Directors’ Report
• Key FY26 Life insurance targets remain unchanged as follows:
New Business Market Share 1 12-14 %
Gross Premiums $ 400m
In-force Premium Market Share 1 ~4 %
Life Insurance Underlying NPAT 4 Margin 2 11-13 %
Dividend Policy
FY26 Goals 3
40-60 % of Underlying NPAT
• Underlying NPAT (from continuing operations) continues to be adopted by the Board as its key measure of Group profitability and basis for dividend payment decisions. It is used as a non IFRS measure of earnings that excludes the impacts of market and interest rate volatility, with the definition updated to reflect the application of AASB 17. • Underlying NPAT from continuing operations is targeted to continue to grow at double digits, as previously communicated to the market.
1 ClearView calculations based on NMG Risk Distribution Monitor Reports for Retail Advice New Business and In-force Analysis – NMG Market analysis includes total of 'Retail' consistently applied (that is, IFA, Bank Advice and Aggregator channels). 2 Is calculated as Life Insurance Underlying NPAT divided by Gross Premium Income. 3 FY26 goals based on AASB 17 FY25-27 business plan forecasts approved by the Board on 16 July 2024. 4 Underlying NPAT (from continuing operations) continues to be adopted by the Board as its key measure of Group profitability and basis for dividend payment decisions. It is used as a non IFRS measure of earnings that excludes the impacts of market and interest rate volatility, with the definition updated to reflect the application of AASB 17. Underlying NPAT (from continuing operations) has been defined as the consolidated profit after tax excluding the effects of economic changes on both the AASB 17 insurance contract liability and the incurred income protection disabled lives reserves, the (non-cash) impairment of the asset for acquisition cash flows (AIACF), changes in the loss component that is predominantly driven by the level premium business, current year timing impacts of assumption changes on the contractual services margin and any costs considered unusual to the Group’s ordinary activities. Underlying NPAT includes the amortisation of capitalised software and leases, underlying investment income (the portfolio carry yield on the investment portfolio and interest rate earned on physical cash holdings), costs associated with the incurred claims reinsurance treaties and interest costs associated with corporate debt and Tier 2 Capital.
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ClearView Wealth Limited
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