Slides
Page 2
AGENDA Operational review Financial review Outlook and strategic focus areas Supplementary information MARTHINUS VISSER CEO FRANCOIS VAN ROOYEN CFO DESIGNATE JAN HOFMEYR CFO MARTHINUS VISSER CEO 2
Page 3
OPERATIONAL REVIEW
Page 4
OUTsurance Group Limited Financial Results 2026 15.28 17.56 18.19 17.75 16.39 11.09 11.99 12.25 11.73 11.46 17.15 18.79 20.15 19.77 19.64 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 USD/ZAR AUD/ZAR EUR/ZAR 6.1% 6.0% 3.8% 2.1% 4.0% 7.4% 5.4% 5.1% 3.0% 5.0% 9.1% 6.1% 2.2% 1.8% 3.4% Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 Australia CPI South Arica CPI Ireland CPI Macroeconomic trends Inflation and interest rate environment impacting operational performance Annual average exchange rates used in the consolidation of the Australian and Ireland operations CPI Inflation Interest rates Exchange rates 0.85% 4.10% 4.35% 3.85% 4.35% 4.75% 8.25% 8.25% 7.25% 7.00% (0.50%) 3.50% 3.75% 2.00% 2.25% Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 RBA Cash Rate SARB Repo Rate ECB Deposit Rate 4
Page 5
OUTsurance Group Limited Financial Results 2026 Overview of key operational themes OUTsurance SA Operating environment • Satisfactory premium growth in the context of the declining premium inflationary environment. • Strong claims performance despite higher natural peril losses, aided by lower vehicle accident and theft frequencies. • Continued cost efficiency gains realised through disciplined cost management and operational efficiencies. Growth • 6.0% increase in gross written premium (GWP) growth (7.7% excl. HOC). Profitability • 14.4% growth in operating profit. OUTsurance SA Personal Operating environment • Good premium growth outcome achieved by OUTsurance Brokers with more muted growth in the Direct channel, also impacted by lower premium inflation. • Favourable claims experience delivered by the Direct channel as well as the OUTsurance Broker channel where underwriting quality continued to improve. • Economies of scale in the faster growing OUTsurance Broker channel contributed to the decrease in the cost-to- income ratio. Growth • 12.1% GWP growth for the combined Direct and Broker channels. Profitability • 49.8% growth in operating profit. OUTsurance SA Business 5
Page 6
OUTsurance Group Limited Financial Results 2026 Overview of key operational themes Youi Operating environment • Youi continues to deliver good organic premium growth against a simplified direct distribution strategy. • The significant storm exposure in H1 was the key driver in the increasing claims ratio which dampened the otherwise strong operational performance. Growth • The Youi Direct channel delivered 21.2% GWP growth in Australian Dollars (AUD). Profitability • 2.4% decline in AUD operating profit following increased natural peril experience relative to the prior year. Youi Direct Personal and Business Operating environment • Challenging operating environment on the back of adverse claims experience attributed to elevated frequency and severity observed in common law claims in NSW. Corrective pricing action has been taken. Growth • 23.1% GWP growth in AUD. Profitability • The higher operating loss is attributed to the adverse claims experience. Youi CTP 6
Page 7
OUTsurance Group Limited Financial Results 2026 Overview of key operational themes • With 2026 marking the 2nd full year of operations, OUTsurance Ireland is steadily progressing as a new entrant in the Irish car and home insurance market. • OUTsurance Ireland recorded €41 million of GWP for the financial year under review. • The 2026 operating loss represented the peak of the expected J-curve with a decline in the observed monthly loss profile in the second half of the financial year. • Break-even is still expected five years after launch. OUTsurance Ireland Personal 7 OUTsurance Ireland
Page 8
OUTsurance Group Limited Financial Results 2026 Overview of key operational themes OUTsurance Life Growth • The value of new business written grew by 41.5%, reflecting the positive impact of product simplification and accelerated growth in the Direct channel. • VNB margin improved from 22.1% to 23.7% benefitting from cost efficiencies and scale benefits. Profitability • Strong underlying profit performance with the year-on-year growth rate being distorted by the variability in the yield curve impact in years 2025 and 2026, respectively. • OUTsurance Life’s operating profit declined by 7.1%. • Comprehensive Equity grew by 22.0%. OUTsurance Life 8
Page 9
