Investor Presentaiton

Capital position T FY21 1H22 FY22 Gross debt Cash and cash equivalents Net debt $16.4b $1.1b $14.9b $1.7b $15.3b $13.2b Average gross borrowing cost¹ 3.8% 3.7% $13.8b $1.0b $12.7b 3.7% Average debt maturity (years) 1 3.4 3.3 3.1 Financial parameters² Comfort Zones Debt servicing 1.5-2.0x 2.0x 1.9x Gearing 50% to 70% 50.0% 43.1% 1.8x 43.0% Net debt declined ~$2.6b in FY22 supported by our free cashflow and proceeds from disposal of interest in our Towers business Average gross borrowing cost declined marginally over FY22. Debt portfolio is hedged at ~ 65% fixed interest Strong liquidity. $1.0b cash and $3.8b of unused committed bank facilities Interest cover >7x 13.2x 13.0 14.5 Ratios Balance sheet strength and flexibility. Improved debt servicing ratio driven by reducing net debt. Digicel Pacific acquisition increases proforma debt servicing ~0.1x. Capex³ to sales ROE3 ROIC³ Underlying ROIC³ 14.4% 13.4% 12.8% 9.1% 7.5% 6.0% 14.5% 11.3% 7.1% Accrued capex³ of $3,042m in FY22 (guidance basis) Momentum to FY23 Underlying ROIC target of ~8% 5.0% 6.2% 7.0% 1. Excludes leases. 2. Debt servicing calculated as net debt over reported EBITDA. Gearing calculated as net debt over total net debt and equity. Interest cover calculated as reported EBITDA over net interest expense (excluding capitalised interest, revaluation impacts on our borrowings and derivatives and other non-cash accounting impacts). 3. Refer to definition in the Glossary. Page 16 Copyright Telstra Telstra August 2022 Debt Investor Presentation

View entire presentation