ClearView Annual report 2024

Notes to the Financial Statements

6.2 Movements in reserves

Consolidated

Company

2024 $'000

2023

2024 $'000

2023

$'000

$'000

Restated

Retained earnings/(losses) Balance at the beginning of the financial year Impact of initial application of AASB 17 (refer to section 9.6) Balance at the beginning of the financial year (restated) Net profit/(loss) attributable to members of the parent entity

(80,108)

7,881

(111,647)

(111,647)

— (83,653)

(80,108)

(75,772)

(111,647)

(111,647)

(12,449)

8,884

(14,687)

— — —

Transfer to profit reserve

— —

Dividend paid during the year

(29,747)

(13,220) (80,108)

(122,304)

(126,334)

(111,647)

Balance at the end of the financial year Share based payments reserve 1 Balance at the beginning of the financial year Recognition of share based payments Transfer from accrued employee entitlements 2

6,692

6,562 (166)

4,285

4,155 (166)

305 490 325

305 490 325

435 199

435 199

ESP loans settled through dividend ESP shares vested/(forfeited)

(2,316)

(338)

(2,316)

(338)

Shares released

(90)

5,406

6,692

3,089

4,285

Balance at the end of the financial year

Consolidated

Company

2024 $'000

2023

2024 $'000

2023

$'000

$'000

Profit reserve Balance at the beginning of the financial year

— — — —

— 26,166

21,015 18,371

Profit for the year

7,663

Dividend paid during the year

— (29,747) — 4,082

(13,220) 26,166

Balance at the end of the financial year

1 The above share based payments reserve relates to share options granted by the Company to employee and contractor participants under the share based payment arrangements. Further information is set out in section 7.2. 2 Restricted rights issued relating to Deferred Short Term Variable Remuneration (STVR).

6.3 Shares granted under the executive share plan In accordance with the provisions of the ESP, as at 30 June 2024, key management have acquired 6,109,927 (30 June 2023: 16,633,432, excluding 1,500,000 forfeited shares) ordinary shares. Shares granted under the ESP carry rights to dividends and voting rights. In June 2024, the Board exercised its discretion under the ESP Plan Rules to ensure the consistency between participants and given the timeframe that the ESP shares have been on issue. This resulted in the amendment of the conditions attached to the remaining unvested ESP shares (as they were subject to the ‘Change in Control’ vesting criteria), such that the Board approved the immediate vesting in June 2024. As at 30 June 2024, all ESP shares (6,109,927 shares) are vested. Financial assistance amounting to $4,965,282 (30 June 2023: $11,765,742) was made available to executives and senior employees to fund the acquisition of shares under the ESP. As all the ESP shares have vested, in June 2024 the Board has approved granting an extension to the loan term of all Employee Participants who remain employees at the expiration of their loan term for a period until 14 months after a Change in Control of the Company (as defined in the ESP Rules).

153

ClearView Wealth Limited

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