OUTsurance Group Limited Financial Results 2026 4 962 5 908 7 992 10 276 11 912 1 567 1 802 2 063 1 503 Jun 22 Jun 23 Jun 24 Jun 25 Jun 26 P&C Group excl. BZI BZI P&C new business premium performance Youi and OUTsurance Ireland drive double digit new business growth P&C annualised new business premium written (R’million) +15.9% Excl. BZI • Annualised new business premium written grew by 15.9% despite the translation impact of the stronger Rand and the lower premium inflation environment. • Youi Direct is the largest contributor to new business growth. • OUTsurance SA delivered satisfactory new business volumes supported by the growth in the OUTsurance Broker channel. • OUTsurance Ireland’s new business contribution increased in line with its expanding growth profile. 6 529 7 710 10 055 11 779 11 912 9
Page 10
OUTsurance Group Limited Financial Results 2026 P&C gross written premium performance Satisfactory growth delivered despite lower premium inflationary environment • The Group’s P&C GWP (Excl. BZI) accelerated by 15.7%, or 17.4% when ignoring stronger Rand. • Youi (Excl. BZI), represents 62.9% of the Group’s gross written premium (2025: 61.4%). The stronger relative growth in Youi’s gross written premium has accelerated the Group’s diversification over the reporting period. 7 396 7 796 8 380 8 943 9 407 10 253 11 160 12 182 13 353 14 342 7 072 6 762 7 252 7 961 10 513 11 627 15 155 17 278 21 667 25 680 269 801 854 1 244 3 740 3 493 ( 71) Jun 2017 Jun 2018 Jun 2019 Jun 2020 Jun 2021 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 OUTsurance SA Youi excl. BZI Ireland BZI Focussed organic executionAccelerated investment in growth 14 468 14 558 15 632 16 904 19 920 22 734 27 559 33 200 38 782 40 752 +15.7% Excl. BZI + 5.1% Incl. BZI P&C gross written premium (R’million) 10-year CAGR = 11.0% 5-year CAGR = 15.4% (Excluding BZI) 10
Page 11
OUTsurance Group Limited Financial Results 2026 Operating profit performance Robust operating profit achieved at OUTsurance SA and Youi 10-year CAGR = 11.3% 5-year CAGR = 17.1% P&C operating profit (R’million) • The 30.3% growth in operating profit was driven by the strong operational performance of OUTsurance SA and structurally supported by its lower share-based payments expense. • The contribution by the respective entities demonstrates the value of the Group’s diversified earnings base. • The strong underwriting result in OUTsurance SA had a positive impact on the growth of the operating profit, whilst natural perils exposure weighed on Youi’s performance. • We expect the OUTsurance Ireland annual operating loss to have peaked in FY26, considering the monthly reduction in the operating loss observed during H2- 2026, in line with expectation. 3 147 3 507 3 131 3 248 3 357 2 726 4 086 4 433 5 686 7 407 Operating profit is presented on a normalised basis. 2 240 2 365 2 127 2 275 2 295 2 109 2 285 2 678 3 134 5 090 907 1 142 1 004 973 1 062 617 1 857 1 973 3 000 2 806 (56) (218) (448) (489) Jun 2017 Jun 2018 Jun 2019 Jun 2020 Jun 2021 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 OUTsurance SA Youi OUTsurance Ireland +30.3% 11
Page 12
OUTsurance Group Limited Financial Results 2026 Natural perils exposure Adverse natural perils experience which dampened operating performance Claims ratio analysis 3.8% 3.7% 4.2% 4.7% 5.7% 6.9% 5.6% 5.9% 4.0% 4.6% 9.1% 8.0% 9.7% 12.2% 12.4% 19.6% 8.5% 12.6% 9.8% 11.7% 6.4% 5.7% 6.7% 8.1% 9.0% 13.2% 7.3% 9.8% 7.5% 9.1% 1.8% 3.8% 5.8% 7.8% 9.8% 11.8% 13.8% 15.8% 17.8% 19.8% Jun 2017 Jun 2018 Jun 2019 Jun 2020 Jun 2021 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 Net retained natural perils losses as % of net premium OUTsurance Youi P&C Group 41.6% 38.5% 50.1% 51.0% 4.0% 4.6% 9.8% 11.7% (1.0%) (1.2%) (1.4%) (0.5%) OUT SA Jun 2025 OUT SA Jun 2026 Youi Jun 2025 Youi Jun 2026 Current year working claims ratio Natural perils claims ratio Prior year development 12OUTsurance Group Limited Financial Results 2026 12 Youi's 2025 natural perils loss as a percentage of net earned premium was reduced from 11.2% to 9.8%. This update removes the effect of prior year development and therefore the measure represents exposures incurred in the reporting year only. Consequently the 2025 P&C Group outcome reduced from 8.4% to 7.5%. 44.6% 41.9% 58.5% 62.2% • Youi’s natural perils losses were concentrated to H1-2026. • Due to the elevated frequency and severity of natural peril events in Australia, earnings over short durations may be more volatile compared to the OUTsurance SA operation where the historic earnings pattern is more stable, highlighting the value of the Group’s diversified risk exposure. Youi claims volatility is expected to decrease over time with better geographic diversification across Australia. • OUTsurance SA’s natural peril losses increased marginally due to the Eastern and Western Cape storms whilst averaging below the 10-year trend line. The good working claims experience drove the overall reduction in the claims ratio.
