Slides
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Smart Group Scott Wharton Managing Director and CEO Jason King Chief Financial Officer Smart Group Smartgroup. HY 2026 Investor Presentation 2026 Half Year Results
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Kengatha-nak-thangi Grow Mother Country Smart Group Acknowledgement of Country Smartgroup acknowledges the Custodians of Country throughout Australia. We pay our respects to Aboriginal and Torres Strait Islander cultures and to Elders past and present and thank them for their ongoing custodianship of this land and community. Artist Statement Co-existing with Mother Earth from the first days of understanding of kinship and the importance of caring for Country. Preparing for the future and prospering by putting country first which started through gatherings of our ancient ancestors which continues through time to this day, Country has always been an important part of First Peoples of Australia cultures. Country has sustained us, revitalised, and rejuvenated our mind, body, and spirit for many millennia. And by putting Country first it will continue to do so. It has been our most important commandment handed to us down throughout the generations through loving careful instructions. A nourishing thought for the ages of our continuous culture on this ancient landscape. Narrative written by Jade Kennedy of the Tatti-Tatti/ WadiWadi/Muddi-Muddi - West Kulin Nation and Wajak/Kaardjin - Noongar Nation. 2 Smartgroup. HY 2026 Investor Presentation
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Smart Contents 01 — 2026 Half Year Highlights (Scott Wharton) 02 — Strategic Priorities Update (Scott Wharton) 03 — 2026 Half Year Performance (Jason King) 04 — Summary and Outlook (Scott Wharton)
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Smart Group Smartgroup. HY 2026 Investor PresentationSmart Group 01 — 2026 Half Year Highlights
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5 Smartgroup. HY 2026 Investor Presentation Smart Group 1. All percentage movements and comparisons refer to 1H 2025 unless otherwise stated. 2. NPATA is net profit after tax, adjusted to exclude significant non-operating items. Refer to Appendices for the reconciliation of NPATA to statutory NPAT. 3. Return on equity is LTM NPATA divided by average shareholders’ equity. 4. Record date of fully franked interim dividend is 9 September 2026 and payment date is 23 September 2026. H1 2026 Financial Highlights1 Return on Equity3 31% stable EBITDA $73.8m +16% EBITDA Margin 41% +1ppt NPATA2 $42.4m +11% Dividend4 21.5cps +10% Revenue $179.5m +13%
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H1 2026 Operational Highlights Smart Group Customer Growth Novated Leasing Strategic Priorities • 518,000 active customers at June, +34,000 (up 7%) • 91,600 novated leases under management, +11,600 (up 15%) • 36,200 fleet-managed vehicles, +3,800 (up 12%) • Record leasing settlements in H1 2026, up 17% • BEV New-vehicle orders grew +162% • Direct yield grew 2% • Distribution partnerships continue to drive growth • Delivered 19%1 improvement in customers per operations FTE • Launched the new mobile app • Expanded partnership with Volkswagen Financial Services to support scalable fleet growth • Launched the 'It Pays to be Smart' brand campaign Sustainability • 87th percentile in S&P Global Corporate Sustainability Assessment for 2026 • Awarded Workplace Gender Equality Agency citation for 2026-2028 • Named Silver Employer on Pride in Diversity’s Australian Workplace Equality Index • Partnered with Greenfleet to expand our Carbon Offset Program in South Australia 1. Average active salary packages / average salary packaging operations FTE (inc. temps).6 Smartgroup. HY 2026 Investor Presentation
