Thanks, Travis. Good morning, and thank you for joining us for the McMillan Shakespeare full-year results presentation for the 2026 financial year.

My name is Rob De Luca, and I'm the Managing Director and Chief Executive Officer of MMS. Today, I am joined by our Chief Financial Officer, Paul Barrow.

I'd like to start by acknowledging the traditional owners of the lands on which we join this meeting today and pay my respect to the elders past and present. The presentation will commence with our FY26 highlights, move through segment and financial performance, provide a strategy update, and close with our outlook for FY27.

This morning's presentation will refer to the slides that were released with our results. At the conclusion of the presentation, both Paul and I will be happy to take any questions you have.

Moving to slide 4, FY26 was a year of strong organic growth, strategic execution, and a relentless focus of delivering excellent experiences for our customers as their trusted partner. We are pleased to deliver a record profit in FY26 with UNPATA and underlying EPS up 13.8%.

GRS was a standout segment with UNPATA up 24.9%. MMS performance was underpinned by customer growth across all segments, where we continue to see strong digital engagement and satisfaction.

We made strong progress in executing on our strategy, delivering superior customer experiences, enhanced distribution, and improved our operating margin, which was up 250 basis points, reflecting the operating leverage in our platform. We delivered attractive returns for shareholders with ROCE of 62.1% and an annual fully franked dividend of $1.32 per share, and a dividend yield of 6.6%.

Now moving to slide 5 and looking at some of the financial highlights for the period, where we saw strong performance across all key group metrics. Revenue for the year was $602.1 million, up 6.8%.

Operating income grew 7.2% to $435.2 million. Operating expenses were up just 2.8%, which saw EBITDA grow by 14.1% to $180.7 million.

As previously mentioned, UNPATA, our measure of underlying profitability, grew 13.8% to $107.9 million, while statutory NPAT grew 11.4% to $106.7 million. We continued to deliver strong returns for shareholders with ROCE of 62.1%, underlying EPS of $1.55, up 13.8%, and an annual fully franked dividend of $1.32 per share, comprising of a 62 cents per share interim dividend and a 70 cents per share final dividend.

The results presented today are no longer normalized, as we foreshadowed at the half year, having successfully transitioned and scaled onboard finance within the time frame set. Moving now to our customer highlights on slide 6.

We achieved customer growth across all segments, while continuing to lift digital engagement and satisfaction. In Group Remuneration Services, salary packages grew 7.1% to 402,000, and novated leases grew 13.5% to a record 90,000, with an NPS of +50, while 94% of claims are now digitally processed.

These outcomes reflect the investments we've made in automation and AI-enabled processing, which is translating directly into a faster, simpler experience for our customers, who continue to rate our app strongly at 4.6 stars. In Asset Management Services, fleet units grew 3.3% to approximately 16,000, with an NPS of +53.

Our pool booking platform is enabling more customers to digitally self-serve their vehicle bookings, which was up 308%. In Plan and Support Services, customers grew 3% to 44,000, with an NPS of +45, while our digital payments platform increased invoices processed by 45 percentage points.

These results highlight the commitment to delivering market-leading customer experiences. Moving to slide 7 and highlighting how our investments and strategy execution are delivering superior customer experiences, enhancing our distribution, and resulting in productivity gains, reflected in a 250 basis point improvement in our operating margin.

Our first strategic priority is to excel in customer and partner experience. In the period, we continued to strengthen and grow our ecosystem of strategic partnerships with leading global automotive brands.

Our investment in a superior and more integrated digital platform for dealers representing OEMs is making the vehicle ownership process easier and faster for customers, while more efficient for dealers. In the period, we saw a 42% increase in the number of dealers using our platform and were able to reduce the time from lead enquiry to settlement for customers by approximately five days.

Our second strategic priority is to deliver simplified and scalable solutions, which we've set out to achieve for Ollie, our SME novated offering. In the period, we continued to significantly expand distribution, including partnerships who have strong access to SME clients, like NAB.

We also continue to simplify the employer onboarding experience, a key enabler for their employees to access the benefits of novated leasing. In the period, these initiatives contributed to a 185% increase in Ollie registered SME employers, and a 23 percentage point improvement in employer to lease conversion.

