FULL

YE

AR

RE

SU

LTS

201

6For

per

sona

l use

onl

y

Dis

clai

mer

The

mat

eria

l in

this

pre

sent

atio

n is

a s

umm

ary

of th

e re

sults

of n

ib h

oldi

ngs

limite

d (n

ib) f

or th

e 12

mon

ths

ende

d 30

Jun

e 20

16 a

nd a

n up

date

on

nib’

s ac

tiviti

es a

nd is

cur

rent

at t

he d

ate

of

prep

arat

ion,

22

Aug

ust 2

016.

Fur

ther

det

ails

are

pro

vide

d in

nib

’s fu

ll ye

ar a

ccou

nts

and

resu

lts a

nnou

ncem

ent r

elea

sed

on 2

2 A

ugus

t 201

6.Th

is p

rese

ntat

ion

is n

ot a

fina

ncia

l pro

duct

or i

nves

tmen

t adv

ice

or re

com

men

datio

n, o

ffer o

r inv

itatio

n by

any

per

son

or to

any

per

son

to s

ell o

r pur

chas

e se

curit

ies

in n

ib in

any

juris

dict

ion.

Th

is p

rese

ntat

ion

cont

ains

gen

eral

info

rmat

ion

only

and

doe

s no

t tak

e in

to a

ccou

nt th

e in

vest

men

t obj

ectiv

es, f

inan

cial

situ

atio

n an

d pa

rticu

lar n

eeds

of i

ndiv

idua

l inv

esto

rs. I

nves

tors

sho

uld

mak

e th

eir o

wn

inde

pend

ent a

sses

smen

t of t

he in

form

atio

n in

this

pre

sent

atio

n an

d ob

tain

thei

r ow

n in

depe

nden

t adv

ice

from

a q

ualif

ied

finan

cial

adv

iser

hav

ing

rega

rd to

thei

r obj

ectiv

es,

finan

cial

situ

atio

n an

d ne

eds

befo

re ta

king

any

act

ion.

Th

e di

strib

utio

n of

this

pre

sent

atio

n in

clud

ing

in ju

risdi

ctio

ns o

utsi

de A

ustra

lia, m

ay b

e re

stric

ted

by la

w. A

ny p

erso

n w

ho re

ceiv

es th

is p

rese

ntat

ion

mus

t see

k ad

vice

on

and

obse

rve

any

such

rest

rictio

ns. N

othi

ng in

this

pre

sent

atio

n co

nstit

utes

an

offe

r or i

nvita

tion

to is

sue

or s

ell,

or a

reco

mm

enda

tion

to s

ubsc

ribe

for o

r acq

uire

sec

uriti

es in

any

juris

dict

ion

whe

re it

is u

nlaw

ful

to d

o so

.A

n in

vest

men

t in

nib

secu

ritie

s is

sub

ject

to in

vest

men

t and

oth

er k

now

n an

d un

know

n ris

ks, s

ome

of w

hich

are

bey

ond

the

cont

rolo

fnib

. nib

doe

s no

t gua

rant

ee a

ny p

artic

ular

rate

of r

etur

n or

the

perfo

rman

ce o

f nib

sec

uriti

es.

No

repr

esen

tatio

n or

war

rant

y, e

xpre

ss o

r im

plie

d, is

mad

e as

to th

e fa

irnes

s, a

ccur

acy,

relia

bilit

y, c

ompl

eten

ess

or c

orre

ctne

ss o

f inf

orm

atio

n co

ntai

ned

in th

is p

rese

ntat

ion,

incl

udin

g th

e ac

cura

cy, l

ikel

ihoo

d of

ach

ieve

men

t or r

easo

nabl

enes

s, fa

irnes

s, a

ccur

acy,

relia

bilit

y, c

ompl

eten

ess

or c

orre

ctne

ss o

f any

fore

cast

s, p

rosp

ects

, ret

urns

or s

tate

men

ts in

rela

tion

to fu

ture

m

atte

rs c

onta

ined

in th

e pr

esen

tatio

n (“

forw

ard-

look

ing

stat

emen

ts”)

