UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF

BROOKFIELD BUSINESS CORPORATION

As at March 31, 2024 and December 31, 2023 and for the

three months ended March 31, 2024 and 2023

1

INDEX TO THE UNAUDITED INTERIM CONDENSED CONSOLIDATED

FINANCIAL STATEMENTS OF BROOKFIELD BUSINESS CORPORATION

Unaudited Interim Condensed Consolidated Statements of Financial Position	3
Unaudited Interim Condensed Consolidated Statements of Operating Results	4
Unaudited Interim Condensed Consolidated Statements of Comprehensive Income (Loss)	5
Unaudited Interim Condensed Consolidated Statements of Changes in Equity	6
Unaudited Interim Condensed Consolidated Statements of Cash Flow	7
Notes to Unaudited Interim Condensed Consolidated Financial Statements	8

2

BROOKFIELD BUSINESS CORPORATION

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS

OF FINANCIAL POSITION

(US$ MILLIONS)	Notes	March 31, 2024		December 31, 2023
Assets
Current Assets
Cash and cash equivalents	3	$	743	$	772
Financial assets	4	101		77
Accounts and other receivable, net	6	1,514		1,352
Inventory, net	7	59		61
Other assets	10	459		489
		2,876		2,751
Non-Current Assets
Financial assets	4	202		147
Accounts and other receivable, net	6	2,087		2,217
Other assets	10	251		248
Property, plant and equipment	11	2,622		2,743
Deferred income tax assets		227		221
Intangible assets	12	6,756		6,931
Equity accounted investments	14	216		222
Goodwill	13	5,650		5,702
		$	20,887	$	21,182
Liabilities and Equity
Current Liabilities
Accounts payable and other	15	$	2,736	$	2,534
Non-recourse borrowings in subsidiaries of the company	17	303		793
Exchangeable and class B shares	5	1,612		1,501
		4,651		4,828
Non-Current Liabilities
Accounts payable and other	15	2,203		2,284
Non-recourse borrowings in subsidiaries of the company	17	8,242		8,030
Deferred income tax liabilities		1,235		1,280
		$	16,331	$	16,422
Equity
Brookfield Business Partners	21	$	722	$	880
Non-controlling interests		3,834		3,880
		4,556		4,760
		$	20,887	$	21,182

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.

3

BROOKFIELD BUSINESS CORPORATION

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS

OF OPERATING RESULTS

		Three Months Ended March 31,
(US$ MILLIONS)	Notes	2024		2023
Continuing operations
Revenues	20	$	1,865	$	1,865
Direct operating costs	19	(1,652)		(1,616)
General and administrative expenses		(64)		(61)
Interest income (expense), net		(210)		(212)
Equity accounted income (loss)	14	1		(2)
Impairment reversal (expense), net		(2)		—
Remeasurement of exchangeable and class B shares	5	(111)		(121)
Other income (expense), net		(11)		(38)
Income (loss) before income tax from continuing operations		(184)		(185)
Income tax (expense) recovery
Current		(44)		(10)
Deferred		54		13
Net income (loss) from continuing operations		$	(174)	$	(182)
Discontinued operations
Net income (loss) from discontinued operations	9	—		(3)
Net income (loss)		$	(174)	$	(185)
Attributable to:
Brookfield Business Partners (1)		$	(150)	$	(140)
Non-controlling interests		(24)		(45)
		$	(174)	$	(185)

____________________________________

(1)Earnings per share have not been presented in the financial statements, as the underlying shares do not constitute “ordinary shares” under IAS 33, Earnings per share (“IAS 33”). See Note 2(d) for further details.

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.

4

BROOKFIELD BUSINESS CORPORATION

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS

OF COMPREHENSIVE INCOME (LOSS)

		Three Months Ended March 31,
(US$ MILLIONS)	Notes	2024		2023
Net income (loss)		$	(174)	$	(185)
Other comprehensive income (loss):
Items that may be reclassified subsequently to profit or loss:
Foreign currency translation		(81)		3
Net investment and cash flow hedges	3	59		(62)
Taxes on the above items		(8)		20
Reclassification to profit or loss		(17)		(18)
Total other comprehensive income (loss)		(47)		(57)
Comprehensive income (loss)		$	(221)	$	(242)
Attributable to:
Brookfield Business Partners		$	(172)	$	(162)
Non-controlling interests		(49)		(80)
		$	(221)	$	(242)

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.

5

BROOKFIELD BUSINESS CORPORATION

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(US$ MILLIONS)	Capital		Retained earnings		Ownership changes		Accumulated other comprehensive income (loss) (1)		Brookfield Business Partners		Non-controlling interests		Total equity
Balance as at January 1, 2024	$	737	$	637	$	(129)	$	(365)	$	880	$	3,880	$	4,760
Net income (loss)	—		(150)		—		—		(150)		(24)		(174)
Other comprehensive income (loss)	—		—		—		(22)		(22)		(25)		(47)
Total comprehensive income (loss)	—		(150)		—		(22)		(172)		(49)		(221)
Contributions	—		—		—		—		—		25		25
Distributions and capital paid	—		—		—		—		—		(22)		(22)
Ownership changes and other	—		11		3		—		14		—		14
Balance as at March 31, 2024	$	737	$	498	$	(126)	$	(387)	$	722	$	3,834	$	4,556
Balance as at January 1, 2023	$	737	$	118	$	(161)	$	(335)	$	359	$	3,712	$	4,071
Net income (loss)	—		(140)		—		—		(140)		(45)		(185)
Other comprehensive income (loss)	—		—		—		(22)		(22)		(35)		(57)
Total comprehensive income (loss)	—		(140)		—		(22)		(162)		(80)		(242)
Contributions	—		—		—		—		—		93		93
Distributions and capital paid	—		—		—		—		—		(63)		(63)
Ownership changes and other	—		—		(5)		—		(5)		32		27
Balance as at March 31, 2023	$	737	$	(22)	$	(166)	$	(357)	$	192	$	3,694	$	3,886

____________________________________

(1)See Note 18 for additional information.

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.

