COMPUTERSHARE LIMITED. - Interim / Quarterly Report 2020

FY20 HALF YEAR RESULTS PRESENTATION

1H20 Executive Summary Resilient operating performance – EPS impacted by interest rates and tax

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Revenue EBITDA EPS
$1,141.7m 1.2% $338.7m 2.2% 29.12 cents 16.7%
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Computershare has delivered a resilient operating performance. However, 1H20 Management EPS impacted by reduced margin income, increased tax rate and UK Mortgage Services. Full year guidance affirmed – Management EPS to be down around 5%. Adjusting for IFRS16 benefit, the disposal of Karvy last year and margin income, EBITDA was flat. Recurring revenues increased, up 2.6%, now accounting for 78.3% of Group total, offsetting the decline in event-based revenues.

Management results are expressed in constant currency throughout this presentation unless otherwise stated. Constant currency equals 1H20 results translated to USD at 1H19 average exchange rates. All figures in this presentation are presented in USD millions, unless otherwise stated. Reconciliation of statutory to management results can be found on slide 22

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FY20 unwrapped

2H factors support earnings guidance

1H Positives

Increase in recurring revenues 78.3% of Group total, up from 76.1%, offsetting the declines in event-based revenues
Issuer Services – continuing to make progress in new complementary large markets
Employee Share Plans up 23.5% revenue growth. Equatex financial performance ahead of plan, strong equity markets supported transaction volumes
US Mortgage Services up 42.6% revenue growth. Disciplined investment to take advantage of strong market conditions
Free cash flow up 68.5%

1H Negatives

Headline EBITDA Margin 29.7%, up 30bps. Adjusting for IFRS16 and the Karvy disposal, EBITDA margin 27.6%, down 160bps
Margin Income revenue down 6.5%. Timing of interest rate cuts (3 rate cuts in US occurred earlier than anticipated)
UK Mortgage Services profit impacted by delayed migration of UKAR portfolio – as announced at Investor Day
Higher margin Corporate Actions revenue down 16.7%, weak levels of completed M&A
Stakeholder Relationship Management revenue similarly impacted by lower transaction activity
Tax rate 31.6%, underestimated tax implications in Mortgage Services profit mix and new impact of Base Erosion Anti Abuse Tax in the US

2H Tailwinds

Growing contribution from new US Issuer Services businesses
Continued momentum in Employee Share Plans and US Mortgage Services
UK Mortgage Services migration on track to be completed by May 2020. Cost reductions in line with expectations
Cost out programs continue to deliver
2H tax rate expected to be lower than 1H. 29-31% expected for the full year

2H Headwinds

Margin Income – assuming lower average yields in 2H
Corporate Actions activity expected to remain weak
US Mortgage Services strip sales expected – release capital, reduced revenue contribution from partly owned MSRs. Higher amortisation expense as a result of 1H investment
Higher net interest charge following completion of Corporate Creations acquisition

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FY20 Outlook

Management EPS guidance unchanged – down around 5%

FY20

› As we said in November at the AGM, we continue to expect Management EPS for FY20 to be down around 5% in constant currency
Mortgage Services and Employee Share Plans expected to offset weak Corporate Actions, lower margin income and a higher tax rate
Continued growth of high quality, resilient core businesses with recurring revenue
Guidance implies 2H20 Management EPS of around 1.5 cents per share greater than 2H19 Management EPS
Guidance subject to assumptions below

Assumptions

› We now expect margin income revenue for the year to be down by around 8-10% versus FY19
› Equity markets remain at current levels
› Corporate Actions activity levels expected to remain subdued
› We now expect the Group tax rate to be 29-31% in FY20 compared to 26.5% in FY19
› The weighted average number of ordinary shares on issue to be the same as FY19 i.e. no benefits from the share buy-back included
› For constant currency comparisons, FY19 average exchange rates are used to translate the FY20 earnings to USD (refer to slide 89)
› For comparative purposes, the base FY19 Management EPS is 70.24 cents

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FY20 key priorities – execution scorecard Delivering on strategic plans

1. PROGRESS THE RESTRUCTURE OF OUR UK MORTGAGE SERVICES BUSINESS

PROGRESS RESULT

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All asset migrations on track to be completed by May 2020. Cost out program underway. EBITDA impact as expected

PROGRESS RESULT 4. CONTINUE TO Delivered slight operating DELIVER MEASURABLE revenue growth in US Register ORGANIC GROWTH IN Maintenance ISSUER SERVICES – OUR LARGEST BUSINESS Investing to enhance scale and capability – Corporate Creations

2. CONTINUE TO GROW OUR US MORTGAGE SERVICES BUSINESS

3. PROGRESS THE UPGRADE OF OUR SHARE PLANS CLIENTS TO EQUATEPLUS

PROGRESS RESULT

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UPB up 9.6% with margin expansion in the US. Increased MSR investments in a robust market environment. Accelerated levels of run-off

PROGRESS RESULT 250 UK and European clients upgraded to EquatePlus platform

PROGRESS

RESULT

5. CONTINUE TO

TRANSITION TO GLOBAL BUSINESS LINES AND GLOBAL SERVICE MODEL

TRANSITION TO GLOBAL Global business structure BUSINESS LINES AND established – increased focus GLOBAL SERVICE MODEL on growth and customer experience PROGRESS RESULT 6. PROGRESS OUR EFFICIENCY Cost out programs continue to INITIATIVES progress to plan

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Laying the foundations for long term growth and returns

Growth

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Profitability

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Capital Management

› Management revenues $1,141.7m, +1.2%. Excluding margin income ($117.1m v $125.2m) and adjusting for Karvy revenue, disposed in 1H19 ($23.4m) Management revenues $1,024.6m, +4.6%

› US Mortgage Services tracking well to new growth levels with UPB of $111.6bn, up 9.6%. Scale benefits, servicing mix and efficiency gains support ongoing margin expansion. Capital employed $647.1m. Future growth expected to be less capital intensive – continuing to progress to free cash flow ROIC target – 12-14% post tax

› Employee Share Plans strong increase in transaction fees given positive equity market conditions. Equatex financial performance exceeding expectations. Upgrade of UK and European clients to EquatePlus platform underway and on track, with Asia, US and Australia to follow

› Investing for long term growth in Issuer Services – scope to leverage core registry skills in private markets, registered agent and entity management. Corporate Creations acquisition provides platform and capabilities to build scale in registered agent market

› Management EBITDA $338.7m, +2.2%. EBITDA margin 29.7%, up 30bps. EBITDA ex margin income +7.5%
› Excluding margin income (-$8.1m), and adjusting for the impact of IFRS16 (+$23.9m to 1H20 EBITDA) and Karvy disposal (+$8.6m in 1H19), Management EBITDA $197.7m v $197.6m
› Margin income revenue negatively affected by earlier than anticipated rate cuts and lower balances

› Cost out programs progressing well with contributions as expected

› UK Mortgage Services and Employee Share Plans cost reduction programs/synergy benefits on track with additional contributions to come

› Higher effective tax rate of 31.6% inflated with higher share of US profits/lower UK profits in geographic mix
› Strong net operating cash flow, +41.7% with improved working capital position
› Net debt to EBITDA leverage ratio below mid point target range at 1.97x. Following completion of Corporate Creations acquisition, the ratio is expected to be towards the top of Computershare’s target range (1.75x to 2.25x) and is expected to reduce with free cash flow generation in the 2H
› Disciplined investments in US Mortgage Services, $139.3m in MSR purchases, to take advantage of buoyant market conditions.

› Group capex $14.0m, vs. $33.6m (includes US data centre build costs)

› ROE 22.8% -360 bps reflecting reduced earnings
› On market share buy-back, 2,076,275 ordinary shares acquired at average price of AU$15.85 at a total cost of AU$32.9m
› AU 23 cents interim dividend, +9.5% franked at 30%

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Management revenue by business stream

Revenues up 1.2%, +4.6% adjusting for margin income and Karvy

	1H20 @ CC	1H19	CC Variance	1H20
Issuer Services	$430.5	$471.8	-8.8%	$424.3
Mortgage Services & Property Rental Services	$348.2	$302.4	+15.1%	$343.9
Employee Share Plans & Voucher Services	$151.5	$126.6	+19.7%	$148.8
Business Services	$121.4	$134.1	-9.5%	$120.8
Communication Services & Utilities	$86.7	$87.6	-1.0%	$83.1
Corporate & Technology	$3.5	$5.4	-35.2%	$3.3
Total Group	$1,141.7	$1,127.8	+1.2%	$1,124.3

› Group revenues increase by 1.2% with the balance of growth in Mortgage Services & Property Rental Services, +15.1% and Employee Share Plans & Vouchers, +19.7% offsetting declines in Corporate Actions (-16.7%) and Stakeholder Relationship Management (-48.5%)
› Revenue excluding margin income and Karvy disposal (1H19 $23.4m) was +4.6% at $1,024.6m. A strong result given UKAR Fixed fee reduction as expected ($19.7m)
› Business Services ex Karvy was up 3.6%
› Employee Share Plans & Vouchers includes full 6 months contribution from Equatex compared to 7 weeks benefit in 1H19
› Corporate & Technology includes third party technology revenues, rental income and other corporate related transaction income

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Issuer Services

Resilient Register Maintenance with lower event-based revenues

	1H20 @ CC	1H19 Actual	CC Variance
Register Maintenance	$326.1	$334.3	-2.5%
Corporate Actions	$73.8	$88.6	-16.7%
Stakeholder Relationship Management	$18.3	$35.5	-48.5%
Issuer Services - Other	$12.2	$13.4	-9.0%
Total Issuer Services revenue	$430.5	$471.8	-8.8%
Issuer Services EBITDA	$130.1	$161.0	-19.2%
EBITDA margin %	30.2%	34.1%	-390bps
EBITDA ex MI	$85.4	$99.9	-14.5%
EBITDA margin ex MI %	22.1%	24.3%	-220bps

› Issuer Services provides listed and private corporates with registry, corporate actions, proxy solicitation and governance, entity management, registered agent and company secretarial services
› Register Maintenance revenues, -2.5%. Adjusting for Karvy ($5.5m contribution of registry revenues in 1H19) and margin income, -0.9%
› US Registry revenues increased slightly +0.1% excluding margin income contribution. Further US margin expansion. New client wins to assist 2H performance
› Weak Corporate Actions revenues, -16.7% and Stakeholder Relationship Management revenues, -48.5% macro uncertainty impacting event-based activity levels
› Register Maintenance & Corporate Actions combined EBITDA $130.2m, down 14.7%. Stakeholder Relationship Management 1H20 EBITDA is $2.9m (1H19 $9.9m)