Our third strategic priority is to drive technology and capability enablement, where, in the period, we progressed deploying AI and data capabilities with real-time agent monitoring, which is flowing through directly to improve service and productivity outcomes. These enhanced capabilities allow our agents to have access to real-time, dynamic information and tools, which are helping customer inquiries be resolved faster, reflecting in a 13% reduction in average handling time in the period, as well as less after-call work, which was down 18%.

Now moving to slide 8, our FY26 sustainability strategy highlights. We're proud of the progress we continue to make in how we run the business responsibly.

We were upgraded to a Morgan Stanley Capital International ESG rating of AAA in March, achieved 105.6% gender pay equity in like-for-like roles, and have again been certified as a Great Place to Work. We supported Bravery Trust, mentored young people with disability through the Australian Disability Network, and commenced our RAP Innovate program in September last year.

100% of MMS sites now run on GreenPower or renewable electricity, 42% of our internal car fleet are BEVs, and we funded $12.6 million of fleet EVs through green finance during the year. I will now take you through the performance of each of our segments in more detail, starting with GRS.

On slide 10, our largest segment and a leading provider of salary packaging and novated leasing delivered a strong result. Revenue grew 11.2% to $351 million.

Operating income was up 10.3% to $320.8 million, and EBITDA had a growth of 24.8% to $137.2 million, taking the operating margin to 42.8%, up 498 basis points on pcp. This strong performance highlights the scalability of the GRS platform.

This financial performance was supported by strong customer growth and operating performance. Salary packages were up 7.1% in the period, supported by 14 net new client wins in the year.

Novated leases were up 13.5%, underpinned by novated sales growth of 8.4% for the full year. Pleasingly, that performance accelerated through the second half, up 19.5% half-on-half.

Our Onboard Finance receivables book grew 16.6% to $587 million, while focus on productivity contributed to customers per FTE improving 17.5%, a clear sign the investment we've made in growing novated sales capability through the year is paying off in both volume and efficiency. Ollie novated sales growth was 77%, which validates our SME distribution strategy.

Novated lease yield was down 3% on pcp, reflecting prior year plug-in hybrid surge and competitive value proposition enhancements made to support growth. Now turning to slide 11, Asset Management Services, which reflects our specialist fleet management business.

Revenue was up 1.3% to $188.4 million, with fleet units up 3.3% to approximately 16,000. This was underpinned by 20 net new client wins in the period, which saw a 30% growth in managed-only units.

As customers continue to hold vehicles for longer and fleet replacement cycles slowed, written down value was down 1%, contributing to a 1.7% lower operating income. These dynamics also impacted end-of-contract unit sales, which were down 9%, while higher yield benefited from greater proportion of early terminations attracting higher exit fees.

Productivity continued to be a focus throughout the year, with the leased assets per FTE up 17.2% on pcp. The business incurred one-off costs during the year to implement business process outsourcing and transition to a single retail yard.

This one-off cost contributed to EBITDA being down 4.8% to $27.7 million on pcp, while operating margin remained strong at 53.6%. Now turning to Plan and Support Services on slide 12.

PSS now manages the plans of 44,000 participants, making PSS the second-largest NDIS plan manager. Revenue grew 5.9% to $59.8 million, more than offsetting the removal of NDIS setup fees from 1 July 2025, which represented a 7.9% headwind of FY25 revenue.

NDIA and NDIS Quality and Safeguards Commission continue to strengthen compliance and payment integrity requirements across the sector, supporting improved outcomes for participants and scheme sustainability. Industry-wide compliance requirements from the NDIA resulted in 88% increase in claims subject to review during the year.

Operating expenses during the period reflected the acquisition of My Plan Support in May 2025, higher scheme compliance costs, and investments to support enhanced payment integrity technology. These costs, combined with the removal of setup fees by the NDIA, contributed to an EBITDA of $15.1 million.

Our investments in automation continue to deliver productivity benefits, with customers to FTE improving 14.5% on pcp. These investments also strengthened fraud detection capabilities to support our customers and our competitive position as a leading plan manager.

