Slide 1: Better Building Brighter Interim Results 2026
BETTER BUILDING BRIGHTER INTERIM RESULTS 2026 STEW HAMILTON RICHARD HOPKINS PAUL RUEDIGER 24 February 2026 Chief Executive Chief Financial Officer Head of Business Performance & Investor Relations
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Mercury NZ Limited and its group of companies (“Company”) for informational purposes. This disclaimer applies to this document and the verbal or written comments of any person presenting it. Information in this presentation has been prepared by the C
Slide 3: Operational and Strategic Delivery – HY26 Scoreboard
OPERATIONAL AND STRATEGIC DELIVERY – HY26 SCOREBOARD • HY26 EBITDAF $537m (+28%) driven by higher renewable generation and cost discipline • Customer platform: 40% of customers now multi -product, improving value per customer • Hydro rehabs: $590m FID, adding 76MW / 87 GWh p.a. Resilient Earnings •
Slide 4: Focused on Progressing Strategic Priorities
FOCUSED ON PROGRESSING STRATEGIC PRIORITIES PROGRESS Completed construction of OEC5 and began commissioning in January 2026 delivering 0.4 TWh p.a. Advanced construction of KD2 and Kaiwaikawe, expected to deliver 0.7 TWh by H1 FY27 Progressed geothermal generation development including reservoir ass
Slide 5: A Capable and Multi-Disciplined Executive Team
A CAPABLE AND MULTI -DISCIPLINED EXECUTIVE TEAM STEW HAMILTON RICHARD HOPKINS SURAIYA PHILLIMORE -SMITH CHIEF EXECUTIVE CHIEF FINANCIAL OFFICER CHIEF CUSTOMER OFFICER • Appointed CEO in 2024; joined Mercury • 25+ years experience, last 12 years as CFO • Joined Mercury in 2025. in 2021 as EGM Generat
Slide 6: Ngā Tāngata | Our People – Health and Safety
NGĀ TĀNGATA | OUR PEOPLE HEALTH AND SAFETY Health, safety and wellbeing 1.5 3 • This year, we launched the Safety Intelligence Programme, a practical framework designed to raise the standard of workplace safety by making safety clear, human and effective and embedding capability into everyday practi
Slide 7: Disciplined Execution Delivers Strong Performance
DISCIPLINED EXECUTION DELIVERS STRONG PERFORMANCE 800 706 HY2025 615 600 537 HY2026 418 400 351 $m 207 227 208 200 183 139 134 142 73 64 20 0 (67) -200 Trading Margin Operating EBITDAF NPAT Operating Cash Flow Stay-In-Business Growth Investment Declared Ordinary Expenditure Capital Expenditure Inter
Slide 8: Higher Generation and Lower Operating Expenses Lifts Performance
HIGHER GENERATION AND LOWER OPERATING EXPENSES LIFTS PERFORMANCE EBITDAF bridge (HY25 to HY26) 600 3 22 (46) 4 24 500 EBITDAF ($m) 113 537 400 418 300 HY25 Generation Mass Market Yields C&I Yields Net position (other) Other Operating HY26 volume income Expense • Generation volume up 0.5 TWhreflectin
Slide 9: Disciplined Operational and Strategic Execution – Operating Expenses
DISCIPLINED OPERATIONAL AND OPERATING EXPENSES STRATEGIC EXECUTION (2) (5) 200 (8) Operating Expenses (9) • Our focus on operational efficiencies and cost discipline has resulted in $24m lower operating expenses 150 Opex ($m) • Customer and Generation segments delivered $2m and $5m employee- 207 rel
Slide 10: Enhancing Our Generation Assets – Stay-in-Business Capex
ENHANCING OUR GENERATION ASSETS STAY-IN-BUSINESS CAPEX 80 Lowerdrilling and hydro asset spend (5) (2) (1) (1) • Stay-in-Business drilling decreased as resources shifted to the 60 Rotokawa drilling field to complete the drilling campaign SIB Capex ($m) • Spend on major hydro resilience projects is lo
Slide 11: Strong Taupō Hydro Storage Position to Start H2 FY26
STRONG TAUPO HYDRO STORAGE POSITION TO START H2 FY26 LAKE TAUPO STORAGE (ave. since 1 Jul 1999) Min / Max Avg Lake Taupo MCL 1 FY26 FY25 600 500 400 GWh 300 200 100 0 Month End Jul Aug Sep Oct Nov Dec Jan Feb5 Mar Apr May Jun Hydro Generation- 160 82 -36 29 69 -47 -71 3 Delta to Average2 (GWh) Waika
Slide 12: Hydro Investment to Lift Firming and Generation
HYDRO INVESTMENT TO LIFT FIRMING AND GENERATION • Upgrade of our Karāpiro Hydro Station is now complete • We have committed to three further hydro upgrades at Maraetai, Ōhakuri and Ātiamuri with FID approved at $590 million • Value creation with early design work to maximise efficiency and output of
Slide 13: Reducing Risk and Strengthening Asset Resilience Arapuni Left Abutment
REDUCING RISK AND STRENGTHENING ASSET RESILIENCE ARAPUNI LEFT ABUTMENT • The Arapuni Dam was constructed in 1927 and has experienced seepage issues since inception • Seepage changes were observed in the left abutment after two distant earthquakes in OVERLAPPING PILES 2016 • Project objective: to saf
Slide 14: Geothermal Capability Established to Deliver High Value Projects