6

BROOKFIELD BUSINESS CORPORATION

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW

		Three Months Ended March 31,
(US$ MILLIONS)	Notes	2024		2023
Operating Activities
Net income (loss) from continuing operations		$	(174)	$	(182)
Net income (loss) from discontinued operations	9	—		(3)
Net income (loss)		(174)		(185)
Adjusted for the following items:
Equity accounted earnings, net of distributions	14	4		8
Impairment expense (reversal), net		2		—
Depreciation and amortization expense	19	196		282
Gain on acquisitions/dispositions, net	8	—		(14)
Provisions and other items		(29)		25
Deferred income tax expense (recovery)		(54)		(43)
Remeasurement of exchangeable and class B shares	5	111		121
Changes in non-cash working capital, net	24	(109)		(334)
Cash from (used in) operating activities		(53)		(140)
Financing Activities
Proceeds from non-recourse borrowings in subsidiaries of the company		352		355
Repayment of non-recourse borrowings in subsidiaries of the company		(507)		(103)
Proceeds from other financing		16		17
Repayment of other financing		(33)		(30)
Lease liability repayment		(17)		(30)
Capital provided by others who have interests in operating subsidiaries		13		92
Distributions to exchangeable shareholders	5	(5)		(5)
Proceeds from Brookfield Business Partners		320		11
Payment to Brookfield Business Partners		—		(43)
Distributions and capital paid to others who have interests in operating subsidiaries		(15)		(175)
Cash from (used in) financing activities		124		89
Investing Activities
Acquisitions
Property, plant and equipment and intangible assets		(76)		(173)
Financial assets and other		—		(1)
Dispositions
Subsidiaries, net of cash disposed	8	—		274
Property, plant and equipment and intangible assets		1		9
Financial assets and other		2		3
Net settlement of derivative assets and liabilities		(3)		(4)
Restricted cash and deposits		(1)		2
Cash from (used in) investing activities		(77)		110
Cash and cash equivalents
Change during the period		(6)		59
Impact of foreign exchange		(23)		15
Balance, beginning of year		772		736
Balance, end of period		$	743	$	810

Supplemental cash flow information is presented in Note 24.

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.

7

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 1. ORGANIZATION AND DESCRIPTION OF THE COMPANY

(a)Brookfield Business Corporation

Brookfield Business Corporation and its subsidiaries (the “company”) is an owner and operator of services and industrials operations on a global basis (the “businesses”). The company was formed as a corporation established under the Business Corporations Act (British Columbia) on June 21, 2021 and is a subsidiary of Brookfield Business Partners L.P. (NYSE: BBU; TSX: BBU.UN) (the “partnership”, or collectively with its subsidiaries, excluding the company, “Brookfield Business Partners”). Brookfield Business Partners, the company and respective subsidiaries are referred to collectively as the “group”. Brookfield Corporation, formerly Brookfield Asset Management Inc. (“Brookfield Corporation” or together with its controlled subsidiaries, excluding the group, “Brookfield”), is the ultimate parent of the company and the group. Brookfield Business Partners holds all the issued and outstanding class B shares and class C shares of the company as at March 31, 2024. The registered head office of the company is 250 Vesey Street, New York, NY 10281, United States. The class A exchangeable subordinate voting shares (each, an “exchangeable share”) of the company are listed on the New York Stock Exchange (“NYSE”) and the Toronto Stock Exchange (“TSX”) under the symbol “BBUC”. The exchangeable shares are structured with the intention of being economically equivalent to the non-voting limited partnership units (“LP Units”) of the partnership. Given the economic equivalence, the market price of the exchangeable shares will be significantly impacted by the market price of the LP Units and the combined business performance of the company and Brookfield Business Partners as a whole.

NOTE 2. MATERIAL ACCOUNTING POLICY INFORMATION

(a)Statement of compliance

The unaudited interim condensed consolidated financial statements have been prepared in accordance with IAS 34, Interim financial reporting (“IAS 34”)as issued by the International Accounting Standards Board (“IASB”). Accordingly, certain information and footnote disclosures normally included in the annual audited financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the IASB, have been omitted or condensed.

The unaudited interim condensed consolidated financial statements were approved by the Board of Directors and authorized for issue on May 6, 2024.

(b)Basis of presentation

These unaudited interim condensed consolidated financial statements should be read in conjunction with the company’s December 31, 2023 audited financial statements. The unaudited interim condensed consolidated financial statements have been prepared on a basis consistent with the accounting policies disclosed in Note 2 of the December 31, 2023 audited financial statements, unless otherwise noted.

The results reported in these unaudited interim condensed consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for an entire year. The policies set out below are consistently applied to all periods presented, unless otherwise noted.

All figures are presented in millions of U.S. dollars, unless otherwise noted.

The unaudited interim condensed consolidated financial statements have been prepared on the basis of historical cost except for certain financial instruments measured at fair value. Cost is recorded based on the fair value of the consideration given in exchange for assets.

8

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

(i)Global minimum top-up tax

The company operates in countries which have enacted new legislation to implement the global minimum top-up tax. The company has applied a temporary mandatory relief from recognizing and disclosing information related to the top-up tax and will account for it as a current tax when it is incurred. There is no material current tax impact for the quarter ended March 31, 2024. The Canadian legislation is not yet substantively enacted and if enacted in its current form, will be effective from January 1, 2024. The global minimum top-up tax is not anticipated to have a significant impact on the financial position of the company.

(c)Consolidation

These unaudited interim condensed consolidated financial statements include the accounts of the company and its subsidiaries, which are the entities over which the company has control. An investor controls an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Non-controlling interests in the equity of the company’s subsidiaries are shown separately in equity in the unaudited interim condensed consolidated statements of financial position.

(d)Earnings per Share

The company’s basic and diluted earnings per share have not been presented in the unaudited interim condensed consolidated financial statements. As outlined in Note 5, exchangeable shares and class B shares are classified as financial liabilities, while class C shares are classified as financial liabilities but presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. As each share classification represents a financial liability, they do not constitute ordinary shares. Refer to the aforementioned note for further details.

(e)Critical accounting judgements and measurement uncertainty

The preparation of financial statements requires management to make critical judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period that are not readily apparent from other sources. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

(f)New accounting policies adopted

The company has applied certain new and revised standards issued by the IASB that are effective for the period beginning on or after January 1, 2024.

(i)Amendments to IAS 1 Presentation of financial statements (“IAS 1”)

The amendments clarify how to classify debt and other liabilities as current or non-current. The company adopted these amendments on January 1, 2024 and the adoption did not have a material impact on the company’s unaudited interim condensed consolidated financial statements.

(g)Future changes in accounting policies

There are currently no other future changes to IFRS with expected material impacts on the company.

9

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 3. FAIR VALUE OF FINANCIAL INSTRUMENTS

The following table provides the details of financial instruments and their associated financial instrument classifications as at March 31, 2024:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	743	$	743
Accounts and other receivable, net (current and non-current)	—		—		3,601		3,601
Financial assets (current and non-current) (1)	11		104		188		303
Total	$	11	$	104	$	4,532	$	4,647
Financial liabilities
Accounts payable and other (current and non-current) (1) (2)	$	—	$	53	$	3,494	$	3,547
Non-recourse borrowings in subsidiaries of the company (current and non-current)	—		—		8,545		8,545
Exchangeable and class B shares (3)	—		—		1,612		1,612
Total	$	—	$	53	$	13,651	$	13,704

____________________________________

(1)FVOCI includes derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 3(a) below.

(2)Includes derivative liabilities and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenue, work in progress, post-employment benefits and other liabilities of $1,392 million.

(3)Class C shares are also classified as financial liabilities due to their cash redemption feature. As discussed in Note 1(b), the class C shares meet certain qualifying criteria and are presented as equity instruments in accordance with IAS 32. See Note 21 for additional information.

