Macquarie : 2026 full year result - annual report

About this update from Macquarie Group, Ltd.

2026 Annual Report Macquarie Group Year ended 31 March 2026 Macquarie is a diversified financial services group providing clients with asset management, retail and business banking, wealth management, as well as advisory, and risk and capital solutions across debt, equity, financial markets and commodities. 2026 Annual General Meeting Macquarie Group Limited's 2026 AGM will be held at 10:30 am on Thursday, 23 July 2026. Details of the meeting will be sent to shareholders separately. Cover image Aligned Data Centers, United States Aligned Data Centers develops and operates hyperscale data centres across the Americas. On behalf of two of its managed funds and its co-investors, Macquarie Asset Management supported Aligned's growth from two data centres to over 50 operational and planned sites across the Americas, helping meet rapidly growing AI and cloud demand. Inside cover image Matrix Networks Group, United Kingdom Matrix is a leading provider of specialist utility infrastructure in the UK. As a portfolio company of Macquarie Capital Private Equity, it has access to growth capital and expertise to expand its operations and ownership of connection assets. Macquarie Group Limited ABN 94 122 169 279 Contents 01 About About Macquarie 7 Letter from the Chair 8 Letter from the Managing Director and CEO 10 Empowering people to innovate and invest for a better future 13 Financial highlights 20 Operating and financial review 22 02 Governance Corporate Governance Statement 38 Risk Management 56 Sustainability Report 64 Directors' declaration 100 03 Directors' Report Directors' Report 122 Directors' experience and special responsibilities 126 Executive Committee 132 Remuneration Report 136 04 Financial Report Financial statements Income statements 171 Statements of comprehensive income 172 Statements of financial position 173 Statements of changes in equity 174 Statements of cash flows 176 Notes to the financial statements 177 Consolidated Entity Disclosure Statement 302 Statutory statements Directors' declaration 323 Independent auditor's report 324 05 Further Information Additional investor information 332 Glossary 340 ‌01 About Erova Energy, Ireland Erova Energy provides route-to-market and optimisation services for wind, solar, waste-to-energy and battery storage assets across the UK and Ireland. In 2025, Commodities and Global Markets acquired 100% of Erova Energy. 4 Macquarie Group Limited and its subsidiaries 2026 Annual Report 5 Macquarie (MGL and its subsidiaries, the Consolidated Entity) is a global financial services group with offices in 30 markets. Macquarie now employs 19,124 1 people globally across 30 markets. EMEA ~15% Americas ~12% Asia ~23% ANZ ~50% 1 This figure includes staff employed in certain operationally segregated subsidiaries (OSS). Unless otherwise stated, further references to staff data and policies do not include those in OSS. 6 ‌About Macquarie Macquarie Group Limited (MGL, the Company) is listed in Australia and is regulated by the Australian Prudential Regulation Authority (APRA), the Australian banking regulator, as a Non-Operating Holding Company (NOHC) of Macquarie Bank Limited (MBL), an authorised deposit-taking institution (ADI). Macquarie's activities are also subject to supervision by various other regulatory agencies around the world. Founded in 1969, Macquarie now employs 19,124 people globally, has total assets of $A540.1 billion and total equity of $A36.9 billion as at 31 March 2026. Macquarie's breadth of expertise covers asset management, retail and business banking, wealth management, as well as advisory, risk and capital solutions across debt, equity, financial markets and commodities. The diversity of our operations, combined with a strong capital position and robust risk management framework, has contributed to Macquarie's 57-year record of unbroken profitability. $A4,847m FY2026 profit Macquarie works with government, institutional, corporate and retail clients and counterparties around the world, providing a diversified range of products and services. We have established leading market positions as a global specialist in a wide range of sectors, including renewables, infrastructure, resources, technology and services, commodities and energy. Alignment of interests is a longstanding feature of Macquarie's client-focused business, demonstrated by our willingness to both invest alongside clients and closely align the interests of our shareholders and staff. 1969 2026 ‌Letter from the Chair Macquarie Group earned a profit of $A4,847 million in FY2026, up 30% on the FY2025 result, as earnings increased in each of the major business areas. The company earned a return on shareholders' funds of 14% for the year, compared with around 11% in the preceding two years. This outcome was more in line with earlier historical performance. The FY2026 result benefitted from some significant transactions, but underlying performance improved in the year. A disciplined approach, including the reallocation of capital towards those activities most likely to offer attractive risk-adjusted returns, remains key to ongoing improvement. The operating environment presents no shortage of challenges. The past year has been marked by a further proliferation of armed conflict. Associated with that has been a major disruption to the supply of energy and carbon-based raw materials for the world. This is raising economies' cost structures and, if persistent, will be very disruptive to economic activity. There will be expectations that governments act to ease adjustment pressures, and act to make supply chains more resilient. All of this carries cost, at a time when public debt burdens are already high. In an operating environment presenting no shortage of challenges, earnings increased in each of Macquarie's major business areas." Technological disruption of some established business models appears to be accelerating, the software industry being one of the more visible examples but hardly the only one. The continued expansion of Artificial Intelligence is a key driver of disruption and brings both opportunities and threats. It also brings prodigious demand for energy and capital. Macquarie will need to continue to navigate this environment with care and agility. Risk culture Macquarie's remediation work for past regulatory and compliance shortcomings continues, with good progress on platform and data upgrades and regulatory engagement. Much of the original work program that dates from April 2021 has now been completed. Remediation of additional matters that have arisen since then is proceeding on schedule. In view of progress being made, there was a partial removal by APRA of some regulatory overlays. Two new matters arose in FY2026. First, in May 2025, shortly after the company had announced its FY2025 results, ASIC launched court action against Macquarie for failings in transaction reporting over a number of years. During FY2026, Macquarie reached a settlement with ASIC that was approved by the court in March 2026. Second, Macquarie decided to facilitate the payment of 100% of the net capital invested in the Shield Master Fund by those who had invested through the Macquarie wrap platform during 2022 and 2023. This decision incurred some short-term costs for shareholders but was nonetheless judged to be fair to customers and in the company's longer-run interests. In addressing learnings from these issues, as we always seek to do, some adjustments have been made to the funds available to clients on the platform. At the 2025 Annual General Meeting, a significant minority of shareholders voted against the Remuneration Report, with a number voicing dissatisfaction over the way Macquarie reflected regulatory and compliance shortcomings in remuneration for relevant executives. This constituted a 'strike', which creates obligations on the Board for a response. The Board's formal responses are included later in this Annual Report. But aside from such obligations the Board accepts the need to be much clearer about how such matters, and any other relevant matters, are reflected in remuneration decisions. To that end, the Board Remuneration Committee has presented a refreshed layout of the Remuneration Report, including the level of detail of its disclosures, for this Annual Report. The letter from the Chair of the Board Remuneration Committee gives more detail on this. Board of Directors William Vereker joined the MGL Board in February 2026. Resident in the United Kingdom, he brings extensive global experience in financial services, both as an executive and as a director. Jillian Broadbent has decided to step down from the MGL and MBL Boards in December 2026, having served eight years. I am very grateful for Jillian's significant contribution to the Boards over this time, including as Chair of the Remuneration Committee. She has overseen major change in the operation of and reporting on Macquarie's remuneration arrangements. Susan Lloyd-Hurwitz will assume the Chair of the Remuneration Committee following the AGM from 1 August. Capital and Dividends Macquarie maintains a strong balance sheet. The demand for capital for the banking businesses continued to expand, particularly in the early part of calendar year 2026 for CGM. Nonetheless, the Banking Group ended FY2026 with a common equity tier 1 capital ratio of 12.8% as per APRA standards. Measured on a strict Basel III basis, the ratio was 17.5%. Capital held for the non-bank businesses was above minimum requirements. The Board resolved to pay a final dividend of $A4.20 per share, making for a total dividend for FY2026 of $A7.00 per share. This is consistent with the Board's longstanding policy of returning between 50% and 70% of earnings in dividends to shareholders. The Board also resolved to issue shares on-market to satisfy the Dividend Reinvestment Plan for the final dividend at a discount to the prevailing market price of 1.5%. Given significant business growth over recent periods, together with prevailing market conditions, Macquarie has not purchased any shares under the buyback since the Board-approved extension announced on 7 November 2025. There is currently no expectation of further share purchases under the extended buyback and so the Board has resolved to conclude the on-market share buyback. Management continues to identify opportunities for redeployment of shareholders' capital at expected rates of return that look attractive, given the associated risk. I thank my colleagues on the Board, and the staff and Management of Macquarie, for their outstanding efforts over the past year. Finally, your Directors thank you, the owners of Macquarie, for your ongoing support. We look forward to seeing you at the Annual General Meeting in Sydney on 23 July. Glenn Stevens AC Independent Director and Chair Sydney 8 May 2026 ‌Letter from the Each of our businesses used its specialist expertise in navigating the current environment, identifying opportunities that support long-term growth and delivering positive outcomes for our clients and communities." Managing Director and CEO Against a backdrop of increasing global uncertainty, Macquarie's four client franchises grew over the past year, benefitting from deep and differentiated expertise across key sectors in major markets and adjacently growing from established franchises to new products and markets. Each of our businesses used its specialist expertise in navigating the current environment, identifying opportunities that support long-term growth