are different interpretations that could be adopted, and which could give rise to a different conclusion on residency. In determining tax residency, the consolidated entity has applied the following interpretations: Australian tax residency The consolidated entity has applied current legislation and judicial precedent, including having regard to the Tax Commissioner's public guidance in Tax Ruling TR 2018/5 and PCG 2018/9.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 65 CONSOLIDATED ENTITY DISCLOSURE STATEMENT (CONTINUED) AS AT 30 JUNE 2026 Determination of tax residency (Continued) Foreign tax residency Where necessary, the consolidated entity has used independent tax advisers to assist in its determination of tax residency to ensure applicable foreign tax legislation has been complied with (see section 295(3A)(vii) of the Corporations Act 2001). Partnerships and trusts Australian tax law generally does not contain corresponding residency tests for partnerships and trusts and these entities are typically taxed on a flow-through basis. Additional disclosures on the tax status of partnerships and trusts have been provided where relevant.
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OBJECTIVE CORPORATION LIMITED AND ITS CONTROLLED ENTITIES Objective Corporation Limited ABN 16 050 539 350 Page 66 DIRECTORS’ DECLARATION The Directors of the Company declare that: 1. The attached financial statements and notes set out on pages 21 to 63 are in accordance with the Corporations Act 2001 (Cth); and (a) Comply with Australian Accounting Standards and the Corporations Regulations 2001; (b) As stated in Note 1, the consolidated financial statements also comply with International Financial Reporting Standards; (c) Give a true and fair view of the financial position of the Group as at 30 June 2026 and its performance for the year ended on that date; (d) The consolidated entity disclosure statement set out on pages 64 to 65 is true and correct; and (e) This declaration has been made after receiving the declarations required to be made by the chief executive officer and chief financial officer to the directors in accordance with section 295A of the Corporations Act 2001 for the financial year ended 30 June 2026. 2. In the Directors’ opinion, there are reasonable grounds to believe that the Group will be able to pay its debts as and when they become due and payable. This declaration is made in accordance with a resolution of Directors. Tony Walls Director Date: 27 August 2026
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Pitcher Partners Sydney ABN 17 795 780 962 Level 16, Tower 2 Darling Park 201 Sussex Street Sydney NSW 2000 Postal address GPO Box 1615 Sydney NSW 2001 +61 2 9221 2099 sydneypartners@pitcher.com.au pitcher.com.au Pitcher Partners is an association of independent firms. Pitcher Partners Sydney ABN 17 795 780 962. Liability limited by a scheme approved under Professional Standards Legislation. Pitcher Partners is a member of the global network of Baker Tilly International Limited, the members of which are separate and independent legal entities. Adelaide | Brisbane | Melbourne | Newcastle | Perth | Sydney Auditor's Independence Declaration To the Directors of Objective Corporation Limited In relation to the independent audit for the year ended 30 June 2026 to the best of my knowledge and belief there have been: a. no contraventions of the auditor independence requirements of the Corporations Act 2001; and b. no contraventions of APES 110 Code of Ethics for Professional Accountants (including Independence Standards). This declaration is in respect of Objective Corporation Limited and the entities it controlled during the year. Nathan Balban Partner Pitcher Partners Sydney 27 August 2026 Page 67
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Pitcher Partners is an association of independent firms. Pitcher Partners Sydney ABN 17 795 780 962. Liability limited by a scheme approved under Professional Standards Legislation. Pitcher Partners is a member of the global network of Baker Tilly International Limited, the members of which are separate and independent legal entities. Adelaide | Brisbane | Melbourne | Newcastle | Perth | Sydney Pitcher Partners Sydney ABN 17 795 780 962 Level 16, Tower 2 Darling Park 201 Sussex Street Sydney NSW 2000 Postal address GPO Box 1615 Sydney NSW 2001 +61 2 9221 2099 sydneypartners@pitcher.com.au pitcher.com.au Independent Auditor’s Report To The Members of Objective Corporation Limited ABN 16 050 539 350 Report on the Audit of the Financial Report Opinion We have audited the financial report of Objective Corporation Limited (“the Company”) and its controlled entities (“the Group”), which comprises the consolidated statement of financial position as at 30 June 2026, the consolidated statement of profit or loss, the consolidated statement of comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows for the year then ended, and notes to the financial statements including material accounting policy information, the consolidated entity disclosure statement and the directors’ declaration. In our opinion, the accompanying financial report of the Group is in accordance with the Corporations Act 2001, including: a. giving a true and fair view of the Group’s financial position as at 30 June 2026 and of its financial performance for the year then ended; and b. complying with Australian Accounting Standards and the Corporations Regulations 2001. 