nib (NHF) investor relations material

Executive summary

• Underlying operating profit (UOP) rose 22% to AUD 129.1 million for H1 FY26, driven by 7.7% revenue growth and strong performance across all segments, with disciplined growth in core markets and significant progress in operational and digital transformation.

• Net profit after tax (NPAT) was AUD 82.9 million, with disciplined expense management and productivity gains supporting margins; EPS slightly down to 17.0 cents per share.

• All business segments contributed positively, with notable strength in international and New Zealand operations.

• Portfolio simplification continued with the sale of the World Nomads International travel insurance business for AUD 67.5 million, with ongoing review of AU/NZ travel businesses.

• Interim dividend of AUD 0.13 per share, fully franked, consistent with the prior year.

Financial highlights

• Group revenue reached AUD 1.9 billion, up 7.7% year-over-year; total persons covered increased 1.9% to 1,947,045.

• Group incurred claims rose 7.9%, reflecting continued support for providers and improved customer value.

• Operating expense ratio reduced by 100 basis points to 16.5%; ROIC increased to 14.7%.

• Net investment income declined due to lower returns from equities compared to 1H25.

• Interim dividend maintained at 13.0 cps, fully franked.

Outlook and guidance

• FY26 Group UOP expected in the range of AUD 257 million–AUD 267 million, assuming full-year contribution from travel segment.

• Further reductions in the group operating expense ratio anticipated, with ongoing productivity program.

• Targeting above-system policyholder growth and stable full-year underlying net margin in the 6%-7% range for Australian residents.

• International and New Zealand segments expected to continue strong contributions; Health Services profitability to continue.

• Strategic review of travel business ongoing, with sale of World Nomads agreed post-period.