AUB Group Limited Annual Report 2023

DIRECTORS’ REPORT YEAR ENDED 30 JUNE 2023

SECTION 7 GLOSSARY

AAGR

Average annual growth rate (expressed as a %)

A balanced scorecard set of KPIs, which includes both financial and non-financial measures that have weighted allocations and are aligned to AUB Group’s strategic priorities

Balanced Scorecard

CAGR

Compound annual growth rate (expressed as a %)

Corporations Act

Corporations Act 2001 (Cth)

EPS

Underlying earnings per share

Executive KMP

Michael Emmett (CEO and Managing Director) and Mark Shanahan (Chief Financial Officer)

Group Executives

The CEO, CFO, Chief Broking Officer, Chief Underwriting Officer and Chief Legal & Risk Officer

KMP

Persons who, directly or indirectly, have authority and responsibility for planning, directing and controlling the activities of AUB Group during the Reporting Period

LTI Plan

AUB Group’s Long-Term Incentive Plan

Peer Comparator Group

Constituents of the S&P/ASX Small Ordinaries Industrials Index (AXSID), defined at the commencement of the performance period Performance Share Right, with each right entitling the holder to receive one fully-paid ordinary share in AUB Group on vesting (or, if the Board determines, an equivalent cash payment). Vesting of PSRs may be subject to vesting conditions and performance hurdles AUB Group’s compounded TSR measured against the ranking of constituents of the Peer Comparator Group Return on Invested Capital – is a profitability or performance ratio that aims to measure the percentage return that AUB Group earns on invested capital. The ratio shows how efficiently the Group is using the investors’ funds to generate income. Invested capital also includes interest bearing debt (net of cash and cash equivalents) but excludes lease liabilities. Share Appreciation Right, with each right entitling the holder to receive fully-paid ordinary shares in AUB Group on vesting (or, if the Board determines, an equivalent cash payment). See remuneration report included in the 2022 Annual Report for further details. Total shareholder return measures the percentage growth in the share price together with the value of dividends paid during the relevant three year performance period, assuming all dividends are reinvested into new securities Underlying earnings per share, being, in respect of any financial year, the Underlying NPAT divided by the weighted average number of shares on issue during the financial year. Underlying net profit after tax, being, in respect of any financial year, the consolidated net profit after tax of AUB Group for that year excluding fair value adjustments to the carrying values of associates, profit on sale of entities and assets or deconsolidation of controlled entities, contingent consideration adjustments, impairment charges and amortisation of intangibles. Other adjustments to the Underlying NPAT calculation may be made in limited circumstances where the Board considers it to be appropriate. 12 months period ended 30 June 2023 AUB Group’s Short-Term Incentive Plan

PSR

Relative TSR

Reporting Period

ROIC

SAR

STI Plan

TSR

Underlying EPS

Underlying NPAT

VWAP

Volume weighted average price of shares in AUB Group traded on the ASX

AUB GROUP ANNUAL REPORT 2023

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