I will now hand over to Paul Barrow, our CFO, who will take you through the group's financials for FY26.

Thanks, Rob, and good morning, everyone. If you turn to page 14, what we thought we'd do is lay out some of the key financial outcomes for FY26 in more detail.

As noted by Rob earlier, our results are no longer reported on a normalized basis. Comparatives are presented on a non-normalized basis for consistency with the current year results.

On the left-hand side of page 14, you'll see the P&L. As you can see, versus FY25, revenue grew year on year by $38 million or 6.8%, with revenue growth across all business segments, and in particular, GRS, which grew revenue 11%, supported by excellent growth in novated leasing, up 8.4%, and Onboard Finance interest.

Onboard Finance continues to perform in line with our expectations, with receivables up 16.6% year on year. Onboard results are reported in the GRS business segment.

Cost of sales were higher by $8.8 million, reflecting higher business activity levels, including AMS remarketing values, and continued growth in Onboard Finance, as noted previously. There is a table at the bottom left of page 14 with the cost of sales breakdown for your information.

Revenue and cost of sales combined to deliver operating income growth of $29.5 million or 7.2%. Operating expenses increased by just 2.8%, reflecting strong cost management and productivity gains across the business.

Our focus on productivity, along with our income growth, has delivered positive operating leverage for MMS in FY26, with EBITDA up 14.1% and operating margin up 250 basis points to 51.5%--41.5%, highlighting the scalability and efficiency of the MMS platform. Depreciation and amortization increased $3.3 million, reflecting the successful completion of the Simpler and Stronger program in FY25.

The outcome of our strong performance across a number of key P&L lines resulted in a record UNPATA of $107.9 million, up 13.8%. On the right-hand side of page 14, we have our operating expense profile, walking you from FY25 to FY26.

As you move from left to right, the first bar shows our cost increases due to wage and vendor inflation of $7.1 million, offset by savings from nonrecurring costs of $6.1 million, primarily due to the successful conclusion of the Simpler and Stronger program in FY25. We continue to invest in growth, in particular with investments in Ollie, up $5.9 million, which delivered 77% growth in Ollie novated sales.

In addition, we invested in sales and distribution capacity, and following the acquisition of My Plan Support in May '25, included their operating costs of $2.5 million. Our investments in productivity initiatives delivered net savings of $7.5 million across all business segments.

During the year, we also commenced a business process outsourcing initiative designed to further enhance efficiency and scalability. Implementation costs of $1.4 million were incurred in FY26, with further benefits, on top of those delivered in FY26, expected to be realized in future periods.

All up, operating costs grew just 2.8%, a testament to our focused cost management. Turning to page 15, the balance sheet remains strong, with net assets growing to $126.4 million.

Our key covenant metrics, on the top right-hand side, all remain comfortably inside threshold levels, allowing us flexibility moving forward. On the bottom right, following the successful extension of the Onboard Finance and AMS funding facilities, we have no maturities due over the next 12 months, and a well-balanced maturity profile out to 2030.

Lastly, turning to page 16, our cash generation remains strong, with an underlying cash conversion of 111%, noting the elevated tax instalment paid in FY26, as the benefits of the temporary full expensing program partially reverted in the period. Our strong and flexible balance sheet positions us well to manage our capital efficiently and to ensure long-term growth, while balancing returns to shareholders.

In this half, the board has declared a fully franked dividend of 70 cents per share, representing 85% of UNPATA, the midpoint of our payout range of 70% to 100%. This distribution, when coupled with the first-half '26 dividend, takes our annual dividend to 132 cents and a dividend yield at an attractive 6.6%.

Overall, it's been a strong performance for FY26, with all businesses growing revenue, positive operating leverage, a record UNPATA, and a balance sheet that is well positioned to enter FY27, with plenty of flexibility to grow. With that, I'll hand it back to Rob, who will take you through our strategy and outlook.

Thank you, Paul. Now moving to slide 18.

As a trusted partner, we remain committed to providing solutions that make matters simple for our customers. We deliver on that through our three strategic priorities: excel in customer and partner experience to grow trusted relationships, deliver simplified and scalable solutions to meet evolving customer needs, and drive technology and capability enablement to serve our customers more productively.