and delivering positive outcomes for our clients and communities. Supported by ongoing uplift to our scalable operating platform and technology infrastructure, and our strong and conservative balance sheet and proven risk management framework, Macquarie delivered a 57th consecutive year of unbroken profitability since inception. For the year ended 31 March 2026, Macquarie delivered net profit after tax of $A4,847 million, up 30% on last year, representing the third consecutive year of earnings growth and the second highest result in Macquarie's history. The return delivered on shareholders' equity rose to 14% reflecting business growth, cost control, and a conservative capital position above our regulatory requirements. Banking and Financial Services (BFS) delivered a net profit contribution of $A1,610 million, up 17% from $A1,380 million in FY2025. The result primarily reflected strong growth in the loan portfolio and BFS deposits, partially offset by lower margins and higher technology expenses to support business growth and scalable operations. Commodities and Global Markets (CGM) delivered a net profit contribution of $A4,221 million, up 49% from $A2,829 million in FY2025. The result reflected improved contributions across the business, particularly from the gain on sale from the divestment of the OnStream meters platform in Asset Finance; improved income from Global Gas and Power businesses and Global Oil in Commodities; and financing origination and strong client hedging activity in Financial Markets. Macquarie Asset Management (MAM) delivered a net profit contribution of $A2,602 million, up 27% from $A2,049 million in FY2025. This was primarily driven by higher performance fees. MAM completed the sale of its North American and European public investments business during the year. Macquarie Capital delivered a net profit contribution of $A1,491 million, up 43% from $A1,043 million in FY2025. The result was driven by higher income from equity investments, higher mergers and acquisitions fees, brokerage and the private credit portfolio, partially offset by higher equity and credit impairment charges and an increased share of net losses from associates and joint ventures. In this report, we showcase examples of how our teams work together to identify areas of unmet need, realise innovative solutions to complex challenges, and deliver positive long-term outcomes for our clients, communities and shareholders. All underpinned by disciplined risk management and a prudent approach to funding, liquidity and capital. Delivering global value from Australia Together with our differentiated proposition and unique culture, over the last 57 years we have grown into a global business by leveraging the market-leading expertise each of our businesses has built across our home region of Australia and New Zealand. BFS has become one of Australia's fastest-growing banks and leading wealth managers, through focused investment in customer experiences, technology and product innovation. Since introducing Australia's first Cash Management Trust in the 1980s, which unlocked higher returns for savers, Macquarie Bank has invested in delivering superior digital experiences while designing retail banking products that deliver greater value to consumers. The team is helping Australians meet their savings goals sooner with simple, fee-free products that pay competitive interest rates, and buy a home with some of the fastest home loan turnaround times in the industry. Our customer-centric culture and focus on delivering leading end-to-end digital experiences has seen our share of Australia's deposit and home loan markets grow to over 6 and 7%, respectively. MAM has grown from its origins in Australia into a leading global infrastructure asset manager, and built a substantial business in real assets, real estate and private credit asset management. It operates in 19 markets with investments spanning 33 markets, and 87% of its income was generated outside Australia in FY2026. Anticipating where communities are heading and connecting emerging needs with savings, Macquarie pioneered the infrastructure asset class in Australia, completing the first toll road listing in the early 1990s; executed what was then the world's largest airport privatisation in the 2000s with Sydney Airport; designed and implemented the world's first motor vehicle registry commercialisation in 2022; and supported the growth of a largely Australian-based hyperscale data centre platform into a regional leader. It is trusted by over 130 institutional investors across Australia, including nine of the ten largest superannuation funds, to responsibly manage $A325.9 billion in assets in Australia and $A722.1 billion in assets globally. CGM has expanded from a Sydney-based team to offering financing, risk management, market access and physical execution and logistics solutions to a diverse, global client base across commodities, financial markets and asset finance. It now operates in 20 markets, generating 82% of its income outside Australia in FY2026. In response to opportunities in the energy transition and volatility across global energy markets, the team has continued to strengthen its well-developed trading and risk management capabilities across its Australian and international energy platforms. From becoming the first merchant bank to gain member status on the Sydney Futures Exchange in 1979 and a forerunner in the development of Australia's foreign exchange market, it has grown into a leading futures broker on the ASX and a provider of comprehensive execution, clearing, and financing services to corporate and institutional clients globally. Macquarie Capital leads the Australian market in mergers and acquisitions by both volume and value. From its origins dating back to the beginning of Macquarie Group in 1969, when it provided international standard financial advisory services to Australian businesses, Macquarie Capital now operates in 22 markets and generated 84% of its income outside Australia in FY2026. With deep and longstanding client relationships across Australia, across an integrated advisory, capital markets, principal investing, and equities platform, it provides access to global markets, capital and investment opportunities. Macquarie Capital's principal investment teams manage $A27.3 billion in credit and $A5.2 billion of equity globally. Supporting national priorities As Macquarie grows into new markets and sectors, we actively build relationships with national and federated governments and intergovernmental organisations, supporting shared objectives and offering expertise in policy areas affecting our clients and businesses. Throughout the year, senior colleagues and I met with government officials from many of the key markets in which we operate, including here in Australia, as well as Canada, Italy, Singapore, Spain, the UK, the US, and from across Latin America and the Middle East. I took part in the Australian Government's Economic Reform Roundtable, which explored ways of improving national economic productivity and resilience, and strengthening fiscal sustainability. At a time of significant change around the world, these were important discussions in ensuring we capitalise on Australia's economic advantages and support the reforms needed to cement its competitiveness and prosperity over the long term. I also represented Macquarie at the 8th Australia-China CEO Roundtable in Beijing as part of the Australian Government's delegation to China, which discussed ways of strengthening commercial ties and opportunities for expanding trade and collaboration between our two nations. Macquarie colleagues, meanwhile, took part in the UK Government's first Regional Investment Summit, exploring ways of boosting local growth through public and private sector collaboration. We have supported £65 billion of investment across the UK, with plans to invest £20 billion more in the coming years. In the US, we supported the Australian Government's Superannuation Investment Summit for the second year. Bringing together Australia's largest superannuation funds with business, industry and political leaders, the Summit explored opportunities that can deliver long-term returns for Australian retirees and drive impact in US communities. External outlook The rapid acceleration of AI development is driving significant change across industries, offering the potential of substantial gains in economic productivity and operational efficiency by fundamentally redesigning processes. However, this progress also raises important considerations around AI safety, its impact on economies and workforces, and the need to consider how society prepares people for these shifts, all questions we are factoring into a measured approach to adoption at Macquarie. Heightened global tensions over the course of the year, as well as the geopolitical events of recent months indicate an ongoing period of uncertainty. This will require markets and investors to continue navigating further disruption and ambiguity. While the external environment remains complex, for over five decades we have delivered strong outcomes across a range of market conditions. The diversity of our activities and deep expertise of our teams, which are aligned to structural themes that have proven resilient over time, and our businesses' ability to adapt and lean into opportunities, position us well to maintain this performance. On behalf of Senior Management, we would like to thank the Macquarie team and the people working in our portfolio companies for their ongoing commitment and dedication, and our clients, shareholders and other stakeholders for their continued partnership and support. Shemara Wikramanayake Managing Director and Chief Executive Officer Sydney 8 May 2026 London City Airport, United Kingdom Macquarie Asset Management, via a fund it manages on behalf of long-term institutional investors, acquired a 75% stake in London City Airport. ‌Empowering people to innovate and invest for a better future Guided by our purpose of 'Empowering people to innovate and invest for a better future', our people around the world identify and realise opportunity for our clients, communities and partners. By unlocking capital, ideas and innovation, we create investment opportunities, facilitate economic activity, seek to address unmet community need and deliver long-term value for our shareholders. Helping nations and clients meet their energy needs Energy is an essential pillar of modern economies, with disruption to its flows in recent months once again serving to highlight the fragility and critical importance of reliable and affordable supply. High energy costs, and the accompanying impact on the cost of living, have seen a shift in public policy priorities and greater recognition in recent years that fossil fuels, particularly natural gas, will be required for some time, even as the transition to renewables continues. We remain committed to the goals of the Paris Accord and our businesses continue to invest in clean energy solutions at scale, but our longstanding view remains that a managed glidepath to deliver an orderly energy transition is the only long-term solution to the energy trilemma of availability, affordability, and emissions reduction. Across the world, we invest in, finance and manage critical energy infrastructure; provide trading, risk and capital solutions across major energy, commodity and emissions markets; and support the development and operation of green energy projects. During the year, Macquarie Asset Management (MAM) portfolio company