Aristocrat Leisure : Annual Report – 2023

Contents

1. Dates subject to change.
2. 6 months ending 31 March 2024.
3. 12 months ending 30 September 2024.

2023 Annual Report

This 2023 Aristocrat Leisure Limited Annual Report for the financial year ended 30 September 2023 complies with reporting requirements and contains statutory financial statements.

This document is not a concise report prepared under section 314(2) of the Corporations Act. The Aristocrat Group has not prepared a concise report for the 2023 financial year.

2024 Annual General Meeting

The 2024 Annual General Meeting will be held at 11.00am on Thursday, 22 February 2024.

Details of the business of the meeting will be contained in the notice of Annual General Meeting, which will be made available to shareholders in late January 2024.

2023 Corporate Governance Statement

The 2023 Corporate Governance Statement can be found on the Group's website: www.ir.aristocrat.com/governance.

Key Dates 1

2023

2024

7,800+

employees located around the world

325+

licensed

jurisdictions

Operating in

100+

countries

Aristocrat's normalised Group profit result of around $1.3 billion represented an increase of 21% in reported terms, and 13% in constant currency, compared to the corresponding 2022 result.

Strong operating cash flows and superior financial fundamentals were also maintained, with a strong balance sheet and ample liquidity, resulting in a net cash position of $809 million and liquidity of $3.9 billion as at 30 September 2023. Cash of $811 million was returned to shareholders through dividends and the on-market share buy-back program, in line with the Group's capital allocation framework.

Aristocrat's performance underlines the ongoing and effective implementation of Aristocrat's growth strategy. Throughout the year, we continued to invest strongly in competitive product portfolios to drive further share growth across key segments. Strong performance in Aristocrat Gaming more than offset the impact of an industry-wide moderation in mobile game demand, again highlighting diversification and scale as fundamental strengths of

our business.

Outstanding operational performance was delivered in the Gaming business in 2023, particularly in North America. We continued to strive to be a partner of choice to our Gaming customers, delivering a market-leading portfolio performance of 1.4 times floor average in the period - exceeding all other gaming suppliers. Strong share growth was further supported by penetration of new hardware along with successful growth in priority adjacencies, led by the VLT segments in Canada, Oregon, Illinois and New York.

Our mobile publishing business, Pixel United, delivered resilient performance for the year compared to 2022, despite mixed conditions across mobile gaming. The business retained leading positions in key genres, including #1 position in the Social Slots segment, #2 in the broader Social Casino genre, #1 in the Squad RPG (Role-Playing Games) segment and #4 in the Casual Merge segments. At year end, Pixel United titles accounted for 6 of the top 100 mobile games in the US across multiple genres, showing the benefits of continued investment in features, new content and best practices in Live Ops.

Last year, we announced a new brand for Aristocrat's online Real Money Gaming (RMG) business, Anaxi. Over financial 2023, Anaxi delivered our market entry commitments as we accelerated implementation of our "build and buy" strategy to grow in online RMG. Anaxi made considerable progress and, at year end, was live with seven operators in six countries across eight jurisdictions. We completed the acquisition of Roxor, a leading studio and content publishing technology company, and successfully integrated this core product technology into the Anaxi business.

Aristocrat also announced the proposed acquisition of NeoGames in May 2023 and expect the transaction to close in the first half of calendar 2024. When combined with our leading gaming content and strong relationships with both commercial and tribal operators and gaming regulators, we believe the acquisition will allow us to build a world class online RMG company at scale, operating across the three main verticals of iGaming, iLottery and Online Sports Betting.

We are also pleased to report that Aristocrat took significant steps forward in leadership and capability during the 2023 financial year, including through key appointments to the executive leadership team. Sally Denby was promoted to Chief Financial Officer in November 2022, while Tracey Elkerton, Chief Compliance Officer, was elevated to the executive team in February 2023. In addition, post period end, Superna Kalle was appointed Chief Strategy and Content Officer. These appointments represent a mix of effective internal talent development and the recruitment of external expertise, consistent with the skills required to continue to execute Aristocrat's growth strategy.

The Board also continued to strengthen its capabilities and skills mix, welcoming Jennifer Aument as a Non-Executive Director (Elect) in April 2023. Jennifer was previously global chief executive for transportation at AECOM, and has more than 25 years of experience across large, US and Australian listed companies, particularly in regulated environments. We are delighted to have the benefit of Jennifer's experience and perspectives.

Across the year, Aristocrat made significant steps forward in delivering our ambitious sustainability commitments. Responsible Gameplay (RG) remained Aristocrat's highest sustainability leadership priority. Among other highlights, we completed Australia's first cashless gaming trial, and post period end, Aristocrat submitted Science-Based emissions reduction Targets for our global enterprise

to the SBT initiative. We anticipate validation of these targets in the first half of calendar 2024.