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Smart Group Leading player with diversified exposure • Positioned as #1 in salary packaging and novated leasing6 • Broad product offering including exposure to fleet • Diversified customer base delivering resilient growth Large addressable market with high client retention • Large existing customer base • Long-term client contracts in attractive and growing segments • Strong tailwinds: EV incentives, population growth, resilience through the cycle Attractive financial profile • Strong organic growth profile • Significant recurring revenue from client base • Improving margins supported by scalable business model Capital light business model • Strong cash flow conversion • Flexible balance sheet with minimal residual value exposure • Consistent returns to shareholders Industry leading digital platform • Demonstrated improvements in operating efficiency and superior customer experience • Continued investment in capability and technology • Market leading scale Investment proposition 609,000 LTM salary packaging customers5 1. Average active salary packages / average salary packaging operations FTE (inc. temps). 2. H1 2023 Gross Revenue was $116.6m compared to $179.5m in H1 2026. 3. As % of NPATA 4. (Corporate debt – cash) / LTM EBITDA. 5. Includes customers that maximise FBT caps before December each year, then restart at the start of the next FBT year. 6. Based on publicly available customer numbers. 91,600 novated leases under management ~2.5m potential customers within existing client base 15% revenue2 CAGR (3y) 41% EBITDA margin 120% cash conversion3 0.2x leverage4 1,8371 customers / ops FTE up 19% 7 Smartgroup. HY 2026 Investor Presentation
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Smart Group EBITDA ($m)Revenue ($m) NPATA ($m) 116.6 148.5 159.1 179.5135.0 157.3 170.2 CY 2023 CY 2024 CY 2025 HY 2026 251.6 305.8 329.3 H2 H1 +31% 47.0 56.2 63.6 73.853.3 62.5 71.7 CY 2023 CY 2024 CY 2025 HY 2026 100.3 118.7 135.3 H2 H1 +35% 29.4 34.1 38.1 42.433.8 38.3 42.1 CY 2023 CY 2024 CY 2025 HY 2026 H2 H1 63.2 72.4 80.2 +27% Disciplined execution of Strategic Priorities Delivering strong performance 3y-CAGR1: 15% 3y-CAGR1: 16% 3y-CAGR1: 13% 8 Smartgroup. HY 2026 Investor Presentation 1. 3-year CAGR from HY 2023 to HY 2026.
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Smart Group Smartgroup. HY 2026 Investor PresentationSmart Group 02 — Strategic Priorities Update
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Our Strategic Priorities and focus Smart Group Our ambition Our focus Our Strategic Priorities Smarter Benefits for a Smarter Tomorrow Simplifying benefits and adding value to our clients and customers, while enabling businesses to attract and retain great teams as we build a more sustainable Australia. Smarter Experiences Market-leading customer experience, helping customers and employers work with us how and when they want Smarter Products Simple and innovative products and services to help customers do more and save more Working Smarter Simple and scalable operations, with improved capability that puts the customer first • Digitise operations and enhance self-service to delight clients and customers • Simplify and consolidate the core technologies and drive scale benefits including moving to a single brand Customer-focused, digital and efficient salary packaging offering Leadership in Novated Leasing via EVs • Maintain a market-leading proposition for EVs through sustained digital investment • Accelerate our digital sales engine Innovation of propositions to meet growing customer needs • Expand our novated leasing offering to meet a broader set of needs • Scale our benefits program Targeted investment in fleet capabilities • Continue to support client demand for tailored products • Increase capability via expanded fleet funding offerings 10 Smartgroup. HY 2026 Investor Presentation
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Smart Group Strategic roadmap Realise scale benefits – targeting mid-40s EBITDA margin during the year 2027202620252024 2028+ Phase 1: Focus on growth and demand generation through digital marketing, improved digital assets and excellent customer experience Phase 2: Focus on building a scalable platform, removal of duplication and cost efficiencies through brand alignment, technology modernisation, automation, and AI Phase 3: Focus on innovation of propositions with more benefits and new products Feb 24 Announced Strategic Priorities 11 Smartgroup. HY 2026 Investor Presentation
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Smart Group Phase 1: Our digital investments Delivered in CY24 and CY25 H1 2026 12 Smartgroup. HY 2026 Investor Presentation New digital home smart.com.au New digital packaging journey New Smart App Enhanced car leasing portal Enhanced rewards platform Comprehensive AI, data & automation program
