HGL : Chairman's Address to Shareholders

For personal use only

2 February 2022

Company Announcements Office

Australian Securities Exchange

Authorised for immediate release

AGM Presentation

Please find attached the presentation to be made by the Company at the 118th Annual General Meeting of HGL Ltd held at 11am this morning.

This presentation has been authorised for release by the Board of HGL Ltd.

Iain Thompson

Company Secretary

ersonal use only

118th Annual General Meeting

2 February 2021

Positioned for Opportunities

HGL Ltd (ASX:HNG) Hancock & Gore

ersonal use only

CONTENTS

1. 2021 Results Summary
2. 2021 Highlights
3. Portfolio Overview
4. YTD Update and Opportunities
5. Outlook
6. Proxy Results

PERFORMANCE HIGHLIGHTS FOR THE YEAR ENDED 30TH SEPTEMBER 2021 (FY21)

ersonal use only

81%	SHAREHOLDER
RETURN

55%	NTA PER SHARE
		GROWTH
94%	NPAT RETURN ON
		NET ASSETS
24%	FUM
GROWTH

$15.6M NET PROFITAFTER TAX

$47.1M NTA

VALUE

~$0.26 NTA PER

SHARE

$0.01 FULLY FRANKEDDIVIDEND

ersonal use only

FY21 HIGHLIGHTS

Return to significant profitability - FY21 ~$15.6m NPAT

Resumed paying dividends - 1 cent per share fully franked declared. Franking Credit balance of $9.2m

Active transformation and value crystallisation of both JSB & BLC private investments releasing >$2m profit and liquidity in FOS Capital Ltd (FOS) and Cellmid Ltd (CDY) respectively

Realised > $1m profit from ASX Listed share portfolio - annualised IRR of > 50%

Acquisition of Funds Management Vehicle and relaunch of H&G High Conviction Fund. Fund achieved return of 18% in 6 months post acquisition

New Private Equity Investments - T-ShirtVentures & Mint Payments

Increase in valuation of Mountcastle & Pegasus reflecting underlying earnings growth

$5.8m EBIT generated by operating businesses (H&G share - no longer consolidated or equity accounted)

Strong Balance sheet - in excess of $7m Cash* available - NTA approx. $0.26

* Excludes approximately $15m additional cash raised through placement announced November 2021