OCA delivered record full year result
Oceania Healthcare
Level 26, HSBC Tower, 188 Quay Street, Auckland CBD, Auckland 1010
PO Box 9507, Newmarket, Auckland 1149, New Zealand
P +64 9 361 0350 F + 64 9 361 0351
www.oceaniahealthcare.co.nz
22 May 2026
Oceania Healthcare Audited Full Year 2026 Results Announcement
Delivered Record Results
Oceania Healthcare (NZX/ASX: OCA) delivered a record result, with sales volumes increasing 16%, Proforma
Underlying EBITDA
1
growing 20%, and net debt reducing by $121.4m. The result marks a step-change in
performance, with improved sales momentum, stronger earnings and gearing at the lower end of the target
range.
Financial and operational highlights
2
• Total Comprehensive Income: $75.0m, flat on FY25
• Statutory Net Profit after Tax: $0.1m, down from $30.4m reflecting lower property revaluations
compared with FY25 and the closure of the Wesley Institute of Nursing Education.
• Proforma Underlying EBITDA: $97.7m, up 20% on FY25
• Free Cash Flow from Operations: $15.0m outflow, improved 64% on FY25
• Total sales volumes: 603, up 16% on FY25
• Right sizing: $13.2m of cost out savings delivered
• Divestments: $51.1m of cash proceeds from the sale of 7 sites
• Total assets: increased to $3.1bn, up 4.6% on FY25
• Net Tangible assets: $1.62 per share, up 7.3% on FY25
• Net debt: $506.7m, down $121.4m on FY25
• Gearing: 30.1%, at the lower end of the 30% to 35% target range
Financial performance
Oceania delivered a record financial result in FY26, reporting Proforma Underlying EBITDA
1
of $97.7m, an
increase of 20% on the prior comparative period. The improved FY26 financial performance benefited from
continued execution of targeted cost out and capital management initiatives, and the further refinement of the
portfolio to larger integrated villages with a mix of both aged care and retirement units.
Care EBITDA per occupied bed increased 40% to $27k. Excluding development and resale gains, underlying
care profitability increased 43%, reflecting operational performance improvements and the continued benefits
of Oceania’s premiumisation initiatives.
Operating efficiency initiatives generated an initial $13.2m of cost out savings in FY26 and remain on track to
deliver $20.4m of annualised savings in the coming financial year. Ongoing automation and simplification
across the support office has improved efficiency. The support office team has been right sized with an annual
staff cost reduction of approximately 20%.
Further initiatives target ~$30m of total cash and cost savings in FY27 from a combination of working capital
improvements, lower stock levels and capital expenditure initiatives.
Free Cash Flow from Operations was an outflow of $15.0m in FY26, a 64% improvement from the prior year.
Oceania said it remained on track for positive Free Cash Flow from Operations in FY27.
CEO Suzanne Dvorak said: "Executing the FY26 strategic initiatives has set Oceania up to operate with
greater clarity, pace and discipline. Our strategic reset has already delivered tangible operational and financial
benefits and will continue to improve cash performance."
Sales and development
"Against another year of subdued residential property market conditions, we delivered a record sales
performance, reporting a 20% lift in the gross value of settled sales to $375m and a 16% increase in the total
number of units settled," said Ms Dvorak.
Oceania Healthcare
Resale activity was up 20%, with 402 units settled during FY26 delivering gains of $37m. The 4% increase in
the average price for all settled units reflected a change in mix to independent units and increased resale
pricing.
74% of apartments at Oceania’s premium Auckland retirement village, The Helier, have been sold or are
under application. The business is close to achieving the key milestone with full development recovery
including interest now at 97%. Adjoining development land provides the opportunity to add 16 large
apartments in a future stage.
Unsold stock reduced by $115m to $227m at the end of FY26, a net reduction of 34% from the prior year.
Stock included $79m of new units added during the year from development activity that were unsold.
A total of 71 new units were delivered in FY26, comprising 31 villas and 40 care suites. The FY27 build rate
targets delivery of 81 new units across three sites including 28 new villas at Franklin, 23 new villas at Bream
Bay, and the conversion of 30 villas and apartments at Elmwood.
Enabling works have commenced on 28 Stage 2 villas at the Franklin Village in Pukekohe following a highly
successful launch. 80% of the 31 villas in Stage 1 delivered in January 2026 are now sold or under
application.
Balance Sheet
Total assets increased to over $3.1bn during the year notwithstanding the divestment of 7 sites for $51.1m.
Proceeds from divestment activity were applied to core debt. Net debt reduced to $506.7m at year end and
returned gearing to 30.1%, at the lower end of the company’s 30% to 35% target range.
Chair Liz Coutts said: "The Board is pleased with the improvement in cash management and debt reduction,
and we are now in a good position given the current economic uncertainty and slow property market"
FY26 Dividend
Oceania’s dividend policy is to pay out between 40% and 60% of Free Cash Flow from Operations (excluding
development cash flows).
While significantly improved cash flow generation has been delivered through the strategic initiatives
implemented over the last 12 months, the Board has determined that no dividend will be declared for FY26.
The Board will reassess resuming dividend payments once Free Cash Flow from Operations is positive.
Platform for Growth
FY26 was a year of action and progress. The portfolio and operations have been refined, creating a stronger
platform for disciplined growth.
Chair Liz Coutts said: "The Board is delighted with the progress made this year. Oceania enters FY27 in a
materially stronger position, with sustained demand for our care suite product and retirement living
experience. The Board's focus remains on cash generation, disciplined capital allocation and growth that
builds long-term shareholder value."
ENDS
For all enquiries, please email Hayden Brown, General Manager of Strategy
hayden.brown@oceaniahealthcare.co.nz or phone 027 807 8073.
Oceania Healthcare
Oceania will hold a webcast at 11.00am NZST (9.00am AEST) on Friday 22 May 2026 hosted by Suzanne
Dvorak (Chief Executive Officer) and Kathryn Waugh (Chief Financial Officer). The live webcast can be
accessed via following the attached link: https://events.vidcom.com/Oceania/Results/
To listen to the webcast, you are advised to log on to the website and complete your registration details at
least 10 minutes before the webcast commences.
Authorised for release by Oceania Healthcare Limited’s Board of Directors
Notes:
1
Underlying NPAT, Underlying EBITDA and Free Cash Flow from Operations are non-GAAP measures of financial performance. The calculation of Underlying NPAT and Underlying
EBITDA requires a number of estimates to be approved by the Directors in their preparation. Both the methodology and the estimates may differ among companies in the retirement
village sector. A reconciliation of Reported NPAT to Underlying NPAT and Underlying EBITDA is included in Note 2.1 of the Annual Financial Statements. Proforma Underlying NPAT
and Proforma Underlying EBITDA are adjusted for the impact of the closure of the Wesley Institute of Nursing Education in April 2025. A reconciliation of Underlying NPAT and
Underlying EBITDA to Proforma NPAT and Proforma EBITDA is included in Note 2.1 of the Annual financial statements.
2
All balances have been extracted from the Annual Report for the year ended 31 March 2026.
---
1
Overview
1.Care Underlying EBITDA per occupied bed including capital gains
1. Sales Performance
2. Business Excellence3. Capital Management
✓Record sales volumes: FY26 up
16% to 603 units, 27% yoy increase
in 2H26
✓Optimised pricing and stock:
targeted pricing and stock
management to drive sell through
✓Reduced unsold development
stock: by 34% to $227m from
$342m, while adding $79m of new
stock in the year
✓Record care profitability: Care
Underlying EBITDA per occupied bed
1
$27k, up 40%
✓Realised cost savings : $13.2m cost
savings achieved, ~$30m annualised
cost and cash savings targeted for FY27
✓Free cash flow from operations:
improved 64% in FY26, remains on track
to be cash positive in FY27
✓Portfolio balanced: 7 sites divested at
or around carrying value, for $51.1m
✓Debt reduction: Net debt reduced by
$121m to $507m supported by
divestments and stock reduction
✓Gearing reduced: 30.1%, at the low
end of the target range of 30-35%, with
expectation for further debt reductions
2
Oceania delivered a record underlying result in a subdued residential housing market and tough economic conditions
Financial Highlights – twelve months to 31 March 2026
Dividend
The Directors have resolved not to declare a FY26 final dividend
The Directors expect to resume dividend payments when operating free cash flow is positive, a key goal for FY27
Financial Summary
1. Proforma Underlying EBITDA is a non-GAAP measure and is adjusted for the impact of the closure of the Wesley Institute of Nursing Education in April 2025.A reconciliation to the reported statutory figures is included in
Appendix 03
Total Comprehensive
Income
$75.0m
Increaseof0.5%
from $74.6m in FY25
Proforma Underlying
EBITDA
1
$97.7m
Increaseof20.2%
from $81.3m in FY25
Record Sales
Volume
603 units
Increaseof16%
from 520units in FY25
Operating
Free Cash Flow
($15.0m)
Improvementof64.0%
from ($41.7m) in FY25
Total
Assets
$3.1b
Increaseof4.6%
from $2.9b at FY25
Net Tangible Assets
per Share
$1.62
Increaseof7.3%
from $1.51 at FY25
Net Debt
$506.7m
Decrease of 19.3%
from $628.0m at FY25
Gearing
30.1%
Decrease of 6.2pp
from 36.3% at FY25
Sales Performance
4
Sales Performance by Key Site
3. Capital Management
2. Business Excellence
1. Sales Performance
65%
31 ILU units opened in
January 2026
80%
ILU Sold
1
40 Dementia units
opened in June 2025
Sold
1
and Occupied
MeadowbankFranklin
74%
78 ILU units opened across
May - September 2023
ILU Sold
1
The Helier
Sales and applications as at 20 May 2026. The Helier care residences are 53% occupied and under application.
1. Sold includes units sold down and under application.
5
495
0
599
0
1,158
922
1,135
1,032
1,108
1,165
296
334
373
356
412
0
200
400
600
800
1,000
1,200
1,400
FY2022FY2023FY2024FY2025FY2026
VillaApartmentCare Suite
A record of 201 new sales in the period, meaningfully reducing
levels of unsold development stock
New Sales
Average new sales prices
NZD000s
New sale volumes and development margin %
3. Capital Management
2. Business Excellence
1. Sales Performance
26
0
8
0
16
92
54
8197
92
66
74
68
87
93
28.0%
37.6%
31.1%
35.5%
29.9%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
0
50
100
150
200
250
FY2022FY2023FY2024FY2025FY2026
VillaApartmentCare SuiteDevelopment Margin
Record new sales volumes:
•Total new sales volumes grew 9% on FY25. Oceania has
made progress on selling down unsold development
stock and early success at Franklin Village
Margin reflects region and mix:
•Margins have moderated as Oceania cycles out of higher
margin apartment stock into lower margin villa product in
the near term
Pricing improvement:
•Steady increase in care suite pricing and the successful
introduction of Franklin villas have supported meaningful
uplift in average new sales pricing in FY26 of 9% yoy
184
128
157
184
201
6
1. Based on CBRE Limited valuations – current ingoing price
2. Newly developed units currently occupied by residents under a PAC arrangement
The sell down of development stock has released net capital of $115m since March 2025
Development Stock
$79m
3. Capital Management
2. Business Excellence
1. Sales Performance
•The value of unsold development stock declined from
$342m at FY25 to $227m
1
in FY26, reflecting targeted sales
initiatives
•Including new stock of $25m in relation to the completion of
the 40 dementia suites at Meadowbank and $54m in
relation to completion of 31 villas at Franklin, the net
reduction in development stock was $115m
•Unsold development stock at 31 March 2026 is distributed
as follows:
•60% Auckland
•35% North Island (excluding Auckland)
•5% South Island
•ILUs represent $157.5m in unsold development stock, while
care suites represent $69.3m. Of the unsold care suites,
54% are currently occupied by non-ORA residents (PAC or
standard bed), contributing to operational profitability as the
remaining stock sells down
Unsold development stock movement
from FY25 to FY26
Value of unsold new stock
unavailable for immediate sale
2
Value of unsold new stock
completed within the last 12
months
Value of unsold new stock
completed over 12 months ago
$55m
$50m
$104m
$73m
$183m
$104m
$79m
$194m
FY25Development stock addedReduction in Unsold stockFY26
$342m
1
$227m
1
7
538
537
622
594
637
734
865
864
963
854
309
320
326
358
374
FY2022 FY2023 FY2024 FY2025 FY2026
Chart Title
VillaApartmentCare Suite
Resales activity remained robust, led by consistent growth
in care suite volumes and pricing
Resales
Average resale prices
NZD000s
Resale volumes and resale margin %
3. Capital Management
2. Business Excellence
1. Sales Performance
55
53
82
67
75
37
45
47
63
85
174
182
190
206
242
21.2%
21.5%
21.2%
20.3%
17.5%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
10.0%
11.0%
12.0%
13.0%
14.0%
15.0%
16.0%
17.0%
18.0%
19.0%
20.0%
21.0%
22.0%
23.0%
24.0%
25.0%
0
50
100
150
200
250
300
350
400
450
FY2022FY2023FY2024FY2025FY2026
VillaApartmentCare SuiteResale Margin
Record resale volumes
•Resales volumes have continued to steadily grow
since FY22 reaching over 400 in FY26. A meaningful
20% yoy uplift in resale volumes in FY26 included a
focused reduction in long-dated stock
Resale margins
•FY26 resale margins were impacted by the sell
through of long-dated stock. Margins are expected to
normalise to historical trendline as the pricing
strategy is moderated in FY27
Mixed average sales pricing
•Sales pricing reflects regional sales mix, with greater
sales outside of Auckland. Average resale pricing in
FY26 increased 1% yoy, despite regional mix and
long-dated stock pricing
402
Business Excellence
9
9,537
9,044
10,106
10,374
14,838
16,255
16,639
18,033
19,395
27,232
FY2022FY2023FY2024FY2025FY2026
Care EBITDA per occ bedCare Underlying EBITDA per occ bed incl cap gains and resale gains
Underlying EBITDA per bed including capital gains and resales gainsincreased 40% to $27.2k in FY26 up from $19.4k per bed in FY25, reflecting
the sell down of care suite stock during the year
Care Profitability
Occupancy (12 month rolling)
•Occupancy increased to 95.5%, supported by strategic
initiatives at key sites. Post divestment of 6 sites in March
26, occupancy for the 12 months rolling was 93.5%.
•EBITDA per bed (excluding capital gains) rose 43% to
$14.8k from $10.4k in FY25, reflecting the benefits of a
strong focus on disciplined operational execution
•Development margin on care suite new sales was 40%,
driven by sales at The Helier, Redwood, Meadowbank and
St Johns Wood
•The full benefit of operational efficiency initiatives will
contribute to further care earnings growth in FY27
3. Capital Management
2. Business Excellence
1. Sales Performance
Annualised EBITDA per occupied bed
92.0%
90.4%
91.1%
92.3%
92.5%
92.7%
92.0%
92.6%
94.5%
95.5%
FY2022FY2023FY2024FY2025FY2026
Group OccupancyOccupancy of sites not affected by development
10
Significant progress has been achieved with more to come throughout FY27
Right Sizing the Business
✓Improving efficiency through ongoing
automation and simplification across the
corporate office
✓Corporate office team right sized and primed
for growth with an annual staff cost reduction of
approximately 20%.
✓A refreshed Employee Value Proposition has
been launched to attract and retain purpose
driven talent
$13.2m
cost savings
achieved in FY26
Progress delivered
•Resale stock buybacks — accelerate value
realisation
•Maintenance capex — stronger planning and
controls to optimise allocation
•Refurbishment costs — reduce to targeted run
rates
Further upside remains, with selected balance sheet
items under tight focus
First strategic cycle completed
Identify
Prioritise
Execute
Reflect, Refine and Repeat
Additional Opportunities Identified
One full rotation has been completed and the
learnings have been used to sharpen the
next phase of strategic initiatives
FY27 cost and cash savings
$20.4m
cost savings
annualised in FY27
~$30m
Cost and cash savings
for FY27
3. Capital Management
2. Business Excellence
1. Sales Performance
11
1
Includes an offset for development team and sales and marketing costs directly attributable to new developments
FY26 saw a significant improvement in Free Cash flow from Operations with a return to positive free cash expected for FY27
Free Cash Flow from Operations
•Interest on core debt: Interest related to non
development borrowings, referred to asinterest on
core debt, is included in cash flow from operating
activitiesin the cash flow statement
•ORA receivables: Free cash flow is affected by the
timing of resale ORA receipts. As at 31 March 2026,
short term ORA receivables on resale units totalled
$48.5m
•Buy backs: At 31 March 2026, approximately ~$38m
of bought back long-dated stock was held, down from
~$52m at 31 March 2025 providing a positive
contribution to free cash flow from operations with
further release to come in FY27
•Transformation costs: Free Cash Flow includes
$1.9m incurred due to the enablement of the
transformation programme and $1.7m of restructure
costs in relation to roster changes at sites. If excluded
Free Cash Flow from Operations would be an outflow
of ($11.4m)
Free cash flow from operations, NZ$mFY26FY25
Cash flow from operating activities – per financial
statements
169.4110.3
Lessdevelopment ORA sales included in operating cash flow
1
(147.9)(135.7)
Add back developmentbuybacks included in operating cash flow
1.46.5
Less lease principal payments
(2.2)(1.5)
Lessmaintenance and refurbishment capex(23.3)
(21.3)
Subtotal: Free Cash Flow from Operations including one offs(2.6)(41.7)
Lessone off: GST refund on development costs(14.0)
-
Add one off: Employment related restructure costs1.6
-
Free Cash Flow from Operations excluding one offs
(15.0)(41.7)
3. Capital Management
2. Business Excellence
1. Sales Performance
Capital
Management
13
In depth site by site analysis guided divestment decisions with a number of assets sold to unlock value and enable sharp strategic focus
Divestments
3. Capital Management
2. Business Excellence
1. Sales Performance
Ensure all sites within the portfolio meet
modern standards and required returns
Geographically isolated sites within the
portfolio have limited operational
efficiency and scalability
Ensuring care services are available
at all sites is a strategic priority
across our portfolio
FY26 divestments executed - $51m of divestment proceeds
Criteria 1
Portfolio fit
Criteria 2
Location
Criteria 3
Care
WoburnTe ManaOhinemuriWhitiangaElmswoodEldonHutt Gables
33 units46 units76 units64 units36 units109 units46 units
1HY262HY262HY262HY262HY262HY262HY26
14
1.Proforma Underlying EBITDA and NPAT are non-GAAP measures and are adjusted for the impact of the closure of the Wesley Institute of Nursing Education in April 2025. A reconciliation to the reported statutory figures is included in Appendix 03
2.Normalised Underlying EBITDA and NPAT are non-GAAP measures and are adjusted for divestments and for the closure of the Wesley Institute of Nursing Education in April 2025. A reconciliation to the reported statutory figures is included in Appendix 03
FY26 saw sustained earnings improvement in the continuing business
Normalised Underlying Earnings
Normalised Underlying EBITDA and NPAT
1
Care Earnings
Corporate Costs
46%
11%
•Site rosters right sized and in
place
•Procurement savings achieving
cost savings
•Corporate Office right sized
•Cost discipline commenced in
2HY25 has continued through
FY26
Village Earnings
•Sell down of new and resale ILU
and care suite stock resulting in
increase in ongoing revenue
•Cost discipline initiatives in 2HY26
In April 2025 the Wesley Institute of Nursing Education was closed. This
function contributed $4.7m to underlying EBITDA in FY25 and minor closure
costs in FY26
7%
NZ$m
Normalised
FY26
Normalised
FY25
Aged care operations24.616.9
Retirement village operations99.993.5
Corporate segment (31.8)(35.6)
Normalised Underlying EBITDA
2
92.774.8
Normalised Underlying NPAT
2
59.442.3
3. Capital Management
2. Business Excellence
1. Sales Performance
NZ$m
FY26FY25
Proforma Underlying EBITDA
1
97.781.3
Proforma Underlying NPAT
1
64.147.8
Divestments contributed $6.5m to underlying EBITDA in FY25 and $5.1m in
FY26
15
Net debt and gearing have reduced significantly to $507m and 30.1% respectively
Balance Sheet Management
3. Capital Management
2. Business Excellence
1. Sales Performance
Net Debt (NZ$m) and Gearing
Debt facilities Facility limitDrawnHeadroom
General / corporate$185.0m$50.0m$135.0m
Development facility$315.0m$248.3m$66.7m
Retail Bonds$225.0m$225.0m-
Total limits /
borrowings
$725.0m$523.3m$201.7m
Cashn/a$16.6m$16.6m
Total net debt /
headroom
$506.7m$218.3m
Ratios
Bank
covenant
As at
FY26
As at
FY25
Net debtn/a$506.7m$628.0m
Net debt / (net debt + equity)n/a30.1%36.3%
Loan to value ratio<50%31.8%37.8%
ICR≥ 2.0x3.7x3.5x
125
100
50
450
FY26FY27FY28FY29FY30FY31
Split of funding NZ$m
Retail bonds
Bank facilities
The Board is currently considering potential options for refinance
of the OCA010 bond maturing in October 2027
$380
$555
$637
$628
$507
28.6%
36.9%
38.3%
36.3%
30.1%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
0
100
200
300
400
500
600
700
FY2022FY2023FY2024FY2025FY2026
Net DebtGearing
Development
17
Development Returns
The Helier at 74% sell down, nearing development recovery and Franklin stage 1 at 80% sell down, ahead of expectation
Franklin (Consented)
Total Villas / Apartments
164
Total Care / Dementia
81
% of units complete12.6%
Estimated full development cost (s1-8)
c.$200-$250m
Total development cost to date
1
$65m
Initial sell down sales$28m
% value recovery (of total site)10.8% - 13.5%
Further expansion (not consented)
~64 villas
The Helier Stage 1
Total Apartments
78
Total Care
32
% of units complete100%
Full development cost
1
$149m
Initial sell down sales$145m
% value recovery97%
Further expansion (not consented)
~16 apartments
•Stage 1 was completed and opened in January 2026
•Pre-sales were 48% with initial sell down and
application of stage one now at 80%
•Stage 2 development has commenced ahead of
schedule following successful initial Stage 1 sell down
•Cost of lodge and amenities delivered with Stage 1 are
expected to be cash recovered following sell down of stage
5
1
Total development cost includes: land, amenities, civil work, design and capitalised wages and interest
The Helier
Franklin Village
•Stage 1 development completed in FY24
•Sell down and application of initial ILU stock is at 74%
•20 ILU remaining to sell
•Expansion land is available for stage 2 of The Helier
offering an additional 16 large apartments to the site
18
Development activity
1
On track to complete 81 units across 3 sites in FY27, generating full recovery of development cost from sell down
Elmwood - Auckland - 30 ILU
Bream Bay - 23 ILU
Franklin (stage 2) - 28 ILU
Conversion of villas and
apartments in 2H27
New villas – completed in
2H27
FY28 Development
~80units
to be constructed throughout FY28
New villas – completed in
2H27
FY27 Development Delivery – 81 units 2H27
Planning and design underway to ensure
FY31 exit build rate of
~150units
Strategic period to FY31
1
Subject to final board approvals.
19
SiteUnits
1
Type
Franklin, Auckland
Stage 1
Stages 2
Stages 3-5, 8
Stages 6-7
31
28
111
43 | 81
Villas
Villas
Villas
Apartments| Care
Elmwood, Auckland
Stages 3-4
11 | 20Villas | Apartments
Lady Allum, Auckland
Stages 2-6
126Apartments
Bream Bay S2, Northland
23Villas
The Bayview, Tauranga78 | 40Apartments | Care
The Helier 2, Auckland16Apartments
Waterford, Auckland
63 | 60Apartments | Care
Gracelands, Hastings
61Villas
Duart, Hawkes Bay62Apartments
The development pipeline has been reviewed to assess timing of deliveries
Development Pipeline – Landbank of ~1,270 units
Construction
Consented
Planning
Complete
Further sites in early design and planning stages: Bream Bay, Northland| Stages 2+ | 107 Villas, 60 Care, Stoke, Nelson I Stage 8+ I 16 Villas
Elmwood,Auckland | Stages 5+ | 229 Apartments, Eversley, Hawkes Bay I Stage 1 I 35 Care
1
Subject to final board approvals.
Looking forward
21
Well balanced and diversified portfolio
We will continue to enhance our portfolio and are well placed to respond to market trends
Overview
•Diversified portfolio of integrated care and village sites
•Early portfolio-wide view of capital allocation, supported by successful
divestments have enhanced our portfolio
Net Tangible Assets: $1.2bn - Sites: 30, Units; 3,937
898
1,115
1,924
Care Beds
Care Suites
ILU
•Focus on cash generation from operations
•Resilient balance sheet that provides flexibility in uncertain economic
environment
•Reduced deferred maintenance
51%
Care
•80% of portfolio, care suites and ILU up from 32% at time of IPO
22
Strategic objectives
Against a backdrop of geopolitical pressures, a subdued property market, and construction cost inflation, our strategic
objectives aim to maintain momentum and drive long term success
FY27FY27-FY28FY28 & beyond
❑Further sell down unsold and bought-
back stock
❑Care operational efficiency initiatives
to achieve positive operating cash flow
❑$20.4m right sizing benefits,
annualised from year end
❑Implement $10m cash savings on top
of right sizing programme
❑Deliver 81 units across 3 development
sites
❑Resume dividend payments at 40%-60%
of free cash flow from operations
❑Improve margins and maintain corporate
overhead costs
❑Pilot homecare partnership and
expanded services at key sites
❑Progress construction and consenting
at key development sites while ensuring
acceptable gearing levels
❑Deliver year-on-year growth in free cash
flow from operations
❑Lead the sector in care quality and
resident experience
❑Deliver living well at home expanded
services and integrated care offering
❑Expand landbank in prime locations
❑Build to target rate of 150 units per annum
❑Continue review of portfolio to improve return on capital
23
Summary
•Clear execution against FY26 strategic priorities
•Record sales momentum and improved care profitability
•Significant debt reduction and stronger free cash flow trajectory
•Well balanced portfolio that we will continue to enhance
•Clear priorities and disciplined capital allocation for FY27 and beyond
•Focused on delivering positive Free Cash Flow from Operations
Q & A
Thank you
Appendices
01Income Statement
02Underlying earnings
03Proforma underlying earnings
04Balance Sheet
05Cash flow
06Resales cash flow and capital expenditure
07Care Business
08Retirement village business
09Portfolio summary
10Future development outlook
11Reconciliation of development pipeline
12Our Strategic Framework
13Sustainability
14Definition of Underlying NPAT
15Glossary
16Important notice and disclaimer
27
01
Key valuation assumptions remained largely consistent from FY25 except for minor changes to incoming prices across all typologies
Income statement
DriversFY26FY25
Investment Property
PPGR – Long Term (low-high)3.0% 3.50% 2.50% 3.50%
PPGR – Short Term (low-high)0.0%3.00% 0.5% 3.00%
Discount Rates (low-high)14.00% 20.00% 14.00% 20.00%
Average Incoming Price - Villas$697,944 $654,109
Average Incoming Price - Apartments$1,081,823 $1,080,126
Property, Plant and Equipment
Cap rate (low-high)12.00%15.00%12.25%15.00%
EBITDAR per bed (low-high, $000's)$9,145 $26,349$9,305$52,060
Average Incoming Price - Care Suites$382,923 $365,620
•Discount rate assumptions are unchanged from FY25
•Minor changes to average incoming price assumptions adopted by CBRE for villas,
apartments and care suites
Summary of income statement
NZ$mFY26FY25VarFY24
Operating revenue267.1260.6
6.6
265.5
Change in fair value of investment property32.890.2
(57.4)
60.8
Other Revenue2.74.9
(2.3)
9.2
Total Income302.6355.7
(53.1)
335.4
Operating expenses (270.4)(260.6)
(9.8)
(256.7)
Impairment of goodwill(0.1)(0.2)
0.1
(0.6)
Impairment of property, plant and equipment9.7(26.0)
35.8
(14.4)
Total Expenses
(260.8)(286.8)26.0(271.6)
Operating Profit
41.868.8(27.0)63.8
Finance costs(25.8)(20.8)
(5.0)
(16.4)
Depreciation (buildings)(15.8)(14.4)
(1.4)
(12.8)
Depreciation and amortisation (chattels and other)(7.9)(7.7)
(0.2)(6.2)
Profit before Income Tax
(7.7)25.9(33.6)28.4
Taxation benefit/(expense)7.84.6
3.3
3.1
Reported Net Profit after Tax
0.130.4(30.3)31.5
Gain on revaluation of property, plant and equipment
for the year, net of tax
75.445.829.641.2
Loss on cash flow hedges, net of tax(0.5)(1.6)1.1(2.2)
Total Comprehensive Income75.074.60.570.5
28
02
Underlying EBITDA of $97.4m for the full year period ended 31 March 2026, a 13% increase on FY25
Underlying earnings
Reconciliation of underlying adjustments
In FY25 Oceania refinanced its banking facilities which resulted in loan modification of a gain
of $5.4m. The gain and subsequent amortisation is removed from Underlying NPAT in line
with our policy to remove fair value adjustments
NZ$mFY26FY25VarFY24
Reported Net profit after tax0.130.4 (30.3)31.5
less: Change in fair value of investment property and
PPE
(32.8)(90.2)57.4(60.8)
add/(less): Fair value of loan modification1.3(5.4)6.7-
add: Impairment of goodwill0.1 0.2 (0.1)0.6
add: Impairment of PPE (9.7)26.1 (35.7)14.4
add: Gain on purchase of business assets including
associated costs
- - - 0.3
add: Loss on sale of business assets including
associated costs
7.2 0.9 6.4 0.9
add: Realised gains on resales36.9 34.8 2.1 32.5
add: Realised development margin49.0 48.3 0.6 35.4
add: Deferred tax(7.8)(4.6)(3.3)(3.1)
add: Care suite depreciation13.5 11.8 1.7 10.3
add: Holidays Act remediation3.9 - 3.9 -
add: Restructure2.1 2.1
add: Net insurance income on material damage due to
weather events
0.2 (0.2)0.4
Underlying NPAT63.7 52.5 11.2 62.1
add: Depreciation and amortisation (buildings)2.3 2.6 (0.3)2.4
add: Depreciation and amortisation (chattels,
leasehold improvements & software)
7.9 7.7 0.2 6.2
add: Finance costs23.5 23.1 0.3 11.9
Underlying EBITDA97.4 86.0 11.4 82.6
Measure
NZ$m
DescriptionFY26FY25Var
Underlying EBITDA
Underlyingearnings97.486.011.4
ProformaUnderlying
EBITDA
ExcludesWesley Institute
of Nursing
Educationearnings
97.781.316.4
NormalisedUnderlying
EBITDA
ExcludesWesley Institute
ofNursingEducation
anddivested sites
earnings
92.774.817.9
29
03
1. Including: Te Mana, Ohinemuri, Whitianga, Elmswood, Hutt Gables, Eldon, Woburn
2. No adjustment has been made in relation to acquisitions or development sites
3. Including sites in footnote 1, plus Takanini,Holmwood,Middlepark, Victoria Place, Totara Park
Normalisedunderlying earnings for FY26 of $92.7m. Adjustments include normalising for the impact of divesting 7 sites from our ongoing
operations, as well as for the closure of the Wesley Institute of NursingEducation in April 2025
Proforma and Normalised underlying earnings
Group proforma Underlying EBITDA and NPAT (FY26)
Group proforma Underlying EBITDA and NPAT (FY25)
Over the last 18 months to 31 March 2026 several sites have been divested
1,3
. The tables below show the unaudited Underlying Earnings attributed to these sites over the current and prior
comparative period. We present unaudited Proforma Underlying Earnings Before Interest, Tax, Depreciation and Amortisation, and Proforma Underlying Net Profit After Tax for both periods,
normalising for the impact ofdivesting of these sites from our ongoing operations. We have also normalisedfor the closure of the Wesley Institute of Nursing Education. Both of these measures
are Non-GAAP and unaudited.
NZ$mFY26
Wesley
Institute of
Nursing
Education
FY26 Proforma
Excluding
Divestments
Divested Sites
1
Normalised FY26
including
divestments
Aged Care Operations28.8-28.8(4.2)24.6
Retirement Village
Operations
14.8-14.8(0.2)14.6
Realised gains on
resales
36.9-36.9(0.7)36.2
Realised development
margin
49.0-49.0-49.0
Corporate(32.1)0.3(31.8)(31.8)
Underlying EBITDA
2
97.40.397.7(5.1)92.7
Underlying NPAT
2
63.70.364.1(4.6)59.4
Villa and apartment
resales
160-160(4)156
Villa and apartment
new sales
108-108-108
Care suite resales242-242(3)239
Care suite new sales93-93-93
Total sales volume603-603(7)596
NZ$mFY25
Wesley Institute of
Nursing Education
FY25 Proforma
Excluding
Divestments
Divested
Sites
3
Normalised
FY25 including
divestments
Aged Care Operations20.4
-
20.4(3.5)16.9
Retirement Village
Operations
13.2
-
13.2(0.7)12.5
Realised gains on
resales
34.8
-
34.8(2.4)32.4
Realised development
margin
48.3
-
48.348.3
Corporate(30.9)(4.7)(35.6)(35.6)
Underlying EBITDA
2
86.0(4.7)81.3(6.5)74.8
Underlying NPAT
2
52.5(4.7)47.8(5.4)42.3
Villa and apartment
resales
130
-
130(10)120
Villa and apartment
new sales
97
-
9797
Care suite resales206
-
206(11)195
Care suite new sales87
-
8787
Total sales volume520-520(21)499
30
Balance sheet
NZ$m
FY26FY25
Assets
Cash
16.67.6
Trade receivables
139.6117.8
Property, plant and equipment
884.1828.5
Derivatives
-0.7
Investment properties
2,023.01,972.0
Intangible assets
4.04.7
Right of use assets
8.79.4
Total assets
3,076.12,940.7
Liabilities
Trade, other payables and provisions
53.536.4
Deferred management fees
59.557.3
Refundable occupation right agreements
1,258.41,106.8
Borrowings
516.8627.7
Lease liabilities
10.110.6
Total liabilities
1,898.11,838.8
Equity
Contributed Equity
716.0716.0
Retained Earnings
20.97.0
Reserves
441.1378.8
Total equity
1,178.01,101.8
Net tangible assets
1,174.01,097.1
04
Total assets increased by $135.4m from 31 March 2025. Net adjusted value is $1.53 per share as at 31 March 2026
Balance sheet
•Current headroom in bank facilities (plus cash) of $218.3m.
•The NAV reflects the value of existing sites, plus the land and WIP at development
sites. As such, the present value of net development cash flows and future earnings at
development sites are excluded.
NZ$m
FY26FY25
PP&E (incl WIP)
884.1
828.5
IP & ROU Assets (incl WIP)
2,031.7
1,981.4
Sub Total
2,915.8
2,809.9
less ORA Gross Up
(1,034.1)
(913.1)
less: Adj for CBRE –Care Suites
(242.1)
(197.3)
less: Other
(14.0)
(33.6)
CBRE plus WIP
1,612.2
1,665.8
less: Net Debt
(506.7)
(628.0)
Net Adjusted Value
1,105.6
1,037.8
Shares on Issue
724.2
724.2
Net Adjusted Value per Share
$1.53
$1.43
Netadjustedvalue(“NAV”)
31
05
Operating cash flow of $169m for the 12 months to FY26 compared to $110m in FY25
Cash flow
Statement of cash flows
NZ$mFY26FY25Var
Receipts from customers198.3201.0(2.7)
Payments to suppliers and employees(250.4)(266.0)15.8
Receipts from new Occupational Rights Agreements336.2294.541.7
Payments for outgoing Occupational Rights Agreements(108.6)(106.6)(2.0)
Net goods and services tax received / (paid)7.4(1.9)9.2
Receipts from insurance proceeds0.24.7(4.4)
Interest received1.13.1(2.0)
Interest paid on general borrowings(14.2)(17.7)3.5
Interest paid in relation to right of use assets(0.7)(0.8)0.1
Net cash inflow from operating activities169.4110.359.1
Payments for property, plant and equipment and intangible
assets
(17.8)(39.8)22.0
Payments for investment property and investment property
under development
(67.6)(73.7)6.1
Proceeds from sale and / or disposal of PP&E and IP52.032.119.9
Interest Paid in relation to development borrowings(11.6)(18.5)6.9
Payments for assets held for sale0.0(0.4)0.4
Net cash outflow from investing activities(45.0)(100.3)55.3
Proceeds from borrowings64.7102.0(42.3)
Repayment of borrowings(177.1)(110.4)(66.7)
Loan refinancing fees(0.8)0.0(0.8)
Principal Payment for lease liabilities(2.2)(1.5)(0.6)
Net cash outflow from financing activities (115.4)(9.9)(105.5)
Net increase in cash and cash equivalents9.00.18.9
Net cash flows from operating activities
NZ$m
$103
$110
$169
FY24FY25FY26
+54%
32
06
1. Net Buybacks is the difference between the gross ORA payments made in relation to units bought back (and not resold) during the year and the gross ORA receipts from units resold during the year that were bought back in prior financial years
Growth in resales cash flows as portfolio matures and resells at higher price points
Reconciliation of resales cash flow and capital expenditure
Reconciliation of resales cash flow
Breakdown of Capital Expenditure
NZ$mFY26FY25
Acquisitions-8.7
Disposals--
Development capital expenditure (excluding interest)
62.1
83.3
Care Suite Conversions
-
0.2
Maintenance capital expenditure
- Care suite refurbishment
2.1
1.8
- Other aged care
5.5
4.1
- Retirement village refurbishment
9.7
11.0
- Other retirement village
3.7
2.6
- IT and other
2.3
1.8
Total refurbishment and maintenance
23.3
21.3
Total capex per statutory cash flow statement
85.4
113.5
NZ$mFY26FY25
Receipts from New ORAs
336.2 294.5
less: Payments for Outgoing ORAs
(108.6)(106.6)
less: Cash Inflow From New Sales
(149.7)(137.4)
Net resales cash flow
77.9 50.6
Made up of :
Resale Gains
36.9 35.4
DMF Realised
31.6 32.2
Add: Net Deferred Cash Settlements
(2.4)5.6
less: Development Buybacks
(1.4)(6.5)
less: Net Buybacks
13.9 (15.5)
less: Resident Share of Capital Gains
(0.6)(1.2)
less: Other Cash amounts paid/received from resales
0.00.5
Net cash flows from resales
77.9 50.6
33
07
1. Development margin and resale gains on care suites are included within the Village Segment for underlying profit and statutory reporting purposes as the ORAs are issued by Oceania Village Company Limited. As these margins are in lieu of daily premium
charges under the traditional model, these earnings are aggregated above to present a more complete picture for the Care Segment. Refer to audited Consolidated Financial Statements Note 2 for Operating Segments reporting.
Underlying EBITDA per occupied bed increased by 40% from FY25
Care business
NZ$mFY26FY25Var
Daily care fees179.8 174.1 5.7
PAC revenue8.4 7.5 0.9
Care suite DMF20.0 17.9 2.1
Other revenue1.8 1.6 0.2
Total operating revenue ($m)210.0 201.1 8.9
Staff and resident expenses(138.8)(140.2)1.4
Occupancy and site overhead expenses(42.3)(40.5)(1.8)
Total expenses(181.1)(180.7)(0.5)
Underlying EBITDA28.8 20.4 8.4
Care EBITDA per occupied bed ($)
14,838 10,374
4,463.9
Plus: Other aged care related earnings included within the Village Segment
1
Care suite development margin15.0 9.2 5.8
Care suite resale gains9.1 8.5 0.5
Care Underlying EBITDA52.9 38.2 14.7
Care Underlying EBITDA per occupied bed ($)27,232 19,395 7,837
Sites excluding development Occupied Beds 1,719 beds 1,079 beds640
Group Occupied Beds1,944 beds1,970 beds(26)
$208
$201
$210
$22
$20
$29
18.7%
19.0%
25.2%
10.5%
10.2%
13.7%
-
5%
10%
15%
20%
25%
30%
-
20
40
60
80
100
120
140
160
180
200
FY24FY25FY26
EBITDA Margin (%)
NZDm
RevenueUnderlying EBITDAEBITDA margin (cap gains incl.)EBITDA margin
34
08
Total Retirement Village UnderlyingEBITDAincreased by $4.3m and village sales volumes increased by 83 units
Retirement village business
NZ$m
FY26FY25VAR
Villa and Apartment DMF
44.2 39.5 4.7
Retirement village service fees
11.5 10.8 0.7
Other revenue
3.0 3.3 (0.2)
Total operating revenue
58.8 53.6 5.2
Realised gains on resales
36.9 34.8 2.1
Realised development margin
49.0 48.3 0.7
Total expenses
(44.0)(40.3)(3.7)
Village Underlying EBITDA
100.796.4 4.3
Total resale volume
402 33666
Total new sales volume
201 18417
Total sales volume
603 520 83
Less: Aged care related earnings included within the Village Segment
1
Care suite development margin & resale gains
(24.1)(17.8)(6.3)
Village Underlying EBITDA (excl. care)
76.6 78.6 (2.1)
Village Underlying EBITDA (NZ$m)
•DMF continues to compound, increasing from $39.5m to $44.2m from
FY25, supported by higher resale pricing, improved turnover, and a larger
mature village base
•Village earnings are stepping up materially, with Village Underlying
EBITDA rising from $96.4m to $100.7m, demonstrating stronger operating
leverage and a materially higher-quality earnings base
•FY25 was the earnings inflection point, with Village Underlying EBITDA
stepping sharply higher while DMF remained stable, signaling profit growth
is now being driven by broader village operating momentum
1. Development margin and resale gains on care suites are included within the Village Segment for underlying profit and statutory reporting purposes as the ORAs are issued by Oceania Village Company Limited. Refer to audited Consolidated Financial
Statements Note 2 for Operating Segments reporting.
