MIRVAC GROUP — Capital/Financing Update 2023

Jul 24, 2023

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25 July 2023

CHANGES TO MIRVAC’S SEGMENT REPORTING STRUCTURE

Mirvac Group ("Mirvac") [ASX: MGR] will adopt a new segment reporting structure to commence from the financial year ended 30 June 2023 (“FY23”). This reflects the new management structure outlined in our March 3Q23 Operational & Business Update and will be reflected in investor reporting and disclosures going forward.

Mirvac updated its management structure in early 2023 to align with our strategic priorities and to ensure best practice in corporate governance and operational performance for all stakeholders. The new structure spans across three key business units: Investment, Funds and Development. Each business unit is led by executives with a direct reporting line into the Group CEO & Managing Director.

The Group’s FY23 financial reporting suite will be released on 16 August 2023. To assist investors in advance of this release, Mirvac provides the reclassed historical financial information for the financial year ended 30 June 2022 (“FY22”), half year ended 31 December 2021 (“1H22”) and 31 December 2022 (“1H23”) in the attached Annexure.

The impact of the reclassification is limited to the Segment EBIT. There are no changes to historical Group EBIT, Operating Profit and Statutory Profit results.

For more information, please contact:

Media enquiries: Investor enquiries: Kate Lander Gavin Peacock, CFA General Manager, Communications General Manager, Investor Relations +61 439 770 390 +61 477 299 729

About Mirvac

Founded in 1972, Mirvac has enriched people’s lives by creating extraordinary places and experiences for over 50 years. We are an Australian Securities Exchange (ASX) top 100 company and since 2021, we met our target to be net positive in scope 1 and 2 carbon emissions, nine years ahead of target. In 2022, we were ranked number one in the world for gender equality by Equileap. We own and manage assets across office, retail, industrial and build-to rent sectors across the platform. We have ~$35 billion of assets under management, together with a ~$12 billion commercial and mixed use development pipeline, and a ~$17 billion residential development pipeline, enabling us to deliver innovative and highquality property for our customers, while driving long-term value for our securityholders.

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HISTORICAL RECLASS

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Reclassed Segment Note

Reclassed Segment Note $m 1H22	FY22	1H23
Office 181 370 205 Industrial 27 56 28 Retail 65 152 89 BTR & Other 3 4 4
Investment income 1 276 582 326 Management & administration expenses 2 (8) (14) (6)
Investment EBIT 268 568 320 Funds management 3 6 13 15 Asset management 4 11 19 16 Management & administration expenses 2 (15) (30) (16)
Funds EBIT 2 2 15 Commercial & Mixed Use 5 80 105 67 Residential 6 110 236 58 Management & administration expenses 2 (28) (56) (31)
Development EBIT 162 285 94 Segment EBIT 432 855 429 Unallocated overheads 7 (41) (82) (42)
Group EBIT 391 773 387
Net financing costs (62) (115) (68) Operating income tax expense (32) (62) (14)
Operating profit after tax 297 596 305
Development revaluation gain 48 70 (19) Investment property revaluation 260 305 35 Other nonoperating items (40) (65) (106)
Statutory profit after tax 565 906 215

P&L Composition	P&L Composition
	Investment income– Predominantly NOI and income from co-investment
1	stakes across Office, Retail, Industrial and Build To Rent, excluding
	overheads.
2	Management and administration expenses– Business unit level management overheads and share of support function costs.
3	Funds Management– Predominantly Investment Management Fees from
	pooled funds, mandates and JV’s less direct expenses.

4	Asset Management– Predominantly property, leasing and capex fees less direct expenses.
	Commercial & Mixed Use– Project EBIT from the development of Office,
5	Industrial and mixed use projects sold to third parties, development
	management fees, less direct overheads.
	Residential– Project EBIT from the development of masterplanned
6	communities and apartments, development management fees, less direct
	overheads.

Unallocated overheads – unallocated cost of group functions and publicly 7 listed entity expenses.

