Investor Presentaiton

Macquarie FY20 result announcement I macquarie.com Introduction Overview of Result Result Analysis and Financial Management. Outlook Appendices Macquarie Capital Results driven by lower investment-related income, lower fee and commission income, higher credit and other impairment charges and higher operating expenses $Am 2,000 1,600 1,200 800 400 1,774 (760) (72) (95) 755 0 FY19 NPC Investment -related income 1 Credit and Other impairments Fee and commission income Operating expenses FY20 NPC KEY DRIVERS ⚫ Lower investment-related income predominantly due to: O MACQUARIE Lower revenue from asset realisations compared to a strong prior year Lower interest and trading income primarily due to higher funding costs for balance sheet positions reflecting increased activity A change in the composition of investments in the portfolio including increased development expenditure in relation to green energy projects Increased Credit impairment charges primarily related to a small number of loan facilities in the debt portfolio and a deterioration in current and expected macroeconomic conditions as a result of COVID-19 impacting the performing loan portfolio ⚫ Lower fee and commission income due to lower debt capital markets fee income and other fee income, partially offset by higher mergers and acquisitions fee income Higher operating expenses relating to additional headcount in the US and Europe to support future business growth and unfavourable foreign exchange movements 1. Includes net income on equity and debt investments, share of net losses of associates and joint ventures, net interest and trading (expense)/income (which represents the interest earned from debt investments and the funding costs associated with Macquarie Capital's balance sheet positions), other (expenses)/income, internal management revenue and non-controlling interests. 41

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