78.6
83.0
84.8
96.4
100.7
FY22FY23FY24FY25FY26
35
SiteCare bedsCare suites
Villa/
Apartment
Total
NORTH ISLAND
Bream Bay8383
Eden6789156
Lady Allum12101116229
Meadowbank104193297
Remuera Rise125971
St Johns Auckland1818
The Helier3279111
The Sands4464108
Waterford150150
Atawhai523146129
Awatere90171261
Duart66066
Elderslea982512135
Elmwood159104119382
Eversley50656
Franklin443175
Gracelands7711119207
Heretaunga3820058
St Johns Wood3944184
The Bayview81156237
Wharerangi472168
Total North Island 6947541,5332,981
SiteCare bedsCare suites
Villa/
Apartment
Total
SOUTH ISLAND
Marina Cove3232
Green Gables6140101
Stoke105105
Redwood177346136
Woodlands23343693
Palm Grove285732117
The Oaks644032136
The Bellevue7168139
Addington722597
Total South Island204361391956
TOTAL (NORTH AND SOUTH
ISLANDS)
8981,1151,9243,937
09
1. 1 unit at The Helier has been converted to an activities room, available units come to 110
Asat31 March2026
Portfolio summary
36
XXX
RV units
XXX
Care
Suites
Care bedsCare suitesILUsTotal
North Island69475415332981
South Island204361391956
Total Existing8981,1151,9243,937
Development Pipeline-
2769941,270
Less Decommissions
----
Care Suite Conversions
----
Net Development Pipeline
-2769941,270
Total Post Development
8981,3912,9185,207
10
1. As at 31 March 2026
We have 1,270 units in the development pipeline that comprise a mix of care suites and independent units that are geographically spread
Future development outlook
Current& futureportfoliocomposition
1
Existingportfolio
Development pipeline
Postdevelopmentportfolio
18%
82%
3,239
Premium
698
Standard
13%
87%
4,509
Premium
698
Standard
23%
28%
49%
1,924
RV units
898
Care
Beds
1,115
Care
Suites
22%
78%
3%
38%
59%
17%
27%
56%
750
Planned
39 Under
Construction
481
Consented
2,918
RV units
898
Care
Beds
1,391
Care
Suites
994
RV units
276
Care
37
11
Reconciliation ofdevelopment pipeline
Movements in gross pipeline since FY25
1,284 Units
156 Units
63 Units
16 Units
(31) Units
(40) Units
(53) Units
(125) Units
1,270 Units
FY2025Add: ElmwoodAdd: WaterfordAdd: The HelierLess: Franklin CompletedLess: Meadowbank
completed
Less: divestments of
development sites
Other net movementsFY2026
38
12
Resident Net Promoter Score benchmark has been updated following our transition of methodology and to new provider CarePage. The benchmark is CarePage Australasian benchmark for resident NPS
This framework brings everything together - connecting purpose, pillars and performance
Our Strategic Framework
Supporting and empowering people to live well as they age
Year on Year growth in free cash flow from operations and underlying earnings
Our Purpose
Strategic Objectives
Strategic Initiatives
Mid Point - KPIs
Enablers
Values
Customer Choice
Future Development
Service Expansion
Connected Care
Seamless care and trusted
relationships
Inspired Living
Elevating lifestyle, wellbeing
and choice
Empowered People
High performing and engaged
workforce
Purposeful Impact
Sustainable growth through
innovation
Resident Net Promoter
Score > 70
Sustaining consistently
high occupancy
Employee engagement
levels > 70%
Development sell down
< 2 years (including
20% presales)
Transformation & Innovation
Clinical Governance & Quality
Sustainability & ESG
We’re one team
We’re committed to
care
We’re proud to deliver
We’re finding better
ways
39
13
Supporting and empowering people to live well as they age
Sustainability
1. The Care Resident Wellbeing Target aims to achieve continuous improvement by FY2027 in an aggregate wellbeing measure for eligible long-term care residents. The measure applies to care residents assessed through Oceania’s standard resident assessment programme and excludes short-term respite
residents. The metric reflects the proportion of assessed care residents who either improve or maintain an optimal wellbeing status between assessments. It is based on five equally weighted areas that collectively support physical, social and psychological wellbeing: connection with others, comfort,
engagement, health stability, and resident-reported wellbeing. Results are calculated at an aggregate level over the financial year. No individual resident information is reported publicly.
40
13
Supporting and empowering people to live well as they age
Sustainability continued
1. Construction waste diversion refers to the proportion of construction waste generated from Oceania’s new development projects that is diverted from landfill through reuse, recycling, repurposing or other recovery pathways. This includes waste from the construction of new retirement village units, villas and
care centres, but excludes demolition waste and minor alterations or refurbishment works under $1m.
2. Oceania did not undertake any construction or development projects outside the Auckland region during FY26
41
14
Definition of Underlying NPAT
Underlying net profit after tax ("Underlying Profit")
Underlying Profit and Underlying EBITDAare non-GAAP measures of financial performance. The
calculation of Underlying Profit and Underlying EBITDArequires a number ofestimates to be approved
by the Directors in their preparation. Both the methodology and the estimates may differ among
companies in the retirement village sector.Underlying Profit and Underlying EBITDA do not represent
cash flow generated during the period.
The Group calculates Underlying Profit and Underlying EBITDA by making the following adjustments to
reported Net Profit after Tax:
•Removing fair value adjustments for investment property assets, property, plant and equipment, held
for sale assets and financial instruments;
•Adding back impairment of goodwill;
•Add back / remove loss / gain on sale, decommissioning or purchase of assets and business assets
including associated costs and staff redundancy costs in the instance of a significant restructure or
change to the business model;
•Addback depreciation (care suites);
•Add back /remove expenditure / revenue of a non recurring nature;
•Add backDirectors' estimate of realised gains on the resale of units and care suitessold under an
ORA;
•Add back Directors' estimate of realised development margin on the first sale of new ORA units or
care suites following the developmentof an ORA unit or care suite, conversion of an existing care
bed to a care suite or conversion of a rental unit to an ORA unit;
•Add back deferred taxation component of taxation expense so that currenttax expense is reflected;
•Remove interest income;
•Add backfinance costs (includinglease interest under IFRS16 Leases but excluding fair value of
loan modification and hedge ineffectiveness);
•Add back depreciation and amortisation(including right of useproperty, plant and equipment);
•Add back current tax expense
Resale Gain
Directors’ estimate of realised gains on resales of ORA units and care suites (i.e. the difference
between the incoming residents ORA licence payment and the ORA licence payment previously
received from the outgoing resident) is calculated as the net cash flow received, and receivable, at the
point that the ORA contract becomes unconditional and has either ‘cooled off’ or where the resident is in
occupation at balance date.
Development Margin
The Directors’ estimate of realised development margin is calculated as the cash received, and
receivable, in relation to the first sale of new ORA units and care suites, at the point that the ORA
contract becomes unconditional and has either ‘cooled off’ or where the resident is in occupation at
balance date, less the development costs associated with developing the ORA units and care suites.
•Construction costs directly attributable to the relevant project, including any required infrastructure
(e.g. roading) and amenities related to the units (e.g. landscaping) as well as any demolition and site
preparation costs associated with the project. The costs are apportioned between the ORA units and
care suites, in aggregate, using estimates provided by the project quantity surveyor. The construction
costs for the individual ORA units or care suites sold are determined on a pro-rated basis using gross
floor areas of the ORA units and care suites;
•An apportionment of land valued based on the gross floor area of the ORA units and care suites
developed. The value for Brownfield development land is the estimated fair value of land at the time
a change of use occurred (from operating as a care facility or retirement village to a development
site), as assessed by an external independent valuer. Greenfield development land is valued at
historical cost; and
•Capitalised interest costs to the date of project completion apportioned using the gross floor area of
ORA units and care suites developed.
Development costs do not include:
•Construction, land (apportioned on a gross floor area basis) and interest costs associated with
common areas and amenities or any operational or administrative areas.
The Directors’ estimate of development margin for conversions of care beds to care suites and rental
units to ORAs is calculated based on the difference between the ORA licence payment received on the
settlement of sales of newly converted ORA units and care suites and the associated conversion costs.
Conversion costs comprise:
•In the case of conversion of care beds to care suites, the actual refurbishment costs incurred; and
•In the case of conversions of rental units to ORA units, the actual refurbishment costs incurred and
the fair value of the rental unit prior to conversion.
42
15
Glossary
Care Suite
A room or studio certified for the provision of care by the Ministry of Health which has been licensed
under an ORA.
DMF
Deferred Management Fees, charged under an ORA, of a maximum of 30% of the Occupation Licence
Payment, which are deducted from the refund paid to the departing resident upon resale of the unit or
care suite. These are in consideration for the right to use communal facilities etc over the entire length
of stay.
EBITDA
Earnings Before Interest, Tax, Depreciation and Amortisation
FY26
12 month audited financial year
FY25
12 month audited financial year
1HY26
6 month unaudited interim period
1HY25
6 month unaudited interim period
ILU
Independent living units (villas and apartments) licensed under an ORA.
IP
Investment Property.
IPO
Initial Public Offering (of shares in Oceania).
NPAT
Net Profit After Tax
ORA
An occupation right agreement that confers on a resident the right to occupy a unit or care suite subject
to certain terms and conditions set out in the agreement.
PAC
Premium accommodation charge on a care bed for accommodation provided above the mandated
minimum.
PPE
Property, Plant and Equipment.
PPGR
Property Price Growth Rate.
Resale Margin
Resale gain, as included in the definition of underlying profit, divided by the ORA licence payment
previously received from the outgoing resident.
Unit
Includes independent villas and apartments.
WIP
Work in progress.
43
16
Important notice and disclaimer
This presentation has been prepared solely by Oceania Healthcare Limited ("Oceania"). You
must read this disclaimer before making any use of this presentation and the accompanying
material or any information contained in it ("Document").
The presentation includes non-GAAP financial measures for development sales and resales
which assist the reader with understanding the volumes of units settled during the period and
the impact that development sales and resales during the period had on occupancy as at the
end of the period.
The addition of totals and subtotal within tables and percentage movements may differ due to
rounding.
The information set out in this Document is an overview and does not contain all information
necessary to make an investment decision. It is intended to constitute a summary of certain
information relating to the performance of Oceania for the period ending 31 March 2026.
Please refer to the Consolidated Financial Statements for the period ended 31 March 2026
that have been released along with this presentation.
The information in this presentation does not purport to be a complete description of Oceania.
In making investment decisions, investors must rely on their own examination of Oceania,
including the merits and risks involved. Investors should consult their own legal, tax and/or
financial advisors in connection with any acquisition of financial products.
The information contained in this presentation has been prepared in good faith by Oceania.
No representation or warranty, expressed or implied, is made to the accuracy, adequacy or
reliability of any statements, estimates or opinions or other information contained in this
presentation, any of which may change without notice. To the maximum extent permitted by
law, Oceania, its directors, officers, employees and agents disclaim all liability and
responsibility (including without limitation any liability arising from fault or negligence on the
part of Oceania, its directors, officers, employees and agents) for any direct or indirect loss or
damage which may be suffered by any person through the use of or reliance on anything
contained in, or omitted from, this presentation.
This presentation is not a product disclosure statement, prospectus, investment statement or
disclosure document, or an offer of shares for subscription, or sale, in any jurisdiction.
Receipt of this Document and/or attendance at this presentation constitutes acceptance of the
terms set out above in this disclaimer.
---
Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)
Audited financial statements accompany this announcement.
Results for announcement to the market
Name of issuer Oceania Healthcare Limited
Reporting Period 12 months to 31 March 2026
Previous Reporting Period 12 months to 31 March 2025
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$267,139 3%
Total Revenue $267,139 3%
Underlying earnings before
interest, tax, depreciation
and amortisation
$97,414 13%
Net profit/(loss) from
continuing operations
$119 (100%)
Total Comprehensive
Income
$75,018 1%
Interim/Final Dividend
Amount per Quoted Equity
Security
NA
Imputed amount per Quoted
Equity Security
NA
Record Date NA
Dividend Payment Date NA
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security (in
dollars and cents per
security)
$1.62 $1.51
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
Please refer to attached documents (consolidated financial
statements and annual report, media release and results
presentation).
Authority for this announcement
Name of person
authorised
to make this announcement
Sarah Miller
Contact person for this
announcement
Sarah Miller
Contact phone number 0800 333 002
Contact email address Sarah.Miller@oceaniahealthcare.co.nz
Date of release through MAP
22 May 2026
---
Focused
delivery
Annual Report 2026
Leaner, sharper, and fully energised,
Oceania is no longer just preparing for
the future – we are delivering it now.
Elizabeth Coutts
Chair
Suzanne Dvorak
Chief Executive Officer
This report covers the financial year ended 31 March 2026 and is
dated 22 May 2026. The report has been approved by the Board
and is signed on behalf of Oceania Healthcare Limited by Elizabeth
Coutts, Board Chair, and Suzanne Dvorak, Chief Executive Officer.
Contents
02A year in review
03Trading highlights
04Letter from the Chair
07Letter from the CEO
11Our Strategy
12Our Strategic Framework
13Our performance against strategic pillars
13 / Connected care
15 / Inspired living
17 / Empowered people
19 / Purposeful impact
21Our Values
22Our Material Impacts
23How we create value
25Our Board of Directors
30Three year summary
30Proforma underlying earnings
31Consolidated financial statements
67Independent auditor’s report
69Remuneration report
79Corporate Governance
85Risk management
88Climate report
01
Oceania Annual Report 2026
A year
in review
From Ruakākā in the north to Riccarton in
the south, we create places where older
New Zealanders can live with purpose,
dignity and connection.
Existing sites with
mature operations
Sites with active or
planned development
Total sites
Sites
2010
30
Care beds and care suitesUnits
2,0131,924
StaffResidents
~2,200~3,900
02
Oceania Annual Report 2026
Performance Highlights
Trading
highlights
Financial
Operational
Developments
ESG
Total assets
higher than 31 March 2025
total assets of $2.94bn
4.6%
20.2%64%
1.0%
Strategic KPI targeting
Proforma Underlying Earnings
Before Interest, Tax, Depreciation
and Amortisation
$
9 7. 7 m
Units and care suites expected to be completed in FY2027
• Franklin stage 2 (Auckland)
• Elmwood (Auckland)
• Bream Bay (Whangārei)
81
Units and care suites completed in FY2026
• Franklin stage 1 (Auckland)
• Meadowbank stage 6 (Auckland)
71
+33
70%
$
3.1bn
$
75.0m
$
(1 5 . 0 m)
93.5
%
ahead of 31 March 2025 earnings
Before Interest, Tax, Depreciation
and Amortisation of $81.3m
Reported Total
Comprehensive Income
compared to 31 March 2025
reported total comprehensive
income of $74.6m
Free Cash Flow from Operations
compared to 31 March 2025
Free cash flow from
Operations of ($41.7m)
lower than occupancy for
the year to 31 March 2025
of 94.5%
(excluding development sites and divestments)
Employee
Engagement
Resident NPS (+/-100)
New methodology and
inclusion of Villages residents
and Care residents in FY26
Total sales
GHG emissions (t CO2e)
(market based)
2,515
Compared to 31 March 2025
scope 1+2 emissions of 3,151
Scope 1 + 2
higher than total sales for the
year to 31 March 2025 of 520
16%
93242
603
108160
Construction waste diverted from landfill
90.5
%
N/A
Compared to 31 March 2025 construction
waste diverted from landfill of 85.1%
Oceania did not undertake any
construction or development projects
outside the Auckland region during FY26
Auckland
Non-Auckland
New care suites
Resale
care suites
Care Occupancy
New unitsResale units
03
Oceania Annual Report 2026
03
For the 12 months to 31 March 2026
Record Results
Delivered.
Elizabeth Coutts
– Chair
I am pleased to present Oceania Healthcare’s Annual
Report for the year ended 31 March 2026.
Oceania has delivered record results with total assets reaching
$3.1b and Proforma Underlying Net Profit After Tax
1
up 34% on
pcp. Against another year of a subdued residential property
market, sales execution improved across new developments
and resales, operating costs reduced, and debt is down due to
operational improvements and further divestments. Franklin
Village in Auckland, the retirement industry's first Green Star 4
Community and the specialist dementia care at the Ōrākei
Building at Meadowbank both opened and welcomed new
residents, and The Helier reached 74% independent living
apartments sold or under application.
Financial Performance
Proforma Underlying EBITDA
1
increased to $97.7m up 20% on
FY25 and Proforma Underlying Net Profit After Tax
1
was $64.1m,
up 34% on FY25. The improved FY26 financial performance
benefited from continued execution of targeted cost out and
capital management initiatives, and the further refinement of the
portfolio to larger integrated villages with a mix of both aged care
and retirement units.
Free Cash Flow from Operations
1
was an outflow of $15.0m
improving 64% on FY25, driven by stronger sales conversion,
improved operating margins and disciplined working capital
management. These results reflect operational discipline and a
cash-focused business, which is on track for operations to be
free cash flow positive in FY27.
Total assets increased to $3.1b, up $135.4m on FY25, while net
tangible assets rose to $1.62 per share, a 7.3% increase, reflecting
the completion of stage 1 of Franklin Village and the Ōrākei
Building at Meadowbank, partly offset by the divestment of
seven smaller sites which released $51.1m of divestment proceeds.
Oceania’s gearing ratio reduced to 30.1% down from 36.3% at
31 March 2025 and is now at the lower end of Oceania’s target
range of 30% to 35%. Capital allocation will remain a key priority
for the Board as we consider investment opportunities and
continue to develop and refine our property portfolio.
As part of this, the Board is currently considering potential options
for refinance of the OCA010 bond maturing in October 2027. This
would maintain funding diversification across bank and capital
markets and support continued execution of the development
pipeline. Any issuance will remain subject to market conditions
and final Board approval.
1. Underlying NPAT, Underlying EBITDA and Free Cash Flow from Operations are non-GAAP measures. A reconciliation of Reported NPAT to Underlying NPAT and Underlying EBITDA is included in Note 2.1 of the Annual Financial
Statements. Proforma Underlying NPAT and Proforma Underlying EBITDA are adjusted for the impact of the closure of the Wesley Institute of Nursing Education in April 2025. A reconciliation is included in note 2.1 of the Annual Report.
Gearing
30.1%
With a target range of 30%-35%
04
Oceania Annual Report 2026
Letter from the Chair
Dividend
Oceania’s dividend policy is to pay out between 40% and 60%
of Free Cash Flow from Operations (excluding development cash
flows). Having considered Free Cash Flow from Operations for
the period alongside Oceania's capital priorities and debt level,
the Board has determined that no dividend will be declared for
FY26. The Board remains committed to resuming dividends as
cash generation builds.
Sustainability
Oceania continued to embed sustainability as part of long-term
value creation during FY26. The Board views sustainability not as
a standalone workstream, but as part of responsible stewardship
across capital allocation, development, operations, people and
resident outcomes.
The Board approved the Sustainability Policy, which sets out
Oceania's commitments across environmental, workforce,
financial, service and community, and clarifies governance
accountability for sustainability outcomes across the Group.
The Board also approved revised key performance indicators for
Oceania's Sustainability-Linked Loan, including a new Homestar
measure from FY28, strengthening the link between financing,
governance and sustainability outcomes through to FY30.
Following the government's 2025 decision to narrow the
New Zealand climate-related disclosures regime, and the
Financial Markets Authority's no-action approach for affected
entities pending legislative change, the Board has chosen to
continue climate and sustainability disclosure in a reduced form
within this Annual Report. This preserves transparency and
accountability and recognises that sustainability considerations
remain relevant to long-term value creation.
Risk Oversight
The Board reviews Oceania’s risk management framework six
monthly and the management plans for critical risks. Each key
risk plan includes a description and assessment of the risk, risk
appetite and tolerance settings, lead and lag indicators and
mitigation plans.
There were no changes to the risks during the year, although the
residual risk of climate change reduced through climate scenario
testing and the embedding of climate initiatives in business plans.
The Board undertook detailed risk reviews this year on cyber risk,
including cyber training, and business resilience. The Board also
undertook deep dives into business transformation, procurement
and The Bayview village, Tauranga performance.
The Board oversaw continued enhancement of clinical governance,
including strengthening clinical and care leadership, improving
resident and family feedback processes, and developing earlier
warning and higher-risk reporting tools to support greater visibility
and earlier intervention. Health and safety systems also improved
with the rollout of Safety Hub, a digital platform that enables
frontline teams to report hazards and safety issues in real time,
supporting earlier resolution and stronger oversight.
The Board remained closely engaged with the business throughout
the year. Directors visited our care centres and villages separately
and as a Board, meeting residents, families and frontline teams
to hear and observe first hand the lived experience of those we
serve and to strengthen our understanding of the operational
realities and risks.
Since year end, the Board has continued to closely monitor
the impact of geopolitical uncertainty heightened by the US
and Israel-led conflict with Iran, oil price volatility, fuel supply
constraints and inflationary pressures on the business.
Sales application activity has remained resilient, supported by
our care-led offering and continued demand from needs-based
residents. We will continue to closely monitor demand trends and
market conditions.
Construction costs are increasing. However, our current
development programme is modest in scale and weighted toward
villas and refurbishments and is subject to fixed price contracts.
We have flexibility to adjust should market conditions require.
Oceania Annual Report 2026 /
05
Letter from the Chair
“Oceania continued to embed sustainability as
part of long-term value creation during FY26.”
Elizabeth Coutts – Chair
Board Committees
Following the Board’s annual performance review, the Board
agreed that reducing the number of Board Committees would
support more efficient governance. Accordingly, on 31 March 2026,
the Board resolved to merge the Risk Committee into the Audit
Committee and to transfer the responsibilities of the Sustainability
Committee to the Board. As a consequence Dame Kerry
Prendergast joined the Audit and Risk Committee.
Board Succession
The Board commenced a succession process earlier this year given
there are a number of directors with longer tenures. As a part of
the process, the Board considered the mix of skills and experience
required which is set out in “Our Board of Directors” section of this
Annual Report. The Board will ensure the skills level is maintained
and appropriate and there is a smooth transition as we undertake
the succession process.
Sarah Ottrey was appointed a non-executive director on
5 February 2026. Sarah is a highly experienced director with
extensive experience in marketing and commercial leadership and
has joined the Clinical and Health and Safety Committee and the
People and Culture Committee.
Sally Evans will retire on 30 July 2026. The Board thanks Sally for
her valuable contribution, particularly her strong advocacy for
residents and their experiences.
Following these changes, the Board will remain at six directors.
$$
3.08bn
Total Assets
Looking Ahead
Demand for quality retirement living and aged care is strong and is
expected to grow as New Zealand’s population ages, while supply
remains constrained across many markets.
Oceania’s diversified portfolio across aged care and retirement
villages means it is well placed to provide quality aged care and
retirement living for future needs. Its integrated care model and
development capability differentiate it in a market where quality
of care and capital discipline matter.
We look forward to the recommendations from the Aged Care
Ministerial Advisory Group, which we anticipate will recognise
the need for a more sustainable funding framework to support
capacity, quality and future investment. Oceania welcomes this
and will continue to engage constructively as the work progresses.
The Board's focus will remain on supporting management to deliver
against Oceania's strategic priorities and at the same time ensure
discipline on earnings quality and cash generation is maintained.
We acknowledge and are grateful for the efforts and contribution
of our people and thank our residents and their families and
shareholders for their continued trust and support.
Yours sincerely,
Elizabeth Coutts
Chair
Oceania Annual Report 2026 /
06
Letter from the Chair
FY26 was a defining year for Oceania.
Across our villages and care centres, our teams continued to do
what matters most, supporting residents to live well as they age,
with dignity, connection and the care they need. That work is at
the heart of Oceania and gives meaning to everything else we do.
The long-term outlook for our sector remains strong. Demand for
high-quality care and retirement living continues to exceed supply
in key markets. At the same time, housing market conditions have
made it harder for many prospective retirement residents to sell
their family homes, slowing sales decisions across the sector.
Against that backdrop, our teams delivered on the priorities we
set at the beginning of the year. We lifted sales, improved cost
performance and continued reshaping the portfolio toward a more
balanced mix of aged care and retirement living. The result is a
stronger, more disciplined business, better placed for the current
cycle and ready to benefit as conditions improve.
What stood out most was the way our people responded to a
challenging market and the pace of change across the business.
Their commitment to care, focus on delivery, and willingness to
find better ways were evident throughout the year. The progress
we have made in strengthening our culture, leadership, and ways
of working gives me real confidence as we enter FY27.
Sales Momentum
From the outset of FY26, we prioritised lifting sales cadence
and reducing unsold stock. We finished the year with stronger
momentum across the portfolio and improved execution at
The Helier, Meadowbank and Franklin Village.
Sales volumes rose to 603 for the year, up 16% on FY25, with
improved performance across both new sales and resales. At
The Helier, sold down or under application independent living
apartments reached 74%, with development value recovery
including interest expense now at 97%. At Meadowbank, 65%
of the 40 care suites delivered in 1H26 are now occupied or
under application.
At Franklin Village, 31 villas were delivered in January 2026, with
48% pre-sold, exceeding our 20% pre-sales strategic target. 80%
of our villas are now sold down or under application. Strong early
demand at Franklin Village also supported the commencement of
Stage 2, comprising 28 villas scheduled for completion in FY27.
Unsold development stock reduced by 34%, from $342m at
FY25 to $227m at FY26, a net reduction of $115m released
through disciplined sell-down even as we added 71 new units
to the portfolio.
The priority in FY27 is to build on this progress by strengthening
pricing discipline and reducing reliance on sales incentives,
so that sales performance translates more effectively into
margin and cash.
07
Oceania Annual Report 2026
“We have not only improved performance but also gained clearer insight into
where the business can do better and where the next gains will come from.”
Suzanne Dvorak – Chief Executive Officer
Focused
Execution.
Letter from the CEO
Franklin Village,
Auckland
1. Care Underlying EBITDA per occupied bed including capital gains and resales gains
08
Oceania Annual Report 2026 /Letter from the CEO
↑9.2%
increase in new sales volumes
increase in resales
↑19.6%
including resale stock buybacks, maintenance capex,
refurbishment spend and working capital discipline. This brings
the total cost and cash savings in FY27 to $17.2m, i.e. ~$30m on
an annualised basis. This phase will require sharper execution to
translate progress into cash.
Portfolio Reshaping and Development
We continued to make good progress reshaping Oceania’s
portfolio, further strengthening the business and improving
its position in a challenging market.
Over recent years, that work has transformed Oceania from a
50-site, predominantly aged-care-led portfolio in FY17 into a
more diversified business of 30 integrated care and village sites,
with a much higher proportion of residents under occupation
right agreements. ~80% of our portfolio is now offered under
ORA compared to 32% in FY17.
Business Excellence
Business excellence remained a major focus through FY26, with
strong progress across both care and village operations. Better
occupancy, sharper rostering and tighter day-to-day execution
lifted performance across the portfolio.
Village Underlying EBITDA was $100.7m (up 4.4% on FY25) and
Care Underlying EBITDA was $28.8m (up 41% on FY25), with Care
EBITDA per bed
1
up 40% to $27k. This stronger result reflects
consistent site-level execution and the quality of care delivered
every day.
Oceania delivered $13.2m cost savings in FY26. A further $7.2m
of cost savings has been identified for FY27 by strengthening
operational discipline and returns which will deliver an annualised
benefit of $20.4m in FY27. We have now identified ~$10m of cash
realisation in FY27 through tighter balance sheet management,
09
Oceania Annual Report 2026 /Letter from the CEO
During the year, we divested seven sites – Ohinemuri, Whitianga,
Te Mana, Elmswood, Eldon, Hutt Gables and Woburn. These sales
have aligned the portfolio to future demand, improved capital
efficiency and strengthened the balance sheet.
Together with stronger sales, stock sell-down and cost savings,
these actions reduced net debt by $121m to $507m, with gearing
reducing to 30.1% at the lower end of our target range. Headroom
across our debt facilities now exceeds $200m, providing
meaningful flexibility to support the business.
Capital is increasingly directed toward assets and locations
where returns are strongest. Alongside divestment, we saw
encouraging delivery across the development portfolio – outcomes
already reflected in the sales progress at The Helier and Franklin.
These results give us confidence that Oceania now has the
processes, execution discipline and sales capability in place to
bring developments to market, sell them down effectively and
do so at a development cash return.
Looking forward, we are taking a measured approach to future
development. In FY27 we expect to deliver 81 units across three
sites: 30 villa and apartment conversions at Elmwood, Auckland,
23 new villas at Bream Bay and 28 new villas at Franklin Stage 2.
The villa weighting in our near-term programme provides flexibility
to adjust delivery timing if construction cost pressures emerge.
Beyond FY27, our consented and planned pipeline supports a
progressive return to our target delivery rate of between 100
to 150 units per annum over the coming years.
“Our refreshed purpose –
Supporting and empowering people to live well as they age – is the anchor for our next strategic phase.”
Care and Resident Experience
Care is what defines Oceania, and in FY26 we made meaningful
progress in strengthening the way care is delivered across the
business. That progress was led by our people, by the clinical
teams, nurse practitioners, care teams and village teams who
support residents and families every day.
Building on the foundations established in FY25, we took
important steps toward a more integrated and directly
managed care model. A key milestone was the opening of
Oceania Healthcare Centre, our in-house healthcare service
that gives residents direct access to nurse practitioner-led care.
This enables us to provide timely, consistent and person-centred
care directly to residents. Bringing primary care in-house improves
continuity, strengthens clinical oversight and removes a key point
of friction for residents and families.
At Meadowbank, the opening of the Ōrākei Building
added premium specialist dementia care and completed
a more connected care continuum within the village, from
independent living through to specialist care.
Together, these advances strengthen Oceania’s care offering at a
time when residents and families increasingly expect care that is
connected, responsive and easier to navigate.
70%
10
Oceania Annual Report 2026 /Letter from the CEO
Our People
During FY26, we continued to build the culture and capability
needed to support stronger execution, including the launch of
our Employee Value Proposition, Making the Difference, and
embedding of our refreshed values: We’re one team, We’re
committed to care, We’re proud to deliver and We’re finding
better ways.
Employee engagement reached 70% in our first Culture Amp
survey, in line with our strategic target. We also strengthened
organisational capability through leadership changes, simpler
accountability and better people systems.
The resilience of our people was evident in the response to a cyber
security incident affecting a third-party platform. The speed
and coordination of that response reflected the capability and
commitment of our teams and the kind of organisation we are
continuing to build.
Looking Ahead
FY27 is about action and refinement. Building on what FY26
taught us, we are applying those lessons with greater precision
across the business.
Across our strategic priorities, we will remain focused in the
short term on sharper sales execution, continued stock sell-
down, tighter cost and capital management, and stronger
operating performance across both care and village. The culture
and capability we have built through FY26 will be important to
delivering that agenda, with our teams continuing to bring care,
discipline and focus to the work ahead.
We will continue to focus on the key cash levers that improve the
conversion of earnings into cash. As cash generation strengthens,
this will support the planned recommencement of dividend
payments, targeted at 40% to 60% of operating free cash flow.
Over the medium term, we will keep broadening customer choice,
expand services thoughtfully (including piloting home care at
four key sites) and progress future development carefully so that
Oceania is well positioned as conditions improve.
The business enters FY27 in a stronger position, and I look forward
to building on the progress made in FY26.
I want to give a heartfelt thanks to our residents, their families, our
dedicated teams and the Board. We couldn’t do it without you all.
Suzanne Dvorak
Chief Executive Officer
Employee engagement
11
Oceania Annual Report 2026
11
Our Strategy.
OUR
PURPOSE
STRATEGIC OBJECTIVES
STRATEGIC PILLARS
MID-POINT KPIs
ENABLERS
VALUES
Connected Care
Seamless care and
trusted relationships.
Inspired Living
Elevating lifestyle,
wellbeing and choice.
Empowered People
High performing and
engaged workplace.
Purposeful Impact
Sustainable growth
through innovation.
Year on year growth in free cash flow and underlying earnings.
Supporting and empowering people to live well as they age.
We’re one team
We’re committed
to care
We’re proud
to deliver
We’re finding
better ways
Transformation & Innovation
Clinical Governance & Quality
Sustainability & ESG
Customer Choice
1
Service Expansion
2
Future Development
3
Employee
engagement levels
↑
70%
Development selldown
<2 years (including
20% presales)
Sustaining
consistently high
occupancy
HIGH
Resident Net
Promoter Score
↑
70
12
Our Strategic
Framework
2027–2031
This framework brings everything together –
connecting purpose, pillars and performance.
At Oceania, everything we do comes back to our purpose:
supporting and empowering people to live well as they age.
Our strategy for 2027–2031 sets a clear direction for how we
will achieve this. It brings together our purpose, our goals and
the actions of every person across our organisation into a single,
connected framework.
Our three strategic objectives – Customer Choice, Service
Expansion and Future Development - reflect where we are focused
on growing and improving. These are supported by four pillars that
guide how we work: Connected Care, Inspired Living, Empowered
People and Purposeful Impact.
Underpinning all of this are three enablers – Transformation &
Innovation, Clinical Governance & Quality, and Sustainability &
ESG – which incorporates our sustainability framework, guiding
us as we create sustainable retirement and aged care living
experiences for today, and for our people of tomorrow. Values
define how we show up every day: we're one team, we're committed
to care, we're proud to deliver, and we're finding better ways.
Our mid-point measure of success is simple: year on year growth in
free cash flow and underlying earnings, alongside strong resident
and employee outcomes.
This guides us in how we will grow - with purpose, with discipline,
and with the people we serve at the centre of everything.
FASTER
Oceania Annual Report 2026 /
12
Our Strategy
For older New Zealanders, ageing well depends on more than
good care. It depends on feeling at home, staying connected to
the people who matter, and knowing that support will be there
when it is needed - without having to start again somewhere new.
Connected Care is Oceania’s commitment to making that possible.
It brings lifestyle, health and care together as a single, continuous
experience rather than separate services residents move between,
reducing disruption at every transition.
Relationships sit at the heart of this. Oceania’s nurse practitioner
model, couples care suites and integrated village design all point
toward a model where trusted people and places remain constant
as needs change.
Technology is there to support the care through tools like the
Oceania Together App, but it is the continuity of connection that
defines the experience.
Year in review
FY26 marked the first year of Oceania's refreshed strategy,
with Connected Care taking shape through early steps in
clinical leadership, care continuity and digital connection.
• Completed Meadowbank’s integrated continuum from
independent living through to rest home, hospital and specialist
dementia care, supporting more seamless transitions as resident
needs change.
• Progressed our service expansion model, preparing pilots across
The Helier, Meadowbank, Lady Allum and The Sands, and
advancing nurse practitioner services for village residents at
The Bayview, Meadowbank and The Helier.
• Continued clinical system improvements, including development
of an early warning and high-risk dashboard, a strengthened
clinical and care structure, and an enterprise feedback
framework to improve visibility, escalation and response
for resident and family concerns.
• Strong infection prevention management and certification
outcomes including four-year certifications at Elmwood and
Palm Grove and a three-year certification for The Acorn Building
at The Oaks.
• Established Oceania’s first Cultural Advisory Group to
strengthen cultural responsiveness for Māori and Pacific
residents, employees and communities.
• During the year, we partnered with Carepage to refresh our
Resident NPS methodology and benchmark. The revised
methodology now captures feedback from both care and
village residents, and establishes a new Australasian benchmark
of +36, giving us a more comprehensive basis for measuring
resident experience.
Connected
Care
Delivering seamless transitions across
lifestyle, health, and care, strengthened by
trusted relationships with family, whānau and
community, and supported by smart technology.
SUSTAINABILITY ASPIRATION We enable our residents to live a sustainable and fulfilled life.
SUSTAINABILITY GOALS Prioritise resident wellbeing through conscious design and exceptional services. Actively
engage with our residents, people and local community to create positive social and
environmental outcomes.
RESIDENT SATISFACTION (NPS)
FY26
+33
CARE RESIDENT WELLBEING
1
FY24
78.9%
FY25
78.0%
FY26
79.5%
Number of care residents who improve or maintain
an optimal level of health. FY27 Target: 78.93%
New methodology and inclusion of Village
residents and Care residents in FY26
HOMESTAR 7 CERTIFICATION
FY24
FY25
FY26
New ILUs designed and built to Homestar 7
1. The Care Resident Wellbeing Target aims to achieve continuous improvement by FY2027 in an aggregate
wellbeing measure for eligible long-term care residents. The measure applies to care residents assessed
through Oceania’s standard resident assessment programme and excludes short-term respite residents.
The metric reflects the proportion of assessed care residents who either improve or maintain an optimal
wellbeing status between assessments. It is based on five equally weighted areas that collectively support
physical, social and psychological wellbeing: connection with others, comfort, engagement, health stability,
and resident-reported wellbeing. Results are calculated at an aggregate level over the financial year. No
individual resident information is reported publicly.
Oceania Annual Report 2026 /
13
Our Strategic Pillars
When Franklin Village opened its doors in January 2026, residents
moved into more than a new home. They moved into a community
designed from the outset to support healthier, more connected
and more sustainable living.
Franklin is Oceania’s first greenfield broadacre development,
giving us the opportunity to plan care, lifestyle, community and
sustainability together from day one. The homes delivered to date
have been designed to Homestar 7 v5, while the wider village
has achieved the retirement village industry's first Green Star 4
Community rating for the build completed to date.
This is an important milestone, and it is only the beginning. As
we continue to build out the site, we are targeting a Green Star
5 Community.
DESIGNED AROUND CONNECTION
Connection is central to wellbeing, and Franklin has been planned
to make everyday interaction easy. The village encourages
connection between neighbours, visiting friends and whānau,
and the wider community.
The Lodge sits at the heart of Franklin as the place where
community life happens. It provides spaces for residents to gather,
relax and build relationships, alongside fitness and wellness
amenities including a gym and pool. Walkways encourage
movement and encounters, while the decision to replace one
villa with a resident workshop and communal garden reflects the
importance placed on shared spaces that bring people together.
Connected Care: built in from
day one at Franklin Village
HOMES THAT SUPPORT INDEPENDENCE
A well-designed home does more than provide shelter. Designed
to Homestar 7 v5 standards, the villas are highly insulated, with
high-performance ventilation. This makes them warmer and drier,
supporting residents to stay healthier and more independent
for longer.
The homes are designed to deliver around 40% improvement in
heating and cooling demand compared to a standard Building
Code compliant home and are estimated to produce around 50%
fewer carbon emissions than an average home.
A VILLAGE THAT RESPONDS AS NEEDS CHANGE
At Franklin, Connected Care is not a service layered on later. It is
built into the daily rhythm of the village. The combination of place,
relationships and support allows people to age with confidence,
staying in the community they have built, with care coming to
them as needs evolve, rather than having to relocate.
THE BLUEPRINT FOR WHAT COMES NEXT
Franklin Village shows what is possible when care, community
and sustainability are planned together from the beginning.
Designed to Homestar 7 v5, recognised as our first ever Green
Star 4 Community for the build to date, and continuing toward
a Green Star 5 Community as the site develops, Franklin sets
a new benchmark for how Oceania can create villages that
support people, place and the environment.
The learnings from Franklin will help shape the way Oceania
approaches future developments and village renewals, ensuring
Connected Care and sustainable design remain built in
from day one.
Oceania Annual Report 2026 /
14
Our Strategic Pillars
For older New Zealanders, later life should be more than
comfortable. It should be rich with purpose, connection and
choice, lived in environments designed to bring out the best in
every day.
Inspired Living is Oceania’s commitment to making that possible.
It means creating villages that go beyond accommodation –
places where thoughtful design, relevant amenities and tailored
wellbeing services come together to support the whole person.
That means attending to the details that shape daily life: the
quality of light in a living space, the garden where residents grow
their own food, the cinema where neighbours become friends.
When those details are right, later life does not feel like a retreat
from living. It feels like a continuation of it.
Year in review
FY26 saw Oceania continue to invest in the environments and
experiences that make village life genuinely enriching, with
new openings, award recognition and a sharper focus on
resident-led priorities.
• Won the Property Council New Zealand Excellence Award for
Retirement Living and Aged Care for Awatere Village, recognising
the redevelopment as a benchmark for community-centred
design in the sector.
• Opened the Ōrākei Building at Meadowbank, adding
premium specialist dementia care and completing a more
seamless care continuum within the village through dementia-
friendly design, homelike shared spaces, secure gardens and
energy-efficient features.