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Phase 2: Our scalable platform CY23 Target state (CY28)Current state Smartsalary, Smartleasing, AccessPay, Advantage, Autopia, Smartfleet, Payroll Solutions, Health-e Workforce SmartSmart, AccessPay, Autopia, Smartfleet 7 contact centres Streamlined, de-duplicated and AI enabled contact centre capability4 contact centres Multiple systems from legacy acquisitions, complete on-premise infrastructure 100% of compute in cloud infrastructure 85% of compute in cloud infrastructure (↑ from 45% in CY25) Limited process automation Highly scalable omni-channel operations AI knowledge management AI operative intelligence Claims automation Rationalising Brands Aligning Contact Centres Enhancing Technology Automating processes Improving Efficiency 1,3891 customers / operations FTE Ongoing efficiency improvements1,8372 customers / operations FTE (↑ from 1,645 in CY25) 1. 2023 average active salary packages / average salary packaging operations FTE (inc. temps). 2. H1 2026 average active salary packages / average salary packaging operations FTE (inc. temps). Smart Group 13 Smartgroup. HY 2026 Investor Presentation
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Delivering Smarter benefits for a Smarter tomorrow Smart Group Disciplined execution of Strategic Priorities in H1 2026 • Exceeded 500,000 active salary packages for the first time • Delivered +19%1 customers / operations FTE • Launched the new Smart mobile app • Leveraged AI to streamline processes, enhance customer interactions and improve decision-making • Further alignment across brands, systems and operations • Record leasing settlements, up 17% • Grew BEV new-vehicle orders by 162% • Expanded manufacturer/dealer partner distribution • Continued improvements to enhance our car leasing portal to support novated leasing at scale • Enhanced our employee benefits offering across Smart Rewards • Launched the ‘It Pays to be Smart’ brand campaign • Continued to grow employee benefit partnerships • Increased vehicles under management by 12% • Expanded partnership with Volkswagen Financial Services to support scalable fleet growth • Reshaped the Fleet operating model, added new capabilities and invested to support future growth Customer-focused, digital and efficient salary packaging offering Leadership in Novated Leasing via EVs Innovation of propositions to meet growing customer needs Targeted investment in fleet capabilities 14 Smartgroup. HY 2026 Investor Presentation 1. Average active salary packages / average salary packaging operations FTE (inc. temps).
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Smart Group 15 Smartgroup. HY 2026 Investor Presentation Brand campaign ‘It pays to be Smart’
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Growing customer relationships and scalability Smart Group Relative improvement in customer uptake2 since announcing Strategic Priorities Increase in eligible customer base1 since announcing Strategic Priorities Relative improvement in product uptake since announcing Strategic Priorities • Focus on the organic opportunity to expand uptake into our existing client base • Focus on increasing eligible customer numbers to leverage the scale of our platform • Focus on expanding our products and services to better meet customer needs and increase retention 1. Based on Smartgroup estimates of total employees per client as at June 2026. 2. Based on Smartgroup active customers. CY 2023 CY 2024 CY 2025 HY 2026 ~2.2m ~2.3m ~2.5m ~2.5m +15% CY 2023 CY 2024 CY 2025 HY 2026 18% 19% 20% 21% +13% CY 2023 CY 2024 CY 2025 HY 2026 15% 17% 17% 18% +15% Number of eligible employees Active customers uptake % Product uptake % of packages 16 Smartgroup. HY 2026 Investor Presentation
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Smart Group Smartgroup. HY 2026 Investor PresentationSmart Group 03 — 2026 Half Year Performance
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Record customer numbers across all key product lines Novated leases under management • Record settlement levels and vehicle supply have seen continued growth in novated leases under management • Onboarding of new clients and increased uptake in existing clients Active salary packages Fleet managed vehicles • Improved client relationship management and business development activities Smart Group 402,000 484,000 518,000 HY 2024 HY 2025 HY 2026 +34,000 +7% 64,600 80,000 91,600 HY 2024 HY 2025 HY 2026 +11,600 +15% 30,600 32,400 36,200 HY 2024 HY 2025 HY 2026 +3,800 +12% 1. In the last 12 months, Smartgroup provided salary packaging services to 609,000 customers. Includes customers that maximise FBT caps before December each year, then restart at the start of the next FBT year.18 Smartgroup. HY 2026 Investor Presentation