Page 13
OUTsurance Group Limited Financial Results 2026 • Appetite for new venture losses is set at 10% of full-year operating profit. • The growth investment is led by OUTsurance Ireland. OUTsurance Ireland's loss is expected to have peaked in 2026 and monthly break- even is estimated to be achieved in the 2029 financial year - in line with previous guidance. • Youi’s new initiative losses for 2025 and 2026 are represented by Youi CTP. Youi CTP is underperforming expectations, with profitability tracking below plan due to adverse current and prior year claims development. Corrective pricing actions have been taken leading to slower growth from H2-2026. Earnings impact of growth initiatives Larger investment in OUTsurance Ireland Operating losses generated by growth initiatives as % of operating profit from mature business units (R’million) 13 322 128 99 122 137 241 73 72 126 328 56 218 448 489 18.0% 8.6% 8.8% 8.7% 9.8% -100.0% -80.0% -60.0% -40.0% -20.0% 0.0% 0 100 200 300 400 500 600 700 800 900 Jun 22 Jun 23 Jun 24 Jun 25 Jun 26 OUTsurance Ireland Group Youi CTP Youi BZI OUTsurance Life (Funeral and Financial Advisors) OUTsurance Business Brokers Operating loss of growth initiatives as a % of operating profit from mature businesses
Page 14
FINANCIAL REVIEW
Page 15
OUTsurance Group Limited Financial Results 2026 Higher natural perils exposure which was most pronounced in Australia. Improved working claims in OUTsurance SA and a satisfactory performance by OUTsurance Ireland. Improved cost efficiency delivered by each operating segment. Full ESOP to CSP transition resulted in structurally reduced share-based payment expenses. Stronger Rand against the AUD diluted Youi’s operational gains on Group reported results. Strong organic premium growth in a lower overall premium inflationary environment. Financial review Themes impacting our financial performance Premium growth Claims Claims Stronger Rand Expenses 15 Favourable 2026 and 2027 renewals aligned to improved market conditions. Lower equity returns, coupled with large year-on-year movement on TRS hedging the ESOP. Reinsurance Investment returns Expenses
Page 16
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividend and capital position PART 4 OUTsurance Ireland results 16
Page 17
OUTsurance Group Limited Financial Results 2026 R’ million 2026 2025 % change Normalised earnings 5 605 4 728 18.5% Normalised ROE 38.3% 33.0% Normalised earnings per share (cents) 362.2 306.2 18.3% Diluted normalised earnings per share (cents) 360.8 304.6 18.5% Ordinary dividend per share (cents) 291.5 237.6 22.7% Special dividend per share (cents) 117.8 33.1 >100% OGL Group consolidated results overview • The earnings growth differential between the normalised earnings outcomes of OGL and OHL is attributed to: • The decrease in associate earnings driven by lower earnings from Polar Star. • OGL’s effective interest in OHL increased from 92.2% at the beginning of 2025 to 92.8% in the 2026 financial year. • The higher ordinary dividend is on account of OUTsurance SA representing a larger portion of Group earnings. OUTsurance SA operates at a higher dividend pay-out ratio than Youi. • The special dividend is supported by the following capital surpluses: • Capital released from the settlement of the ESOP scheme. • The release of capital linked to the run-off of the BZI book. OUTsurance Holdings Limited (OHL) 6 000 4 962 20.9% Non-controlling interest (OHL minorities) (433) (390) (11.0%) OGL Central / RMI Treasury Company1 38 156 (75.6%) OUTsurance Group Limited (OGL) 5 605 4 728 18.5% Key performance outcomes Contribution to normalised earnings 1 Holds a portfolio of associate investment and financial assets. 17
Page 18
OUTsurance Group Limited Financial Results 2026 OHL Group consolidated results overview 2 316 3 310 3830 4 962 6 000 Despite the significant storm losses incurred by Youi, OHL’s normalised earnings increased by 20.9%, owing to OUTsurance SA’s strong underwriting result, assisted by the lower share-based payments expense. • The Normalised ROE improved from 36.4% to 40.4% on the account of the favourable earnings performance and projects which delivered structural capital efficiency. • Since FY2026 the OHL Group targets a normalised ROE in the range of 30% to 35%. In the long-run the Normalised ROE is expected to operate within the target band. 1 885 2 108 2 541 3 208 4 450 357 1 258 1 469 2 156 2 016 74 ( 56) ( 180) ( 402) ( 466) Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 OUTsurance South Africa Youi (net of minorities) Hastings OUTsurance Ireland 22.0% 29.8% 30.7% 36.4% 40.4% Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 OHL Group normalised ROE (%) 18 OHL Group normalised earnings (R million)
Page 19