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Summary of Reclasses

	1H22	FY22	1H23
Segment Note $m	As Reported Reclassed	As Reported Reclassed	As Reported Reclassed
Office Industrial Retail BTR & Other	181 181 369 370 205 205 27 27 55 56 28 28 65 65 153 152 90 89 2 3 4 4 4 4
Investment income Asset & funds management Management & administration expenses	275 276 581 582 327 326
	1 16 33 - 29 -
	2 (21) (8) (44) (14) (21) (6)
Investment EBIT Funds management Asset management Management & administration expenses	270 268 570 568 335 320
	1 - 6 - 13 - 15
	1 - 11 - 19 - 16
	2 - (15) - (30) - (16)
Funds EBIT Commercial & Mixed Use Residential Management & administration expenses	- 2 - 2 - 15
	3 73 80 90 105 58 67 89 110 195 236 36 58 - (28) - (56) - (31)
Development EBIT Segment EBIT Unallocated overheads	162 162 285 285 94 94 432 432 855 855 429 429
	4 (41) (41) (82) (82) (42) (42)
Group EBIT	391 391 773 773 387 387
Net financing costs Operating income tax expense	(62) (62) (115) (115) (68) (68) (32) (32) (62) (62) (14) (14)
Operating profit after tax	297 297 596 596 305 305
Development revaluation gain Investment property revaluation Other nonoperating items	48 48 70 70 (19) (19) 260 260 305 305 35 35 (40) (40) (65) (65) (106) (106)
Statutory profit after tax	565 565 906 906 215 215

Summary of Segment Note Reclasses

Asset and funds management results previously under Investment now disclosed separately across Funds management and Asset management under the new segment “Funds”.

1

Management and administration expenses reclass and streamlining of management and administration expenses across 2 business units. Following the creation of the Funds segment, the associated management and administration expenses have been reclassed from Investment.

Development business reclass predominantly relates to the separation of management and administration expenses previously reported within EBIT.

3

Unallocated overheads immaterial movements of group function costs to streamline management and administration expenses across business units.

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1H22 and FY22 Reclasses

Reclass Segment Note $m 1H22 As Reported Asset and Funds Mgt Management and Admin Co-investment and other 1H22 Reclassed Office 181 181 Industrial 27 27 Retail 65 65 BTR & Other 2 1 3 Investment income 275 - - 1 276 Asset & funds management 16 (17) 1 - Management & administration expenses (21) 14 (1) (8) Investment EBIT 270 (17) 15 - 268 Funds management - 6 6 Asset management - 11 11 Management & administration expenses - (15) (15) Funds EBIT - 17 (15) - 2 Commercial & Mixed Use 73 7 80 Residential 89 21 110 Management & administration expenses - (28) (28) Development EBIT 162 - - - 162 Segment EBIT 432 - - - 432 Unallocated overheads (41) - - - (41) Group EBIT 391 - - - 391 Net financing costs (62) (62) Operating income tax expense (32) (32) Operating profit after tax 297 - - - 297 Development revaluation gain 48 48 Investment property revaluation 260 260 Other nonoperating items (40) (40)	Reclass
	FY22 As Reported Asset and Funds Mgt Management and Admin Co-investment and other FY22 Reclassed
	369 1 370 55 1 56 153 (1) 152 4 4
	581 - - 1 582 33 (32) (1) - (44) 30 (14)
	570 (32) 30 - 568 - 13 13 - 19 19 - (30) (30)
	- 32 (30) - 2 90 15 105 195 41 236 - (56) (56)
	285 - - - 285 855 - - - 855 (82) - - - (82)
	773 - - - 773
	(115) (115) (62) (62)
	596 - - - 596 70 70 305 305 (65) (65)
Statutory profit after tax 565 - - - 565	906 - - - 906

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1H23 Reclasses

			Reclass
1H23 Segment Note $m	As Reported	Asset and Funds Mgt	Management and Admin	Co-investment and other	Reclassed
Office	205				205
Industrial	28				28
Retail	90			(1)	89
BTR & Other	4				4
Investment income	327	-	-	(1)	326
Asset & funds management	29	(31)	2		-
Management & administration expenses	(21)		14	1	(6)
Investment EBIT	335	(31)	16	-	320
Funds management	-	15			15
Asset management	-	16			16
Management & administration expenses	-		(16)		(16)
Funds EBIT	-	31	(16)	-	15
Commercial & Mixed Use	58		9		67
Residential	36		22		58
Management & administration expenses	-		(31)		(31)
Development EBIT	94	-	-	-	94
Segment EBIT	429	-	-	-	429
Unallocated overheads	(42)	-	-	-	(42)
Group EBIT	387	-	-	-	387
Net financing costs	(68)				(68)
Operating income tax expense	(14)				(14)
Operating profit after tax	305	-	-	-	305
Development revaluation gain	(19)				(19)
Investment property revaluation	35				35
Other nonoperating items	(106)				(106)
Statutory profit after tax	215	-	-	-	215

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