. Whi

lst t

he fo

rwar

d-lo

okin

g st

atem

ents

are

bas

ed o

n cu

rren

tvie

ws,

exp

ecta

tions

and

bel

iefs

as

at th

e da

te th

ey a

re

expr

esse

d, s

uch

forw

ard-

look

ing

stat

emen

ts a

re b

y th

eir n

atur

e su

bjec

t to

sign

ifica

nt u

ncer

tain

ties

and

cont

inge

ncie

s an

d ar

e ba

sed

on a

num

ber o

f est

imat

es a

nd a

ssum

ptio

ns th

at a

re

subj

ect t

o ch

ange

(and

in m

any

case

s ar

e ou

tsid

e th

e co

ntro

l of n

ib a

nd it

s D

irect

ors)

whi

ch m

ay c

ause

the

actu

al re

sults

or p

erfo

rman

ce o

f nib

to b

e m

ater

ially

diff

eren

t fro

m a

ny fu

ture

re

sults

or p

erfo

rman

ce e

xpre

ssed

or i

mpl

ied

by s

uch

forw

ard-

look

ing

stat

emen

ts. A

ccor

ding

ly, t

here

can

be

no a

ssur

ance

or g

uara

ntee

that

thes

e fo

rwar

d-lo

okin

g st

atem

ents

will

be re

alis

ed.

This

pre

sent

atio

n pr

ovid

es in

form

atio

n in

sum

mar

y fo

rm o

nly

and

is n

ot in

tend

ed to

be

com

plet

e. It

is n

ot in

tend

ed to

be

relie

d up

on a

s ad

vice

to in

vest

ors

or p

oten

tial i

nves

tors

and

doe

s no

t ta

ke in

to a

ccou

nt th

e in

vest

men

t obj

ectiv

es, f

inan

cial

situ

atio

n or

nee

ds o

f any

par

ticul

ar in

vest

or.

The

finan

cial

info

rmat

ion

disc

lose

d ha

s be

en p

repa

red

on a

sta

tuto

ry b

asis

, whi

ch is

con

sist

ent w

ith th

e fin

anci

al in

form

atio

n pr

ovid

ed in

nib

’s L

istin

g P

rosp

ectu

s. D

ue c

are

and

cons

ider

atio

n sh

ould

be

unde

rtake

n w

hen

cons

ider

ing

and

anal

ysin

g ni

b’s

finan

cial

per

form

ance

. All

refe

renc

es to

dol

lars

are

to A

ustra

lian

Dol

lars

unl

ess

othe

rwis

e st

ated

.To

the

max

imum

ext

ent p

erm

itted

by

law

, nei

ther

nib

nor

its

rela

ted

corp

orat

ions

, Dire

ctor

s, o

ffice

rs e

mpl

oyee

s or

age

nts,

nor

any

oth

er p

erso

n, a

ccep

ts a

ny li

abilit

y (d

irect

, ind

irect

or

cons

eque

ntia

l) in

clud

ing,

with

out l

imita

tion,

any

liab

ility

aris

ing

from

faul

t or n

eglig

ence

, for

any

loss

wha

tsoe

ver a

risin

gfro

m th

e us

e of

this

pre

sent

atio

n or

its

cont

ents

or o

ther

wis

e ar

isin

g in

co

nnec

tion

with

it (w

heth

er fo

rese

eabl

e or

not

). Th

is p

rese

ntat

ion

shou

ld b

e re

ad in

con

junc

tion

with

oth

er p

ublic

ly a

vaila

ble

mat

eria

l. Fu

rther

info

rmat

ion

incl

udin

g hi

stor

ica l

resu

lts a

nd a

des

crip

tion

of th

e ac

tiviti

es o

f nib

is a

vaila

ble

on o

ur

web

site

: ww

w.n

ib.c

om.a

u/sh

areh

olde

rs

As

refe

renc

ed in

this

pre

sent

atio

n, if

ther

e is

a c

hang

e pe

rcen

tage

incr

ease

or (

decr

ease

) bet

wee

n FY

15 a

nd F

Y16

the

chan

ge s

how

n is

the

diffe

renc

e be

twee

n th

ose

two

perc

enta

ges.

Any

dis

crep

anci

es b

etw

een

tota

ls a

nd s

ums

of c

ompo

nent

s in

this

pub

licat

ion

are

due

to ro

undi

ng.

All

figur

es q

uote

d ar

e in

Aus

tral

ian

dolla

rs u

nles

s ot

herw

ise

stat

ed.

For

per

sona

l use

onl

y

FULL

YE

AR

RE

SU

LTS

201

6For

per

sona

l use

onl

y

Gro

up re

venu

e1gr

ew b

y $2

33.8

m (▲

14.3

%) t

o $1

.9b

with

und

erly

ing

oper

atin

g pr

ofit2

(UO

P) u

p by

$4

4.0m

(▲49

.9%

) to

$132

.0m

3 (s

tatu

tory

ope

ratin

g pr

ofit

of $

120.

8m ▲

47.9

%).