Island Green Power secured a 20-year Contract for Difference from the UK Government for its West Burton project -the largest solar farm to date to do so. 2 MAM also announced long-term financing for Nexamp, one of the largest owners of commercial and industrial solar projects in the US, which will support the construction of utility-scale solar and battery storage projects. Commodities and Global Markets (CGM) is investing in solutions supporting clean energy producers in increasingly complex power markets, including through its acquisition of Erova Energy, which services a growing portfolio of UK and European wind, solar, waste to energy and battery storage assets. Corona Energy, which has been part of CGM for 20 years, is expanding its presence in the UK business energy supply market, with about 25% of energy supplied to customers backed by renewables. CGM also signed an agreement for the sale of its leading Meter Asset Provider (MAP) platform, OnStream, comprising a portfolio of more than seven million later generation smart meters operating across the UK and Germany. Macquarie Capital continues to act as financial adviser to clients investing across clean energy, notably in Australia where it supported renewable energy company Atmos Renewables' refinancing of its domestic renewable generation and energy storage portfolio. It also advised Lightsource bp on the sale of its portfolio of five operating solar farms and co-located battery development projects in Australia to MAM portfolio company Aula Energy. In the Netherlands, it acted as lead equity investor in one of the largest battery storage systems under development in Europe. Dispatchable and flexible capacity, which is notably provided by gas, hydropower, nuclear and batteries, and access to secure fossil fuel supplies, are essential to the stability of energy systems. These systems are also now integrating a growing share of renewable energy to deliver on energy security, competitiveness, public health and climate imperatives. Macquarie Capital acted as a financial adviser to Ardian on the sale of a 620 MW gas power plant in Pennsylvania that supplies the largest power grid operator in the US. MAM provided a $US450 million financing facility to the 1.2 GW Sandow Lake Energy Station gas plant in Texas, US, in a bespoke financing solution that allows the turbines to be delivered in parallel with the associated digital infrastructure development the plant will power. MAM also supported US-based Calibrant Energy in deploying on-site battery storage systems to support data centres in accelerating their grid connections. CGM is supporting clients with the financing of upstream and midstream oil and gas activities, including the development of oil and gas resources and infrastructure in emerging markets where energy demand is growing and domestic resources remain undeveloped. It is also investing in the establishment of a Flexible Power Platform, providing enhanced analytics, structuring and risk management tools and enabling it to expand its existing capabilities by supporting a broad range of flexible power assets and clients navigating increasingly volatile power markets. 2 'New auction delivers unprecedented clean, homegrown power', UK Government, February 2026. 14 Meeting governments' growing energy security and decarbonisation priorities often requires investment in opportunities beyond mature renewables, including nuclear, innovative low-carbon fuel production and technology manufacturing. During the year, MAM's Green Investments team, for example, recorded significant milestones with the opening of Verkor's first battery cell gigafactory in France; the raising of $US405 million for Vertelo, MAM's commercial vehicle electrification platform with the UN Green Climate Fund in India; and the financial close of SkyNRG's first sustainable aviation fuel plant in the Netherlands. MAM also reached final close of Macquarie's first dedicated energy transition fund that targets opportunities beyond mature renewables, Macquarie Green Energy Transition Solutions, with over $US3 billion of total Fund and co-investment commitments. Lastly, improving the capacity and resilience of the infrastructure that transports and stores energy is key to enabling energy systems' reconfiguration, and rising disruption risks place an increased premium on secure, adaptable and shock-tolerant systems. MAM is a major investor in energy supply infrastructure across the world, from the development and operation of natural gas pipelines to its last-mile energy and utility connections portfolio. CGM, meanwhile, utilises its trading presence in physical and financial gas and power markets to create effective and bespoke risk management solutions for clients and continues to expand its presence in the physical liquefied natural gas space. Our longstanding view remains that a managed glidepath to deliver an orderly energy transition is the only long-term solution to the energy trilemma of availability, affordability, and emissions reduction. Macquarie Group Limited and its subsidiaries 2026 Annual Report 15 Strengthening sovereign resilience In response to geopolitical, economic and technological shifts, governments are increasingly committed to strengthening self-sufficiency across technology, energy, supply chains and national security. Through boosting manufacturing capacity, strengthening infrastructure, advancing technology development and building strategic relationships, they are looking to reduce reliance on global supply chains, while prioritising domestic capabilities. The private sector can support these objectives through innovative financial structures, diverse capital access and investment in innovation, especially where government budgets are limited. In both an advisory and investment capacity, Macquarie Capital is leveraging expertise and relationships around the world to support nations in strengthening their sovereign resilience. During the year, it made an add-on investment to existing portfolio company Earth Resources Technology (ERT), acquiring Sev1Tech, which supports government organisations as they modernise legacy systems, enhance cyber resilience and accelerate digital adoption across complex enterprise environments. Amid evolution in Europe's defence sector, it advised international industrial and technology group thyssenkrupp on the spin-off of TKMS into a global supplier of submarines, naval surface vessels and maritime electronics. It also acted as exclusive financial adviser to cybersecurity innovator Penten on its merger with Amiosec, creating one of the most advanced global providers of digital information security technologies. Critical minerals are essential for modern technologies and national security, but their supply chains remain vulnerable and highly concentrated. Leveraging its cross-border partnerships and advisory expertise, Macquarie Capital is helping unlock opportunities in the sector. During the year, it advised VOC Group on its sale of Rhodes Ridge in Western Australia, one of the world's largest and highest quality undeveloped iron ore assets; supported Lynas Rare Earths, one of the world's largest producers of separated rare earth oxides outside China with an institutional capital raise; and advised Harmony Gold Mining, South Africa's largest gold producer by volume, on its acquisition of Australia-focused MAC Copper. MAM invests in transportation and logistics infrastructure that services national supply chains. The final close of its Macquarie Infrastructure Partners VI fund this year included a record level of investor commitments across transportation, digital infrastructure, utilities and energy, and waste infrastructure. Investments have included Diamond Infrastructure Solutions, which manages critical industrial infrastructure at five US Gulf Coast manufacturing sites; TraPac Terminals, a container ship terminal serving the Ports of Los Angeles and Oakland; and Montréal Metropolitan Airport passenger terminal, scheduled to commence operations this year. Together with its managed funds and co-investors, MAM announced the signing of a Scheme Implementation Deed to acquire all of the shares in Qube Holdings Limited by way of scheme of arrangement. 3 It also announced the sale of DIG Airgas, a leading industrial gas provider in South Korea. Since acquiring the business in 2020, MAM supported its operational expansion and broadened its end-customer base across multiple industries, reinforcing its market position and demonstrating MAM's ability to drive value creation in essential industrial infrastructure across Asia. CGM's specialist Shipping Finance business strengthened its position as a global provider of tailored financing and risk management solutions to this critical industry, with its loan book reaching ~$US2.7 billion and more than 650 vessels financed globally since the platform was launched in 2017. As governments around the world look to increase investment in technologies, manufacturing and systems critical to national security, it's opening up new opportunities for investors. 3 The Scheme is subject to customary conditions and regulatory approvals, including from the Foreign Investment Review Board (FIRB) and the Australian Competition & Consumer Commission (ACCC). Building capacity across the digital ecosystem Our businesses have been investing across the digital ecosystem for over two-and-a-half decades, anticipating the evolving needs of growing communities and supporting them in benefitting from the opportunities of digitalisation. Together with our partners, we are investing in the data centres of the future, growing fibre networks and telecommunications infrastructure, financing cybersecurity and software advancements, and supporting technological innovation. This year, MAM furthered its sector leadership by signing the largest-ever global data centre transaction, 4 with the sale of US-based Aligned Data Centers. Alongside partners, MAM played a pivotal role in Aligned's growth, from two data centres to over 50 operational and planned sites across the Americas, helping meet the region's demand for data, cloud services and artificial intelligence. This followed MAM's support for the growth of AirTrunk from a largely Australian-based hyperscale data centre platform into a regional leader, on behalf of two of its privately managed infrastructure funds and co-investment partners. In Australia, Vocus, a MAM portfolio company, completed its acquisition of TPG Telecom's fibre assets. Their combined assets create an integrated fibre network and key digital infrastructure challenger - driving competition in a sector which is critical for Australia's future and benefitting customers. In South Korea, a MAM-managed fund announced a strategic partnership with Gabia, a company specialising in cloud, domain and internet exchange, to develop more than 100 MW of data centre capacity across key metropolitan and regional locations. And, continuing its near 20-year track record of managing mobile tower platforms in the Americas, MAM agreed to acquire the South American wireless tower operations of IHS Towers, 5 one of the largest independent owners, operators and developers of shared communications infrastructure in the world, 6 contributing to the buildout of 5G network coverage in South America. To help meet Brazil's demand for reliable, high-speed internet services, Macquarie Capital invested $R287 million in Brasil TecPar, one of the largest internet service providers in Brazil, supporting its aim of making high-quality broadband more accessible. Macquarie