• Continued to build demand for premium, design-led living with
Franklin Stage 1 opening to its first residents in January 2026
Elevating the ageing experience through
thoughtful environments and tailored wellbeing
services that support the whole person.
Inspired
Living
CONSTRUCTION WASTE
1
FY24
79.0%
FY25
85.1%
FY26
90.5%
FY27 target 80%
(diverted from landfill)
WATER USE
FY24
347m
3
FY25
323m
3
FY26
239m
3
(000s)
OPERATIONAL
WASTE
FY24
FY25
FY26
17.4%
20.7%
22.0%
% operational waste
diverted from landfill
SUSTAINABILITY ASPIRATION We use resources sustainably to build homes that seamlessly integrate with, and benefit,
the local community.
SUSTAINABILITY GOALS Design with a focus on the local environment, community needs and cultural values of each
location. Minimise our environmental impact and support a circular economy.
AUCKLAND
FY24
62.9%
FY25
79.8%
FY26
2
N/A
FY27 target 60%
(diverted from landfill)
NON-AUCKLAND
GREEN STAR
COMMUNITIES
FY26
FIRST GREEN STAR 4
VILLAGE CERTIFIED
AT FRANKLIN VILLAGE.
TARGETING GREEN STAR 5
1. Construction waste diversion refers to the proportion of construction waste generated from Oceania’s new
development projects that is diverted from landfill through reuse, recycling, repurposing or other recovery
pathways. This includes waste from the construction of new retirement village units, villas and care centres,
but excludes demolition waste and minor alterations or refurbishment works under $1m.2. Oceania did not undertake any construction or development projects outside the Auckland region during FY26.
supported by open days, local engagement and strong
sales momentum.
• Used resident feedback to directly shape the living experience,
with Village AGMs highlighting maintenance, landscaping and
refurbishment priorities and informing amenity planning and
asset management decisions.
• This year, we designed and tested a resident survey to
hear directly from residents and their families about their
experience of life in our villages and care centres, helping us
better understand what matters most to them. The successful
trial supported the launch of the survey and will enable more
responsive, resident-led improvements through site-based
continuous improvement plans to be rolled out during FY27.
• Progressed place-based amenity and repurposing initiatives,
including cottage and apartment conversion work at Elmwood,
helping align the portfolio more closely to contemporary resident
expectations while reusing existing assets.
Oceania Annual Report 2026 /
15
Our Strategic Pillars
When Awatere Village won the Property Council New Zealand
Excellence Award for Retirement Living and Aged Care this
financial year, it was recognition not just of what the village looks
like, but of how it supports residents to live. The learnings from
Awatere will drive the way Oceania develops going forward.
When Oceania set out to redevelop Awatere in Hamilton, the
brief was to create a community, where the design, amenities
and shared spaces would give residents the conditions to live
well, stay connected and feel genuinely at home.
DESIGNED AROUND DAILY LIFE
Awatere's 171 apartments sit within a village planned around
how people spend their time. Edible gardens and walking tracks
encourage residents outdoors, while a bar, cinema and library
create the spaces where neighbours become friends. The
community centre anchors the village, with flexible indoor and
outdoor spaces for both quiet use and organised events.
The buildings are designed to let the village's surroundings in.
Floor-to-ceiling windows bring in natural light, and the layout
weaves garden spaces throughout the village. The riverside
setting is part of everyday life, not just a backdrop.
A COMMUNITY, NOT JUST A DEVELOPMENT
What distinguishes Awatere is how everything works together. It is
deliberately boutique, large enough to support a variety of interest
groups and a full range of amenities, yet small enough for a
community to naturally form.
Inspired Living: the new
benchmark at Awatere Village
Residents describe the atmosphere as immediately welcoming.
For many, the transition from a family home to apartment living
requires adjustment. The community at Awatere makes that
adjustment feel like a different, often richer, way of living.
CARE WHEN IT IS NEEDED
At Awatere, care is woven into the village rather than bolted
on. Residents in independent living apartments have access to
a weekly wellness clinic with a registered nurse, with a nurse
practitioner available on site five times a week. Care suites are
available for those who need rest home or hospital level support,
with additional care coming to the resident rather than the
resident having to move.
This continuity, from independent living through to full
care, means Awatere can be home for the long term, not
a temporary arrangement.
THE LEARNINGS THAT WILL DRIVE WHAT COMES NEXT
Awatere shows what Inspired Living means in practice: thoughtful
design, genuine community and integrated services coming
together to make later life not just comfortable, but worth
looking forward to.
The learnings from this development will drive the way Oceania
develops across new builds and village renewals going forward.
Oceania Annual Report 2026 /
16
Our Strategic Pillars
For Oceania’s residents, outstanding care depends on the people
who deliver it. It depends on teams who are skilled, supported and
trusted, and on a culture where everyone feels empowered to act
in the interest of the people they care for.
Empowered People is about building that culture across the
organisation. When people feel genuinely supported and trusted,
they deliver better care, make better decisions and create stronger
communities for residents to live in.
Leadership is central to that.
When leaders at every level are clear in their purpose, visible in
their accountability and genuinely invested in their teams, the
right decisions get made.
Year in review
FY26 was a year of structural and cultural investment, with
Oceania strengthening its operating model, leadership capacity
and people systems while setting a new baseline for engagement.
• Embedded a leaner operating model and delivered
annualised savings.
• Strengthened leadership capacity through key executive and
regional appointments, additional frontline support roles, and
a simpler site leadership model with clearer accountability.
• Co-created and launched a refreshed Employee Value
Proposition – Making the Difference – and values through
workshops, surveys and town halls, with staff invited to shape
the final proposition and internal messaging centred on
recognition, connection, growth and leadership.
• Delivered Humanforce HRIS across the organisation and
launched Culture Amp, giving managers better workforce
visibility, self-service and more consistent people processes.
• Progressed workforce optimisation, a longer-term collective
agreement, and further roster redesign at key sites.
• Strengthened health and safety culture through Safety Hub, the
Critical Risk Framework, accredited training for more than 90
representatives, and improved hazard and near-miss reporting.
• Set a new engagement baseline, with 65% participation in the
first Culture Amp survey and an engagement score of 70%, in
line with our strategic target.
Empowered
People
Supporting a dedicated, high performing
workforce to deliver outstanding care and
experiences, backed by strong leadership
and a culture aligned to our purpose.
EMPLOYEE ENGAGEMENT LEVEL
FY26
70%
Strategic target of 70%
SUSTAINABILITY ASPIRATION We are an employer of choice.
SUSTAINABILITY GOALS Attract, grow and retain great people. Provide a safe, diverse, equitable and inclusive
workplace that fosters our people’s development and capability.
FY24
67.0 %
FY25
7 7.4 %
FY26
71.6%
FY24
69.0%
FY25
7 7.5 %
FY26
72.2%
EMPLOYEE RETENTION
ALL EMPLOYEESCLINICAL EMPLOYEES
GENDER DIVERSITY
CEO-3
FY24
52.0%
FY25
79.0%
FY26
82.9%
% FEMALE
Oceania Annual Report 2026 /
17
Our Strategic Pillars
When 70% of Oceania's people told us in their first Culture
Amp survey that they are engaged in their work, in line with
our strategic target, it confirmed what the year's operating
performance had already begun to show. The cultural shift
Oceania set out to deliver is taking hold.
That result, drawn from a 65% participation rate across the
organisation, is the new baseline against which Empowered
People will be measured. It is also the proof point that earns
the right to talk about the work behind it.
STARTING WITH LISTENING
Oceania's refreshed Employee Value Proposition (EVP) and values
were not designed in a boardroom. They were built from what
staff said mattered, through surveys, workshops and town halls
that gave people across every site and every role the chance to
contribute directly. The final proposition reflects what they told us.
MAKING THE DIFFERENCE
The result is an EVP built around a simple idea: every role at
Oceania, whether in care, hospitality, support or leadership,
contributes to retirement and care experiences that genuinely
transform lives.
Empowered People: the cultural
foundation behind FY26's performance
FOUR VALUES, ONE CULTURE
Underpinning the EVP are four values that describe how Oceania's
people work together: We're one team. We're committed to care.
We're proud to deliver. We're finding better ways.
Together they shape the way people work, the way they treat each
other, and the way they deliver for residents.
VALUES THAT WORK
The values are now embedded into the Culture Amp engagement
survey, linked to a refreshed recognition programme, and
incorporated into Oceania's Code of Values and Conduct. The job
ahead is to make sure they are consistently reflected in everyday
behaviours, decisions and experiences across every site.
THE LINK TO RESIDENT EXPERIENCE
The real measure of the EVP is not how widely it is distributed.
It is whether people feel it in how they work.
When staff feel genuinely connected to a shared purpose, that
shows up in the care they deliver, the decisions they make and the
communities they help residents build. That is the link between an
empowered workforce and a better resident experience and it is
why the engagement result matters beyond the HR function.
Empowered People is the cultural foundation behind everything
Oceania delivered in FY26 – the operating performance, the care
quality, the resident experience. The 70% engagement baseline is
where the next chapter starts.
Oceania Annual Report 2026 /
18
Our Strategic Pillars
For Oceania, sustainable growth means more than financial
returns. It means building communities, making investment
decisions and driving operational improvement in ways that
create lasting value — for residents, for shareholders and for
the places Oceania operates in.
Purposeful Impact is how Oceania turns that ambition into action.
It means making considered investment and operational decisions
that create the headroom to grow, back the right partnerships and
embed sustainability into long-term planning.
That thinking shows up in how Oceania approaches development.
Early design decisions create value not just for residents but for
the wider communities and environments Oceania builds in.
Year in review
FY26 marked a year of disciplined repositioning, with Oceania
strengthening its financial foundations while continuing to invest
in innovation and sustainability.
• Embedded operational improvement across procurement,
labour efficiency, technology and cost management.
• Progressed capital recycling, with 7 divestments settled
during the year, reducing debt and creating capacity for
future growth investment.
• Launched revised dividend policy focused on free operating
cash flow.
• Successfully renewed the $500m sustainability-linked loan
through to FY30, extending the construction KPI to include
Homestar – and achieved all three SPTs (GHG emissions
reduction, construction waste diversion and care resident
wellbeing) in FY26.
2
• Demonstrated social and environmental value through local
innovation, with Eversley receiving both the Sustainability Award
and overall Excellence in Care Award at the ACA Excellence in
Care Awards for Aroha Adventures, a toy recycling initiative that
reduces landfill while enhancing resident wellbeing.
• The Bayview’s nurse practitioners are now opening their services
to the wider community, expanding access to high-quality,
locally delivered clinical care and delivering a meaningful social
benefit through improved community health and support.
• Franklin Stage 1 is performing strongly against our Development
KPI of achieving selldown of development within less than
two years, including a 20% presales target. Since opening in
January, Franklin Stage 1 is already 80% sold down or under
application, with 48% achieved through presales, significantly
outperforming the KPI benchmark.
Purposeful
Impact
Building long-term, sustainable growth
through innovation, operational excellence,
and investments that create social and
environmental value.
SCOPE 1 AND 2 GHG EMISSIONS (tCO2e)NUMBER OF UNITS BUILT
FY24
-20%
FY24
3,560
FY24
87
FY24
95
FY25
-29%
FY25
3,152
FY25
106
FY25
118
FY26FY30 TARGET
-42%
-44%
FY26
2,515
FY26
40
FY26
31
Reduce absolute scope 1 and 2 emissions by 42% by FY30, below a FY22 base year
(market based emissions)
SUSTAINABILITY ASPIRATION We integrate sustainability into our thinking, strategy and growth initiatives.
SUSTAINABILITY GOALS Adopt a long term value focus when making investment decisions and allocating capital.
Reduce our GHG emissions in line with our science based target and integrate climate
resilience into our business.
INDEPENDENT LIVINGTARGET tCO2e (MARKET BASED)CARE UNITSREDUCTION AGAINST FY22 BASE YEAR
1
1. See the Greenhouse Gas section from page 99 onwards for more detail on calculations, methodology
and emissions breakdown.2. EY has provided limited assurance against the annual performance of the SLL metrics.
Oceania Annual Report 2026 /
19
Our Strategic Pillars
At Franklin Village, an early decision to invest in resilient
infrastructure has become a feature of the village, one
that protects residents, supports neighbouring land and
strengthens the wider catchment. It is a clear example of how
considered development creates value that extends well beyond
financial returns.
Before development began, severe weather flooded the site,
with water moving across the land and carrying debris, including
produce washed in from surrounding farms. This highlighted
the need for a stormwater solution that worked not only for
the village, but for the local area as well.
DESIGNED FOR LONG-TERM RESILIENCE
In response, Oceania designed a stormwater management wetland
that fits seamlessly into the village's overall design. The wetland
captures, slows and manages stormwater flows during heavy
rainfall, vastly improving the site's resilience, and demonstrating
the kind of early investment that protects the development through
the cycles ahead.
VALUE BEYOND THE SITE BOUNDARY
The benefits extend beyond Oceania's boundary. By managing
stormwater before it leaves the site, the wetland reduces
downstream pressure during wet weather. Slower flows
reduce erosion and sediment movement, helping protect
neighbouring waterways.
Native wetland planting blends the pond into the surrounding
landscape, improving biodiversity and creating habitat for local
fauna. Over time, it will support a richer ecosystem, providing
shelter and food for birds, insects and other species while
strengthening the character of the village.
A LASTING LOCAL ASSET
Under the site's Environmental Management Plan, the pond and
wetland plantings are actively maintained to support healthy
plant establishment, stormwater performance and ongoing
ecological function.
In partnership with local iwi, the pond was named Karamū
(Coprosma robusta), a name that reflects growth, regeneration
and vitality. It is a fitting name for a space that supports
environmental restoration, resilience and wellbeing.
CONSIDERED DEVELOPMENT, COMPOUNDING VALUE
Franklin Village reflects the kind of growth Oceania is prioritising:
development that performs over the long term, with resilience,
sustainability and operational practicality built in from the outset.
As Oceania's first greenfield broadacre community, Franklin
had the opportunity to embed that thinking into the site from
the beginning.
Purposeful Impact: resilient development
in practice at Franklin Village
Karamū shows how Purposeful Impact turns a site challenge into
shared value. More than a stormwater asset, it is a core part of the
village, an early investment that protects the development through
resilient infrastructure and strengthens environmental outcomes for
residents, the neighbouring catchment and the wider Franklin area.
Karamū is what considered development looks like in practice:
early investment decisions that compound in value, for residents,
for the environment and for the long-term performance of
the asset.
Oceania Annual Report 2026 /
20
Our Strategic Pillars
Making the Difference
"Join people who are passionate
about making the difference
in every task, every challenge,
every day.
We work together, look out for
each other, and take genuine
pride in what we deliver.
Here, your expertise becomes
part of something bigger,
creating retirement and care
experiences that help our
residents live well as they age."
We're one team
Across teams and functions we collaborate to deliver
the best outcomes. Together we're stronger than any
individual effort.
We're committed to care
We put safety and care at the centre of everything we do.
We notice and act to create environments where everyone
feels looked after.
We're proud to deliver
Every task, every day matters.
We follow through on our commitments because our
residents and families count on us to get it right.
We're finding better ways
We believe there's always a better way.
We look beyond the obvious, find creative solutions, and
deliver results that make a real difference.
Our ValuesOur Employee Value Proposition
Our Values
A strong culture and engaged workforce underpin
consistent delivery, and will drive sustainable
performance and investor value.
21
Oceania Annual Report 2026 /Our Strategy
21
Our Material
Impacts
As part of our ongoing commitment to transparency and
accountability, we have reviewed and refreshed our material
topics for FY26 – strengthening how they are embedded across
our strategy, risk management and reporting, and ensuring
we remain focused on what matters most to our residents,
our people, our communities and our investors.
This refresh builds on our FY23 review, which aligned our material
topics to Global Reporting Initiative (GRI) standards. The FY26
process drew on independent external benchmarking, internal
topic validation, stakeholder engagement and peer disclosure
analysis, considering impacts across the aged care, healthcare
and real estate sectors alongside Oceania’s own operations
and geographic context.
Topics were assessed for their financial significance and their
effects on people, the environment and the economy. Findings
were validated through workshops, interviews and surveys
involving Board members, executives, employees, suppliers,
residents, investors and iwi representatives. The outcome is
a refinement of our existing topics, providing a clearer basis
for performance monitoring and reporting. The topic set was
approved by the Board and will continue to evolve as our
business and external environment change.
Material TopicDescription
Climate Change
Managing our greenhouse gas emissions and the physical and transition risks climate
change presents to our operations and residents.
Waste, Water and Energy Impact
Responsible use and management of natural resources across our operations
and developments.
Sustainable Building Design and Biodiversity Impact
Planning, building and managing assets to reduce environmental impact and
enhance resident wellbeing.
Resident Wellbeing
Quality, safe and accessible care that supports the physical, mental and social
wellbeing of our residents.
Employee Practice and Wellbeing
Attracting, developing and retaining a capable, engaged and resilient workforce.
Community and Social Impact
Our relationships with and impact on residents’ whānau, local communities and iwi.
Sustainable Supply Chain
Managing environmental, social and ethical risks across our procurement and
contractor relationships.
Digital Technology, Cyber Security and Data Privacy
Safe and effective use of digital systems and data to support efficient,
resilient operations.
Governance, Ethics and Trust
Governance and accountability structures that support ethical conduct, compliance
and long-term value.
Oceania Annual Report 2026 /
22
Our Strategy
Our
value
creation
model
Value at Oceania is built on
the strength of our people, the
quality of our assets, and the
depth of our relationships –
all directed toward one goal:
helping our residents live well.
Our value creation model
reflects how we bring this to life.
It shows the range of resources
– our ‘capitals’ – that we draw
on, and how these flow through
our strategic pillars to create
outcomes that matter for our
residents, our people, our
communities and our investors.
Our material impacts
Shaping how we prioritise and direct our resources
Our Strategic Pillars
Connected Care
Seamless care and trusted relationships.
Inspired Living
Elevating lifestyle, wellbeing and choice.
Empowered People
High performing and engaged workplace.
Purposeful Impact
Sustainable growth through innovation.
The value we create flows through to the people
and places that matter most. Each outcome
reflects our commitment to building a stronger,
more connected Oceania – for our residents,
our people, our communities and our investors.
Our Purpose
Supporting and
empowering
people to live
well as they age.
Our team
Our people are our greatest asset. Their
dedication and expertise drive our ability to
enrich the lives of our residents daily and
deliver outstanding care.
Our expertise
We use resident insights to drive innovation and
remain at the forefront of retirement and aged
care living and seek to invest in global best
practices, systems and processes, including
our nurse led model of care.
Our retirement villages and
care centres
We are dedicated to developing high quality,
environmentally sustainable villages, equipped
with quality amenities.
Our relationships
We are a people business. Building strong
relationships with our residents, their families,
our people, suppliers and stakeholders, is
pivotal to everything we do.
Our natural capital
We recognise the environment’s fundamental
role in shaping and sustaining our retirement and
aged care villages and communities. By adopting
sustainable practices, we are committed to
minimising our environmental impact.
Our financial capital
We employ a combination of shareholder funds,
banking facilities and operating cash flow to
maintain and grow our business.
Our Capitals
Oceania Annual Report 2026 /
23
Our Strategy
Our Material ImpactsThe Value for our StakeholdersAspirational Value Outcomes
• Climate Change
• Waste, Water and Energy Impact
• Sustainable Building Design and Biodiversity Impact
• Resident Wellbeing
• Employee Practice and Wellbeing
• Community and Social Impact
• Sustainable Supply Chain
• Digital Technology, Cyber Security and Data Privacy
• Governance, Ethics and Trust
Our investors
Oceania focuses on the financial performance
of its assets and is committed to long term
sustainable growth.
Our team
We grow and develop our team members through
fostering an inclusive culture and training. By doing
so, we enable teams to deliver exceptional services
and improved resident focused experiences.
Our residents
We create vibrant and enjoyable retirement and
aged care living experiences for our residents.
Our society
We seek to create thriving community hubs.
Our retirement villages and care centres go
beyond being residences, as they foster a sense of
belonging and togetherness in the local community.
Our industry
We participate in and advocate for industry wide
issues, to support better outcomes for NZ’s ageing
communities and the people who care for them.
Our environment
We establish more resilient communities for our
ageing population and by adopting sustainable
practices and minimising our negative impact we
not only reduce our environmental footprint, but
aspire to create opportunities for regeneration.
Oceania’s villages are a driving
force of thriving communities
around New Zealand. We
use resources sustainably to
build homes that seamlessly
integrate with, and benefit,
the local community.
Residents thrive in our
hospitality inspired, resident-
led villages. We enable our
residents to live a sustainable
and fulfilled life.
As an employer of choice we
enable our teams to perform
their best work at Oceania.
We create long term value for
our stakeholders by integrating
sustainability into our thinking,
strategy and growth initiatives.
Oceania Annual Report 2026 /
24
Our Strategy
Our Board
of Directors.
25
Oceania Annual Report 2026
25
Liz Coutts has been a Director and Chair of Oceania
since 5 November 2014. Liz is also the Chair of EBOS
Group Limited and 2degrees Group Limited. Liz is
a Fellow of Chartered Accountants Australia and
New Zealand, a past President of the Institute of Directors
in New Zealand Inc. and was made an Officer of the
New Zealand Order of Merit (ONZM) in 2016.
Liz has previously been Chief Executive of Caxton Group,
and Chair and/or director of a number of public and
private companies and entities over the last 25 years
including Skellerup Holdings Limited, Life Pharmacy
Limited, Industrial Research, Public Trust, Sanford,
Ravensdown Fertiliser Cooperative, the Health Funding
Authority, Pharmac, Air New Zealand, Sport and
Recreation New Zealand. She has been a Commissioner
of both the Commerce Commission and Earthquake
Commission and a member of both the Financial Reporting
Standards Board of the New Zealand Institute of Chartered
Accountants and the Monetary Policy Committee of the
Reserve Bank of New Zealand.
Liz is a member of all Board Committees.
Alan Isaac has been a Director of Oceania since
1 October 2015. Alan is a professional director with
extensive experience in accounting, finance and
governance. He is the past President of the Institute
of Directors NZ Inc. and is Chairman of New Zealand
Community Trust and Basin Reserve Trust. He is a
former President of the International Cricket Council.
Alan is a Director of Skellerup Holdings Limited, and
Community Gaming Alliance GP Limited. He is also a
Trustee of Wellington Free Ambulance and the Wellington
Cricket Trust and Foundation. In April 2024 Alan was
appointed to the Special Division of the NZ Markets
Disciplinary Tribunal.
Alan is a former national Chairman of KPMG and was
made a Companion of the New Zealand Order of Merit
(CNZM) in 2013. He is a Fellow of Chartered Accountants
Australia and New Zealand and a Distinguished Fellow
of the Institute of Directors in New Zealand.
Alan is Chair of the Audit and Risk Committee and
a member of the People and Culture Committee.
Dame Kerry Prendergast has been a Director of Oceania
since 22 December 2016. She was Mayor of Wellington
(2001-2010) and is currently the Chair of Wellington Free
Ambulance, Wellington Opera, Royal New Zealand Ballet,
Tourism Industry Association, Capital Kiwi, Tiaki Wai
Oversight Committee and the Audit and Risk Committee
of Tauranga City Council. Dame Kerry is also a trustee
of New Zealand Community Trust and the Wellington
International Arts Foundation and a director of Fish Serve.
For 25 years Dame Kerry was an independent midwife
after training as a general nurse in 1970, and subsequently
gained a Diploma in Intensive Care. She was made a
Companion of the New Zealand Order of Merit (CNZM)
in 2011 and was promoted to Dame Companion of the
New Zealand Order of Merit in January 2019 for services
to governance and the community.
Dame Kerry is Chair of the Clinical and Health
& Safety Committee and a member of the
Audit and Risk Committee.
Elizabeth Coutts
Chair and Independent Director
ONZM, BMS, FCA
Alan Isaac
Independent Director
CNZM, BCA, FCA
Dame Kerry Prendergast
Independent Director
DNZM, CNZM, MBA (VUW), NZRN, NZM
Strategic
Leadership
Core Strengths
Climate
Markets & Customers
Building & Maintaining Relationships
Capital Structure & Management
Executive Leadership
Australian Experience Delivering Sustainable Growth
Property Development & Management
Oceania Annual Report 2026 /
26
Our Board of Directors
Sally Evans has been a Director of Oceania since
23 March 2018. Sally has over 30 years’ experience in
the private, government and social enterprise sectors
in Australia, New Zealand, the United Kingdom and
Hong Kong.
Sally is a Director of Healius Limited in Australia, Allianz
Australia Life Insurance Limited (and related companies),
DPG Services Pty Limited, DAC Finance Pty Limited,
Principal Healthcare Finance Pty Limited and Blue Cross
Community Care Services Group Pty Limited. She has
previously held Directorships on the boards of Ingenia
Retirement Communities, Opal Specialist Aged Care and
Blue Cross Aged Care. Sally was an inaugural member
of the Australian Federal Government’s Aged Care
Financing Authority and an Advisory Council member
of the Australian regulator, the Aged Care Quality and
Safety Commission. Sally’s prior executive roles include
Investment Manager, Aged Care at AMP Capital.
Sally is a member of the Clinical and Health &
Safety Committee and was previously Chair
of the Sustainability Committee.
Rob Hamilton has been a Director of Oceania since
17 September 2021. He is a respected member of the
capital markets and finance community in New Zealand,
with more than 30 years’ experience in senior executive
roles. Rob is currently a Director of Westpac New Zealand
Limited, Tourism Holdings Limited, Mercury NZ Limited
and other New Zealand based companies and is Chair
of the Auckland Grammar School Foundation Trust.
Rob was previously Chief Financial Officer at SkyCity
Entertainment Group Limited and a Managing Director
and Head of Investment Banking at Jarden (formerly
First NZ Capital).
Rob was also previously a member of the Auckland
Grammar School Board of Trustees and a Board
member on the New Zealand Olympic Committee.
Rob is Chair of the People and Culture Committee
and is a member of the Audit and Risk Committee.
Sarah Ottrey has been a Director of Oceania since
5 February 2026. Sarah is a Chartered Fellow of
the Institute of Directors in New Zealand Inc. and
has extensive marketing and commercial leadership
experience locally and internationally from prior executive
roles, which include Unilever and DB Breweries/Heineken.
She has previously held Directorships on the boards of
EBOS Group Limited, Public Trust, Blue Sky Meats (NZ)
Limited and was a member of the Inland Revenue Risk
Assurance Committee and Otago Southland Institute
of Directors.
Sarah is currently the Chair of Christchurch International
Airport Limited and Whitestone Cheese Limited and is a
Director of Skyline Enterprises Limited and Mount Cook
Alpine Salmon Limited. Sarah is also the NZ Member of
the APEC Business Advisory Council, and member of the
New Zealand China Business Council and NZTE NZ Story
Reference Group.
Sarah is a member of the People and Culture Committee
and Clinical and Health & Safety Committee.
Rob Hamilton
Independent Director
BSc, BCom
Sarah Ottrey
Independent Director
BCom, CFInstD
Greg Tomlinson has been a Director of Oceania since
23 March 2018.
Greg is a Christchurch domiciled businessman and
investor with experience in a variety of New Zealand
industries. One of the original pioneers of the aquaculture
industry in Marlborough, he has also established
construction and aged care businesses.
Greg established Qualcare before it was sold into the
Oceania Group in early 2008 and he was a director of
Oceania from 2008 until 2016. Greg holds directorships
on the boards of a number of New Zealand based
companies and is currently Chair of Heartland Group
Holdings Limited. Greg has been appointed as an advisor
to TAB/Entain, the New Zealand Thoroughbred Racing Inc.
and the Minister for Racing.
Greg is Chair of the Development Committee.
Gregory Tomlinson
Independent Director
AME
Core Strengths
Climate
Markets & Customers
Building & Maintaining Relationships
Capital Structure & Management
Executive Leadership
Australian Experience Delivering Sustainable Growth
Property Development & Management
Sally Evans
Independent Director
BHSc, MSc, FAICD, GAIST
Oceania Annual Report 2026 /
27
Our Board of Directors
Core Strengths Climate
Markets & Customers
Building & Maintaining Relationships
7/ 7
Climate
• Undertaken climate response training and understand climate risks.
7/ 7Customer Advocacy
• Experience and understanding of sales, marketing and brand strategy
and practices.
7/ 7
Aged Care, Hospitality,
Customer Service Market Experience
• Experience and understanding (either at Board, leadership or senior consulting
level) of the dynamics of the international and/or domestic aged care,
hospitality and customer services markets, and opportunities and challenges
within those markets.
7/ 7
Government Relationships
• An understanding of the functioning of Government and experience
developing and maintaining a constructive relationship and interactions
with Government and regulators.
7/ 7
Shareholder/Investment
Community Relationships
• Experience in and understanding of shareholder and investment
community concerns and developing constructive relationships.
Our Board Skill Set
7/ 7
Governance
• Commitment to the highest standards of governance.
• Board experience (NZX 50 or equivalent) or experience as an advisor to boards
for at least 5 years.
• An ability to assess effectiveness of senior management.
5/7Finance and accounting
• Senior executive or board experience in financial accounting and reporting,
corporate finance and internal controls.
• Understanding of business and property valuation principles and their
implications on the financial performance and position.
7/ 7Risk management
• Developing and overseeing an appropriate risk framework and culture.
• Experience evaluating and managing financial and non-financial risks.
6/7Capital markets and structure
• Experience with equity and debt markets, capital structuring and
investment analysis.
7/ 7Regulatory knowledge and experience
• An understanding of the regulatory environment in which we operate and
the role that plays in ensuring sustainable custodianship of our assets and
providing benefit to our customers.
6/7Human resources
• Familiarity with people and best practice development and performance structures.
7/ 7Health and safety
• Experience and understanding of health and safety and wellbeing requirements.
Oceania Annual Report 2026 /
28
Our Board of Directors
4/7Clinical Experience
• Experience and understanding of the clinical requirements of the healthcare
sector at a governance, leadership and/ or practitioner level.
Executive Leadership
Australian Experience
Delivering Sustainable Growth
Property Development & Management
7/ 7
Executive Leadership
• Experience in a senior executive leadership position in a large organisation.
5/7Australian Experience
• Experience and understanding (either at Board, leadership or senior consulting
level) of business in Australia.
6/7Capital Structure & Management
• Experience with a range of capital structures and management of capital
within an organisation.
Capital Structure & Management
7/ 7
Growth
• A track record of developing and implementing a successful and sustainable
strategy of growth in business.
7/ 7Strategy
• Ability to think strategically and assess strategic options and business plans.
7/ 7Operational Leverage
• Experience in leading or advising organisational change and creating value for
the benefit of customers and shareholders.
7/ 7
Business Model & Technological Disruption
• Understanding of differing business models and the potential for disruptive
models and practices to impact customers and the supply chain.
• Understanding of the opportunities and risks provided by
technology development.
Our Board Skill Set cont.
Oceania Annual Report 2026 /
29
Our Board of Directors
Property Development &
Management
• Experience as an investor, leader or adviser in the property
development market.
• Experience as an investor, leader or adviser in the property
management industry.
3/7
Financial Metrics
$NZm
March 26
12 Months
March 25
12 Months
March 24
12 Months
Total Comprehensive Income75.074.670.5
Profit for the Year 0.130.431.5
Total Assets 3,076.12,940.72,782.3
Operating Cash Flow 169.4110.3103.4
Underlying Metrics
$NZm
March 26
12 Months
March 25
12 Months
March 24
12 Months
Underlying Net Profit after Tax 63.752.562.1
Underlying EBITDA
1
97.486.082.6
Proforma Underlying Net Profit after Tax
2
64.147.855.2
Proforma Underlying EBITDA
2
97.781.375.8
Operating Metrics
March 26
12 Months
March 25
12 Months
March 24
12 Months
Units1,9242,0031,915
Care Suites1,1151,0901,071
Care Beds8981,0681,396
Total3,9374,1614,382
New Sales201184157
Resales402336319
Total603520476
Occupancy93%92%91%
Occupancy (excluding development sites) 96%95%93%
Three year summary
FOR THE YEAR ENDED 31 MARCH 2026
Proforma Underlying Earnings
FOR THE YEAR ENDED 31 MARCH 2026
With changes to the certification pathways for overseas nurses introduced in 2025, a decision was
made during the year ended 31 March 2025 to close the Wesley Institute of Nursing Education. The
final course was run in April 2025. We show here the Underlying Earnings attributed to this business
unit over the current and prior comparative periods.
We present Proforma Underlying EBITDA and Underlying Net Profit After Tax for both periods,
normalising for the impact of closing this operation from our ongoing operations.
$NZ000’sFY2026
Wesley Institute
of
Nursing
Education
Proforma
FY2026FY2025
Wesley Institute
of
Nursing
Education
Proforma
FY2025
Care28,846-28,84620,440-20,440
Village100,713-100,71396,432-96,432
Other(32,145)333(31,812)(30,871)(4,714)(35,585)
Group underlying EBITDA97,41433397,74786,001(4,714)81,287
Group underlying net profit after tax63,74033364,07352,536(4,714)47,822
1 This is a non-GAAP measure, refer to note 2.1 in the consolidated annual financial statements for further details.
2 Proforma amounts represent earnings adjusted for the closure of the Wesley Institute of Nursing Education which
ceased trading in the period. Refer to Note 1.3 for further details.
30
Oceania Annual Report 2026
Consolidated financial
statements.
32Consolidated Statement of Comprehensive Income
32Consolidated Balance Sheet
33Consolidated Statement of Changes in Equity
33Consolidated Cash Flow Statement
34Notes to the Consolidated Financial Statements
Oceania Annual Report 2026
31
Consolidated Statement of Comprehensive Income
FOR THE YEAR ENDED 31 MARCH 2026
Consolidated Balance Sheet
AS AT 31 MARCH 2026
The above Consolidated Balance Sheet should be read in conjunction with the accompanying notes.The above Consolidated Statement of Comprehensive Income should be read in conjunction with the accompanying notes.
The Board of Directors of the Company authorised these consolidated financial statements for issue on 22 May 2026.
For and on behalf of the Board
Elizabeth Coutts Alan Isaac
Chair Director
$NZ000’sNotesMarch 26March 25
Revenue
1
2.2267,139260,572
Change in fair value of investment property
3.132,80790,170
Other income
2.32,6804,938
Total income302,626355,680
Employee benefits and other staff costs
2.4180,561178,370
Holidays Act Remediation
1.3, 2.44,635-
Depreciation (buildings and care suites)
2.4, 3.2, 3.415,83614,402
Depreciation and amortisation
(chattels, leasehold improvements and software)
2.4, 3.2, 3.4,
5.2
7,9117,746
(Reversal of Impairment)/Impairment of property, plant and equipment
2.4, 3.2(9,735)26,011
Impairment of held for sale assets-14
Impairment of goodwill
2.4, 5.295198
Finance costs
2.425,79620,833
Other expenses
2.485,23782,252
Total expenses
1
310,336329,826
(Loss)/Profit before income tax(7,710)25,854
Income tax benefit
5.17,8294,561
Profit for the year11930,415
Other comprehensive income
Items that will not be subsequently reclassified to profit or loss
Gain on revaluation of property, plant and equipment for the year, net of tax
3.2, 5.175,40345,794
Items that may be subsequently reclassified to profit or loss
(Loss) on cash flow hedges, net of tax(504)(1,645)
Other comprehensive income for the year, net of tax74,89944,149
Total comprehensive income for the year attributable to shareholders of
the parent75,01874,564
Basic earnings per share (cents per share)
4.20.04.2
Diluted earnings per share (cents per share)
4.20.04.2
$NZ000’sNotesMarch 26March 25
Assets
Cash and cash equivalents 16,587 7,589
Trade and other receivables
5.3139,606117,791
Derivative financial instruments
5.6 35 735
Investment property
3.12,023,007 1,972,033
Property, plant and equipment
3.2884,117 828,486
Right of use assets
3.4 8,706 9,341
Intangible assets
5.2 4,009 4,713
Total assets3,076,0672,940,688
Liabilities
Trade and other payables
5.453,46536,445
Deferred management fee
3.3 59,451 57,279
Refundable occupation right agreements
3.3 1,258,407 1,106,813
Lease liabilities
3.4 10,053 10,558
Borrowings
4.3 516,758 627,748
Deferred tax liabilities
5.1--
Total liabilities1,898,1341,838,843
Net assets1,177,9331,101,845
Equity
Contributed equity
4.1715,960715,960
Retained earnings20,8856,999
Reserves441,088378,886
Total equity1,177,9331,101,845
1 March 26 includes revenue of nil, operating expenses of $0.6m, and a loss for the period of $0.6m in relation to the Wesley Institute of
Nursing Education (March 2025: revenue of $7.9m, operating expenses of $3.2m, and profit for the period of $4.7m).
32
Consolidated financial statements Oceania Annual Report 2026 /
Consolidated Statement of Changes in Equity
FOR THE YEAR ENDED 31 MARCH 2026
Consolidated Cash Flow Statement
FOR THE YEAR ENDED 31 MARCH 2026
$NZ000’sNotes
Contributed
equity
Retained
earnings
Asset
revaluation
reserve
Cash flow
hedge
reserve
Total
equity
Balance as at 31 March 2024 715,960 (34,264) 342,561 2,199 1,026,456
Profit for the year-30,415--30,415
Other comprehensive income
Revaluation of cash flow hedge net of tax---(1,645)(1,645)
Revaluation of assets net of tax
3.2, 5.1--45,794-45,794
Transfer of assets revaluation reserve to
retained earnings net of tax-10,023(10,023)--
Total comprehensive income-40,43835,771(1,645)74,564
Transactions with owners
Employee share scheme
4.1-825--825
Total transactions with owners-825--825
Balance as at 31 March 2025715,960 6,999 378,332 5541,101,845
Profit for the year-119--119
Other comprehensive income
Revaluation of cash flow hedge net of tax---(504)(504)
Revaluation of assets net of tax
3.2, 5.1--75,403-75,403
Transfer of assets revaluation reserve to
retained earnings net of tax-12,697(12,697)--
Total comprehensive income-12,81662,706(504)75,018
Employee share scheme
4.1-1,070--1,070
Total transactions with owners-1,070--1,070
Balance as at 31 March 2026715,96020,885441,038501,177,933
The above Consolidated Statement of Changes in Equity should be read in conjunction with the accompanying notes. The above Consolidated Cash Flow Statement should be read in conjunction with the accompanying notes.
1 Net goods and services tax includes $14.0m of GST recovered on development expenditure (March 25: Nil)
$NZ000’sNotesMarch 26March 25
Cash flows from operating activities
Receipts from residents for village and care fees198,315201,013
Payments to suppliers and employees(250,400)(266,145)
Receipts from new occupation right agreements336,225294,494
Payments for outgoing occupation right agreements(108,572)(106,556)
Net goods and services tax received / (paid)
1
7,381(1,867)
Receipts from insurance proceeds2484,684
Interest received1,0763,110
Interest paid on general borrowings(14,198)(17,675)
Interest paid in relation to right of use assets(712)(781)
Net cash inflow from operating activities169,363110,277
Cash flows from investing activities
Payments for property, plant and equipment and intangible assets(17,789)(39,803)
Payments for investment property and investment property
under development(67,641)(73,747)
Proceeds from sale of sites and assets52,01032,103
Interest paid in relation to development borrowings(11,567)(18,428)
Payments for assets held for sale-(435)
Net cash outflow from investing activities(44,987)(100,310)
Cash flows from financing activities
Proceeds from borrowings64,713102,091
Repayment of borrowings(177,094)(110,412)
Principal payments for lease liabilities(2,192)(1,542)
Loan Refinancing Fees(805)-
Net cash outflow from financing activities(115,378)(9,863)
Net increase in cash and cash equivalents8,998104
Cash and cash equivalents at the beginning of the year7,5897,485
Cash and cash equivalents at end of year16,5877,589
33
Consolidated financial statements Oceania Annual Report 2026 /
Consolidated Cash Flow Statement
FOR THE YEAR ENDED 31 MARCH 2026
$NZ000’sNotesMarch 26March 25
Reconciliation of profit after income tax to net cash inflow from
operating activities
Profit for the year11930,415
Non-cash items included in profit for the year
Deferred management fees accrued but not settled
2.2(68,040)(63,557)
Depreciation (buildings and care suites)
2.415,83614,402
Depreciation and amortisation (chattels, leasehold
improvements and software)
2.47,9117,746
Impairment of goodwill
2.495198
Net loss on disposal of property, plant and equipment3,6051,112
Fair value adjustment to investment property
3.1(32,807)(90,170)
Impairment of property, plant and equipment
3.2(9,735)26,011
Fair value adjustment to held for sale assets-14
Loss allowance for trade and other receivables
2.464168
Interest accrued but not paid8,6896,825
Fair value movement on residents’ share of resale gains
2.454424
Fair value movement on cash flow hedges
5.6--
Gain on Loan modification
4.3-(5,425)
Deferred tax benefit
5.1(7,829)(4,561)
Employee share scheme
4.11,070825
Other non-cash items 2,195974
(78,892)(105,014)
Cash items excluded from profit for the year
Receipts from new occupation right agreements336,225294,494
Payments for outgoing occupation right agreements(108,572)(106,556)
227,653187,938
Increase in operating assets and liabilities
(Decrease) / Increase in trade and other receivables(2,139)6,856
Increase / (Decrease) in trade and other payables22,622(9,918)
Net cash inflow from operating activities169,363110,277
The above Consolidated Cash Flow Statement should be read in conjunction with the accompanying notes.