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Employee Share Plans

Equatex continues to outperform

	1H20 @ CC	1H19 Actual	CC Variance
Fee revenue	$67.6	$57.2	+18.2%
Transactional revenue	$62.9	$45.8	+37.3%
Margin income	$6.5	$7.0	-7.1%
Other revenue	$7.1	$6.6	+7.6%
Total Employee Share Plans revenue	$144.1	$116.7	+23.5%
Employee Share Plans EBITDA	$27.5	$22.1	+24.4%
EBITDA margin %	19.1%	18.9%	+20bps
EBITDA ex MI	$21.0	$15.1	+39.1%
EBITDA margin ex MI %	15.3%	13.7%	+160bps

› Strong revenue growth +23.5%, with full 6 month contribution from Equatex compared to 7 weeks benefit in 1H19
› Good growth in recurring fee revenue, +18.2%. Positive equity markets supported higher transactional revenues, +37.3%
› EBITDA increased 24.4%, as scale benefits and productivity improvements drive margin expansion. EBITDA margin ex MI, 15.3% +160bps
› Pipeline of technology enhancements and improvements to customer service being implemented – strategy to expand customer base
› Equatex synergy benefits on track – over 250 UK and European clients upgraded to EquatePlus platform

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Mortgage Services

Disciplined growth in the US, UK migration on track

	1H20 @ CC	1H19 Actual	CC Variance
US Mortgage Services	$227.3	$159.4	+42.6%
UK Mortgage Services	$105.4	$128.0	-17.7%
Total Mortgage Services revenue	$332.7	$287.4	+15.8%
Total Mortgage Services EBITDA	$75.5	$59.2	+27.5%
EBITDA margin %	22.7%	20.6%	+210bps
EBITDA ex MI	$57.7	$46.4	+24.4%
EBITDA margin ex MI %	18.3%	16.9%	+140bps

› Revenues $332.7m, +15.8% revenue includes reduced UK fixed fee contribution (1H20 $28.4m v 1H19 $48.1m)
› EBITDA Margin continues to climb, 22.7%, up 210bps reflecting US margin expansion. EBITDA margin ex MI 18.3%, +140bps

US

› Invested capital increased to $647.1m as a result of strong MSR market conditions. Excess strip sales expected in 2H
› Record growth in revenues, +42.6% reflecting growth in UPB, $111.6bn, +9.6%. New origination volumes offset refinance activity. Robust market conditions and lower mortgage interest rates have supported investment in MSR purchases ($139.3m)
› US 1H20 amortisation expense $29.7m (pcp $20.4m)
› Further improvement in PBT margin, as scale builds. Free cash flow return on capital continuing to progress to 12-14% target

UK

› Previously delayed migration of UKAR loans now on track to be completed by May 2020, with full customer support
› Retail challenger banks decision to exit new lending market will impact long term origination volumes. Current servicing still intact
› Restructure program underway as announced on Investor Day. Savings tracking in line with plan

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1H20 Management results summary

Resilient operating performance with lower margin income and higher tax rate

	1H20 @ CC	1H19 Actual	CC Variance	1H20 Actual
Total Revenue	$1,141.7	$1,127.8	+1.2%	$1,124.3
Margin income	$117.1	$125.2	-6.5%	$116.0
Operating Costs	$803.1	$795.4	+1.0%	$787.6
Share of net profit/(loss) of associates and joint ventures	$0.2	($1.0)	-120.0%	$0.2
EBITDA	$338.7	$331.4	+2.2%	$336.6
EBITDA Margin %	29.7%	29.4%	+30bps	29.9%
Depreciation	$38.8	$18.9	+105.3%	$38.0
Amortisation	$32.8	$21.2	+54.7%	$32.8
EBIT	$267.1	$291.3	-8.3%	$265.9
Interest Expense	$36.3	$32.5	+11.7%	$36.2
Profit Before Tax	$230.9	$258.8	-10.8%	$229.7
Income Tax Expense	$73.0	$65.8	+10.9%	$72.6
NPAT	$157.8	$189.9	-16.9%	$157.0
Management EPS(cents)	29.12	34.97	-16.7%	28.96
	1H20 Actual	1H19 Actual	Variance
Net operating cash flow1	$250.3	$176.6	+41.7%
Free cash flow1	$206.6	$122.6	+68.5%
Net debt to EBITDA ratio1,2	1.97 times	1.88 times	+0.09 times

1 References in this presentation to free cash flow and net debt exclude SLS advances/non-recourse debt as appropriate

2 Effective Dec 2019, net debt excludes lease liabilities ($7.7m as at Jun 19). 1H20 EBITDA includes IFRS16 benefit of $23.4m. Excluding IFRS16, the net debt to EBITDA ratio for 1H20 is 2.04x 1H20 IFRS16 impact in constant currency: EBITDA: +$23.9m, Depreciation +$20.7m, Interest +$3.6m, NPAT -$0.3m

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Management revenue bridge

Strong contributions from US Mortgage Services and Employee Share Plans with lower event-based and margin income revenues

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1,180
1,160 15.0
25.5
0.9 1.9
8.1
1,140
1,141.7
17.4
1,127.8 39.3
1,120 1,124.3
24.9
1,100
1,080
1,060
USD million
Revenue Business Services FX Revenue
1H19 Mgt Issuer Services Loan Services & DPS Plans & Voucher Services CCS and Utilities Corporate & Technology Margin Income 1H20 @ CC Mgt Revenue 1H20 Mgt
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12 Karvy 1H19 revenue $23.4m: Business Services $16.9m, Issuer Services $6.4m

Margin Income

Margin income decreased to $116.0m, -7.3% with $16.8bn average balances

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Impacted by
timing of US
rate cuts and
balances
35.0 125.2
121.2
116.0
120.0
30.0
99.9
100.0
89.4
25.0 86.4
79.0 79.6
74.3 80.0
20.0 69.6
66.6 21.0
17.3 60.0
15.0 16.3 16.6 16.8 16.6 16.1 16.8
15.1 15.2 15.0
40.0
10.0
5.0 20.0
0.0 0.0
1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20
Average balances Margin Income (USD m)
USD million
USD billion
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Note: Margin income and balances translated at actual FX rates for the period. In constant currency, Margin income is $117.1m

EBITDA and margins by business stream EBITDA $338.7m, +2.2% includes IFRS16 benefit

				Operating Margin	Operating Margin
	1H20 @ CC	1H19	CC Variance	1H20 @ CC	1H19
Issuer Services	$130.1	$161.0	-19.2%	30.2%	34.1%
Mortgage Services & Property Rental Services	$82.3	$66.8	+23.2%	23.6%	22.1%
Employee Share Plans & Voucher Services	$32.5	$29.0	+12.1%	21.4%	22.9%
Business Services	$41.7	$49.5	-15.8%	34.4%	36.9%
Communication Services & Utilities	$14.5	$13.9	+4.3%	16.8%	15.9%
Corporate & Technology	$37.6	$11.2	+235.7%	n/a	n/a
Total Management EBITDA	$338.7	$331.4	+2.2%	29.7%	29.4%

› Management EBITDA $338.7m, +2.2% - includes IFRS16 benefit of $23.9m (in Corporate & Technology). 1H19 includes Karvy contribution of $8.6m, largely Business Services
› Performance Incentives previously included in Corporate and Technology are now allocated to the business streams
› Group EBITDA margins 29.7%, excluding IFRS16 benefit 27.6% in line with 10 year 1H performance range; 24.1-31.5%*

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10 year 1H average at actual FX rates

EBITDA and margin income by business stream EBITDA ex margin income $221.6m

	1H20 EBITDA @ CC	1H20 MI @ CC	1H20 EBITDA ex MI @ CC	1H19 EBITDA @ CC	1H19 MI @ CC	1H19 EBITDA ex MI @ CC	CC Variance
Issuer Services	$130.1	$44.7	$85.4	$161.0	$61.1	$99.9	-14.5%
Mortgage Services & Property Rental Services	$82.3	$32.9	$49.4	$66.8	$26.4	$40.5	+22.0%
Employee Share Plans & Voucher Services	$32.5	$6.6	$25.9	$29.0	$7.1	$21.9	+18.3%
Business Services	$41.7	$33.0	$8.7	$49.5	$30.7	$18.8	-53.7%
Communication Services & Utilities	$14.5	-	$14.5	$13.9	-	$13.9	+4.3%
Corporate & Technology	$37.6	-	$37.6	$11.2	-	$11.2	+235.7%
Total Group	$338.7	$117.1	$221.6	$331.4	$125.2	$206.2	+7.5%

› Excluding margin income and adjusting for Karvy and IFRS16, EBITDA flat at $197.7m vs. $197.6m – resilient performance
› Margin Income of $117.1m. Average exposed balances of $11.6bn (pcp $12.9bn) with average annualised yield of 1.79% (pcp 1.60%)[*]

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Average balances are translated at actual FX rates

Operating cost analysis

Opex up 1.0% including IFRS16, up 2.5% excluding IFRS16, acquisitions and disposals

	1H20 @ CC	1H19	CC Variance	1H20
Cost of Sales	$174.5	$175.5	-0.6%	$171.2

Personnel	$499.1	$477.9	+4.4%	$489.9
Fixed/Perm	$474.4	$450.1	+5.4%	$465.8
Variable/Temp	$24.7	$27.7	-10.8%	$24.1
Occupancy	$16.6	$38.9	-57.3%	$16.1
Other Direct	$61.9	$52.8	+17.2%	$60.6
Computer/External Technology	$51.2	$50.3	+1.8%	$50.0
Total Operating Costs	$803.1	$795.4	+1.0%	$787.6
Operating Costs/Income Ratio	70.3%	70.5%	-20bps	70.1%

›

Under IFRS16, $23.9m of occupancy costs have been reclassified as depreciation ($20.7m) and interest ($3.6m)

Refer to slide 53 for Technology costs at actual FX rates. Computer/External technology includes hardware, software licenses, network and voice costs, 3[rd] party vendor fees and data centre costs. Acquisitions: Equatex (Nov 18) and LenderLive (Dec 18). Disposals: Karvy (Nov 18)

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Structural cost out programs