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 are independent of the Group in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of APES 110 Code of Ethics for Professional Accountants (including Independence Standards) issued by the Accounting Professional and Ethical Standards Board (“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. We confirm that the independence declaration required by the Corporations Act 2001, which has been given to the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor’s report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 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 of the current period. These 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. Page 68
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Pitcher Partners Sydney ABN 17 795 780 962 An association of independent firms Key Audit Matter How our audit addressed the Key Audit Matter Revenue from Contracts with Customers The Group applies AASB 15 Revenue from Contracts with Customers to account for the following material revenue streams: • Software licence revenue; • Implementation and consulting revenue; and • Other ancillary revenue such as hosting services, cloud services, support and maintenance services. The recognition of revenue and associated contract assets and contract liabilities is a key audit matter due to the significant judgements surrounding the timing of revenue recognition. Note 5 to the financial statements sets out the Group’s revenue streams and the associated accounting policies. Note 12 to the financial statements sets out the associated contract assets and contract liabilities. Our procedures included: • Obtained an understanding of the Group’s revenue recognition policies and assessed the policies applied for compliance with the relevant accounting standards. • Documented and evaluated the design and, implementation, of relevant controls over the measurement and timing of revenue recognition. • For each material revenue stream, we selected representative samples of customer contracts and assessed the key contractual terms, performance obligations and revenue recognition criteria to determine whether revenue was recognised in accordance with AASB 15 Revenue from Contracts with Customers and whether the relevant performance obligations were satisfied. • For each material revenue stream, selected samples of revenue transactions recognised during the reporting period and near year-end and agreed the transaction price and timing of revenue recognition to underlying customer contracts, work in progress records, milestone acknowledgements, invoices and customer receipts, where applicable. • For revenue contracts tested close to year-end, evaluated the significant judgements applied by Management in determining the timing of revenue recognition; and • Tested manual journals impacting revenue, contract assets and contract liabilities, with a particular focus on those processed at or near year end. We also assessed the adequacy of the disclosures in Notes 5 and 12 to the financial statements. Page 69
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Pitcher Partners Sydney ABN 17 795 780 962 An association of independent firms Key Audit Matter How our audit addressed the Key Audit Matter Accounting for software development costs As set out in Note 16 to the financial statements, the Group capitalises costs related to the development of software products in accordance with AASB 138 Intangible Assets. The accounting for capitalised software development costs is a key audit matter due to: • Specific judgement applied in assessing whether the capitalised costs are directly attributable to the relevant product developed and eligible for capitalisation under the criteria prescribed by Australian Accounting Standards; • The assessment of the useful life of the asset and timing of amortisation; and • The assessment of future economic benefits and any indicators of impairment of capitalised software development costs. Our procedures included: • Evaluated whether capitalised costs met the eligibility criteria for capitalisation under AASB 138 Intangible Assets. • Held inquiries with management and R&D team members, to understand the development activities undertaken. • Documented and evaluated the design and implementation of the relevant controls in place over the process for recording and identifying qualifying costs to be capitalised. • Tested the appropriateness and eligibility of costs capitalised with reference to internal documentation and the criteria in the relevant accounting standard, which included: − Agreeing a sample of payroll costs capitalised to supporting payroll and time records, and cost allocation calculations; and − Agreeing a sample of other capitalised costs to invoices or other supporting documentation and assessed the Group’s determination that the service or goods received is directly attributable to development activities. • Challenged the appropriateness of the amortisation period including the commencement date of amortisation for the capitalised software development costs and the timing of amortisation; and • Evaluated the Group’s indicators of impairment and the recoverability of the carrying value of the capitalised software development asset, with reference to historical and expected future cash inflows. We also assessed the adequacy of the disclosures in Note 16 to the financial statements. Page 70