Underpinning this is our core competencies: managing B2B2C relationships, delivering simplified solutions, financing and conditional payments, leveraging data and technology, and harnessing our ecosystem partnerships. Together, they drive outcomes we've talked through today: high NPS, strong margin, high ROCE, EPS growth, and being recognized as an employer of choice.

As you can see on slide 19, we are a trusted partner with attractive financial characteristics, delivering long-term growth for shareholders. As a leading and scaled provider in our markets, we have 402,000 salary packages, 106,000 mobility solutions under management, which includes 90,000 novated leases and 16,000 fleet units, and support 44,000 PSS customers.

We have a reach of 2.6 million consumers and over 53,000 businesses, which gives us significant opportunities for growth. We have built sustained relationships over time to become a trusted partner for our customers.

Maxxia and RemServ carry a Net Promoter Score of +50, Interleasing sits at +53 NPS, and PSS has a strong NPS of +45. Over the last 12 months, we have retained 100% of our GRS and AMS top 20 clients.

We run on a scalable, technology-enabled platform which manages approximately $8 billion in payments, $1.7 billion in financed assets, and delivered 14.1% improvement in customers per FTE productivity in the period. The financial characteristics that come with all of that are attractive by any measure: a 41.5% operating margin, 62.1% ROCE, 50% recurring revenue, and underlying cash conversion of 111%.

Let me now move to slide 20 and reflect on our proven record in consistently delivering strong financial outcomes and attractive returns for shareholders since setting our strategy in 2023. Revenue has grown at 9.1% CAGR over this period, while UNPATA has grown at 17.6% CAGR over the same period, reflecting the scalable platform we've built.

Our disciplined approach to delivering strong returns is reflected in ROCE, which has expanded from 35.7% to 62.1%, up 26.4 percentage points, while over the same period, our underlying EPS has grown from 92 cents to $1.55, an 18.9% CAGR. Now turning to slide 21 and our outlook for FY27.

As a market leader, MMS enters FY27 from a position of strength. We expect FY27 to be a supportive environment for business growth.

Certainty of the EV FBT exemption and preferences for fuel-efficient vehicles is expected to support growth in novated leasing and fleet management. Demand for salary packaging is expected to continue to benefit from ongoing cost-of-living and inflationary pressures.

The current dynamics of elevated demand for EVs and softer demand for ICE used vehicles are expected to be reflected in remarketing income. As the second-largest plan management provider, we are well positioned and will continue our engagement with the government and industry on the emerging NDIS reforms.

We will maintain a disciplined approach to delivering productivity gains, which will support selective reinvestment in broadening our sales capability, while continuing to deliver an enhanced value to customers in a competitive market. Finally, we will continue to execute on our strategic priorities: 1, excel in customer and partner experience; 2, deliver simplified and scalable solutions; and 3, drive technology and capability enablement.

Thank you for your time this morning and continued support. Paul and I would now welcome any questions you may have.

I will now pass to Travis to moderate questions.

Oh, hi, Rob and Paul. Thanks for your time.

Uh first question, just on novated volumes. Rob, earlier you mentioned that second-half volume growth was around 19.5%.

Clearly over the six months, there was, a significant variance in volume growth over the period. Um you've then given us an update in July the volumes that month were up around 8%.

Do you view that 8% number as sort of being a a more normalized outcome? In other words, are we sort of through a lot of the EV-related disruptions and and sort of, those spikes in activity?

Look, great question, Phil, and always challenging to have a view of kind of an outlook on any kind of measure or metric. Um certainly, we saw, a bit of volatility in terms of the last 12 months, in the second half.

Firstly, I think with, the market just unsure around what the government's position was going to be on the FBT exemption for EVs, and then secondly, obviously the fuel crisis off this war. Um we've certainly seen things come back to a little bit more what I would call expectations of what we probably had uh for the period.

Um obviously July, 8% sales growth is good. Orders are still strong.

The month of July, I think is up 18% in orders. There's still certainly good demand there at the moment in the market.