All

busi

ness

seg

men

ts g

rew

and

im

prov

ed U

OP

.

arhi

with

org

anic

gro

wth

of 1

9,50

1 po

licie

s gr

ew 3

.8%

in a

ver

y co

mpe

titiv

e m

arke

t and

with

a h

ighe

r gro

ss m

argi

n in

crea

sed

UO

P b

y $2

2.6m

.

Bus

ines

ses

othe

r tha

n ar

hi in

crea

sed

UO

P b

y 13

2% to

$37

.5m

and

acc

ount

ed fo

r 28.

4% o

f Gro

up U

OP

(com

pare

d to

18.

3% in

FY

15).

With

in th

is, W

orld

Nom

ads

Gro

up m

ade

inau

gura

l con

tribu

tion

of $

9.7m

. nib

NZ

doub

led

UO

P to

$1

7.3m

.

arhi

net p

rom

oter

sco

re o

f 17.

7 co

mpa

red

with

20.

7 in

FY

15. S

ome

med

ia c

over

age

host

ile to

the

indu

stry

was

un

help

ful.

Ong

oing

div

ersi

ficat

ion

(Wor

ld N

omad

s G

roup

), in

nova

tion

(Qan

tas

Ass

ure)

and

dis

rupt

ion

(Whi

teco

at).

Snap

shot

Und

erly

ing

busi

ness

per

form

ance

4

1E

xclu

des

non-

recu

rrin

g pr

ofit

from

sal

e of

New

cast

le o

ffice

bui

ldin

g.2

UO

P is

com

pris

ed o

f und

erw

ritin

g re

sult,

oth

er in

com

e an

d ex

pens

es in

clud

ing

non-

unde

rwrit

ing

busi

ness

es. I

t exc

lude

s am

ortis

atio

n of

acq

uire

d in

tang

ible

s, o

ne-o

ff tra

nsac

tions

, M&

A c

osts

, fin

ance

cos

ts,

net i

nves

tmen

t inc

ome

and

inco

me

tax.

3 ni

b’s

stat

utor

y op

erat

ing

prof

it in

clud

es $

11.2

m in

am

ortis

atio

n of

acq

uire

d in

tang

ible

s an

d on

e-of

f tra

nsac

tions

and

M&

A c

osts

.

For

per

sona

l use

onl

y

Snap

shot

Gro

up p

rofit

abili

ty

5

•N

et in

vest

men

t inc

ome

of $

16.9

m w

as lo

wer

than

FY

15

($31

.4m

). P

revi

ous

year

incl

uded

one

-off

prof

it on

sal

e of

sha

res

in P

SG

($5.

4m).

•N

et P

rofit

Afte

r Tax

of $

91.8

m (▲

22.0

%),

EP

S o

f 21

.2cp

s (F

Y15

: 17.

3cps

).

•Fi

nal o

rdin

ary

divi

dend

of 9

.0cp

s (▲

50.0

%),

fully

fra

nked

(14.

75cp

s fo

r ful

l yea

r ▲28

.3%

). TS

Rof

30.

0%

vers

us (0

.5)%

for A

SX2

00.

Sou

rce:

Blo

ombe

rg

-30

-1010305070

Jul 1

5Au

g 15

Oct

15

Dec

15

Feb

16A

pr 1

6Ju

n 16

nhf

ASX

200

FY16

tota

l sha

reho

lder

retu

rn

(nib

ver

sus

ASX

200)

(%)

30.0

%

(0.5

)%

For

per

sona

l use

onl

y

arhi

gro

ss m

argi

n im

prov

emen

t a k

ey d

river

6

Ann

ual d

raw

ing

rate

infla

tion

nib

vers

us in

dust

ry(R

ollin

g 12

mon

ths)

1In

clud

es ri

sk e

qual

isat

ion

Sou

rce:

nib

/AP

RA

Gro

ss m

argi

n ni

b ve

rsus

indu

stry

(Rol

ling

12 m

onth

s)

•C

laim

s in

flatio

n ex

perie

nce

and

traje

ctor

y fa

vour

able

.

•Lo

wer

hos

pita

l and

anc

illar

y ut

ilisa

tion

grow

th th

e pr

imar

y ex

plan

atio

n.

•ni

b ex

perie

nce

acce

ntua

ted

by ta

ctic

al p

rodu

ct c

hang

es in

FY

15.

8.0%

10.0

%

12.0

%

14.0

%

16.0

%

18.0

%

nib

Indu

stry

0.0%

2.0%

4.0%

6.0%

8.0%

10.0

%ni

b¹In

dust

ry

For

per

sona

l use

onl

y

Stro

ng o

pera

ting

cash

flow

cor

rela

ting

with

UO

P

7

0.0

50.0

100

.0

150

.0

FY

09F

Y10

FY1

1F

Y12

¹F

Y13¹

FY

14F

Y15

FY

16

Ope

ratin

g ca

sh f

low

UO

P($

m)

1 FY1

2 &

FY1

3 no

rmal

ised

for p

re-p

aym

ents

of p

rem

ium

s in

May

/Jun

e 20

12 a

ssoc

iate

d w

ith in

trodu

ctio

n of

inco

me

test

ing

of G

over

nmen

t Reb

ate.

