• Statutory loss after tax of $318m includes non-cash negative investment property revaluations and impairments
• Operating Profit after Tax of $200m, comprising $87m from IDC and $287m loss from CRU
• IDC segment EBITDA of $204m, FY26 guidance maintained

Lendlease Group announced its results for the half year ended 31 December 2025. The Group reported a statutory loss after tax of $318m, which included non-cash negative investment property revaluations and impairments of $118m primarily in the US, UK and Singapore. Operating Profit after Tax (OPAT) was $200m, comprising $87m from the Investments, Development and Construction (IDC) segment and a $287m loss from the Capital Release Unit (CRU). The CRU OPAT included a $95m write down of Communities land parcels and further provisions in the exited international construction businesses of $44m. The IDC segment delivered EBITDA of $204m, with strong Construction earnings, $4.7b of new Australian development projects secured and $4.4b of active portfolio management in Investments. The Group reported statutory net debt of $3.3b, down $0.1b on FY25, with available liquidity of $3.3b. The Board remains committed to returning surplus capital to securityholders, including through an on-market buyback, once there is more certainty that underlying gearing will be sustainably at 15%. FY26 is a transitional year, with IDC earnings guidance maintained at 28-34 cents per security. The second half EPS contribution from IDC is expected to be higher than the first half, supported by a similar underlying operating performance and transactional profits.

FY26 IDC earnings guidance maintained at 28-34 cents per security.

The Group anticipates stronger Investments, Development and Construction earnings in the second half and into FY27, supported by a strong Construction pipeline and growth initiatives within the Investments platform. FY27 is expected to see improved earnings visibility from key project completions, and FY28 should be supported by additional major project completions.