Notes to the Consolidated
Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
1.General information35
1.1Basis of Preparation35
1.2Accounting Policies36
1.3Significant Events and Transactions36
1 .4Market Capitalisation36
2.Operating Performance36
2.1Operating Segments36
2.2Revenue41
2.3Other Income42
2 .4Expenses43
3.Property Assets44
3.1Village Assets: Investment Property45
3.2Care Assets: Property, Plant and Equipment48
3.3Refundable Occupation Right Agreements52
3.4Leases53
4.Shareholder Equity and Funding54
4.1Shareholder Equity and Reserves54
4.2Earnings per Share55
4.3Borrowings56
5.Other Disclosures58
5.1Income Tax58
5.2Intangible Assets 60
5.3Trade and Other Receivables 61
5.4Trade and Other Payables62
5.5Related Party Transactions 63
5.6Financial Risk Management63
5.7Contingencies and Commitments66
5.8Events After Balance Date66
Independent Auditor's Report67
34
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
General Information
1.1 Basis of Preparation
(i) Entities Reporting
The consolidated financial statements of the Group are for the economic entity comprising
Oceania Healthcare Limited (the “Company”) and its subsidiaries (together “the Group”).
Refer to note 5.5 for details of the Group structure.
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of
Oceania Healthcare Limited as at 31 March 2026 and the results of all subsidiaries for the year
then ended.
The Group owns and operates various care centres and retirement villages throughout
New Zealand. The Group’s registered office is Level 26, HSBC Tower, 188 Quay Street, Auckland,
1010, New Zealand.
(ii) Statutory Base
Oceania Healthcare Limited is a limited liability company which is domiciled and incorporated
in New Zealand. It is registered under the Companies Act 1993 and is an FMC Reporting Entity in
terms of Part 7 of the Financial Markets Conduct Act 2013. The Company is also listed on the NZX
Main Board (“NZX”) and the Australian Securities Exchange (“ASX”) as a foreign exempt listing. The
consolidated financial statements have been prepared in accordance with the requirements of the
NZX and ASX listing rules, and Part 7 of the Financial Markets Conduct Act 2013.
The consolidated financial statements have been prepared in accordance with New Zealand
Generally Accepted Accounting Practice (“NZ GAAP”). They comply with New Zealand equivalents
to International Financial Reporting Standards (“NZ IFRS”), International Financial Reporting
Standards (“IFRS”) and other applicable New Zealand Financial Reporting Standards, as
appropriate for for-profit entities. The Group is a Tier 1 for-profit entity in accordance with XRB A1.
The consolidated financial statements have been prepared in accordance with the going concern
basis of accounting, which assumes that the Group will be able to realise its assets and discharge
its liabilities in the normal course of business as they come due into the foreseeable future.
The Consolidated Balance Sheet has been prepared using a liquidity format.
(iii) Measurement Basis
These consolidated financial statements have been prepared under the historical cost convention,
as modified by the revaluation of certain assets and liabilities, including investment properties,
certain classes of property, plant and equipment and derivatives.
(iv) Key Estimates and Judgements
The preparation of the consolidated financial statements in conformity with NZ IFRS and IFRS
requires the use of certain critical accounting estimates. It also requires management to exercise
their judgement in the process of applying the Group’s accounting policies.
The Group makes estimates and assumptions concerning the future. The resulting accounting
estimates will, by definition, seldom equal the related actual results. Estimates and judgements
are continually evaluated and are based on historical experience and other factors, including
expectations of future events that are believed to be reasonable under the circumstances.
The areas involving a higher degree of judgement or complexity, or areas where assumptions
and estimates are significant to the consolidated financial statements are disclosed in the
following notes:
• Estimate of Holiday Pay provision (note 1.3)
• Classification of accommodation with a care or service offering (note 3)
• Fair value of investment property and investment property under development (note 3.1)
• Fair value of freehold land and buildings (note 3.2)
• Revenue recognition of deferred management fees (note 3.3)
• Recognition of deferred tax (note 5.1)
1.2 Accounting Policies
(i) New Accounting Standards
No changes to accounting policies have been made during the year and the Group has not
early adopted any standards, amendments or interpretations to existing standards that are not
yet effective.
35
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
1.2 Accounting Policies (continued)
In April 2024, the IASB issued NZ IFRS 18 Presentation and Disclosure in Financial Statements that
is effective for the accounting period that begins on or after 1 January 2027. This standard has
not been early adopted in preparing these financial statements. This standard introduces new
requirements on presentation within the income statement (including specified totals and subtotals)
and additional note disclosures. The impact of this standard is being assessed by the Group.
(ii) Measurement of Fair Value
The Group classifies its fair value measurement using the fair value hierarchy that reflects the
significance of the inputs used in making the measurements. The fair value hierarchy has the
following levels.
Level 1: Quoted prices (unadjusted) in active markets for the identical assets or liabilities.
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).
Level 3: Inputs for the asset or liability that are not based on observable market data
(unobservable inputs).
The carrying amount of all financial assets and liabilities is considered to approximate
their fair value.
1.3 Significant Events and Transactions
(i) Disposal of Property Plant and Equipment and Investment Property sites
During the year ended 31 March 2026 a total of seven sites were divested for proceeds totalling
$51.1m. The sites divested were Woburn (Hawkes Bay), Hutt Gables (Upper Hutt), Eldon (Upper
Hutt), Elmswood (Tauranga), Te Mana (Auckland), Ohinemuri (Paeroa) and Whitianga (Whitianga).
(31 March 2025: six sites, total sales proceeds $33.8m).
(ii) Closure of Wesley Institute of Nursing Education
With changes to the certification pathways for overseas nurses introduced in New Zealand, a
decision was made during the year ended 31 March 2025 to close the Wesley Institute of Nursing
Education. The final course concluded in April 2025.
The Wesley Institute of Nursing Education contributed $0.6m of operating expenses and EBITDA
of ($0.6m) in the current period. During the comparative period it contributed revenue of $7.9m,
operating expenses of $3.2m and EBITDA of $4.7m.
(iii) Holidays Act Remediation
The Group has determined that certain current and former employees may have been underpaid
from 2020 onwards. This has arisen from the complexity of applying the Holidays Act 2003,
particularly given the varied nature of the Group’s workforce. The matters identified relate to
Holidays Act 2003 entitlements, including the way various allowances and employee entitlements
have been interpreted and calculated. External consultants have assisted management in
estimating the amounts owing to past and present employees.
An expense of $4.6m has been recognised in total comprehensive income for the year ended
31 March 2026, with an equal provision held on the balance sheet as at 31 March 2026 (note 5.4).
An amount of $3.8m, being the portion of the provision that relates to prior years, has been
excluded from underlying earnings for the year ended 31 March 2026 (note 2.1). Management
continues to work with its external consultant to determine the exact amounts owed to employees
and develop a repayment plan. There is inherent uncertainty and judgement in this estimate which
is considered in note 1.1(iv).
1.4 Market Capitalisation
At balance date, the market capitalisation of the Group (being the 31 March 2026 closing share
price, as quoted on the NZX Main Board, multiplied by the number of shares on issue) was
below the carrying amount of the Group’s net assets and shareholders’ funds. In considering the
difference, the Group notes that over 90% of total assets at 31 March 2026 are property assets
carried at fair value as assessed by CBRE Limited.
2. Operating Performance
2.1 Operating Segments
The Group’s chief operating decision maker is the Board of Directors.
The operating segments have been determined based on the information reviewed by the Board
of Directors for the purposes of allocating resources and assessing performance. The assets
and liabilities of the Group are reported to the chief operating decision maker in total not by
operating segment.
36
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.1 Operating Segments (continued)
The Group operates in New Zealand and comprises three segments; care operations, village
operations and other.
Information regarding the operations of each reportable segment is included below. Amongst
other criteria, performance is measured based on segmental underlying earnings before interest,
tax, depreciation and amortisation (“EBITDA”), which is the most relevant measure in evaluating
the performance of segments relative to other entities that operate within the aged care and
retirement village industries.
Additional segmental reporting information
Capital expenditure: Refer to note 3 for details on capital expenditure.
Goodwill: Goodwill is allocated to care cash generating units.
What is Total Comprehensive Income?
Total comprehensive income is a measure of the total performance of all segments under
NZ GAAP. It includes fair value movements relating to the Group’s care centres and cash
flow hedges.
CareVillageOther
ProductIncludes traditional care beds and
care suites.
Includes independent living and
rental properties.
N/A
ServicesThe provision of accommodation,
care and related services to
Oceania’s aged care residents.
Includes the provision of services
such as meals and care packages
to independent living residents.
The provision of accommodation
and related services to
independent residents in the
Group’s retirement villages.
Provision of support services to the
Group (includes administration,
marketing and operations).
In the comparative period this
segment included the provision of
training by the Wesley Institute of
Nursing Education.
1
CareVillageOther
Recognition
of Operating
Revenue and
Expenses
The Group derives Operating
Revenue from the provision of
care and accommodation.
In relation to the provision of
superior accommodation above
the Government specification
the Group derives revenue
from Premium Accommodation
Charges (“PACs”) or, in the case
of care suites, through Deferred
Management Fees (“DMF”).
Operating Expenses primarily
include staff costs, resident
welfare expenses and overheads.
The Group derives Operating
Revenue from weekly service fees
and rental income. Operating
Revenue also includes DMF
accrued over the expected
occupancy period for the
relevant accommodation.
Operating Expenses include
village property maintenance,
sales and marketing, and
administration related expenses.
Includes corporate office and
corporate expenses.
Finance costs relate to the cost
of bank debt.
Income and expenditure
relating to the Wesley Institute
of Nursing Education was
recognised in this segment in
the comparative period.
1
Recognition
of Fair Value
movements
on New
Developments
Fair value increases or decreases
are recognised in other
comprehensive income (i.e. not
in profit or loss) for the fair value
movement above historical cost.
Impairments below historical cost
are recognised in comprehensive
income (i.e. profit or loss).
Fair value movements are
recognised in comprehensive
income (i.e. profit or loss).
N/A
Recognition
of Fair Value
movements on
Existing Care
Centres and
Retirement
Villages
Fair value movements are treated
the same as above.
When sites are decommissioned
for development, this results in
an impairment of the buildings
and chattels which is recognised
in comprehensive income
(i.e. profit or loss).
Fair value movements are
recognised in comprehensive
income (i.e. profit or loss).
N/A
Recognition
in Underlying
Profit (refer
note 2.1
overleaf)
Fair value movements are
removed. Non recurring
expenditure relating to Holidays
Act remediation is removed.
Fair value movements are
removed. Realised gains on
resales and the development
margins from the sale of
independent living units and care
suites are included, reflective
of the ownership structure of
the assets.
Fair value movements of loan
modification are removed.
Asset
Categorisation
Assets used, or, in the case of
developments, to be used, in the
provision of care are recognised
as property, plant and equipment.
Assets used, or, in the case of
developments, to be used, for
village operations are recognised
as investment property.
Corporate office assets are
recognised as property, plant
and equipment. Assets include
intangibles (e.g. software).
1 As a result of changes to the certification pathways for overseas nurses, a decision was made during the year
ended 31 March 2025 to close the Wesley Institute of Nursing Education. The final course concluded in April 2025.
37
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
March 2026
$NZ000’s
Care
Operations
Village
OperationsOther
1
Total
Revenue 209,152 57,987 - 267,139
Change in fair value of investment property - 32,807 - 32,807
Other income 839 789 7 1,635
Total income 209,991 91,583 7 301,581
Operating expenses (185,470)(51,203) (33,760)(270,433)
Impairment of goodwill (95) - - (95)
Reversal of impairment of property, plant and equipment 9,735 - - 9,735
Segment EBITDA 34,161 40,380 (33,753)40,788
Interest income - - 1,045 1,045
Finance costs- - (25,796) (25,796)
Depreciation (buildings and care suites) (14,943) - (893) (15,836)
Depreciation and amortisation (chattels, leasehold
improvements and software) (5,990) - (1,921) (7,911)
Profit / (loss) before income tax 13,22840,380(61,318)(7,710)
Income tax benefit3354287,0667,829
Profit / (loss) for the year attributable to shareholders13,56340,808(54,252)119
Other comprehensive income
Gain on revaluation of property, plant and equipment
for the year, net of tax75,403--75,403
Loss on cash flow hedges, net of tax--(504)(504)
Total comprehensive income / (loss) for the year
attributable to shareholders of the parent88,96640,808(54,756)75,018
March 2025
$NZ000’s
Care
Operations
Village
OperationsOther
2
Total
Revenue 200,288 52,413 7,871 260,572
Change in fair value of investment property - 90,170 - 90,170
Other income 832996- 1,828
Total income201,120143,5797,871352,570
Operating expenses(180,680)(41,200)(38,742)(260,622)
Impairment of goodwill (198) - - (198)
Impairment of property, plant and equipment (26,011) - - (26,011)
Impairment of held for sale assets - (14) - (14)
Segment EBITDA(5,769)102,365(30,871)65,725
Interest income-3922,7183,110
Finance costs--(20,833)(20,833)
Depreciation (buildings and care suites)(13,452)-(950)(14,402)
Depreciation and amortisation (chattels, leasehold
improvements and software)(5,822)-(1,924)(7,746)
(Loss) / Profit before income tax(25,043)102,757(51,860)25,854
Income tax benefit / (expense)4,671(5,389)5,2794,561
(Loss) / Profit for the year attributable to shareholders(20,372)97,368(46,581)30,415
Other comprehensive income
Gain on revaluation of property, plant and equipment
for the year, net of tax45,794 - - 45,794
Loss on cash flow hedges, net of tax - - (1,645)(1,645)
Total comprehensive income / (loss) for the year attributable
to shareholders of the parent25,42297,368(48,226)74,564
2.1 Operating Segments (continued)
1 Includes revenue of nil, operating expenses of $0.6m and a loss for the period of $0.6m in relation to the Wesley
Institute of Nursing Education.
2 Includes revenue of $7.9m, operating expenses of $3.2m and a profit for the period of $4.7m in relation to the
Wesley Institute of Nursing Education.
38
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.1 Operating Segments (continued)
Underlying net profit after tax (“Underlying Profit”)
Underlying Profit and Underlying EBITDA are non-GAAP measures of financial performance.
The calculation of Underlying Profit and Underlying EBITDA requires a number of estimates to be
approved by the Directors in their preparation. Both the methodology and the estimates may differ
among companies in the retirement village sector. Underlying Profit and Underlying EBITDA do not
represent cash flow generated during the year.
The Group calculates Underlying Profit and Underlying EBITDA by making the following
adjustments to reported Net Profit after Tax:
Total comprehensive income / (loss) for the year
attributable to shareholders of the parent
RemoveFair value adjustments for investment property assets, property, plant and equipment, held for
sale assets and financial instruments.
Add backImpairment of goodwill
Add back / removeLoss / gain on sale, decommissioning or purchase of assets and business assets including
associated costs
Add backDepreciation (care suites)
Add back / removeExpenditure/revenue of a non recurring nature
Add backDirectors’ estimate of realised gains on the resale of units and care suites sold under an ORA
Add backDirectors’ estimate of realised development margin on the first sale of new ORA units or care
suites following the development of an ORA unit or care suite, conversion of an existing care
bed to a care suite or conversion of a rental unit to an ORA unit
Add backDeferred taxation component of taxation expense so that only the current tax expense
is reflected
=Underlying Profit
RemoveInterest income
Add backFinance costs (including lease interest under NZ IFRS 16 Leases but excluding
hedge ineffectiveness)
Add backDepreciation and amortisation (including right of use and property, plant and equipment)
Add backCurrent tax expense
=Underlying EBITDA
Resale gain – Underlying Profit
The Directors’ estimate of realised gains on resales of ORA units and care suites (i.e. the difference
between the incoming resident’s ORA licence payment and the ORA licence payment previously
received from the outgoing resident) is calculated as the net cash flow received, and receivable
at the point that the ORA contract becomes unconditional and has either “cooled off” (the
contractual period in which the resident can cancel the contract) or where the resident is in
occupation at balance date.
Development margin – Underlying Profit
The Directors’ estimate of realised development margin is calculated as the ORA licence payment
received, and receivable, in relation to the first sale of new ORA units and care suites, at the point
that the ORA contract becomes unconditional and has either “cooled off” or where the resident
is in occupation at balance date, less the development costs associated with developing the ORA
units and care suites. Where the development has been acquired in a business combination the
development costs are equal to the purchase price.
The Directors’ estimate of realised development margin for conversions is calculated based on the
difference between the ORA licence payment received, and receivable, in relation to sales of newly
converted ORA units and care suites, at the point that the ORA contract becomes unconditional
and has either “cooled off” or where the resident is in occupation at balance date, and the
associated conversion costs.
39
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.1 Operating Segments (continued)
The table below describes the composition of development and conversion costs.
Included
New builds:
• the construction costs directly attributable to the relevant
project, including any required infrastructure (e.g. roads)
and amenities related to the units (e.g. landscaping) as well
as any demolition and site preparation costs associated
with the project. The costs are apportioned between the
ORA units and care suites, in aggregate, using estimates
provided by the project quantity surveyor. The construction
costs for the individual ORA units or care suites sold are
determined on a prorated basis using gross floor areas of
the ORA units and care suites;
• an apportionment of land value based on the gross floor
area of the ORA units and care suites developed. The
value for Brownfield
1
development land is the estimated
fair value of land at the time a change of use occurred
2
(from operating as a care centre or retirement village to a
development site), as assessed by an external independent
valuer. Greenfield
3
development land is valued at historical
cost; and
• capitalised interest costs to the date of project completion
apportioned using the gross floor area of ORA units and
care suites developed.
Conversions:
• of care beds to care suites - the actual refurbishment costs
incurred; and
• of rental units to ORA units - the actual refurbishment
costs incurred and the fair value of the rental unit prior
to conversion.
Excluded
• Construction, land (apportioned on a gross floor area
basis) and interest costs associated with common areas
and amenities or any operational or administrative areas.
March 2026
$NZ000’s
Care
Operations
Village
OperationsOtherTotal
Total comprehensive income for the year attributable to
shareholders of the parent88,96640,808(54,756)75,018
Adjusted for Underlying Profit items
Less: Fair value adjustments for investment property assets,
property, plant and equipment and cashflow hedges(85,138)(32,807)504(117,441)
Add: Impairment of goodwill 95 - - 95
Add: Loss on sale of business assets including associated
costs and restructure costs4617,2401,6089,309
Add: Non recurring cost of Holidays Act remediation relating
to prior periods3,863--3,863
Add: Depreciation (care suites) 13,532 - - 13,532
Add: Amortisation of fair value of loan modification - - 1,293 1,293
Add: Realised resale gain - 36,926 - 36,926
Add: Realised development margin - 48,974 - 48,974
Underlying net profit before tax21,779101,141(51,351)71,569
Less: Deferred tax benefit (335)(428)(7,066)(7,829)
Underlying net profit after tax21,444100,713(58,417) 63,740
Less: Interest income - - (1,045)(1,045)
Add: Finance costs - - 24,503 24,503
Add: Depreciation (buildings) 1,412 - 893 2,305
Add: Depreciation and amortisation (chattels, leasehold
improvements and software) 5,990 - 1,921 7,911
Underlying EBITDA28,846100,713(32,145)97,414
1 Brownfield land refers to land previously utilised by, or part of, an operational aged care centre or retirement village.
2 The timing of a change of use is a Directors’ estimate. It is based on a range of factors including evidence of steps taken to secure a resource consent and/
or building consent for a particular development or stage of a development and the decommissioning of existing operations (either through the buy-back of
existing village ORA units or decommissioning of an existing care centre). Note the cost of buybacks is not included in the development cost as an independent
fair value of the land on an unencumbered basis is used as the value ascribed to the development land.
3 Greenfield land refers to land not previously utilised by, or as part of, an operational aged care centre or retirement village. Greenfield land is typically bare
(undeveloped) land at the time of purchase.
40
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.1 Operating Segments (continued)
March 2025
$NZ000’s
Care
Operations
Village
OperationsOtherTotal
Total comprehensive income for the year attributable to
shareholders of the parent25,42297,368(48,226)74,564
Adjusted for Underlying Profit items
Less: Fair value adjustments for investment property assets,
property, plant and equipment, held for sale assets and
cashflow hedges(19,783)(90,156)1,645(108,294)
Add: Impairment of goodwill198--198
Add: Loss on sale of business assets including associated costs -856-856
Add: Depreciation (care suites)11,831--11,831
Less: Fair value of loan modification--(5,425)(5,425)
Add: Change in estimate of impairment in relation to
weather event-181-181
Add: Realised resale gain-34,843-34,843
Add: Realised development margin-48,343-48,343
Underlying net profit before tax17,66891,435(52,006)57,097
Less: Deferred tax benefit (4,671)5,389(5,279)(4,561)
Underlying net profit after tax12,99796,824(57,285)52,536
Less: Interest income-(392)(2,718)(3,110)
Add: Finance costs --26,25826,258
Add: Depreciation (buildings)1,621-9502,571
Add: Depreciation and amortisation (chattels, leasehold
improvements and software)5,822-1,9247,746
Underlying EBITDA20,44096,432(30,871)86,001
2.2 Revenue
How we earn revenue
CareVillageOther
Daily care fees for long term and
short-term rest home, hospital and
dementia residents
Deferred management fees –
independent living
Premium accommodation chargesVillage service fees – independent livingInterest income
Deferred management fees – care suitesRental income – residents without a
long-term occupation right agreement
Primary Care Fees
Accounting Policy
Revenue is recognised in accordance with NZ IFRS 15 Revenue from Contracts with Customers
(“NZ IFRS 15”). Deferred management fees and rental income are considered leases under NZ IFRS
16 Leases (“NZ IFRS 16”) and are therefore excluded from the scope of NZ IFRS 15. None of the
Group’s revenue, as defined by NZ IFRS 15, contains significant financing components.
Rest Home and Hospital Service Fees
A contract is in place with all care residents by means of an admission agreement. The resident
receives the benefit as the care is administered and each resident incurs a contracted daily
care fee. Rest home and hospital service fees are recognised at the point in time the services are
rendered which is specifically linked to the day the service is delivered. Where applicable these are
recognised net of any associated rebates to residents.
Aged care subsidies received from the Ministry of Health, included in rest home, hospital and
dementia fee revenue within the care segment, for the year ended March 2026 amounted to
$98.9m (March 2025: $107.4m).
Premium Accommodation Charges
Premium accommodation charges are payable by residents who occupy a premium room above
the level specified by the Government. The charge is included in their admission agreement and is
recognised when the accommodation is provided.
41
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.2 Revenue (continued)
Deferred Management Fees
Deferred management fees are considered leases and are payable by residents of the Group’s
units, apartments and care suites under the terms of their ORA or unit title rights. Refer to note 3.3.
Management fees are typically payable on termination of the ORA up to a maximum percentage
of a resident’s occupation licence or unit title rights deposit, for the right to share in the use and
enjoyment of common facilities.
The timing of the recognition of deferred management fees is a critical accounting estimate
and judgement. The deferred management fee is recognised on a straight-line basis over the
average expected occupancy. The expected periods of occupancy are based on historical Group
averages, for the relevant accommodation they are estimated to be 7 years for units and premium
apartments, 5 years for apartments and 3 years for care suites from the date of occupation.
Estimates of deferred management fee tenure are reviewed periodically. Where a change is made,
it is the Group’s policy to recognise the aggregate impact of this change in the period in which the
change in estimate occurs.
Village Service Fees
Village service fees are charged to residents to recover a portion of village operating costs
associated with services provided including staff wages, rates, and electricity. An ORA is in place
with all village residents who receive the benefit of services throughout their stay. Village service
fees are recognised over time as services are rendered.
Rental Income
Rental agreements are in place with all rental residents and set out the relevant weekly and
monthly rental fees. The resident receives the benefit throughout their stay and revenue is
recognised as it is earned.
$NZ000’sMarch 26March 25
Rest home, hospital, dementia fees 180,190 174,557
Premium accommodation charge 8,406 7,524
Deferred management fees – independent living 44,182 39,477
Deferred management fees – care suites 19,958 17,861
Village service fees 11,550 10,842
Training income 121 7,910
Rental income 341 525
Other services provided to residents 2,391 1,876
267,139260,572
2.3 Other Income
Interest Income
Interest income is recognised on an accrual basis using the effective interest method.
Other Income
Other income includes administration and legal income derived from the settlement of ORAs.
$NZ000’sMarch 26March 25
Interest income1,0453,110
Other income1,6351,828
2,6804,938
42
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
2.4 Expenses
Accounting Policy
All operating expenses are recognised on an accrual basis.
$NZ000’sNotesMarch 26March 25
Profit before income tax includes the following expenses:
Employee benefits and other staff costs
Wages and salaries 173,600172,577
Termination benefits
1
3,344 1,348
Employee share scheme expense
4.1 205 305
Other staff costs
2
3,412 4,140
180,561178,370
Provision for Holidays Act remediation 4,635-
Depreciation and amortisation
Depreciation of buildings
3.2 1,308 1,527
Depreciation of care suites
3.2 13,532 11,831
Depreciation of right of use assets (buildings)
3.4 996 1,044
Depreciation of chattels
3.2 5,855 5,660
Depreciation of right of use assets (chattels)
3.4 1,325 1,307
Amortisation of software
5.2 731 779
23,747 22,148
Finance costs
Interest on senior debt facilities 16,934 26,676
Interest on retail bond 6,175 6,175
Agency, commitment and line fees 3,936 4,446
Capitalised interest and line fees (4,296)(12,959)
Amortisation of bank fees 915 985
Fair value of loan modification
4.3-(5,425)
Fair value of loan modification – amortisation
4.3 1,293 -
Bank interest 127 154
Interest on lease liabilities 712 781
25,79620,833
(Reversal of impairment) / Impairment of property, plant and equipment
3.2(9,735)26,011
Change in fair value of held for sale assets-14
Impairment of goodwill
5.295198
1 In the current period Termination benefits include payments to three Key Management Personnel, refer note 5.5
2 Other staff costs include costs such as staff training, uniforms and recruitment.
$NZ000’sNotesMarch 26March 25
Other expenses
Fees paid to Auditor
Audit and review of consolidated financial statements623601
Audit or review related services – Trustee reporting88
Other assurance services
Climate-related reporting assurance6392
Climate-related debt assurance32-
Total other assurance services9592
Other services
Market remuneration surveys9-
Remuneration benchmarking-4
Total other services94
Total fees paid to auditor735705
Repairs and maintenance of property, plant and equipment 3,3003,497
Repairs and maintenance of investment property 2,9863,323
Loss on disposal of property, plant and equipment and investment property7,234840
Donations21
Loss allowance for trade and other receivables
5.364168
Resident consumables17,80518,698
Movement of residents’ share of resale gains 54424
Insurance6,0876,614
Legal and professional services7,5577,808
Other expenses (no items of individual significance) 39,41340,174
85,23782,252
Total Expenses310,336329,826
43
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3. Property Assets
The Group operates care centres and retirement villages. As outlined in section 2.1, village sites are
typically investment property and care sites are typically property, plant and equipment.
What is Investment Property?
Land and buildings are classified as investment property when they are held to generate
revenue either through capital appreciation or through rental income.
As residents occupying our retirement villages live independently, the level of services provided
is seen as secondary to the provision of accommodation. Accordingly, these buildings are
classified as investment property as they are held primarily to generate DMF income.
What is Property, Plant and Equipment?
Land, buildings and chattels are classified as property, plant and equipment when
they are used to generate revenue through the provision of goods and services or for
administration purposes.
As residents occupying our care centres, including care suites, require services including
nursing care, meals and laundry, the buildings in which they live are considered to be operated
by the Group to generate this revenue and are classified as property, plant and equipment.
What is a Care Suite?
Care suites are a premium offering for a resident requiring rest home or hospital level care. The
care suite is located within a care centre. Rather than pay a daily premium accommodation
charge for the provision of the premium room the residents enter into an ORA with a net
management fee.
Classification of Serviced Apartments and Care Suites
Where services are provided to residents who occupy accommodation under an ORA, it is the
Group’s policy to assess their level of significance in the context of the overall income derived
from the serviced apartment or care suite in ascertaining whether the serviced apartment
or care suite is freehold land and buildings (referred to as property, plant and equipment) or
investment property.
The Group applies the following principles when ascertaining the appropriate accounting
treatment to be applied:
CLASSIFICATION
CONSIDERATION OF SIGNIFICANCE OF CASH FLOWS
SCENARIO
Additional services
are optional.
Services are
compulsory but an
insignificant portion
of total revenue
from the unit.
Services are
compulsory and a
significant portion
of the total revenue
from the unit.
Full ARRC
1
funded care is
compulsory
for that unit/bed.
Independent living
(villa or apartment)
Care suiteServiced apartmentTraditional care bedPrivate care
Qualitatively the
business model is
the provision of
retirement
accommodation.
Quantitatively
insignificant
(a guideline of
under 20% of total
revenue is adopted)
and qualitatively
the business model
is the provision
of retirement
accommodation.
Quantitatively
significant.
Qualitatively the
business model is
the provision of
care.
Qualitatively the
business model is
the provision of care.
Quantitative
assessment not
relevant as price
of accommodation
does not change
overall purpose of the
accommodation.
Investment Property
Village Assets
Property, Plant and
Equipment Care Assets
Operating
outside the ARRC
1
with services set
by the operator.
Qualitatively the
business model is
the provision of care.
Quantitative
assessment not
relevant as price
of accommodation
does not change
overall purpose of the
accommodation.
1 ARRC refers to age-related residential care
44
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.1 Village Assets: Investment Property
Accounting Policy
Investment property includes both freehold land and buildings and land and buildings under
development, comprising independent units, serviced apartments and common facilities, provided
for use by residents under the terms of an ORA. Investment property is held for long-term yields
and is not occupied by the Group. Investment property is held at fair value.
The fair value of investment property is determined by the Directors having taken into consideration
the valuation conducted by CBRE Limited as independent registered valuers and the cost of work
undertaken in relation to investment property under development.
The movement in the carrying value of investment property, net of additions, transfers and
disposals is recognised as a fair value movement in Profit and Loss.
Fair value measurement on investment property under development is only applied if the fair value
is considered to be reliably measurable. Where the fair value of a property under development
can be determined, it is carried at fair value. Where the fair value of investment property under
development cannot be reliably determined, the carrying amount is considered to be the fair value
of the land plus the cost of work undertaken.
$NZ000’sNotesMarch 26March 25
Investment property under development at fair value
Opening balance139,865181,968
Impact of change to GST taxable supplies
1
(693)(593)
Capitalised expenditure (including land acquisitions)40,65154,575
Capitalised interest and line fees3,5878,806
Disposal(3,195)(305)
Transfer to completed investment property(24,610)(100,105)
Transfer to property, plant and equipment
3.2-(1,750)
Transfer from held for sale-1,340
Change in fair value during the year(19,534)(4,071)
Closing balance136,071139,865
Completed investment property at fair value
Opening balance1,832,1681,633,418
Impact of change to GST taxable supplies
1
-(1,382)
Transfer from investment property under development24,610100,105
Transfer (to)/from property, plant and equipment
3.2-(800)
Transfer from held for sale-7,330
Capitalised expenditure19,00314,101
Capitalised interest and line fees-755
Disposal(41,186)(15,600)
Change in fair value during the year – villages52,34194,241
Closing balance1,886,9361,832,168
Total investment property2,023,0071,972,033
1 Relates to GST claimed on land purchased in a prior period subject to a change in use adjustment in the current period.
45
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.1 Village Assets: Investment Property (continued)
Change in Fair Value Recognised in Profit and Loss
$NZ000’sMarch 26March 25
Increase in fair value of investment property50,974156,647
Add / (Less): Transfers to property, plant and equipment, right of use assets and held
for sale during the year-(6,120)
Less: Capitalised expenditure including capitalised interest(62,548)(76,262)
Add: Disposals44,38115,905
Change in fair value recognised in Profit and Loss32,80790,170
A reconciliation between the valuation and the amount recognised as investment
property is as follows:
$NZ000’sNotesMarch 26March 25
Investment Property under development
Valuation136,071139,865
136,071139,865
Completed Investment Property
Valuation852,824919,089
Add: Refundable occupation licence payments3.31,253,5281,121,025
Add: Residents’ share of resale gains3.32,7905,050
Less: Management fee receivable3.3(212,568)(190,387)
Less: Resident obligations for units not included in valuation (9,638)(22,609)
1,886,9361,832,168
Total investment property at fair value2,023,0071,972,033
Where an incoming resident has an unconditional ORA in respect of a retirement village unit and
the corresponding outgoing resident for that same accommodation has not yet been refunded,
the independent valuation is adjusted for the incoming resident balances only. In certain
circumstances accommodation under an ORA is valued as development land. In these situations,
the independent valuation is not adjusted for the refundable amounts and consequently no
offsetting “gross up” is required. An adjustment of $9.6m (March 2025: $22.6m) is included in
the above reconciliation to reflect this.
The valuation of investment property is adjusted for cash flows relating to refundable occupation
licence payments, residents’ share of resale gains and management fee receivable recognised
separately on the Consolidated Balance Sheet and also reflected in the valuation model.
Why do we adjust for the liability to residents?
In the external valuation the fair value of investment property includes an allowance for the
amount that is payable by the Group to residents already in occupation within the property.
However, this liability to existing residents is recognised in the Group’s Consolidated Balance
Sheet (referred to as refundable occupation right agreements – refer to note 3.3). Accordingly,
the Group adds this net liability to residents to the external valuation to “gross up” the fair
value of investment property and avoid double counting the liability to residents.
Valuation Process and Key Inputs
Investment Property under Development
CBRE Limited provided valuations of development land in respect of investment property under
development as at 31 March 2026.
The fair value of investment property is determined by the Directors having taken into consideration
the valuation conducted by the external valuers as independent registered valuers and the cost of
work undertaken in relation to investment property under development, including any associated
capitalised interest costs during the development period.
The Group has applied the following methodology in relation to the measurement of investment
property under development:
Practical completion not achieved
Where the development still requires substantial work such that practical completion is not
going to be achieved, at or close to balance date, the fair value recognised is the fair value of
the development land per the Directors’ valuation plus the cost of any work in progress. Work
in progress includes any interest costs on debt drawn to fund the development during the
development period. An amount of $43.3m as at 31 March 2026 (March 2025: $40.9m) has been
recognised in relation to these development sites.
Where an individual development is of both investment property and freehold buildings in nature,
the fair value of land and work in progress is apportioned between investment property under
development and freehold land and buildings under development, by applying the estimated gross
floor area for these respective areas of the development based on information obtained from the
project quantity surveyors at the planning and design stages.
46
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.1 Village Assets: Investment Property (continued)
Practical completion achieved
Where a development is practically completed, or likely to be completed at, or close to, balance
date the investment property is measured at its completed fair value per the Directors’ valuation
with an adjustment made for any estimated costs, in accordance with the project budget, to be
incurred to complete the development, and is then transferred to completed investment property.
Completed Investment Property
As required by NZ IAS 40 Investment Property, the valuation of investment property is adjusted for
cash flows relating to refundable occupation licence payments, residents’ share of resale gains and
management fees receivable recognised separately on the Consolidated Balance Sheet and also
reflected in the valuation model.
Any interest costs incurred on outstanding development debt balances after the completion of
that development are recognised through the Statement of Comprehensive Income, an amount of
$6.5m in the period (March 2025: $6.3m)
The Group’s interest in all completed investment property was valued on 31 March 2026 by
CBRE Limited (March 2025: CBRE Limited,) at a total of $852.8m (March 2025: $919.1m).
Property Specific Assumptions
Seismic Assessments
In the prior period, the external valuations, and accordingly the fair value of investment property,
incorporated an allowance in relation to remediation to properties where seismic strength testing
had been carried out.
Key Accounting Estimates and Judgements
All investment properties have been determined to be Level 3 (March 2025: Level 3) in the fair value
hierarchy as the fair value is determined using inputs that are unobservable.
Significant Unobservable Inputs
The significant unobservable input used in the fair value measurement of the Group’s development
land is the value per m2 assumption. Increases in the value per m2 rate result in the corresponding
increases in the total valuation.
The significant unobservable inputs used in the fair value measurement of the Group’s portfolio of
completed investment property are the discount rate and property price growth rate. There are no
interdependencies or interplays between unobservable inputs.
The following assumptions have been used to determine fair value:
Significant InputDescription20262025
Discount rateThe pre-tax discount rate
14.0% - 20.0%
(median: 14.8%)
14.0% - 20.0 %
(median: 15.0%)
Property price growth rate
Anticipated annual property price growth over
the cash flow period 0-4 years0.0% - 3.0%0.5 % - 3.0 %
Property price growth rate
Anticipated annual property price growth over
the cash flow period 5+ years3.0% - 3.5%2.5 % - 3.5 %
Sensitivities
At 31 March 2026Adopted Value
Discount Rate
+0.5%
Discount Rate
-0.5%
Property
Growth Rate
+50 bp
Property
Growth Rate
-50 bp
Completed investment property
Valuation $NZ000’s852,824
Difference $NZ000’s(29,849)31,55452,875(48,611)
Difference %(3.50%)3.70%6.20%(5.70%)
At 31 March 2025Adopted Value
Discount Rate
+0.5%
Discount Rate
-0.5%
Property
Growth Rate
+50 bp
Property
Growth Rate
-50 bp
Completed investment property
Valuation $NZ000’s919,089
Difference $NZ000’s(30,787)32,56053,898(52,434)
Difference %(3.4%)3.5%5.9%(5.7%)
The stabilised occupancy period is a key driver of the CBRE Limited valuation. A significant
increase / (decrease) in the occupancy period would result in a significantly lower/ (higher) fair
value measurement.
Significant Input20262025
Stabilised Occupancy Period7.0 yrs – 9.2 yrs (median: 7.7 yrs)5.1 yrs – 9.0 yrs (median: 7.7 yrs)
Current ingoing price, for subsequent resales of ORAs, is a key driver of the valuations. A significant
increase / (decrease) in the ingoing price (as driven by the property growth rates) would result in a
significantly higher / (lower) fair value measurement.
47
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.2 Care Assets: Property, Plant and Equipment
Accounting Policy
Property, plant and equipment comprises owner-occupied freehold land and buildings and plant
and equipment operated by the Group for the provision of care services, care suites and land and
buildings that are to be developed into care centres in the future.
Following initial recognition at cost, completed owner occupied freehold land and buildings and
land and buildings under development are carried at fair value. Independent valuations are
performed with sufficient regularity to ensure that the carrying amount does not differ materially
from the assets’ fair value at balance date. Any depreciation at the date of valuation is deducted
from the gross carrying value of the asset, and the net amount is restated to the revalued amount
of the asset. In periods where no valuation is carried out, the asset is carried at its revalued amount
plus any additions, less any impairment and less any depreciation incurred since the date of the
last valuation.
All other plant and equipment is stated at historical cost less depreciation and impairment.
Historical cost includes expenditure that is directly attributable to the acquisition of the items.
In relation to land and buildings under development, fair value is determined by the Directors
having taken into consideration the valuation conducted by CBRE Limited as an independent
registered valuer and the cost of work undertaken.
A property under construction is classified as land and buildings within property, plant and
equipment where the completed development will be classified as such and as investment
property where the completed development will be classified as an investment property. Fair value
measurement on property under construction is only applied if the fair value is reliably measurable.
Where the fair value of property under construction cannot be reliably determined the value is the
fair value of the land plus the cost of work undertaken. Property under construction classified as
land and buildings under development is revalued annually and is not depreciated.
Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset,
as appropriate, only when it is probable that future economic benefits associated with the item
will flow to the Group and the cost of the item can be measured reliably. All other repairs and
maintenance are expensed to the Consolidated Statement of Comprehensive Income during the
financial period in which they are incurred.
Increases in the carrying amount arising on revaluation of land and buildings above cost are
credited to the asset revaluation reserve in other comprehensive income; increases that offset
previous decreases taken through profit or loss are recognised in profit or loss. Decreases
that offset previous increases of the same asset are charged against the asset revaluation
reserve in other comprehensive income; all other decreases are charged to profit or loss. When
revalued assets are sold, or held for sale, the amounts included in the reserve are transferred to
retained earnings.
Land is not depreciated. Depreciation on other assets is calculated using the straight-line method
to allocate their cost, net of their residual values, over their estimated useful lives, as follows:
CategoryUseful Life Range
Weighted Average
Depreciation Rate
Freehold buildings10 - 50 years2.4%
Chattels and leasehold improvements2 - 50 years20%
Motor vehicles5 years22%
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at each
balance date. No depreciation is charged in the year of sale for all assets other than buildings in
which case depreciation is charged to the earlier of the date of classification to held for sale or
the date of sale.