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H2 2025 v pcp H1 2026 v H2 2025 H1 2026 v pcp Volume New lease vehicle orders1 +8% +36% +34% Total settlement volume2 +7% +13% +17% - New lease vehicle settlement1 +10% +15% +20% - Refinance vehicle settlement -8% +3% +2% Direct Yield3 +4% -5% +2% H2 2025 CY 2025 H1 2026 Pipeline $9.8m $9.8m $22.5m Delivery timeframe4 31 days 35 days 29 days New vehicles % of total orders1 85% 84% 88% Strong leasing momentum drives record settlements 1. New novated leases exclude refinanced deals. 2. Includes new, used and refinance. 3. Yield from direct operations, excludes partnerships. 4. Average vehicle order to delivery timeframes for SIQ top 30 makes/models by volume. Smart Group Strong customer demand • Continued customer interest in novated leasing, particularly BEVs • Enhanced marketing activities across multiple channels and ongoing customer education Volume • Total pipeline future revenue of $22.5m at the end of June 2026 (from $9.8m in December 2025) Yield • Yield up 2%, within expected range • More competitive market environment, strong volume growth and market penetration • Reduced aftermarket attachment rates • Ongoing focus on yield management 19 Smartgroup. HY 2026 Investor Presentation
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BEV adoption continues to accelerate Smart Group • Ongoing momentum supported by market and policy dynamics • From 1st April 2025, the Discount Policy ceased applying to PHEVs • The decline in ICE demand has been more than offset by demand for BEVs • BEV new vehicle orders increased +162%, while PHEV and ICE new vehicle orders declined -39% and -29% respectively BEV ICE 68% of new vehicle orders in H1 2026 27% of new vehicle orders in H1 2026 New-vehicle orders growth (PHEV, BEV, ICE) PHEV 5% of new vehicle orders in H1 2026 HY 2024 HY 2025 HY 2026 -39% HY 2024 HY 2025 HY 2026 +162% HY 2024 HY 2025 HY 2026 -29% 20 Smartgroup. HY 2026 Investor Presentation
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Strong earnings growth, from sustained revenue uplift • Revenue growth driven by novated leasing settlements and growth in salary packaging • Reduced product costs from improved supplier arrangements and moderately lower average product attachment • Staff expenses increased as a result of investments in resourcing to deliver Strategic Priorities, and wage inflation • Other expenses were driven by technology investments aimed at accelerating the Group’s transformation program and enhancing digital capabilities • EBITDA margin at 41%, up 1ppt • NPATA grew 11% to $42.4 million 1. A reconciliation of the statutory accounts to adjusted earnings is contained in the Appendix. 2. NPATA is net profit after tax, adjusted to exclude significant non-operating items (tax-effected). $m H1 20261 H1 2025 Change % Revenue 179.5 159.1 13% Product costs (cost of sales) (5.1) (6.0) (15%) Net revenue 174.4 153.1 14% Staff expenses (70.9) (64.3) 10% Other expenses (29.7) (25.2) 18% Total operating expenses (100.6) (89.5) 12% Operating EBITDA 73.8 63.6 16% Operating EBITDA margin 41% 40% +1ppt Net finance costs (1.7) (1.6) 5% Depreciation (4.6) (3.7) 25% Amortisation (6.3) (3.0) 113% Tax expense (18.8) (17.3) 9% NPATA2 42.4 38.1 11% Smart Group 21 Smartgroup. HY 2026 Investor Presentation
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High cash conversion at 120% of NPATA • Strong conversion of NPAT to operating cash flows • Half-year receipts grew in line with revenue • HY26 technology capex $6.9m, driven by transformation projects • Future direct funding of motor vehicles will reduce in line with our fleet strategy • CY26 technology capex expected to be ~$13-15m 1. Net cash from operating activities excludes receipts and payments from customers’ salary packaging accounts and significant non-operating items. $m H1 20261 H1 2025 Change % Net cash from operating activities 50.8 52.5 3% As a % of NPATA 120% 138% (18ppt) Capitalised IT development costs (6.9) (4.5) 54% Payments for funding of motor vehicles (2.3) (2.6) 12% Other PP&E capex (0.1) (0.4) (71%) Smart Group 22 Smartgroup. HY 2026 Investor Presentation 42.4 50.8 6.3 4.6 Operating cashflow conversion ($m) (0.8) (0.4) (3.9) 2.6 Statutory NPAT Amortisation Depreciation Finance costs Gain on sale of non- current assets Net working capital movement Share-based payments Net cash from operating activities
