Telstra Group Limited · ASX:TLS
Telstra — Debt Investor Presentation (June 2025)
32 slides from Telstra's debt investor presentation, June 2025
Slide 1: Debt Investor Update June 2025
©. Telstra Debt Investor Update June 2025
Slide 2: Agenda
Agenda 1 Telstraat a glance os 2 Connected Future 30 3 Overview of 1H25 results Q&A Copyright Telstra ©
Slide 3: Telstra at a glance: size and scale
) >1m shareholders $56b market capitalisation? Public ASX20 company Size and scale! FY24 $23b total income A-/A2 investment grade rating from S&P and Moody’s Telstra Network’ ata glance pustomers 24.6m retail mobile services 3.5m C&SB bundle and data, | 146k Enterprise data and and people’ 2.5m whol
Slide 4: The connectivity we provide needs to become more sophisticated and flexible
bo3 The connectivity we provide needs to become more sophisticated and flexible New devices, use cases, and greater digital activity will drive demand Many players see the opportunity, and we need to move fast Copyright Telstra © Page 4
Slide 5: Our ambition is to be the number one choice for connectivity in Australia
Connected Our ambition is to be the number one T choice for connectivity in Australia Our three layers and goals Customer Engagement To lead in how we anticipate and deliver on the connectivity needs of our customers Network as a Product To build and operate Australia’s leading network and reinvent
Slide 6: Customer Engagement: T25 progress and key targets
T25 progress! Our key targets? & Provide a differentiated connectivity experience, simply and efficiently, and being a reliable and safe place to connect Become a trusted partner with a premium experience by focussing on core connectivity and leveraging local presence Make it simple to get increasin
Slide 7: Network as a Product: T25 progress and key targets
T25 progress! Our key targets? Network leadership Sustain our best network and maintain our mobile coverage lead by investing to improve capacity and efficiency Lead in new tech like satellite-to-mobile and 6G, while maintaining a focus on security and resilience Create an autonomous network that ru
Slide 8: Digital Infrastructure: T25 progress and key targets
& Deliver Intercity Fibre and associated revenue objectives Provide solutions supporting the new era of Al and connectivity and explore new growth opportunities with partners Provide a seamless customer experience through digital interfaces exposing dynamic inventory Modernise our footprint Dig ita
Slide 9: Our enablers help deliver our strategy
Slide 10: Three things give us conviction
Three things give us conviction tT We are positioned for success and growth Demand is growing Competitive advantages Disciplined execution Global, local, and industry Our core connectivity business We have a solid track record of trends all indicate that demand is strong, with a unique set of discip
Slide 11: Strong fundamentals and demand underpins sustainable mobile growth
Strong fundamentals and demand underpins 4 sustainable mobile growth Demand drivers Tripled ~1-2% p.a. Low population growth proportion of expected! household spend data usage on mobile network in the past 5 years Portfolio that maximises revenue BALONG ALDIMobile’ b St a mobile Main brand Sub-brand
Slide 12: We are continuing our leadership through evolutionary new tech
We are continuing our TF leadership through seine eae evolutionary new tech Our physical assets are | core to providing i Telstra Autonomous — Uses Al to simplify the network interaction with self-configuring, self- connectivity across ; Network optimising, and self healing properties Australia, wit
Slide 13: Growing demand for digital infrastructure drives infrastructure growth
Growing demand for digital infrastructure € drives infrastructure growth te Demand drivers >25% p.a. ata & tech Valuable Australian internet Gen Al, cloud- includes assets LEO satellite backbone traffic based processing with long-term, growth forecast and immersive CPI-linked 2025-297 reality contra
Slide 14: Domestic assets
Domestic assets . {> a a {> {> {) VY VY UY UV VY UY ® 400,000km of cables 5!2 3 path diversity / duct =} 2 large and5 small @) poles for Pan intra-Asia and connecting Asia to resiliency on all major APAC routes length with pits and manholes —' data centres (DCs) small cells, IOT, and emergency servi
Slide 15: Australia's largest terrestrial intercity network
Australia’s largest terrestrial intercity network T&T Sydney-Canberra coastal route set to go live on 25 June 2025 144 fibre pairs per route with >~60 Tbps capacity per fibre pair’ >>) Coastal Route 357 km First routes going live servicing the in-demand eastern data corridor: Largest population cent
Slide 16: Our financial goals
Our financial goals OQ} e 4