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Pitcher Partners Sydney ABN 17 795 780 962 An association of independent firms Key Audit Matter How our audit addressed the Key Audit Matter Impairment of Intangible Assets At 30 June 2026 the consolidated statement of financial position of the Group includes goodwill and other intangible assets amounting to $80.577 million. The Group performs an annual impairment test of goodwill and other intangible assets across its Cash Generating Units (CGU’s) and has determined recoverable amounts based on value-in-use calculations. The carrying value of goodwill and other intangible assets is a key audit matter because of the significant judgements applied in the value-in-use models, including estimates of cash flow forecasts, growth rates, discount rates and terminal value calculations. Note 16 to the financial statements sets out the Group’s accounting policies, allocation of goodwill to CGU’s and key estimates adopted in determining the recoverable amount. Our procedures included: • Assessed management’s determination of CGU’s and allocation of goodwill to the carrying value of CGU’s based on our understanding of the nature of the Group’s business. • Understood and evaluated the design and implementation of relevant controls over information used as part of assessing impairment of intangible assets. • Tested the mathematical accuracy of the value in use models. • Compared cash flow forecasts to the Board approved budgets and assessed the historical accuracy of forecasting. • In conjunction with our valuation specialists, we assessed and challenged significant estimates and judgements used by management in the value-in-use models, including cash flow forecasts, growth rates, discount rates and terminal value calculations; and • Performed sensitivity analysis on the growth rates and discount rates used in the value-in-use models. We also assessed the adequacy of the disclosures in Note 16 to the financial statements. Information Other than the Financial Report and Auditor’s Report Thereon The directors are responsible for the other information. The other information comprises the information included in the Group’s annual report for the year ended 30 June 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. 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, 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. Page 71
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Pitcher Partners Sydney ABN 17 795 780 962 An association of independent firms Responsibilities of the Directors for the Financial Report The directors of the Company are responsible for the preparation of: a. the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001; and b. the consolidated entity disclosure statement that is true and correct in accordance with the Corporations Act 2001; and for such internal control as the directors determine is necessary to enable the preparation of: i. the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view and is free from material misstatement, whether due to fraud or error; and ii. the consolidated entity disclosure statement that is true and correct and is free of misstatement, whether due to fraud or error. In preparing the financial report, the directors are responsible for assessing the ability of 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 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 a ggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report. As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: • Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. 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. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group’s internal control. • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. • Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group to cease to continue as a going concern. Page 72
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Pitcher Partners Sydney ABN 17 795 780 962 An association of independent firms Auditor’s Responsibilities for the Audit of the Financial Report (continued) • Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation. • Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the financial report. We are responsible for the direction, supervision and performance of the Group audit. We remain solely responsible for our audit opinion. We communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide the directors with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied. From the matters communicated with the directors, we determine those matters that were of most significance in the audit of the financial report of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. Report on the Remuneration Report Opinion on the Remuneration Report We have audited the Remuneration Report included in pages 16 to 20 of the directors’ report for the year ended 30 June 2026. In our opinion, the Remuneration Report of Objective Corporation Limited, for the year ended 30 June 2026, complies with section 300A of the Corporations Act 2001. Responsibilities The directors of the Company 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. Nathan Balban Pitcher Partners Partner Sydney 27 August 2026 Page 73