Lendlease Group (LLC) investor relations material

Executive summary

• Achieved a return to profitability in FY25 with $386M operating profit after tax and $225M statutory profit, reversing prior year losses.

• Delivered $141M in annualized run rate savings, exceeding targets, and identified an additional $50M for FY26.

• Completed major restructuring, including a 35–38% reduction in FTEs and divestment of international construction operations, materially improving risk profile.

• Over $2.5B in capital recycling transactions completed or announced, with $2B targeted for FY26 and $1B at an advanced stage.

• Distribution per security increased 44% to 23¢, payout ratio 41%.

Financial highlights

• Operating EBITDA rose to $1.04B from a $328M loss in FY24; segment operating EBITDA was $1.04B.

• Operating earnings per security were 55.9¢, in line with guidance; statutory EPS was 32.6¢.

• Net debt at June 30 was $3.4B, up $1B year-over-year, with gearing at 26.6%.

• $3B in committed and available liquidity at year-end; interest cover improved to 3.6x.

• Net overheads reduced 13% to $466M, with depreciation and amortisation down $29M.

Outlook and guidance

• No overall group guidance; IDC segment earnings per security for FY26 guided at $0.28–$0.34.

• $2B in capital recycling targeted for FY26, with $1B at advanced stage.

• Gearing targeted at or below 15% by end of FY26; exit run rate overheads targeted at ~$350M.

• Additional $50M in pre-tax run-rate cost savings targeted for FY26.

• Medium-term focus on double-digit equity returns, growing FUM at 8–10% CAGR, and annual revenue to $5B+.