• Normalised NPAT up 12% to $225m
• Statutory NPAT up 28% to $72m
• Life sales up 12% to $4.6bn, with record retail lifetime annuity sales

Challenger Ltd reported a strong financial performance in the first half of FY2025, with normalised net profit after tax (NPAT) increasing 12% to $225 million and statutory NPAT increasing 28% to $72 million. The company's Life business maintained momentum, delivering a 12% increase in total Life sales to $4.6 billion, including record retail lifetime annuity sales of $583 million (up 24%). Challenger also saw strong growth in Japanese annuity sales, which were up 78% to $616 million. The Funds Management business continued to expand its leading range of investment strategies and managers, with Funds Under Management (FUM) increasing 3% to $121 billion. Group assets under management (AUM) increased 3% to $131 billion. Challenger Life Company Limited remained strongly capitalised with a PCA ratio of 1.61 times the Australian Prudential Regulation Authority's minimum requirement, providing financial strength and supporting future growth. The company has made significant progress in re-platforming its customer and investment technology, which will lay the foundations for the next phase of Challenger's growth strategy.

In FY25, Challenger is targeting normalised net profit after tax guidance of between $440 million and $480 million, with the mid-point of the range representing a 10% increase on FY24.

Challenger enters the second half of FY25 in great shape and is building a business with strong fundamentals that will ultimately create more value for investors and generate long-term sustainable growth.