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Strong and flexible balance sheet with 0.2x leverage • Low leverage and high cash generation support future investment opportunities • Decrease in net debt position from higher cash inflows driven by strong EBITDA performance 1. Includes restricted cash of $247.3m (31 December 2025: $269.3m). This is entirely offset by salary packaging liability. 2. Excludes capitalised borrowing costs of $0.7m (31 December 2025: $0.8m). $m 30 Jun 2026 31 Dec 2025 Cash 46.1 43.4 Other current assets1 305.5 309.4 Current assets 351.6 352.8 Non-current assets 343.3 355.7 Total assets 694.9 708.5 Current liabilities1 325.0 342.9 Borrowings 80.8 80.7 Other non-current liabilities 7.0 7.8 Non-current liabilities 87.8 88.5 Total liabilities 412.8 431.4 Net assets 282.1 277.1 Net corporate debt2 35.4 38.1 Net corporate debt/last 12 months EBITDA 0.2 0.3 Smart Group 23 Smartgroup. HY 2026 Investor Presentation
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Operating cash flow Investments Return to shareholders Ordinary dividends 60-70% of NPATA Other returns to shareholders • Other returns to shareholders may include special dividends or share buy-backs • Announced up to $20m buy-back in May 2026 • Strong balance sheet provides capacity to pursue organic and inorganic growth opportunities • Focus on core business - salary packaging, novated leasing and fleet • Investment in technology to deliver simplification and drive scale benefits • Since IPO in mid-2014 Smartgroup has paid ~$649m in fully franked dividends to shareholders Allocate capital for medium and long-term growth Deliver sustainable distributions to shareholders Maintain flexible balance sheet 1. Return on equity is LTM NPATA divided by average shareholders’ equity. Digital and technology simplification Customer experience improvements Potential acquisitions or partnerships Disciplined approach to maximising shareholder returns Smart Group 24% 26% 29% 30% 31% 2022 2023 2024 2025 HY 2026 Return on Equity1 (ROE) 24 Smartgroup. HY 2026 Investor Presentation
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Smart Group Smartgroup. HY 2026 Investor PresentationSmart Group 04 — Summary and Outlook
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H1 2026 Summary Smart Group 1. As % of NPATA. 2. NPATA is net profit after tax, adjusted to exclude the non-cash tax-effected amortisation of intangibles and significant non-operating items. Refer to Appendices for the reconciliation of NPATA to statutory NPAT. 3. Record date of fully franked interim dividend is 9 September 2026 and payment date is 23 September 2026. Salary Packages +34,000 from existing clients and client wins H1 2026 dividend 21.5 cps fully franked3 Revenue $179.5m +13% NL volume 17% growth in leasing settlements Leases +11,600 novated leases under management Cash conversion1 120% NPATA2 $42.4m +11% +10% Strong progress on Strategic Priorities 26 Smartgroup. HY 2026 Investor Presentation
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Outlook CY 2026 • Current supportive conditions for continued growth • Uncertainty from the broader economic environment and consumer sentiment • Second half to date new lease vehicle orders and settlements increased on pcp, and direct yield remained within expected range • Continuing to build distribution partnerships to drive growth • Electric Car Discount Policy review outcome supports novated leasing demand and climate transition • Expanding fleet offering, driving growth in vehicles under management through external funding • ~$13-15m expected software capex spend in 2026 Medium-term (2027+) • Based on current market conditions, we are targeting mid-40s EBITDA margin during 2027 • Post 2027, with sustained investment, there are opportunities to further elevate business performance Smart Group 27 Smartgroup. HY 2026 Investor Presentation
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Smart Group Smartgroup. HY 2026 Investor Presentation 05 — Appendix Smart Group
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BEV orders continue to grow across all segments Smart Group 29 Smartgroup. HY 2026 Investor Presentation 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% H1 H2 H1 H2 H1 H2 H1 H2 H1 2022 2022 2023 2023 2024 2024 2025 2025 2026 BEV1% of new car orders (excludes used and refinanced) Hospital and PBI Education Government Corporate