GEOTHERMAL CAPABILITY ESTABLISHED TO DELIVER HIGH VALUE PROJECTS Successfully deliveredNgā Tamariki OEC5 on budget and time • First generation on 19 January 2026 and reached 100% output a few days later on 23 January • The unit has been continuing through commissioning since then with various testin
Slide 15: Leading Wind Delivery in New Zealand – Projects Tracking on Time and Budget
LEADING WIND DELIVERY IN NEW ZEALAND - PROJECTS TRACKING ON TIME AND ON BUDGET KAIWERA DOWNS S2 WIND 155MW and 525GWh KAIWAIKAWEWIND 77MW and 221GWh • Southlandlocation • Northlandlocation • On time and on budget • On time and on budget • First generation expected by May 2026 with 11 • First generat
Slide 16: Generation Pipeline Up 2 TWh to 17 TWh
GENERATION PIPELINE UP 2 TWH TO 17 TWH We are leveraging our strength in wind and geothermal, our superior project pipeline and a strong financial position 18 Pipeline (TWh) Installed Capacity (GW) 1 17 1 Solar 3.5 GW 16 0 Hydro Upper NI Pre-Pipeline 3 Geothermal 15 5 X2.0 X2.1 14 Geothermal 5 Pre-P
Slide 17: Progressing at Pace to Deliver 3.5 TWh by 2030
PROGRESSING AT PACE TO DELIVER 3.5 TWH BY 2030 Project status Estimated Capacity Next investment gate Project output Progress update (MW) Consent Procure Construct Commission & timing targeted (GWh) Final commissioning at full generation is OEC5 Geothermal 46 390 Fully online – Q3 FY26 underway. Com
Slide 18: Our Firming Potential Is Sufficient to Enable Our Growth Ambitions
OUR FIRMING POTENTIAL IS SUFFICIENT TO ENABLE OUR GROWTH AMBITIONS INDICATIVE FY30 CAPACITY REQUIREMENTSVS. OPTIONS Renewable diversity ✓ Geographic diversity of wind developments ✓ Geothermal features in Generation Development pipeline ✓ Hydro refurbishment programme enhancing capacity Portfolio of
Slide 19: Policy Solutions to the Transition Challenges
POLICY SOLUTIONS TO THE TRANSITION CHALLENGES Recent independent advice for the Government confirms electricity sector performs well, but further evolution is required alongside action to address declining gas supply Takeaways Demand growth as electrification intensifies Security of supply Affordabi
Slide 20: Customer Scale and Efficiency Unlock Customer Connections and Bundling Growth
CUSTOMER SCALE AND EFFICIENCY UNLOCK CUSTOMER CONNECTIONS AND BUNDLING GROWTH VALUE 1,200 35.9% 38.3% 39.8% 45% 1,000 32.7% 33.8% ICPs and connections '000s 35% • Bundling momentum: 40% of our customers are now on two or 800 % of Customers 174 184 199 215 229 more products 25% 600 • Connection growt
Slide 21: Strong Balance Sheet Supporting Growth Options
STRONG BALANCE SHEET NET DEBT 1 AND DEBT/EBITDA SUPPORTING GROWTH OPTIONS 3 Net Debt ($b) Debt/EBITDA Capital structure well positioned for growth 2 • We target Debt / EBITDA between 2x– 3x after adjusting for S&P Global treatment, consistent with our BBB+ rating • Debt / EBITDA1 at 2.2x for HY262,
Slide 22: Consistent Growth in Dividends Underpinned by Portfolio Flexibility
CONSISTENT GROWTH IN DIVIDENDS DIVIDENDS PAYOUT & POLICY SETTINGS 40 UNDERPINNED BY PORTFOLIO FLEXIBILITY 85% • We have a track record of growing earnings and dividends consistently 30 70% • Near-term payout reflects disciplined capital allocation through a peak 25 Cents per share 23.3 24 investment
Slide 23: FY26 Guidance
FY26 GUIDANCE FY26 EBITDAF guidance unchanged at $1.0b on 4.4TWh of hydro generation subject to hydrological volatility, wholesale market conditions and any material adverse events, significant one-off expenses or other unforeseeable circumstances • FY26 ordinary dividend guidance unchanged at 25.0c
Slide 24: Better Today, Building Tomorrow, Brighter Together
Better Today, Building Tomorrow, Brighter Together Resilient Earnings Disciplined Growth Balance Sheet Strength • HY26 EBITDAF $537m (+28%) • Geothermal OEC5commissioning • Debt/EBITDA within –3x 2 BBB+ range • Disciplined cost management • Two wind farms to start in H1 FY27 • Half of HY26 earnings
Slide 25: Q&A
Q&A STEW HAMILTON CHIEF EXECUTIVE RICHARD HOPKINS CHIEF FINANCIAL OFFICER
Slide 26: Mercury
Mercury
Slide 27: Our Portfolio Is Well Hedged and Geared to Receive New Generation
OUR PORTFOLIO IS WELL HEDGED AND GEARED TO RECEIVE NEW GENERATION NET POSITION – HY26 • Portfolio management via tactical and 7,000 strategic sales combined with flexible hydro resulted in ~98% of HY26 generation hedged and spot sales of 0.1 TWh 6,000 Spot sales Wind PPA • Addition of long term HFO
Slide 28: From Trustpower Acquisition Benefit to ASX-Linked Outcomes
FROM TRUSTPOWER ACQUISITION BENEFIT TO ASX-LINKED OUTCOMES TRUSTPOWER ACQUISITION BENEFIT TAPER ($M) 1 80 From FY27, the Trustpower acquisition benefit tapers as the legacy pricing mechanism transitions to ASX-linked outcomes - a known, managed transition reflected in our FY30 EBITDAF target and our