How long that lasts, what that looks like over what period of time, always difficult to say. Where our own analysis has shown, historically, the long-term growth for novated sales in our business has been about 6% CAGR over a very long period of time.

Um that's obviously fluctuated over different periods. Certainly, where we're seeing things at the moment, it feels like it's getting back to a level we probably expected six months ago.

Um but again, obviously, different external factors drive that.

Understood. Just just pivoting to the yield then.

You've mentioned that the yield is down 3%, but I think the first half was up around 1.6%. It sort of implies the second half is down 4% or 5%.

In your commentary, you did mention that you're cycling the PHEV numbers in the PCP. Is that a neat reference there, is it?

Effectively, you're talking about the the lower average vehicle value in in this period? Then and then just a related sort of follow-up.

What are you seeing in terms of new vehicles as a proportion of novated sales over the last six months? Is that presumably that has increased?

Look, obviously, from a yield perspective, some of the elements that's played out for us over the last period, I think the first is, yeah, the plug-in hybrid in FY25, the second half on the first half in '25, our yield was up 5%. That reflected largely higher-value plug-in hybrids at the time, like the Sharks and others, they were generally at a higher price point than what we're seeing today in our BEVs.

Uh so, that's probably the first thing. We lapped that in the second half, which we won't expect to happen in in FY27.

The second, in terms of BEVs, yeah, our proportion of BEVs in the second half was about 70% versus the first half being about 49%. What we're seeing is the value coming down, on average, as new makes and models come into the market.

Our BEVs under $75,000 went from uh 80% to 84%. We're seeing a shift of higher proportion of those BEVs which we're financing at lower price points.

That's having a bit of an impact, and we've always expected that to happen. Um we think that will continue to play through in terms of FY27.

Uh and just to give you a bit of a sense, the year before that was 72% were less than 75%. It's moved quite a lot in terms of the last 12, 18 months in terms of the number of Chinese uh makes and models that have come to this marketplace at lower price points.

I think, for us, the third thing that had a bit of an impact in our yield on the second half was we reviewed some of our insurance products with our insurer, made some changes there to enhance customer value. The second half on first half, that was down about 7% in terms of its impact on yield.

Overall, our second half on first half yield total was down 4%, as you alluded to. It's still up about 7% on FY23, before obviously the big take-up of EVs when the legislation came out and we had Teslas as the main price point.

Overall, we still feel yield's good, um, but there are some pressures of moving it downward.

Okay. Thanks.

Then just last question for me, just on uh Ollie. Um what proportion of your leases are now from that business?

I think six months ago you you mentioned a number of around 5% of volume. Just wondering where that's up to now.

Clearly, you you spoke to the 77% growth, et cetera, but just maybe as a proportion of the total.

It's just uh around 6%. It's up a little bit more.

Obviously, we had such a strong performance across all of our brands in the second half. Um, but really pleased with the performance of Ollie.

Our mixture is changing quite a lot in that. Half of that's only coming through partnerships and the other half now is coming through SME relationships, which is really good.

Um, we're starting to build a really good SME client base in that platform as well.

Okay. Great.

Thanks for your time. I'll jump back in queue.

Thanks, Phil.

Hi, guys. Thanks for taking my questions.

Uh just a couple. Uh in terms of the NDIS segment, um can you talk to just the growth in client numbers, and whether you see there's an opportunity there to accelerate that without buying things that just organic growth and getting some operating leverage?

Obviously, the policy settings are obviously still moving around.

Yeah. Thanks, Tim.

Um, look, it's interesting. Um our growth was about 3% for the year, uh a little bit lower than what we've historically delivered.

Um we are seeing though that the agency is uh removing participants from the scheme at a higher rate than they historically have. Um, oh, almost 70% of our customers that we didn't have in '26 versus '25 was because their plans were cancelled, they were no longer eligible.

Um, it's certainly slowing down in uh customer growth from a participant perspective. Um that's kind of one factor.

I think the second is obviously a little bit of uh higher compliance that the agency and the Quality Safeguards is imposing now. We're expecting a number of plan managers to probably exit the scheme, there will be opportunities to pick up share as some players exit the market from the higher compliance costs.

