Market Announcements Office Australian Securities Exchange Level 4, 20 Bridge Street Sydney, NSW, 2000 ELECTRONIC LODGEMENT 21 August 2020 TPG Telecom Limited Results for Half Year ended 30 June 2020 – Appendix 4D TPG Telecom Limited (ASX:TPM) today releases its financial results for the half year ended 30 June 2020. Please find attached TPG Telecom Limited’s Appendix 4D and Half Year Financial Report. A results presentation will be webcast live at 10.00am (Sydney time) on Friday, 21 August 2020. The webcast link is as follows: http://www.openbriefing.com/OB/3917.aspx A replay of the webcast will be available via the same link in the afternoon following the presentation. Authorised for lodgement with the ASX by: Tony Moffatt Company Secretary TPG Telecom Limited [email protected] TPG Telecom Limited ABN 76 096 304 620 Level 1, 177 Pacific Highway, North Sydney, NSW 2060 Public TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) ABN 76 096 304 620 and its controlled entities ASX Appendix 4D and Half-Year Financial Report 30 June 2020 Lodged with the ASX under Listing Rule 4.2A This financial report covers the group consisting of TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) (“TPG Telecom”, “the Company”) and its controlled entities (the “Group”). Vodafone Hutchison Australia Pty Limited (“VHA”) converted to a public company on 19 June 2020 and changed its name to Vodafone Hutchison Australia Limited. On 29 June 2020, the Company changed its name from Vodafone Hutchison Australia Limited to TPG Telecom Limited. Reported results for TPG Telecom include the full six months’ results of the company formerly known as VHA and four days’ contribution from TPG Corporation Limited (the company formerly known as TPG Telecom), post the merger accounting effective date of 26 June 2020. TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) ASX Appendix 4D and Half-Year Financial Report 30 June 2020 Contents Results for announcement to the market ................................................................................................................................. 2 Directors' report ........................................................................................................................................................................ 3 Half-Year Financial Report Consolidated Income Statement ......................................................................................................................................... 7 Consolidated Statement of Comprehensive Income ........................................................................................................... 8 Consolidated Statement of Financial Position ..................................................................................................................... 9 Consolidated Statement of Changes in Equity ...................................................................................................................10 Consolidated Statement of Cash Flows .............................................................................................................................11 Selected Explanatory Notes to the Half-Year Consolidated Financial Statements .............................................................12 Directors’ declaration .........................................................................................................................................................32 Independent auditor’s review report ........................................................................................................................................33 Auditor’s independence declaration .........................................................................................................................................35 This financial report covers the group consisting of TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) (“TPG Telecom”, “the Company”) and its controlled entities (the “Group”). Vodafone Hutchison Australia Pty Limited (“VHA”) converted to a public company on 19 June 2020 and changed its name to Vodafone Hutchison Australia Limited. On 29 June 2020, the Company changed its name from Vodafone Hutchison Australia Limited to TPG Telecom Limited. The financial report is presented in Australian dollars. TPG Telecom is a company limited by shares, incorporated and domiciled in Australia. Its registered office and principal place of business is: Level 1, 177 Pacific Highway North Sydney NSW 2060 A description of the nature of the Group's operations and its principal activities is included in the Directors' report on pages 3 to 6. The financial report was authorised for issue by the Directors on 20 August 2020. The