Programs delivering benefits as anticipated

	Total cost			Benefit realisation (cumulative)	Benefit realisation (cumulative)	Benefit realisation (cumulative)
Activity	savings estimates $m	FY17A	FY18A	FY19A	FY20E	FY21E	FY22E	FY23E
Stage 1 Total	25 - 30	7.8	14.0	21.8	27.6	28.0	28.0	28.0
Stage 2 Total	60 - 70	5.9	35.4	54.1	63.0	66.6	66.6	66.6
Stage 3 Total	40 - 55			4.3	14.3	25.0	38.1	45.4
Total cost savings estimate for Stages 1 - 3	125 - 155	13.7	49.4	80.1	104.9	119.6	132.7	140.0
Equatex synergies	30				7.6	21.5	30.0	30.0
UK Mortgage Services1	50				14.1	36.4	50.0	50.0
Total cost savings	205-235	13.7	49.4	80.1	126.6	177.5	212.7	220.0

› $24.8m of additional gross savings programs on track to be delivered in FY20. No material changes since August

Other cost saving programs – as previously announced

› Employee Share Plans Equatex synergies; $7.6m cumulative cost savings to be delivered by the end of FY20 of total $30m – in line with plan
› UK Mortgage Services additional $50m of savings to be realised by end of FY22 on track ($14.1m FY20).[1] This does not include the $35m of current IT costs that are expected to cease post migration to single platform

Total gross savings

› By FY23, we expect to deliver gross savings of $220m in total (an additional $93.4m gross savings to be delivered between FY21 to FY23)

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Cash flow summary at actual FX rates

Positive free cash flows, $206.6m, +68.5%

	1H20 Actual	1H19 Actual
Net operating receipts and payments Net interest and dividends Income taxes paid Net operating cash flowsexcludingSLS advances Cash outlay on business capital expenditure Net cash outlay on MSR purchases – Maintenance1	$312.2 $268.1 ($33.3) ($35.1) ($28.6) ($56.4)
	$250.3 $176.6 ($14.0) ($33.6) ($29.7) ($20.4)
Free cash flowexcluding SLS advances	$206.6	$122.6
SLS advance funding requirements2 Cash flow post SLS advance funding2 Investing cash flows Net cash outlay on MSR purchases – Investments1 Acquisitions (net of cash acquired) Disposal of Karvy Other Net operating and investing cash flows	($41.5) ($6.6)
	$165.1 $116.0 ($109.6) ($25.3) ($6.8) ($438.3) - $77.2 $4.6 ($14.9)
	($111.8) ($401.3)
	$53.3 ($285.3)

1 Maintenance MSR capex assumed to be equivalent to the amortisation charge for the period

18 2 Net operating and financing cash flows

› Excluding loan servicing advances, operating cash flows increased $73.7 million largely due to a reduction in receivables and lower tax payments (1H19 included $11.0m of advance payments)

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Balance Sheet

Levera e ratio within tar et ran e 1.75x – 2.25x g g g

	Dec-19	Jun-19	Variance
Current Assets	$1,468.4	$1,501.1	-2.2%
Non Current Assets	$3,448.7	$3,183.9	+8.3%
Total Assets	$4,917.1	$4,685.0	+4.9%
Current Liabilities	$834.6	$701.1	+19.0%
Non Current Liabilities	$2,520.2	$2,409.8	+4.6%
Total Liabilities	$3,354.8	$3,110.9	+7.8%
Total Equity	$1,562.3	$1,574.1	-0.7%

Net debt1	$1,340.1	$1,241.4	+8.0%
Net debt to EBITDA ratio1	1.97	1.84	+0.13 times
ROE2	22.8%	26.4%	-360bps
ROIC3	13.5%	14.8%	-130bps

› Net debt increased to $1,340.1m, up $98.7m following MSR investment ($139.3m), buy-backs (AU$32.9m) and final dividend (AU$124.9m)
› ROE 22.8%, -360 bps reflecting reduced earnings
› 1H20 EBITDA includes IFRS16 benefit of $23.4m. Excluding IFRS16, the net debt to EBITDA ratio[1] as at December 2019 is 2.04x
1 Excluding non-recourse SLS Advance debt. Effective Dec 2019, net debt excludes lease liabilities ($7.7m as at Jun 19).
2 Return on equity (ROE) = rolling 12 month Mgt NPAT/rolling 12 mth avg Total Equity
3 Return on invested capital (ROIC) = (Mgt EBITDA less depreciation & amortisation less income tax expense)/(net debt + total equity).

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Conclusions

› 1H20 result, resilient operating performance with earnings impacted by margin income, increased tax rate and known UKAR delayed migration costs
› High quality core industrial businesses performing to plan, optionality embedded across the group
› Cost out programs remain on track
› Delayed UK Mortgage platform migration, scheduled to complete May 2020
› Employee Share Plans and US Mortgage Services outperforming
› Corporate Creations accelerates Issuer Services growth strategy
› Earnings growth expected in 2H – Growth engines should offset interest rate headwinds
› Full year guidance remains unchanged at around -5% Management EPS
› Computershare continues to lay down and execute long term growth strategies: build high quality, core businesses with scale, recurring revenues and margin expansion

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APPENDICES

Statutory results 1H20 Management NPAT analysis Revenue and EBITDA Margin IH20 Computershare at a glance Management EBITDA (ex MI) Management EPS – AUD equivalent Financial performance by half year at actual FX rates Revenue and EBITDA by business stream at actual FX rates Management EBITDA ex MI at actual FX rates Register Maintenance and Employee Share Plans Business Services revenue Management revenue by region Technology costs CAPEX versus depreciation Client balances Debt facility maturity profile Key financial ratios Effective tax rate Dividend history and franking Mortgage Servicing Previous business stream reporting Exchange rates

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Statutory results

	1H20	1H19	Vs 1H19 (pcp)
Total Revenues	$1,125.8m	$1,242.1m	-9.4%
Total Expenses	$940.3m	$912.0m	+3.1%
Statutory Net Profit (post NCI)	$124.7m	$259.4m	-51.9%
Earnings per share (post NCI)	23.00 cents	47.77 cents	-51.9%
Reconciliation of Statutory Revenue to Management Results			1H20
Total Revenue per statutory results			$1,125.8m
Management Adjustments
Marked to market adjustments – derivatives			-$1.5
Total Management Adjustments			-$1.5
Total Revenue per Management Results			$1,124.3m

Reconciliation of Statutory NPAT to Management Results	1H20
Net profit after tax per statutory results	$124.7m
Management Adjustments (after tax)
Amortisation	$20.8
Acquisitions and Disposals	$5.9
Other	$5.5
Total Management Adjustments	$32.3
Net Profit after tax per Management Results	$157.0m

Management results are used, along with other measures, to assess operating business performance. The Company believes that exclusion of certain items permits better analysis of the Group’s performance on a comparative basis and provides a better measure of underlying operating performance.
›
Management adjustments are made on the same basis as in prior years.
›
› Non-cash management adjustments include significant amortisation of identified intangible assets from businesses acquired in recent years, which will recur in subsequent years, asset disposals and other one-off charges.
› Cash adjustments are predominantly expenditure on acquisition-related and other restructures, and will cease once the relevant acquisition integrations and restructures are complete.
A full description of all management adjustments is included on slide 23.
›
The non-IFRS financial information contained within this document has not been reviewed or audited in accordance with Australian Auditing Standards.
›

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Management adjustment items Appendix 4D note 2

Amortisation

› Customer relationships and most of other intangible assets that are recognised on business combinations or major asset acquisitions are amortised over their useful life in the statutory results but excluded from management earnings. The amortisation of these intangibles in the half-year ended 31 December 2019 was $20.8 million. Amortisation of mortgage servicing rights, certain acquired software as well as intangibles purchased outside of business combinations is included as a charge against management earnings

Acquisitions and disposals

› Acquisition related expenses of $8.1 million were incurred related to the Equatex integration
› A true-up of the one-off tax expense recognised as a result of the Equatex IP restructure in the previous financial year resulted in a tax benefit of $1.1 million
› A gain of $0.5 million was recognised for re-measurement of contingent consideration payable to the sellers of Gilardi & Co., LLC and a gain of $0.6 million resulted from an adjustment to acquisition accounting for a prior period acquisition

Other

› Costs of $6.6 million were incurred in relation to the restructuring of UK mortgages services, shared services cost-out programs and the major operations rationalisation underway in Louisville, USA
› Derivatives that have not received hedge designation are marked to market at the reporting date and taken to profit and loss in the statutory results. The marked to market valuation resulted in a gain of $1.1 million

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1H20 Management NPAT analysis

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250
200 8.1
15.4
189.9 31.4
3.8
7.2 3.1 0.8
150 157.8 157.0
100
50
0
USD million
Interest Tax FX
(ex MI)
1H19 NPAT Mgt EBITDA Margin Income Dep'n & Amort Non-controlling interest 1H20 @ CC NPAT 1H20 NPAT
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High quality core industrial drives consistent operating performance

EBITDA margin 29.9% including IFRS16 - in line with 10 year 1H performance range; 24.1-31.5%[*]

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1,800 35%
29.9%
1,600
30%
1,400
25%
1,200 1,128 1,128 1,124
986 977 1,003
960 20%
1,000 939
245
270
296
781 781 217
800 287 246 233 222 15%
600
256
330 10%
400 Recurring revenues
+2.6%, 78.3% of
Group total 5%
200
450 525 700 731 727 716 786 832 858 880
0 0%
1H11 1H12 1H13 1H14 1H15 1H16 1H17 1H18 1H19 1H20
Recurring Non recurring EBITDA Margin
%
USD millions
Total Revenue EBITDA margin
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Based on 10 year 1H average at actual FX rates

IFRS16/AASB 16 - Leases

Management EBITDA impact reflected in Corporate & Technology business stream

IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream	IFRS16/AASB 16 - Leases Management EBITDA impact reflected in Corporate & Technology business stream