FY1

2 no

rmal

ised

for p

re-p

aym

ents

of p

rem

ium

s in

M

ay/J

une

2012

ass

ocia

ted

with

intro

duct

ion

of in

com

e te

stin

g of

Gov

ernm

ent R

ebat

e is

low

er th

an F

Y11

mai

nly

due

to $

7m d

ecre

ase

in d

istri

butio

ns re

ceiv

ed fr

om in

vest

men

t tru

sts

and

$10m

in

crea

se in

inco

me.

For

per

sona

l use

onl

y

Whi

teco

atTa

cklin

g in

form

atio

n as

ymm

etrie

s an

d im

prov

ing

mar

ket e

ffici

ency

8

•W

hite

coat

ena

bles

con

sum

ers

to s

earc

h, fi

nd a

nd b

ook

a he

alth

care

pr

ovid

er a

s w

ell a

s re

view

thei

r exp

erie

nce.

Cur

rent

ly h

osts

mor

e th

an 2

10,0

00 h

ealth

car

e an

d an

cilla

ry p

rovi

ders

and

ove

r 250

,000

cu

stom

er re

view

s.

•R

apid

ly e

xpan

ding

to in

clud

e G

Ps

and

med

ical

spe

cial

ists

.

•R

ecen

t ann

ounc

emen

t to

form

JV

with

BU

PA

and

HB

F w

ill

sign

ifica

ntly

exp

and

reac

h an

d co

nsum

er e

ngag

emen

t (~6

mill

ion

peop

le).

Ope

n in

vita

tion

exte

nded

to o

ther

insu

rers

and

hea

lthca

re

paye

rs to

par

ticip

ate.

•A

llow

s in

sure

r/pay

er to

hos

t "cu

stom

er o

nly"

por

tal f

or d

eepe

r en

gage

men

t and

insu

rer/p

ayer

spe

cific

info

rmat

ion

such

as

pref

erre

d cl

inic

al p

rovi

ders

and

"no

gap"

arr

ange

men

ts.

•W

hen

fully

dev

elop

ed w

ill a

lso

incl

ude

accr

edite

d cl

inic

al

perfo

rman

ce in

form

atio

n in

clud

ing

self-

repo

rted

patie

nt o

utco

mes

.

•A

dditi

onal

nea

r ter

m o

ppor

tuni

ties

to a

utom

ate

patie

nt/p

rovi

der

trans

actio

ns s

uch

as p

aym

ents

and

pre

scrip

tions

.

For

per

sona

l use

onl

y

FULL

YE

AR

RE

SU

LTS

201

6For

per

sona

l use

onl

y

FY16

Fin

anci

al S

umm

ary

Out

perfo

rman

ce a

cros

s ke

y pe

rform

ance

are

as

101

Exc

lude

s no

n-re

curr

ing

prof

it fro

m s

ale

of N

ewca

stle

offi

ce b

uild

ing

2N

et in

vest

men

t inc

ome

in F

Y15

bene

fited

$5.

4m fr

om o

f sal

e of

sha

reho

ldin

g in

Pac

ific

Sm

iles

Gro

up

FY16

FY15

Cha

nge

Tota

l Gro

upre

venu

e ($

m)

1,87

3.11

1,63

9.3

14.3

%

UO

P ($

m)

132.

088

.049

.9%

Am

ortis

atio

n of

acq

uire

d in

tang

ible

s,on

e-of

f tra

nsac

tions

an

d M

&A

cost

s ($

m)

(11.

2)(6

.4)

75.8

%

Sta

tuto

ryop

erat

ing

prof

it ($

m)

120.

881

.747

.9%

Net

inve

stm

ent i

ncom

e2 ($

m)

16.9

31.4

(46.

2)%

NPA

T($

m)

91.8

75.3

22.0

%

Und

erly

ing

EP

S (c

ps)

22.9

18.3

25.1

%

Sta

tuto

ryE

PS

(cps

)21

.217

.322

.5%

Div

iden

d (c

ps)

14.7

511

.528

.3%

RO

E (%

)25

.823

.12.

7%

For

per

sona

l use

onl

y

-

500.