An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s
carrying amount is greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing the net disposal proceeds
with the carrying amount of the asset. These are included in the Consolidated Statement of
Comprehensive Income.
48
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.2 Care Assets: Property, Plant and Equipment
$NZ000’sNotes
Freehold Land
and Buildings
Under
Development
Freehold
Land
Freehold
Buildings
Chattels and
Leasehold
ImprovementsTotal
Year ended 31 March 2026
Opening net book amount49,591125,202624,52129,172828,486
Additions4,431-6,9226,31517,668
Impact of change to GST taxable supplies
1
-----
Capitalised interest and line fees224-485-709
Disposals(62)(10,266)(22,723)(2,164)(35,215)
Depreciation
2
--(14,840)(5,855)(20,695)
Transfer from investment property
3.1-----
Reclassification within Property,
Plant and Equipment(40,492)4,35434,6341,504-
Revaluation surplus
Change in fair value recognised in
profit and loss(82)2009,617-9,735
Change in fair value recognised in other
comprehensive income
3
5,5912,83675,002-83,429
Closing net book amount 19,201122,326713,61828,972884,117
At 31 March 2026
Cost ---66,14266,142
Valuation 19,201122,326713,618-855,145
Accumulated depreciation ---(37,170)(37,170)
Net book amount19,201122,326713,61828,972884,117
$NZ000’sNotes
Freehold Land
and Buildings
Under
Development
Freehold
Land
Freehold
Buildings
Chattels and
Leasehold
ImprovementsTotal
Year ended 31 March 2025
Opening net book amount78,608116,111554,70321,455770,877
Additions 21,357 - 8,847 9,284 39,488
Impact of change to GST taxable supplies
1
-----
Capitalised interest and line fees 1,438 - 1,960 3,398
Disposals-----
Depreciation
2
- - (13,358) (5,660)(19,018)
Transfer from investment property
3.1 1,750 - 800 2,550
Transfer from held for sale 48 2,800 2,797 552 6,197
Reclassification within Property, Plant and
Equipment (42,825) 1,782 37,502 3,541 -
Revaluation surplus
Change in fair value recognised in profit
and loss
3
(9,685) (245) (16,081)- (26,011)
Change in fair value recognised in other
comprehensive income
4
(1,100) 4,754 47,351 - 51,005
Closing net book amount 49,591125,202624,52129,172828,486
At 31 March 2025
Cost 64,142 64,142
Valuation 49,591 125,202 624,521 799,314
Accumulated depreciation (34,970) (34,970)
Net book amount49,591125,202624,52129,172828,486
1 Relates to GST claimed on land purchased in a prior period subject to a change in use adjustment in the current period.
2 The amounts on the face of the Statement of Comprehensive Income in relation to depreciation includes $3.1m in relation to right of use assets and software
amortisation not included in this note.
3 The revaluation noted in the Statement of Comprehensive Income differs from the above due to deferred tax, refer note 5.1.
1 Relates to GST claimed on land purchased in a prior period subject to a change in use adjustment in the current period.
2 The amounts on the face of the Statement of Comprehensive Income in relation to depreciation includes $1.5m in relation to right of use assets and software
amortisation not included in this note.
3 In FY25 a Brownfield development was completed at Elmwood. This development required the closure of the existing care suites and a number of residents were
relocated to the newly developed care suite building. Impairments of $25.8m and $2.4m were recognised in Comprehensive Income and Other Comprehensive
Income respectively.
4 The revaluation noted in the Statement of Comprehensive Income differs from the above due to deferred tax, refer note 5.1.
49
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.2 Care Assets: Property, Plant and Equipment (continued)
Land and Buildings Under Development
A valuation in respect of development land was provided by CBRE Limited as at 31 March 2026.
Any costs incurred to 31 March 2026 on the developments are included in arriving at the fair value
as at 31 March 2026.
The Group has applied the following methodology in relation to the measurement of land and
buildings under development:
Practical completion not achieved
Where the development still requires substantial work such that practical completion is not
going to be achieved, at or close to balance date, the fair value recognised is the fair value of
the development land per the Directors’ valuation plus the cost of any work in progress. Work
in progress includes any interest costs on debt drawn to fund the development during the
development period. A work in progress amount of $6.0m as at 31 March 2026 (March 2025:
$30.6m) has been recognised in relation to these development sites.
Where an individual development is of both investment property and freehold buildings in nature,
the fair value of land and work in progress is apportioned between investment property under
development and freehold land and buildings under development, by applying the estimated gross
floor area for these respective areas of the development based on information obtained from the
project quantity surveyors at the planning and design stages.
Practical completion achieved
Where a development is practically completed, or likely to be completed at, or close to, balance
date the land and buildings are measured at its completed fair value per the Directors’ valuation
with an adjustment made for any estimated costs, in accordance with the project budget, to be
incurred to complete the development, and is then transferred to completed land and buildings.
Completed Land and Buildings
A valuation in respect of completed land and buildings was provided by CBRE Limited as at
31 March 2026.
Any interest costs incurred on outstanding development debt balances after the completion of
that development are recognised through the Statement of Comprehensive Income, an amount
of $3.6m in the period (March 2025: $4.2m)
The valuation of the Group’s care centres was apportioned to land, buildings, chattels and
goodwill. The fair value of land and buildings as calculated by CBRE Limited is based on the level
of rent able to be generated from the maintainable net cash flow of the site subject to average
efficient management. The fair value of the Group’s land and buildings as determined by the
Directors is based on these apportionments. However, chattels are carried at historic cost less
depreciation and the amount apportioned to goodwill by CBRE Limited is not recorded in the
consolidated financial statements.
Care Suites and Serviced Apartments
As discussed earlier in note 3, where services are provided to residents who occupy
accommodation under an ORA, it is the Group’s policy to look at the significance of these
services in the context of the overall revenue derived from the care suite or serviced apartment
in ascertaining whether the care suite or serviced apartment is property, plant and equipment
or investment property. Care suite residents occupying accommodation under an ORA receive a
significant level of services. Hence, they are included in property, plant and equipment. Care suite
land and buildings are held at fair value.
Serviced apartments relate to accommodations where a base level of services are provided to
independent residents and are classified as investment property.
Key Accounting Estimates and Judgements
All land and buildings have been determined to be Level 3 (March 2025: Level 3) in the fair value
hierarchy as the fair value is determined using inputs that are unobservable.
Critical Judgements and Estimates in Applying Accounting Policies
Classification of Care Suites
An area of significant judgement is determining the classification of those properties which are
operated as care suites. Refer note 3 for further information.
50
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.2 Care Assets: Property, Plant and Equipment (continued)
Valuation of Freehold Land and Buildings
The valuation approach for the freehold land and buildings as at 31 March 2026 was an
income capitalisation approach and/or discounted cash flow analysis supplemented by the
direct comparison approach. The valuation is determined by the capitalisation of net cash flow
profit/earnings before interest, tax, depreciation, amortisation and rent (“EBITDAR”) under the
assumption a positive cash flow will be generated into perpetuity. Capitalisation rates used for the
31 March 2026 valuation range from 12.00% to 15.00% with a median value of 13.50% (March 2025:
12.25% to 15.00 % with a median value of 13.50%). The valuation was apportioned between land,
buildings, chattels / plant and equipment and goodwill to determine the fair value of the assets.
The significant unobservable input used in the fair value measurement of the Group’s development
land is the value per m2 assumption. Increases in the value per m2 rate result in corresponding
increases in the total valuation.
The significant unobservable input used in the fair value measurement of the Group’s portfolio
of completed land and buildings is the capitalisation rate applied to earnings. A significant
decrease/ (increase) in the capitalisation rate would result in significantly higher / (lower) fair
value measurement.
The significant unobservable inputs used in the fair value measurement of the Group’s portfolio
of care suite also include the discount rate and property price growth rate. There are no
interdependencies or interplays between unobservable inputs.
Sensitivities
At 31 March 2026
Adopted
Value
Capitalisation
Rate +50 bp
Capitalisation
Rate -50 bp
Freehold land and buildings
Valuation $NZ000’s835,944
Difference $NZ000’s(50,157)57,680
Difference %(6.0)%6.9%
At 31 March 2025
Adopted
Value
Capitalisation
Rate +50 bp
Capitalisation
Rate -50 bp
Freehold land and buildings
Valuation $NZ000’s749,723
Difference $NZ000’s(45,266)49,911
Difference %(6.0%)6.7%
At 31 March 2026Adopted Value
Discount Rate
+0.5%
Discount Rate
-0.5%
Property
Growth Rate
+50 bp
Property
Growth Rate
-50 bp
Completed care suite property
Valuation $NZ000’s346,710
Difference $NZ000’s(12,135)12,82821,496(19,762)
Difference %-3.50%3.70%6.20%-5.70%
At 31 March 2025Adopted Value
Discount Rate
+0.5%
Discount Rate
-0.5%
Property
Growth Rate
+50 bp
Property
Growth Rate
-50 bp
Completed care suite property
Valuation $NZ000’s367,645
Difference $NZ000’s(12,315)13,02421,560(20,974)
Difference %(3.4%)3.5%5.9%(5.7%)
Carrying Value of Assets
The carrying amount at which both land and buildings would have been carried, had the assets
been measured under historical cost, is as follows:
$NZ000’s
Freehold
land and
buildings under
development
Freehold
land
Freehold
buildingsTotal
Carrying amount
- Historical cost 202618,61039,115370,150427,875
Carrying amount
- Historical cost 202525,07941,138318,659384,876
51
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.3 Refundable Occupation Right Agreements
What is an ORA?
An ORA is a contract which sets out the terms and conditions of occupation of an independent
living unit or care suite. A new resident is charged a refundable occupation licence payment in
consideration for the right to occupy one of the Group’s units, apartments or care suites. On
termination of the ORA the occupation licence payment is repaid to the exiting resident.
What is DMF?
An amount equal to a capped percentage of the occupation licence payment is charged
by the Group as a management fee for the right to use and enjoy the common areas of the
village. The deferred management fee is payable by the resident on termination of the ORA.
Accounting Policy
The occupation licence payment becomes payable when the ORA is unconditional and has either
“cooled off” or where the resident is in occupation. The Group has a legal right to set-off any
amounts owing to the Group by a resident against that resident’s occupation licence payment.
Such amounts include deferred management fees, recovery of village operating costs and recovery
of outstanding obligations to the village.
The management fee receivable is recognised in accordance with the terms of the resident’s ORA.
The deferred management fee represents the difference between the management fees receivable
under the ORA and the portion of the management fee accrued which is recognised on a
straight-line basis over the average expected occupancy for the relevant accommodation i.e.
7 years for units and premium apartments, 5 years for apartments and 3 years for care suites
(March 2025: 7yrs, 5yrs, 3yrs).
The management fee recognised in the Consolidated Statement of Comprehensive Income
represents income earned in line with the average expected occupancy.
Included in the obligation to residents is an estimate of the amount expected to be paid to those
residents whose ORA or unit title arrangement allows them to participate in the resale gain of the
unit or apartment they occupy.
As the refundable occupation licence payment is repayable to the resident upon termination
(subject to a new ORA being issued to an incoming resident), the fair value is equal to the
amortised cost, being the amount that can be demanded.
$NZ000’sMarch 26March 25
Village
Refundable occupation licence payments1,253,5281,121,025
Residents’ share of resale gains2,7905,050
Less: Management fee receivable (per contract)(265,479)(241,897)
990,839884,178
Care Suites
Refundable occupation licence payments328,248273,778
Less: Management fee receivable (per contract)(60,680)(51,143)
267,568222,635
Total refundable occupation right agreements1,258,4071,106,813
Reconciliation of Management Fees recognised under NZ IFRS and per ORA
$NZ000’sMarch 26March 25
Village
Management fee receivable (per contract)(265,479)(241,897)
Deferred management fee52,91151,510
Management fee receivable (per NZ IFRS)(212,568)(190,387)
Care Suites
Management fee receivable (per contract)(60,680)(51,143)
Deferred management fee6,5405,769
Management fee receivable (per NZ IFRS)(54,140)(45,374)
52
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.4 Leases
What’s a right of use asset?
Right of use assets are assets held under a lease arrangement. It represents the value of
the lessee’s right to use an asset over the life of the lease. There is a corresponding lease
liability on the Consolidated Balance Sheet which represents the present value of the future
lease payments.
Accounting Policy
Right of use assets and lease liabilities arising from a lease are initially measured on a present
value basis. Lease liabilities include the net present value of the remaining lease payments.
Lease payments to be made under reasonably certain extension options are also included in the
measurement of the liabilities.
Right of use assets are initially recognised at cost, comprising of the initial amount of the lease
liability less any lease incentives received. Right of use assets are subsequently depreciated using
the straight-line method from the commencement date to the end of the lease. In considering the
lease term, the Group applies judgement in determining whether it is reasonably certain that an
extension or termination option will be exercised.
The lease payments are discounted using the interest rate Implicit in the lease. If that rate cannot
be readily determined the incremental borrowing rate at the commencement of the lease is used.
Right of Use Asset
$NZ000’s
12 months ended 31 March 2026BuildingsChattelsTotal
Opening net book value 6,7892,5529,341
Additions981,5911,689
Disposals-(3)(3)
Modifications---
Depreciation (996)(1,325)(2,321)
Net book value as at 31 March 20265,8912,8158,706
$NZ000’s
12 months ended 31 March 2025BuildingsChattelsTotal
Opening net book value 8,0612,72210,783
Additions-1,4051,405
Disposals-(268)(268)
Modifications(228)-(228)
Depreciation (1,044)(1,307)(2,351)
Net book value as at 31 March 20256,7892,5529,341
$NZ000’s
31 March 2026BuildingsChattelsTotal
Cost 8,3098,72617,035
Accumulated depreciation(2,418)(5,911)(8,329)
Net book value as at 31 March 20265,8912,8158,706
53
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
3.4 Leases (continued)
Lease Liabilities
$NZ000’s
Year Ended 31 March 2026BuildingsChattelsTotal
Opening net book value 7,9342,62410,558
Additions 981,5911,689
Disposals-(3)(3)
Interest 491221712
Lease payments made(1,364)(1,539)(2,903)
Lease liabilities as at 31 March 20267,1592,89410,053
$NZ000’s
Year Ended 31 March 2025BuildingsChattelsTotal
Opening net book value 8,3442,86111,205
Additions -1,3991,399
Disposals-(280)(280)
Interest 535246781
Modification(228)-(228)
Lease payments made(717)(1,602)(2,319)
Lease liabilities as at 31 March 20257,9342,62410,558
Lease of Property, Plant and Equipment
The Group leases corporate office space located at 188 Quay Street, Auckland as well as two
laundry buildings.
In addition to the buildings, the group also leases various equipment and motor vehicles.
4. Shareholder Equity and Funding
4.1 Shareholder Equity and Reserves
March 2026
Shares
March 2025
Shares
March 2026
$NZ000’s
March 2025
$NZ000’s
Share capital
Issued and fully paid-up capital724,231,030724,231,030715,960715,960
Total contributed equity724,231,030724,231,030715,960715,960
Movements
Opening balance of ordinary shares issued724,231,030724,154,779715,960715,960
Shares issued for employee share scheme----
Shares issued for Long Term Incentive Scheme-76,251--
Shares issued for dividend reinvestment plan----
Closing balance of ordinary shares issued724,231,030724,231,030715,960715,960
All ordinary shares rank equally with one vote attached to each fully paid ordinary share. The
shares have no par value. The Company incurred no transaction costs issuing shares during the
period (31 March 2025: nil).
Long Term Incentive (“LTI”)
On 11 September 2023 the Board approved a Share Option Plan. The option plan has been
established to:
(a) Reward and retain key employees;
(b) Drive longer term performance and alignment of incentives of participants with the interests
of the groups shareholders; and
(c) Encourage longer term decision making by participants.
Participants in the Option Plan are granted options to acquire ordinary shares from time to
time. These options are exercisable by participants subject to those participants’ continued
employment by Oceania, during specified exercise periods for a set exercise price. On exercise
of the options, the Group will facilitate a cashless (net settled) exercise by issuing such number
of shares as is equal to the difference between the then current market value of Oceania’s
shares and the exercise price (less an adjustment for tax paid on the holder’s behalf for the
benefit received), multiplied by the number of options being exercised, divided by the then
current market value of Oceania’s shares.
54
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
4.1 Shareholder Equity and Reserves
SchemeIssue DateExercise Date
Participants
as at
31 March 2026
Share Options
issued
Share Options
forfeitedExercise price
2023 Option Plan11 September 2023May 2026316,666,66710,714,286 $0.82
2023 Option Plan30 April 2024May 202604,761,9044,761,904$0.82
2023 Option Plan 15 October 2024May 202675,476,1951,428,573$0.82
2024 Option Plan 15 October 2024May 20271775,385n/a$0.76
2024 Option Plan10 December 2024May 20271938,461630,769$0.76
2025 Option Plan23 June 2025May 202823,059,190n/a$0.65
2025 Option Plan5 September 2025May 20281660,000n/a$0.65
Dividends
March 2026
cents
per share
March 2026
$NZ000’s
March 2025
cents
per share
March 2025
$NZ000’s
Final dividend for the prior period ----
Interim dividend for the period ----
Total dividends declared during the year---
Oceania has updated its dividend policy to better align dividend payments with operating
cashflows. The dividend policy is to pay out between 40% and 60% of Free Cash Flow from
Operations. The Board may consider a dividend above or below this policy range, subject to the
Company’s cash flow requirements and investment opportunities.
Free Cash Flow from Operations adjusts statutory operating cash flows by excluding development
related sales and buybacks, and incorporating maintenance capital expenditure, lease principal
repayments, and other one-off items outside the normal course of business.
Asset Revaluation Reserve
The asset revaluation reserve is used to record the revaluation of freehold land and buildings and
land and buildings under development. The amounts are recognised in the Consolidated Statement
of Comprehensive Income when it affects profit or loss. Refer to note 3.2.
Cash Flow Hedge Reserve
The cash flow hedge reserve is used to record gains or losses on instruments used as cash flow
hedges. The amounts are recognised in the Consolidated Statement of Comprehensive Income
when the hedged transaction affects profit or loss. Refer to note 5.6.
4.2 Earnings per share
Basic
Basic earnings per share is calculated by dividing the profit after tax of the Group by the weighted
average number of ordinary shares outstanding during the period.
March 2026March 2025
Profit after tax ($’000)11930,415
Weighted average number of ordinary shares outstanding (‘000s)724,231724,231
Basic earnings per share (cents per share)0.04.2
Diluted
Diluted Earnings per share is calculated by adjusting the weighted average number of ordinary
shares outstanding to assume conversion of all dilutive potential ordinary shares. As at 31 March
2026 there were no shares with a dilutive effect (31 March 2025: Nil).
March 2026March 2025
Profit after tax ($’000)11930,415
Weighted average number of ordinary shares outstanding (‘000s)724,231724,231
Diluted earnings per share (cents per share)0.04.2
55
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
4.3 Borrowings
Accounting Policy
Borrowings are initially recognised at fair value, including transaction costs incurred. Borrowings
are subsequently measured at amortised cost. Any difference between the proceeds (net of
transaction costs) and the redemption amount is recognised in the Consolidated Statement of
Comprehensive Income over the period of the borrowings using the effective interest method.
Specific borrowing costs directly attributable to the acquisition, construction or production of
qualifying assets, which are assets that necessarily take a substantial period of time to get ready
for their intended use or sale, are added to the cost of those assets, until such a time as the
assets are substantially ready for their intended use. Other borrowing costs are recognised in
the Consolidated Statement of Comprehensive Income in the year in which they are incurred.
$NZ000’sMarch 2026March 2025
Secured
Bank loans298,252410,633
Capitalised loan costs(1,421)(1,028)
Loan modification gain(4,131)(5,425)
Retail Bond – OCA010125,000125,000
Retail Bond – OCA020100,000100,000
Capitalised bond costs(942)(1,432)
Total borrowings516,758627,748
Current--
Non-current523,252635,633
Total borrowings excluding capitalised loan costs and loan modification gain523,252635,633
Recognition and Measurement
Bank Loans
Interest is charged using the BKBM Bill rate plus a margin and line fee. Interest rates applicable in
the year to 31 March 2026 ranged from 4.0% to 5.2% (March 2025: 5.0% to 7.1%).
Retail Bond
NZDX IDIssue DateNo. of bonds$NZ000’sMaturityFixed Interest
Trading Interest
at March 26
Trading Interest
at March 25
OCA01019 Oct 20125.0m$125,00019 Oct 272.3%5.84%6.81%
OCA02013 Sept 21 100.0m$100,00013 Sept 283.3%6.13%6.15%
The bonds are quoted on the NZX Debt Market and their fair value at balance date is based on
their listed market price as at balance date.
Interest on OCA010 is payable quarterly in January, April, July and October in equal instalments.
As at 31 March 2026 the fair value of OCA010 was $118.4m (31 March 2025: $112.8m).
Interest on OCA020 is payable quarterly in March, June, September and December in equal
instalments. As at 31 March 2026 the fair value of OCA020 was $93.3m (31 March 2025: $90.9m).
Debt Financing
On 4 March 2025 it was announced that the Group had extended the maturity of its bank debt
facilities to three and five years and introduced a new lender to the syndicate with financial
close occurring on 1 May 2025. The total limit of bank facilities remained at $500m and the split
as follows:
1) General Corporate Facility limit $50m, 3 year tenor;
2) General Corporate Facility limit $185m, 5 year tenor; and
3) Development Facility limit $265m, 5 year tenor.
56
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
4.3 Borrowings (continued)
The facilities are held by a banking syndicate comprising ANZ, BNZ, ASB and ICBC.
The refinance included a change to interest rates which has resulted in the recognition of a loan
modification gain of $5.4m as at 31 March 2025. This gain is being amortised over the life of the
facility with $1.3m amortised as at 31 March 2026.
On 1 May 2025, concurrent with financial close, the Group reallocated $50m from the five-year
General Corporate Facility to the Development Facility.
The entire debt facility is sustainability-linked for the entire five-year period with a penalty in the
event of the Group not satisfying certain ESG targets and an interest discount in the event that
certain targets are met. For the period to 31 March 2026, all targets were met and a discount
was received.
Financing Arrangements
At 31 March 2026, the Group held committed bank facilities with drawings as follows:
$NZ000’sMarch 2026March 2025
CommittedDrawnCommittedDrawn
General Corporate Facility185,00050,000185,000112,105
Development Facility315,000248,252315,000298,528
Total500,000298,252500,000410,633
The Group’s revolving Development Facility is utilised to cover costs associated with current
development projects. The revolving General Corporate Facility is used for general corporate
purposes as well as for development land and initial costs for projects not currently funded by the
Development Facility.
Interest on the General Corporate Facility is typically payable quarterly. Interest on the
Development Facility is capitalised and repaid together with principal using the ORA licence
proceeds received upon settlement of initial sales of newly developed units and care suites. Line
fees are payable quarterly on the committed General Corporate Facility and the Committed
Development Facility.
The financial covenants in the Group’s senior debt facilities, with which the Group must
comply include:
a) Interest Cover Ratio – the ratio of Adjusted EBITDA to Net Interest Charges, where interest
charges relates to the interest and commitment fees in relation to the General Corporate
Facility, is not less than 2.0x;
b) Loan to Value Ratio – the ratio of total bank indebtedness shall not exceed 50% of the total
property value of all Group’s properties (including the “as-complete” valuations for projects
funded under the Development Facility); and
c) Guarantor Group Coverage – at all times the adjusted EBITDA of the Guaranteeing Group
must be at least 90% of the Adjusted EBITDA of the Group. At all times the Total Tangible Assets
of the Guaranteeing Group must be at least 90% of the Total Tangible Assets of the Group; and
d) Development – at all times the outstanding principal amount under the Development
Facility shall not exceed the Development Value. Development Value (per the most recent
valuation excluding any settled stock) is the aggregate value of all Residential Facilities in all
Developments that are being funded by the Development Facility less their cost to complete.
The covenants are tested half yearly. All covenants have been complied with during the period. The
Group has agreed with its banks that the calculation of Adjusted EBITDA and Net Interest, for the
purposes of the financial covenants, shall continue to be based on the accounting treatment in use
before the introduction of NZ IFRS 16 Leases. No changes have been made to these covenants as
part of the refinance.
Assets Pledged as Security
The bank loans and bonds of the Group are secured by mortgages over the Group’s care centre
freehold land and buildings and rank second behind the Statutory Supervisors where the land and
buildings are classified as investment property and investment property under development.
As at 31 March 2026 the balance of the bank loans over which the properties are held as security is
$298.3m (March 2025: $410.6m).
57
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
4.3 Borrowings (continued)
Net Debt Reconciliation
Cash and cash equivalents include cash on hand, debt includes lease liabilities and bank debt.
The following provides an analysis of net debt and the movements in net debt for the year.
$NZ000’sMarch 2026March 2025
Cash and cash equivalents16,5877,589
Debt – repayable within one year(1,712)(1,978)
Debt – repayable after one year(531,593)(644,213)
Net Debt(516,718)(638,602)
Cash and liquid investments16,5877,589
Gross debt – fixed interest rates(235,053)(235,559)
Gross debt – floating interest rates(298,252)(410,633)
Net Debt(516,718)(638,602)
Borrowings
$NZ000’sMarch 2026March 2025
Borrowings at the start of the year(635,633)(643,955)
Cash drawdowns (64,713)(102,091)
Cash repaid177,094110,413
Borrowings at the end of the year(523,252)(635,633)
5. Other Disclosures
5.1 Income Tax
What is Current Tax?
Current tax is an estimate of the tax that is payable to Inland Revenue for the current
financial year.
What is Deferred Tax?
Deferred tax is an estimate of income tax that will be payable or recoverable in respect of
temporary differences relating to the accounting and tax values of the Group’s assets and
liabilities. Deferred tax also includes the value of tax losses that we consider we will use in the
future to meet any income tax obligation.
Accounting Policy
The tax expense or benefit for the year comprises current and deferred tax. Tax is recognised in the
calculation of profit for the year in the Consolidated Statement of Comprehensive Income, except
to the extent that it relates to items recognised in other comprehensive income. In this case the tax
is also recognised in other comprehensive income.
The current income tax charge is calculated on the basis of the tax laws enacted at the balance
date. The Directors periodically evaluate positions taken in tax returns with respect to situations in
which applicable tax regulation is subject to interpretation.
Deferred income tax is recognised, using the liability method, on temporary differences arising
between the tax base of assets and liabilities and their carrying amounts in the consolidated
financial statements. However, the deferred income tax is not accounted for if it arises from initial
recognition of an asset or liability in a transaction other than a business combination that at the
time of the transaction affects neither accounting nor taxable profit or loss. Deferred income tax
is determined using tax rates (and laws) that have been enacted or substantially enacted by the
Balance Sheet date and are expected to apply when the related deferred income tax asset is
realised or the deferred income tax liability is settled.
Deferred income tax assets are recognised only to the extent that it is probable that future taxable
profit will be available against which the temporary differences, and losses can be utilised.
58
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.1 Income Tax (continued)
$NZ000’sMarch 2026March 2025
Income tax benefit
Current tax--
Deferred tax(7,829)(4,561)
(7,829)(4,561)
Taxation expense is calculated as follows:
Profit before income tax(7,710)25,854
Tax at the New Zealand tax rate of 28% (2,159)7,239
Adjusted by the tax effect of:
Non-deductible impairment of goodwill9556
Non-deductible expenditure1,211364
Capitalised interest deductible for tax(4,296)(3,629)
Taxable deferred management fees(37,788)(10,309)
Non-assessable revaluation of investment property(32,807)(25,248)
Taxable depreciation(27,577)(9,869)
Accounting depreciation28,6605,778
Right of use asset140373
Non-deductible (reversal of impairment) / impairment of fixed asset(9,735)7,287
Adjustment for timing difference of provisions(23,100)(545)
Losses generated 107,35628,503
Current tax expense--
Impact of movements in investment property1,190(4,865)
Impact of movements in property, plant and equipment 552(3,672)
Impact of movements in right of use assets(39)(230)
Impact of movements in held for sale assets-(163)
Other adjustments(237)557
Deferred management fee10,58110,309
Losses (recognised) / utilised or derecognised (19,876)(6,497)
Deferred tax benefit(7,829)(4,561)
Income tax benefit (7,829)(4,561)
Movement in the Deferred Tax Balance:
$NZ000’s
Balance
1 April 2025
Recognised in
Consolidated
Statement of
Comprehensive
Income
Recognised
in Other
Comprehensive
Income
Balance
31 March 2026
Investment property8,881(1,190)-7,691
Property, plant and equipment(33,416)(552)(8,025)(41,993)
Right of use assets49039-529
Held for sale assets----
Provisions and other assets / liabilities6,3892371966,822
DMF revenue in advance(31,171)(10,581)-(41,752)
Tax losses48,82719,876-68,703
Deferred tax assets / (liabilities)-7,829(7,829)-
$NZ000’s
Balance
1 April 2024
Recognised in
Consolidated
Statement of
Comprehensive
Income
Recognised
in Other
Comprehensive
Income
Balance
31 March 2025
Investment property 4,016 4,865 - 8,881
Property, plant and equipment (31,877)3,672(5,211)(33,416)
Right of use assets 260 230 - 490
Held for sale assets (163)163 - -
Provisions and other assets / liabilities 6,296 (557)6506,389
DMF revenue in advance (20,862)(10,309) - (31,171)
Tax losses 42,330 6,497 - 48,827
Deferred tax assets / (liabilities)-4,561(4,561)-
Recognition and Measurement
No income tax was paid or payable during the year (March 2025: nil).
59
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.1 Income Tax (continued)
Key Accounting Judgements
Deferred Tax on Investment Property
Deferred tax on investment property is assessed on the basis that the asset value will be realised
through use (“Held for Use”). An initial recognition exemption has been applied to newly developed
village sites in accordance with NZ IAS 12 Income Taxes.
The Group’s ORAs comprise two distinct cash flows (being an ORA deposit upon entering the unit
and the refund of this deposit upon exit). In determining the tax base of investment property, the
Group considered whether taxable cash flows are received at the end of the ORA period (i.e. upon
refund of the ORA deposit by way of set off on exit by a resident) or at the beginning of the ORA
period (i.e. at time of the receipt of the ORA deposit). The Group has carefully evaluated all the
available information and considers it appropriate to recognise and measure the tax base and
associated deferred tax based on the taxable cash flows being receivable at the end of the ORA
period as this best represents the Group’s contractual entitlement.
In calculating deferred tax under the Held for Use methodology, the Group has made significant
judgements to determine taxable temporary differences. The carrying value of the Group’s
investment property is determined on a discounted cash flow basis and includes cash flows that
are both taxable and non-taxable in the future. The Group has recognised deferred tax on the cash
flows with a future tax consequence being DMF and deductible amounts as provided by external
valuers, to the extent that it doesn’t relate to land. The Group uses the external valuers’ valuation of
land and improvements to estimate the apportionment of cash flows arising from the depreciable
(i.e. buildings) and non-depreciable components (i.e. land).
Recognition of Deferred Tax on Tax Losses
After taking into consideration tax losses generated in the year to 31 March 2026, the Group now
has an estimated $446.0m (March 2025: $355.3m) of available tax losses as at 31 March 2026.
The Group may recognise deferred tax assets to the extent that it is probable that the Group will
generate future economic profits to offset the deferred tax assets or to the extent that they offset
deferred tax liabilities. As at 31 March 2026 the Group recognised a deferred tax asset of $68.7m
(31 March 2025: $48.8m) representing tax losses generated in order to offset the net deferred tax
liability position. All other available losses generated are held off balance sheet. Total available
losses are noted below:
NZ$000’sMarch 26March 25
Opening balance – tax losses355,348253,720
Prior period adjustments: other2,160(12)
Losses per Inland Revenue357,508253,708
Losses utilised for the year --
Losses forfeited during the year--
Losses generated during the year88,153101,640
Closing balance – tax losses445,661355,348
5.2 Intangible Assets
Accounting Policy
Goodwill
Goodwill represents the excess of cost of an acquisition over the fair value of the Group’s share
of the net identifiable assets of the acquired subsidiary or business at the date of acquisition.
Goodwill is not amortised. Instead, goodwill is tested at least once annually for impairment at
31 March and carried at cost less accumulated impairment losses. Impairments are recognised in
the Statement of Comprehensive Income. Gains and losses on the disposal of an entity or cash
generating unit (“CGU”) include the carrying amount of goodwill relating to the entity or CGU sold.
Goodwill is allocated to CGUs and these CGUs are grouped where appropriate for the purpose of
impairment testing. The allocation is made to those CGUs or groups of CGUs that are expected to
benefit from the business combination in which the goodwill arose.
60
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.2 Intangible Assets (continued)
Computer Software
Costs associated with maintaining computer software programmes are recognised as an expense
as incurred. Acquired computer software licenses are capitalised on the basis of the costs incurred
to acquire and bring to use the specified software. Where computer software licences are housed
in the cloud, they are capitalised to the extent the Group controls the licence and has rights to
the software beyond rights to access. These costs are amortised on a straight-line basis over their
estimated useful lives (2.5 – 8 years).
$NZ000’sGoodwillSoftwareTotal
Year ended 31 March 2026
Opening net book amount2,3992,3144,713
Additions-122122
Amortisation-(731)(731)
Impairment charge(95)-(95)
Disposal---
Closing net book amount2,3041,7054,009
As at 31 March 2026
At cost207,9535,411213,364
Accumulated amortisation and impairment(205,649)(3,706)(209,355)
Net book amount2,3041,7054,009
Year ended 31 March 2025
Opening net book amount2,8812,7825,663
Additions-311311
Amortisation-(779)(779)
Impairment charge(198)-(198)
Disposal(284)-(284)
Closing net book amount2,3992,3144,713
As at 31 March 2025
At cost207,9535,289213,242
Accumulated amortisation and impairment(205,554)(2,975)(208,529)
Net book amount2,3992,3144,713
Impairment Test for Goodwill
The carrying value of goodwill has been assessed on a site-by-site basis taking into account the
sites’ results as a whole. An impairment is recognised when the carrying value of goodwill plus
chattels is greater than the CBRE Limited value of goodwill plus chattels.
The carrying amount of goodwill at each site is not significant in comparison to the total amount of
goodwill. All goodwill is allocated to the care CGUs.
Key Judgements in Applying the Accounting Policies
Care CGUs Recoverable Amount
The recoverable amount of the individual care sites has been determined based on an external
valuation of fair value less costs to sell by CBRE Limited as an external valuer. The fair value less
costs to sell is considered level 3 in the fair value hierarchy. This has been used for comparison to
current carrying value. The assumptions used in determining the fair value for care centres are
disclosed in note 3.2.
5.3 Trade and Other Receivables
Accounting Policy
Trade receivables are amounts due from residents and various government agencies in the ordinary
course of business and are recognised initially at fair value, being its transaction price, plus
transaction costs. Trade receivables are held with the objective of collecting the contractual cash
flows and therefore they are subsequently measured at amortised cost using the effective interest
method, less a provision for impairment.
Occupation licence payment receivables are recognised at the point in time that an ORA becomes
unconditional and has either “cooled off” or where the resident is in occupation, and the resident
has not yet made all of the contractual licence payment to the Group. The long-term portion of
this receivable has been discounted by $2.2m (March 2025: $1.8m).
$NZ000’sMarch 26March 25
Net trade and other receivables
Trade receivables23,23919,207
Less: Loss allowance (281)(263)
22,95818,944
Occupation licence payment receivable
1
113,79093,895
Insurance Receivable-248
Prepayments2,8584,704
Trade and other receivables139,606117,791
1. Occupation licence receivable includes an amount of $84.0m in relation to short term occupation licence receivables expected to be recovered in less than 12
months. Of this balance 52% related to care suite residents and 48% to village residents (31 March 2025: $65.1m).
61
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.3 Trade and Other Receivables (continued)
Recognition, Measurement and Judgements in Applying Accounting Policies
The Group applies the simplified approach to measuring expected credit losses which uses a
lifetime expected loss allowance for all trade receivables and requires recognition from initial
recognition of the trade receivable. To measure expected credit losses, trade receivables have been
grouped and reviewed on the basis of the number of days since resident departure and the funding
stream and type of debtor. Judgement is used in selecting the inputs to the impairment calculation
and is based on past history and forward-looking assumptions.
The Group has the following financial assets subject to the application of the expected credit
loss model:
• Trade receivables from care operations for the provision of care fees revenue for rest home and
hospital fees. These are split between private amounts owed by residents and amounts due from
agencies such as the Ministry of Health and ACC.
• Trade receivables from village operations for the provision of weekly service fees and occupation
licence payment receivables. These are receivable from residents.
The Group has applied a simplified approach to calculating the expected loss rate expected
by applying a 1.5% allowance to trade receivables from care operations (2025: 1.5%) and
0.0% from village operations (2025: 0%), adjusted for any other known factors with respect to
individual debts.
There is no significant concentration of credit risk as trade receivables relate to individual residents
and government agencies.
1 Occupation licence receivable includes an amount of $84.0m in relation to short term occupation licence receivables expected to be recovered in less than
12 months. (31 March 2025: $65.1m).1 Sundry payable include $0.1m (March 2025: $0.1m) relating to cash held on behalf of residents.
5.4 Trade and Other Payables
Accounting Policy
Trade and other payables represent liabilities for goods and services provided to the Group prior
to the end of financial year which are unpaid. The amounts are unsecured and are usually paid
within 30 days of recognition.
Trade payables are recognised initially at fair value less transaction costs and subsequently
measured at amortised cost using the effective interest method.
Wages and Salaries, Annual Leave and Long Service Leave
Liabilities for wages and salaries, including non-monetary benefits and annual leave are
recognised in other payables in respect of employees’ services up to the reporting date and are
measured at the amounts expected to be paid when the liabilities are settled.
The liability for employee entitlements is carried at the present value of the estimated future
cash flow.
The liability for long service leave is recognised in the provision for employee entitlements and
measured as the present value of expected future payments to be made in respect of services
provided by employees up to the reporting date. Consideration is given to expected future wage
and salary levels, experience of employee departures and periods of service.
$NZ000’sNotesMarch 26March 25
Trade payables19,8143,838
Development accruals6484,920
Sundry payables and accruals
1
4,2453,788
Provision for Holidays Act remediation1.3 (iii)4,635-
Accrued interest on external borrowings 1,4291,356
Employee entitlements22,69422,543
Trade and other payables53,46536,445
62
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.5 Related Party Transactions
The below entities are subsidiaries of Oceania Healthcare Limited.
Name of EntityPrincipal Activities20262025Class of shares
Oceania Group (NZ) Limited Corporate office functions100%100%Ordinary
Oceania Care Company LimitedOperation of aged care centres100%100%Ordinary
Oceania Village Company Limited
Ownership and operation of
retirement villages100%100%Ordinary
OCA Employees Trustee Limited
Hold Employee Share Scheme shares
on behalf of employees100%100%Ordinary
Bream Bay Village Limited
1
Non-operating100%100%Ordinary
All subsidiaries are incorporated in New Zealand and have a balance date of 31 March
(2025: 31 March). There are no significant restrictions on subsidiaries.
Key Management Personnel Compensation
Key management personnel are all executives with the authority for the strategic direction and
management of the Group and exclude those in an Acting capacity.
$NZ000’sMarch 26March 25
Directors’ remuneration and expenses 875833
Salaries and other short-term employee benefits4,8814,582
Long Term Incentive Scheme472560
Termination benefits
2
755622
6,9836,597
Transactions with Related Parties
There are no outstanding balances with related parties (March 2025: nil).
1 The business operations and assets of Bream Bay Village Limited were sold to Oceania Village Limited on 30 September 2022 at carrying amount. Subsequent
to this date the company is dormant.
2 Termination payments were made to three employees who met the definition of key management and ceased to be employed by the Group during the period
(March 2025: two employees).
5.6 Financial Risk Management
The Group’s activities expose it to a variety of financial risks: market risks (including cash flow
interest rate risk), credit risk and liquidity risk. The Group’s overall risk management programme
focuses on the unpredictability of financial markets and seeks to minimise potential adverse
effects on the financial performance of the Group. The Group uses derivative financial instruments
such as interest rate swap contracts to hedge certain interest rate risk exposures. Derivatives are
exclusively used for hedging purposes, i.e. not as trading or other speculative instruments. The
Group uses different methods to measure different types of risk to which it is exposed. These
methods include sensitivity analysis in the case of interest rates to determine market risk and
aging analysis for credit risk.
Classification and measurement
Financial assets are required to be classified into three measurement categories: those measured
at fair value through profit and loss, those measured at fair value through other comprehensive
income and those measured at amortised cost. The determination is made at initial recognition.
The classification depends on the entity’s business model for managing its financial instruments
and the contractual cash flow characteristics of the instrument. Trade receivables are amounts
due from residents and various government agencies held to collect contractual cash flows
in the ordinary course of business. These balances are held at amortised cost less a provision
for impairment.