Included in cash and cash equivalents as at March 31, 2024 is $280 million of cash (December 31, 2023: $374 million) and $463 million of cash equivalents (December 31, 2023: $398 million).

The following table provides the details of financial instruments and their associated financial instrument classifications as at December 31, 2023:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	772	$	772
Accounts and other receivable, net (current and non-current)	—		—		3,569		3,569
Financial assets (current and non-current) (1)	9		55		160		224
Total	$	9	$	55	$	4,501	$	4,565
Financial liabilities
Accounts payable and other (1) (2)	$	—	$	48	$	3,386	$	3,434
Non-recourse borrowings in subsidiaries of the company (current and non-current)	—		—		8,823		8,823
Exchangeable and class B shares (3)	—		—		1,501		1,501
Total	$	—	$	48	$	13,710	$	13,758

____________________________________

(1)FVOCI includes derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 3(a) below.

(2)Includes derivative liabilities and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenue, work in progress, post-employment benefits and other liabilities of $1,384 million.

(3)Class C shares are also classified as financial liabilities due to their cash redemption feature. As discussed in Note 1(b), the class C shares meet certain qualifying criteria and are presented as equity instruments in accordance with IAS 32. See Note 21 for additional information.

10

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

(a)Hedging activities

Net investment hedges

The company uses foreign exchange derivative contracts to manage foreign currency exposures arising from net investments in foreign operations. For the three month period ended March 31, 2024, a pre-tax net gain of $10 million (March 31, 2023: pre-tax net loss of $11 million), was recorded in other comprehensive income for the effective portion of hedges of net investments in foreign operations. As at March 31, 2024, there was a derivative asset balance of $7 million (December 31, 2023: $1 million) and derivative liability balance of $36 million (December 31, 2023: $42 million) relating to derivative contracts designated as net investment hedges.

Cash flow hedges

The company uses foreign exchange contracts and option contracts to hedge highly probable future transactions and interest rate contracts to hedge the cash flows on its floating rate borrowings. For the three month period ended March 31, 2024, a pre-tax net gain of $49 million (March 31, 2023: pre-tax net loss of $51 million) was recorded in other comprehensive income for the effective portion of cash flow hedges. As at March 31, 2024, there was derivative asset balance of $97 million (December 31, 2023: $54 million) and a derivative liability balance of $17 million (December 31, 2023: $6 million) relating to the derivative contracts designated as cash flow hedges.

(b)Fair value hierarchical levels – financial instruments

The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the level of input as at March 31, 2024 and December 31, 2023:

	March 31, 2024						December 31, 2023
(US$ MILLIONS)	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Financial assets
Derivative assets	$	—	$	104	$	—	$	—	$	55	$	—
Other financial assets	11		—		—		9		—		—
	$	11	$	104	$	—	$	9	$	55	$	—
Financial liabilities
Derivative liabilities	$	—	$	53	$	—	$	—	$	48	$	—
	$	—	$	53	$	—	$	—	$	48	$	—

There were no transfers between levels during the three months ended March 31, 2024.

NOTE 4. FINANCIAL ASSETS

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Current
Restricted cash	$	53	$	52
Derivative assets	7		10
Other financial assets	41		15
Total current	$	101	$	77
Non-current
Restricted cash	$	25	$	25
Derivative assets	97		45
Loans and notes receivable	70		68
Other financial assets	10		9
Total non-current	$	202	$	147

11

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 5. EXCHANGEABLE SHARES, CLASS B SHARES AND CLASS C SHARES

The exchangeable shares and the class B shares are classified as liabilities due to their exchangeable and cash redemption features. Upon issuance, the exchangeable shares and the class B shares were recognized at their fair value. Subsequent to initial recognition, the exchangeable shares and the class B shares are recognized at amortized cost and remeasured to reflect changes in the contractual cash flows associated with the shares. These contractual cash flows are based on the price of one LP Unit.

During the three months ended March 31, 2024, 1 exchangeable share was exchanged into an LP Unit (March 31, 2023: 494). As at March 31, 2024, the exchangeable shares and the class B shares were remeasured to reflect the closing price of one LP Unit, which was $22.10 per unit. Remeasurement gains or losses associated with the exchangeable shares and class B shares are recorded in remeasurement of exchangeable and class B shares in the unaudited interim condensed consolidated statements of operating results. During the three months ended March 31, 2024, $5 million of dividends (March 31, 2023: $5 million of dividends) were declared on the outstanding exchangeable shares of the company and included in interest income (expense), net in the unaudited interim condensed consolidated statements of operating results.

The following table provides a continuity schedule of outstanding exchangeable shares, and the class B shares, along with the carrying value of the corresponding liability and remeasurement gains and losses:

(US$ MILLIONS, except as noted)	Exchangeable shares outstanding (Shares)	Class B shares outstanding (Shares)	Exchangeable shares and class B shares
Balance as at January 1, 2024	72,954,450	1	$	1,501
Shares exchanged to LP Units	(1)	—	—
Remeasurement (gains) losses	—	—	111
Balance as at March 31, 2024	72,954,449	1	$	1,612

Similar to the exchangeable shares and class B shares, the class C shares are classified as liabilities due to their cash redemption feature. However, the class C shares, the most subordinated class of all the company’s classes of common shares, meet certain qualifying criteria and are presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. Refer to Note 21 for further details related to class C shares.

NOTE 6. ACCOUNTS AND OTHER RECEIVABLE, NET

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Current, net	$	1,514	$	1,352
Non-current, net
Accounts receivable	154		283
Retainer on customer contract	74		70
Billing rights	728		733
Loan receivable from Brookfield Business Partners (1)	1,131		1,131
Total non-current, net	$	2,087	$	2,217
Total	$	3,601	$	3,569

____________________________________

(1)See Note 22 for additional information.

Non-current billing rights primarily represent unbilled rights from the company’s water and wastewater operation in Brazil from revenues earned from the construction on public concession contracts classified as financial assets, which are recognized when there is an unconditional right to receive cash or other financial assets from the concession authority for the construction services.

The company’s construction operation has a retention balance, which comprises amounts that have been earned but held back until the satisfaction of certain conditions specified in the contract. The retention balance included in the current accounts and other receivable, net as at March 31, 2024 was $145 million (December 31, 2023: $120 million).

12

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 7. INVENTORY, NET

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Raw materials and consumables	$	50	$	52
Finished goods and other	9		9
Carrying amount of inventories	$	59	$	61

NOTE 8. DISPOSITIONS

(a)Dispositions completed in the three months ended March 31, 2024

For the three months ended March 31, 2024, the company did not recognize any gains or losses on dispositions.