0

1,00

0.0

1,50

0.0

2,00

0.0

FY15

FY16

Oth

er in

com

e

WN

G

nz iihi

arhi

Tota

l Gro

up R

even

ueC

ontin

ued

stro

ng re

venu

e gr

owth

11

($m

)

$1.9

b

$1.6

b

Tota

l Gro

up re

venu

e of

$1.

9b1

(▲14

.3%

) due

to:

•ar

hi p

rem

ium

reve

nue

of $

1.6b

(▲9.

7%),

acco

untin

g fo

r 83.

7% o

f tot

al g

roup

reve

nue.

•In

tern

atio

nal (

inbo

und)

hea

lth in

sura

nce

(iihi

) pr

emiu

m re

venu

e of

$76

.8m

(▲39

.7%

).

•ni

b N

ew Z

eala

nd p

rem

ium

reve

nue

of

$173

.6m

(▲15

.4%

), in

clud

es a

cqui

sitio

n of

O

neP

ath

(NZ)

hea

lth in

sura

nce

(7 m

onth

re

sult)

.

•Fi

rst-t

ime

incl

usio

n of

Wor

ld N

omad

s G

roup

(W

NG

) with

ope

ratin

g re

venu

e of

$50

.0m

(1

1 m

onth

resu

lt).

Tota

l rev

enue

by

segm

ent

1E

xclu

des

non-

recu

rrin

g pr

ofit

from

sal

e of

New

cast

le o

ffice

bui

ldin

gR

efer

Slid

e 30

for b

reak

dow

n of

Oth

er in

com

e

For

per

sona

l use

onl

y

(20.

0)-

20.0

40.0

60.0

80.0

100.

0

120.

0

140.

0

160.

0

FY15

FY16

Oth

er

WN

G

nz iihi

arhi

1

Gro

up U

OP

Ear

ning

s im

prov

emen

t acr

oss

key

busi

ness

seg

men

ts

12

$88.

0m

$132

.0m

($m

)

10%

14%

82%

(5)%

13%

13%

72%

(5)%

7%

1O

ther

incl

udes

cor

pora

te e

xpen

ses

(sha

re re

gist

ry/d

irect

ors

fees

) as

wel

l as

inve

stm

ent i

n ni

b O

ptio

ns, o

ffset

by

inco

me

from

com

plem

enta

ry p

rodu

cts

(life

and

rela

ted

insu

ranc

e co

mm

issi

ons)

, tra

vel i

nsur

ance

com

mis

sion

s pr

ior t

o W

NG

ac

quis

ition

(31

July

201

5), a

s w

ell a

s re

nt a

nd li

cenc

e fe

e in

com

e (D

igita

l Hea

lth V

entu

res)

. Ref

er S

lide

30 fo

r bre

akdo

wn

ofO

ther

inco

me

& E

xpen

ses.

Per

cent

ages

sho

wn

in g

raph

are

a p

erce

ntag

e of

Gro

up U

OP

by

busi

ness

seg

men

t

UO

P by

seg

men

tG

roup

UO

P o

f $13

2.0m

(▲49

.9%

) due

to:

•S

igni

fican

t im

prov

emen

t in

arhi

UO

P u

p 31

.4%

to

$94

.5m

with

impr

oved

cla

ims

expe

rienc

e a

key

driv

er. a

rhi c

ontin

ues

to b

e co

re c

ontri

buto

r to

Gro

up U

OP

(71.

6% o

f Gro

up).

•G

row

th in

adj

acen

t bus

ines

ses

acco

unte

d fo

r 28

.4%

of G

roup

UO

P (F

Y15

: 18.

3%) o

n th

e ba

ck o

f:

•G

row

th a

nd im

prov

ed p

rofit

abili

ty in

iihi

and

nib

New

Zea

land

.

•Fi

rst-t

ime

cont

ribut

ion

of W

NG

.

•R

obus

t Gro

up u

nder

lyin

g in

sura

nce

mar

gins

•G

roup

gro

ss m

argi

n 18

.6%

(FY

15: 1

6.4%

).

•G

roup

net

mar

gin

7.1%

(FY

15: 5

.6%

).

For

per

sona

l use

onl

y

71.9

94.5

100.

11.

211

.59.

7

138.

9

6.1

0.2

-

50.0

100.

0

150.

0

200.

0

250.

0

Incr

ease

in U

OP

of $

22.6

m

Aus

tral

ian

Res

iden

ts H

ealth

Insu

ranc

e (a

rhi)

Stro

ng im

prov

emen

t in

gros

s m

argi

n

FY16

FY15

Cha

nge

Pol

icyh

olde

r gro

wth

(%)

3.8

4.7

(0.9

)%

Laps

e (%

)12

.612

.30.