OUTsurance Group Limited Financial Results 2026 R’ million 2026 2025 % change Gross written premium (Excl. BZI) 40 823 35 290 15.7% Net earned premium (Excl. BZI) 36 880 31 062 18.7% Net earned premium 38 415 34 147 12.5% Annualised new business premium written (Excl. BZI) 11 912 10 276 15.9% Normalised operating profit1 7 407 5 686 30.3% Normalised earnings 5 866 4 816 21.8% Claims ratio 54.9% 53.6% Normalised Insurance cost-to-income ratio 27.3% 31.5% Indicative Insurance cost-to-income ratio assuming ESOP conversion to CSP2,4 27.3% 28.9% Normalise combined ratio3,4 82.6% 85.6% Operational performance – Property and Casualty 1 Prior year operating profit for OUTsurance SA includes a normalised adjustment of R123 million for the profit resulting from the termination of an intragroup lease following an internal capital restructuring. 2 Excluding the excess share-based payment relating to the final tranche of the ESOP and including the indicative CSP expense, which was prevalent in the prior financial year. 3 Net of profit share distributions paid to FirstRand Limited on the HOC arrangement. 4The cost-to-income and combined ratio was also normalised for the R123 million profit from termination of the intragroup lease. P&C key performance outcomes 68.7% 37.9% (6.6%) OUTsurance SA Youi Group OUTsurance Ireland P&C OPERATING PROFIT CONTRIBUTION • Pleasing organic growth while lower premium inflation continued to be observed. • The claims ratio increased due to Youi’s higher natural perils claims and a higher Youi CTP claims ratio. These factors were offset by good working claims outcomes in OUTsurance SA. • The lower cost to income ratio reflects the structurally lower share-based payment expense for the year and general cost efficiency across the Group. • All operating segments observed favourable trends in their respective cost-to-income ratios. 1919
Page 20
OUTsurance Group Limited Financial Results 2026 Contribution of investment income to operating profit Proportional contribution of investment income generated on insurance liabilities OUTsurance SA Youi P&C Group1 1 Includes OUTsurance Ireland • Youi’s Investment income continues to grow structurally owing to the growing insurance book. • Investment income contributed a larger proportion of Youi’s operating profit due to the decline in underwriting profit but also some interest rate increases in the second half of the financial year. • OUTsurance SA’s investment income slightly decreased due to lower claims liabilities. • OUTsurance Ireland’s underwriting profit improved in proportion to investment income. The latter was negatively impacted by the softer EU interest rate environment. 20 0.8% 0.5% 99.2% 99.5% Jun 2025 Jun 2026 16.1% 19.1% 83.9% 80.9% Jun 2025 Jun 2026 Underwriting result Investment income on technical reserves, net of insurance finance expense 8.8% 7.7% 91.2% 92.3% Jun 2025 Jun 2026
Page 21
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividend and capital position PART 4 OUTsurance Ireland results 21
Page 22
OUTsurance Group Limited Financial Results 2026 • Satisfactory premium growth with favourable claims experience contributing to lower customer premium inflation. • Lower claims ratio across Personal and Business, despite the increase of natural peril claims from the Eastern- and Western Cape storms. • The year-on-year comparison in investment income is distorted by mark-to-market adjustments on the TRS instrument which hedged the large exposure of the final ESOP tranche settled in September 2025. • Both the Personal and Business segments delivered improved cost-to-income ratios driven by cost efficiency. The reduction in Central costs illustrates the structurally lower share-based payments expense. OUTsurance SA R’ million 2026 2025 % change Gross written premium 14 342 13 353 7.4% Net earned premium 14 151 13 149 7.6% Normalised operating profit 5 090 3 134 62.4% OUTsurance Personal1 4 290 3 751 14.4% OUTsurance Business 1 044 697 49.8% Central costs (including excess share-based payments)2 (244) (1 314) 81.4% Normalised investment income3 724 1 049 (31.0%) Normalised earnings 4 196 2 928 43.3% Claims ratio (%) 41.9% 44.6% Normalised cost-to-income ratio (%)4 22.3% 31.7% Indicative Insurance cost-to-income ratio assuming ESOP conversion to CSP4,5 22.2% 25.1% Normalised combined ratio (%)1,4 65.2% 77.7% 1 After profit share distribution paid to FirstRand Limited on HOC arrangement. 2Prior year operating profit for OUTsurance includes a normalised adjustment of R123 million for the profit resulting from the termination of an intragroup lease following an internal capital restructuring and the excess share-based payment expense of R1 176 million. 3Investment income on insurance liabilities (gross of insurance finance expense) are normalised to exclude a R4 million gain (2025: R140 million gain) made on OGL shares which are held to hedge the conditional share plan. 4The prior year cost-to-income and combined ratio were normalised for the R123 million profit from termination of an intragroup lease agreement. 5Prior year cost-to-income ratio ignores the impact of the excess share-based payments expense of the final ESOP tranche and includes the indicative CSP expense, which was prevalent in the prior financial year. OUTsurance SA key financial outcomes 22
Page 23
OUTsurance Group Limited Financial Results 2026 • Excluding the HOC book (in run-off), OUTsurance Personal grew gross written premium by 7.7%. The lower growth rate compared to the prior year is illustrative of the lower premium inflationary cycle. • The lower claims ratio is driven by positive frequency trends and underwriting improvements. • Continued cost discipline delivered an excellent outcome that enhances premium competitiveness. • Operating profit increased by 14.4%. OUTsurance SA Personal R’million Gross written premium Operating profit Combined ratio 10 335 10 960 Jun 2025 Jun 2026 3 751 4 290 Jun 2025 Jun 2026 +14.4% 61.5%64.6% 1.8% 1.4% 44.0% 42.0% 18.8% 18.1% Jun 2025 Jun 2026 Cost-to-income ratio Claims ratio Profit share 23 +6.0% (7.7% excl. HOC)
