#1Pending#2Pending#3Strategy and Overview Great Southern Bank#4Driving focus and disciplined growth Our Purpose Our Strategy Our Priorities Customer Growth Our Values Helping all Australians own their own home Double our share of the home loan market Operational Excellence Driving profitable and targeted customer growth. Developing consistent operational excellence and turning constraints into enablers. Disciplined Execution Building financial and organisational sustainability through disciplined execution. Great Southern Bank Growth Customer obsessed Impact Genuine 4 / Investor Presentation#5Pending#6Annual Highlights June 23 $19.39bn Total Assets Dec 23 $19.46bn Total Assets Strong Operational Performance Days for unconditional approval Jun Dec 23 23 4.7 3.8 (Time-to-yes) Applications receiving a time-to-yes of 2 days or less 46% 58% $13.02bn Total customer deposits $16.02bn Total Loan Book ↑ $13.33bn Total customer deposits $16.22bn Total Loan Book Record Lendfast' adoption 92% 95% Accredited brokers 6,200 8,300 401k+ Active Members Our Branch Network June 22 June 23 410k+ Queensland 14 12 New South Wales 11 11 Active Members Victoria 6 6 Western Australia 1 1 Australian Capital Territory 1 0 Total branches 33 30 4.47 Employee engagement score 1. LendFast is the home loan origination system which was implemented through the HLT project. NOTE: 1H24 and 1H23 results cover the 6-month period from July to December. These results are unaudited and are subject to change. Great Southern Bank 6/ Investor Presentation#7Pending#8Launching our digital only SME business Background So what are we doing? SME an under- served market SME's traditionally an underserved customer base at the larger banks, with cost to serve and relatively small finance requirements needs often a barrier. Speed of access to SME finance often an issue with the larger institutions - not meeting the customer need. Bring to market a digital experience ☐ ☐ Bringing to market a purpose-built, digital banking solution with the needs of a small business owner in mind. In the next 24 months, provide a full suite of banking products covering lending and cashflow needs so coveted by the SME Market Targeting Nano and Micro customers. A total market of million. 2 2.2 Larger FI's don't prioritise this segment Strong alignment with purpose Nano and Micro segment not well understood by the larger players Fintech's target this space with a frictionless and effective digital offering SME's often run their business as their only source of income, to support their lifestyle and buy a home ~ 50% of Lending into the SME segment secured by Residential Finance SME customers a strong source of deposit generation Target Segment And we are doing this in Partnership with Constantinople Initial focus will be on trades and professional services, enabling us to address pain points and refine the offerings. Constantinople selected as our technology and operations partner to support our entry into the SME Market. Constantinople successfully completed the largest seed funding round in Australian history, with SquarePeg, Airtree and Great Southern Bank the founding investors Why? Digital Innovation Diversification of Balance Sheet Improved ROE Future Opportunity Great Southern Bank 8 / Investor Presentation#9Pending#10Pending#11Pending#12Pending#13Pending#14Pending#15Pending#16Overview - Financial Results¹ Key Outcomes Summary Financial FY23 pcp(FY22) Balance sheet FY23 pcp (FY22) Bank Statutory NPAT² $44.6m (68.2%) Capital - CET1 14.28% (50bps) Bank Cash NPAT3 $51.0m Large Capital - Total 14.57% (50bps) Bank Net Interest Income $348.6m 19.9% Group Total assets5 $19.39bn 8.5% Bank Other Income $1.6m Large Group Total liabilities $18.07bn 9.1% Bank Net Operating income $347.4m 9.5% Deposit funding 73% (1.0%) Bank Operating expenses4 $277.3m (0.7%) LT wholesale funding WAT(Remaining)6 1.6 0 Bank Cost to income 79.80% (7.0%) MLH Ratio7 15.28% 1.08% NIM 1.94% 22bps S&P BBB Moody's Baa1 1. All movements on prior comparable period unless otherwise stated. 