Throughout 2023, we continued to foster a 'People First' mindset, with the launch of a number of additional initiatives to further enhance the wellbeing, engagement and development of all team members. Supporting our colleagues in Ukraine and, more recently, in Israel was a particular focus, and a moving demonstration of our values in action. We are continuing to build our business on a foundation of integrity and strong governance, consistent with our focus on delivering sustainable benefits over

the long term.

Shareholders are encouraged to peruse full details in Aristocrat's 2023 sustainability disclosures, available via our Group website (www.aristocrat.com).

We recognise the extraordinary resilience and commitment of our team of over 7,800 people around the world and express our sincere thanks to each of them for their energy and passion throughout the year.

In summary, we are pleased to report that fiscal 2023 was a successful year for Aristocrat. As we look ahead, we believe our outstanding product portfolios, growing operational resilience and capability, along with a highly engaged team and strong culture, positions us well, despite uncertain conditions. We will of course remain fully focused on advancing the long term interests of you - our shareholders - and we thank you for your ongoing interest and support.

Yours sincerely,

Neil Chatfield

Chairman

Trevor Croker

CEO and Managing Director

For the 12 months ended 30 September 2023

The Directors present their report together with the Financial Statements of the Company and its subsidiaries (the Group) for the 12 months ended 30 September 2023 (the financial year). The information in this report is current as at 15 November 2023 unless otherwise specified.

This Directors' Report has been prepared in accordance with the requirements of Division 1 of Part 2M.3 of the Corporations Act 2001 (Cth) (the Act).

Review and results of Operations

A review of the operations of the Group for the financial year and the results of those operations is set out in the Operating and Financial Review which forms part of this Directors' Report.

Financial results

The reported result of the Group attributable to shareholders for the 12 months ended 30 September 2023 was a profit of $1,454.1 million after tax (2022: profit of $948.5 million after tax) and normalised profit after tax and before amortisation of acquired intangibles (NPATA) for the financial year was $1,326.6 million (2022: $1,099.3 million).

Further details regarding the financial results of the Group are set out in the Operating and Financial Review and Financial Statements.

Capital management - dividends and share buy-back

Since the end of the financial year, the Directors have authorised a final fully franked dividend of 34.0 cents (2022: 26.0 cents) per fully-paid ordinary share. Details of the dividends paid and declared during the financial year are set out in Note 1-6 to the Financial Statements.

During the financial year, the Board approved an increase to the existing on-market share buy-back program to allow up to $1.5 billion to be bought up until 31 May 2024. As at 30 September 2023, $755 million of the share buy-back program had been completed.

Remuneration Report

Details of the remuneration policies in respect of the Group's Key Management Personnel are detailed in the Remuneration Report which forms part of this Directors' Report. Details

of Directors' interests in shares of the Company as at the end of the reporting period are set out on page 60 of the Remuneration Report.

Environmental regulation

The Company is not subject to any particular or significant environmental legislation under a law of the Commonwealth, State or Territory of Australia or in any of the other jurisdictions that the Group operates in. While the Company is not required to register and report under the National Greenhouse and Energy Reporting Act 2007 (Cth) (NGER Act), it continues to receive reports and monitors its position to ensure compliance with the NGER Act.

Aristocrat is committed to being compliant with all applicable environmental laws and regulatory obligations relevant to its operations and has policies and procedures in place that are designed to identify and appropriately address those obligations and where required, provide notification to the relevant authority of material breaches.

The Company has not been prosecuted, is not subject to any proceedings, and has not been convicted of any significant breaches of environmental regulation during this financial year.

Aristocrat adopts a phased long-term approach to expansive climate-related disclosures and has made progress in lifting its Environmental, Social, and Governance capability and core infrastructure, improving data capturing capabilities

to facilitate better quality disclosures and more accurate emissions reporting.

Aristocrat currently discloses against the Task Force on Climate-related Disclosures (TCFD) framework. Using the TCFD framework, Aristocrat's sustainability disclosures provide a progress update across each of the TCFD pillars: Governance, Strategy, Risk Management, Metrics and Targets. These detailed sustainability disclosures are published annually on the Company's website.

Aristocrat has submitted its draft targets for reductions in emissions to the Science-Based Targets Initiative (SBTi) and anticipates obtaining the required SBTi approval in the first half of calendar 2024.