Capital worked with Prime Data Centers, an international provider of hyperscale and wholesale data centers headquartered in Texas, to grow its capacity and capabilities through a strategic partnership. Macquarie Capital also advised global commercial real estate information provider CoStar Group on its acquisition of Australian property marketplace Domain for an enterprise value of $A3 billion, supporting further innovation in the Australian property sector. And it supported Pony.ai, a leader in achieving large-scale commercialisation of autonomous mobility, on its dual primary listing IPO on the Hong Kong Stock Exchange. Macquarie Capital Principal Finance supported global investment firm Permira in its acquisition of The Key Group, which provides education software to over 20,000 UK schools, strengthening its focus on deepening its AI capabilities. And Macquarie Capital Venture Capital led a Series A funding round for Foresight, a comprehensive AI-powered platform transforming how major infrastructure projects are delivered. CGM is supporting ambitions for greater AI sovereignty by financing next-generation AI infrastructure. This includes working with German startup Polarise to support the fitout of one of the first European AI factories for industrial use cases, and financing Eclairion, a French AI Factory purpose-built to support high-performance computing and generative AI workloads. CGM's Macquarie Aurora platform now provides clients with access to a broad range of FX and commodity products on a single, integrated digital portal, supporting clients in managing price risk in an increasingly volatile environment. The sale of Aligned Data Centers - the largest data centre transaction at the time - is representative of how Macquarie's teams identify key thematics early and find opportunities that create value for our clients and partners. Vocus Group 4 At the time of the transaction. 5 The transaction is expected to close later in 2026, subject to, among other things, the satisfaction of certain conditions being met. 6 By tower count. Delivering greater value to Australian retail banking customers For over 40 years, we have worked to deliver market-defining innovations in Australia's retail banking sector, providing greater competition and value for consumers and businesses. Prior to securing an Australian banking licence in 1985, as Hill Samuel Australia we launched Australia's first Cash Management Trust in 1980, giving retail customers access to higher wholesale interest rates on their deposits. And by introducing Australia's first securitisation for non-bank lender originated mortgages in 1993, we contributed to home loan interest rates falling by around 2%. Since then, by fostering a digital-first, customer-obsessed culture, and through significant investment in technology and the development of unique products and experiences, Banking and Financial Services (BFS) has set about delivering a genuinely different offering, helping foster greater competition in the sector. This includes addressing typical pain points for customers. Macquarie Bank's transaction and savings accounts have no fees, and its savings accounts are free from complex bonus interest conditions. Its simplified account-opening experience, meanwhile, allows any Australian to easily become a customer within minutes. In home lending, we are aligned with the mortgage broker channel, which now supports Australians with more than two in three home lending applications. 7 By establishing a clear and consistent credit policy, and the technology foundations needed to support the rapid review and approval of home loan applications, mortgage brokers have the confidence to recommend Macquarie Bank to their customers. Leveraging the efficiencies of its investments in digitalisation, this year Macquarie Bank extended its fee-free banking offering to Australian businesses, removing monthly account-keeping and transaction fees on its range of business accounts. It also expanded the functionality of its award-winning mobile banking app for business banking customers, delivering the same efficient, secure and simple digital experience enjoyed by its personal banking customers. As part of its ongoing commitment to digital innovation, and enabled by its investments in AI, it continued to launch new solutions that deliver safer, smarter and more intuitive banking. Its launch of 'Q' - an intelligent, human-like support assistant powered by AI - now provides customers with support across a range of everyday banking services through the Macquarie Mobile Banking app and Macquarie Online. Using advanced language processing to understand common customer questions and requests, Q responds instantly with personalised support 24/7. BFS further invested in the digital security of its customers by joining BioCatch Trust™ Australia - the world's first inter-bank, behaviour and device-based, fraud and scams intelligence-sharing network. By assessing the potential risks associated with the accounts to which customers direct their domestic online payments in real time, it adds an additional layer of security for customers, and forms part of the Bank's broader initiatives to tackle scams and fraud prevention. During the year, it was the fastest major Australian bank to pass on lower home loan rates when the Reserve Bank of Australia was reducing the official cash rate last year. As the official cash rate began to rise, it delayed passing on the increase, providing its customers with additional time to adjust and plan their household finances. This customer-focused mindset has seen Macquarie Bank's share of the deposit and home loan markets grow to over 6% and 7%, respectively. 8 As a leading technology bank, Macquarie Bank leverages its culture, customer-centricity, modern platforms, data and AI to deliver value to customers and build a durable competitive advantage. 7 Mortgage and Finance Association of Australia. 8 Australian Prudential Regulation Authority. Making an impact together During the past year, Macquarie's people have continued to contribute their time, skills and money to causes that matter to them, coming together to make a meaningful impact in the community. In FY2026, Macquarie employees, together with the Macquarie Group Foundation (Foundation), contributed $A62 million to the community. Now in its third year, the Macquarie Shared Value Award recognises Macquarie teams, investments and portfolio companies delivering commercial returns while addressing unmet community needs. Four non-profit partners of MAM portfolio companies received grants. These include Construyendo y Creciendo A.C, non-profit partner of Energía Mayakan, which received a $A250,000 grant to strengthen skills and literacy among construction workers in Mexico. INROADS Mexico was awarded a $A200,000 grant to expand employment opportunities for up to 900 high performing disadvantaged university students, who will be connected to internship opportunities, including within MAM's portfolio companies. The Energy Development Corporation's partner The Keitech Educational Foundation received a $A175,000 grant to help underrepresented high school graduates in the Philippines access high demand industries. While Social Builder, a partner of Verkor, was awarded a $A75,000 grant to support workforce training essential to automotive electrification. Grandes Amigos, grant partner of Onivia, in which Macquarie Capital is a co-investor, received a $A100,000 grant for its Connected to Care initiative demonstrating how advanced fibre, wi-fi sensing and AI can enhance independent living for older adults in Spain. During the year, the Foundation announced support for three organisations breaking down barriers to employment in Asia, in partnership with the Amplifier global mentorship programme. Delivered by the Centre for Impact Investing and Practices and the Philanthropy Asia Alliance, the programme aims to facilitate access to long-term, quality jobs across the region. The organisations supported include BagoSphere, which drives job readiness, productivity and retention amongst frontline workers; DeafTawk, which empowers the deaf and hard of hearing community; and Inclus, which is advancing disability inclusion through training, learning and employment opportunities. Each will receive up to $A115,000 in catalytic capital, alongside tailored mentoring from Singapore-based Macquarie employees and other Amplifier partners. As part of the Opportunity Fund, which supports organisations working to advance a more equitable and just society across the US, the Foundation provided a grant to the Bullard Center for Environmental and Climate Justice, used to fund the new Historically Black College and University (HBCU) Environmental Justice and Climate Corps (GreenCorps) at Texas Southern University. The training program, designed to expose HBCU students to climate-related career opportunities and the impacts of environmental justice on their communities, equips students with tools and knowledge to make a difference. The Foundation also introduced the Macquarie Community Resilience Prize during the year, which will award $A1.5 million to innovative solutions that build climate-resilient communities in Brazil, Australia and the Pacific Islands, while creating meaningful employment and skill-building opportunities. The funding we provide to organisations focuses on supporting people on their path to employment and a better future. The Keitech Educational Foundation ‌Financial highlights FY2026 net profit 9 $A4,847m 30% on the prior year 9 FY2026 net operating income $A19,477m 13% on the prior year FY2026 operating expenses $A12,748m 5% on the prior year FY2026 earnings per share $A12.77 30% on the prior year FY2026 return on equity 14.0% from 11.2% in the prior year FY2026 return on tangible equity 14.8% from 12.7% in the prior year FY2026 dividends per share $A7.00 (35% franked) FY2026 effective tax rate 27.6% from 26.2% Assets under Management $A722.1b 8% on the prior year in the prior year 9 Net profit is profit after tax attributable to ordinary equity holders of Macquarie Group Limited. 20 FY2026 international income 10 EMEA 28% Americas 31% Asia 9% Australia 11 32% Diversity of income 12 11,12 ~48% ~28% ~24% Markets-facing | Income Annuity-style | Income 10 International income reflects net operating income excluding earnings on capital and other corporate items, including internal management revenue/(charge). 11 Includes New Zealand. 12 Reference to Macquarie's established, diverse income streams is based on FY2026 net operating income. Macquarie Group Limited and its subsidiaries 2026 Annual Report 21 ‌Operating and financial review Our businesses Macquarie is a diversified financial services group providing clients with asset management, retail and business banking, wealth management, as well as advisory, and risk and capital solutions across debt, equity, financial markets and commodities. 