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Reconciliation of earnings to statutory financial statements $m H1 2026 H1 2025 Net revenue 174.4 153.1 Operating EBITDA 73.8 63.6 One-off costs - - Segment results 73.8 63.6 Net finance costs (1.7) (1.6) Depreciation expense (4.6) (3.6) Amortisation expense (6.3) (3.0) Gain on sale of businesses - - PBT (statutory) 61.2 55.4 Income tax expense (18.8) (17.3) NPAT (statutory) 42.4 38.1 Addback: after tax impact of disposals - - NPATA 42.4 38.1 Shares on issue (millions) 138.2 135.7 NPATA per share (cps) 30.7 28.1 Smart Group 30 Smartgroup. HY 2026 Investor Presentation
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Balance sheet $m 30 Jun 2026 statutory 31 Dec 2025 statutory Cash 46.1 43.4 Restricted cash 247.3 269.3 Trade and other current assets 58.2 40.1 Current assets 351.6 352.8 Property and equipment 3.9 4.4 Smartgroup funded vehicles 8.9 22.9 Right-of-use assets – other 9.2 10.3 Intangible assets 303.8 303.2 Other non-current assets 17.5 14.9 Non-current assets 343.3 355.7 Total assets 694.9 708.5 Trade and other payables 40.6 37.4 Customer salary packaging liabilities 247.3 269.3 Lease liabilities 7.8 8.7 Provisions and other liabilities 36.3 35.3 Non-current interest-bearing loans 80.8 80.7 Total liabilities 412.8 431.4 Net assets 282.1 277.1 Issued capital 266.0 264.9 Retained earnings & reserves 16.1 12.2 Total capital 282.1 277.1 Net corporate debt 35.4 38.1 Net corporate debt / LTM EBITDA 0.2 0.3 Smart Group 31 Smartgroup. HY 2026 Investor Presentation
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Important notice and disclaimer Disclaimer This presentation has been prepared by Smartgroup Corporation Ltd (ACN 126 266 831) (“Smartgroup”) and is general background information about Smartgroup’s activities current as at the date of this presentation.The information is given in summary form and does not purport to be complete. To the extent that certain statements contained in this presentation may constitute “forward-looking statements” or statements about “future matters”, the information reflects Smartgroup’s intent, belief or expectations at the date of this presentation. Smartgroup gives no undertaking to update this information over time (subject to legal or regulatory requirements). Any forward-looking statements, including projections, guidance on future revenues, earnings and estimates, are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. Forward-looking statements involve known and unknown risks, uncertainties and other factors thatmay cause Smartgroup’s actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. Any forward-looking statements, opinions and estimates in this presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. Neither Smartgroup, nor any other person, gives any representation, assurance or guarantee that the occurrence of the events expressed or implied in any forward-looking statements in this presentation will actually occur. Past performance is no guarantee of futureperformance. No representation or warranty, express or implied, is made as to the accuracy, adequacy or reliability of any statements, estimates or opinions or other informationcontained in this presentation. To the maximum extent permitted by law, Smartgroup, its subsidiaries and their respective directors, officers, employees and agents disclaim all liability and responsibility for any direct or indirect loss or damage which may be suffered by any recipient through use of or reliance on anything contained in or omitted fromthis presentation. No recommendation is made as to how investors should make an investment decision. Investors must rely on their own examination of Smartgroup, includingthe merits and risks involved. Investors should consult with their own professional advisors in connection with any acquisition ofsecurities. Non - International Financial Reporting Standards (Non - IFRS) information This presentation presents financial information on both a statutory basis (prepared in accordance with Australian accounting standards which comply with International Financial Reporting Standards (IFRS) and non-IFRS basis. Smart Group 32 Smartgroup. HY 2026 Investor Presentation
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Smart Group Smartgroup. HY 2026 Investor PresentationSmart Group Investor contact Aline van Deventer ir@smartgroup.com.au 0423 553 434