Aristocrat's sustainability disclosures can be found on the Company's website www.aristocrat.com

Principal activities

Aristocrat is a global entertainment and content creation company that leverages technology to deliver industry-leading casino games and is a top-tier mobile games publisher. The principal activities of the Group during the financial year were the design, development and distribution of gaming content, platforms and systems, including electronic gaming machines, casino management systems, free-to-play mobile games and online real money games. Aristocrat's regulated gaming products are approved for use in more than 325 licensed jurisdictions and are available in more than 100 countries.

Significant changes in the state of affairs

Except as outlined elsewhere in this Directors' Report, there were no significant changes in the state of affairs of the Group during the financial year.

Events after balance date

Other than the Board authorising the final dividend, since the end of the financial year and to the date of this Directors' Report, no other matter or circumstance has arisen that has significantly affected or may significantly affect the Group's operations, results of those operations or state of affairs in future reporting periods.

Neil Chatfield

M.Bus, FCPA, FAICD

Nominated December 2017. Appointed February 2018.

• Chairman of Costa Group Holdings Limited (since July 2015, appointed as a Non-Executive Director in October 2011)
• Former Non-Executive Director of Transurban Group (February 2009 - October 2021)
• Former Chairman of Seek Ltd (November 2012 - December 2018, appointed as a Non-Executive Director in June 2005) and Virgin Australia Holdings Ltd (June 2007 - May 2015, appointed as a Non-Executive Director in May 2006)
• Former Non-Executive Director of Recall Holdings Ltd (September 2013 - May 2016) and Iron Mountain, Inc. (May 2016 - September 2017)
• Former Executive Director and Chief Financial Officer of Toll Holdings Ltd (until September 2008)

Non-Executive

Chairman

Member,

Regulatory &

Compliance

Committee

Member,

People & Culture

Committee

Member,

Audit Committee

Advanced Management

Program, GAICD

Managing

Director &

Chief Executive

Officer

Kathleen Conlon

BEc, MBA, FAICD

Nominated January 2014. Appointed February 2014.

• Chairman of Lynas Rare Earths Limited (since September 2020, appointed as a Non-Executive Director in November 2011)
• Non-ExecutiveDirector of BlueScope Steel Limited (since February 2020)
• Member of Chief Executive Women
• Chairman of the Australian Institute of Company Directors (AICD) Corporate Governance Committee and a former National Board Member of the AICD
• Former Non-Executive Director of REA Group Limited (June 2007 - November 2021) and The Benevolent Society (February 2013 - February 2022)
• Former Partner and Director, Boston Consulting Group (BCG) (August 1989 - December 2004)

Chairman,

People & Culture

Committee

Member,

Audit Committee

Lead US

Director

Chairman,

Regulatory

• Compliance Committee

Member,

Audit Committee

Member,

People & Culture

Committee

Member,

Regulatory &

Compliance

Committee

Bill Lance

Master of Public Health,

BSc, Graduate of Leadership

Oklahoma class XXV

Nominated October 2022. Appointed January 2023.

• Independent Director of BancFirst Corp (since August 2018)
• Honorary title of Secretary of State, Chickasaw Nation (since May 2022). In this role, he represents the nation on multiple Tribal and other national and state level organisations across the United States, including on the Executive Committees of the American Gaming Association and Greater Oklahoma City Chamber
• Former Secretary of Commerce (January 2009 - May 2022) and various other senior roles at the Chickasaw Nation
• Former member of the Board of Trustees for the University of Oklahoma Foundation (June 2013 - September 2021) and the Oklahoma Department of Commerce Advisory Council (January 2019 - December 2020)

Member,

Audit Committee

Member,

Regulatory &

Compliance

Committee

Jennifer Aument

B.S., MBA,

MAICD

Nominated April 2023. Appointed August 2023.

• Former global chief executive for transportation, AECOM (April 2021 - February 2023)
• Former CEO of North America for Transurban (2012 - 2021)
• Served as Commissioner and Executive Committee member for Port of Virginia, which is among the largest shipping enterprises in the U.S.
• Independent director for variety of private infrastructure companies
• Visiting professor and advisory board member, Cornell University
• Board member for major not-for-profit trade associations and industry groups, including Eno Center for Transportation and the American Road and Transportation Builders Association

Member,

People & Culture

Committee

Member,

Regulatory &

Compliance

Committee

Kristy Jo

BCom/LLB, GradDip Applied

Corporate Governance

Kristy Jo joined Aristocrat in April 2018 and was appointed as Company Secretary effective 10 June 2021.

She has over 15 years of legal experience in private and in-house roles. Prior to joining Aristocrat, Kristy worked at NBN Co Limited, Newcastle Permanent Building Society and law firm Allens Linklaters. She is a Fellow of the Governance Institute of Australia.