	1H20 @ CC	1FRS16 @ CC	1H20 excluding IFRS16 @ CC	1H19 Actual	CC Variance	1H20 @ Actual rates	1FRS16 @ Actual rates	1H20 excluding IFRS16 @ Actual rates
Management EBITDA	$338.7	$23.9	$314.8	$331.4	-5.0%	$336.6	$23.4	313.2
Depreciation	$38.8	-$20.7	$18.1	$18.9	-4.2%	$38.0	-$20.3	17.7
Amortisation	$32.8	-	$32.8	$21.2	+54.7%	$32.8	-	32.8
Interest expense	$36.3	-$3.6	$32.7	$32.5	+0.6%	$36.2	-$3.5	32.7
Mgt Profit before Tax	$230.9	-$0.4	$231.2	$258.8	-10.7%	$229.7	-$0.4	230.0
Mgt Income Tax Expense	$73.0	$0.1	$73.1	$65.8	+11.1%	$72.6	$0.1	72.7
Mgt Profit after Tax	$157.8	-$0.3	$158.1	$189.9	-16.7%	$157.0	-$0.3	157.3

The IFRS16 impact to the Balance sheet is as follows: Change in net assets of ($10.4m) due to an increase in total assets of $239.6m offset by an increase in total liabilities of $250.0m at adoption date

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26 Refer to Appendix 4D, note 13 for more information

1H20 Computershare at a glance

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Management revenue @ CC Management EBITDA @ CC
Canada8% 10%ANZ Canada ANZ5% [Asia]
Asia 14% 6%
5%
UCIA
13%
CEU
$1,141.7m UCIA $338.7m 2%
23%
USA
51%
CEU
USA
3%
60%
Communication
Services & Corporate & Technology Corporate & Technology
Utilities 0% Communication 11%
8% Services &
Utilities
Business 4%
Services Issuer Services Issuer Services
11% 38% 39%
Business
Services
Employee 12%
Share Plans & $1,141.7m $338.7m
Vouchers Mortgage Mortgage
13% Services & Employee Services &
Property Share Plans & Property
Rental Vouchers Rental
Services 10% Services
30% 24%
By geography
By business stream
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Management EBITDA excluding the impact of margin income and FX movements increased by 7.5% in 1H20 versus pcp

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434.8
428.4
405.3
372.8
357.7
321.5
255.3
221.6
206.2
FY13 FY14 FY15 FY16 FY17 FY18 FY19 1H20
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Note: Management EBITDA translated at FY19 average rates and excludes margin income. 1H20 results translated to USD at 1H19 average exchange rates. 1H20 EBITDA ex MI includes IFRS16 benefit of $23.9m

Management EPS – AUD Equivalent

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140 1
0.9139
0.9
0.8389
120
0.7758
0.7521 0.8
0.7273 0.7177
100 0.6838
0.7
97.87
0.6
80
81.69
75.74 0.5
71.31 72.35
60 65.92
0.4
48.03 0.3
40
42.35
0.2
20
0.1
0 0
FY14 FY15 FY16 FY17 FY18 FY19 1H20
AUD/USD average exchange rate
Cents per share
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Financial erformance b half ear at actual FX rates p y y

	1H20	2H19	1H19	2H18	1H18	2H17	1H17	2H16	1H16	2H15	1H15	2H14	1H14
Total Management Revenue	$1,124.3 $1,228.7 $1,127.8 $1,173.1 $1,127.8 $1,110.8 $1,003.2 $1,035.5 $938.7 $1,016.5 $959.5 $1,045.7 $976.9
Operating Costs	$787.8 $885.2 $795.4 $843.4 $835.2 $811.6 $762.3 $744.5 $695.7 $720.7 $699.0 $771.7 $709.2
Management EBITDA	$336.6	$343.5	$331.4	$329.3	$293.4	$299.5	$241.3	$290.3	$242.3	$294.8	$259.3	$273.6	$267.0
EBITDA Margin %	29.9% 28.0% 29.4% 28.1% 26.0% 27.0% 24.1% 28.0% 25.8% 29.0% 27.0% 26.2% 27.3%
Management Profit Before Tax	$229.7 $264.6 $258.8 $260.3 $232.2 $239.6 $187.6 $235.0 $192.2 $244.2 $211.1 $220.9 $215.0
Management NPAT	$157.0	$191.5	$189.9	$177.9	$166.8	$156.7	$140.6	$159.7	$143.8	$172.1	$160.6	$171.5	$163.6
Management EPS (US cents)	28.96	35.27	34.97	32.76	30.62	28.67	25.74	29.11	25.98	30.94	28.88	30.83	29.41
Management EPS (AU cents)	42.35	49.84	48.03	42.31	39.38	38.22	34.13	39.78	35.96	39.28	32.03	33.93	31.98
Statutory EPS (US cents)	23.00	28.80	47.77	23.74	31.43	21.28	27.48	13.33	15.22	24.82	2.79	20.13	25.07
Net operating cash flows^ Days Sales Outstanding Dividend (AU cents) Franking (%) Net debt to EBITDA*	$250.3 $235.0 $176.6 $253.7 $199.3 $247.0 $173.3 $214.5 $158.5 $247.3 $169.4 $221.7 $223.7 61 60 65 59 57 60 56 56 53 48 46 45 42 23 23 21 21 19 19 17 17 16 16 15 15 14 30% 30% 30% 100% 0% 0% 30% 20% 100% 25% 20% 20% 20% 1.97 1.84 1.88 1.33 1.58 1.60 1.91 2.12 2.06 1.86 2.10 1.96 2.09

^ Excluding SLS advances

Ratio excluding non-recourse SLS Advance debt and lease liabilities (the latter effective from 1H20)

Notable acquisitions: Olympia Finance Group Inc (7[th] Oct 13), Registrar and Transfer Company (1[st] May 14), Homeloan Management Limited (17[th] Nov 14), Valiant (1[st] May 15), Gilardi & Co. LLC (28[th] Aug 15), SyncBASE Inc (1[st] Feb 16), Capital Markets Cooperative LLC (29[th] Apr 16), Equatex Group Holding AG (9[th] Nov 18), LenderLive Financial Services, LLC (31[st] Dec 18)

Notable divestments: Highland Insurance (27[th] Jun 14), Pepper (30[th] Jun 14), ConnectNow (30[th] Jun 15), Closed Joint Stock Company "Computershare Registrar" and Computershare LLC Russia (16[th] Jul 15), VEM Aktienbank AG (31[st] Jul 15), INVeSHARE (16[th] Sep 16), Karvy – 50% interest (17[th] Nov 18)

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Revenue and EBITDA by business stream at actual FX rates

	1H20 REVENUE	1H20 EBITDA	1H20 EBITDA MARGIN %	1H19 REVENUE	1H19 EBITDA	1H19 EBITDA MARGIN %
Issuer Services	$424.3	$129.0	30.4%	$471.8	$161.0	34.1%
Mortgage Services & Property Rental Services	$343.9	$82.1	23.9%	$302.4	$66.8	22.1%
Employee Share Plans & Voucher Services	$148.8	$31.9	21.4%	$126.6	$29.0	22.9%
Business Services	$120.8	$41.6	34.4%	$134.1	$49.5	36.9%
Communication Services & Utilities	$83.1	$14.0	16.8%	$87.6	$13.9	15.9%
Corporate & Technology	$3.3	$38.0	n/a	$5.4	$11.2	n/a
Total Group	$1,124.3	$336.6	29.9%	$1,127.8	$331.4	29.4%

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Management EBITDA ex Margin Income by business stream FY19 and FY18 at actual FX rates

	FY19 EBITDA	FY19 MI	FY19 EBITDA ex MI	1H19 EBITDA	1H19 MI	1H19 EBITDA ex MI	2H19 EBITDA	2H19 MI	2H19 EBITDA ex MI
Issuer Services	$313.6	$112.4	$201.2	$161.0	$61.1	$99.9	$152.6	$51.3	$101.3
Mortgage Services & Property Rental Services	$150.2	$58.2	$92.0	$66.8	$26.4	$40.5	$83.4	$31.8	$51.6
Employee Share Plans & Voucher Services	$80.3	$15.9	$64.4	$29.0	$7.1	$21.9	$51.3	$8.8	$42.5
Business Services	$92.6	$60.0	$32.6	$49.5	$30.7	$18.8	$43.2	$29.4	$13.8
Communication Services & Utilities	$37.9	-	$37.9	$13.9	-	$13.9	$24.0	-	$24.0
Corporate & Technology	$0.2	-	$0.2	$11.2	-	$11.2	-$10.9	-	-$10.9
Total Group	$674.9	$246.5	$428.4	$331.4	$125.2	$206.2	$343.4	$121.2	$222.2

	FY18 EBITDA	FY18 MI	FY18 EBITDA ex MI	1H18 EBITDA	1H18 MI	1H18 EBITDA ex MI	2H18 EBITDA	2H18 MI	2H18 EBITDA ex MI
Issuer Services	$293.9	$80.0	$213.9	$140.8	$35.0	$105.8	$153.1	$45.0	$108.1
Mortgage Services & Property Rental Services	$133.0	$36.7	$96.3	$59.9	$15.6	$44.3	$73.1	$21.1	$52.0
Employee Share Plans & Voucher Services	$65.5	$16.9	$48.6	$27.2	$7.1	$20.1	$38.3	$9.8	$28.4
Business Services	$93.4	$45.8	$47.6	$46.5	$21.8	$24.7	$46.9	$23.9	$23.0
Communication Services & Utilities	$36.6	-	$36.6	$12.8	-	$12.8	$23.8	-	$23.8
Corporate & Technology	$0.2	-	$0.2	$6.1	-	$6.1	-$5.9	$0.1	-$6.0
Total Group	$622.6	$179.5	$443.1	$293.4	$79.6	$213.8	$329.3	$99.9	$229.3

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Global Register Maintenance and Employee Share Plans revenue

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Registry Maintenance @ CC Employee Share Plans @ CC
Margin Oth Rev
Holder/Broker Income 5%
paid 4%
30%
Issuer paid
64%
$326.1m $144.1m Fee
47%
Transaction
Margin 44%
income
6%
Oth Rev
Holder/Broker Margin 6%
paid Income
29% 6%
Issuer paid
65%
$334.3m
$116.7m Fee
49%
Margin Transaction
income 39%
6%
1H20 @ CC
1H19
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Business Services revenue

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1H20 @ CC 1H19
India Funds
Class $16.9
13% Class
Corporate Actions
Actions
Trust $54.8
$58.1
$44.8 45%
43%
37%
Corporate
Trust
$44.1
33%
$121.4m $134.1m
Bankruptcy Bankruptcy
$21.8 $15.0
18% 11%
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Management revenue and EBITDA at actual FX rates

