Solaris Australian Equity Income Plus Announces Estimated Pre-Tax NTA of $2.005 Per Share as of 16 July 2026

Overview of Solaris Australian Equity Income Plus' Investment Strategy and Operations

Operating as a listed investment company on the Australian Securities Exchange under ticker SET, Solaris Australian Equity Income Plus Limited is headquartered in Brisbane, Queensland, with its registered office at Level 20, 66 Eagle Street. The company’s investment mandate focuses on Australian equities selected primarily for sustainable dividend income generation. Its portfolio construction prioritizes quality Australian companies exhibiting strong income-producing characteristics.

The company employs professional portfolio management and conducts daily valuations of its holdings to maintain transparency and provide regular reporting to investors. Management fees and operating expenses are deducted from net assets as part of the NTA calculation. This daily NTA reporting enables shareholders to access timely insights into the value underpinning their investment, facilitating informed decisions regarding their fund holdings.

Components of the Pre-Tax NTA Per Share Calculation

The reported pre-tax NTA per share of $2.005 as of 16 July 2026 is derived through a detailed process incorporating several elements. It starts with the daily valuation of the company’s investment portfolio, which forms the core asset base. Cash balances held for operational and investment purposes are then added, resulting in the gross asset base used for NTA calculations.

From this gross asset base, deductions are made for management fees payable to the investment manager and estimated operating costs. Adjustments also account for movements in income tax balances, reflecting tax provisions related to trading activities. The pre-tax NTA figure includes tax on realised gains and losses but excludes provisions for tax on unrealised gains or losses, offering investors a nuanced view that distinguishes between crystallised and unrealised tax liabilities.

Limitations and Exclusions in NTA Reporting Methodology

The company clarifies that the reported NTA figure is unaudited and approximate, meaning it has not undergone formal audit verification and may be revised as final valuations are completed. This approach aligns with standard industry practice for daily NTA reporting, where preliminary valuations are shared for investor guidance ahead of audited results.

Notably, the NTA excludes the company’s franking account balance, representing accumulated franking credits available for distribution, and any deferred tax assets arising from income tax losses. These exclusions provide a conservative estimate of tangible asset backing, as they omit potential benefits from franking credits and tax loss carryforwards that could enhance future shareholder returns.

Daily Valuation Process and Portfolio Assessment

Solaris Australian Equity Income Plus employs a daily valuation framework to provide consistent updates on the asset value supporting each share. This modern approach leverages technology to assess portfolio values frequently, bypassing the need to wait for monthly or quarterly reports. The daily valuation enhances transparency by allowing investors to track how portfolio performance impacts per-share value.

The valuation captures current market prices of listed Australian equities in the portfolio, typically based on official ASX closing prices or the last traded price if trading has ceased. Cash holdings are valued at face value. Together, these components offer a timely snapshot of portfolio composition and value, forming the basis for the NTA and corresponding per-share figure communicated to the market.

Tax Treatment in NTA Calculations and Its Implications for Investors

The company’s tax treatment in the NTA calculation distinguishes between realised and unrealised tax liabilities. The pre-tax NTA includes provisions for tax on realised gains and losses from actual sales or disposals, representing genuine liabilities affecting net asset value. This inclusion provides a clearer picture of net value available to shareholders.

Conversely, the exclusion of tax provisions on unrealised gains and losses reflects their contingent nature, as such taxes only crystallise upon sale of securities. By omitting these provisions, the company avoids overstating current liabilities, resulting in an NTA figure that balances recognition of crystallised tax costs while deferring contingent future tax obligations.

Portfolio Composition and Exposure to the Australian Equity Market

With a mandate to invest in dividend-yielding Australian equities, Solaris Australian Equity Income Plus maintains diversified exposure across sectors and companies within the Australian listed equity market. The portfolio targets quality companies with strong dividend payment capacity and sustainable income profiles, emphasizing regular cash distributions over capital growth alone.

The daily NTA of $2.005 per share reflects aggregate portfolio value net of liabilities and operational costs. Daily NTA fluctuations capture the impact of market price changes, dividend income, and portfolio transactions executed by the investment manager, ensuring the asset backing per share remains current for investor assessment.

Management Fees and Operating Expenses Impact on NTA

Management fees paid to the investment manager are deducted in the NTA calculation, representing the cost for professional portfolio management services, typically charged as a percentage of assets under management. Although the specific fee rate is not disclosed, these fees reduce the per-share NTA relative to the gross portfolio value.

Operating expenses related to administration, governance, registry services, compliance, and regulatory fees are also estimated and deducted in the NTA calculation. Including these costs ensures the NTA figure reflects the tangible asset value available to shareholders after accounting for ongoing operational expenditures.

Regulatory Compliance and Investor Disclosure Practices

Solaris Australian Equity Income Plus’ daily NTA disclosures demonstrate its commitment to transparency and timely market communication. As an ASX-listed investment company, it adheres to listing rules and continuous disclosure obligations requiring prompt release of material information. Publishing estimated NTA per share figures daily supports shareholder monitoring of asset backing and portfolio performance.

The use of unaudited, approximate NTA figures balances the need for timely information with accuracy. Preliminary estimates are provided ahead of formal audited results, with clear disclaimers to manage expectations and limit liability. This practice aligns with industry standards for listed investment companies, ensuring investors receive current data while understanding its provisional nature.

Ongoing NTA Monitoring and Investor Considerations

Investors in Solaris Australian Equity Income Plus can anticipate regular daily NTA updates that reflect portfolio price movements, dividend receipts, management fee deductions, and operating cost accruals. Tracking these updates over time offers insights into asset backing levels and trends, aiding evaluation of the investment’s performance relative to initial purchase price and objectives.

The reported pre-tax NTA of $2.005 per share as at 16 July 2026 serves as a reference point for future comparisons. Monitoring subsequent NTA figures will help investors assess whether the company continues to meet its goal of delivering sustainable dividend income while preserving or enhancing net asset value per share. Factors influencing NTA changes include market conditions, portfolio management decisions, dividend distributions, and operational expenses, all contributing to total shareholder returns.