3%

Pre

miu

mre

venu

e ($

m)

1,56

8.4

1,42

9.5

9.7%

Cla

ims

expe

nse1

($m

)(1

,334

.1)

(1,2

38.9

)7.

7%

Gro

ss u

nder

writ

ing

resu

lt ($

m)

234.

219

0.6

22.9

%

UO

P ($

m)

94.5

71.9

31.4

%

13

($m

)

•U

OP

resu

lt of

$94

.5m

(▲31

.4%

) prim

arily

due

to:

•G

ross

mar

gin

impr

ovem

ent o

f 160

bps

to 1

4.9%

.•

Ris

k eq

ualis

atio

n co

ntrib

utio

n fa

vour

able

to P

CP

(▲

3.3%

) ref

lect

ing

succ

ess

targ

etin

g ov

er 5

5s.

•N

et p

olic

yhol

der g

row

th a

lmos

t 3x

indu

stry

av

erag

e of

1.3

% w

ith n

ib la

pse

stea

dy.

•Q

anta

s A

ssur

e pe

rform

ing

to e

xpec

tatio

ns (l

aunc

hed

31 M

arch

201

6).

•R

ate

of d

owng

radi

ng/u

pgra

ding

rem

ains

bro

adly

co

nsis

tent

with

pre

viou

s ye

ars.

•In

crea

se in

man

agem

ent e

xpen

ses

to $

140.

1m

(▲17

.8%

) due

to in

crea

ses

in e

mpl

oyee

, acq

uisi

tion

cost

s an

d in

vest

men

t in

new

bus

ines

s (e

.g. Q

anta

s A

ssur

e).

•M

ER

incr

ease

d fro

m 8

.3%

to 8

.9%

. ME

Rex

clud

ing

mar

ketin

g (d

irect

/indi

rect

) cos

ts w

as 5

.9%

(FY

15:

5.8%

). •

Cha

nge

in D

AC

am

ortis

atio

n pe

riod

from

6 y

ears

to

5 y

ears

(fro

m 1

Apr

il 20

16) i

ncre

ased

FY

16

man

agem

ent e

xpen

ses

by $

1.8m

.•

FY16

net

mar

gin

6.0%

(FY

15: 5

.0%

).

1In

clud

es R

isk

Equ

alis

atio

n an

d S

tate

levi

es

For

per

sona

l use

onl

y

Inte

rnat

iona

l (In

boun

d) H

ealth

Insu

ranc

e (ii

hi)

Gro

ss m

argi

n an

d vo

lum

e dr

ives

pos

itive

ear

ning

s pe

rform

ance

14

•S

igni

fican

t inc

reas

e in

reve

nue

and

earn

ings

un

derp

inne

d by

ong

oing

gro

wth

and

impr

oved

sc

ale.

•In

crea

se in

cla

ims

expe

nse

(▲41

.6%

) a fu

nctio

n of

vo

lum

e gr

owth

.

•In

tern

atio

nal s

tude

nt b

usin

ess

show

ing

posi

tive

earn

ings

traj

ecto

ry fo

llow

ing

Sau

di c

ontra

ct

disc

ontin

ued

1 M

arch

201

6.

•M

anag

emen

t exp

ense

s up

$4.

4m(▲

32.2

%) t

o su

ppor

t gro

wth

(mar

ketin

g an

d em

ploy

men

t co

sts)

.

•M

argi

ns v

iew

ed a

s su

stai

nabl

e.

12.2

17.2

12.3

1.3

3.1

0.1

21.8

-

5.0

10.0

15.0

20.0

25.0

30.0

35.0

Incr

ease

in U

OP

of $

5.0m

FY16

FY15

Cha

nge

Pol

icyh

olde

r gro

wth

(%)

28.0

58.5

(30.

5)%

Pre

miu

mre

venu

e ($

m)

76.8

54.9

39.7

%

Cla

ims

expe

nse

($m

)(4

1.7)

(29.

4)41

.6%

Gro

ss u

nder

writ

ing

resu

lt ($

m)

35.1

25.5

37.5

%

UO

P ($

m)

17.2

12.2

41.2

%

($m

)

For

per

sona

l use

onl

y

nib

New

Zea

land

Del

iver

ing

agai

nst p

erfo

rman

ce ta

rget

s

15

1In

clud

es p

olic

yhol

ders

from

acq

uisi

tion

of O

neP

ath

Life

NZ

med

ical

insu

ranc

e bu

sine

ss

com

plet

ed 1

Dec

embe

r 201

5. E

xclu

ding

One

Pat

h Li

fe N

Z, n

et p

olic

yhol

der g

row

th fo

r FY

16 w

as 4

.1%

.2

PP

B –

Pre

miu

m P

ayba

ck p

rodu

ct. R

efer

slid

e 29

for d

etai

ls o

f mov

emen

t in

PP

B.