Company has the power to amend and reissue the financial report. TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) Results for announcement to the market Half-Year ended 30 June 2020 (Previous corresponding period: Half-Year ended 30 June 2019) Results for announcement to the market Reported results 30 June 30 June Movement 2020 2019 (%) Revenue ($m) 1,540 1,723 (11%) Profit/(Loss) for the period attributable to owners of the Company ($m) 83 (153) 154% Earnings per share attributable to owners of the Company (basic and diluted) ($) 0.19 (0.37) 151% Earnings before interest, tax, depreciation and amortisation ($m) 531 583 (9%) Underlying results1 30 June 30 June Movement 2020 2019 (%) Underlying revenue ($m) 1,540 1,723 (11%) Underlying (loss) for the period attributable to owners of the Company ($m) (113) (144) 22% Underlying earnings per share attributable to owners of the Company (0.25) (0.35) 29% (basic and diluted) ($) Underlying earnings before interest, tax, depreciation and amortisation ($m) 555 592 (6%) Dividends There were no ordinary dividends paid or declared by the Company during or since the current or previous corresponding periods. For information regarding the special dividends declared by TPG Corporation Limited (formerly named TPG Telecom Limited) (“TPG Corporation”) prior to the merger, refer to Note 13 Business Combinations in the notes to the half-year consolidated financial statements. Net Tangible Assets2 30 June 2020 30 Jun 2019 Net tangible assets per security ($) (1.65) (5.99) 1 Refer to page 4 for reconciliation between reported and underlying results. The above table of underlying results comprises non-IFRS financial information that has not been subject to audit or review but is extracted or derived from the financial report for the period ended 30 June 2020 that has been reviewed by the Group’s auditors, PricewaterhouseCoopers (“PwC”). The table of underlying results is provided because, in the opinion of the Directors, it provides additional information about the underlying performance of the Group by excluding material non-recurring and/or non-cash items. 2 Net tangible assets are calculated by deducting the value of intangible assets from the net assets of the Group. It should be noted that valuable assets owned by the Group such as mobile spectrum licences and indefeasible rights of use of bandwidth capacity are classified as intangible assets and are therefore excluded from the Group’s net tangible assets. Furthermore, at 30 June 2020, as the Group has yet to finalise the purchase price allocation exercise as a result of the merger between the Company and TPG Corporation, the acquired assets and liabilities relating to TPG Corporation have been recorded at provisional amounts at 30 June 2020. 2 TPG Telecom Limited (formerly named Vodafone Hutchison Australia Limited) Directors’ report for the half-year ended 30 June 2020 The Directors present their report for the Group for the half-year ended 30 June 2020. Directors The Directors of the Company during or since the end of the half-year period are set out below: Name FOK Kin Ning, Canning Frank John SIXT Diego MASSIDDA appointed 12 May 2020 Pierre KLOTZ appointed 12 May 2020 Vivek BADRINATH resigned 12 May 2020 Thomas REISTEN resigned 12 May 2020 Iñaki BERROETA appointed 29 June 2020 Francesco BIANCO resigned 29 June 2020 Amanda HARKNESS resigned 29 June 2020 LAI Kai Ming, Dominic resigned 29 June 2020 Miguel Angel Marin PILZ resigned 29 June 2020 Ronald SPITHILL resigned 29 June 2020 Barry ROBERTS-THOMSON resigned 13 July 2020 Arlene TANSEY appointed 13 July 2020 Dr Helen NUGENT appointed 13 July 2020 David TEOH appointed 13 July 2020 Robert MILLNER appointed 13 July 2020 Shane TEOH appointed 13 July 2020 Principal activities The principal activity of the Group is the provision of telecommunications services. Review of operations Introduction On 29 June 2020, the company formerly known as TPG Telecom Limited (ASX code: TPM) ceased trading on the ASX and changed its name to TPG Corporation Limited. Throughout this document, this company is referred to as TPG Corporation. On 29 June 2020, the company formerly known as Vodafone Hutchison Australia Limited changed its name to TPG Telecom Limited and on 30 June 2020 listed on the ASX (ASX code: TPG). Throughout this document, this company is referred to as TPG Telecom. Following the merger of TPG Telecom and TPG Corporation, through a Scheme of Arrangement that was completed on 13 July 2020, under which TPG Telecom acquired all of the shares in TPG Corporation, these companies and their subsidiaries now form the TPG Telecom Group or “Group”. Overview of the Group’s accounts for the half-year ended 30 June 2020 (“1H20”) Although