(b)Dispositions completed in the three months ended March 31, 2023

Power delivery business

During February 2023, the company’s nuclear technology services operation, which was subsequently sold in November 2023, completed the sale of its power delivery business for gross proceeds of approximately $275 million, resulting in a gain of $14 million recorded in the unaudited interim condensed consolidated statements of operating results. See Note 9 for additional information.

NOTE 9. DISCONTINUED OPERATIONS

The revenues and expenses related to the company’s nuclear technology services operation, which was company sold in November 2023, have been presented in the unaudited interim condensed consolidated statements of operating results for the three months ended March 31, 2023as a discontinued operation.

Operating results of the discontinued operation for the three months ended March 31, 2024 and 2023 were as follows:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Revenues	$	—	$	1,056
Direct operating costs	—		(935)
General and administrative expenses	—		(46)
Interest expense, net	—		(67)
Equity accounted income (loss)	—		(1)
Gain on acquisitions/dispositions, net	—		14
Other income (expenses), net	—		(19)
Income (loss) before income tax	—		2
Current and deferred taxes	—		(5)
Net income (loss) from discontinued operations	$	—	$	(3)

Net income (loss) attributable to Brookfield Business Partners and non-controlling interests for the three months ended March 31, 2024 and 2023 were as follows:

13

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Income (loss) from continuing operations attributable to:
Brookfield Business Partners	$	(150)	$	(143)
Non-controlling interests	(24)		(39)
Total	$	(174)	$	(182)
Income (loss) from discontinued operations attributable to:
Brookfield Business Partners	$	—	$	3
Non-controlling interests	—		(6)
Total	$	—	$	(3)

Comprehensive income (loss) attributable to Brookfield Business Partners and non-controlling interests for the three months ended March 31, 2024 and 2023 were as follows:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Comprehensive income (loss) from continuing operations attributable to:
Brookfield Business Partners	$	(172)	$	(160)
Non-controlling interests	(49)		(62)
Total	$	(221)	$	(222)
Comprehensive income (loss) from discontinued operations attributable to:
Brookfield Business Partners	$	—	$	(2)
Non-controlling interests	—		(18)
Total	$	—	$	(20)

The net cash flows attributable to the operating, investing and financing activities of the discontinued operation for the three months ended March 31, 2024 and 2023 were as follows:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Operating cash flows	$	—	$	(104)
Financing cash flows	—		(36)
Investing cash flows	—		234
Net cash flows	$	—	$	94

14

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 10. OTHER ASSETS

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Current
Work in progress (1)	$	178	$	167
Prepayments and other assets	266		305
Assets held for sale	15		17
Total current	$	459	$	489
Non-current
Prepayments and other assets	$	251	$	248
Total non-current	$	251	$	248

____________________________________

(1)See Note 16 for additional information.

NOTE 11. PROPERTY, PLANT AND EQUIPMENT

The following table presents the change in the balance of property, plant and equipment for the three-month period ended March 31, 2024 and the twelve-month period ended December 31, 2023:

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Gross carrying amount
Balance at beginning of period	$	3,398	$	4,810
Additions (cash and non-cash)	42		422
Dispositions	(13)		(1,785)
Foreign currency translation and other	(139)		(49)
Balance at end of period	$	3,288	$	3,398
Accumulated depreciation and impairment
Balance at beginning of period	$	(655)	$	(1,045)
Depreciation and impairment expense	(45)		(317)
Dispositions	10		705
Foreign currency translation and other	24		2
Balance at end of period	$	(666)	$	(655)
Net book value (1)	$	2,622	$	2,743

____________________________________

(1)Includes right-of-use assets of $228 million as at March 31, 2024 (December 31, 2023: $245 million).

15

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 12. INTANGIBLE ASSETS

The following table presents the change in the balance of intangible assets for the three-month period ended March 31, 2024 and the twelve-month period ended December 31, 2023:

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Gross carrying amount
Balance at beginning of period	$	8,163	$	10,693
Additions	67		409
Dispositions	—		(3,182)
Foreign currency translation	(110)		243
Balance at end of period	$	8,120	$	8,163
Accumulated amortization
Balance at beginning of period	$	(1,232)	$	(1,398)
Amortization and impairment expense	(150)		(711)
Dispositions	—		929
Foreign currency translation	18		(52)
Balance at end of period	$	(1,364)	$	(1,232)
Net book value	$	6,756	$	6,931

Included within intangible assets are customer relationship intangible assets pertaining to continuing relationships with many of the company’s customers that contribute to the revenues and cash flows generated by the company’s respective operations. The company has recognized customer relationships from the acquisition of its dealer software and technology services operation in 2022. These customer relationships were valued at the date of acquisition using a multi-period excess earnings approach and have a carrying value of $3.2 billion as at March 31, 2024 with a remaining useful life of 14 years.

NOTE 13. GOODWILL

The following table presents the change in the balance of goodwill for the three-month period ended March 31, 2024 and the twelve-month period ended December 31, 2023:

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Balance at beginning of period	$	5,702	$	6,914
Impairment losses	—		(599)
Dispositions	—		(577)
Foreign currency translation	(52)		(36)
Balance at end of period	$	5,650	$	5,702

NOTE 14. EQUITY ACCOUNTED INVESTMENTS

The following table presents the change in the balance of equity accounted investments for the three-month period ended March 31, 2024 and the twelve-month period ended December 31, 2023:

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Balance at beginning of period	$	222	$	251
Dispositions	—		(17)
Share of net income (loss)	1		4
Distributions received	(5)		(23)
Foreign currency translation	(2)		7
Balance at end of period	$	216	$	222

16

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 15. ACCOUNTS PAYABLE AND OTHER

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Current
Accounts payable	$	833	$	849
Accrued and other liabilities	735		545
Lease liabilities	37		43
Financial liabilities (1)	118		109
Work in progress (2)	527		481
Provisions and decommissioning liabilities	481		502
Liabilities associated with assets held for sale	5		5
Total current	$	2,736	$	2,534
Non-current
Accounts payable	$	88	$	84
Accrued and other liabilities	315		312
Lease liabilities	253		269
Financial liabilities (1)	1,326		1,378
Work in progress (2)	12		20
Provisions and decommissioning liabilities	209		221
Total non-current	$	2,203	$	2,284

____________________________________

(1)Includes financial liabilities of $1,296 million ($59 million current and $1,237 million non-current) as at March 31, 2024, and $1,345 million ($64 million current and $1,281 million non-current) as at December 31, 2023 related to a failed sale and leaseback of hospitals.

(2)See Note 16 for additional information.

NOTE 16. CONTRACTS IN PROGRESS

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Contract costs incurred to date	$	11,683	$	13,272
Profit recognized to date (less recognized losses)	11		117
	$	11,694	$	13,389
Less: progress billings	(12,055)		(13,723)
Contract work in progress (liability)	$	(361)	$	(334)
Comprising:
Amounts due from customers – work in progress	$	178	$	167
Amounts due to customers – creditors	(539)		(501)
Net work in progress	$	(361)	$	(334)

17

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 17. BORROWINGS

Current and non-current non-recourse borrowings in subsidiaries of the company as at March 31, 2024, net of deferred financing costs, premiums and discounts were $303 million and $8,242 million (December 31, 2023: $793 million and $8,030 million). Non-recourse borrowings in subsidiaries of the company include borrowings made under subscription facilities of Brookfield-sponsored private equity funds.