22 For internal reporting and risk management purposes, Macquarie is divided into four Operating Groups, which are supported by four Central Service Groups. Central Service Groups The Central Service Groups provide a range of functions supporting Macquarie's Operating Groups, ensuring they have the appropriate workplace support and systems to operate effectively and the necessary resources to meet their regulatory, compliance, financial, legal and risk management requirements. Risk Management Group (RMG) An independent and centralised function responsible for independent and objective review and challenge, oversight, monitoring and reporting in relation to Macquarie's material risks. RMG designs and oversees the implementation of the risk management framework. Financial Management, People and Engagement (FPE) Responsible for managing Macquarie Group's financial, tax and treasury activities and strategic priorities, fostering our culture through people and community engagement, and engaging with stakeholders to protect and promote Macquarie Group's reputation globally. Legal and Governance Group (LGG) Provides a full range of legal and corporate governance services, including strategic legal and governance advice and risk assessment on corporate transactions, treasury and funding, insurance, regulatory enquiries and litigation. Corporate Operations Group (COG) Brings together specialist capabilities in technology, global security, data, artificial intelligence, market services, corporate real estate, business resilience, and procurement to support Macquarie's growth. Macquarie Group Limited and its subsidiaries 2026 Annual Report 23 Operating and financial review Our businesses continued Macquarie Asset Management Banking and Financial Services $A2,602m $A1,610m 27% on prior year 17% on prior year MAM is a leading global asset manager, investing to deliver positive outcomes for our clients, portfolio companies and communities. MAM provides a diverse range of investment solutions including real assets, real estate, credit and insurance, secondaries and systematic investments. BFS serves the Australian market and is organised into the following three business divisions: Personal Banking: Provides a diverse range of retail banking products to clients with home loans, transaction and savings accounts and credit cards Wealth Management: Provides clients with a wide range of wrap platform and cash management services, investment and superannuation products, financial advice and private banking Business Banking: Provides a full range of deposit, loan and payment solutions, as well as tailored services to business clients across a range of key industry segments. FY2026 Highlights FY2026 Highlights MAM AUM of $A722.1 billion as at 31 March 2026 was up 8% on 31 March 2025 (excluding the impact of divested business), primarily driven by increased investments, net asset valuation changes and net flows, partially offset by unfavourable foreign exchange movements and divestments. During the period, MAM raised $A20.9 billion in new equity from clients across a diverse range of strategies in real assets, real estate, private credit and secondaries. MAM invested $A25.2 billion of equity across 32 investments, including: 16 in private credit, 11 in real assets and five in real estate, with transactions including Diamond Infrastructure Solutions, Bristol and Birmingham Airports and Vocus. Medium-term MAM is well-positioned to respond to current market conditions and build on our leading global position in private markets and our leading position in Australian public markets, as we focus on providing solutions for our institutional, insurance and wealth clients. For the full year ended 31 March 2026, the loan portfolio increased 24% to $A199.9 billion, BFS deposits increased 25% to $A215.3 billion and funds on platform increased 1% to $A155.9 billion. The home loan portfolio increased 28% to $A181.3 billion driven by strong demand in lower loan-to-value ratio and owner-occupier lending tiers, while the Business Banking loan portfolio increased 8% to $A18.1 billion driven by an increase in client acquisition across core segments and a continued build into emerging segments. Medium-term BFS remains focused on growth opportunities through intermediary and direct retail client distribution, platforms and client service; opportunities to increase financial services engagement with existing Business Banking clients and extend into adjacent segments; and modernising technology to improve client experience and support scalable growth. 24 $A4,221m $A1,491m Commodities and Global Markets Macquarie Capital 49% on prior year 43% on prior year CGM is a global business offering capital and financing, risk management, market access, physical execution and logistics solutions to its diverse client base across: Commodities: Provides risk management, capital and financing, and physical execution and logistics solutions across power, gas, emissions, agriculture, oil and resources sectors globally Financial Markets: Provides risk management, capital and financing solutions, and market access to corporate and institutional clients with exposure to foreign exchange, rates, fixed income, credit markets and listed derivatives markets Asset Finance: Global provider of specialist finance and asset management solutions across a variety of industries and asset classes. Macquarie Capital has global capability in advisory and capital raising services, providing clients with specialist expertise and flexible capital solutions across a range of sectors. It also has global capability in specialist investing across private credit, private equity, real estate, growth equity, venture capital, and infrastructure and energy. Macquarie Capital's Equities brokerage business provides clients with access to equity research, sales, execution capabilities and corporate access with a focus on Asia-Pacific. FY2026 Highlights FY2026 Highlights CGM recorded a net profit contribution of $A4.2 billion, up 49% on the prior year. Commodities contribution was up on the prior year, due to increased risk management, lending and financing, and inventory management and trading income. Risk management income was primarily driven by increased contributions across Global Gas and Power businesses and Global Oil. Inventory management and trading income was primarily driven by supply and demand imbalances in North American Gas and Power and oil trading, partially offset by timing of income recognition on gas storage and transport contracts. Financial Markets contribution was up on the prior year, due to increased contributions from financing activity as well as continued strong client hedging activity in structured foreign exchange products. Asset Finance contribution was significantly up on the prior year, due to the gain on sale from the divestment of the OnStream meters platform and other investment activity in technology and energy sectors. CGM continues to be recognised across the industries it operates in, with a number of awards earned during the period including House of the Year for Oil and Products and Derivatives at the Energy Risk Awards 2025 and House of the Year for Base Metals, Commodity Trade Finance, Oil and Products, Natural Gas/LNG and Derivatives at the Energy Risk Asia Awards 2025. Medium-term CGM remains focused on: opportunities to grow the commodities business through adjacencies, both organically and inorganically; the development of institutional and corporate coverage for specialised credit, rates and foreign exchange products; providing tailored financing solutions globally across a variety of industries and asset classes; continued investment in the asset finance portfolio; supporting the client franchise as markets evolve, particularly as it relates to the energy transition and growing the client base across all regions. Macquarie Capital continued to invest in its private credit portfolio. As at 31 March 2026, MacCap's committed private credit portfolio was $A27.3 billion, up 5% on 31 March 2025, including $A11.3 billion deployment in FY2026. Example of investments included supporting Keylane as a lead lender in its acquisition of Heywood Pension Technologies and supporting the acquisition of US Salt, a US provider of evaporated salt. The committed equity portfolio was $A5.2 billion as at 31 March 2026, down 13% on 31 March 2025, primarily driven by exits in the infrastructure and technology sectors. Macquarie Capital continued to focus on the recycling of capital and completed the sale of its remaining stake in Prime Data Centers, a leading data center developer across North America and Europe. This was the culmination of a successful 5-year journey, taking Prime from a single less than 10 MW asset to a platform with multiple gigawatts of capacity under development. Macquarie Capital's advisory and capital business was up year-on-year and maintained its No. 1 position in ANZ for M&A (by completed, any ANZ involvement deal value and count) in FY2026; whilst notable deals included advising on the take-private of ECN Capital (which originates and services high-quality consumer credit assets) and also completed 37 ECM transactions, including AUB Group Limited's $A400 million institutional placement. The equities business contributed 15% year-on-year growth in brokerage income, led by Asia, benefitting from strong capital inflows into the region and elevated market volatility. Medium-term Macquarie Capital deploys its balance sheet alongside clients and management teams as well as in infrastructure project development. It tailors the business offering to current opportunities and market conditions including providing flexible capital solutions across advisory, capital markets, principal investing, development and equities. It supports clients globally across long-term trends including growth in private capital, tech-enabled innovation and the need for infrastructure and resilience. Macquarie Capital is well-positioned to respond to changes in market conditions. For more details on the financial performance of the Operating Groups, see section 2.0 Segment analysis of the Management Discussion and Analysis available at macquarie.com/management-discussion-and-analysis Macquarie Group Limited and its subsidiaries 2026 Annual Report 25 Operating and financial review Our businesses continued Our business strategy The growth of Macquarie's global operations over 57 years reflects our philosophy to expand selectively, focusing on specialist areas where we bring deep expertise to address areas of unmet need on behalf of clients and communities in line with our purpose and longstanding operating principles. We offer our teams significant operating freedom balanced by limits on risk. Alignment of interests is a longstanding feature, demonstrated by willingness to both invest alongside clients and closely align the interests of shareholders and staff. This approach has helped us to grow into a diversified global business, conducting a broad range of activities and creating enduring franchises where we have differentiated perspectives. Our approach has not been to place big bets, but to expand adjacently, taking learnings from one market to another, or using expertise built in one part of a sector to grow into another. This philosophy is reflected in our flexible approach to allocating capital. We rely on our teams who are close to their markets and clients to drive ideas, setting out the opportunity they have identified and the associated risks, and how they plan to manage them, with the teams in the business remaining accountable for the long-term outcomes they deliver. Teams at the centre of the organisation assess the business case being made, including second line review of risks, before allocating capital with a view to maintaining diversification across our activities while seeking an acceptable risk-adjusted return for each project, based on its specific characteristics. Our Purpose Why we exist Our Principles How we do business Empowering people to innovate and invest for a better future Opportunity Accountability Integrity Our Strategy is developed from the bottom up Our core business involves utilising our MAM Macquarie Asset Management Evolution