Page 24
OUTsurance Group Limited Financial Results 2026 OUTsurance SA Business 697 1 044 78.5% 69.9% R’million Gross written premium Operating profit Combined ratio • OUTsurance SA Business delivered 12.1% gross written premium growth, largely driven by the OUTsurance Brokers channel which represents the largest component of revenue. • The improvement in the claim's ratio is attributed to a maturing book, positive frequency trends and underwriting improvements. • The improvement in the cost-to-income ratio was driven by economies of scale in the OUTsurance Broker channel. 3 018 3 382 Jun 2025 Jun 2026 +12.1% 3 018 3 382 697 1 044 Jun 2025 Jun 2026 +49.8% 46.7% 41.2% 31.8% 28.7% Jun 2025 Jun 2026 Cost-to-income ratio Claims ratio 24
Page 25
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividend and capital position PART 4 OUTsurance Ireland results 25
Page 26
OUTsurance Group Limited Financial Results 2026 Youi Group R’million 2026 2025 % change Gross written premium (Excl. BZI) 25 680 21 668 18.5% Gross written premium 25 609 25 160 1.8% Net earned premium (Excl. BZI) 22 260 17 845 24.7% Net earned premium 23 795 20 930 13.7% Operating profit 2 806 3 000 (6.5%) Direct 2 787 2 916 (4.4%) BZI 347 210 65.2% CTP (328) (126) (>100%) Investment income1 811 778 4.2% Headline earnings 2 136 2 290 (6.7%) Claims ratio (%) 62.2% 58.5% Cost-to-income ratio (%) 28.3% 29.9% Combined ratio (%) 90.5% 88.4% AUD/ ZAR average exchange rate 11.46 11.73 Youi Group key financial outcomes 1 Investment income on insurance liabilities (gross of insurance finance expense) and net investment income on shareholder capital. 26 • GWP increased with 18.5% (21.3% in AUD) owing to good organic growth against a simplified direct distribution strategy following the run-off of the BZI book. • The strong operational performance of Youi is offset by the higher natural peril claims. • BZI’s improvement in operating profit is attributed to favourable prior year claims liability development and reduced natural perils exposure. • The increasing operating loss generated by CTP is due to the strain of continued adverse experience in common law claims, specifically in New South Wales (NSW).
Page 27
OUTsurance Group Limited Financial Results 2026 20 138 23 850 1 530 1 830 Jun 2025 Jun 2026 • Measured in AUD, gross written and net earned premiums (both excl BZI) grew by 21.3% and 27.7% respectively. • In contrast to the prior year, the increase in the claims ratio from 58.5% to 62.2% was due to unfavorable weather and a challenging prior CTP claims ratio. • The improved cost-to-income ratio illustrates the increasing economies of scale and management’s continued focus on cost discipline. Youi Group 3 000 2 806 88.4% 90.5% Gross written premium (Excl. BZI) Operating profit Combined ratio R’million 21 668 25 680 +18.5% Excl. BZI 2 916 2 787 210 347 ( 126) ( 328) Jun 2025 Jun 2026 Youi Direct BZI CTP (6.5%) 58.5% 62.2% 29.9% 28.3% Jun 2025 Jun 2026 Claims ratio Cost-to-income ratio 27
Page 28
OUTsurance Group Limited Financial Results 2026 • In AUD, gross written and net earned premiums grew by 21.2% and 25.7%, respectively despite moderating premium inflation. • The Direct channel's sustained organic growth translated into strong growth in gross written premium. • The claims ratio increased from 55.2% to 58.8% on account of the higher weather-related claims. • The cost-to-income ratio improved marginally owing to further economies of scale. Youi Direct 84.8% 88.3% Gross written premium (GWP) Operating profit Combined ratio R’million 20 138 23 850 Jun 2025 Jun 2026 +18.4% 2 916 2 787 Jun 2025 Jun 2026 (4.4%) 55.2% 58.8% 29.6% 29.5% Jun 2025 Jun 2026 Claims ratio Cost-to-income ratio 28
Page 29
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividend and capital position PART 4 OUTsurance Ireland results 29
Page 30
OUTsurance Group Limited Financial Results 2026 • OUTsurance Ireland is making steady progress as a new entrant in the Irish market with gross written premium increasing from €14 million to €41 million in the 2026 financial year. • The 2026 operating loss represented the peak of the expected J-curve with an observed decline in the monthly operating loss profile over the second half of the 2026 financial year. • The lower onerous loss charge reflects the improved economies of scale, and satisfactory claims ratio considering the early stage of the business. • Lower investment income is due to the softer European interest rate environment. OUTsurance Ireland R’ million 2026 2025 % change Gross written premium 801 269 >100% Net earned premium 469 68 >100% Operating loss (489) (448) (9.2%) Operating loss (excluding onerous loss allowance) (468) (326) (43.6%) Net onerous loss allowance (21) (122) 82.8% Investment income1 37 51 (27.5%) Headline loss (466) (402) (15.9%) Net Claims ratio 78.0% >100% Claims ratio (excluding onerous loss) 73.5% Onerous loss component 4.5% EUR/ZAR average exchange rate 19.64 19.77 (0.7%) 1 Investment income on insurance liabilities (gross of insurance finance expense) and shareholder capital. The capital surplus held to support the start-up phase of the business, is the key driver of investment income. OUTsurance Ireland key financial outcomes 30
Page 31