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Revenue by Region EBITDA by Region
1,400.0 400.0
1,228.7
343.4
336.6
350.0 331.4
1,200.0 1,127.8 94.3 1,124.3
38.2
47.4
100.9 92.1 47.6
300.0
1,000.0
250.0
605.5
800.0
531.7
576.6 190.7
200.0 175.6
202.0
600.0
150.0
62.8
41.5
36.8
400.0
3.9 14.7
100.0
260.7
319.6
258.7 7.8
59.1
200.0 77.1 41.1
50.0
69.6
49.5 52.4 26.5
21.3
123.5 96.9 107.7 16.8
18.7 16.9
0.0 0.0 6.0
1H19 2H19 1H20 1H19 2H19 1H20
Australia & NZ Asia UCIA Continental Europe USA Canada Australia & NZ Asia UCIA Continental Europe USA Canada
USD millions USD millions
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1H20 Management revenue at actual FX rates

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----- Start of picture text -----

300
250
232.3
227.3
200
150
116.6
100
82.5
70.9
54.5
47.9
50 42.0 42.9
36.9 36.7
27.6
16.1 15.5 15.6 18.5
8.0 5.0 10.1 7.9 2.8 3.3 2.3 0.9 0.1 0.0 0.0
0
Issuer Services Mortgage Services & Employee Share Plans & Business Services Communication Services & Corporate & Technology
Property Rental Services Voucher Services Utilities
USD millions
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ANZ Asia UCIA CEU USA Canada

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1H20 Management revenue at actual FX rates Issuer Services breakdown

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----- Start of picture text -----

300
250
200
175.1
150
100
50 43.4 40.5
36.0
26.9 26.2
13.6
9.6 8.0 5.5 0.0 9.3 1.0 2.0 3.3 2.3 9.5 0.0 0.5 0.0 2.9 0.3 7.2 1.2
0
Register Maintenance Corporate Actions Stakeholder Relationship Management Issuer Services - Other
USD millions
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ANZ Asia UCIA CEU USA Canada

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Australia

Management revenue: AUD million

1H19	2H19	1H20
162.7	131.8	150.2

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90.0
80.2
80.0
72.3
70.0
60.0 56.6
50.0
40.0
30.0
20.0
10.0
0.0
Issuer Services
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----- Start of picture text -----

66.1 65.6
62.8
11.1 11.7
9.0
Plans & Vouchers CCS & Utilities
1H19 2H19 1H20
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5.3
3.4
0.6
Corporate & Technology
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Australia – Issuer Services

Management revenue: AUD million

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1H19 2H19 1H20
80.2 56.6 72.3
70.0
59.9
60.0 57.4
50.0
46.4
40.0
30.0
18.7
20.0
12.8
9.7
10.0
0.0 0.0 1.4 1.6 0.5 0.7
0.0
Register Maintenance Corporate Actions Stakeholder Relationship Management Issuer Services - Other
1H19 2H19 1H20
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Hong Kong

Management revenue: HKD million

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----- Start of picture text -----

1H19 2H19 1H20
357.9 384.4 407.1
350.0
300.0 288.7
264.6
256.6
250.0
200.0
150.0
127.6
118.5
93.5
100.0
50.0
-0.1 0.3 -0.1
0.0
Issuer Services Plans & Vouchers Corporate & Technology
-50.0
1H19 2H19 1H20
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Hong Kong – Issuer Services Management revenue: HKD million

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----- Start of picture text -----

1H19 2H19 1H20
264.6 256.6 288.7
250.0
210.5
204.8 205.7
200.0
150.0
100.0
62.4
45.8
50.0 38.3
14.0 12.5 15.7
0.0 0.0 0.2
0.0
Register Maintenance Corporate Actions Stakeholder Relationship Management Issuer Services - Other
1H19 2H19 1H20
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India (including Issuer Services breakdown) Management revenue: INR million

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1H19 2H19 1H20
- -
1,608.6
1,400.0
1,170.9
1,200.0
1,000.0
800.0
600.0
437.7
400.0
200.0
0.0
Issuer Services Business Services
1H19 2H19 1H20
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----- Start of picture text -----

400.0
365.8
350.0
300.0
250.0
200.0
150.0
100.0
72.0
50.0
0.0
Register Maintenance Corporate Actions
1H19 2H19 1H20
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Karvy Disposal completed in November 18 and the sale included all operations

USA

Management revenue: USD million

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1H19 2H19 1H20
531.7 605.5 576.6
300.0
268.7
262.6
250.0
232.3
227.3
201.3
200.0
159.4
150.0
100.0
83.3
70.9
60.4
50.0
28.9 31.4 27.6
19.4 20.7 18.5
0.9 0.1 0.0
0.0
Issuer Services Mortgage Services & Property Plans & Vouchers Business Services CCS & Utilities Corporate & Technology
Rental Services
1H19 2H19 1H20
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USA – Issuer Services

Management revenue: USD million

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----- Start of picture text -----

1H19 2H19 1H20
262.6 268.7 232.3
250.0
198.7
200.0
175.2 175.1
150.0
100.0
52.3
50.0 41.2 40.5
28.1
21.0
9.5
0.0
Register Maintenance Corporate Actions Stakeholder Relationship Management
1H19 2H19 1H20
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7.0 7.8 7.2
Issuer Services - Other
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Canada

Management revenue: CAD million

1H19	2H19	1H20
132.3	126.4	121.6

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70.0
64.2
60.0 57.0
55.4
51.8
49.2 48.5
50.0
40.0
30.0
20.0
14.0 13.2 13.4
10.0
0.0
Issuer Services Plans & Vouchers Business Services
1H19 2H19 1H20
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4.8 4.3 4.3
0.1 0.1 0.0
CCS & Utilities Corporate & Technology
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Canada – Issuer Services

Management revenue: CAD million

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1H19 2H19 1H20
49.2 57.0 48.5
50.0
45.0 43.7
40.0
34.6
35.0 33.6
30.0
25.0
20.0
14.1
15.0
11.9 12.3
10.0
5.0
1.5 1.5 1.6
0.0
Register Maintenance Corporate Actions Issuer Services - Other
1H19 2H19 1H20
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UK, Channel Islands & Equatex Management revenue: GBP million

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1H19 2H19 1H20
187.8 235.2 194.2 Mortgage
Services
1H19: 98.7m
2H19: 98.2m Plans including
1H20: 81.2m Equatex
120.0 1H19: 32.9m
110.2 110.0 2H19: 74.7m
1H20: 58.9m
100.0 Vouchers
93.2
1H19: 7.6m
2H19: 6.8m
81.5 1H20: 5.7m
80.0
64.6
60.0
40.5
40.0
30.0
28.5
27.1
20.0
8.2
6.0 6.3
2.3 2.8 2.3 2.7
0.4 0.7
0.0
Issuer Services Mortgage Services & Property Plans & Vouchers Business Services CCS & Utilities Corporate & Technology
Rental Services
1H19 2H19 1H20
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UK and Channel Islands – Issuer Services

Management revenue: GBP million

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----- Start of picture text -----

1H19 2H19 1H20
28.5 30.0 27.1
25.0
20.5 20.4
19.8
20.0
15.0
10.0
4.6
5.0
3.1 3.0 2.9
2.1 2.1
0.0
Register Maintenance Corporate Actions Stakeholder Relationship Management
1H19 2H19 1H20
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2.8
2.1 2.1
Issuer Services - Other
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South Africa

Management revenue: RAND million

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----- Start of picture text -----

1H19 2H19 1H20
137.9 144.1 124.1
160.0
136.7
140.0
130.2
121.1
120.0
100.0
80.0
60.0
40.0
20.0
7.4 7.1
2.6
0.2 0.3 0.4
0.0
Issuer Services Plans & Vouchers Corporate & Technology
1H19 2H19 1H20
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South Africa – Issuer Services

Management revenue: RAND million

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----- Start of picture text -----

1H19 2H19 1H20
130.2 136.7 121.1
140.0
118.5 119.1
120.0
104.1
100.0
80.0
60.0
40.0
20.0 15.7 15.4
9.6
0.3 0.2 0.0 1.8 1.8 1.6
0.0
Register Maintenance Corporate Actions Stakeholder Relationship Management Issuer Services - Other
1H19 2H19 1H20
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Germany

Management revenue: EUR million

1H19	2H19	1H20
16.9	29.0	17.6

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16.0
14.0
13.2
12.0
10.0
8.0
6.0
4.0
2.8 2.8
2.0
0.0
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Issuer Services

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----- Start of picture text -----

14.4
14.0
11.6
2.5
1.4
0.7
0.1 0.0 0.1
Plans & Vouchers CCS & Utilities Corporate & Technology
1H19 2H19 1H20
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Germany – Issuer Services

Management revenue: EUR million

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1H19 2H19 1H20
2.8 13.2 2.8
14.0
13.0
12.0
10.0
8.0
6.0
4.0
2.6 2.5
2.0
0.2 0.2 0.3
0.0
Register Maintenance Issuer Services - Other
1H19 2H19 1H20
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Technology costs at actual FX rates

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----- Start of picture text -----

200 14%
12.6%
180
11.3% 12%
11.2%
160
142.2
137.7
10%
140 128.0 7.6
5.9
4.1
120 29.6
8%
44.9
100 43.0
6%
80
57.3
60 50.3
45.1 4%
40
2%
47.7
20
35.7 36.6
0 0%
1H19 2H19 1H20
Development Infrastructure Maintenance Admin Technology costs as a % of revenue
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53 Technology costs include personnel, occupancy and other direct costs attributable to technology services

Capital expenditure versus depreciation at actual FX rates

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80 38.0 40
70 35
60 30
50 25
40 18.9 18.6 20
33.3
0.8
30 4.7 15
23.8
3.9
0.4
20 7.7 10
13.6
2.7
0.4
24.0 4.1
10 5
0.2
13.1
9.0
0 0
1H19 2H19 1H20
Information Technology Communication Services Facilities Occupancy Other Depreciation
Depreciation USD millions
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54 1H20 includes IFRS16 impact to depreciation, $20.3m

Breakdown of client balances

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USD 16.8bn
Total balances
USD 11.6bn USD 5.2bn
Exposed balances Non-exposed balances
USD 3.6bn USD 8.0bn
Hedged balances Non-hedged balances
USD 6.4bn USD 1.6bn
USD 3.2bn USD 0.4bn
Non-hedged Natural hedge
Fixed Rate Deposits Fixed Rate Swaps
balances floating rate debt
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Lagged impact from rate changes

Immediate impact from rate changes

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Exposed and non-exposed balances by business