2. PCP Includes discontinued operations. 3. Bank Cash NPAT - Impact of CUA Health Limited ("CHL") Sale and Dividends - Costs of SME Bank 4. FY23 Includes $9m project investment in SME Bank 5. Total assets excludes internal securitisation. 6. Includes senior debt and TFF. 7. Minimum liquidity holding (MLH) ratio Great Southern Bank 16 Investor Presentation#17Pending#18Pending#19Pending#20Pending#21Overview - Capital Elevated capital retained as a result of the CHL sale in FY22 Tier 2 Capital1 Sequential Movement 14.58% 15.08% 15.08% 14.99% 0.30% 0.30% 0.30% 14.57% 0.32% 0.29% Tier 1 Capital 14.25% 14.78% 14.28% 14.69% 14.78% (0.09%) (0.24%) 0.72% Leveraging CHL Proceeds Comparative Movement (0.67%) (0.12%) (0.23%) (0.49%) (0.03%) • Higher Broker deferred upfront commissions. . Higher Intangible Asset (software) balances Great Southern Bank 14.57% 0.64% (0.01%) 0.29% - (0.15%) Due to growth in balance sheet - (0.34%) Pre-Funding Initial TFF Allowance maturity in Q1 FY-24 14.28% Jun 22 Profit Project Presto (SME) Securitised Assets Jun 21 Jun 22 Jun 23 Dec 23 Home Loan Other Assets Capital Growth RWA RWA (PLs) Deductions & Other Investment Assets Other RWA Capital (incl. Op Reforms Risk) GRCL Jun 23 1. Tier 2 Capital is General Reserves for Credit Losses 21 Investor Presentation#22Pending#23Pending#24Collective Provisions and Scenario Outcomes Overlays maintained for FY23 given economic uncertainty with more weighting given to the probability of severe economic downside. Great Southern Bank Jun 22 50% Jun 23 55% Dec 23 50% Base Case Downside • . . • Base Scenario Weighting 5% 40% 5% Collective Provision Movement 2.2 34.1 30% 15% (2.3) 2.5 32.1 (0.2) 0.1 30.6 29.5 8.1 (6.9) 10% 35% 5% Upside Downside □ Severe Downside Inflation returns to target within the RBA's projected timeframe Economy continues to grow over forecast period Unemployment increases are modest Growth in house prices are maintained at modest levels • Economy falls into 'technical recession' • Unemployment rates increase beyond a neutral unemployment level House prices return to negative growth rates Larger reductions in customer spending which brings forward monetary policy easing, avoiding deep recession -3.6% Jun 21 Covid · Remote and other more severe events Severe • Inflation may remain above RBA's target band which limits RBA's ability to ease monetary policy Macro & Credit Model Provision Overlays Mvmt Jun 22 • Upside Economic indicators modestly more favorable than expected in base scenario +8.8% Macro & Model Overlays Credit Provision Mvmt Jun 23 +6.2% Macro & Model Overlays Credit Provision Mvmt Dec 23 24 / Investor Presentation#25Pending#26Pending#27Pending#28Pending#29Supporting our customers There is a diverse range of services and partners available to support customers and manage collections at all stages of the lifecycle · Key Priorities Actively managing the upcoming fixed rate towers by proactively assisting customers to a solution Helping families to stay in their homes by actively managing our home loan arrears portfolio. Supporting our customers with tailored financial assistance solutions. 48 40 40 28 Mortgagees in Possession (As % of total home loan balances) 0.021% 0.018% 0.013% 0.008% 0.007% 0.005% Jun 19 Jun 20 Jun 21 Jun 22 Jun 23 Home Loans Under Active Financial Assistance ($m) ..... 54 73 72 42 65 62 63 80 64 88 71 68 64 99 65 62 69 Dec 23 68 69 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Financial Assistance & Collections Strategies • • Short Term Pay Arrangements Payment Deferrals Partial Payments Mid Term Six Month Serviceability Arrangements Temporary Interest Only Payments • • . Permanent Term Extensions Debt Consolidation Loan Restructures Settlements 29/Investor Presentation Great Southern Bank#30Pending#31Home Lending Arrears Arrears increasing off recent lows and remain below industry averages Great Southern Bank Home loans arrears 30+ days and 90+ days arrears Arrears by product 