driven by: BFS Banking and Financial Services CGM Commodities and Global Markets Macquarie Capital human capital to realise opportunities, backed by a strong balance sheet Building enduring franchises from positions of deep expertise and pursuing adjacent growth opportunities Managing diversified businesses across regions and service offerings to deliver consistent returns through cycles Addressing unmet client and community needs, focusing on areas aligned to structural growth trends Ensuring accountability and entrepreneurial endeavour from staff in pursuing opportunities Continuously enhancing our operating platform Adopting a disciplined approach to risk management, underpinned by a sound risk culture embedded across the organisation Maintaining a strong and conservative balance sheet with diversified sources of funding. Supported from the centre COG Corporate Operations Group FPE Financial Management, People and Engagement RMG Risk Management Group LGG Legal and Governance Group Our purpose and principles and what we expect of our staff are set out in our Code of Conduct . macquarie.com/what-we-stand-for 26 Risk management Maintaining an appropriate and effective risk culture continues to be integral to Macquarie's risk management framework. Risk culture Macquarie's approach to maintaining an appropriate and effective risk culture is based on an integrated and iterative cycle of: setting behavioural expectations promoting risk culture monitoring and reflecting. Risk management framework Macquarie's risk management framework is the totality of systems, structures, policies, processes and people within Macquarie that identify, measure, evaluate, monitor, report and control or mitigate all internal and external sources of material risk. Macquarie's approach to risk management is based on stable and robust core risk management principles. These are: all staff have a role in managing risk ownership of risk at the business level understanding worst-case outcomes requirement for an independent sign-off by RMG. Macquarie's approach to risk management adopts the 'three lines of defence' model, which sets risk ownership responsibilities functionally independent from oversight and assurance: primary responsibility for day-to-day risk management lies with the business RMG forms the second line of defence the Internal Audit Division, as the third line, provides independent and objective risk-based assurance. In determining those risks that are material to Macquarie, we assess the potential for a risk to affect our earnings resilience and financial strength across market cycles, our ability to meet regulatory obligations, our stakeholders, and our reputation. Macquarie's material risks include asset, conduct, country, credit, environmental and social, equity, financial crime, legal, liquidity, market, model, operational, regulatory and compliance, tax, technology and cyber, artificial intelligence, and work health and safety risks. More details on the management of these material risks are available at macquarie.com/risk-management More details on Macquarie's risk management framework, risk culture and conduct risk management are in the Risk Management section of this Annual Report. Macroeconomic factors The key macroeconomic risks to Macquarie's short and medium term financial outlook noted on page 34 are: Market conditions The general condition of markets, driven by macroeconomic, environmental (including climate) and social and geopolitical factors, may have a bearing on Macquarie's businesses. Changing market conditions influence the volume and timing of client and principal transactions across businesses and the value of various equity, credit and market risk exposures held by Macquarie on its balance sheet. The value of the Australian dollar A significant proportion of Macquarie's net income is denominated in foreign currency. Therefore, net income will be lower in Australian dollar terms if the Australian dollar appreciates against other foreign currencies, and net income will be higher in Australian dollar terms if the Australian dollar depreciates against other foreign currencies. Potential regulatory changes Macquarie is affected by changes in regulation. Regulatory change continues to increase at both the global and Australian levels and has the potential to affect the regulatory capital and funding requirements and profitability of Macquarie's businesses. Funding and liquidity Macquarie uses deposits and debt markets, among other funding sources, to fund its assets. Macquarie is therefore exposed to the risk of an increase in the cost of funding, or of reduced access to funding sources. Technology Technological change, including the increasing adoption of artificial intelligence across global financial markets, is reshaping how financial services are delivered, competed for and regulated. These developments may disrupt industry business models, alter client expectations, intensify competitive pressures, increase reliance on complex and interconnected digital ecosystems, and heighten regulatory and supervisory scrutiny. Such changes may influence Macquarie's financial performance and risk profile, and could result in adverse operational, financial, regulatory, or reputational outcomes. Macquarie Group Limited and its subsidiaries 2026 Annual Report 27 for the year ended 31 March 2026 Review of Group performance and financial position Overview Profit attributable to ordinary equity holders of $A4,847 million for the year ended 31 March 2026 increased 30% from $A3,715 million in the prior year. FULL YEAR TO 31 Mar 26 31 Mar 25 Movement $Am $Am % Net operating income 19,477 17,208 13 Total operating expenses (12,748) (12,140) 5 Income tax expense (1,860) (1,326) 40 Profit attributable to non-controlling interests 13 (22) (27) (19) Profit attributable to ordinary equity holders of Macquarie Group Limited 4,847 3,715 30 For more details on the financial performance of the Operating Groups, see section 2.0 Segment Analysis of the Management Discussion and Analysis available at macquarie.com/management-discussion-and-analysis 13 Non-controlling interests adjust reported consolidated profit or loss for the share that is attributable to non-controlling interests, such that the net profit/(loss) contribution represents the net profit/(loss) attributable to ordinary equity holders. FY2026 net profit contribution 14 by Operating Group Summary of the Operating Groups' performance for the year ended 31 March 2026. Non-Banking Activities Macquarie Asset Management (MAM) 15 $A2,602m 27% on prior year due to increased performance fees from Private Markets-managed funds, managed accounts and co-investors increased net investment income primarily driven by the gain on sale of the North American and European Public Investments business ("divested business") in the second half, net of associated transaction and separation costs, partially offset by the gain on sale of Macquarie Rotorcraft in the prior year. Partially offset by: lower base fees and other fee and commission income, partially offset by lower total operating expenses following the sale of the divested business in the second half. Macquarie Capital $A1,491m 43% on prior year due to higher net investment income, primarily due to gains on the equity investment portfolio driven by exits in the infrastructure and technology sectors higher net interest income primarily from the private credit portfolio, which benefitted from $A2.5 billion 16 of growth in average drawn loan assets higher fee and commission income driven mainly by higher mergers and acquisitions fee income, particularly in the Americas and ANZ, and higher brokerage fee income due to increased market activity, particularly in Asia. Partially offset by: higher impairment charges driven by a small number of underperforming assets higher share of net losses from associates and joint ventures which reflected changes in the composition and performance of the investment portfolio. Banking Activities Banking and Financial Services (BFS) $A1,610m 17% on prior year due to higher net interest income primarily driven by growth in the average loan and deposit portfolios, partially offset by lower margins reflecting changes in portfolio mix and lending and deposit competition higher fee and commission income driven by growth in average funds on platform, the loan portfolio and BFS deposits. Partially offset by: higher operating expenses reflecting increased technology expenses to support business growth and scalable operations. Commodities and Global Markets (CGM) 17 $A4,221m 49% on prior year due to increased net investment income primarily due to the gain on sale from the divestment of the OnStream meters platform and other Asset Finance investment activity in the technology and energy sectors increased risk management income primarily driven by increased client hedging activity across Global Gas and Power businesses and Global Oil increased inventory management and trading income driven by supply and demand imbalances in North American Gas and Power and oil trading, partially offset by timing of income recognition on gas storage and transport contracts. Partially offset by: higher operating expenses reflecting increased investment in the CGM platform, including adjacent business opportunities, significant transaction-related costs and higher brokerage expenses higher credit and other impairment charges driven by portfolio growth, uncertainty in the macroeconomic environment and specific impairments for a small number of counterparties. Corporate 15 Net expenses of $A5,077m 42% on prior year due to higher employment expenses driven by higher performance-related profit share higher income tax expense driven by the performance of the group, as well as the geographical composition and nature of earnings lower net investment income primarily driven by the non-recurrence of asset realisations in Green Investments higher other charges driven by impairments of Green Investments and the non-recurrence of a gain on the sale of centrally held assets, partially offset by lower net expenditure on Green Investment platforms. For more details on the financial performance of the Operating Groups, see section 2.0 Segment analysis of the Management Discussion and Analysis available at macquarie.com/management-discussion-and-analysis 14 Net profit contribution is management accounting profit before unallocated corporate costs, profit share and income tax. 15 On 1 September 2025, the Green Investments assets retained on balance sheet were transferred to a Macquarie Group portfolio, centrally managed in Corporate. Prior comparatives have been restated. 16 Average volume calculation is based on balances converted at spot foreign exchange rates as at 31 March 2026. 