The company has financing arrangements within its operating businesses that trade in public markets or are held at major financial institutions. The financing arrangements are primarily composed of term loans, credit facilities, and notes and debentures which are subject to fixed or floating rates. The majority of borrowings drawn are not subject to financial maintenance covenants, however, some are subject to fixed charge coverage, leverage ratios and minimum equity or liquidity covenants.

The company’s operations are currently in compliance with all covenant requirements, and the company continues to work with its subsidiaries to monitor performance against such covenant requirements.

NOTE 18. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

Attributable to Brookfield Business Partners

The following tables present the changes in accumulated other comprehensive income (loss) reserves attributable to Brookfield Business Partners for the three-month period endedMarch 31, 2024 and 2023:

(US$ MILLIONS)	Foreign currency translation		Other (1)		Accumulated other comprehensive income (loss)
Balance as at January 1, 2024	$	(427)	$	62	$	(365)
Other comprehensive income (loss)	(34)		12		(22)
Balance as at March 31, 2024	$	(461)	$	74	$	(387)

____________________________________

(1)Represents net investment hedges, cash flow hedges and other reserves.

(US$ MILLIONS)	Foreign currency translation		Other (1)		Accumulated other comprehensive income (loss)
Balance as at January 1, 2023	$	(466)	$	131	$	(335)
Other comprehensive income (loss)	(3)		(19)		(22)
Balance as at March 31, 2023	$	(469)	$	112	$	(357)

____________________________________

(1)Represents net investment hedges, cash flow hedges and other reserves.

18

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 19. DIRECT OPERATING COSTS

The company has no key employees or directors and does not remunerate key management personnel. Key decision makers of the company are all employees of the ultimate parent company or its subsidiaries, which provide management services under a master services agreement with Brookfield (the “Master Services Agreement”). Details of the allocations of costs incurred by Brookfield on behalf of the company are disclosed in Note 22.

Direct operating costs are costs incurred to earn revenues and include all attributable expenses. The following table presents direct operating costs by nature for the three months ended March 31, 2024 and 2023:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Inventory costs	$	122	$	133
Subcontractor and consultant costs	597		551
Concession construction materials and labor costs	40		75
Depreciation and amortization expense	196		186
Compensation	439		427
Other direct costs	258		244
Total	$	1,652	$	1,616

Other direct costs include freight, cost of construction expensed and expected credit loss provisions on financial assets.

NOTE 20. REVENUES

(a)Revenues by type

The following table summarizes the company’s revenues by type of revenue for the three months ended March 31, 2024 and 2023.

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Revenues by type
Revenues from contracts with customers	$	1,865	$	1,865
Total revenues	$	1,865	$	1,865

(b)Timing of recognition of revenues from contracts with customers

The following table summarizes the company’s revenues by timing of revenue recognition for the total revenues from contracts with customers for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Timing of revenue recognition
Goods and services provided at a point in time	$	714	$	708
Services transferred over a period of time	1,151		1,157
Total revenues from contracts with customers	$	1,865	$	1,865

19

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

(c)Revenues by geography

The following table summarizes thecompany’s revenues by geography for revenues from contracts with customers for the three months ended March 31, 2024 and March 31, 2023:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
United Kingdom	$	213	$	177
United States of America	454		454
Australia	919		946
Canada	70		66
Brazil	206		219
Other	3		3
Total revenues from contracts with customers	$	1,865	$	1,865

NOTE 21. EQUITY

The following table provides a continuity of the company’s outstanding equity for the three-month period ended March 31, 2024:

	Class C shares
(US$ MILLIONS, except as noted)	Shares outstanding (Shares)	Share capital
Balance as at January 1, 2024	25,934,120	$	737
Balance as at March 31, 2024	25,934,120	$	737

The company’s share capital is comprised of exchangeable shares, class B shares and class C shares. Due to the exchange feature of the exchangeable shares and the cash redemption feature of the class B and class C shares, the exchangeable shares, the class B shares, and the class C shares are classified as financial liabilities. However, the class C shares, the most subordinated of all of the company’s classes of common shares, meet certain qualifying criteria and are presented as equity instruments given the narrow scope presentation exceptions existing in IAS 32. Refer to Note 5 for further details related to the exchangeable shares and the class B shares.

NOTE 22. RELATED PARTY TRANSACTIONS

In the normal course of operations, the company entered into the transactions below with related parties. The ultimate parent of the company is Brookfield Corporation. Other related parties of the company represent Brookfield Corporation’s subsidiaries and operating entities.

Pursuant to the Master Services Agreement, on a quarterly basis, the company and other service recipients (the “Service Recipients”) pay a base management fee, referred to as the Base Management Fee, to certain service providers (the “Service Providers”), equal to 0.3125% per quarter (1.25% annually) of the total capitalization of Brookfield Business Partners. For purposes of calculating the Base Management Fee, the total capitalization of Brookfield Business Partners is equal to the quarterly volume-weighted average trading price of an LP Unit on the principal stock exchange for the LP Units (based on trading volumes) multiplied by the number of LP Units outstanding at the end of the quarter (assuming full conversion of the Redemption-Exchange Units into LP Units of Brookfield Business Partners L.P.), plus the value of securities of the other service recipients (including the exchangeable shares) that are not held by Brookfield Business Partners, plus all outstanding debt with recourse to a service recipient, less all cash held by such entities.

The company is responsible for paying its proportionate share of the total Base Management Fee in connection with the Master Services Agreement. The Base Management Fee attributable to the company for the three month period ended March 31, 2024 was $6 million (March 31, 2023: $4 million). The expense related to the services received under the Master Services Agreement has been recorded as part of general and administrative expenses in the unaudited interim condensed consolidated statements of operating results.

20

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

An integral part of the company’s strategy is to participate with institutional investors in Brookfield-sponsored private equity funds that target acquisitions that suit the company’s investment mandate. In the normal course of business, the group and institutional investors have made commitments to Brookfield-sponsored private equity funds, and in connection therewith, the group, together with institutional investors, has access to short-term financing using the private equity funds’ credit facilities to facilitate investments that Brookfield has determined to be in the group’s best interests.

In addition, Brookfield has entered into indemnity agreements with the company related to certain contracts that were in place prior to the creation of Brookfield Business Partners. Under these indemnity agreements, Brookfield has agreed to indemnify or refund the company, as appropriate, for the receipt of payments relating to such contracts.