Then thirdly is obviously with some of the reforms that are going to happen and move to a panel of high-quality plan managers, we see some opportunities. Um they're probably just starting to emerge in terms of opportunities, Tim, um and we'll assess those on its merits, generally try and pick these up without having to pay anything for them as people exit.

Um but there is a little bit of volatility in the market in terms of just obviously what's happening in terms of how the agency is managing it and some of the reforms.

Yeah. I didn't catch you when that compliance hurdles increased.

When was that happening?

It's been progressively increasing. Various factors.

They brought in some back in late FY25, early '26, with some of the black and white rules, and then, as I mentioned in my uh earlier remarks, they're challenging and testing a lot more payments now of plan managers as well. They're going through and verifying those a lot more, and that's putting a lot more scrutiny uh and compliance costs to operators.

Yeah. Okay.

Very clear. Um and just on the outlook comment around the remarketing yields, the EV versus the ICE.

You're trying to flag, you've commented obviously the unit decline versus the exit fees and yields, but are you trying to sort of flag that um there's a little bit of a a reduced remarketing yield? Because I I don't expect there's a lot of EVs in the book, and obviously it would be ICE-dominated.

Yeah. Exactly right.

Like, um our remarketing um results in the second half were very different to the first half. First half um was pretty good.

Um we also had some benefits in our yield that I mentioned in terms of some early terminations that helped accelerate some of the income in the yield. In terms of units, certainly down, down 9% for the year.

We're down actually 20% for the second half on the first half. The revenue that we kind of generated from those proceeds was down 17% second half on the first half.

We expect that to play out a little bit more in the first half of '27. To your point, in terms of EVs in our fleet business, uh we funded about 7 7.5% of our units in '26 were EVs, up from 2.9 in '25.

Uh and the month of July is about almost shy just shy of 10%. We're starting to see now our fleet clients make the transition, more hybrids than pure battery electric vehicles.

We start we hope to see a bit of a replacement happening, which will hopefully stimulate some growth for us in terms of units. Um, but at the moment, they've been holding on to their cars a bit longer, so that's been a cycle we've seen now for a couple of periods.

I think that combined with probably the cost of replacements being a little bit higher than what they would have seen a few years back, that's probably just holding them back on the replacements as well.

Yeah. Okay.

Um and so in terms of the sort of contribution from the AMS segment, that sort of second half, I think it's like almost $13 mil. Are you feeling that sort of a comfortable go-forward, or you still think there's sort of more normalization of that remarketing yield to come out of that number?

Look, it's a hard one, Tim, as we've probably spoken plenty of times. We've always had a view that uh we expected the uh elevated remarketing values to come down over time.

We've seen that probably in the last six months more so than we've seen it in the prior periods. I think part of that's stimulated by external factors, and some of that obviously by how businesses are feeling.

Um, in terms of where that is, pre-COVID, this business was kind of generating about $14 million UNPATA. Um, we obviously had elevated poster for a few years.

We'd probably see we see a little bit more downside probably on the remarketing values in the first half of uh '27. A bit hard to tell how long that lasts for, but they are still, yeah, delivering us good profits and higher than where they were pre-COVID, but they certainly have come back a bit.

Yeah. Can I stick up on your um your comment around the 6% CAGR sort of long-term growth and that's to do with novated.

Uh yeah, how do you sort of feel um obviously, you've seen a bit of a a fuel boost, the policy certainty helped. Um you've talked about the sort of 84% of vehicles of BEVs now coming sort of below that $70, $70,000 hurdle that obviously is important in the policy going forward um from sort of next year.

Can you just talk how confident you are that that's sort of the right number, even with these sort of policy settings uh moving things and fuels sort of moving things around a bit?

Yeah. I'm not saying the 6% is the the the number to take as a forward estimate.

I'm just saying our long-term average across this business has had 6% as a CAGR, some periods higher than others, obviously much lower during COVID period, a bit of a boom straight afterwards. Um, we'd say at the moment, they're favorable characteristics and settings uh for positive growth in novated leasing.