17 Certain activities in the Financial Markets and Commodity Markets and Finance businesses are undertaken from within the Non-Banking Group. Net operating income Net operating income of $A19,477 million for the year ended 31 March 2026 increased 13% from $A17,208 million in the prior year. The increase was primarily driven by higher investment income, net interest and trading income and fee and commission income. This was partially offset by lower net other operating income and higher credit and other impairment charges. Net interest and trading income Fee and commission income FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 14% on prior year FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 6% on prior year 10,159 8,877 7,216 6,790 Largely driven by: Largely driven by: higher risk management income primarily due to increased client hedging activity across Global Gas and Power businesses and Global Oil, in CGM higher inventory management and trading income driven by supply and demand imbalances in North American Gas and Power and oil trading, partially offset by timing of income recognition on gas storage and transport contracts, in CGM higher net interest income due to growth in the average loan and deposit portfolios, in BFS higher interest income driven mainly by InEvo Re and lower funding costs following the sale of Macquarie Rotorcraft, in MAM higher net interest income due to growth in the average private credit portfolio in Macquarie Capital. Partially offset by: lower margins reflecting changes in portfolio mix and lending and deposit competition, in BFS. higher performance fees from Private Markets-managed funds as well as funds managed on behalf of wealth investors, managed accounts and co-investors, in MAM higher advisory fee income, particularly in the Americas and ANZ, and higher brokerage fee income mainly due to increased market activity, particularly in Asia, in Macquarie Capital higher structuring fees in commodities products and increased client activity in Futures, in CGM. Partially offset by: lower base fees following the sale of the divested business in MAM. Net investment income Share of net profits/(losses) from associates and joint ventures FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am substantially on prior year FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 69% on prior year 2,776 1,338 51 167 Largely driven by: Largely driven by: the gain on sale from the divestment of the OnStream meters platform, in CGM higher gains on the equity investment portfolio, primarily driven by exits in the infrastructure and technology sectors, in Macquarie Capital the net gain on sale of the divested business in MAM. lower equity accounted net income from the sale of assets by the underlying funds in MAM higher net losses primarily driven by changes in the composition and performance of the investment portfolio, in Macquarie Capital. Partially offset by: Partially offset by: • revaluation gains in MAM. the gain on sale of Macquarie Rotorcraft in the prior year in MAM the non-recurrence of asset realisations in Green Investments in Corporate. Credit and other impairment charges Net other operating (charges)/ income FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 96% on prior year FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am substantially on prior year (708) (361) (17) 397 Largely driven by: Largely driven by: higher credit impairment charges primarily due to portfolio growth, uncertainty in the macroeconomic environment and specific impairments for a small number of counterparties higher other impairment charges driven by a small number of underperforming assets in Macquarie Capital. higher impairments of Green Investments in Corporate the non-recurrence of gains on sale of centrally held assets in Corporate the non-recurrence of operating lease income following the sale of Macquarie Rotorcraft and the remeasurement of reinsurance and related obligations in InEvo Re, in MAM. Partially offset by: lower net expenditure on Green Investment platforms in Corporate increased contribution from the meters sector in CGM. Operating expenses Total operating expenses of $A12,748 million for the year ended 31 March 2026 increased 5% from $A12,140 million in the prior year, primarily driven by higher employment expenses. Employment expenses Brokerage, commission and fee expenses FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 7% on prior year FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 1% on prior year 8,217 7,660 1,223 1,206 Largely driven by: Largely driven by: higher performance-related profit share wage inflation. increased hedging and trading-related expenses across equities, foreign exchange, interest rates and credit, in CGM. Non-salary technology expenses Other operating expenses FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 6% on prior year FULL YEAR TO 31 Mar 26 31 Mar 25 $Am $Am 2% on prior year 1,267 1,200 2,041 2,074 Largely driven by: Largely driven by: increased investment in technology initiatives, with a focus on data and digitalisation, to support business growth and scalable operations. Income tax expense and Effective tax rate Income tax expense FULL YEAR TO lower expenses due to the sale of the divested business in MAM. Partially offset by: higher expenses due to increased investment in the CGM platform, including adjacent business opportunities and significant transaction-related costs, in CGM. 31 Mar 26 31 Mar 25 $Am $Am 1,860 1,326 40% on prior year Effective tax rate FULL YEAR TO 31 Mar 26 31 Mar 25 % % 27.6 26.2 1.4% on prior year This movement was largely driven by the performance of the group, as well as the geographical composition and nature of earnings. Statement of Financial Position Total assets Total liabilities AS AT 31 Mar 26 31 Mar 25 $Ab $Ab 21% on 31 Mar 25 AS AT 31 Mar 26 31 Mar 25 $Ab $Ab 23% on 31 Mar 25 540.1 445.2 503.2 409.4 Total assets of $A540.1 billion as at 31 March 2026 increased 21% from $A445.2 billion as at 31 March 2025. The principal drivers for the increase were as follows: loan assets of $A253.5 billion as at 31 March 2026 increased 23% from $A205.6 billion as at 31 March 2025, driven by volume growth in BFS home loans and corporate, commercial and other lending, in CGM derivative assets of $A43.5 billion as at 31 March 2026 increased 79% from $A24.3 billion as at 31 March 2025, driven by movements in gas and power commodity prices due to market volatility. After taking into account related financial instruments, cash and other collateral, the residual derivative exposure was $A12.4 billion (31 March 2025: $A7.2 billion). The majority of the residual derivative exposure is short-term in nature and managed within the Consolidated Entity's market and credit risk frameworks, with a substantial portion of the exposure with investment grade counterparties cash collateralised lending and reverse repurchase agreements of $A83.0 billion as at 31 March 2026 increased 25% from $A66.6 billion as at 31 March 2025, driven by an increase in holdings of reverse repurchase agreements as part of Group Treasury's liquid asset portfolio management and higher trading activity, in CGM trading assets of $A42.8 billion as at 31 March 2026 increased 22% from $A35.0 billion as at 31 March 2025, driven by an increase in holdings of listed equity securities, in CGM financial investments of $A31.0 billion as at 31 March 2026 increased 44% from $A21.5 billion as at 31 March 2025, driven by growth in the portfolios of high quality liquid assets held across Group Treasury's liquidity portfolio and in MAM. Total liabilities of $A503.2 billion as at 31 March 2026 increased 23% from $A409.4 billion as at 31 March 2025. The principal drivers for the increase were as follows: deposits of $A221.5 billion as at 31 March 2026 increased 25% from $A177.7 billion as at 31 March 2025, driven by volume growth in deposits, in BFS derivative liabilities of $A37.7 billion as at 31 March 2026 increased 61% from $A23.4 billion as at 31 March 2025, commensurate with the movement in derivative assets issued debt securities and other borrowings of $A150.0 billion as at 31 March 2026 increased 11% from $A135.2 billion as at 31 March 2025, driven by the net issuance of commercial paper, certificates of deposit and borrowings, in Group Treasury margin money and settlement liabilities of $A35.9 billion as at 31 March 2026 increased 25% from $A28.8 billion as at 31 March 2025, driven by an increase in margin placed by financial institutions and broker settlement balances, in CGM trading liabilities of $A12.5 billion as at 31 March 2026 increased 116% from $A5.8 billion as at 31 March 2025, driven by an increase in short positions on listed equity securities, in CGM. Total equity AS AT 31 Mar 26 31 Mar 25 $Ab $Ab 36.9 35.8 3% on 31 Mar 25 Total equity of $A36.9 billion as at 31 March 2026 increased 3% from $A35.8 billion as at 31 March 2025. The principal drivers for the increase were as follows: $A4.8 billion of earnings generated during the current period. Partially offset by: $A2.5 billion in dividend payments $A1.7 billion decrease in the foreign currency translation reserve, largely driven by the appreciation of the Australian Dollar against the United States Dollar. Funding Macquarie's liquidity risk management framework is designed to ensure that it is able to meet its obligations as they fall due under a range of market conditions. Macquarie has a funding base that is stable with short-term wholesale funding covered by cash, liquids and other short-term assets. As at 31 March 2026, Macquarie's term assets were covered by term funding maturing beyond one year, stable deposits, hybrids and subordinated debt and equity. The weighted average term to maturity of term funding beyond one year (excluding deposits, equity and securitisations) was 4.1 years as at 31 March 2026. 4.1 years Weighted average maturity Term funding profile Detail of drawn funding maturing beyond one year $A billion 70 60 50 40 30 20 10 0 Diversity of funding sources all tenors Hybrids 1% Equity 9% Subordinated debt 3% Bonds 13% Other 1% Structured notes <1% Unsecured loans 6% Commercial paper and certificates of deposits 11% Securitisation 3% Other secured funding 2% Deposits 51% Details of drawn funding sources maturing across 1-2 yrs 2-3 yrs 3-4 yrs 4-5 yrs 5 yrs+ Senior unsecured debt Secured debt Hybrids and subordinated debt Equity Macquarie has a liability-driven approach to balance sheet management, where funding is raised prior to assets being taken on to the balance sheet. Macquarie continues to develop its presence across different funding markets and products. Details of term funding raised between 1 April 2025 and 31 March 2026: Bank Group Non-Bank Group Total $Ab $Ab $Ab Issued paper - Senior unsecured 16.6 0.7 17.3 Loan facilities - Unsecured loan facilities 0.9 3.5 4.4 Secured funding - Term securitisation, covered bond and secured facilities 3.7 0.4 4.1 Loan capital - Subordinated debt 4.1 - 4.1 Total 18 25.3 4.6 29.9 18 Issuances cover a range of tenors, currencies and product types and are Australian dollar equivalent based on foreign exchange rates at the time of issuance. Includes refinancing of loan facilities. Capital $A9.3b Group capital surplus As an Australian Prudential Regulation Authority (APRA) authorised and regulated Non-Operating Holding Company (NOHC), Macquarie's capital adequacy framework requires it to maintain minimum regulatory capital requirements calculated as the sum of: the Bank Group's minimum Tier 1 capital requirement, based on a percentage of risk-weighted assets plus Tier 1 deductions using prevailing APRA ADI Prudential Standards; and the Non-Bank Group's capital requirement, calculated using Macquarie's Board approved Economic Capital Adequacy Model (ECAM). Transactions internal to Macquarie are eliminated. The Bank Group's Level 2 minimum Common Equity Tier 1 (CET1) capital ratio in accordance with Prudential Standard APS 110 Capital Adequacy is 9%. This includes the industry minimum CET1 prudential capital requirement (PCR) of 4.5%, capital conservation buffer (CCB) of 3.75% and a countercyclical capital buffer (CCyB) 19 of 0.75%. The corresponding requirement for Tier 1 capital and Total capital is 10.5% and 17%, respectively, inclusive of the CCB, CCyB 19 and APRA's loss-absorbing capacity (LAC) requirements. APRA also requires ADIs to maintain a minimum leverage ratio of 3.5%. In addition, APRA may impose ADI-specific minimum ratios which may be higher than these levels. Macquarie is well capitalised, with the following capital adequacy ratios as at 31 March 2026: Bank Group Level 2 Basel III ratios APRA Basel III Harmonised Basel III 20 Common Equity Tier 1 Capital Ratio 12.8% 17.5% Tier 1 Capital Ratio 14.2% 19.2% Total Capital Ratio 21.4% 27.9% Leverage Ratio 4.7% 5.3% For further information relating to the capital adequacy of Macquarie, refer to section 5.0 Capital of the Management Discussion and Analysis at macquarie.com/management-discussion-and-analysis and to the Macquarie Bank Pillar 3 document available at macquarie.com/investors/regulatory-disclosures . Outlook We continue to maintain a cautious stance, with a conservative approach to capital, funding and liquidity that positions us well to respond to the current environment. The range of factors that may influence our short-term outlook include: market conditions including: global economic conditions, inflation and interest rates, significant volatility events, and the impact of geopolitical events completion of period-end reviews and the completion of transactions the geographic composition of income and the impact of foreign exchange potential tax or regulatory changes and tax uncertainties. 