The partnership has an agreement with Brookfield to subscribe for up to $1.5 billion of perpetual preferred equity securities of subsidiaries of the partnership (including subsidiaries of the company). Brookfield will have the right to cause the company or Brookfield Business Partners to redeem the preferred securities at par plus accrued and unpaid dividends to the extent of any net proceeds received by the company or Brookfield Business Partners from the issuance of equity, incurrence of indebtedness or sale of assets. Brookfield has the right to waive its redemption option. As at March 31, 2024, the amount subscribed from the company was $nil (December 31, 2023: $nil) and the amount subscribed from Brookfield Business Partners was $725 million (December 31, 2023: $725 million). The remaining capacity available on the commitment agreement with Brookfield is $25 million.

The company entered into two credit agreements with Brookfield Business Partners, one as borrower and one as lender, each providing for a 10-year revolving $1 billion credit facility to facilitate the movement of cash within the group. The credit facility permits the company to borrow up to $1 billion from Brookfield Business Partners and the other permits Brookfield Business Partners to borrow up to $1 billion from the company. Each credit facility contemplates potential deposit arrangements pursuant to which the lender thereunder would, with the consent of the borrower, deposit funds on a demand basis. As at March 31, 2024, the amount outstanding on deposit is $189 million payable to Brookfield Business Partners included in accounts payable and other (December 31, 2023: $135 million receivable from Brookfield Business Partners).

Brookfield Business Partners provided the company an equity commitment in the amount of $2 billion. The equity commitment may be called by the company in exchange for the issuance of a number of class C shares or preferred shares, as the case may be, to Brookfield Business Partners, corresponding to the amount of the equity commitment called divided (i) in the case of a subscription for class C shares, by the volume-weighted average of the trading price for one exchangeable share on the principal stock exchange on which the exchangeable shares are listed for the five (5) days immediately preceding the date of the call, and (ii) in the case of a subscription for preferred shares, by $25.00 per share. The equity commitment will be available in minimum amounts of $10 million and the amount available under the equity commitment will be reduced permanently by the amount so called. Before funds may be called on the equity commitment, a number of conditions precedent must be met, including that Brookfield Business Partners continues to control the company and has the ability to elect a majority of the Board of Directors.

From time to time, Brookfield may place funds on deposit with Brookfield Business Partners and the company, on terms approved by the independent directors of the company. Interest earned or incurred on such deposits is at market terms. As at March 31, 2024, the deposit from Brookfield was $nil (December 31, 2023: $nil) and the company incurred interest expense of $nil for the three months ended March 31, 2024 on these deposits (March 31, 2023: $nil).

A wholly-owned subsidiary of the company fully and unconditionally guaranteed the obligations of Brookfield Business Partners under Brookfield Business Partners’ $2.3 billion bilateral credit facilities with global banks and its $1 billion revolving acquisition credit facility with Brookfield.

As at March 31, 2024, the company had a loan receivable of $1.1 billion from Brookfield Business Partners in connection with the proceeds received from the disposition of the company’s nuclear technology services operation. The loan receivable is non-interest bearing and is due on demand and included in accounts and other receivable, net.

Inclusive of those described above, the following table summarizes the transactions the company has entered into with related parties and balances the company has entered into for the three month periods ended March 31, 2024 and 2023:

21

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Transactions during the period
Revenues (1)	$	27	$	47

____________________________________

(1)The company provides construction services to affiliates of Brookfield.

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Balances at end of period:
Accounts and other receivable, net	$	1,272	$	1,376
Accounts payable and other	241		23
Non-recourse borrowings in subsidiaries of the company	43		68

NOTE 23. DERIVATIVE FINANCIAL INSTRUMENTS

The company’s activities expose it to a variety of financial risks, including market risk (currency risk and interest rate risk) and liquidity risk. The company and its subsidiaries selectively use derivative financial instruments principally to manage these risks.

The aggregate fair values of the company’s derivative financial instruments are as follows:

	March 31, 2024				December 31, 2023
(US$ MILLIONS)	Financial Assets		Financial Liabilities		Financial Assets		Financial Liabilities
Foreign exchange contracts	$	7	$	(36)	$	1	$	(41)
Cross currency swaps	9		(15)		—		(3)
Interest rate derivatives	88		(2)		54		(4)
Total	$	104	$	(53)	$	55	$	(48)
Total current	$	7	$	(18)	$	10	$	(5)
Total non-current	$	97	$	(35)	$	45	$	(43)

22

NOTES TO UNAUDITED INTERIM CONDENSED

CONSOLIDATED FINANCIAL STATEMENTS

As at March 31, 2024 and December 31, 2023 and

for the three months ended March 31, 2024 and 2023

NOTE 24. SUPPLEMENTAL CASH FLOW INFORMATION

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Net interest paid (received)	$	144	$	197
Net income taxes paid (received)	41		7

Amounts paid and received for interest were reflected as operating cash flows in the unaudited interimcondensed consolidated statements of cash flow.

Details of “Changes in non-cash working capital, net” on the unaudited interim condensed consolidated statements of cash flow are as follows:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Accounts receivable	$	(221)	$	(177)
Inventory	—		(18)
Prepayments and other	6		(112)
Accounts payable and other	106		(27)
Changes in non-cash working capital, net	$	(109)	$	(334)

NOTE 25. SUBSEQUENT EVENTS

(a)Distribution

On May 2, 2024, the Board of Directors declared a quarterly distribution in the amount of $0.0625 per exchangeable share, payable on June 28, 2024 to shareholders of record as at the close of business on May 31, 2024.

23

MANAGEMENT’S DISCUSSION AND ANALYSIS OF

FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Introduction

The following Management’s Discussion and Analysis (“MD&A”) is the responsibility of management of Brookfield Business Corporation (our “company”). This MD&A is dated May 6, 2024 and has been approved by the board of directors of our company (the “Board of Directors”) for issuance as of that date. The Board of Directors carries out its responsibility for review of this document principally through its audit committee, comprised exclusively of independent directors. The audit committee reviews and, prior to its publication, approves this MD&A, pursuant to the authority delegated to it by the Board of Directors. The terms “we”, “us” and “our” refer to Brookfield Business Corporation, and our company’s direct and indirect operating entities as a group. This MD&A should be read in conjunction with our company’s most recently issued annual financial statements. Additional information is available on our website at https://bbu.brookfield.com/bbuc/overview, on SEDAR+’s website at www.sedarplus.ca and on EDGAR’s website at www.sec.gov.