Um, the legislation's one of those things, the greater awareness of novated leasing and the benefits it provides, obviously our Ollie platform and entering a new market. I think all those things are positive for us in terms of we feel good about, the the outlook in terms of sales growth.

Um, and I just pointed out that July was 8%. It feels more like kind of where we expected things to be before the fuel crisis.

Yeah. Okay.

Just last question from me, um just more a sort of corporate structure question. With with the um activity we've seen with fleet partners um and with the sort of structural change in NDIS, are you still feeling that the sort of three segments are sort of all go-forward segments for the group?

Look, um, I mean we don't, sit and comment on corporate M&A activity. Um, but we're we're pleased with, uh the various contributions of each of the businesses, obviously different factors affecting each of them, as I've outlined today.

Um, uh at this stage, we feel comfortable about the business kind of settings, how we kind of think about the future in segmentation and and how we think about the business. Obviously, we'll let the market know if we make any changes to it.

Um, PSS, as we've outlined, got some elements of reform that it's kind of faced now over the last couple of years, and we just continue to assess those on its merits to make decisions about what that means for the business. Um at this stage, we don't have enough certainty of what the panel would look like and the economics of it.

Obviously, the asset management business have always called out that, we were very cautious, in terms of the elevated remarketing position of that business, and therefore, doing any M&A activity when that's at inflated rates wouldn't be the best use of shareholder capital. Um, we're starting to see that that kind of logic play out why we've kind of made that decision.

Uh how that plays out in the future, though, we still see some really good synergies between our asset management and our GRS business in terms of procurement benefits and and joint client opportunities.

Okay. Thanks for taking my questions.

Thanks, Tim.

good morning, everyone. My questions have been asked and answered, thank you.

Thanks, Andrew.

morning, guys. Uh thanks for taking my questions.

Firstly, maybe just in terms of warehouse, uh impact first half versus the second half. Uh obviously, in the second half, you guys saw um a pretty substantial tailwind uh on the novated side.

You would have ex- uh obscured some of the first-half, second-half, but just wanted to uh see if there's any more color you can you guys can give us uh on that dynamic, noting I think, FY25, first-half '26, you guys uh talked to, the first half being lower, second half being uh higher on that um uh on that front. Just want to see whether that has played out.

Yeah. Hi,

Chenny. Uh great question.

Um pleasing to say, yes, that has turned out that way. First half, marginally below, by a couple hundred thousand versus contribution, versus the second half was a plus 1.6 positive contribution from the from the warehouse or or OBF.

That was pretty much exactly in line um with where we predicted it to be. Obviously, we had a a good surge in um in NL sales in the second half.

Where we can, we try and keep that ratio relatively proportionate where we can, but sometimes it can it can get slightly out of whack when there's um a number of units coming through uh quickly.

Got it. Then just uh uh in the past you guys talked about, FY27 seeing a tailwind from the warehouse.

Again, it'd

probably be harder to to discern given um uh given a uh broader broader tailwind, but like um that trajectory uh is is still on track, I I guess, I suppose?

Yep, still on track. If you take a step back, um the contribution from Onboard will start to slow as the receivables growth slows.

To give you a sense of it, in the first couple of years, FY24 to '25, receivables grew 54%. This year you saw in the financials it's 16%.

Going forward, it'll be high single-digit to low double-digit growth for receivables in the outlook. Therefore, that contribution, or the speed of the contribution, will moderate somewhat, but we still expect it to be accretive in the out years relative to the P&A model.

Obviously, it also provides a good annuity um and recurring revenue for us as well.

Got it. Then um I may have missed this, my so my apologies.

Did you guys carry a backlog exiting uh FY26 on the GRS side?

Yeah. We we did, um Chenny.

We didn't kind of talk to it, because obviously, uh as we kind of ended '25, went into '26, kind of the delivery times of vehicles were within kind of the month. Uh delivery times, as you would know, picked up a bit in the second half off the back of the supply chain of uh challenges.

Um we're seeing at the moment that our order book is more like delivery times of about just over a month, where previously it was about 20 days. Um so, there's a little bit of uh order book in our in our portfolio at the moment, but it's being kind of less than about a month's worth.