19 The CCyB of the Bank Group at 31 March 2026 is 0.79%; this is rounded to 0.75% for presentation purposes. The individual CCyB varies by jurisdiction and the Bank Group CCyB is calculated as a weighted average based on exposures in different jurisdictions at period end. 20 Harmonised Basel III estimates are calculated in accordance with the updated BCBS Basel III framework, noting that MBL is not regulated by the BCBS therefore the ratios are indicative only. This page has been intentionally left blank. ‌02 Governance Digital banking, Australia Banking and Financial Services offers a variety of digital-first and award-winning personal banking, business banking and wealth management products and services to approximately 2.3 million customers across Australia. Macquarie Group Limited and its subsidiaries 2026 Annual Report 37 ‌This Corporate Governance Statement has been approved by the Macquarie Group Limited Board (Board). It describes our key governance practices and articulates how decision-making is guided to meet stakeholder expectations of sound corporate governance and prudent decision-making, acknowledging Macquarie's specific and broader responsibilities to its shareholders, funders, clients, employees and the communities in which it operates. Macquarie Group Limited's (MGL) corporate governance practices have followed the recommendations set by the 4th edition of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations throughout the financial year ended 31 March 2026. MGL, together with its subsidiaries (Macquarie), is a global financial services group operating in 30 markets in asset management, retail and business banking and wealth management, as well as advisory, risk and capital solutions across debt, equity, financial markets and commodities. Macquarie's purpose statement 'Empowering people to innovate and invest for a better future' explains why we exist. We believe that by empowering people we will achieve our shared potential. The way we fulfil our purpose is defined by our principles of Opportunity, Accountability and Integrity. These principles guide Board, management and staff conduct, and it is expected that they will all meet these standards and deal honestly and fairly with our clients, counterparties and regulators. There are appropriate consequences for anyone who fails to meet our standards. Corporate Governance framework Our corporate governance framework defines the relationship between the Board and management, underpinned by a strong risk management framework and the infrastructure needed for our Operating Groups to manage their businesses. Macquarie MGL Board Board Risk Committee (BRiC) Board Governance and Compliance Committee (BGCC) Board Remuneration Committee (BRC) Board Audit Committee (BAC) Board Nominating Committee (BNC) MGL Managing Director and CEO (CEO) MGL Management Committees Macquarie Asset Management (MAM) Macquarie Capital Commodities and Global Markets (CGM) Banking and Financial Services (BFS) Risk Management Group (RMG) Legal and Governance Group (LGG) Financial Management, People and Engagement (FPE) Corporate Operations Group (COG) Macquarie Bank Macquarie Bank Limited (MBL) is a regulated authorised deposit-taking institution in Australia and is a key subsidiary of MGL. It has a similar governance structure to MGL, with five standing MBL Board Committees: a Board Audit, Board Remuneration, Board Risk, Board Governance and Compliance and Board Conflicts Committee. In addition to supporting the MGL Board, the MGL Board Nominating Committee supports the MBL Board in satisfying itself that the MBL Board has an appropriate mix of skills, experience, tenure and diversity for the Board. The MBL Board is comprised of a majority of Non-Executive Directors (NEDs), the MGL CEO and MBL CEO. There are three Bank-only Non-Executive Directors (BONDs) on the MBL Board: Mr Wayne Byres, Mr Ian Saines and Mr David Whiteing, and seven NEDs who also serve on the MGL Board. The MBL CEO is assisted by MBL's management committees and the MBL CEO Office. During FY2026, Macquarie and MBL continued their oversight of ongoing programs that focus on strengthening MBL's processes and controls, including those around intra-group funding arrangements and internal exposures; capital and liquidity reporting; risk management frameworks; and accountabilities and governance. Board oversight The Board sets the 'tone at the top' in a highly visible manner. Board members have broad contact with staff at various levels within the organisation and across regions. There is a culture of open and frank discussion at the Board. Actions taken by the Board seek to promote long-term sustainability and prudent management of risk consistent with W hat We Stand For. Board workshops scheduled during FY2026 covered topical, emerging business and governance issues, including presentations on artificial intelligence (AI), sustainability reporting, enterprise data management, project governance and Australian anti-money laundering and counterterrorism financing reforms. Board workshops, information sessions and an offsite visit during FY2026 brought in external perspectives on a range of topics including AI, quantum computing and the pace of change in these technologies . NEDs also met regularly without members of management and Board Committees held private meetings with each of the external auditor, Head of Internal Audit, Head of Compliance and Chief Risk Officer (CRO) to assist with their oversight role. Board members believe that informal conversations with staff are important in assessing the culture within Macquarie and seeing Macquarie's purpose at work. Board members generally attend various staff functions in Australia and conduct two international trips to Macquarie offices each year. In FY2026, the Board travelled to various international Macquarie offices engaging with staff across all levels and hearing from external speakers. Key highlights from these visits included presentations from regional staff and external speakers about topical issues in each region; regional business updates; and seeing Macquarie's culture and purpose in practice. Each visit brought together staff from various locations within the regions, increasing and enhancing the Board's opportunity for engagement with staff. During the US Board visit, Board members engaged with approximately 500+ staff across the New York and Houston regional hubs, including participating in floor walks and attending a Macquarie AI expo. During the visit to Hong Kong, Board members engaged with approximately 150 staff, including attending and participating in a staff lunch and networking event. During the visit to London, approximately 130 staff members were invited to engage with Board members at a networking event. Macquarie Group Limited and its subsidiaries 2026 Annual Report 39 Continued Board oversight Commitment to achieving the highest standards of professional conduct across all Macquarie operations Regularly reinforce company-wide expectations Diligently take action as part of its responsibility to shareholders, funders, clients, employees and the communities in which Macquarie operates Review and monitor operations and challenge of management Culture and Conduct Set high behavioural standards, including through the Code of Conduct , and act in accordance with these standards Take a dynamic approach to oversight of risk culture and conduct risk management, including consideration of business outcomes and expectations of communities and regulators Monitor the actions management take to embed behavioural expectations (including an effective risk culture) through qualitative and quantitative indicators, targeted assessments and reviews, and enabling the identification of focus areas Business strategy Financial and non-financial risk management Pay for performance Assess ability of strategy to adapt to markets and Approve MGL's Risk Appetite Statement and Approve a remuneration policy that aligns the deliver sound client and community outcomes Macquarie's Risk Management Strategy , monitor interests of staff and shareholders to deliver within Board approved risk appetite and material risks faced by Macquarie and review how sustained results for our customers, clients related limits. they are managed. and communities. Approve budget and funding and capital Oversee management's operation of Macquarie's Remuneration outcomes reflect an assessment management strategy to deliver on risk management framework, including its against a range of financial and non-financial business strategy. compliance framework. factors including risk management and compliance. FY2026 Governance activities During FY2026, the MGL Board's key governance activities included: Continuing Board renewal and succession planning including the appointment of Mr William Vereker to the Board, effective 1 February 2026 Continuing cross-committee information sharing and reporting (e.g. through Board and Board Committee Chair meetings and regular reporting by Board Committee Chairs) Speaking with shareholders and proxy advisors as part of Macquarie's ongoing engagement to discuss matters relating to Macquarie's business performance, governance and remuneration Conducting its annual Board performance review, Board skills self-assessment and enhancing Board operations and Board reporting Continuing activities relating to the Financial Accountability Monitoring Macquarie's regulatory engagement, including interacting with some key regulators directly Regime (FAR) Some key areas of Board focus in FY2026 included regulatory remediation and risk culture, operational resilience, business strategy and performance, non-financial risk, sustainability reporting, technology and overseeing the external audit tender process Meeting staff in Australia, Hong Kong, the US and the UK to discuss in informal settings topics relating to risk and compliance, regional opportunities, Macquarie's reputation, and driving growth Continuing oversight of ongoing programs that focus on strengthening risk management frameworks and accountabilities and governance Hearing external perspectives on topics including private markets, geopolitics, AI and innovation in the workplace

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