The class A exchangeable subordinate voting shares (each, an “exchangeable share”) of our company are structured with the intention of being economically equivalent to the non-voting limited partnership units (“LP Units”) of Brookfield Business Partners L.P. (NYSE: BBU; TSX: BBU.UN) (the “partnership”, the “parent company” or, collectively with its subsidiaries, but excluding our company, “Brookfield Business Partners”). Brookfield Business Partners, our company and respective subsidiaries are referred to collectively as our “group”. We believe economic equivalence is achieved through targeting identical dividends and distributions on the exchangeable shares and the LP Units and each exchangeable share being exchangeable at the option of the holder for one LP Unit of the partnership at any time. Given the economic equivalence, we expect that the market price of the exchangeable shares will be significantly impacted by the market price of the LP Units and the combined business performance of our company and Brookfield Business Partners as a whole. In addition to carefully considering the disclosure made in this document, shareholders are strongly encouraged to carefully review the partnership’s periodic reporting. The partnership is required to file reports, including annual reports on Form 20-F, and other information with the United States Securities and Exchange Commission (the “SEC”). The partnership’s SEC filings are available to the public from the SEC’s website at http://www.sec.gov. Copies of documents that have been filed with the Canadian securities authorities can be obtained at www.sedarplus.ca. Information about the partnership, including its SEC filings, is also available on its website at https://bbu.brookfield.com. The information found on, or accessible through, https://bbu.brookfield.com is not incorporated into and does not form a part of this MD&A.

In addition to historical information, this MD&A contains forward-looking statements. Readers are cautioned that these forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. See “Cautionary Statements Regarding Forward-Looking Statements”.

Cautionary Statement Regarding Forward-Looking Statements and Information

This MD&A contains “forward-looking information” within the meaning of Canadian provincial securities laws and “forward-looking statements” within the meaning of applicable Canadian and U.S. securities laws, including the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, include statements regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing objectives, strategies and outlook of our group, as well as regarding recently completed and proposed acquisitions, dispositions and other transactions, and the outlook for North American and international economies for the current fiscal year and subsequent periods, and include words such as “expects”, “anticipates”, “plans”, “believes”, “estimates”, “seeks”, “intends”, “targets”, “projects”, “forecasts”, “views”, “potential”, “likely” or negative versions thereof and other similar expressions, or future or conditional verbs such as “may”, “will”, “should”, “would” and “could”.

Although we believe that our anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, investors and other readers should not place undue reliance on forward-looking statements and information because they involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, which may cause the actual results, performance or achievements of our group to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information. These beliefs, assumptions and expectations can change as a result of many possible events or factors, not all of which are known to us or are within our control. If a change occurs, our business, financial condition, liquidity and result of operations and our plans and strategies may vary materially from those expressed in the forward-looking statements and forward-looking information herein.

24

Factors that could cause actual results to differ materially from those contemplated or implied by forward-looking statements include, but are not limited to, the following:

•the cyclical nature of our operating businesses and general economic conditions and risks relating to the economy, including unfavorable changes in interest rates, foreign exchange rates, inflation, commodity prices, and volatility in the financial markets;

•business competition, including competition for acquisition opportunities;

•strategic actions including our ability to complete dispositions and achieve the anticipated benefits therefrom;

•restrictions on our ability to engage in certain activities or make distributions due to our indebtedness;

•global equity and capital markets and the availability of equity and debt financing and refinancing within these markets;

•political instability and unfamiliar cultural factors;

•changes to our credit ratings;

•technological change;

•the ability to obtain insurance for our business operations;

•labor disruptions and economically unfavorable collective bargaining agreements;

•litigation;

•investments in jurisdictions with less developed legal systems;

•our group does not have control over all of the businesses in which we own investments;

•changes to the market price of any investments in public companies;

•our compliance with environmental laws and the broader impacts of climate change;

•our group’s reliance on computerized business systems, which could expose our group to cyber-attacks;

•federal, state and foreign anti-corruption and trade sanctions laws and restrictions on foreign direct investment applicable to us and our group’s operating businesses create the potential for significant liabilities and penalties, the inability to complete transactions, imposition of significant costs and burdens, and reputational harm;

•operational or business risks that are specific to any of our operating businesses;

•reliance on third party service providers;

•Brookfield’s significant influence over our group;

•the lack of an obligation of Brookfield to source acquisition opportunities to our group;

•the departure of some or all of Brookfield’s professionals;

•the Master Services Agreement and our group’s other arrangements with Brookfield do not impose on Brookfield any fiduciary duties to act in the best interests of our shareholders;

•conflicts of interest between our company and our shareholders, on the one hand, and Brookfield, on the other hand;

•our arrangements with Brookfield may contain terms that are less favorable than those which otherwise might have been with unrelated parties;

•the limited liability of, and our company’s indemnification of, the Service Providers;

•control of our company, the partnership or the general partner of the partnership may change without unitholder or shareholder consent;

•Brookfield may increase its ownership in our company;

•our company is not entitled to terminate the Master Services Agreement and the general partner of the partnership may be unable or unwilling to do so;

25

•Brookfield’s relationship with Oaktree Capital Group, LLC, together with its affiliates;

•the ability to complete and effectively integrate acquisitions into existing operations and the ability to attain expected benefits;

•our company may become regulated as an investment company under the U.S. Investment Company Act of 1940, as amended;

•changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates);

•the ability to appropriately manage human capital;

•the effect of applying future accounting changes;

•the effectiveness of our internal controls over financial reporting;

•the market price of the exchangeable shares and units may be volatile;

•future sales or issuances of our securities will result in dilution of existing holders and even the perception of such sales or issuances taking place could depress the trading price of the exchangeable shares;

•limits on shareholders’ ability to obtain favorable judicial forum for disputes related to Brookfield Business Partners or to enforce judgements against our group;

•operational and reputational risks;

•technological change;

•changes in government policy and legislation;

•governmental investigations;

•litigation;

•changes in tax law and practice;

•ability to collect amounts owed;

•catastrophic events, such as earthquakes, hurricanes and pandemics/epidemics;

•the possible impact of international conflicts, wars and related developments including terrorist acts and cyber terrorism; and

•other risks and factors detailed from time to time in our documents filed with the securities regulators in Canada and the United States including those set forth in the “Risk Factors” section in our annual report on Form 20-F for the year ended December 31, 2023 (our “2023 Annual Report”).

The 2024 Canadian federal budget included potential changes to the tax rules relating to mutual fund corporations. We are aware of the potential changes and are continuing to consider them, but we currently do not expect them to materially impact our business or investors.

We caution that the foregoing list of important factors that may affect future results is not exhaustive. When relying on our forward-looking statements and information, investors and others should carefully consider the foregoing factors and other uncertainties and potential events.

For a more comprehensive list of risks and uncertainties, please refer to our 2023 Annual Report under the heading “Risk Factors” available on SEDAR+ at www.sedarplus.ca and EDGAR at www.sec.gov. New risk factors may arise from time to time and it is not possible to predict all of those risk factors or the extent to which any factor or combination of factors may cause actual results, performance or achievements of our company to be materially different from those contained in forward-looking statements or information. Given these risks, assumptions and uncertainties, the reader should not place undue reliance on forward-looking statements or information as a prediction of actual results. Although the forward-looking statements and information contained in this MD&A are based upon what we believe to be reasonable assumptions, we cannot assure investors that actual results will be consistent with these forward-looking statements and information. We undertake no obligation to publicly update or revise any forward-looking statements or information, whether written or oral, that may be as a result of new information, future events or otherwise, except as required by law.