Got it. Um and then just in terms of GRS margins for the second half, um I guess when I kind of look at uh margins there half on half over the past uh few years, it has, it has kind of trended uh both up and down.

Second half uh saw about 300 uh basis points lift half on half. Like, that 44%, if I got my maths correct, uh I may not have, but, that 44% like, is that a good level going forward?

Uh especially given some of the, one-off costs, to speak, have now come out of the business?

We always have a much stronger second half than first half in terms of our seasonality across our business. Um, at MMS level, just think about it, obviously, we take wage increases from 1 July.

A large portion of our GRS and PSS business have got exposure to a Fair Work Commission. That's up 4.75% for FY27.

We start with a higher cost base, and then we kind of generally deliver benefits and productivity over time. We also have, in the second half, generally a little bit more positivity in terms of, 30 June sales in novated, FBT year end 31 March.

All those things always help our second half. If you look over history, we kind of generally have a really good second half, comes back a bit in the first half, then builds up again into the second half.

I've always sort of said, this business is a 40%, plus margin business, and that's what we try to kind of continue to deliver on each half. Sometimes it's a little bit up or down around that, depending on different factors.

Got it. Then just just one last one.

Any larger renewals or tenders for you guys ov- over the next year that we should be aware of? Uh

not in terms of major existing clients renewals. I think, all our largest ones we've kind of been through a bit of a cycle, I think uh for the next short period in '27, FY27, not so much.

We've got quite a few opportunities we're constantly tendering for over the next period. Hopefully, we'll see some success out of those uh in FY27.

Awesome. Thanks, guys.

That's it for me.

Thanks, Chenny.

Hey, guys. Just had one question going off um one of Chenny's.

Um just wanted to come to the operating expense walk on slide 14. Um mentioned it there, Rob, that the second half implied up 4.7%, some of those things I guess are offsetting, the deck talks around uh your your productivity and improvements that you're making, but, it's getting offset particularly in the second half.

Um like what deliverables do you have coming into FY27, and then how do we actually get to in the outlook statement you you talking to productivity gains? Because I kind of feel like, yeah, you did good volumes in GRS, and and that's just waterfall down to the EBITDA line to to give you a good number.

Thanks, Hayden. Um, look, we've always got initiatives uh across the business on our strategy to drive um productivity benefits, and I think, our last few years, 3, 4 years, has been, we've proven that in terms of our results.

You can see there in the productivity bar that's obviously alluded to, $7.5 million. The first half of that was $2.7 million.

The second half of $4.8 million. We always get, a bit more momentum in the second half as we deliver on some of the outcomes from the various initiatives.

As Paul alluded to, we've implemented some changes around BPO in in the period, which we expect to get some annualized benefits in FY27. We continue to digitize uh all of our platforms from a payments perspective in PSS and in terms of how we manage claims in GRS, which I alluded to in my strategy update this morning.

They come through. Then obviously, as we continue to enhance the digital experience for our customers and using our app, the self-service increases, the use of AI is reducing call volumes into our team and reducing average handling times.

We've got a number of initiatives that will I think that will continue to deliver ongoing productivity gains in the business. As I mentioned to Chenny's question, no, we always have a bit of a difference between the second half and the first half.

If you look at our uh last year in FY25, we kind of finished the year in second half of '25 and then came into '26, and our underlying profit for the group was down 6% first half off the back of a strong second half the year before. That's not That's a fairly normal kind of experience for us in terms of seasonality.

We're always looking at opportunities to drive productivity benefits and deliver really good outcomes for customers.

Got it. Um just as a quick follow-up, that sales bucket, I think is a new individual call-out versus the first-half '26.

Um just interested, is that um adding heads for investment, or is that to go along with the sales, like, does it does it run rate from here, I guess is what I'm getting at?

On that walk, you can see there there's $4 million increase investment in sales capability in the organization. Uh a large portion of that was the second half, so that will carry forward into certainly an annualized impact of that largely in the first half.

Um, that's novated salespeople, it's industry experts and specialists, investments in people supporting our broad distribution partnerships.

Okay. Got it.

Thanks.

Thanks, Hayden.