Business Activity	1H FY20 Balances (USD billions)	1H FY20 Balances (USD billions)	Margin income (USD millions)	Business Activity	1H FY19 Balances (USD billions)	1H FY19 Balances (USD billions)	Margin income (USD millions)
	Exposed	Non-exposed			Exposed	Non-exposed
Register Maintenance	2.3	0.7	20.0	Register Maintenance	2.4	0.5	20.1
Corporate Actions	1.7	1.3	24.4	Corporate Actions	3.7	3.7	41.0
Issuer Services	4.0	2.0	44.4	Issuer Services	6.1	4.2	61.1
Employee Share Plans & Vouchers	1.4	0.2	6.4	Employee Share Plans & Vouchers	1.6	0.2	7.1
Business Services	2.4	3.0	32.9	Business Services	2.1	3.7	30.7
Mortgage Services &				Mortgage Services &
Property Rental	3.8	0.0	32.3	Property Rental	3.1	0.0	26.4
Services				Services
Totals	11.6bn	5.2bn	116.0m	Totals	12.9bn	8.1bn	125.2m
	16.8bn				21.0bn
Margin income	$103.7m	$12.3m		Margin income	$103.0m	$22.2m
Average annualised yield	1.79%	0.47%		Average annualised yield	1.60%	0.55%

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Translated at actual FX rates

Breakdown of exposed balances by currency USD exposed balances continues to be the largest component

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Average exposed balances hedged
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Average exposed balances prior to hedging
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Other
AUD
5%
2%
CAD
15%
USD 11.6bn
(USD 16.8bn x 69%)
USD
48%
GBP
30%
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CAD
17%
USD
USD 3.6bn
45%
(USD 11.6bn x 31%)
GBP
38%
Average exposed balances un-hedged
AUD
Other
4%
7% CAD
14%
USD 8.0bn
(USD 11.6bn x 69%)
USD GBP
49% 26%
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57 Average balances during 1H20

Profile of our swap and fixed rate deposit book Additional hedging undertaken in 1H20

As at 31 December 2019

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4,000
Fixed rate deposits Swaps
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Jan-20 Jan-21 Jan-22 Jan-23 Jan-24
As at 30 June 2019
4,000
Fixed rate deposits Swaps
3,500
3,000
2,500
2,000
1,500
1,000
500
0
58 Jul-19 Jul-20 Jul-21 Jul-22 Jul-23
USD million
USD million
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Profile of floating rate deposits

As at 31 December 2019

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5,000
4,000
3,000
2,000
1,000
0
Jan-20 Jan-21 Jan-22 Jan-23 Jan-24
As at 30 June 2019
5,000
4,000
3,000
2,000
1,000
0
Jul-19 Jul-20 Jul-21 Jul-22 Jul-23
USD million
USD million
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Debt maturity profile – 31 December 2019

Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility	Maturity Dates USD million Debt Drawn Committed Debt Facilities Bank Debt Facility Private Placement Facility SLS Advance Facility
FY20 Feb-20 62.5 125.0 125.0 FY21 Dec-20 138.3 225.0 225.0 Ar-21 3430 4500 4500
86.7 p . . . FY22 Jul-21 37.0 50.0 50.0 Feb-22 220.0 220.0 220.0 FY23 Apr-23 4374 4500 4500
		86.7
			. . . FY24 Jul-23 37.0 50.0 50.0 Feb-24 220.0 220.0 220.0 FY26 Nov-25 200.0 200.0 200.0
		107.0
			12.6 FY29 Nov-28 350.0 350.0 350.0 TOTAL $2,045.2 $2,340.0 $1,000.0 $990.0 $350.0



		343.0

			37.0 13.0			13.0 37.0

				37.0			37.0
					437.4
				220.0			220.0		350.0


	62.5	138.3						200.0
	62.5
FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29

Undrawn SLS facilities

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SLS non-recourse advance facilities drawn Syndicated debt drawn

Undrawn syndicated & bilateral facilities

Bilateral Facilities

USPP

Note: Average debt facility maturity is 3.5 years as at 31-Dec-19

Key financial ratios

	Dec 19	Jun 19	Variance
	USD m	USD m	Dec 19 to Jun 19
Interest Bearing Liabilities including SLS advance debt	$2,097.6	$2,036.3	+3.0%
Less Cash	($548.5)	($561.3)	-2.3%
Net Debt including non-recourse SLS advance debt	$1,549.1	$1,475.0	+5.0%
Net debt excluding non-recourse SLS advance debt	$1,340.1	$1,241.4	+8.0%
Management EBITDA	$680.1	$674.9	+0.8%
Net Financial Indebtedness to EBITDA	2.28 times	2.19 times	Up 0.09 times
Net Financial Indebtedness to EBITDA1, 2	1.97 times	1.84 times	Up 0.13 times

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12.0 EBITDA Interest Coverage Net Financial Indebtedness to EBITDA
10.0 2.5 2.24 2.19 2.28
10.2 10.1
9.3
2.0
8.0
1.97
1.88 1.84
1.5
6.0
1.0
4.0
0.5
2.0
0.0
0.0
1H19 2H19 1H20
1H19 2H19 1H20
Net debt (excl. non-recourse SLS Advance debt) to EBITDA ratio
Net debt to EBITDA ratio
Times Times
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1 excludes non-recourse SLS advance debt

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2 Effective Dec 2019, Net debt excludes lease liabilities ($7.7m as at Jun 19). 1H20 EBITDA includes IFRS16 benefit of $23.4m.

Effective tax rate

Statutory and management (at actual FX rates)

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35%
32.8%
31.6%
30%
26.5%
25.4%
25%
20.7%
20.2%
20%
15%
10%
5%
0%
1H19 FY19 1H20
Statutory Management
Tax Rate %
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› The Group’s statutory effective tax rate has increased from 20.2% in 1H19 to 32.8% in 1H20
› The Group’s management effective tax rate has increased from 25.4% in 1H19 to 31.6% in 1H20. This is due to favourable benefit in 1H19 related to settlement of legacy issue, current period profit mix with proportionately more profits arising in higher tax rate countries and an increase in US BEAT driven by reduced US taxable income

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Dividend history and franking

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----- Start of picture text -----

25.0
23 23
20.0 21 21
19 19
17 17
15.0 16 16
15 15
14
10.0
5.0
0.0
1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20
Dividend (AU cents)
Franking (%)
1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20
20% 20% 20% 25% 100% 20% 30% 0% 0% 100% 30% 30% 30%
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US and UK Mortgage Services – UPB and number of loans US Mortgage Services UPB up 9.6% ($111.6bn v $101.8bn)

		Performing	Performing	Non-performing	Non-performing

		At 31 Dec 19	At 30 Jun 19	At 31 Dec 19	At 30 Jun 19
	Fully-Owned	$22.3bn	$13.7bn	$9.7bn	$10.6bn
	MSRs1	97K Loans	66K Loans	88K Loans	97K Loans
U.S.	Part-Owned MSRs2 Subservicing3	Excess strip deals $24.6bn 119K Loans $22.6bn 148K Loans	Excess strip deals $24.3bn 113K Loans $21.7bn 129K Loans	SPV deals $18.3bn 93K Loans $14.1bn 130K Loans	SPV deals $19.2bn 95K Loans $12.3bn 119K Loans
	Total US UPB	$69.5bn	$59.7bn	$42.1bn	$42.1bn
U.K.	Fee for Service3,4	£46.3bn 360k Loans	£48.1bn 381K Loans	£4.1bn 31K Loans	£4.2bn 34K Loans

1 CPU owns the MSR outright

2 CPU has sold part of the MSR to a third party investor

3 Servicing performed on a contractual basis

4 UK includes bureau UPB value, but excludes the number of bureau loans

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Mortgage Services Revenue and EBITDA at actual FX rates

	1H18	2H18	1H19	2H19	1H20
US Mortgage Services revenue	$143.4 $162.7 $159.4 $201.3 $227.3
UK Mortgage Services revenue	$122.1 $132.9 $128.0 $127.1 $101.6
Total Mortgage Services revenue	$265.4	$295.6	$287.4	$328.4	$328.9

Total Mortgage Services EBITDA	$56.0	$67.6	$59.2	$75.3	$75.6
EBITDA Margin %	21.1% 22.9% 20.6% 22.9% 23.0%
21.1% 22.9% 20.6% 22.9% 23.0% EBITDA Margin

1H18 2H18 1H19 2H19

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1H20
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Financial snapshot – US Mortgage Services

1H20 revenue composition

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Other Base
service fees servicing
36% fees • Base servicing fees, $121.6m, +28.4%
54%
• Servicing related fees $23.5m, +5.8%
• Other services fees $82.1m, +93.3%
$227.3m
Servicing
related
fees
10%
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	Dec-19	Jun-19	Annual Report reference
Net Loan Servicing Advances	$101.0	$59.5	• Note 16 Loan servicing advances • Note 14 Interest bearingliabilities	▪ Loan servicing advances ▪ SLS non-recourse lendingfacility
Net MSR intangible asset	$440.0	$330.3	• Note 9 Intangible assets • Note 24 Mortgage servicingrelated liabilities	▪ Mortgage servicing rights ▪ Mortgage servicingrelated liabilities
Investment in SPVs	$34.0	$38.6	• Note 13 Financial assets and liabilities at fair value through profit or loss	▪ Investment in structured entities
Other intangible assets1	$72.1	$73.7	• Note 9 Intangible assets	▪ Goodwill; Other
Total invested capital	$647.1	$502.2

Net cash payments for MSR purchases	$139.3	$100.4*	• Cashflow statement	▪ Investing cash flow - Payments for intangible assets including MSRs
MSR amortisation	$29.7	$43.1*	• Note 3 Expenses	▪ Total Amortisation (net)

Figures represent full year impact for FY19

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1 Other intangibles are largely goodwill and acquired client lists related to acquisitions

Mortgage services key terms

Performing servicing: Servicing of a mortgage which is less than 30 days delinquent. Typically loans that meet the criteria of the Government Sponsored Entities e.g. “Fannie Mae”, “Freddie Mac”.

Non-performing servicing: Servicing of a mortgage that is over 30 days delinquent up to management of the foreclosure process. Typically, non-performing servicing is performed over loans that are part of a securitization arrangement.

Mortgage servicing rights: Intangible assets representing an ownership right to service the mortgage for a fee for the life of the mortgage. The owner of the MSR can either service the loan itself or appoint a sub-servicer to do so.