•U

OP

up

alm

ost 1

00%

due

to c

ontin

ued

polic

yhol

der g

row

th, s

ucce

ss o

f PP

B2

settl

emen

t ca

mpa

ign,

low

er th

an fo

reca

st c

laim

s an

d O

neP

ath

acqu

isiti

on (7

mon

th re

sult)

.

•In

vest

men

t in

grow

th c

ontin

ues

to d

eliv

er re

sults

w

ith a

ppro

xim

atel

y 45

% o

f new

sal

es th

roug

h D

TC c

hann

el.

•S

ucce

ssfu

l tra

nsiti

on o

f One

Pat

h bu

sine

ss.

Pos

itive

feed

back

to d

ate

from

adv

isor

s an

d no

m

ater

ial s

hock

laps

e.

•S

trong

acc

epta

nce

of P

PB

set

tlem

ent o

ffer

cam

paig

n ha

ving

pos

itive

impa

ct o

n U

OP

. R

efer

slid

e 29

for f

urth

er d

etai

l on

PP

B a

nd

settl

emen

t offe

r.

•Tr

ajec

tory

of r

etur

ns h

as N

Z bu

sine

ss o

n tra

ck to

de

liver

on

retu

rn o

bjec

tives

.

FY16

FY15

Cha

nge

Pol

icyh

olde

r gro

wth

(%)

25.8

15.

919

.9%

Pre

miu

mre

venu

e ($

m)

173.

615

0.4

15.4

%

Cla

ims

(med

ical

and

PP

B2

settl

emen

t) ($

m)

(121

.0)

(96.

8)25

.1%

Gro

ss u

nder

writ

ing

resu

lt ($

m)

68.3

51.7

32.0

%

UO

P ($

m)

17.3

8.7

99.9

%

($m

)

8.7

17.3

13.1

8.7

0.3

25.7

1.2

0.5

1.2

2.1

-

10.0

20.0

30.0

40.0

For

per

sona

l use

onl

y

Wor

ld N

omad

s G

roup

(WN

G)

Ope

ratin

g re

sults

in li

ne w

ith e

xpec

tatio

ns

16

($m

)FY

161

Gro

ss W

ritte

n P

rem

ium

211

2.2

Ope

ratin

g in

com

e50

.0

Ope

ratin

g ex

pens

es(4

0.3)

UO

P9.

7

1FY

16 is

a 1

1 m

onth

resu

lt w

ith W

NG

bus

ines

s ac

quire

d on

31

July

201

52

WN

G is

a d

istri

buto

r of t

rave

l ins

uran

ce a

nd e

arns

a c

omm

issi

on fo

r pol

icie

s so

ld, h

owev

er G

WP

is s

how

n as

it is

a k

ey p

erfo

rman

ce m

etric

of t

he b

usin

ess,

not

ing

GW

Pex

clud

es o

ther

sou

rces

of i

ncom

e su

ch a

s E

mer

genc

y Tr

avel

Ass

ista

nce

and

Man

agin

g G

ener

al A

gent

fees

3W

NG

was

acq

uire

d an

d w

as o

nly

cons

olid

ated

in th

e ni

b re

sults

from

31

July

201

5 (F

Y16)

, the

num

bers

sho

wn

are

a 12

mon

th re

sult •G

WP

up

5.6%

due

to s

trong

inte

rnat

iona

l sa

les

(sal

es in

US

A u

p m

ore

than

30%

an

d U

K m

ore

than

25%

on

FY15

), of

fset

by

wea

k A

ustra

lian

mar

ket p

erfo

rman

ce.

•S

ucce

ssfu

l tra

nsiti

on o

f bus

ines

s to

nib

ow

ners

hip

with

min

imal

dis

rupt

ion.

•G

row

th p

lans

bei

ng a

ccel

erat

ed a

nd

supp

orte

d to

targ

et in

tern

atio

nal

expa

nsio

n an

d ne

w b

usin

ess

oppo

rtuni

ties,

with

leve

l of i

nves

tmen

t to

impa

ct F

Y17

UO

P re

sult.

WN

G G

WP2

($m

)

WN

G S

ales

(Pol

icie

s)

562,

337

583,

164

589,

002

-

100,

000

200,

000

300,

000

400,

000

500,

000

600,

000

FY14

FY15

FY16

³

108.

011

6.6

123.

2

-

20.0

40.0

60.0

80.0

100.

0

120.

0

140.