Slide 17: Our value creation is underpinned by levers of value
Our value creation is underpinned by levers of § Portfolio & investment management V V =f- Disciplined capital management Copyright Telstra © Page17
Slide 18: Maximise returns, maintain financial strength, retain flexibility
Lo 9 ( Maximise returns for Maintain financial Retain financial shareholders strength flexibility 1) Committed to balance sheet settings consistent with an A band credit rating 2] Disciplined BAU capex to support core business growth 3] Sustainable and growing dividend (prefer fully-franked) 4) Disc
Slide 19: Half year 2025 results
Half year 2025 results & 1H25 EBITDA 1H25 ROIC $4.2b +6.0% 8.0% +0.2pp On-market share Episode NPS buy-back Improved 3 points last 12 months Up to $750m Copyright Telstra © Page 19
Slide 20: Half year 2025 results: underlying EBITDA and cost-out
Half year 2025 results € © Underlying EBITDA‘ 6% CAGR 1H21 to 1H25 Underlying EBITDA’ Cost-out growth on PCP * 1H25 core fixed costs reduced * Mobile: $92m or 3.7% by $161m or 4.8% on PCP * InfraCo Fixed: $58m or 7.0% * $283m core fixed cost + Fixed-C&SB: $78m or 74% reduction achieved since FY22 +
Slide 21: Capital management
Capital management Debt maturity profile’ Diversified sources of debt' Average debt maturity 4.3 years Bank Loans $AUD 12% US Bonds 15% 3.0 26 Commercial Paper 10% 2.0 88% : Debt Capital Markets 18 a Bond issuance in ia 12% Bank Loans 1.0 AUD Bonds 23% 05 | EUR Bonds 40% 0.0 | Fy25 FY26 FY27 FY28 FY
Slide 22: Strong capital position and liquidity
Strong capital position and liquidity Capital position Net debt $15.1b $15.8b $16.3b Average cost of debt! 5.0% 5.0% 5.0% Average debt maturity (years)! 3.6 3.8 4.3 Average maturity of hedge (years)! 3.6 3.7 3.5 Fixed rate debt as % of total debt! 54% 57% 67% Financial parameters? Comfort zones Debt
Slide 23: Largest market position in both mobile and fixed-line services
Largest market position in both mobile and fixed-line services in Australia Capital management framework reflects a strong fiscal discipline Commitment to balance sheet to balance returns for settings consistent with an A shareholders, maintaining financial band credit rating strength and flexibilit
Slide 24: Debt investors website
www.telstra.com.au/aboutus/investors/debt-investors
Slide 25: Connected Future 30 Appendix
Connected Future Appendix
Slide 26: Our key targets
Our key targets People and culture ¢ Maintain top quartile Employee Engagement Technology leadership ™ - Achieve top quartile % vv Al maturity by FY30 Sustainability 70% reduction in 50% reduction in ') absolute scope 1+2 absolute scope 3 emissions by 2030? emissions by 20307 Digital Infrastructure
Slide 27: Artificial Intelligence will be transformative
16 Artificial Intelligence will be € transformative We are set up to lead... = eS i =e a + Investing in getting our Partnered with global Focus on re-inventing fundamental tech and leaders like Accenture and processes and parts of our data right Microsoft business and unlock potentially transformati
Slide 28: Options to suit customer needs
Options to suit customer needs § Equipment Optical increments! Bandwidth? Products Telstra Managed Intercity Wavelength Service 100Gbps = Fully managed 400Gbps = Low-mid bandwidth 1/8 FP: -3.8Tbps Intercity Direct Spectrum Service - = Point to point amplification with spectrum hand off 1/4 FP:~7.6 T
Slide 29: Creating a better digital world
Creating a Our 5G footprint covers 91% of the Australian Expanded mobile coverage by 360,000 km? better digital population — 95% ambition by end FY25 since FY21 to 3m km? world! se Helped >900k customers in vulnerable Supported 509k Australians to grow their circumstances stay connected in 1H25 digi
Slide 30: Glossary
Glossary Term Defin Key target: Al maturity Refers to external Al maturity measure against global enterprises “enabled by NaaP” Refers to connectivity products that monetise a sophisticated network feature Network Experience Index Refers to an internal composite metric based on the availability and
Slide 31: Glossary cont.
Glossary cont. Term Financialterms con’ IFRS IRR Operating leverage ROIC Strategic investment Total income Underlying EBITDA Underlying EBITDAaL Underlying EPS Underlying income Underlying operating expenses Underlying ROIC Defi International Financial Reporting Standards issued by the IASB. When ‘I
Slide 32: Disclaimer
Disclaimer Forward-looking statements This presentation includes forward-looking statements. The forward-looking statements are based on assumptions and information known by Telstra as at the date of this presentation, are provided as a general guide only and are not guarantees or predictions of fut
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