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividend and capital position PART 4 OUTsurance Ireland results 31
Page 32
OUTsurance Group Limited Financial Results 2026 OUTsurance Life R’ million 2026 2025 % change Accounting measures Operating profit 407 438 (7.1%) Life Direct (Underwritten Life and Funeral Direct) 372 546 (31.9%) Funeral partnership 98 52 88.5% Central1 (63) (160) 60.6% Normalised earnings 280 349 (19.8%) Value metrics2 Contractual service margin (CSM per IFRS 17) 1 995 1 667 19.7% CSM replacement ratio 1.43 1.40 Comprehensive Equity 2 892 2 371 22.0% Return on comprehensive equity 20.7% 29.1% Value of new business (VNB)3 457 323 41.5% VNB margin (%) 23.7% 22.1% 1Includes higher than budgeted share-based payment expense of R137 million in the prior period. 2 In line with the adoption of the new Comprehensive Equity framework, as explained on page 40 of the integrated report, the va lue metrics include the Return on Comprehensive Equity, Value of new business and VNB margin which have been restated. The relevant calculation bases have been amended to ensure overall alignment. 3 The value of new business written under the Comprehensive Equity metrics is measured against period end assumptions. This deviates from the new business calculation in the CSM which assumes mortality, morbidity and lapse assumptions at date of inception. OUTsurance Life key financial outcomes • The VNB written increased by 41.5% over the prior year, reflecting satisfactory volume and new business margins. The VNB margin increased from 22.1% to 23.7%. • The stronger operational performance is underpinned by structural and product simplifications which have resulted in significant cost efficiency. • The impact of yield curves is more prominent on Life Direct that sells predominantly underwritten life products with a longer tail. The 2025 result included a net yield gain of R43 million compared to a R58 million deficit in 2026. This outcome has distorted the comparability of earnings. • The Central segment incurred a lower share-base payment charge for the year owing to the CSP conversion. 32
Page 33
OUTsurance Group Limited Financial Results 2026 Financial review PART 1 OGL and OHL consolidated results PART 2 OUTsurance SA results PART 3 Youi Group results PART 5 OUTsurance Life results PART 6 Dividends and capital position PART 4 OUTsurance Ireland results 33
Page 34
OUTsurance Group Limited Financial Results 2026 • Youi’s SCR ratio is trading above its target band as a result of the capital surplus which has emerged from the run-off of the historically capital intensive BZI book. • The release of Youi and OUTsurance’s capital surpluses are the main drivers of the OHL / OGL special dividends. • OUTsurance Life’s SCR ratio decreased from 2.2 to 1.9 due to the impact of large yield movements on the calculation of the SCR. Capital position and dividends Strong solvency positions and release of surplus capital SCR ratio (pre-dividend) 2026 2025 Target OHL Group 2.2 2.3 1.5 Property and casualty insurance OUTsurance SA 2.2 1.8 1.3 Youi Group 2.2 2.3 1.5 - 1.8 OUTsurance Ireland Group 3.5 8.7 1.5 Long-term insurance OUTsurance Life 1.9 2.2 1.3 – 1.7 OGL ordinary and special dividends declared per share (cents per share) OHL ordinary and special dividend (R’million) 65.5 134.8 174.4 237.6 291.5 142 8.5 40 33.1 117.8 56.6% 71.8% 76.1% 77.6% 80.5% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 0 50 100 150 200 250 300 350 400 450 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 Ordinary dividend Special dividend Ordinary dividend pay-out ratio • Final ordinary dividend declared:170.8 cents • Final special dividend declared: 87.5 cents 1 850 2 298 2 934 3 799 4 863 3115 380 1140 85.1% 64.5% 76.9% 76.7% 81.0% -40.0% -20.0% 0.0% 20.0% 40.0% 60.0% 80.0% -1 000 -500 0 500 1 000 1 500 2 000 2 500 3 000 3 500 4 000 4 500 5 000 5 500 6 000 6 500 Jun 2022 Jun 2023 Jun 2024 Jun 2025 Jun 2026 Ordinary dividend Special dividend Ordinary dividend pay-out ratio 34
Page 35
OUTLOOK & STRATEGIC FOCUS AREAS
Page 36
OUTsurance Group Limited Financial Results 2026 Group outlook and strategic focus areas • Large runway for growth in our core direct markets given low market shares and strong momentum in key areas. • Lower premium inflationary environment. • OUTsurance SA and Youi’s operating model are relatively well insulated from macro-economic factors. • The organic growth strategy will drive strong top-line to bottom-line conversion. Organic growth 36 • OUTsurance Ireland is a core component of our long-term growth and diversification strategy. • FY2027 will see further incremental scaling of the business. • Monthly break-even is still expected to be reached in the 2029 financial year. Delivering on the OUTsurance Ireland business plan • The systems modernisation project has delivered tangible operational efficiency which underpins the approach to in-house systems development. • Further operational gains are expected as the roll-out of new modules continues. • The modernised systems platform positions the Group well for further AI adoption. Systems modernisation The Group is well positioned to deliver profitable organic growth
Page 37