0

FY14

FY15

FY16

³

For

per

sona

l use

onl

y

Inve

stm

ents

, Gea

ring

& C

apita

lS

trong

and

effi

cien

t bal

ance

she

et

17

Gea

ring

1 A

llow

ing

for p

aym

ent o

f fin

al d

ivid

end

•G

roup

targ

et c

apita

l and

gea

ring

rem

ain

in li

ne

with

sta

ted

inte

rnal

pol

icie

s.

•C

ontin

ued

focu

s on

mai

ntai

ning

an

effic

ient

ba

lanc

e sh

eet.

•N

et in

vest

men

t inc

ome

(▼46

.2%

) a c

ombi

natio

n of

one

off

FY15

gai

n fro

m s

ale

of s

hare

hold

ing

in

PS

G a

nd e

quity

mar

ket p

erfo

rman

ce.

•C

onso

lidat

ed p

ortfo

lio (8

5%/1

5%,

Def

ensi

ve/G

row

th) p

erfo

rmed

in li

ne w

ith m

arke

t be

nchm

arks

.•

Fina

nce

cost

s (▲

53.1

%) d

ue to

incr

ease

d de

bt

fund

ing

asso

ciat

ed w

ith W

NG

acq

uisi

tion

(31

July

201

5).

•In

tere

st c

over

of 2

7:1

at 3

0 Ju

ne 2

016

wel

l ab

ove

debt

cov

enan

t.•

AP

RA

hav

e pu

blis

hed

prud

entia

l pol

icy

outlo

ok

curr

ently

indi

catin

g a

revi

ew o

f cap

ital s

tand

ards

is

env

isag

ed in

201

8/20

19.

2N

et in

vest

men

t inc

ome

in F

Y15

bene

fited

$5.

4m fr

om o

f sal

e of

sha

reho

ldin

g in

PS

G

Inve

stm

ents

($m

)FY

16FY

15C

hang

e

Net

inve

stm

enti

ncom

e16

.931

.4(4

6.2)

%

Fina

nce

cost

s(5

.2)

(3.4

)53

.1%

Ava

ilabl

e ca

pita

l abo

ve in

tern

al ta

rget

s16.

810

.2(3

3.3)

%

For

per

sona

l use

onl

y

Div

iden

dsD

ivid

end

refle

cts

ongo

ing

earn

ings

gro

wth

18

•FY

16 fi

nal d

ivid

end

incr

ease

d to

9.0

cps,

fully

fra

nked

(FY

15: 6

.0 c

ps)

•E

x-di

vide

nd d

ate

–8

Sep

tem

ber 2

016

•R

ecor

d da

te –

9 S

epte

mbe

r 201

6

•P

aym

ent d

ate

–7

Oct

ober

201

6

•Fu

ll ye

ar d

ivid

end

14.7

5cps

, ful

ly fr

anke

d (▲

28.3

%),

repr

esen

ts fu

ll ye

ar p

ayou

t rat

io o

f 70%

of

NP

AT.

•D

ivid

end

polic

y to

con

tinue

to re

flect

pay

men

t of

fully

fran

ked

divi

dend

s at

a p

ayou

t rat

io o

f 60%

-70

% o

f ful

l yea

r NP

AT.

(cps

)

9.25

10.0

11.0

11.5

14.7

5

9.0

0.0

5.0

10.0

15.0

20.0

25.0

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FY12

FY13

FY14

FY15

FY16

Ord

inar

ySp

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lC

apita

l Ret

urn

16.0

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For

per

sona

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onl

y

FULL

YE

AR

RE

SU

LTS

201

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per

sona

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FULL

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AR

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be

a ne

t pos

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20

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for p

rost

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s/m

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prov

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ansp

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ass

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s ch

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pare

hea

lth in

sura

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prod

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pric

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fetim

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r hos

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ault

bene

fits.

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pita

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hom

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portu

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ette

r co

ordi

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d m

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t.

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per

sona

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onl

y

FY17

Out

look

Incr

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d in

vest

men

t to

supp

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expa

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d ea

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row

th

21

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like

ly to

con

tinue

into

FY

17 h

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xpec

ted

to d

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with

in

4% -

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pred

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ject

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in ta

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add

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FY

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cqui

sitio

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pens

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will

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cre

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rpris

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sona

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danc

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22

1R

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cor

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k bi

ll in

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pay

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RE

SU

LTS

201

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nib

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(yrs

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208,

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881

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28

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Employment

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Marketing Indirect

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Marketing Indirect

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Marketing Indirect

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IT

Occupancy

Other

Total Underwriting

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Aus

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For

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Prem

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rem

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pre

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clud

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n

nib

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etw

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