Risk management is carried out centrally by management under policies approved by the Board
of Directors. The Directors provide written principles for overall risk management, as well as policies
covering specific areas, such as interest rate risk, credit risk, use of derivative financial instruments
and non-derivative financial instruments.
(a) Fair Value Estimation
All financial assets (cash and cash equivalents, trade and other receivables and certain right of use
assets) and financial liabilities (trade and other payables, lease liabilities and bank borrowings),
other than derivatives, are measured at amortised cost, which approximates to fair value.
Financial liabilities measured at amortised cost are fair valued using the contractual cash flows.
In considering the fair value of interest-bearing assets and liabilities the estimated future interest
rates approximate the discount rates used in a fair value assessment.
63
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.6 Financial Risk Management (continued)
(b) Market Risk
Market risk is the risk that changes in market prices such as interest rates will affect the Group’s
income. The objective of market risk management is to manage and control market risk exposures
within acceptable parameters, while optimising the return on risk.
(c) Cash Flow Interest Rate Risk
The Group has no significant interest-bearing assets, as such the Group’s income is substantially
independent of changes in market interest rates.
The Group’s interest rate risk arises from long-term borrowings. Borrowings issued at variable
rates expose the Group to cash flow interest rate risk. The cash flow and interest rate risks are
monitored by the Directors on a monthly basis. The Directors monitor the existing interest rate
profile with reference to the Group’s Treasury Policy and the Group’s underlying interest rate
exposure. Management present interest rate hedging analysis and strategies to the Directors for
consideration and seek Director approval prior to entering into any interest rate swaps.
The following table shows the sensitivity of the Group’s Profit / (Loss) and equity to a movement in
interest rates of +/-1%. This assumes all other variables remain constant.
+1%-1%
$NZ000’sProfit / (Loss)EquityProfit / (Loss)Equity
2026
Interest expense3,1972,612(3,197)(2,612)
Change in fair value of cash flow hedges-125-(126)
2025
Interest expense3,7983,213(3,798)(3,213)
Change in fair value of cash flow hedges-605-(612)
Interest Rate Swaps
It is the Group’s policy to manage interest rate risk through the use of interest rate swaps to reduce
the impact of changes in interest rates on its floating rate long term debt. The objective of the
interest rate swaps is to protect the Group from the short to medium term impact to cash flows
which arises out of variability in floating interest rates.
Interest rate swaps are initially recognised at fair value on the date a contract is entered into
and are subsequently measured at fair value on each reporting date. The fair values of the
interest rate swaps are determined based on cash flows discounted to present value using
current market interest rates.
Interest swaps are assessed for effectiveness at each reporting period. A retrospective
calculation will be used to determine the amount of any ineffectiveness to be recognised in
comprehensive income.
The expected causes of ineffectiveness are as follows:
• Credit risk of the bank;
• Insufficient level of floating rate debt;
• Differing interest settlement dates; or
• Inter Bank Offered Rate (“IBOR”) reform if the BKBM rate is replaced with another measure.
When interest rate swaps meet the criteria for cash flow hedge accounting, the effective portion
of the gain or loss on the hedging instrument is recognised in other comprehensive income (loss
of $0.5m, March 2025: loss of $1.6m), while the ineffective portion is recognised in other expenses
in the Consolidated Statement of Comprehensive Income (nil impact, March 2025: nil impact).
Amounts taken to the interest rate reserve are transferred out of the reserve and included in the
measurement of the hedged transaction when the forecast transaction occurs. When interest rate
swaps do not meet the criteria for cash flow hedge accounting, all movements in fair value of the
hedging instruments are recognised in the Consolidated Statement of Comprehensive Income.
Under the interest rate swap agreements, the Group has a right to receive interest at variable rates
and an obligation to pay interest at fixed rates. Of the interest rate swaps in place at 31 March
2026, $50m (March 2025: $50m) are being used to cover approximately 16.8% (March 2025:
12.2%) of the loan principal outstanding. Bank loans of the Group currently bear an average fixed
interest rate (including margin and line fees) of 4.0% (March 2025: 4.3%). The fair value of these
agreements at 31 March 2026 is a $0.04m asset (March 2025: $0.7m asset).
64
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
5.6 Financial Risk Management (continued)
The notional principal amounts and the period of expiry of the interest rate swap contracts are
as follows:
Average contracted
fixed interest rateNotional principal amount
March 26
%
March 25
%
March 26
$NZ000’s
March 25
$NZ000’s
Less than 1 year3.21-50,000-
Between 1 and 3 years-3.41-50,000
Between 3 and 5 years----
(d) Credit Risk
Credit risk arises from cash and cash equivalents, derivative financial instruments and deposits
with banks and financial institutions, as well as credit exposure from trade and other receivables.
In the normal course of business, the Group has no significant concentrations of credit risk. Other
than on a small number of exceptions, the Group requires settlement of the ORA before allowing
occupation of its villas or apartments. Therefore, the Group does not face significant credit risk.
The values attached to each financial asset in the Consolidated Balance Sheet represent the
maximum credit risk. No collateral is held with respect to any financial assets. The Group enters
into financial instruments with various counterparties in accordance with established limits as
to credit rating and dollar limits and does not require collateral or other security to support the
financial instruments.
Concentrations
Cash and cash equivalents of the Group are deposited with one of the major trading banks. Non-
performance of obligations by the bank is not expected due to the credit rating of the counter
party considered. The Standard and Poors credit rating of the counter party as at 31 March 2026 is
AA- (March 2025: AA-).
The Group’s receivables represent distinct trading relationships with each of the residents. There
are no concentrations of credit risk with residents. Large receivables generally relate to the
residential care subsidies which are received from Health New Zealand Te Whatu Ora and Work
and Income New Zealand. Neither of these entities has demonstrated, or is considered, a credit risk.
(e) Liquidity Risk
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities,
the availability of funding through an adequate amount of committed credit facilities and the
ability to close-out market positions. Due to the dynamic nature of the underlying businesses, the
Directors aim at maintaining flexibility in funding by keeping committed credit lines available.
Cash flow forecasting is regularly performed by management. Management monitors rolling
forecasts of the Group’s liquidity requirements to ensure it has sufficient cash to meet operational
needs, while maintaining headroom on its undrawn committed borrowing facilities at all times
so that the Group does not breach borrowing limits or covenants on any of its borrowing
facilities. Such forecasting takes into consideration the Group’s debt financing plans and
covenant compliance.
The table below shows the maturity analysis of the Group’s contractual undiscounted cash flows.
$NZ000’s
Less than
1 Year
Between 1
and 2 Years
Between 2 and
5 Years
Over
5 Years
2026
Trade and other payables20,461---
Lease liabilities1,7751,4734,0512,696
Borrowings6,175129,884399,745-
Cash flow hedge - interest rate swaps46---
Refundable occupation right agreements
1
1,258,407---
2025
Trade and other payables8,749---
Lease liabilities2,5821,9804,4794,165
Borrowings6,1756,175281,378360,633
Cash flow hedge - interest rate swaps70446--
Refundable occupation right agreements
1
1,106,813---
The derivative financial instruments value of $0.04m on the Consolidated Balance Sheet as at
31 March 2026 is classified as current (March 2025: balance of $0.7m as current, $0.04m classified
as non-current).
The refundable ORAs are repayable to the resident on vacation of the unit, apartment, care
suite or on the termination of the occupation right agreement and subsequent resale of the unit,
apartment or care suite.
1
1 Refundable ORAs are classified as being repayable on demand, and therefore fully repayable within 12 months.
65
Consolidated financial statements Oceania Annual Report 2026 /
Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 MARCH 2026
(f) Capital Risk Management
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue
as a going concern, to provide returns for shareholders and benefits for other stakeholders and
to maintain an optimal capital structure to reduce the cost of capital. The consolidated financial
statements are prepared on a going concern basis.
5.7 Contingencies and Commitments
At 31 March 2026, the Group had no contingent liabilities (March 2025: nil).
At 31 March 2026, the Group has a number of commitments to develop and construct certain
development sites totalling $39.5m (31 March 2025: $31.0m).
On 15 September 2025, the Group entered into a conditional sale and purchase agreement for a
3.7-hectare parcel of land adjacent to Franklin Village. The purchase is conditional on procuring
rezoning of the property and obtaining a resource consent from the relevant authority that permits
the Group’s intended use and development. A non-refundable deposit of $0.3 million was paid
on 29 October 2025. The balance of the purchase price becomes due once all conditions have
been met and will be paid in staged instalments, with all payments expected to be completed
by March 2030.
There are no significant unrecognised contractual obligations entered into for future repairs and
maintenance at balance date.
5.8 Events After Balance Date
There have been no other significant events after balance date.
66
Consolidated financial statements Oceania Annual Report 2026 /
Independent Auditor’s Report
A member firm of Ernst & Young Global Limited
Independent auditor’s report to the shareholders of Oceania Healthcare Limited
Opinion
We have audited the financial statements of Oceania Healthcare Limited (the “Company”) and its
subsidiaries (together the “Group”) on pages 32 to 66, which comprise the consolidated balance sheet
of the Group as at 31 March 2026, and the consolidated statement of comprehensive income,
consolidated statement of changes in equity and consolidated cash flow statement for the year then
ended of the Group, and the notes to the consolidated financial statements including material
accounting policy information.
In our opinion, the consolidated financial statements on pages 32 to 66 present fairly, in all material
respects, the consolidated financial position of the Group as at 31 March 2026 and its consolidated
financial performance and cash flows for the year then ended in accordance with New Zealand
Equivalents to International Financial Reporting Standards and International Financial Reporting
Standards.
This report is made solely to the Company’s shareholders, as a body. Our audit has been undertaken
so that we might state to the Company’s shareholders those matters we are required to state to them
in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not
accept or assume responsibility to anyone other than the Company and the Company’s shareholders,
as a body, for our audit work, for this report, or for the opinions we have formed.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand). Our
responsibilities under those standards are further described in the Auditor’s responsibilities for the
audit of the financial statements section of our report. We are independent of the Group in accordance
with Professional and Ethical Standard 1 International Code of Ethics for Assurance Practitioners
(including International Independence Standards) (New Zealand) issued by the New Zealand Auditing
and Assurance Standards Board as applicable to audits of financial statements of public interest
entities. We have also fulfilled our other ethical responsibilities in accordance with Professional and
Ethical Standard 1.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Ernst & Young provides other assurance, remuneration analysis services and market remuneration
surveys to the Group. Partners and employees of our firm may deal with the Group on normal terms
within the ordinary course of trading activities of the business of the Group. We have no other
relationship with, or interest in, the Group.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the consolidated financial statements of the current year. These matters were addressed
in the context of our audit of the consolidated financial statements as a whole, and in forming our
opinion thereon, but we do not provide a separate opinion on these matters. For each matter below,
our description of how our audit addressed the matter is provided in that context.
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the
financial statements section of the audit report, including in relation to these matters. Accordingly,
our audit included the performance of procedures designed to respond to our assessment of the risks
of material misstatement of the financial statements. The results of our audit procedures, including
the procedures performed to address the matters below, provide the basis for our audit opinion on the
accompanying consolidated financial statements.
A member firm of Ernst & Young Global Limited
Investment property and freehold land and buildings valuation
Why significant How our audit addressed the key audit matter
As disclosed in notes 3.1 and 3.2 of the consolidated
financial statements:
▪ The Group’s investment property (“village assets”)
portfolio was valued at $2.023 billion at
31 March 2026 and included completed investment
property and investment property under
development.
▪ The Group’s freehold land and buildings (“care
assets”) were valued at $855 million at
31 March 2026. This included completed care
centre land and buildings operated by the Group for
the provision of care services and care centres
under development.
Valuations of completed village assets and care
assets were carried out by a third-party valuer (the
Valuer). The valuation of village assets and care
assets is inherently subjective given that there are
alternative assumptions and valuation methods that
may result in a range of values.
For village assets, key assumptions are made in
respect of:
▪ discount rate;
▪ forecast house price inflation;
▪ the average entry age of residents; and
▪ the occupancy periods of the units for each village.
For care assets, key assumptions are made in respect
of:
▪ capitalisation rates; and
▪ earnings per care bed.
Properties which are externally valued are recorded in
the consolidated financial statements at a Directors’
valuation which is generally based on the value
determined by the Valuer as at 31 March 2026.
Village and care assets under development, generally
those which are not substantially progressed, are
carried at an assessed fair value being the fair value
of the land plus the cost of work undertaken.
Given the size of the village and care assets and the
significant judgement and estimation involved in the
measurement of fair value, we consider this a key
audit matter.
Our audit procedures included the following:
▪ Held discussions with management to understand:
▪ sales or purchases of the Group’s village and care
assets;
▪ changes in the condition of each property; and
▪ their internal review of the valuation report.
▪ Held discussions with the Valuer to gain an
understanding of the assumptions and estimates
used and the valuation methodologies applied;
▪ On a sample basis we:
▪ involved our real estate valuation specialists to
assist with our assessment of the methodologies
used and whether the significant valuation
assumptions fell within a reasonable range;
▪ assessed key inputs of property specific
information supplied to the Valuer by the Group,
including resident schedules, Occupational Rights
Agreements (“ORA”) and occupancy data, to the
underlying records held by the Group; and
▪ assessed the significant input assumptions
applied by the Valuer compared to previous
period assumptions, taking into account the
changing state of the properties and other
market changes.
▪ Assessed the competence, capability and objectivity
of the Valuer;
▪ Tested the allocation of costs from work in progress
to completed village units and other assets;
▪ Considered the impact of new development work
and the completeness of the assets included in the
valuation;
▪ Considered management’s assessment of the fair
value of village and care assets that are not
substantially progressed at balance date.
▪ Assessed the nature and quantum of adjustments
made between the amounts determined by the
Valuer and the recorded valuation amounts; and
▪ Considered the adequacy of the disclosures in
Notes 3.1 and 3.2.
Information other than the financial statements and auditor’s report
The directors of the Company are responsible for the other information. The other information
comprises the annual report, which includes the Climate Statement but does not include the financial
statements and our auditor’s report thereon.
Our opinion on the consolidated financial statements does not cover the other information and we do
not express any form of assurance conclusion thereon.
A member firm of Ernst & Young
Global Limited
67
Consolidated financial statements Oceania Annual Report 2026 /
Independent Auditor’s Report cont.
A member firm of Ernst & Young
Global Limited
A member firm of Ernst & Young Global Limited
In connection with our audit of the consolidated financial statements, our responsibility is to read the
other information and, in doing so, consider whether the other information is materially inconsistent
with the consolidated financial statements or our knowledge obtained during the audit, or otherwise
appears to be materially misstated.
If, based upon the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Directors’ responsibilities for the financial statements
The directors are responsible, on behalf of the entity, for the preparation and fair presentation of the
consolidated financial statements in accordance with New Zealand Equivalents to International
Financial Reporting Standards and International Financial Reporting Standards, and for such internal
control as the directors determine is necessary to enable the preparation of financial statements that
are free from material misstatement, whether due to fraud or error.
In preparing the consolidated financial statements, the directors are responsible for assessing on
behalf of the entity the Group’s ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless the directors
either intend to liquidate the Group or cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial
statements as a whole are free from material misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordance with International Standards on Auditing
(New Zealand) will always detect a material misstatement when it exists. Misstatements can arise from
fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of these consolidated
financial statements.
A further description of the auditor’s responsibilities for the audit of the financial statements is
located at the External Reporting Board’s website: https://www.xrb.govt.nz/standards/assurance-
standards/auditors-responsibilities/audit-report-1-1/. This description forms part of our auditor’s
report.
The engagement partner on the audit resulting in this independent auditor’s report is Brent Penrose.
Chartered Accountants
Auckland
22 May 2026
68
Consolidated financial statements Oceania Annual Report 2026 /
Remuneration Report from the People
and Culture Committee Chair
Dear Shareholders
As Chair of the Board’s People and Culture Committee, I am pleased to present Oceania’s
Remuneration Report for the financial year ended 31 March 2026.
Remuneration Objectives
Oceania’s remuneration philosophy is to attract, retain and motivate high-calibre individuals
through remuneration practices that are market competitive, are flexible and affordable, and
provide incentives to deliver both annual and long-term results and maximise shareholder value.
Our Remuneration Policy sets out the remuneration principles applied to all executives and
directors. Our objective is to have remuneration practices that are fair and equitable, take account
of internal and external relativities, recognise the commercial environment in which Oceania
operates, and support the achievement of Oceania’s strategic objectives and the creation of long-
term value for shareholders.
Oceania has a diverse workforce and is committed to developing and creating an inclusive
workplace that embraces diversity and inclusion. As part of our Diversity and Inclusion Policy,
Oceania seeks to remunerate equivalent roles in an equitable manner and to address pay
disparities across gender, ethnicity, and other diversity dimensions.
Executive Remuneration
Oceania recognises the need to attract and retain high calibre executives and, accordingly,
structures its executive remuneration to comprise a mix of fixed salaries and variable performance-
based incentives (both short-term and long-term) that are aligned to the company’s strategic
objectives. The purpose of this structure is to provide fair remuneration for executives based on
external benchmarks and to align the interests of Oceania’s executives with those of the company
and its shareholders.
The Board reviews executive remuneration annually, including setting annual targets for executives
against which short-term incentive outcomes are assessed. In FY26, the Board set short-term
incentive targets for the CEO and executives based on underlying EBITDA and net debt reduction
metrics set relative to the approved budget. These targets included stretch targets designed to
incentivise out-performance. Oceania delivered a strong performance in FY26 and the stretch
targets for both underlying EBITDA and net debt reduction were achieved.
For FY27, a similar approach has been adopted with the debt reduction metric being replaced by
a free cashflow from operations (FCFO) metric. The underlying EBITDA and FCFO targets for FY27
incorporate a significant uplift on the performance achieved in FY26. The CEO and executives
also have individual targets as part of their FY27 short-term incentives linked to the delivery of
Oceania’s strategic priorities.
The Board reviewed Oceania’s long-term incentives during FY26 and has implemented a share
option plan for FY27 and future financial years. This plan is broadly consistent with previous share
option plans and involves an annual grant of options with a fixed exercise price (based on trading
prices after the announcement of annual results), and a three-year vesting period.
The 2023 share option plan vests after the announcement of Oceania’s FY26 results. The exercise
price for these options is $0.82 per share and hence the options were “out of the money” at the end
of FY26. The Board recognises that Oceania’s share price has been adversely affected by recent
geopolitical events and the current global fuel crisis. Given the impact of these external events
on the 2023 share option plan, the Board has approved an extension of the option termination
date from 90 days to 365 days for currently employed participants in this plan. Extending the
termination date provides an opportunity for Oceania’s share price to recover and for the options
to return to being “in the money”, and also provides a retention incentive for participants who
remain employed with Oceania.
Except for this amendment to the 2023 share option plan, the Board has not exercised discretion in
relation to the short-term and long-term incentive outcomes in FY26.
69
Oceania Annual Report 2026
CEO Remuneration
Ms Dvorak joined Oceania part-way through FY25 and has now completed her first full financial
year in the CEO role. Under Ms Dvorak’s leadership, Oceania has implemented a new strategic
plan and has delivered significantly improved performance in FY26.
The Board reviewed Ms Dvorak’s remuneration at the end of 2025 and undertook an external
benchmarking assessment based on a peer group of comparable listed companies. Following this
review, the Board increased Ms Dvorak’s base salary and annual long-term incentive grant from
the start of 2026. The increase in Ms Dvorak’s base salary coincided with the cessation of the
transition allowance paid to Ms Dvorak since she commenced as CEO.
For FY26, Oceania delivered a strong performance and the stretch targets for both underlying
EBITDA and net debt reduction were achieved. Accordingly, Ms Dvorak received a 150% weighting
for both Company components of her short-term incentive. The Board also determined that Ms
Dvorak achieved her individual targets for FY26 and applied a 100% weighting to this component
of her short-term incentive. Overall, Ms Dvorak’s short-term incentive remuneration for FY26 was
at 140% of target.
Further details on CEO remuneration are provided in the Remuneration Report.
Director Remuneration
Fees for non-executive directors were assessed as part of the Board’s annual performance
review at the end of FY26. Following this review, the Board agreed that reducing the number of
Board committees would support more efficient governance. On this basis, the Board resolved
to merge the Risk Committee into the Audit Committee and to transfer the responsibilities of the
Sustainability Committee to the Board.
In recognition of the expanded remit of the Audit and Risk Committee, the Board increased the
Chair’s fee for this committee from $20,000 to $25,000. All other directors’ fees, including the
Chair fees for other committees, will remain the same in FY27 as in FY26. Total directors’ fees for
both FY26 and FY27 remain within the shareholder-approved fee cap.
Gender Pay Equity
In FY26, Oceania undertook its first gender pay gap analysis, which considered gender pay equity
across the organisation, including by business unit, length of tenure, and unionised versus non-
unionised employees. The analysis revealed that, on an organisation-wide basis, there is no gap in
the median annual base salaries of male and female employees.
Recognition of Oceania’s People
FY26 was a challenging year for our people as we strengthened the foundations of the
business while maintaining a disciplined focus on costs. We acknowledge the commitment
and professionalism shown by our people throughout the year, and thank our people for the
achievement of a record financial result in FY26 and their continued outstanding care for
our residents.
Rob Hamilton
Chair, People and Culture Committee
70
Oceania Annual Report 2026
Remuneration Report
Oceania presents this Remuneration Report for the year ended 31 March 2026. This report provides
details of Oceania’s approach to remuneration including incentive plans for executives that were in
place for the year ended 31 March 2026 and remuneration received by the CEO and the Directors.
Remuneration Governance
Oceania has a People and Culture Committee comprising Rob Hamilton (Chair) (member
since 3 September 2024), Elizabeth Coutts and Alan Isaac (members since the listing date),
and Sarah Ottrey (member since 1 April 2026). Each member is an independent, non-executive
director. All other directors are entitled to attend People and Culture Committee meetings by
standing invitation, and management may attend People and Culture Committee meetings
by invitation only.
The People and Culture Committee assists the Board in discharging its responsibilities for people
and culture-related matters, including remuneration.
The responsibilities and processes of the Committee with respect to remuneration include
the following:
• Reviewing and recommending changes to Oceania’s remuneration structure, people policies,
procedures and practices, objectives and performance.
• Reviewing and recommending changes to the remuneration of the CEO and senior executives,
having regard to Oceania’s strategy, vision, values, business objectives and performance, the
responsibilities and performance of senior executives and the general external market.
• Reviewing and recommending changes to Directors’ fees, taking into account the external
market, workload, succession planning and the need to offer competitive fees to attract and
retain non-executive Directors of a high calibre.
Further information about the People and Culture Committee’s role is set out in its written charter,
available here: https://oceaniahealthcare.co.nz/investor-centre/governance/.
The Board has ultimate oversight of Oceania’s approach to remuneration, and its responsibilities
and processes in relation to remuneration include the following:
• Approving changes to Oceania’s remuneration structure, people policies, procedures and
practices, objectives and performance.
• Approving changes to the remuneration of the CEO and senior executives.
• Determining changes to non-executive Directors’ fees, including seeking approval from
shareholders for proposed increases in the total fee pool.
Remuneration Policy
It is recognised that to drive sustainable business performance and execute its strategic plan,
Oceania must have a high performing leadership team and must attract and retain people
of a high calibre and requisite expertise across the organisation. Accordingly, the Board, on
the recommendation of the People and Culture Committee, sets the remuneration of the CEO
and senior executives.
Oceania’s policy is to align components of executive remuneration with the company’s
performance and the interests of its shareholders. Executive remuneration therefore comprises both
fixed and variable performance-based elements, which are both short and long-term in nature. The
purpose of this policy is to ensure that the interests of the executives, Oceania and its shareholders
are aligned during the period over which the business results are realised.
Oceania’s Remuneration Policy and Trading in Company Securities Policy for executives are
available to view here: https://oceaniahealthcare.co.nz/investor-centre/governance/.
Each year, the Committee conducts a review of Oceania’s Remuneration Policy to assess whether
any changes are required to ensure it continues to deliver a remuneration structure and levels that
are consistent with the policy principles.
Executive Remuneration Framework
Oceania’s remuneration structure for executives, including the Chief Executive Officer (“CEO”),
comprises three components:
• Total fixed remuneration (“TFR”);
• Short term incentive (“STI”); and
• Long term incentive (“LTI”).
Each of these components is summarised below.
a. Total Fixed Remuneration
TFR includes base salary and, in some cases, the provision of a carpark, a vehicle allowance
and applicable KiwiSaver or superannuation contributions. Each executive’s TFR is set based on
the individual’s position, market relativity, and the individual’s qualifications, experience and
performance. TFR is reviewed annually.
71
Oceania Annual Report 2026
b. Short Term Incentive
The STI is an annual incentive based on Oceania company and individual performance measures
within a financial year. During the 2026 financial year, the STI was paid in cash for all executives
except the Chief Executive Officer (CEO), Chief Financial Officer (CFO) and Chief Property
and Development Officer (CPDO). The CEO, CFO and CPDO participated in a Deferred Equity
Scheme, whereby 80% of the STI entitlement was paid in cash and 20% of the STI entitlement was
paid via the grant of Restricted Share Rights (as outlined below). CEO remuneration is discussed in
more detail below.
The purpose of the STI plan is to align individual performance with Oceania’s objectives and to
reward executives for achieving measurable objectives over the financial year. The STI performance
measures are set by reference to each executive’s responsibilities and any specific projects relevant
to that executive and the business or function for which they are accountable.
The table below sets out the key terms of the STI plan for executives for the 2026 financial year.
FeatureApproach
EligibilityThose considered for participation in the STI programme must be able to impact the
performance of their work area or function and also contribute to Oceania’s overall
performance.
Instrument (Cash & Deferred
Equity Scheme)
All executives except CEO, CFO and CPDO
STI entitlement for all executives except the CEO, CFO and CPDO is paid fully in cash.
CEO, CFO and CPDO
Where the relevant thresholds are met or exceeded, 80% of the STI entitlement payable to
the CEO, CFO and CPDO is payable in cash and 20% is deferred and payable in the form
of a grant of Restricted Share Rights (RSRs), which give the participant the opportunity to
acquire fully paid ordinary shares over a three-year vesting period.
The Restricted Share Rights vest in three equal instalments from the STI Payment Date
(Grant Date):
• one third after 12 months
• one third after 24 months
• one third after 36 months
subject to ongoing employment.
Performance TargetsCompany performance targets:
1. Underlying EBITDA relative to budget
2. Net Debt reduction relative to budget
Each measure has a defined threshold, target and maximum stretch target of up to 150%.
Achievement below the minimum threshold results in 0% outcome for that component.
Senior executives appointed at the beginning of the financial year also have individual
performance targets, in addition to the Company performance targets, linked to the
delivery of Oceania’s strategic priorities.
Outcome FY2026150% stretch target of the Underlying EBITDA growth KPI was met
150% stretch target of the Net Debt reduction KPI was met
For the 2027 financial year, a similar STI scheme has been adopted. Company performance
targets for the 2027 financial year have been set for underlying EBITDA and Free Cashflow from
Operations (FCFO) metrics based on the annual budget approved by the Board. Executives
also have individual targets as part of their FY27 STI linked to the delivery of Oceania’s
strategic priorities.
For the 2027 financial year, the CEO has a target STI set at 62.5% of fixed annual base
remuneration. The CFO has a target STI set at 50% of fixed annual base remuneration.
Other Executive Leadership Team members have a target STI set at 40% of fixed annual base
remuneration. Selected other senior employees who are able to influence strategic outcomes also
participate in the STI plan, with STI targets set at 20% of fixed annual base remuneration.
c. Long Term Incentive
The current LTI is a share option plan for the CEO and senior executives (the “Option Plan”), as
outlined below. The purpose of the Option Plan is to:
a) Drive longer term performance and alignment of incentives of participants with the interests of
Oceania’s shareholders;
b) Encourage longer term decision making by participants; and
c) Reward and retain key employees.
The table below sets out the key terms of the grants made under the Option Plan during the 2026
financial year.
FeatureApproach
EligibilityThe Board determines whether an Option Plan will operate and the extent
(if any) to which each executive is invited to participate in an Option Plan
each year.
InstrumentAll participants in the Option Plan are granted market-priced share options to
acquire ordinary shares on a one-for-one basis at a fixed exercise price upon
vesting. The exercise price represents a share price appreciation hurdle before
the options can realise value for participants.
On exercise of the share options at the fixed exercise price, Oceania will
facilitate a cashless (net settled) exercise by issuing such number of shares as is
equal to the difference between the then current market value and the exercise
price (less an adjustment for tax paid on the holder’s behalf for the benefit
received), multiplied by the number of share options being exercised, divided
by the then current market value of Oceania’s shares.
Grant valueThe Black-Scholes option pricing model methodology is used to value
the option.
Vesting periodApproximately three years, being the date on which the relevant share option
is granted until 10 business days after announcement of Oceania’s final results
three years later (or such other date as determined by the Board).
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Oceania Annual Report 2026
FeatureApproach
Exercise periodParticipants generally have 90 days from the date the share options
vest to exercise the share options. The Board has discretion to extend the
exercise period.
Dividends and voting rightsShare options do not have voting rights or entitlement to dividends.
Vesting conditional on continued
employment
The share options will lapse immediately if the participant ceases employment
with Oceania during the vesting period, unless the cessation is due to an
“involuntary event” (such as death, redundancy, or total and permanent illness
or injury) or the Board determines, in its sole discretion, that the participant is a
“good leaver”. In those circumstances, the participant will either retain some or
all the options on the same terms as if they had remained employed, or vesting
may be accelerated, at the Board’s discretion.
Malus/Clawback provisionsThe Board has discretion to claw back, reduce or forfeit part or all of an
LTI award to ensure a participant does not derive an unfair benefit in
specified circumstances.
For the 2027 financial year, the same Option Plan has been retained.
The Board agreed to increase Ms Dvorak’s entitlement from 60% of annual base remuneration to
70% annual base remuneration after undertaking external market benchmarking.
For the 2027 financial year, the CEO will be offered an LTI award of 70% of fixed annual base
remuneration and other senior executives will be offered a target LTI award of 40% of fixed annual
base remuneration.
CEO Remuneration
A summary of the remuneration of the CEO, Suzanne Dvorak, for the 2026 financial year is set
out below.
1. CEO Contract Key Terms and Remuneration Summary
FeatureContractual Provision
Base Salary$920,750
From 1 April 2025 to 31 December 2025, Ms Dvorak received an annual salary of
$861,000 and a transition allowance totalling $177,500 (referred to below under “Other
Benefits”). Effective from 1 January 2026, the transition allowance ceased and Ms
Dvorak’s annual salary was increased to $1,100,000. The fixed base salary for the
2026 financial year reflects the total salary payments over this 12 month period. The
increased level of Ms Dvorak’s annual base salary was determined following an external
benchmarking review undertaken by the Board.
Other Benefits$208,060
“Other benefits” include a taxable transition allowance of $177,500 paid in equal
monthly instalments until 31 December 2025, to assist with Ms Dvorak’s relocation
to New Zealand. Superannuation payments of $30,560 are also included in
“Other benefits”.
STI Entitlement62.5% of base salary (at target), with a stretch target of 140% of target (or 87.5% of
base salary) if financial performance thresholds set by the Board are achieved and
individual targets are fully achieved. Achievement below the minimum threshold for
each financial performance target results in 0% outcome for the relevant component.
80% is payable in cash and 20% is payable via the grant of deferred restricted share
rights that progressively vest over three years.
Refer above for more information on the terms of the STI plan.
LTI Entitlement60% of base salary via the grant of market-priced options. Refer above for more
information on the terms of the LTI plan.
Contract durationOngoing until terminated by either party.
Termination Clauses6 month notice period
6 month restraint
12 month non-solicitation period.
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2. CEO Remuneration paid and earned for the 2026 financial year
Ms Dvorak’s total remuneration for the 2026 financial year is as follows:
Fixed remuneration
Discretionary short and long term variable
remunerationTotal
Base Salary
1
Other Benefits
2
STI
Cash-Based
Payment
STI Deferred
Equity RSR
Grant
LTI Options
Grant
Total Remuneration (fixed + STI earned + LTI
granted during the financial year)
$920,750$208,060$644,525$161,131$516,600$2,451,066
No LTI vested during the financial year.
The remuneration paid to and earned by the CEO during the 2026 financial year is described in more detail below:
Ye a rFixed remunerationDiscretionary annual variable remunerationLong term variable remuneration (options)Total
Base Salary
1
Other Benefits
2
STI
Cash-Based
Payment
STI Deferred Equity
RSR Grant
STI earned as a % of
maximum award
Total cash-based
remuneration
Number of shares
issued upon exercise
Number of equity
securities vested
Vesting as a % of
maximum
Market price upon
exercise
Total value of LTI
vested
Total Remuneration
(fixed + STI + LTI
vested)
Earned in FY2026
3
$920,750$208,060$644,525$161,131100%$1,934,466NilNilNilNil$0$1,934,466
Paid in FY2026
4
$920,750$208,060$290,366N/AN/AN/ANilNilNilNil$0$1,419,176
Ms Dvorak commenced as Chief Executive Officer on 22 July 2024 so was only in office for part of the 2025 financial year (being the prior comparative period). The remuneration paid to and earned
by the CEO for this period was as follows:
Ye a rFixed remunerationDiscretionary annual variable remunerationLong term variable remuneration (options)Total
Base Salary
1
Other Benefits
2
STI
Cash-Based
Payment
STI
Deferred Equity RSR
Grant
STI earned as a % of
maximum award
Total cash-based
remuneration
Number of shares
issued upon exercise
Number of equity
securities vested
Vesting as a % of
maximum
Market price upon
exercise
Total value of LTI
vested
Total Remuneration
(fixed + STI + LTI
vested)
Earned in FY2025
5
$581,539$103,901$250,366$62,592 86%$998,398NilNilNilNil$0$998,398
Paid in FY2025
6
$581,538$103,901NilNilN/A$685,439NilNilNilNil$0$685,439
Refer below for LTI grants during these financial periods that remain unvested.
1. “Base Salary” includes fixed annual base remuneration. From 1 April 2025 to 31 December 2025, Ms Dvorak received an annual salary of $861,000. Effective 1 January 2026, Ms Dvorak’s annual base salary increased to $1,100,000.
2. “Other benefits” include a taxable transition allowance of $177,500 paid in equal monthly instalments until 31 December 2025, to assist with Ms Dvorak’s relocation to New Zealand. Superannuation payments are also included in “Other benefits”.
3. The total fixed remuneration and STI figures include all monetary amounts earned in respect of the year 31 March 2026 but the STI components will not be paid until FY27.
4. The total fixed remuneration and STI figures include all monetary payments actually paid during the course of the year ended 31 March 2026, which include performance incentive payments for the year ended 31 March 2025 and a $40,000 advance payment of the STI earned for the year ended 31 March 2026.
5. The total fixed remuneration and STI figures include all monetary amounts earned in respect of the year 31 March 2025 but the STI components were paid in the year ended 31 March 2026.
6. The total fixed remuneration and STI figures include all monetary payments actually paid during the course of the year ended 31 March 2025.
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3. CEO STI Key Performance Summary
In relation to the 2026 financial year, the CEO’s STI outcome was determined based on the
following company performance targets, which were achieved as seen below.
MeasuresWeighting% of Target Achieved
Underlying EBITDA growth relative to the
prior comparative period
40%
Minimum
50%
Target
100%
Maximum
150%
Stretch Target Achieved (150%; $345,281)
Net Debt reduction relative to the prior
comparative period
40%
Minimum
50%
Target
100%
Maximum
150%
Stretch Target Achieved (150%; $345,281)
Strategic KPI based on progress against
strategic growth and development,
including relevant sustainability and
climate outcomes.
20%
Minimum
50%
Target/Maximum
100%
Target Achieved (100%; $115,094)
TOTAL
Minimum
50%
Target
100%
Maximum
140%
Overall Target Achieved (140%; $805,656)
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4. CEO LTI Awards
Restricted Share Rights granted under the STI Deferred Equity Scheme to the CEO as at 31 March 2026:
Awarded during reporting periodVesting during the reporting period
Shares issued during
reporting period
Grant NameGrant DateVesting Schedule
Balance as at
31 March 2025
(prior reporting
period)RSRs Awarded
Value at
time of grant
RSRs Lapsed during
reporting period
RSRs
Vested
Market
Price at
Vesting
DateVesting DateShares Issued
RSR
Balance at
31 March 2026
STI Deferred Equity
Grant 2025 (RSRs)
12/06/25One third - June 2026
One third - June 2027
One third - June 2028
-103,869$62,592NilNilN/AN/ANil103,869
Share Options granted under the LTI plan to the CEO as at 31 March 2026:
Prior reporting periodAwarded during reporting periodVesting during the reporting period
Shares issued during
reporting period
Grant NameGrant DateVesting Schedule
Balance as at
31 March 2025
(prior reporting
period)
Value at
time of grant
Options
Awarded
Value at
time of grant
Lapsed during
reporting period
Options
Vested
Exercise
Price at
Vesting
DateVesting DateShares Issued
Options
Balance at
31 March 2026
LTI Options Grant 202422/07/24June 2027775,385$504,000NilNil$0.76N/ANil775,385
LTI Options Grant 202526/05/25June 2028--2,583,000$516,600NilNil$0.65N/ANil2,583,000
Ms Dvorak, along with other senior executives, will be invited to participate in a share option plan in relation to the 2027 financial year, as described under Long Term Incentive section above. For the 2027 financial
year, Ms Dvorak will be offered an LTI award equal to 70% of fixed annual base remuneration. The increase in Ms Dvorak’s LTI award (from 60% to 70%) was determined following an external benchmarking review
undertaken by the Board.
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Remuneration Report
Employees’ Remuneration
Oceania did not employ people directly in the year ended 31 March 2026. All employees are
employed by subsidiaries of Oceania. As required by the Companies Act 1993, the table of
remuneration bands below shows, in $10,000 brackets, the number of employees and former
employees of Oceania’s subsidiaries (excluding directors of Oceania) who received remuneration
and other benefits in their capacity as employees exceeding $100,000 during the financial year
ended 31 March 2026.
The remuneration figures shown in the “Remuneration Band” column include all monetary
payments actually paid during the course of the year ended 31 March 2026, which include base
salaries, performance incentives, and contributions to Kiwisaver. The table does not include
amounts paid after 31 March 2026 that relate to the year ended 31 March 2026.
Remuneration Band
($NZ)
7
Number of
Employees
Remuneration Band
($NZ)
Number of
Employees
100,000.00 109,999.00 80 250,000.00 259,999.00 1
110,000.00 119,999.00 90 260,000.00 269,999.00 3
120,000.00 129,999.00 92 270,000.00 279,999.00 2
130,000.00 139,999.00 32 310,000.00 319,999.00 1
140,000.00 149,999.00 13 320,000.00 329,999.00 3
150,000.00 159,999.00 11 340,000.00 349,999.00 2
160,000.00 169,999.00 9 350,000.00 359,999.00 1
170,000.00 179,999.00 9 360,000.00 369,999.00 1
180,000.00 189,999.00 5 370,000.00 379,999.00 1
190,000.00 199,999.00 14 420,000.00 429,999.00 1
200,000.00 209,999.00 4 450,000.00 459,999.00 1
210,000.00 219,999.00 6 470,000.00 479,999.00 1
220,000.00 229,999.00 4 480,000.00 489,999.00 1
230,000.00 239,999.00 2 700,000.00 709,999.00 1
240,000.00 249,999.00 2 1,410,000.00 1,419,999.00 1
1,520,000.00 1,529,999.00 1
Total number of employees
and former employees395
CEO/Worker Ratio
The CEO/Worker ratio represents the number of times greater the CEO's remuneration is to the
remuneration of an employee paid at the median of all employees.
The CEO's total base salary for the 2026 financial year of $920,750 was 14.2 times that of the
median employee base salary at $64,958 per annum. The CEO's total remuneration, including STI
earned and LTI granted (noting that no LTI vested during the period) of $2,451,066 was 37.7 times
that of the median employee base salary per annum.
For the purposes of determining the median paid to all employees, all permanent full-time,
permanent part-time and fixed-term employees are included, with part-time and casual employee
remuneration adjusted to a full-time equivalent amount.
Gender Pay Gap and Pay Equity
2025/2026 Outcome: 0% gender pay gap based on median base salaries.
Oceania recognises the importance of gender pay equity across the organisation. Oceania
has undertaken gender pay gap analysis across multiple dimensions to gain an enhanced
understanding of Oceania’s gender pay gap and pay equity.
The result of the organisation-wide analysis for FY26, applying the Stats New Zealand formula for
calculating the overall gender pay gap, confirmed there was in fact no pay gap based on median
base salaries between male and female genders. The median base salary (on a full-time equivalent
basis) across the organisation was the same for both males and females.
According to the latest data reported by Stats New Zealand, the New Zealand national gender pay
gap was 5.2% in June 2025.
Oceania is committed to continuing regular and enhanced gender pay gap analysis going
forward, including undertaking further detailed analysis in relation to pay equity and monitoring
the underlying drivers of its gender pay gap.