OUTsurance Group Limited Financial Results 2026 Group outlook and strategic focus areas • Notable efficiency gains have been achieved over the last two financial years. • Cost efficiency remains a core strategic objective to drive premium competitiveness and we see room for further gains into the future. Cost efficiency 37 • With reinsurance catastrophe attachment points remaining unchanged into FY2027, the profile of the Group’s earnings volatility should further improve. • Youi’s growing contribution to the Group’s volume and earnings measures may result in greater reporting currency volatility. • Investment income may be volatile given current macro economic factors. Earnings volatility • Significant progress have been made to simplify the structure of the Group and optimise capital efficiency. • Subsequent to 30 June 2026, terms have been reached to dispose of the Group’s interest in Polar Star. • Discussions with OHL minority shareholders in connection with a potential roll-up transaction will commence in due course. Structural simplification The Group is well positioned to deliver profitable organic growth
Page 38
OUTsurance Group Limited Financial Results 2026 This presentation contains statements about the OUTsuranceGroup that are or may be forward-looking statements. All statements, other than statements of historical fact are, or may be deemed to be, forward-looking statements. These forward-looking statements are not based on historical facts, but rather reflect current expectations concerning future results and events and generally, but not always, may be identified by the use of forward-looking words or phrases such as, but not limited to, “believe”, “aim”, “expect”, “anticipate”, “intend”, “foresee”, “forecast”, “likely”, “should”, “planned”, “may”, “will”, “outlook”, “project” “estimated”, “potential” or similar words and phrases. Examples of forward-looking statements include statements regarding a future financial position or future profits, expected profit or growth margins, cash flows, corporate strategy, estimates of capital expenditures, acquisition strategy, or future capital expenditure levels, and other economic, fiscal and political factors. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The OUTsurance Group cautions that forward-looking statements are not guarantees of future performance. Actual results, financial and operating conditions, liquidity and the developments within the industry in which the OUTsurance Group operates may differ materially from those made in, or suggested by, the forward-looking statements contained in this presentation. Each of these forward-looking statements are based on estimates and assumptions, all of which, although the OUTsurance Group may believe them to be reasonable, are inherently uncertain. Such estimates, assumptions or statements may not eventuate. Many factors (including factors not yet known to the OUTsurance Group, or not currently considered material) could cause the actual results,performance or achievements to be materially different from any future results, performance or achievements expressed or implied in those estimates, statements or assumptions. Shareholders should keep in mind that any forward-looking statement made in this presentation or elsewhere, is applicable only at the date on which such forward- looking statement is made. New factors that could cause the business of the OUTsurance Group, or other matters to which such forward-looking statements relate, not to develop as expected may emerge from time to time and it is not possible to predict all of them. Further, the extent to which any factor or combination of factors may cause actual results to differ materially from those contained in any forward-looking statement are not known. The OUTsurance Group has no duty to, and does not intend to, update or revise the forward-looking statements contained in this presentation after the date of this presentation, except as may be required by law. Any forward-looking statements have not been reviewed nor reported on by the external auditors. Forward-looking statement disclaimer 38
Page 39
Contact: InvestorRelations@out.co.za group.outsurance.co.za Thank you
Page 40
SUPPLEMENTARY INFORMATION
Page 41
OUTsurance Group Limited Financial Results 2026 Group structure OUTsurance employees Operating insurance entities OUTsurance Insurance (SA) 100% OUTsurance Life (SA) 100% OUTsurance Ireland Group (Ireland) 100% Youi Group (Australia) 94.8% Operating administrative entities OUTsurance Shared Services 100% RMI Treasury Company PolarStar 25.0% Prodigy Finance 10.9% OUTsurance Holdings Limited Registered holding company OUTsurance Group Limited listed on the JSE 7.17% 92.83% 100% 41
Page 42
OUTsurance Group Limited Financial Results 2026 Youi BZI Broker channel exit 7.0% 93.0% Operating profit contribution by channel 2026 2025 42 • With effect 1 July 2025, Youi ceased writing new business in the BZI Broker channel. The final remaining policies expired on 30 June 2026. • Unsettled claims liabilities will continue to incrementally run-off, the majority of which is expected to occur over the next financial year. • The BZI book produced an operating profit of A$30 million for 2026, which is attributable to favourable prior year claims liability development and reduced natural perils exposure. • The adjacent graphs show the contribution of BZI to the GWP and operating profit of Youi for the 2025 and 2026 financial year. • BZI contributed negative 0.3% to Youi’s GWP with the negative movement being associated with cancellations of policies post 30 June 2025. On a net earned premium basis BZI contributed 6.5% to Youi’s overall net earned premium compared to 14.7% in the prior period. • The net earned premium reflects the earn through of the gross premiums written prior to 30 June 2025. (0.3%) 100.3% BZI (Personal and Commercial) Direct + CTP Gross written premium contribution by channel 12.4% 87.6% 13.9% 86.1% BZI (Personal and Commercial) Direct + CTP Operating profit contribution by channel Gross written premium contribution by channel
