Hearts and Minds Investments (HM1) investor relations material

Executive summary

• Reported total comprehensive income after tax of $3.0 million for the half-year ended 31 December 2025, down from $115.3 million in the prior corresponding period.

• Investment portfolio performance was flat, with a 0.4% return after expenses and before taxes, compared to 23.6% in the previous half-year.

• Portfolio impacted by both positive and negative returns, including a full write-down of Corporate Travel Management following its trading suspension.

• Post-tax NTA per share increased by 0.4% before dividend payment, but decreased by 2.3% after paying a 9.0 cent fully franked dividend.

Financial highlights

• Net income for the period was $4.5 million, with total comprehensive income of $3.0 million.

• Basic and diluted EPS was 1.96 cents, down from 40.15 cents in the prior period.

• Total investment income was $13.6 million, significantly lower than $137.5 million in the prior half-year.

• Share price increased 4.9% over the half-year, with a total shareholder return of 7.9% including dividends.

• Since inception, annualised investment return is 10.8% per annum.

Outlook and guidance

• Interim fully franked dividend of 9.5 cents per share declared, payable on 16 April 2026.

• No other significant events or changes in outlook reported post period-end.