90+ days arrears 0.68% 0.30% 0.31% 0.55% 0.28% 0.27% 0.48% 0.45% 0.43% 0.37% 0.27% 0.19% 0.29% 0.28% 0.22% 0.24% 0.14% 0.12% 0.21% 0.19% 0.13% 0.13% 0.08% 0.07% Jun 19 Dec 19 Jun 20 Dec 20 Jun 21 Dec 21 Jun 22 Dec 22 Jun 23 Dec 23 Jun 19 Dec 19 Jun 20 Dec 20 Jun 21 Dec 21 Jun 22 Dec 22 Jun 23 Dec 23 90+ days arrears 30+ days arrears Owner Occupied Investor Arrears by repayment type 90+ days arrears Arrears by state 90+ days arrears 0.70% 0.60% 0.50% 0.30% 0.29% 0.26% 0.40% 0.24% 0.21% 0.21% 0.30% 0.18% 0.20% 0.13% 0.11% 0.02% 0.00% 0.06% 0.10% 0.00% Jun 19 Dec 19 Jun 20 Dec 20 Jun 21 Dec 21 Jun 22 Dec 22 Jun 23 Dec 23 Jun 19 Dec 19 Jun 20 Dec 20 Jun 21 Dec 21 Jun 22 Dec 22 Jun 23 Dec 23 Interest Only -Principal & Interest WA VIC QLD NSW Other 31 Investor Presentation#32Pending#33Pending#34Home Lending Serviceability Tighter serviceability and underwriting standards underpinning performance Owner occupier serviceability assessment rate and floor Interest rate buffers (%) 7.20% Min. Floor Rate 6.44% 5.64% 5.59% 5.64% 2.20% 2.50% 2.50% 3.00% 4.24% 3.14% 3.09% 2.64% Jun 19 Jun 20 Jun 21 Base Rate (OO P&I) • 9.14% 8.79% 3.00% 3.00% 6.14% 5.79% Jun 22 Jun 23 Dec 23 Buffer 5.00% Min. Floor Rate Min. issuance rate Serviceability Criteria • • • • • Servicing Criteria based on Net Disposable Income (NDI) Living expense data captured at application and compared to the Household Expenditure Measure (HEM) by Income Groups, with higher of declared v HEM used. HEM reviewed quarterly Serviceability Policy set at NDI ≥ 1.0 Great Southern Bank Servicing Rate uses the home loan product interest rate and adds a buffer of 3.0%. The minimum floor interest rate is 5.0%. Sensitised interest rates used for both new and ongoing home loan liabilities All loans assessed as principal and interest (P&I) over the remaining P&I loan term. For interest-only loans the assessment uses the P&I revert rate. Effective August 2023, the Bank has enabled gearing within its serviceability methodology for investment property income. Income Verification Valuations Loan to Value Ratio (LVR) Self-Employed Verification ranges from Pay Slips, confirmed ITR (Income Tax Return) Summaries, direct Salary Credit or employer letter/contract and employer phone calls Rental income shading is 90% supported by minimum rental expense floor of 15%. Shift allowance servicing rate is 100%. Other work allowances servicing rate is 80%. Overtime and commission servicing rate is 100% for essential workers, otherwise 80%. Effective 1 July 2023 we commenced with a new Valuation product across properties in QLD called SMARTval with the intent to deploy it as an alternative valuation method across the portfolio once we are comfortable with its abilities. An independent valuation of security is undertaken for all mortgage loans. The type of valuation conducted is driven by systematic rulesets within a valuation strategy engine that considers property type, exposure amounts, model risk levels and LVR amongst other factors. The key valuations types used in addition to Formal valuations are Desktop Valuations, and AVM's (Automated Valuation Models). All formal valuation inspections are completed by a registered valuer and are completed in accordance with Australian Property Institute requirements and guidelines. Maximum LVR on Standard Security in line with market at 80% without LMI, and 95% with LMI or 98% for Family Home Guarantee Loans Various restrictions in place for maximum LVR for Rural Residential, High Density and Other Restricted security Lenders Mortgage Insurance is underwritten by Helia Genuine Savings required for LVR > 90% All self-employed applications manually assessed by Credit Assessment Income verification requires last 2 years full financial information Use lower of last year's income or average of last 2 years income as the default assessment method. 34/Investor Presentation#35Pending#36Pending#37Pending#38Pending#39Pending#40Pending#41Pending#42Great Southern Bank greatsouthernbank.com.au