Page 43
OUTsurance Group Limited Financial Results 2026 Total normalised investment income • The total normalised investment income earned by OHL is 17.6% lower. This is owing to the mark-to- market effects of the TRS hedging the final tranche of the ESOP. At the end of the 2025 financial year the TRS embedded a large gain, which partially reversed in 2026 before unwinding. The TRS was profitable over its contractual duration and reduced the economic cost of the ESOP. • OUTsurance SA’s investment income on capital benefited form the surplus capital position and proportionally lower financial assets contributed to technical liabilities. • The normalised investment income excludes the return on the OGL shares held to back the CSP instruments. These fair value movements are also excluded from normalised earnings as it is deemed to be in favour of the participants and not the company. 1 049 724 778 811 51 37 189 280 2 290 1 887 * Includes investment income generated in the holding company and other non-operating entities. Net income earned on insurance liabilities vs investment income on share capital 43 162 153 573 543 4 12 139 273 878 981 648 741 205 268 47 25 27 12 1 138 1 084 233 ( 216) 22 ( 10) 267 ( 231) 6 46 1 5 7 53 Jun 2025 Jun 2026 Jun 2025 Jun 2026 Jun 2025 Jun 2026 Jun 2025 Jun 2026 Jun 2025 Jun 2026 OUTsurance Youi Ireland OUTsurance Life OHL Group* Investment income on insurance liabilities Investment inome on capital Unrealised gain on TRS Dividend income on TRS
Page 44
OUTsurance Group Limited Financial Results 2026 Share-based payments expense incurred by the South African operation ESOP = Employee Share Option Plan (legacy scheme) CSP = Conditional Share Plan (replacement scheme for the ESOP) LTIP = Collectively refers to long-term incentives (ESOP and CSP) 1 505 235 212 1 300 29 6 205 206 206 Jun 2025 Actual Jun 2026 Actual Jun 2026 Indicative ESOP CSP • The share-based payments expense was thematic to recent results seasons due to the rapid growth in the share price of the Group since the listing transition. • The final vintage of the ESOP (Employee Share Option Plan) scheme vested in September 2025. Going forward the share-based payments expense is driven by the Conditional share Plan (CSP). • The indicative share-based payment expense assumes a scenario where the ESOP scheme had already been converted to the CSP scheme. • The CSP is significantly less geared to share price movements compared to the legacy ESOP plan. This transition has structurally reset the share-based payment expense. 44
Page 45
OUTsurance Group Limited Financial Results 2026 Normalised earnings reconciliation – OGL and OHL R’ million OGL 2026 OGL 2025 % change OHL 2026 OHL 2025 %change Earnings attributable to ordinary shareholders 5 623 4 707 19.5% 5 992 5 151 16.3% Adjustment for: Impairment of investments in associates 42 - - - Loss on sale of property and equipment 5 1 5 1 Loss / (profit) on sale of assets held for sale 4 (35) 5 - Profit on sale of investment in associates - (153) - (116) Impairment of assets held for sale - 10 - 10 Tax effect of headline earnings adjustments 1 55 - (2) Headline earnings attributable to ordinary shareholders 5 675 4 585 23.8% 6 002 5 044 19.0% Adjustment for: Recognition of deferred tax asset resulting from assessed loss (80) - (86) - Fair value adjustments on derivative financial instruments1 27 (12) 29 (13) Remeasurement of deferred receivable (20) 27 - - Discounting effect of deferred receivable (5) 2 - - Adjustment for group treasury shares and treatment of share incentive scheme2 4 30 (4) (256) Amortisation of intangible assets relating to business combinations 4 4 - - Taxation on capital gain in respect of the share trust wind-up3 - 92 - 100 Differential between equity and cash settled expenses - - 59 87 Normalised earnings attributable to ordinary shareholders 5 605 4 728 18.5% 6 000 4 962 20.9% 1 Fair value movement on hedging instruments held for capital transactions. 2 Dividend income, tax effect on fair value gains on treasury shares held and tax effect on the difference between equity and c ash settled treatment of CSP share scheme. 3The capital gains tax arising on the wind-up of the OHL share trust. 45
Page 46
OUTsurance Group Limited Financial Results 2026 R’ million 2026 2025 % change OUTsurance SA 4 196 2 928 43.3% Youi Group 2 136 2 290 (6.7%) OUTsurance Ireland (466) (402) (15.9%) OUTsurance Life 280 349 (19.8%) Administration services 54 28 92.9% Central and consolidation adjustments1 (80) (97) 17.5% Non-controlling interest (120) (134) 10.4% OUTsurance Holdings Limited 6 000 4 962 20.9% Non-controlling interest (433) (390) (11.0%) Central/Treasury Company 38 156 (75.6%) OUTsurance Group Limited 5 605 4 728 18.5% Sources of normalised earnings Buildup of normalised earnings by entity as attributed to the OHL and overall OGL Group 46