Servicing advances: The owner of the MSR is required to fund various obligations required to protect a mortgage if the borrower is unable to do so. Advances receive a priority in any liquidation and are often financed in standalone non-recourse servicing advance facilities.

Part owned MSRs

› An Excess Strip Sale refers to the sale of a stream of cash flows associated with the servicing fee on a performing MSR. The seller of the servicing strip has the ability to service the mortgage.
› An SPV deal refers to the sale of the rights to the MSR and associated servicing advances into an SPV. CPU typically takes a 20% equity stake in the SPV and performs all servicing on the loans via a sub-servicing fee for service relationship.

US mortgage services – revenue definitions

Base fees – Fees received for base servicing activities

› Fees are generally assessed in bps for owned or structured deals, while subservicing is usually paid as a $ fee
› Subservicing fees vary by loan delinquency or category

Servicing related fees – Additional fees received from servicing a loan

› Loss mitigation fees e.g. for loan modifications
› Ancillary Fees e.g. late fees
› Margin income

Other service fees

› Includes valuation, real estate disposition services, loan fulfilment services and CMC Coop Services

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1H20 PREVIOUS BUSINESS STREAM REPORTING

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Explaining the new business streams

› Issuer Services

Register Maintenance, Corporate Actions and Stakeholder Relationship Management now form Issuer Services. We have also added our Corporate Governance software products business that provides entity management and board portals solutions, this was previously in Corporate, Technology and Other

› Mortgage Services

Mortgage Services is now a stand alone business stream. It includes US and UK Mortgage Services and our Property Rental Service business including the Deposit Protection Scheme

› Business Services

Will now be made up of Bankruptcy, Class Actions, Corporate Trust (including Bonds previously classified as Register Maintenance) and for historical purposes Karvy Funds (disposed in FY19)

› Employee Share Plans

Voucher Services, previously in Business Services, is now in Employee Share Plans

› Communication Services

Will now include Utilities (previously Business Services)

› Corporate and Technology

Corporate and Technology includes shared service functions including Risk, Internal Audit, Global Information Security and Corporate. Other includes income previously classified as Tech & Other and expenses associated with performance incentives

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Management revenue by business stream

Business stream		1H20 @ CC	1H19 Actual	CC Variance		1H20 Actual
Business Services		$475.0 $443.9 +7.0% $469.6
Register Maintenance		$330.8 $339.6 -2.6% $326.0 $76.8 $91.7 -16.2% $75.9 $143.7 $116.6 +23.2% $141.2 $82.4 $83.2 -0.9% $79.1 $18.3 $35.5 -48.5% $18.1 $14.7 $17.3 -15.0% $14.3 $1,141.7 $1,127.8 +1.2% $1,124.3
Corporate Actions
Employee Share Plans
Communication Services
Stakeholder Relationship Mgt
Corporate & Technology
Total Management Revenue

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EBITDA and margins by business stream

	1H20 @ CC	1H19 Actual	CC Variance	1H20 EBITDA	1H19 Actual
Business Stream				Margin in CC %	EBITDA Margin
					%
Business Services	$126.9	$118.5	+7.1%	26.7%	26.7%
Register Maintenance & Corporate Actions	$139.9	$160.2	-12.7%	34.3%	37.1%
Employee Share Plans	$27.4	$22.1	+24.0%	19.1%	19.0%
Communication Services	$15.2	$14.5	+4.8%	18.4%	17.4%
Stakeholder Relationship Mgt	($5.1)	$5.2	-198.1%	(27.9%)	14.6%
Corporate & Technology	$34.4	$10.9	n/a	n/a	n/a
Total Management EBITDA	$338.7	$331.4	+2.2%	29.7%	29.4%
Total Management EBITDA ex MI	$221.6	$206.2	+7.5%	21.6%	20.6%

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EBITDA and margin income by business stream

Business Stream	1H20 EBITDA @ CC	1H20 MI @ CC	1H20 EBITDA ex MI @ CC	1H19 EBITDA	1H19 MI	1H19 EBITDA ex MI	CC Variance
Business Services	$126.9 $63.9 $63.0 $118.5 $55.4 $63.1 -0.2%
Register Maintenance & Corporate Actions	$139.9 $46.8 $93.1 $160.2 $62.8 $97.4 -4.4%
Employee Share Plans	$27.4 $6.5 $20.9 $22.1 $7.0 $15.1 38.4%
Communication Services	$15.2 $0.0 $15.2 $14.5 $0.0 $14.5 4.8%
Stakeholder Relationship Mgt	($5.1) $0.0 ($5.1) $5.2 $0.0 $5.2 -198.1%
Corporate & Technology	$34.4 $0.0 $34.4 $10.9 $0.0 $10.9 n/a
Total Group	$338.7 $117.1 $221.6 $331.4 $125.2 $206.2 7.5%

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Summary

Summary	Summary	Summary

Previous Business Stream Reporting	1H20 Revenue @ CC	1H20 EBITDA @ CC	1H20 Revenue	1H20 EBITDA	New Business Stream Reporting	1H20 Revenue @ CC	1H20 EBITDA @ CC	1H20 Revenue	1H20 EBITDA
Register Maintenance	330.8	139.9	326.0	138.8
Corporate Actions	76.8		75.9
Stakeholder Relationship Management	18.3	-5.1	18.1	-5.1
Total	429.0	134.8	425.2	133.7	Issuer Services	430.5	130.1	424.3	129.0

Employee Share Plans	143.7	27.4	141.2	27.1
Vouchers
Employee Share Plans & Voucher Services					Employee Share Plans & Voucher Services	151.5	32.5	148.8	31.9

Business Services	475.0	126.9	469.6	126.3	Business Services	121.4	41.7	120.8	41.6
					Mortgage Services & Property Rental Services	348.2	82.3	343.9	82.1
Communication Services	82.4	15.2	79.1	14.5	Communication Services & Utilities	86.7	14.5	83.1	14.0
Corporate & Technology	14.7	34.4	14.3	35.0	Corporate & Technology	3.5	37.6	3.3	38.0
Total Group	1,141.7	338.7	1,124.3	336.6	Total Group	1,141.7	338.7	1,124.3	336.6

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Issuer Services

USD M	1H20 @ CC Revenue	1H20 @ CC EBITDA	1H20 Revenue	1H20 EBITDA
Register Maintenance	330.8	139.9	326.0	138.8
Corporate Actions	76.8		75.9
Stakeholder Relationship Management	18.3	-5.1	18.1	-5.1
Total (per previous reporting)	429.0	134.8	425.2	133.7
Inclusions
Add Governance Services	8.1	-0.9	8.0	-0.9
Add Other	1.8	-0.8	1.6	-0.8
Removals
Less Bonds/Successor Trustee and Escrow	-5.3	-3.0	-5.2	-3.0
Issuer Services	430.5	130.1	424.3	129.0

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Business Services

USD M	1H19 Revenue	1H19 EBITDA	FY19 Revenue	FY19 EBITDA
Business Services (per previous reporting)	475.0	126.9	469.6	126.3
Inclusions
Add Bonds/Successor Trustee and Escrow	5.3	3.0	5.2	3.0
Add Other	0.5	-0.2	0.5	-0.2
Removals
Less Mortgage Services	-332.4	-75.7	-328.7	-75.7
Less Property Rental Services	-15.5	-7.9	-15.0	-7.5
Less Vouchers	-7.4	-5.0	-7.2	-4.8
Less Utilities	-4.0	0.6	-3.7	0.6
Business Services	121.4	41.7	120.8	41.6

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Employee Share Plans & Voucher Services

USD M	1H19 Revenue	1H19 EBITDA	FY19 Revenue	FY19 EBITDA
Employee Share Plans (per previous reporting)	143.7	27.4	141.2	27.1
Inclusions
Add Vouchers	7.4	5.0	7.2	4.8
Add Other	0.4	0.1	0.4	-0.0
Employee Share Plans & Voucher Services	151.5	32.5	148.8	31.9

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Communication Services & Utilities

USD M	1H19 Revenue	1H19 EBITDA	FY19 Revenue	FY19 EBITDA
Communication Services (per previous reporting)	82.4	15.2	79.1	14.5
Inclusions
Add Utilities	4.0	-0.6	3.7	-0.6
Add Other	0.3	-0.1	0.3	0.1
Communication Services & Utilities	86.7	14.5	83.1	14.0

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Mortgage Services & Property Rental Services

USD M	1H19 Revenue	1H19 EBITDA	FY19 Revenue	FY19 EBITDA
Mortgage Services (per previous reporting)	332.4	75.7	328.7	75.7
Inclusions
Add Property Rental Services	15.5	7.9	15.0	7.5
Add Other	0.2	-1.3	0.3	-1.1
Mortgage Services & Property Rental Services	348.2	82.3	343.9	82.1

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Corporate & Technology

USD M	1H19 Revenue	1H19 EBITDA	FY19 Revenue	FY19 EBITDA
Corporate & Technology (per previous reporting)	14.7	34.4	14.3	35.0
Removals
Less Governance Services	-8.1	0.9	-8.0	0.9
Less Other Issuer Services	-1.8	0.8	-1.6	0.8
Less Other Business Services	-0.5	0.2	-0.5	0.2
Less Other Employee Share Plans & Voucher Services	-0.4	-0.1	-0.4	0.0
Less Other Communication Services & Utilities	-0.3	0.1	-0.3	-0.1
Less Other Mortgage Services & Property Rental Services	-0.2	1.3	-0.3	1.1
Corporate & Technology	3.5	37.6	3.3	38.0

Computershare allocates out all corporate expenses to our business lines. The residual Corporate and Technology revenues reflect some third party technology revenues, rental income, interest income and other corporate related transaction income. The movement in EBITDA between 1H and 2H reflects movement in provisions.