7. The total includes redundancy payments made during FY26 which arose from organisational changes across the business during the financial year.
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Remuneration Report
Directors’ Remuneration Policy
When determining the fees for non-executive directors, the Board considers the complexity of
Oceania’s business and the time commitment and level of governance engagement required by
the Oceania board. A copy of Oceania’s remuneration policy relating to Directors is available here
https://oceaniahealthcare.co.nz/investor-centre/governance/.
Non-executive director remuneration is paid solely by way of fees, and non-executive directors
do not receive any performance-based or equity-based remuneration. A higher level of fees is
paid to the Chair of the Board to reflect the additional time and responsibilities that this position
involves. Additional fees are payable in respect of work carried out by the Chairs of the various
Board committees.
In 2022, the total non-executive director remuneration pool was approved by shareholders as
$896,000 (plus GST, if any) per annum.
In the 2026 financial year, the total non-executive director remuneration pool remained
unchanged, and fees paid to non-executive directors totalled $890,275.
No payments were made to non-executive directors for assuming additional responsibilities above
and beyond the normal duties of the Board or as a Chair of a committee for significant strategic
work or projects.
8. Sally Evans has announced her intention to retire at the 2026 Annual Shareholder Meeting.
9. Sarah Ottrey joined the Board on 5 February 2026. Accordingly, director fees were paid for a part period.
1. Director Remuneration paid in the 2026 financial year
A breakdown of the Board and Committee Chair fees for the period ending 31 March 2026
is set out below.
DirectorDirector Fee
Audit
Committee
Chair Fee
Clinical
and Health
& Safety
Committee
Chair Fee
People and
Culture
Committee
Chair Fee
Development
Committee
Chair Fee
Sustainability
Committee
Chair Fee
Risk
Committee
Chair Fee
Total
Remuneration
Received
Elizabeth Coutts (Chair)$220,000------$220,000
Alan Isaac $110,000$20,000----$16,000$146,000
Dame Kerry Prendergast$110,000-$20,000----$130,000
Sally Evans
8
$110,000----$16,000-$126,000
Gregory Tomlinson $110,000---$16,000--$126,000
Rob Hamilton $110,000--$16,000---$126,000
Sarah Ottrey
9
$16,275------$16,275
The above fees exclude GST and expenses.
No fees are paid to members of Committees.
2. Director Remuneration to be paid in the 2027 financial year
Fees for non-executive directors were assessed as part of the Board’s annual performance
review at the end of FY26. Following this review, the Board agreed that reducing the number of
Board committees would support more efficient governance. On this basis, the Board resolved
to merge the Risk Committee into the Audit Committee and to transfer the responsibilities of the
Sustainability Committee to the Board. In recognition of the expanded remit of the Audit and Risk
Committee, the Board increased the Chair’s fee for this committee from $20,000 to $25,000.
All other directors’ fees, including the Chair fees for other committees, will remain the same in
FY27 as in FY26. Total directors’ fees for both FY26 and FY27 remain within the shareholder-
approved fee cap.
Accordingly, the following Director fees apply for the 2027 financial year:
Board Chair FeeDirector Fee
Audit and
Risk Committee
Chair Fee
Clinical and Health
& Safety Committee
Chair Fee
People and
Culture Committee
Chair Fee
Development
Committee
Chair Fee
$220,000$110,000$25,000$20,000$16,000$16,000
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Oceania Annual Report 2026
Corporate Governance
Oceania’s governance framework is guided by the recommendations set out in the March 2026
edition of the NZX Corporate Governance Code (NZX Code). Oceania has prepared a statement
on the extent to which it has followed the recommendations in the NZX Code. The Corporate
Governance Statement is current as at 31 March 2026. Oceania considers that it has followed
the recommendations in the NZX Code in all respects during FY2026.
For detailed information on Oceania’s corporate governance policies, practices and processes
please refer to the Investors’ section on the Oceania website - www.oceaniahealthcare.co.nz/
investor-centre/governance. This contains the following documents:
• Corporate Governance Statement
• Constitution
• Charters
–Board Charter
–Audit and Risk Committee Charter
–Clinical and Health and Safety Committee Charter
–Development Committee Charter
–People and Culture Committee Charter
• Policies
–Code of Values and Conduct
–Continuous Disclosure Policy
–Diversity and Inclusion Policy
–External Auditor Independence Policy
–Fraud Policy
–Health and Safety Policy
–Modern Slavery Policy
–Privacy Policy
–Remuneration Policy
–Sustainability Policy
–Trading in Company Securities Policy
–Whistleblowing Policy
Director independence
As at 31 March 2026, the Board comprised seven Directors. All of the Directors are non-executive
Directors. Oceania is committed to maintaining a Board where the majority of directors are
independent, and free from any interests or relationships that could compromise (or appear to
compromise) their ability to exercise objective and impartial judgement.
When assessing the independence of directors, the Board considers a number of factors including
those set out in the Board Charter and in table 2.4 of the NZX Corporate Governance Code.
In making its determination, the Board has assessed each Director’s interests, positions and
relationships, including the nature and significance of any association with Oceania. The Board
has determined that, as at 31 March 2026, all seven Directors are Independent Directors, including
the Chair and the Chair of the Audit and Risk Committee.
The Board (other than Elizabeth Coutts) has considered the tenure of Ms Coutts, who has been a
director for over 11 years and Chair throughout her tenure. The Board is of the view that Ms Coutts’s
tenure does not interfere with her capacity to bring an independent judgement to bear on issues
before the Board, act in the best interests of Oceania, and represent the interests of Oceania’s
financial product holders generally. Similarly, the Board (other than Alan Isaac) has considered
the tenure of Mr Isaac, who has been a director for over 10 years. The Board is also of the view
that Mr Isaac’s tenure does not interfere with his capacity to bring an independent judgement to
bear on issues before the Board, act in the best interests of Oceania, and represent the interests of
Oceania’s financial product holders generally.
Oceania has commenced its planned Board succession process with the appointment of Sarah
Ottrey in February 2026 and the announcement of Sally Evans’s intention to retire at the 2026
Annual Shareholder Meeting. The Board has assessed the mix of skills and experiences required and
will appoint new directors with the identified skills and experience to ensure smooth and effective
Board succession. Following Sally Evan’s retirement, there will be six directors on the Board.
As at the date of this Annual Report, the Directors are:
Elizabeth CouttsChair, Independent DirectorAppointed in November 2014
Alan IsaacIndependent DirectorAppointed in October 2015
Dame Kerry PrendergastIndependent DirectorAppointed in December 2016
Sally Evans
1
Independent DirectorAppointed in March 2018
Gregory TomlinsonIndependent DirectorAppointed in March 2018
Rob HamiltonIndependent DirectorAppointed in September 2021
Sarah OttreyIndependent DirectorAppointed in February 2026
1. Sally Evans has announced her intention to retire at the 2026 Annual Shareholder Meeting and her resignation as a Director of Oceania will become effective
on that date.
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Oceania Annual Report 2026
Committee Membership
As at 31 March 2026, the Board had six standing committees to assist in the execution of the
Board’s duties. With effect from 1 April 2026, the number of committees was reduced to four.
Following the Board’s annual performance review, the Board agreed that reducing the number
of Board committees would support more efficient governance. Accordingly, on 31 March 2026,
the Board resolved to merge the Risk Committee into the Audit Committee and to transfer the
responsibilities of the Sustainability Committee to the Board. As a consequence, Dame Kerry
Prendergast joined the Audit and Risk Committee.
The Audit and Risk Committee comprises only non-executive directors, has a majority of
independent directors, and at least one member with an accounting or financial background. The
Chair of the Audit and Risk Committee, Alan Isaac, is an independent director and is not the Chair
of the Board. Alan Isaac, Elizabeth Coutts and Rob Hamilton each have an extensive accounting
and financial background.
CommitteeAs at 31 March 2026As at 1 April 2026
Audit CommitteeAlan Isaac (Chair), Elizabeth Coutts,
Rob Hamilton
-
Risk CommitteeAlan Isaac (Chair), Elizabeth Coutts,
Dame Kerry Prendergast
-
Audit and Risk Committee-Alan Isaac (Chair), Elizabeth Coutts,
Rob Hamilton, Dame Kerry Prendergast
People and Culture CommitteeRob Hamilton (Chair),
Elizabeth Coutts, Alan Isaac
Rob Hamilton (Chair), Elizabeth Coutts,
Alan Isaac, Sarah Ottrey
Clinical and Health & Safety CommitteeDame Kerry Prendergast (Chair),
Elizabeth Coutts, Sally Evans
Dame Kerry Prendergast (Chair),
Elizabeth Coutts, Sally Evans
2
,
Sarah Ottrey
Development CommitteeGregory Tomlinson (Chair),
Elizabeth Coutts
Gregory Tomlinson (Chair),
Elizabeth Coutts
Sustainability CommitteeSally Evans (Chair), Elizabeth Coutts,
Rob Hamilton
-
2. Sally Evans’s membership on this Committee will end on 30 July 2026 with her director resignation.
Diversity and Inclusion
Oceania’s Diversity and Inclusion Policy is available on its website at https://www.
oceaniahealthcare.co.nz/investor-centre/governance. The Diversity and Inclusion Policy aims to
ensure that Oceania has a focus on diversity throughout the organisation. This recognises that a
diverse workforce contributes to business growth and performance, helping to drive an inclusive,
high-performance environment in addition to being reflective of our resident community.
The Board considers that the Diversity and Inclusion Policy has been successfully implemented
across the business and remains a key focus with a balance of gender at Director and officer
levels. As at 31 March 2026 (and 31 March 2025 for the prior comparative period), the gender
breakdown of the Directors, officers (as that term is defined in the NZX Listing Rules) and
employees is as follows:
31 March 202631 March 2025
GenderMaleFemaleGender Diverse
3
MaleFemaleGender Diverse
3
Directors340330
Officers
4
260240
Employees3811,863
1 Non-binary
1 Other4692,2252
Oceania has introduced internal systems and processes to allow regular and efficient monitoring
of policy objectives including the implementation of a centralised Human Resources Information
System (HRIS) designed to ensure Oceania can capture and report diversity data in real time. This
data includes gender, ethnicity (inclusive of Iwi affiliation) and age (as far as people are willing
to disclose).
This enhanced data capture will substantially increase Oceania’s ability to make informed policy,
remuneration and employee related decisions.
3. Gender diverse is self-identified and includes those who have selected “prefer not to say”.
4. Officers are considered to be the Chief Executive Officer and her direct reports (the Executive Leadership Team).
Corporate Governance
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Oceania Annual Report 2026
Statutory Disclosures
Disclosure of Directors’ Interests
The following particulars were entered in the Interest Register kept for Oceania and its subsidiaries
during the year ended 31 March 2026:
DirectorEntityRelationship
Elizabeth CouttsFonterra Co-operative Group LimitedResigned as Consultant
Alan IsaacCompanies in the Scales Corporation
Limited Group
Resigned as Director
Dame Kerry PrendergastAudit and Risk Committee for Tauranga
City Council
Victoria University Foundation
Appointed Committee Chair
Resigned as Chair
Sally EvansDPG Services Pty Limited
Blue Cross Community Care Services
Group Pty Limited
DAC Finance Pty Limited
Principal Healthcare Finance Pty Limited
Australian Aged Care Quality and
Safety Commission
Appointed Director
Appointed Director
Appointed Director
Appointed Director
Resigned as an Advisory Council Member
Gregory TomlinsonTAB/Entain
New Zealand Thoroughbred
Racing Incorporated
Minister for Racing
Appointed as Advisor
Appointed as Advisor
Appointed as Advisor
Sarah Ottrey
5
Christchurch International
Airport Limited
Whitestone Cheese Limited
Skyline Enterprises Limited
Mount Cook Alpine Salmon Limited
Sarah Ottrey Marketing Limited
APEC Business Advisory Council
NZTE NZ Story Reference Group
NZ China Business Council
Chair
Chair
Director
Director
Director
NZ Member
Member
Member
Specific Disclosures
There were no specific disclosures made by Directors during the year ended 31 March 2026 of any
interests in transactions with Oceania or any of its subsidiaries.
Use of Company Information
During the year ended 31 March 2026, the Board did not receive any notices from Directors
requesting to disclose or use Oceania’s or any of its subsidiaries’ information received in their
capacity as Directors that would not otherwise have been available to them.
Events After Balance Date
There have been no events after the 31 March 2026 balance date notified by any Directors.
Securities Dealings of Directors
There were no dealings by Directors of Oceania in relevant interests in Oceania’s ordinary shares
during the year ended 31 March 2026.
Directors’ Interests in Shares
Directors of Oceania have disclosed the following relevant interests in shares as at 31 March 2026:
DirectorNumber of shares in which a relevant interest is held
Elizabeth Coutts
6
2,059,403 shares
Alan Isaac
7
434,886 shares
Dame Kerry Prendergast365,355 shares
Sally Evans303,985 shares
Gregory Tomlinson
8
27,882,244 shares
Rob Hamilton
9
40,500 shares
Sarah Ottrey0 shares
There were no new entries made in the subsidiary company Interest Registers during the financial
reporting period.
Indemnity and Insurance
Oceania has granted indemnities, as permitted by the Companies Act 1993 and the Financial
Markets Conduct Act 2013, in favour of each of its Directors and officers. Oceania also maintains
Directors’ and Officers’ liability insurance for its Directors and officers.
5. These entries reflect Interest Register disclosures made at time of Sarah Ottrey’s appointment in respect of pre-existing interests.
6. Elizabeth Coutt’s relevant interests are legally held by Custodial Services Limited.
7. Alan Isaac’s relevant interests are legally held both in his own name and within a family trust.
8. Gregory Tomlinson’s relevant interests are legally held by Tomlinson Group Investments Limited.
9. Rob Hamilton’s relevant interests are legally held by JB Were Custodial Services.
Corporate Governance
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Oceania Annual Report 2026
Director Remuneration
For the purposes of section 161 of the Companies Act 1993, the Board approved the payment of an
increase in director fees for the FY26 financial year, on the grounds set out in the corresponding
directors’ certificate. The total non-executive director remuneration pool remains unchanged.
Auditor’s Fees
Oceania’s external auditor is EY. Total fees payable to EY in its capacity as auditor during the
financial year ended 31 March 2026 were $631,050. Total fees payable to EY for other assurance
services relating to climate-related reporting requirements were $94,500. EY was paid $9,400 for
other professional services, which related to the provision of market renumeration surveys.
Donations
During the year ended 31 March 2026, Oceania paid a total of $1,752 in donations. Oceania
has a policy of not making any political donations and this policy was complied with during
the financial year.
Listings
Oceania’s shares are listed on the NZX Main Board and the Australian Securities Exchange
operated by ASX Limited. Oceania is listed on ASX as a Foreign Exempt Listing, which means that
Oceania is required to comply with the NZX Listing Rules but it is exempt from the majority of the
ASX Listing Rules. In accordance with ASX Listing Rule 1.15.3, Oceania confirms that it has complied
with the NZX Listing Rules for the financial year ended 31 March 2026.
NZX Waivers
Oceania did not apply for or rely upon any waivers from the requirements of the NZX Listing Rules
during the financial year ended 31 March 2026.
Credit Rating
Oceania currently has not sought a credit rating.
Corporate Governance
10. Sarah Miller replaced Andrew Buckingham as a director of Oceania Village Company Limited, Oceania Group (NZ) Limited and Oceania Care Company
Limited on 30 January 2026. Elizabeth Coutts ceased to hold office as a director of the same subsidiary companies on 28 June 2025.
11. Rob Hamilton will replace Sally Evans as a director of OCA Employees Trustee Limited on 30 July 2026.
12. Sarah Miller will be appointed as a director of Bream Bay Village Limited on 30 July 2026.
Former Directors
No directors retired during the financial year. Sally Evans has advised of her intention to retire from
the Board at the 2026 Annual Shareholder Meeting.
Distributions / Dividends
There were no dividends or distributions paid to shareholders during the financial year. Dividends
and other distributions with respect to the shares are only made at the discretion of the
Oceania Board.
Subsidiary Company Directors
The Directors of Oceania’s subsidiaries as at 31 March 2026 are set out below.
Subsidiary CompanyDirectors
10
Oceania Village Company LimitedSuzanne Dvorak, Kathryn Waugh, Sarah Miller
Oceania Group (NZ) LimitedSuzanne Dvorak, Kathryn Waugh, Sarah Miller
OCA Employees Trustee LimitedElizabeth Coutts, Sally Evans
11
Oceania Care Company LimitedSuzanne Dvorak, Kathryn Waugh, Sarah Miller
Bream Bay Village Limited
12
Suzanne Dvorak, Kathryn Waugh
No remuneration is payable, and there is no entitlement to other benefits, for any directorship of
a subsidiary.
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Oceania Annual Report 2026
Shareholder and Bondholder Information
Twenty Largest Registered Shareholders
Set out below are details of the 20 largest shareholders of Oceania as at 31 March 2026:
Registered ShareholderNumber of Shares% Shares
1FORSYTH BARR CUSTODIANS LIMITED <1-CUSTODY>117,520,69316.23%
2BNP PARIBAS NOMINEES (NZ) LIMITED
13
91,794,69712.67%
3LENNON HOLDINGS LIMITED 36,037,6204.98%
4ACCIDENT COMPENSATION CORPORATION
13
34,834,1054.81%
5GENERATE KIWISAVER PUBLIC TRUST NOMINEES LIMITED
13
31,809,4054.39%
6TOMLINSON GROUP INVESTMENTS LIMITED 27,882,2443.85%
7NEW ZEALAND DEPOSITORY NOMINEE LIMITED <A/C 1
CASH ACCOUNT>
25,570,7683.53%
8CITIBANK NOMINEES (NEW ZEALAND) LIMITED
13
18,452,4382.55%
9APEX CUSTODIAN NOMINEES (NZ) LIMITED
13
16,260,4762.25%
10CUSTODIAL SERVICES LIMITED <A/C 4>16,233,7132.24%
11JPMORGAN CHASE BANK NA NZ BRANCH-SEGREGATED
CLIENTS ACCT
13
15,681,8262.17%
12HSBC NOMINEES (NEW ZEALAND) LIMITED A/C STATE STREET
13
13,796,7481.91%
13FORSYTH BARR CUSTODIANS LIMITED <ACCOUNT 1 E>13,275,8211.83%
14FNZ CUSTODIANS LIMITED 10,823,9961.49%
15PT (BOOSTER INVESTMENTS) NOMINEES LIMITED 6,660,2300.92%
16H & G LIMITED 6,150,0000.85%
17HSBC NOMINEES (NEW ZEALAND) LIMITED
13
6,137,7020.85%
18NZX WT NOMINEES LIMITED <CASH ACCOUNT>5,293,1390.73%
19DONNA MAREE HURST & DOUGLAS CULMER HURST & GEOFFREY
EWEN MCPHAIL & BANCO TRUSTEES LIMITED <DOUG HURST
FAMILY A/C>
5,000,0000.69%
20HSBC NOMINEES A/C NZ SUPERANNUATION FUND
NOMINEES LIMITED
13
4,485,5300.62%
Total503,701,15169.55%
Spread of Registered Shareholdings
As at 31 March 2026 there were 724,231,030 ordinary shares on issue, each conferring on the
registered holder the right to vote on any resolution at a meeting of shareholders. These shares
were held as follows:
Size of Holding
Number of
Shareholders%Number of Shares%
1 – 1,00090113.40%393,6580.05%
1,001 – 5,000157923.49%4,596,2340.63%
5,001 – 10,000122818.27%9,355,3241.29%
10,001 – 100,000261538.90%79,462,76010.97%
100,001 and over3995.94%630,423,05487.05%
Totals6722100%724,231,030100%
As at 31 March 2026, the following additional securities were on issue:
• 3 participants holding a total of 254,303 restricted share units pursuant to the Oceania
Deferred Equity Scheme.
• 14 participants holding a total of 18,373,696 options pursuant to the Oceania Long Term
Incentive Plan.
Further information on these incentive plans is contained in the Notes to the financial statements
and the Remuneration Report included in this Annual Report.
Substantial Product Holders
According to notices given under the Financial Markets Conduct Act 2013, the following were
substantial product holders of Oceania’s ordinary shares as at 31 March 2026:
Substantial Product HolderNumber of Shares
% of shares held at
date of notice
14
Date of notice
ANZ New Zealand Investments Limited,
ANZ Bank New Zealand Limited and ANZ
Custodial Services New Zealand Limited
48,102,2076.642%27 February 2026
Forsyth Barr Investment Management Limited88,646,08112.240%11 February 2026
Corporate Governance
13. Held by New Zealand Central Securities Depositary Limited as custodian.14. Based on issued share capital of 724,231,030 as at 31 March 2026.
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Oceania Annual Report 2026
Twenty Largest Registered Bondholders OCA 010
(as at 31 March 2026)
NameNumber of Bonds% Bonds
1CUSTODIAL SERVICES LIMITED <A/C 4>35,620,00028.50%
2FORSYTH BARR CUSTODIANS LIMITED <1-CUSTODY>20,977,00016.78%
3APEX CUSTODIAN NOMINEES (NZ) LIMITED
15
19,980,00015.98%
4FNZ CUSTODIANS LIMITED 13,202,00010.56%
5GENERATE KIWISAVER PUBLIC TRUST NOMINEES LIMITED
15
5,121,0004.10%
6NZX WT NOMINEES LIMITED <CASH ACCOUNT>2,673,0002.14%
7FORSYTH BARR CUSTODIANS LIMITED <ACCOUNT 1 E>2,116,0001.69%
8INVESTMENT CUSTODIAL SERVICES LIMITED <A/C C>2,062,0001.65%
9JBWERE (NZ) NOMINEES LIMITED <NZ RESIDENT A/C>1,642,0001.31%
10FNZ CUSTODIANS LIMITED <DRP NZ A/C>880,0000.70%
11FORSYTH BARR CUSTODIANS LIMITED <A/C 1 NRLAIL>646,0000.52%
12KEVIN GARRY WALKER & KARAKA & PURIRI TRUSTEE LTD <PURIRI A/C>633,0000.51%
13FNZ CUSTODIANS LIMITED <DTA NON RESIDENT A/C>582,0000.47%
14ANZ BANK NEW ZEALAND LIMITED
15
573,0000.46%
15MINT NOMINEES LIMITED
15
545,0000.44%
16CUSTODIAL SERVICES LIMITED <A/C 12>507,0000.41%
17CRAIG JOHN THOMPSON500,0000.40%
18DAVID JAMES FOSTER & LINDA JOYCE FOSTER500,0000.40%
19CRAIG PAUL WERNER & LEA LYNN WERNER470,0000.38%
20HENRY & WILLIAM WILLIAMS MEMORIAL TRUST INCORPORATED400,0000.32%
Total109,629,00087.70%
Spread of Registered Bondholdings OCA010
(as at 31 March 2026)
Size of Holding
Number of
Bondholders%Number of Bonds%
1,001 – 5,000163.60%80,0000.06%
5,001 – 10,0008218.43%794,0000.64%
10,001 – 100,00030468.31%10,371,0008.30%
100,001 and over439.66%113,755,00091.00%
Totals445100%125,000,000100%
Corporate Governance
Twenty Largest Registered Bondholders OCA 020
(as at 31 March 2026)
NameNumber of Bonds% Bonds
1FORSYTH BARR CUSTODIANS LIMITED <1-CUSTODY>21,021,00021.02%
2CUSTODIAL SERVICES LIMITED <A/C 4>19,956,00019.96%
3GENERATE KIWISAVER PUBLIC TRUST NOMINEES LIMITED
16
11,850,00011.85%
4FNZ CUSTODIANS LIMITED 10,593,00010.59%
5HSBC NOMINEES (NEW ZEALAND) LIMITED
16
9,553,0009.55%
6APEX CUSTODIAN NOMINEES (NZ) LIMITED
16
6,300,0006.30%
7INVESTMENT CUSTODIAL SERVICES LIMITED <A/C C>2,576,0002.58%
8FORSYTH BARR CUSTODIANS LIMITED <ACCOUNT 1 E>2,230,0002.23%
9NZX WT NOMINEES LIMITED <CASH ACCOUNT>1,508,0001.51%
10FORSYTH BARR CUSTODIANS LIMITED <A/C 1 NRLAIL>1,347,0001.35%
11RICHARD BARTON ADAMS & ALLISON RUTH ADAMS <ADAMS FAMILY A/C>751,0000.75%
12JBWERE (NZ) NOMINEES LIMITED <NZ RESIDENT A/C>539,0000.54%
13FNZ CUSTODIANS LIMITED <DTA NON RESIDENT A/C>465,0000.47%
14KIWIGOLD.CO.NZ LIMITED <KIWIGOLD A/C>400,0000.40%
15MARIANNE MATHILDE MARIE STOESSEL 350,0000.35%
16ADMINIS CUSTODIAL NOMINEES LIMITED 242,0000.24%
17CUSTODIAL SERVICES LIMITED <A/C 12>199,0000.20%
18FORSYTH BARR CUSTODIANS LIMITED <ACCOUNT 1 NRL>197,0000.20%
19PAUL ARNOLD AITKEN170,0000.17%
20FNZ CUSTODIANS LIMITED <DRP NZ A/C>153,0000.15%
Total90,400,00090.40%
Spread of Registered Bondholdings OCA 020
(as at 31 March 2026)
Size of HoldingNumber of Bondholders%Number of Bonds%
1,001 – 5,0005411.27%270,0000.27%
5,001 – 10,00011924.84%984,0000.98%
10,001 – 100,00028158.66%7,675,0007.68%
100,001 and over255.22%91,071,00091.07%
Totals479100%100,000,000100%
15. Held by New Zealand Central Securities Depositary Limited as custodian.16. Held by New Zealand Central Securities Depository Limited as custodian.
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Oceania Annual Report 2026
Risk Management at Oceania
Oceania maintains an enterprise-wide Risk Management Policy and Framework, which
collectively includes risk management principles, culture, practices, as well as risk assurance and
reporting requirements.
Oceania’s overall approach to risk management leverages ISO31000: 2018 Risk management —
Guidelines, and management continue to uplift and mature its risk management practices.
The Oceania Board is responsible for ensuring the company has an appropriate risk management
framework, and for monitoring the integrity of that framework. To ensure such integrity, the Board
receives and reviews regular reports on actual and potential risks to the business. The Board also
has overall responsibility for determining the nature and extent of the material risks it is willing to
take to achieve its strategic objectives.
Oceania’s newly combined Board Audit and Risk Committee supports the Board to manage and
monitor risks. In FY26, the stand-alone Risk Committee met twice during the year. The combined
Audit and Risk Committee is scheduled to meet five times during FY27. This Committee has
responsibility for the oversight of Oceania’s material risks (referred to as Top Risks), approval of
the risk appetite for the Top Risks, and the ongoing assessment of risk management practices
and performance.
Within Management, accountability for the implementation and effectiveness of risk management
practices supporting each Top Risk is allocated to individuals within the Executive Leadership
Team. Responsibility for identifying, monitoring, measuring and managing (including mitigating as
appropriate) operational risks is then assigned to individual business units.
Oceania’s Top Risks
Management and the Board Audit and Risk Committee identify and assess the Top Risks, and their
risk mitigation plans. Oceania’s Top Risks, in alphabetical order, are set out below.
RiskResponse
Business Disruption
The risk to Oceania operations from business disruption,
including pandemic, extreme weather, earthquake, armed
offender, major essential services outage, or supply
chain disruption.
Oceania continues to manage business disruption events
including IT/Cyber events, pandemic, and extreme weather
events as they arise. Emergency management plans are in
place and regularly tested.
Oversight of the Business Continuity Management Framework
is undertaken by the Board Audit and Risk Committee.
Corporate Responsibility
This risk refers to Oceania not meeting its corporate
responsibilities, impairing its “social licence” to operate,
or brand and reputation. This includes risk associated with
strategic sustainability initiatives (environmental, social,
and governance-related) but excludes climate.
Oceania has a strong focus on its corporate responsibilities.
This includes undertaking stakeholder materiality assessments,
having a dedicated Sustainability team, maintaining a
Sustainability Linked Loan, and receiving strategic oversight
by the Board.
Oceania maintains a Board-approved Sustainability Policy and
a Modern Slavery Policy.
Climate Change
The risks Oceania faces from physical climate hazards as
well as climate-related transition risks (e.g. technological,
legal and policy, market changes). This risk includes potential
opportunities which arise from climate change.
Oceania continues to develop and execute on its Climate
Transition Plan, including the development of transition plans
for each site.
Oceania has set Scope 1 and 2 greenhouse gas emissions
reduction targets and deploys an Emissions Reduction Plan.
It is also developing an Energy Strategy.
Clinical and Care
The risk of a significant or systemic breach of Clinical and/or
Care obligations, or a significant/systemic failing of clinical
care processes, resulting in an adverse outcome for residents
(primarily those in care facilities).
Oceania has a specific Clinical and Care framework, which
supports effective education and training, internal and
external audits, and performance reporting. A formal Clinical
Systems Governance Committee provides monitoring and
strategic oversight.
Oceania has invested in Early Warning Score dashboard to
provide a real-time snapshot of care centre performance.
Insights inform targeted support, ensuring emerging issues are
addressed promptly.
Oceania continues to invest in Nurse Practitioners to strengthen
access to high-quality primary care services, and to enhance
clinical leadership, continuity of care, and resident outcomes.
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Oceania Annual Report 2026
Risk Management at Oceania
RiskResponse
Compliance
The risk of significant or systemic non-compliance with
regulatory or legal requirements, resulting in a significant,
punitive response (e.g. significant new requirements, fine,
or closure of operations).
Oceania’s key compliance obligations are embedded into
operational policies and procedures, with oversight by
expert functions (e.g. Clinical and H&S), Risk and/or Legal,
where appropriate.
Cyber, Data and Privacy
The risk of harm to Oceania’s reputation, residents or staff,
caused by a significant or prolonged cyber-attack, data or
reportable privacy breach, resulting in significant external
scrutiny and/or cost to Oceania.
Oceania has adopted the National Institute of Standards and
Technology (NIST) framework for managing cyber-security
threats. Management continues to progress through the
NIST framework.
Regular external threat exposure, penetration testing, and
social engineering testing support continued risk reduction.
Oceania has a Privacy Officer and a Privacy Framework.
Design and Build
The risk of failure of project management for the development
of new or existing facilities, including supply chain issues,
developer (or subcontractor) failure risk, or labour supply risk.
Oceania engages with highly regarded and experienced
construction contractors and consultants, with robust quality
assurance, due diligence, health & safety, and auditing
practices to support end-to-end project management.
Management aims for fixed pricing wherever possible.
There are ongoing refurbishment plans for existing properties.
Financial resilience
The risk of local and global macroeconomic drivers such as
equity markets, housing sentiment, inflation, and supply
chain having a negative impact on the financial performance
of Oceania.
The risks that a lack of internal governance and controls
impact financial resilience, including financing, liquidity,
and debt strategy.
Macroeconomic conditions, including the New Zealand
property market, general economic conditions, and government
policy, are closely monitored and used to inform financial
forecasting and stress testing where required.
Oceania’s Capital Allocation Framework continues to support
disciplined capital deployment and balance sheet strength.
The refinance of debt facilities undertaken during 2025 has
been successfully embedded.
Health and safety
The risk associated with serious or systemic harm to
employees, residents, contractors or visitors because of
Oceania’s business activities or failure to comply with its
Health and Safety at Work Act 2015 obligations.
Oceania maintains a health and safety framework and
maturity roadmap (strategy). This includes regular Board and
Management oversight, documented policies and procedures,
independent audits, as well as targeted programmes for
critical risk management, contractor management, and
employee training.
Management continues to leverage an integrated digital
platform to enhance real-time reporting and risk assurance.
Please see further disclosure on Health and Safety on the
following page.
RiskResponse
People
The risk that Oceania cannot meet strategic objectives
(including standards of resident care and experience) because
it does not have the right capacity, capability, engagement,
or culture.
The ongoing management of Oceania’s workforce remains
an area of significant focus. Oceania continues to enhance
its Human Resources information system, Remuneration
Framework, staff and union engagement programme, and
employee value proposition.
Oceania maintains its elevated focus on staff learning
and development.
Regulatory Reforms & Relationships
The risk of significant adverse regulatory reforms or
significant erosion in regulatory sentiment or support for the
aged care sector, impacting Oceania’s business model.
Management closely monitors industry, government
and regulatory developments which may impact the
company. External consultants and legal advisors are used
where appropriate.
Resident experience
The risk of i) a significant or systemic failing in resident
experience (excluding Clinical & Care risk), or ii) a failure to
deliver on brand and experience commitments and meet
resident expectations and needs.
Oceania deploys a range of programmes to enhance
its resident experience, centred on the 5 Ways to
Wellbeing framework (which is endorsed by the Mental
Health Foundation).
Oceania has a dedicated Head of Customer Experience as well
as a dedicated Resident Experience team. Oceania undertakes
proactive resident engagement surveys.
Oceania continues to innovate its resident offerings. For
example, premium sites have the “Together App” to support
resident connection. This is enhanced by our sustainability
commitments and strategic partnerships (such as Fair
Food New Zealand and the New Zealand Deaf and Hard of
Hearing Foundation).
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Oceania Annual Report 2026
Risk Management at Oceania
Internal audit functions
Oceania maintains an Internal Assurance and Audit Programme.
Internally, Oceania maintains an annual internal audit schedule focused on monitoring clinical
quality, care delivery, and health and safety performance. This is supported by quarterly Clinical
Care Centre Health Checks, conducted by a dedicated quality management team. These Health
Checks support independent performance monitoring and targeted improvement actions at the
care centre level.
Oceania has a three-year Internal Audit Plan. External service providers are engaged to
independently evaluate selected internal controls and risk management processes, and to
recommend continued improvements to the control environment. The findings of internal audits are
provided to the Board Audit and Risk Committee to support their ongoing risk oversight.
To provide assurance that Oceania’s services meet regulatory clinical and care standards,
external audits are conducted as part of the HealthCert certification process. The audit reports
are provided to Management to support their ongoing achievement of clinical and care standards.
Summaries of the audits are provided to the Clinical Systems Governance Committee to support
their oversight.
Health and Safety
Oceania maintains a Health and Safety Policy and Framework and has a dedicated Health and
Safety team. This team works closely with the Clinical and Care team and regional management
to ensure well-aligned practices.
Oceania maintains a network of Health and Safety Representatives and an active Health and
Safety Committee.
Oceania is part of the Accident Compensation Corporation (ACC) Accredited Employer
Programme (AEP), with the most recent ACC AEP Audit completed in April 2026.
The Board Clinical and Health & Safety Committee is responsible for overseeing health and safety
practices within Oceania. It does so through the oversight of health and safety risk assessment
and mitigation, safety systems and incident reporting. There is also a company-wide focus on
staff capability and training, safety leadership and culture. Each site has Health and Safety
representatives who meet monthly to actively manage and monitor health and safety risks on-site.
Director and Executive Safety Leadership walks are regularly undertaken to facilitate direct
engagement with frontline teams. Oceania has continued to enhance its Critical Risk Management
(CRM) framework to focus on critical risks and critical safety controls.
During the year, we completed a comprehensive review of our emergency preparedness
procedures. This is supported by a refined tiered Incident Escalation framework to enhance real-
time reporting.
Climate change
Oceania has undertaken a climate-related risk and opportunity assessment. Risks are identified
and assessed across physical and transition categories. Physical risk assessment uses geospatial
analysis of Oceania’s villages and care centres across key natural hazards, supported by
input from subject matter experts. Transition risks are identified and assessed through cross
functional review.
Climate-related risks are prioritised using Oceania’s standard risk rating methodology ensuring
they sit alongside other Top Risks.
Oceania has a Climate Risk and Opportunity Register in place and continues to integrate climate
considerations into operational policies and processes.
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Oceania Annual Report 2026
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Oceania Annual Report 2026
Climate report.
Oceania Healthcare Limited and its subsidiaries (together, Oceania)
is a retirement village and aged care operator in New Zealand with
30 sites across the country. Oceania listed on the NZX in 2017 and
had $3.1b in total assets as at 31 March 2026.
About this climate report
This section of Oceania's Annual Report contains Oceania’s
climate-related reporting for the period 1 April 2025 to
31 March 2026. Following the Government’s 2025 decision to
narrow the New Zealand climate-related disclosures regime,
and the Financial Markets Authority’s no-action approach for
affected entities pending legislative change, Oceania is no
longer presenting this report as a mandatory Climate-related
Disclosures (CRD) report under Part 7A of the Financial Markets
Conduct Act 2013.
Oceania has continued to voluntarily disclose climate-related
information, including key risks and opportunities, its FY26
greenhouse gas emissions, current climate-related transition
planning aspects of its strategy, and associated metrics and
targets. This disclosure does not constitute a climate statement
under the Financial Markets Conduct Act 2013, but seeks to
demonstrate Oceania’s ongoing commitment to understanding
and reporting its climate-related risks and opportunities. It
has not been prepared in accordance with the New Zealand
Climate Standards (NZ CS).
Introduction
Climate change remains a key enterprise risk and strategic priority
for Oceania. During FY26, Oceania continued to embed climate
considerations across risk management, capital allocation and
operational decision-making.
Oceania also continued to progress its climate transition plan
in FY26, including delivery against its science-based emissions
reduction pathway and supplier engagement objectives, alongside
NZGBC Homestar and Green Star standards in new developments.
These actions support Oceania’s modernisation of its portfolio.
Looking ahead, Oceania intends to continue to embed climate
considerations into its transition plan and emissions reduction
objectives, supported by its Sustainable Finance Framework.
Disclaimer
Climate-related reporting remains an evolving area and relies
on developing methodologies, incomplete and estimated data,
and assumptions and judgement. Disclosures in this report are
subject to uncertainty and may change over time. This report
reflects our current understanding as at the date of publication,
in respect of our financial year ending 31 March 2026. While
Oceania is committed to maintaining the accuracy, consistency,
and currency of its climate-related communications, it does not
warrant that information contained in this report, or in previous
climate statements prepared by Oceania under Part 7A of the
Financial Markets Conduct Act 2013 will remain correct in light
of such change, nor does it undertake to update or qualify the
disclosures in this or previous reports as methodologies, data,
and circumstances develop.
This report includes forward-looking statements, including
climate scenarios, anticipated impacts of climate change,
transition planning elements of forward strategy, targets and
forecasts. Actual outcomes may differ materially due to economic,
technological, regulatory, climatic, market or other factors outside
Oceania’s control. Readers are advised not to place undue reliance
on forward-looking information contained in this document.
Oceania has taken reasonable efforts to provide accurate
disclosures as at the date of publication, but we caution reliance
being placed on representations that are necessarily subject to
significant risks, uncertainties, and/or assumptions, including
those described more fully in Oceania’s financial statements and
the methodologies, assumptions and uncertainties set out on our
website. In particular, readers should note that this report contains
selected climate-related information and does not purport to
be a comprehensive disclosure of all material climate-related
information relating to Oceania. To the maximum extent permitted
by law, Oceania does not accept liability for any loss arising from
reliance on this report, including in relation to information in this
report or any previous climate statement by Oceania that may
become incorrect or outdated over time.
All amounts are in NZD. Nothing in this report constitutes legal,
financial, tax or investment advice, or an offer or recommendation
in relation to any securities. Nothing in this report constitutes
capital growth, earnings, legal, financial, tax or investment advice,
or an offer or recommendation in relation to any securities, or
any other advice or guidance. Readers should make their own
assessments, taking into account these limitations and the
limitations noted throughout this report, and take appropriate
professional advice when considering this report.
89
Oceania Annual Report 2026 /
Climate Report
Time Horizons
HorizonPeriodAlignment to Oceania
Short-termPresent – 2030Near-term capital allocation and funding cycle, refurbishment
programmes, near-term GHG reduction targets.
Medium-term2031 – 2050Next wave of funding strategy, home ownership trends,
workforce evolution, New Zealand and global net zero ambitions
for 2050.
Long-term2051 – 2080
1
Long-lived assets subject to physical climate impacts, building
conversion trends and design lifespans.
Scenario Analysis
Oceania uses three climate scenarios, developed in FY24, to
assess climate-related risks. The scenarios continue to underpin
Oceania's risk and opportunity assessment in FY26.
Oceania applies three scenarios (Orderly, Disorderly and Hothouse
World) across short, medium, and long-term horizons, drawing on
the sector-developed Construction and Property Sector scenarios
and Health Sector scenarios aligned with recognised international
frameworks, including a 1.5°C pathway. Scenarios were developed
through management and subject matter expert workshops
sponsored by the CFO, and incorporate drivers such as energy
demand, building regulations, supply chain pressures, affordability
and technological change in care. The outputs are used to assess
risks and opportunities, and transition planning.
1. This is shorter than the long-term time frame for the Sector Scenarios, which extended to 2100.
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Scenarios
Oceania's three scenarios reflect a range of plausible futures
against which to test strategy and resilience. They are not
intended to be predictive or to identify the most likely outcome.
