Lendlease Annual Report 2024

Year in Review 9 A performance culture As we undergo significant organisational change, our focus has been to strengthen our performance culture, retain key talent and support our people. Our recent global engagement survey had an 85 per cent participation rate and resulted in a modest one-point decrease. This is a pleasing result in light of the transformation underway across the business. Leadership and learning and development programs have been prioritised, in addition to wellbeing and mental health initiatives. More than 400 leaders participated in global leadership programs. I thank all our teams around the world for their resilience and ongoing commitment to delivering exceptional outcomes for our customers. Customer centric ethos Our customer centric approach remains steadfast. To remain focussed, each year we undertake a broad range of customer listening and insights research. Pleasingly, there is a continued strong level of repeat business. This includes repeat purchasers across our luxury Sydney apartment developments; strong tenancy renewals at our office buildings at Barangaroo South; capital partners with multiple investments across asset classes and geographies; and government and corporate clients trusting us with their project management and construction requirements. Leadership in sustainability Since launching our industry-leading Mission Zero targets, we are on track to achieve our 2025 milestone of Net Zero Carbon for Scope 1 and 2 emissions. We are also approaching our target of creating $250m of social value by 2025, having generated $222m of social value through shared value partnerships, including $36m in FY24. These business imperatives are firmly embedded into the organisation across all business segments and are fundamental to how we create long term value. Further, industry leadership in sustainability, whether it be environmental or social, is valued by a high proportion of our stakeholders, including customers, capital partners and employees, helping us attract and retain talent. Outlook As we enter the new financial year, our refreshed strategy is underway. Our Australian business is market leading and unique in the breadth and strength of its integrated capability and services. The opportunities to grow remain significant, with a project pipeline that plays to our core competitive strengths, especially in urban regeneration. Our valued relationships with major global capital partners presents an appealing long term growth pathway to extend our international funds platform. Our immediate priorities are to strengthen our balance sheet, return capital to securityholders and invest in our high return Australian operations, while continuing to build on our Australian development pipeline to support future earnings growth. I believe that through the decisive actions announced in May, we have outlined a clear path for our people, customers and securityholders. My thanks to our Board, particularly our Chairman who is retiring at the AGM in November. I have greatly valued his counsel and support. I also thank my Management Team and the people of Lendlease for their unwavering dedication. Finally, to our securityholders – I restate our commitment to restore securityholder returns. Tony Lombardo Group Chief Executive Officer We’re making real progress to create a new Lendlease – a company that’s less complex, more focussed and, ultimately, more profitable.