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1H20 Management revenue at actual FX rates

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450
400
350
300
250
200
150
100
50
0
Register Maintenance Corporate Actions Business Services Stakeholder Employee Share Plans Communication ServicesCorporate & Technology
Relationship Mgt
293.4
179.3
USD millions 131.3
74.8
43.2 37.1 43.5 41.2 39.0
26.9 26.3 27.6
13.1 10.0 8.0 5.3 0.0 9.2 3.7 0.0 0.0 1.0 2.0 3.3 2.3 9.5 0.0 8.0 15.5 5.3 10.0 0.0 2.8 15.6 18.5 3.2 2.9 0.0 3.4 0.9 4.9 2.2
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ANZ Asia UCIA CEU USA Canada

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Australia

Australia	Australia	Australia
Management revenue:AUD million
1H19	2H19 1H20
162.7	131.8	150.2

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61.0
60.1 59.5
57.6 57.0
46.4
18.0
12.8
11.1 11.7
9.0 8.9
6.0 6.1 5.5 5.8
4.2
0.7 0.6 1.4 1.2
Register Maintenance Corporate Business Stakeholder Relationship Employee Share Plans Communication Services Corporate & Technology
Actions Services Mgt
1H19 2H19 1H20
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Hon Kon g g

HongKong	HongKong
Management revenue:HKD million
1H19 2H19	1H20
357.9 384.4	407.2
204.7 206.0	210.7	45.8		38.3	62.4	14.0	12.5	15.7	93.5		127.6 118.5
Register Maintenance			Corporate Actions			Stakeholder	Relationship Mgt			Employee Share Plans

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1H19 2H19 1H20

India

India	India	India
Management revenue:INR million
1H19	2H19 1H20
1,608.6	-	-

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- -
1,608.6
1,137.7
401.1
69.8
Register Maintenance Corporate Actions Business Services
1H19
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USA

USA	USA	USA
Management revenue:USD million
1H19 531.7	2H19 426.7	1H20 576.6	Mortgage Services 1H19: 159.5m 2H19: 201.6m
			1H20: 227.4m

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293.4
279.6
215.3
203.4
178.8 179.3
55.1
44.4 43.5
28.1 28.9 31.4 27.6
21.0 19.4 20.7 18.5
9.5 6.1 5.0 4.9
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Corporate Actions

Business Services

Stakeholder Relationship Employee Share Plans Communication Services Corporate & Technology Mgt

1H19 2H19 1H20

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Canada

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Management revenue: CAD million
1H19 2H19 1H20
132.3 126.4 121.6
63.6
54.4
50.9
44.2
34.1 34.7
14.0 13.9
13.1 13.2
11.7 12.1
4.7 4.2 4.3
2.9
2.0 2.3
Register Maintenance Corporate Business Employee Share Plans Communication Services Corporate & Technology
Actions Services
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1H19 2H19 1H20

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UK , Channel Islands & Equatex

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Management revenue: GBP million
1H19 2H19 1H20
Mortgage
187.8 232.8 194.2 Services
1H19: 97.7m
2H19: 98.0m
1H20: 81.0m
124.8
122.9
105.0
74.5
58.8
32.8
22.0 21.3 20.9
4.6
3.1 2.8 2.1 2.9 2.1 2.3 2.8 2.3 2.7 2.0 2.4
Register Maintenance Corporate Business Stakeholder Relationship Employee Share Plans Communication Services Corporate & Technology
Actions Services Mgt
1H19 2H19 1H20
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South Africa

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Management revenue: RAND million
1H19 2H19 1H20
137.9 144.1 124.1
120.5 121.2
101.0
15.7 15.4
9.6
7.4 7.1
5.1
2.6
0.3 0.2 0.0
Register Maintenance Corporate Actions Stakeholder Relationship Mgt Employee Share Plans Tech & Other Revenue
1H19 2H19 1H20
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German y

Germany	Germany	Germany
Management revenue:EUR million
1H19	2H19 1H20
16.9	29.0	17.6

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14.4
14.0
12.9
11.6
2.6 2.5 2.5
1.4
0.8
0.3 0.3 0.3
Register Maintenance Employee Share Plans Communication Services Corporate & Technology
1H19 2H19 1H20
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Exchange rates

Currency	1H20	FY19	1H19	FY18	1H18
USD	1.0000	1.0000	1.0000	1.0000	1.0000
AUD	1.4623	1.3933	1.3734	1.2890	1.2863
HKD	7.8321	7.8405	7.8371	7.8219	7.8095
NZD	1.5504	1.4874	1.4893	1.3977	1.3969
INR	70.4405	70.4260	70.6855	64.9732	64.6323
CAD	1.3203	1.3252	1.3117	1.2716	1.2709
GBP	0.7993	0.7716	0.7707	0.7427	0.7588
EUR	0.8999	0.8746	0.8645	0.8396	0.8533
RAND	14.7507	14.1190	14.0136	12.7589	13.3921
RUB	64.2928	65.5333	65.1752	58.7412	58.7208
AED	3.6729	3.6729	3.6729	3.6728	3.6729
DKK	6.7192	6.5256	6.4466	6.2495	6.3485
SEK	9.6044	9.1332	8.9924	8.3012	8.2364
CHF	0.9888	0.9937	0.9870	0.9689	0.9734

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Important notice

Summary information

This announcement contains summary information about Computershare and its activities current as at the date of this announcement.
This announcement is for information purposes only and is not a prospectus or product disclosure statement, financial product or investment advice or a recommendation to acquire Computershare’s shares or other securities. It has been prepared without taking into account the objectives, financial situation or needs of a particular investor or a potential investor. Before making an investment decision, a prospective investor should consider the appropriateness of this information having regard to his or her own objectives, financial situation and needs and seek specialist professional advice.

Financial data

Management results are used, along with other measures, to assess operating business performance. The company believes that exclusion of certain items permits better analysis of the Group’s performance on a comparative basis and provides a better measure of underlying operating performance.
Management adjustments are made on the same basis as in prior years.
The non-IFRS financial information contained within this document has not been reviewed or audited in accordance with Australian Auditing Standards.
All amounts are in United States dollars, unless otherwise stated.

Past performance

Computershare’s past performance, including past share price performance and financial information given in this announcement is given for illustrative purposes only and does not give an indication or guarantee of future performance.

Future performance and forward-looking statements

This announcement may contain forward-looking statements regarding Computershare’s intent, belief or current expectations with respect to Computershare’s business and operations, market conditions, results of operations and financial condition, specific provisions and risk management practices.
When used in this announcement, the words ‘may’, ‘will’, ‘expect’, ‘intend’, ‘plan’, ‘estimate’, ‘anticipate’, ‘believe’, ‘continue’, ‘should’, ‘could’, ‘objectives’, ‘outlook’, ‘guidance’ and similar expressions, are intended to identify forward-looking statements. Indications of, and guidance on, plans, strategies, management objectives, sales, future earnings and financial performance are also forward-looking statements.
Forward-looking statements are provided as a general guide only and should not be relied upon as a guarantee of future performance. They involve known and unknown risks, uncertainties, contingencies, assumptions and other important factors that are outside the control of Computershare.
Actual results, performance or achievements may differ materially from those expressed or implied in such statements and any projections and assumptions on which these statements are based. Computershare makes no representation or undertaking that it will update or revise such statements.

Disclaimer

No representation or warranty, expressed or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this announcement. To the maximum extent permitted by law, none of Computershare or its related bodies corporate, or their respective directors, employees or agents, nor any other person accepts liability for any loss arising from the use of this announcement or its contents or otherwise arising in connection with it, including, without limitation, any liability from fault or negligence.

Not intended for foreign recipients

No part of this announcement is intended for recipients outside Australia. Accordingly, recipients represent and warrant that they are able to receive this announcement without contravention of any applicable legal or regulatory restrictions in the jurisdiction in which they reside or conduct business.

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AI assistant

COMPUTERSHARE LIMITED. — Interim / Quarterly Report 2020

64696_rns_2020-02-11_ccf39001-bf20-48fe-8f50-5d4124744194.pdf

FY20 HALF YEAR RESULTS PRESENTATION

1H20 Executive Summary Resilient operating performance – EPS impacted by interest rates and tax

FY20 unwrapped

2H factors support earnings guidance

1H Positives

1H Negatives

2H Tailwinds

2H Headwinds

FY20 Outlook

Management EPS guidance unchanged – down around 5%

FY20

Assumptions

FY20 key priorities – execution scorecard Delivering on strategic plans

1. PROGRESS THE RESTRUCTURE OF OUR UK MORTGAGE SERVICES BUSINESS

PROGRESS

5. CONTINUE TO

Laying the foundations for long term growth and returns

Growth

Profitability

Capital Management

Management revenue by business stream

Revenues up 1.2%, +4.6% adjusting for margin income and Karvy

Issuer Services

Resilient Register Maintenance with lower event-based revenues

Employee Share Plans

Equatex continues to outperform

Mortgage Services

Disciplined growth in the US, UK migration on track

US

UK

1H20 Management results summary

Resilient operating performance with lower margin income and higher tax rate

Management revenue bridge

Margin Income

Margin income decreased to $116.0m, -7.3% with $16.8bn average balances

EBITDA and margins by business stream EBITDA $338.7m, +2.2% includes IFRS16 benefit

EBITDA and margin income by business stream EBITDA ex margin income $221.6m

Operating cost analysis

Opex up 1.0% including IFRS16, up 2.5% excluding IFRS16, acquisitions and disposals

Structural cost out programs

Programs delivering benefits as anticipated

Other cost saving programs – as previously announced

Total gross savings

Cash flow summary at actual FX rates

Positive free cash flows, $206.6m, +68.5%

Balance Sheet

Levera e ratio within tar et ran e 1.75x – 2.25x g g g

Conclusions

APPENDICES

Statutory results

Management adjustment items Appendix 4D note 2

Amortisation

Acquisitions and disposals

Other

1H20 Management NPAT analysis

High quality core industrial drives consistent operating performance

EBITDA margin 29.9% including IFRS16 - in line with 10 year 1H performance range; 24.1-31.5%[*]

IFRS16/AASB 16 - Leases

Management EBITDA impact reflected in Corporate & Technology business stream

1H20 Computershare at a glance

Management EBITDA excluding the impact of margin income and FX movements increased by 7.5% in 1H20 versus pcp

Management EPS – AUD Equivalent

Financial erformance b half ear at actual FX rates p y y

^ Excluding SLS advances

Revenue and EBITDA by business stream at actual FX rates

Management EBITDA ex Margin Income by business stream FY19 and FY18 at actual FX rates

Global Register Maintenance and Employee Share Plans revenue

Business Services revenue

Management revenue and EBITDA at actual FX rates

1H20 Management revenue at actual FX rates

1H20 Management revenue at actual FX rates Issuer Services breakdown

Australia

Management revenue: AUD million

Australia – Issuer Services

Management revenue: AUD million

Hong Kong

Management revenue: HKD million

COMPUTERSHARE LIMITED. Interim / Quarterly Report 2020