1
Scenario elementOrderlyDisorderlyHothouse World
Health Sector alignmentAmbitious and OrderlyDelayed and DisorderlyHothouse World
Property and Construction
Sector alignment
OrderlyDisorderlyHothouse World
Network for Greening the
Financial System
Net Zero 2050 (1.5°C)Delayed TransitionCurrent Policies
IPCC scenario (AR6) for
global narrative
2
IPCC SSP1-1.9IPCC SSP2-4.5IPCC SSP3-7.0
IPCC scenario (AR5) for NIWA's
downscaled physical risk data
RCP2.6
3
RCP4.5
4
RCP8.5
Global temperature outcomes
<1.5°C~2.7°C>3°C
Relative severity of
physical impact
LowestMediumHighest
Relative severity of
transition impacts
HighHighestLowest
Domestic policy responseImmediate, rapid
and well-signalled
Delayed until the mid-2030s and
then abrupt and volatile
Reactive
Relative pace of
technological change
Fast pace of changeMedium pace of changeSlow pace of change
Relative pace of behaviour
change / health impacts
Behaviour: Fast; Health
impacts: Lowest
Behaviour: Slow; Health
impacts: Medium
Behaviour: Slow; Health
impacts: Highest
1. Oceania's climate scenario narratives do not expressly include carbon sequestration from afforestation or
nature-based solutions.
2. In FY25, Oceania changed the global narrative used for its Disorderly scenario to make it more distinct from
its Orderly scenario and to align with the Health Sector Scenario of Delayed and Disorderly. These changes
did not materially affect Oceania's risks and opportunities.
3. Note RCP2.6 formed the lower bound of the physical risk assessment and hence is associated with an
Orderly scenario insofar as RCP2.6 is associated with a ~1.5°C warming above pre-industrial levels, by 2100.
This differs from the global SSP narrative scenario as NIWA has not downscaled SSP1-1.9 for New Zealand and
the closest downscaled scenario is SSP1-2.6.
4. The Disorderly scenario describes a hypothetical world where warming is approximately 2.7°C by 2100.
Oceania has aligned with the RCP4.5 scenario as this reflects the mid-tier level of risk for Oceania's physical
risk assessment, for which the IPCC estimates represents a mid-term warming of 2.0°C by 2050.
Climate-related scenarios are plausible,
challenging descriptions of how the future
may develop (based on assumptions
about external driving forces, including
those which may lead to physical and
transition risks). Climate-related scenarios
are not intended to be probabilistic or
predictive, or to identify the ‘most likely’
outcomes of climate change. They are
intended to provide an opportunity for
entities to test their strategies against
these potential futures. They also help
to develop internal capacity to better
understand and prepare for the uncertain
future impacts of climate change.
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Climate Report / Scenario Analysis
Orderly Scenario
<1.5°C
Disorderly Scenario
~2.7°C
Hothouse Scenario
>3°C
The Orderly scenario describes a future where the world is
able to limit warming to within 1.5°C. Effective but ambitious
decarbonisation targets and policies are introduced quickly,
resulting in a rapid but steady decline in emissions to achieve net
zero by 2050. The scenario assumes a moderate level transition risk
to meet net zero 2050 goals and the comparatively lower exposure
to physical risks compared to Disorderly and Hothouse scenarios.
The Disorderly scenario describes a future where there is limited success
in managing climate change, and warming reaches approximately
2.7°C by 2100. Significant decarbonisation is delayed until the 2030s,
due to delayed policy and market transition, requiring a more rapid,
reactive and costly response. This scenario assumes the highest
transition risks as New Zealand attempts to meet net zero targets by
2050, but still experiences some elevation in physical climate risks.
1. MfE, Auckland Climate Projections Map, using SSP1-2.6. Annual data. Base period is 1986-2005, future period is
2080-2099.
2. Projections of climate-related hazards for 2090 were more readily available than for 2080. Difierences between
2080s and 2090s projections are immaterial to decision-making in the context of Oceania's long-term time horizon.
3. NIWA Coastal Flood Layers Viewer, 2023, Eagle Technology, LINZ, StatsNZ, NIWA, Natural Earth
4. Climate projections insights, Ministry for Environment
5. Construction & Property Sector Scenarios
6. Health Sector Scenarios
The Hothouse scenario describes a future where limited effective
policies have been implemented to reduce emissions, which
continue to rise, with warming >3°C. This scenario involves fewer
policy and market transition risks but extreme physical climate risks.
Physical
Heavy rainfall events
1
2090
2
: +3%
Sea level rise
3
2040: 0.2m
2090
3
: 0.4m
Number of Days >25°C
1
2090
2
: +22 days per year
Drought exposure
4
Eastern side of both islands:
increasing exposure
Western side of both islands:
decreasing exposure
Transition
Total population
6
2025: 5.22m
2050: 6.13m
Population > 65 yrs
6
2025: +17.5%
2050: +23.3%
Whole of life building GHG
reduction rules
5
2025: 20%
2050: 90%
Risk to supply chain continuity
6
Minor increase
Government aged care spending
6
2030–40: Minor reduction
2040–50: Minor increase
Life expectancy changes
6
General population:
Moderate increase
Communities of need:
Minor increase
Physical
Heavy rainfall events
1
2090
2
: +8%
Sea level rise
3
2040: 0.2m
2090
3
: 0.5m
Number of Days >25°C
1
2090
1,2
: +51 days per year
Drought exposure
4
Eastern side of both islands:
Increasing exposure
Western side of both islands:
Decreasing exposure
Transition
Total population
6
2025: 5.22m
2050: 6.13m
Population > 65 yrs
6
2025: +17.5%
2050: +23.3%
Whole of life building GHG
reduction rules
5
2025: 0%
2050: 80%
Risk to supply chain continuity
6
Major increase
Government aged care spending
6
2030–40: Moderate reduction
2040–50: Moderate reduction
Life expectancy changes
6
General population:
Minor decline
Communities of need:
Moderate decline
Physical
Heavy rainfall events
1
2090
6
: +10%
Sea level rise
3
2040: 0.2m
2090
3
: 0.7m
Number of Days >25°C
1
2090
2
: +78 days per year
Drought exposure
4
Eastern side of both islands:
Increasing exposure
Western side of both islands:
Decreasing exposure
Transition
Total population
6
2025: 5.25m
2050: 6.93m
Population > 65 yrs
6
2025: +17%
2050: +22%
Whole of life building GHG
reduction rules
5
2025: 0%
2050: 50%
Risk to supply chain continuity
6
Extreme increase
Government aged care spending
6
2030–40: Minor reduction
2040–50: Moderate reduction
Life expectancy changes
6
General population:
Moderate decline
Communities of need:
Major decline
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Impact TypeCategoryFY26 Disclosure
Physical impacts
Oceania did not experience any material physical climate-related impacts in FY26. While a
small number of sites experienced localised surface flooding during separate storm events
and short-duration storm-related power outages of less than three hours, these events were
managed within normal operational responses and did not result in material impacts to
resident care, safety, operations, reputation or financial performance. Isolated land stability
issues were identified at two sites; one was not directly attributable to weather impacts, while
the other was remediated through stabilisation works. Neither resulted in a material impact
to the business.
Transition impacts
InsuranceInsurance market conditions in FY26 remained consistent with the prior year. Although the
financial impact on Oceania remained immaterial
1
in FY26, the broader trend of increasing
insurance premiums and potential impact on policy excesses is expected to persist in future.
RegulationDuring FY26, changes to New Zealand’s climate-related disclosure regime meant Oceania is
no longer subject to mandatory climate-related disclosures. This disclosure is provided on a
voluntary basis.
In the construction and property sector, MBIE introduced Building Product Specifications,
shifted to a three-year Building Code update cycle, and updated H1 Energy Efficiency
compliance documents. While the H1 changes improved flexibility and clarity, they did not
raise overall energy efficiency or insulation requirements. Oceania’s new developments
continue to target NZGBC Homestar and Green Star certifications, exceeding Building Code
standards, and these H1 changes have had no material financial impacts.
Market
(energy and
supply chain
volatility)
During the period, conflict in the Middle East increased uncertainty across global energy and
supply chain markets. While not a direct climate-related driver, this geopolitical development
may indirectly amplify Oceania’s transition risk by contributing to higher or more volatile
fuel, freight and selected input costs, and by potentially delaying the availability of materials
and equipment relevant to decarbonisation and site resilience initiatives. The direct financial
effects on Oceania’s climate-related risks are not yet fully realised, and the extent and
duration of any related impacts remain uncertain.
For transition planning, this has reinforced the importance of Oceania’s emergency
management, business continuity and energy resilience planning, particularly in responding
to current climate-related disruptions, including extreme weather events and electricity
outages, while strengthening preparedness for future impacts.
Current
Climate-Related Impacts
This table sets out management’s view of Oceania’s
current material climate-related impacts in FY26.
1. Material climate-related impact means an actual physical or transitional climate-related event or condition that results in, or could reasonably be expected to result in, at least a moderate entity-level consequence for Oceania
across one or more key impact dimensions, including people, operations, financial performance, legal or regulatory compliance, reputation, management attention, or stakeholder relationships.
Awatere, Hamilton, certified to Homestar 6 Built rating.
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Climate Report / Current Climate-Related Impacts
Climate-Related Risks and Opportunities
Oceania has identified the following material
1
climate-related risks and opportunities.
These were assessed with reference to Oceania's three climate scenarios and remain
consistent with previous years.
Material Climate-Related Risks
RiskTypeTime Horizon
2
Impact
Acute weather events Physical (acute)Medium / LongExtreme weather events may cause significant damage to Oceania’s land, buildings and critical
infrastructure, disrupting operations and impacting resident and employee wellbeing.
Chronic changing climate patterns Physical (chronic)Medium / LongChronic changes — including rising sea levels, coastal erosion and increased rainfall variability —
risk deterioration of Oceania’s buildings, property and land.
Climate hazards on supply chainPhysical (acute & chronic)Medium / LongClimate-related disruption to Oceania’s supply chain may affect essential supplies, delay
construction and impact access to sites.
Changing climate patterns on staff and residentsPhysical (acute & chronic)Medium / LongChanging climate conditions risk adverse health outcomes for residents and staff, including heat-
related illness and respiratory impacts, impacting care delivery and operational resilience.
Abrupt policy or regulatory changesTransition (policy)Short / MediumSudden or significant policy changes — such as caps on embodied carbon, managed retreat or
changes to resource consenting — could impact development costs and compliance obligations.
Failure to decarboniseTransition (market, policy)Short / MediumFailure to decarbonise could erode stakeholder confidence, increase carbon liabilities and reduce
Oceania’s competitiveness as consumer and investor expectations evolve.
Constrained energy supplyTransition (market, technology)Short / MediumCapacity constraints or cost increases in energy supply may raise operating costs and increase
exposure to supply disruptions as Oceania transitions away from non-renewable sources.
Reallocation of government aged care fundingTransition (policy)Medium / LongClimate-related government spending priorities could reduce aged care funding, affecting sector
financial viability and Oceania’s capacity to deliver care.
1. Material climate-related impact means an actual physical or transitional climate-related event or condition that results in, or could reasonably be expected to result in, at
least a moderate entity-level consequence for Oceania across one or more key impact dimensions, including people, operations, financial performance, legal or regulatory
compliance, reputation, management attention, or stakeholder relationships.
2. The time horizon indicates Oceania’s assessment of where the risk is likely to be most significant.
Vulnerability to transition risks
Regulatory, policy and market-related transition risks could affect
how Oceania designs, builds, sells, operates and manages its
villages and care centres. As in previous reporting periods, Oceania
conservatively assesses that all of its business activities are vulnerable
to climate-related transition risks, and accordingly does not disclose
a specific percentage.
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Material Climate-Related Opportunities
Opportunity TypeTime Horizon
1
Scenario where
opportunity is greatestImpact
Climate resilient villagesPhysical /
Transition
Short;
Medium; Long
Orderly;
Disorderly; Hothouse
By designing and operating climate-resilient villages, Oceania may be better positioned to provide
safer, more adaptable and potentially more cost-efficient living environments and services. This may
help reduce exposure to the physical impacts of climate change, support more reliable access to
essential utilities and services, and enhance resident wellbeing through features such as improved
thermal comfort and biophilic design. Over time, resilient design and construction practices may also
support more efficient lifecycle cost management, including repairs and maintenance.
Decarbonised business modelTransition
(market,
reputation)
Short; MediumOrderly; DisorderlyBy progressing an orderly and effective transition to a climate-resilient, lower-emissions business
model, Oceania may be better positioned to capture market share and support revenue growth.
Decarbonising operations may also reduce exposure to future carbon costs and climate-related
liabilities, while improving returns on transition-related investments, including investment in new
technologies. A clear climate strategy and credible transition plan may further support access to
capital on competitive terms.
Supporting ageing New ZealandersTransition /
Physical
Short;
Medium; Long
Disorderly; HothouseBy providing climate-resilient communities and enhanced support services, Oceania may be well
positioned to capture sustained long-term demand for its products and services.
Oceania expects this demand to be supported by growth in the domestic ageing population and,
potentially, by increased migration of older people to New Zealand.
1. The time horizon indicates Oceania’s assessment of where the opportunity is likely to be most significant.
Climate-related opportunities
Oceania’s assessment identified opportunities to build resilience, develop new services, grow
market share, and invest in alternative energy and resource efficiency. As these opportunities
are expected to affect all of Oceania’s operations, and consistent with previous periods,
Oceania considers all of its business activities aligned to climate-related opportunities.
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Climate Transition Plan
Oceania's transition plan sets out how it is responding to climate-related risks and opportunities across five
workstreams, aligned to its Sustainability Framework. Progress against each workstream is tracked below.
WorkstreamStrategic PillarsActionsFY26 StatusAlignment to risks and opportunities
Resilient portfolio
investment strategy
Supporting the portfolio
to remain fit for purpose
through acquisition,
development and
divestment planning.
Inspired
Living
Purposeful
Impact
Portfolio managed across $3.08b in
assets with geographic diversification.
Climate hazard exposure integrated into
acquisition and divestment assessment.
Low emissions design standards (NZGBC
Homestar / Green Star) applied to
new developments.
Insurance market developments
monitored on an ongoing basis.
Oceania assesses strategic and risk factors in
acquisition and divestment decisions, increasingly
including exposure to climate hazards and adaptive
capacity. It aims to design and build for resource
efficiency and climate resilience (e.g. NZGBC Homestar
and Green Star). Oceania also monitors climate-related
impacts on the insurance market, including retreat,
coverage availability, and premium trends.
This workstream addresses physical climate
risks (acute and chronic), insurance retreat,
regulatory change, and shifting resident
preferences toward resilience (Risks 1–5). It
aligns with opportunities to design climate-
resilient developments and support an
ageing population under climate impacts
(Opportunities 1 and 3).
Site-specific
property enhancements
Adaptation improvements to
strengthen climate resilience
of long-term assets.
Inspired
Living
Connected
Care
Purposeful
Impact
Site-specific adaptation plans in
development following FY24 physical
risk assessment.
Portfolio energy, water and temperature
management strategies to be formalised.
Business continuity planning
strengthened, including for complex
weather events.
Oceania plans to develop site-specific adaptation
plans and integrating them into asset management
to inform capital works, maintenance, procurement,
and renewals.
Oceania is developing energy, water, and temperature
management strategies to be applied at the site level,
informed by physical climate risk assessments, to
enable targeted adaptation and resilience initiatives.
Oceania is strengthening its business continuity
planning, following a review of its business continuity
planning (BCP) framework, to better address complex
and extreme weather events.
This workstream addresses acute and
chronic physical climate risks, including
extreme weather, water scarcity, and
energy reliability (Risks 1–4). It also
anticipates regulatory change and evolving
resident preferences for resilient living
(Opportunity 1), and supports an ageing
population in the context of climate impacts
(Opportunity 3).
Future planned Underway In place, continuing, or completed
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WorkstreamStrategic PillarsActionsFY26 StatusAlignment to risks and opportunities
Resource efficiency and
emissions reduction
A cost-effective approach
to meeting Scope 1, 2 and 3
emissions reduction targets.
Inspired
Living
Purposeful
Impact
Scope 1 & 2 reduction plan in delivery.
Oceania measures and assures its Scope
3 emissions
1
, aiming to improve resource
efficiency and reduce emissions from
capital goods by engaging suppliers to
support alignment with climate goals.
Oceania continues to deliver against its emissions
reduction plan to meet its near-term science-based
reduction target through ongoing energy efficiency
and electrification initiatives across its operations
and developments.
Oceania measures and assures its Scope 3 emissions
and is actively engaging suppliers under its supplier
engagement target to support emissions reductions.
This workstream addresses potential
regulatory changes and supply chain
disruptions (Risks 3, 5 and 6) and supports
the transition to a low-carbon, resource-
efficient business, enhancing access to
finance and strengthening reputation
(Opportunity 2).
Employee wellbeing and
climate preparedness
Supporting Oceania's
people to manage
and adapt to
climate-related challenges.
Empowered
People
Connected
Care
Climate education and support
programme for staff to be developed.
Climate risk integrated into clinical
governance and model of care.
Site green champions programme
planned for rollout.
Oceania plans to continue investing in its people
to deliver high-quality care in a changing climate,
including through trainings and integrating learnings
into clinical risk governance and its model of care, such
as expanding the nurse practitioner model.
Oceania has appointed its first green site-based
champion at Franklin to support operational practices
and behavioural change in driving sustainability.
This workstream addresses climate-related
risks to staff and resident wellbeing and
operational continuity (primarily Risk 4,
with links to broader physical risks). It
also supports an ageing population and
enables the transition to a low-carbon,
climate-resilient business through its people
(Opportunity 3).
Evolving financial models
and resident care
Adapting Oceania's service
model to remain viable
and responsive as climate
impacts and markets evolve.
Connected
Care
Inspired
Living
Funding model flexibility maintained
as climate impacts and property
markets evolve.
Coordinated engagement to influence
climate-related policy, manage
regulatory risk, and strengthen
sector advocacy.
Oceania is actively monitoring evolving funding
models, financing sources, care offerings, and property
market dynamics in response to climate change,
and is maintaining a flexible, adaptive approach as
impacts and the economic transition unfold. Its $500m
sustainability-linked loan reflects ongoing integration of
sustainability into financial strategy.
Continued efforts towards formalising a coordinated
stakeholder and government engagement approach on
climate risks and opportunities, while monitoring policy
and regulatory changes and strengthening advocacy
through industry bodies.
This workstream addresses climate-related
regulatory and aged care funding risks,
along with changing resident preferences
(Risks 5, 6 and 8), and supports an ageing
population in the context of climate impacts
(Opportunity 3).
Future planned Underway In place, continuing, or completed
1. Limited assurance over scope 1,2 and 3 is provided by EY.
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Climate Oversight
and Delivery
Oceania’s Climate Transition Plan is governed through its
broader strategy, risk and business planning processes. Progress
against the transition and decarbonisation plans is integrated
into management oversight and Board reporting, supporting a
whole-of-business approach.
The Board receives regular updates on sustainability-related
matters, including progress, key risks and dependencies. Delivery
is supported by executive leaders and business workstreams,
embedding climate considerations across strategic planning,
development, operations and enterprise risk management.
Delivery of Oceania’s Climate Transition Plan
Climate-related risks and opportunities are considered alongside
financial, operational and strategic factors in investment decisions,
supporting an integrated approach to transition delivery.
Project-level climate assessments span site acquisitions. Together
with sustainability-linked financing, these processes guide capital
toward Oceania’s transition to a lower-emissions, climate-resilient
business. See Metrics and Targets section for detail.
Assumptions, dependencies and risks
Oceania’s Climate Transition Plan is subject to assumptions,
dependencies and execution risks, many outside Oceania’s direct
control. Delivery depends on data quality, access to lower-carbon
materials, technologies and energy at viable cost, grid and
electrical infrastructure, supportive policy and market settings,
and internal capability, resourcing and capital. Scope 3 progress
also depends on supplier engagement and the availability of
lower-carbon alternatives.
Key risks include economic volatility, supply chain disruption,
infrastructure constraints, regulatory change, evolving insurance
market conditions, and slower-than-expected adoption or
performance of low-carbon solutions. These factors may
affect the timing, cost and overall delivery of the Plan.
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Metrics and Targets
Metrics
A description of the metrics and targets Oceania currently uses to
measure and manage its climate-related risks and opportunities
is detailed below.
Greenhouse Gas (GHG) emissions
Oceania's emissions inventory for the FY26 period (1 April 2025
- 31 March 2026) is prepared with guidance from, and in
accordance with the Greenhouse Gas Protocol – A Corporate
Accounting and Reporting Standard, and the Greenhouse Gas
Protocol: Corporate Value Chain (Scope 3) Accounting and
Reporting Standard (together, the GHG Protocol). Oceania
uses a base year of FY22
1
for its GHG emissions reporting.
Materiality threshold
An emissions source, or category, is included as “material” if
those emissions are greater than 1% of total emissions for that
Scope. Sources of emissions or categories below this threshold are
classified as ‘immaterial’. Emissions sources or categories below
the materiality threshold, although not generally included, may
still be reported where the data is easily available and deemed of
interest to stakeholders.
Independent limited assurance over Oceania's emissions
inventory and GHG disclosures was provided by Ernst
& Young Limited
2
(see https://oceaniahealthcare.co.nz/
investor-centre/reports-presentations/).
1. FY22 was selected as the base year because it was the first year Oceania had a complete emissions
dataset and portfolio-wide view of emissions, and the first year emissions were assured.
2. Ernst & Young Limited has assured Oceania's GHG emissions inventory since FY22.
Different Types of Scope
Scope 1 emissions
Scope 1 GHG emissions refer to the direct emissions
from sources owned or controlled by Oceania. They
come from the day to day activities involved with
running the company, such as natural gas and LPG
used for domestic heating and hot water.
Scope 2 emissions
Scope 2 GHG emissions refer to indirect emissions
from the generation of electricity acquired and
consumed by Oceania.
Scope 3 emissions
Scope 3 GHG emissions are other indirect emissions.
They come from Oceania's value chain and include
upfront carbon from Oceania's developments. Scope
3 emissions are divided into 15 categories, eight of
these categories have been identified as applicable
to Oceania. Six of these categories are defined as
material (category is >1% of Scope 3 emissions).
Upstream | Scope 3
Purchased goods & services, construction, waste,
travel, commuting, fuel- and energy-related activities
Operations | Scope 1 & 2
Fuel & energy use
Downstream | Scope 3
Resident electricity consumption
GHG Emissions Overview
Oceania's GHG emissions inventory for FY26 is set out on the
following page.
Oceania’s GHG emissions are reported in tonnes of CO₂
equivalents (tCO₂e). GHG emissions are reported both on an
absolute basis and on an intensity basis.
Oceania applies an operational control approach (per the GHG
Protocol) for its organisational boundary, accounting for all
emissions from operations under its control. This covers Oceania
Healthcare Limited and its subsidiaries, including retirement
villages, care centres, the leased corporate office and other
operationally controlled spaces. No material facilities have been
excluded. There were no relevant joint ventures during the period.
Oceania reports Scope 2 GHG emissions, using both market-
based and location-based methods.
Please see https://oceaniahealthcare.co.nz/investor-centre/
reports-presentations/ for information on the GHG emissions
methodology, uncertainties, assumptions, emissions factor
libraries and GWP rates used to calculate Oceania's GHG
emissions inventory.
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GHG Emissions Table (FY22–FY26)
GHG Emissions (tCO₂e)FY22 BaselineFY23FY24FY25FY26
Scope 1 – total2,5342,578 2,4212,3341,749
Natural gas1,9341,968 1,7811,6731,260
LPG315290279228198
Diesel225256261244204
Petrol6064636769
Refrigerants003612119
Scope 2 – total (location-based)1,8851,8641,1701,2851,889
Electricity (location-based)1,8851,8641,1701,2851,889
Electricity (market-based)1,9191,8971,139818765
Scope 3 – total41,74429,25943,88537,25619,127
Cat 1 Purchased goods & services5,5445,7896,7798,3058,744
Cat 2 Capital goods
1
29,46816,00330,89923,7775,600
Cat 3 Fuel- and energy-related1,1701,176869789729
Cat 4 Upstream transportation and distributionCaptured within Categories 1 and 2
Cat 5 Waste
2
1,3351,4801,1551,054667
Cat 6 Business travel
3
140329337252160
Cat 7 Employee commuting
4
3,2243,5353,2222,4152,260
Cat 8 Upstream leased assetsN/A
5
N/AN/AN/AN/A
Cat 9 Downstream transportation and distributionN/AN/AN/AN/AN/A
Cat 10 Processing of sold productsN/AN/AN/AN/AN/A
Cat 11 Use of sold productsN/AN/AN/AN/AN/A
Cat 12 End-of-life treatment of sold productsN/AN/AN/AN/AN/A
Cat 13 Downstream leased assets location based863948625664967
Cat 13 Downstream leased assets market-based
6
8759616396871,009
Total Scope 1, 2 & 3 (location-based)46,16333,70147,47640,87522,766
Total Scope 1, 2 and 3 (market-based)46,20833,74747,46040,43121,683
Notes
1. Oceania accounts for emissions from its
new developments stage by stage, or upon
completion of the project.
2. General waste reductions over time are largely
impacted by the exiting of several sites and, to
a lesser extent, site specific initiatives.
3. Although business travel is below Oceania's
materiality threshold, Oceania includes these
emissions in its inventory as they fall within
its operational control and can be actively
managed or reduced through internal policies
and practices. This approach is consistent with
the GHG Protocol's principles of relevance and
completeness (GHG Protocol, Chapter 1.4),
which support the inclusion of emissions that
contribute to a full and accurate picture of a
company's emissions profile.
4. Employee shifts and working days decreased
in FY26. The Oceania employee commuting
survey from FY25 remains valid for FY26 travel
behaviour analysis.
5. Categories denoted as “N/A” has been
assessed as not applicable to Oceania's GHG
emissions inventory following a screening
exercise. This designation indicates that
Oceania does not have any emissions sources
associated with these categories.
6. For Scope 3, Category 13, where Oceania
bulk purchases electricity that is on-charged
to independent living residents or proxied due
to actual usage data not being available,
Oceania applies the Residual Supply Factor
(RSF) i.e. Oceania does not apply any carbon
zero electricity products or renewable energy
certificates (RECs) (see Appendices).
*Figures may not equal the totals (+/- 1tCO₂e) due to rounding.
Oceania Annual Report 2026 /
100
Climate Report / Metrics and Targets
Changes in GHG Emissions
Oceania’s total gross Scope 1, 2 and 3 (location based) emissions
decreased by 44% in FY26, as compared with FY25, and decreased
by 51% as compared with the base year of FY22. Oceania’s total
gross Scope 1, 2 and 3 (market based) emissions decreased by
46% in FY26, as compared with FY25, and decreased by 53% as
compared with the base year of FY22.
The reduction is primarily driven by Scope 3 Category 2 (Capital
Goods), down 81% on base year and 76% on prior year. Oceania
accounts for these emissions in the year a development or stage
completes, so this category fluctuates year to year depending on
pipeline phasing and the number of developments completing in
the reporting period.
1
Scope 1 & 2 Breakdown by GHG
Oceania’s Scope 1 and 2 market-based emissions decreased by
20% in FY26 compared with FY25, and by 44% compared with
the FY22 base year. The reduction from the base year is mainly
due to lower Scope 2 market-based emissions, supported by the
use of market-based instruments.
2
In FY26, Oceania’s market-
based Scope 2 emissions were 1,125 tCO2e lower than its location-
based Scope 2 emissions. The reduction was also supported by
site sales or closures and efficiency improvements, partly offset
by organic growth.
Oceania’s Scope 1 and 2 location-based emissions increased by
1% compared with FY25, but remained 18% lower than the FY22
base year. The small increase in FY26 was mainly due to a 45%
increase in the electricity emissions factor compared with FY25.
3
Electrification initiatives also contributed to higher electricity use,
as some operations transitioned from fossil fuels such as natural
gas and LPG to electric equipment. While this can increase
1. For the Franklin development, emissions were calculated using a refined methodology, with consultant-
calculated results based directly on NZGBC Green Star and Homestar calculators rather than the previous
reference-build approach. The reduction also reflects lower-carbon design and material choices, including
lower-carbon concrete, reduced steel use, lower product-specific concrete emissions factors, and the
exclusion of some areas previously included, such as services and external building elements.
2. Oceania sources electricity through three main contracts, one of which qualifies as a market-based
instrument and contributes to market-based Scope 2 emissions reporting, as outlined below. Oceania receives
Renewable Energy Certificates (RECs) through a Meridian product, which accounted for approximately 56%
of electricity consumption in FY26. Further information is available in Meridian’s product disclosure statement
on its website. In FY25, Oceania used Ecotricity’s Climate Positive electricity product as a market-based
instrument, alongside Meridian renewable energy certificates (RECs), to support market-based Scope 2
emissions reporting. In FY26, Oceania did not rely on the Ecotricity Power Purchase Agreement (PPA) to report
electricity supplied by Ecotricity as zero emissions.
3. The 45% increase in the NZ location-based Scope 2 emissions factor is assumed to reflect drier summer
conditions, which reduced hydro generation and increased reliance on higher-emissions thermal
electricity generation.
The Bellevue, Christchurch, certified to Homestar 6 Built rating.
Scope 2 location-based emissions, it supports a reduction in
direct Scope 1 emissions over time.
Scope 1 emissions decreased by 25% as compared with FY25,
and by 31% from base year. This reduction was primarily driven
by lower natural gas, LPG and diesel consumption following site
exits and the implementation of decarbonisation initiatives. These
decreases were partially offset by emissions from refrigerant
losses and petrol use.
Oceania has not used an internal emissions price in the reporting
period and there were no inventory adjustments for this
reporting period.
Oceania Annual Report 2026 /
101
Climate Report / Metrics and Targets
Scope 1 and 2 (location-based) emissions by GHG in FY26
1
Scope 1 & 2 by GHG FY26
TOTAL
tCO₂eCO₂CH4N2OHFCSF6PFCNF3
Scope 1 – total1,7491,7214519000
Stationary combustion1,4581,454310000
Mobile combustion273267150000
Fugitive emissions1900019000
Scope 2 – total1,8891,8355040000
Electricity consumption
(location-based)1,8891,8355040000
Total3,6383,55654919000
1. Comparability across providers may still be limited, as retirement village operators have varying proportions of care and independent living units. Care centres tend to
have higher emissions intensity due to 24/7 operations and centralised energy use (Scope 1 and 2), while independent living often involves resident-controlled energy use
(Scope 3). These differences in operational control and emissions attribution can affect the usefulness of tCO₂e/m² as a consistent benchmark.
2. Scope 3 emissions by individual greenhouse gases have not been reported, as not all emission factors used provide gas by gas breakdowns. Reported values reflect total
emissions in tCO₂e only.
Industry metrics and emissions intensity
The retirement village industry has not yet formally adopted a standard
set of climate metrics. Oceania uses tCO₂e per million dollars of revenue
and tCO₂e per square metre of gross floor area (GFA) as benchmarks.
Intensity per square metre may align better with emerging industry
practice
1
given the nature of Oceania's property portfolio. Oceania
progressed this work in FY26 though consolidating consistent GFA data
across the portfolio has proven complex. Oceania will continue to assess
appropriate intensity metrics in future periods.
Emissions intensity measured in tCO₂e (location based) per
million dollars of revenue (NZD)
FY22FY23FY24FY25FY26
Scope 11110997
Scope 288457
Scope 318011816514372
Total (Scope 1, 2, 3)19913617815785
CO₂=Carbon dioxide
CH4=Methane
N2O=Nitrous oxide
HFC=Hydrofluorocarbons
SF6=Sulphur Hexafluoride
PFC=Perfluorocarbons
NF3=Nitrogen trifluoride
Oceania Annual Report 2026 /
102
Climate Report / Metrics and Targets
Exposure to climate-related risks
Oceania's assets are located throughout New Zealand and are variously exposed to both
physical and transition risks.
Vulnerability to physical risks
Oceania engaged external climate experts to conduct a physical risk assessment across
its business in FY24. Oceania has again chosen to report the exposure of assets to physical
climate hazards with exposure being determined by overlaying hazard data (as described
in the table on the following page) with site and building footprint data.
Given the high-level nature of the assessment, any site or building footprint intersecting
a hazard layer is treated as exposed. This conservative approach identifies potentially
exposed locations but is not indicative of asset-specific exposure or future financial
implications, which depend on site and event characteristics. The FY25 assessment was
extended to include landslides. Given Oceania’s move to voluntary reporting, quantified
financial impacts have not been disclosed for FY26.
The table on the following page notes the climate-related physical hazard exposure
across Oceania's sites.
• Measurement applies to entire site, irrespective of whether exposed areas are land
or buildings.
• Excludes sites if 2% or less of the site is exposed.
• Relates to the long term time horizon (data relates to 2090-2100 period) and
assessment under RCP 8.5.
1
1. Not applicable to landslide exposure assessment.
Oceania Annual Report 2026 /
103
Climate Report / Metrics and Targets
Physical Climate-Related Hazard Exposure
1
Physical RiskDescription
2
FY25 ExposureFY26 Exposure
3
Coastal inundation
incl. sea level rise
Sea level rise and extreme storm surge. National coastal inundation
dataset sourced from NIWA (IPCC AR6 projections
4
) and includes
modelled inundation polygons, which include both sea level rise and
extreme event (storm) related surges.
3 sites approx 4% of portfolio
based on total number of beds /
units across the whole portfolio.
3 sites approx 5% of portfolio based on
total number of beds / units across the
whole portfolio.
Coastal erosionLoss of land from coastal processes over time or through sudden events.
In the absence of a nationally consistent coastal erosion dataset,
exposure was initially screened using coastal edge proximity
5
. Where this
identified potential exposure, further assessment was undertaken using
more detailed council datasets where available.
1 site approx 1% of portfolio
based on total number of beds /
units across the whole portfolio.
1 site approx 1% of portfolio based on
total number of beds / units across the
whole portfolio.
River and
surface flooding
Heavy rainfall can increase water levels in rivers, streams and lakes,
causing flooding of surrounding land. Flooding can also result from
intense rainfall and runoff in urban areas where drainage capacity is
exceeded. Flood exposure was assessed using the best available national
and local datasets
6
. As flood data held by individual councils varies in
quality, methodology and underlying assumptions
7
, these limitations
were considered when comparing exposure results across sites.
11 sites approx 28% of portfolio
based on total number of beds /
units across the whole portfolio.
11 sites approx 28% of portfolio based on
total number of beds / units across the
whole portfolio.
LandslideLandslides involve the downslope movement of earth, rock or debris
and can be triggered by factors such as heavy rainfall, erosion or
earthquakes. Climate change may increase landslide risk over time
through more frequent and intense rainfall events. Susceptibility was
assessed through desktop review of surface geology, slope and visible
indicators of land instability.
7 sites approx 22% (6 moderate,
1 high) based on total number
of beds / units across the
whole portfolio.
7 sites approx 22% (6 moderate, 1 high)
based on total number of beds / units
across the whole portfolio.
1. Noting there was no coastal inundation data for one region when this assessment was
conducted in FY25. One site within this region is located on the coast and, taking a
conservative approach, is included in this table as potentially being exposed.
2. These hazard descriptions have been taken from the physical risk assessment Oceania
undertook in FY24 and FY25 and are derived from sources including national coastal
inundation modelling carried out by NIWA, various flood hazard layers held by relevant
local authorities, and Tonkin+Taylor derived datasets and processes.
3. Two climate hazard-exposed sites were divested near the end of FY26: one exposed to river
and surface flooding and coastal inundation, including sea level rise, and one exposed to
landslide risk.
4. As at March 2025.
5. At the time of completing the review there was no current nationally consistent dataset for
coastal erosion. There remains no nationally consistent dataset for coastal erosion in New
Zealand for FY26. Accordingly, coastal edge proximity continues to be used as a proxy for
potential exposure to coastal erosion.
6. At the time of assessment, New Zealand did not yet have a complete nationally available
flood hazard dataset at a resolution sufficient for all community- and asset-level
assessments. Accordingly, flood exposure assessment continued to rely on the best
available national and local datasets as at FY25.
7. Councils have taken different approaches in regard to: a) The annual exceedance
probability (AEP) of rainfall scenarios which have been modelled; b) The RCP scenario
and time horizons which are used to inform future rainfall intensities; c) A range of other
assumptions specific to the flood modelling approach undertaken.
Oceania Annual Report 2026 /
104
Climate Report / Physical Climate-Related Hazard Exposure
Category Spend during
12 months to
31 March 2025
Spend during
12 months to
31 March 2026
Description
Design/enabling works and
development of Homestar or Green
Star accredited buildings
$59.4m$33.7mHomestar accredited buildings in FY26:
– Franklin Stage 1
Capital towards decarbonisation,
maintenance and refurbishment
$1.0m$1.02mThis amount includes capital deployed towards double
glazing, LED lighting, air-to-air heat pumps, water
efficient tapware, insulation, EV power points and back
up generators. It also includes capital deployed towards
converting fossil fuels used for domestic hot water and
heating hot water to electric hot water heat pumps.
Capital Deployment
Climate-related opportunities
Oceania's $500m sustainability-linked loan (converted in
July 2022) remains linked to Sustainability Performance Targets
(SPTs) including an SBTi-validated GHG emissions target. The
facility was renewed through FY2030 in FY26, retaining the SBTi
target as a key SPT. Oceania met this target for FY26, resulting in
an interest margin and line fee reduction.
Oceania’s sustainability performance targets and investment in
sustainability initiatives reflect how climate is incorporated into
capital allocation. This includes designing to NZGBC Homestar
(and Green Star at Franklin), removing utility gas from new
designs, and installing solar PV where practically feasible. FY25
and FY26 capital deployment is set out in the table below.
The Bayview, Tauranga, certified to Homestar 6 Built rating.
Oceania Annual Report 2026 /
105
Climate Report / Capital Deployment
TargetCommitmentTypeYe a rFY26 Performance
Scope 1 & 2
1
Reduce absolute Scope 1 and 2 GHG
emissions by 42% by FY30 from a FY22
base year.
Absolute
reduction
FY3044% (reduction against FY22
base year).
Scope 3
supplier engagement
72.5% of Oceania’s suppliers by
spend covering purchased goods and
services and capital goods, will have
science-based targets by FY27.
2
Supplier
Engagement
FY27In FY26 Oceania doubled the
number of suppliers engaged
in FY25. Of the suppliers we
engaged, 14 are covered by
science based targets.
3
Construction
waste diversion
4
A stepped target so that by FY27,
Oceania achieves an 80% construction
waste away from landfill diversion rate
for Auckland and a 60% construction
waste away from landfill diversion rate
for regional areas. In FY25, Oceania’s
target was achieving a construction
waste away from landfill diversion rate
of ≥80% for Auckland and ≥52.5% for
regional areas.
DiversionFY27
(stepped)
Auckland 90.46%.
5
NZGBC Homestar
7 (v5)
6
All new independent living
developments are being designed to
NZGBC Homestar 7 (version 5).
Design targetFY27Franklin development designed
to this standard.
7
1. Oceania reports progress against its SBTI validated Scope 1 and 2 target using the market-based approach, in line with its SBTi Near Term Target Validation Report, which confirms that a market-based approach is used to account
for Scope 2 emissions and assess performance against the target.
2. The number of suppliers captured under this target varies year on year depending on Oceania’s spend profile.
3. Not all suppliers have their science-based targets verified by the SBTi; some have their targets assured through alternative frameworks such as those offered by Toitū. Some suppliers are covered by SBTi targets set at the parent
company level.
4. Relevant to Oceania's Scope 3 emissions. Construction waste diversion refers to the proportion of construction waste generated from Oceania’s new development projects that is diverted from landfill through reuse, recycling,
repurposing or other recovery pathways. This includes waste from the construction of new retirement village units, villas and care centres, but excludes demolition waste and minor alterations or refurbishment works under $1m.
5. Oceania did not undertake any construction or development projects outside the Auckland region during FY26.
6. Does not have a FY22 baseline. Oceania’s decision to design to this standard is made at the concept design stage. Oceania updated its forward-looking commitment to NZGBC Homestar 6 (version 5) accreditation
7. Oceania had no other design projects happening throughout FY26.
Targets
Oceania has committed to a SBTi-approved near-term
science based emissions reduction target to reduce
absolute Scope 1 and Scope 2 GHG emissions by
42% by FY30 from a FY22 base year.
Oceania's Scope 1 and 2 target uses the Absolute
Contraction Method, which aims for an absolute
reduction in total emissions. It does not rely on the
use of offsets.
In accordance with Oceania’s Sustainability
Framework, Oceania’s target in FY26 remained to
obtain NZGBC Homestar 7 (version 5) accreditation
or above for all new independent living developments.
Following a post implementation review, Oceania
determined that this standard is not currently viable
across future developments given cost and delivery
considerations. Oceania has therefore updated its
forward-looking commitment to NZGBC Homestar 6
(version 5) accreditation for new independent living
developments, which has been incorporated into
Oceania’s Sustainability Linked Loan targets
from FY28 onward.
Oceania Annual Report 2026 /
106
Climate Report / Targets
oceaniahealthcare.co.nz
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.
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