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Basis of Presentation

The financial information in this MD&A is derived from the financial information included in the unaudited interim condensed consolidated financial statements of our company, prepared in accordance with IAS 34, Interim Financial Reporting (“IAS 34”), as issued by the International Accounting Standards Board (“IASB”), and using the accounting policies our company applied in its annual consolidated financial statements as at and for the year ended December 31, 2023, except for the impact of the adoption of the new accounting policies and standards described within the New Accounting Policies Adopted section of this MD&A. All defined terms are also described in the annual consolidated financial statements. The unaudited interim condensed consolidated financial statements are prepared on a going concern basis and have been presented in U.S. dollars rounded to the nearest million unless otherwise indicated. The unaudited interim condensed consolidated financial statements include the accounts of our company and its consolidated subsidiaries, which are the entities over which our company has control. Our nuclear technology services operation sold in November 2023 has been presented as a discontinued operation.

Overview of Our Company

Our company is a Canadian corporation established by Brookfield Business Partners as an alternative vehicle for investors who prefer investing in our group’s operations through a corporate structure. Each exchangeable share of our company is exchangeable at the option of the holder for one LP Unit or its cash equivalent and structured with the intention of providing an economic return equivalent to one LP Unit. Through our operating subsidiaries, we own and operate high-quality services and industrial operations that benefit from barriers to entry and/or are low-cost producers. We seek to build value by pursuing an operations-oriented approach to enhancing cash flows and opportunistically recycling capital to grow our existing operations and make new acquisitions. We strive to ensure that all our operations have a clear, concise business strategy built on competitive advantages, while focusing on profitability and the sustainability of cash flows.

Review of Consolidated Results of Operations

The table below summarizes our results of operations for the three month periods ended March 31, 2024 and 2023:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Continuing operations
Revenues	$	1,865	$	1,865
Direct operating costs	(1,652)		(1,616)
General and administrative expenses	(64)		(61)
Interest income (expense), net	(210)		(212)
Equity accounted income (loss)	1		(2)
Impairment reversal (expense), net	(2)		—
Remeasurement of exchangeable and class B shares	(111)		(121)
Other income (expense), net	(11)		(38)
Income (loss) before income tax	(184)		(185)
Income tax (expense) recovery
Current	(44)		(10)
Deferred	54		13
Net income (loss) from continuing operations	$	(174)	$	(182)
Discontinued operations
Net income (loss) from discontinued operations	—		(3)
Net income (loss)	$	(174)	$	(185)
Attributable to:
Brookfield Business Partners	$	(150)	$	(140)
Non-controlling interests	(24)		(45)
	$	(174)	$	(185)

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Comparison of the three month period ended March 31, 2024 and 2023

For the three months ended March 31, 2024, net loss from continuing operations decreased by $8 million to $174 million, compared to a net loss of $182 million for the three months ended March 31, 2023. Current period results included a remeasurement loss on our exchangeable shares and class B shares that are classified as liabilities under International Financial Reporting Standards (“IFRS”). As at March 31, 2024, the exchangeable shares and class B shares were remeasured to reflect the closing price of $22.10 per unit.

Net income (loss) from discontinued operations for the three months ended March 31, 2023 relates to our former investment in nuclear technology services operation which was sold in November 2023.

For the three months ended March 31, 2024, net loss was $174 million, with $150 million of net loss attributable to Brookfield Business Partners. For the three months ended March 31, 2023, net loss was $185 million, with $140 million of net loss attributable to Brookfield Business Partners.

Revenues

Revenues for the three months ended March 31, 2024 of $1,865 million were in line with revenues for the three months ended March 31, 2023. Results benefited from strong business performance driven by higher levels of recurring revenues at our dealer software and technology services operation and higher revenues in our construction operation, offset by lower contributions from our healthcare services and our water and wastewater operation.

Direct operating costs

For the three months ended March 31, 2024, direct operating costs increased by $36 million to $1,652 million, compared to $1,616 million for the three months ended March 31, 2023. The increase was primarily due to increased costs at our construction operation on a project in Australia nearing completion.

General and administrative expenses

For the three months ended March 31, 2024, general and administrative expenses increased by $3 million to $64 million, compared to $61 million for the three months ended March 31, 2023.

Interest income (expense), net

For the three months ended March 31, 2024, interest expense, net decreased by $2 million to $210 million, compared to $212 million for the three months ended March 31, 2023. The decrease was primarily due to interest cost savings at our dealer software and technology services operation as a result of a refinancing completed in the prior year. Interest expense includes $5 million of dividends accrued on the exchangeable shares (March 31, 2023: $5 million).

Remeasurement of exchangeable and class B shares

For the three months ended March 31, 2024, the remeasurement loss on exchangeable shares and class B shares was $111 million compared to a remeasurement loss of $121 million for the three months ended March 31, 2023. The exchangeable shares and class B shares were remeasured to reflect the closing price of one LP Unit, $22.10 per unit as at March 31, 2024.

Other income (expense), net

For the three months ended March 31, 2024, net other expense decreased by $27 million to $11 million, compared to net other expense of $38 million for the three months ended March 31, 2023. For the three months ended March 31, 2024, the components of other income (expense), net include $10 million of net revaluation gains and $21 million of other expenses. For the three months ended March 31, 2023, the components of other income (expense), net include $27 million of business separation expenses, stand-up costs and restructuring charges, $5 million in transaction costs and $6 million of other expenses.

Income tax (expense) recovery

For the three months ended March 31, 2024, current income tax expense increased by $34 million to $44 million, compared to current income tax expense of $10 million for the three months ended March 31, 2023. The increase in current income tax expense was primarily due to an increase in tax resulting from higher taxable income within our dealer software and technology services operation. Deferred income tax recovery for the three months ended March 31, 2024 increased by $41 million to $54 million, compared to deferred income tax recovery of $13 million for the three months ended March 31, 2023. The increase in deferred income tax recovery was primarily due to the recognition of tax attributes generated within our dealer software and technology services operation.

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Summary of Results

Quarterly results

Total revenues and net income (loss) for the eight most recent quarters were as follows:

	2024		2023								2022
(US$ MILLIONS)	Q1		Q4		Q3		Q2		Q1		Q4		Q3		Q2
Revenues	$	1,865	$	1,946	$	1,964	$	1,908	$	1,865	$	1,906	$	1,929	$	1,516
Direct operating costs	(1,652)		(1,749)		(1,760)		(1,669)		(1,616)		(1,704)		(1,712)		(1,385)
General and administrative expenses	(64)		(78)		(66)		(63)		(61)		(67)		(60)		(41)
Interest income (expense), net	(210)		(206)		(227)		(233)		(212)		(194)		(187)		(82)
Equity accounted income (loss)	1		2		1		2		(2)		5		2		1
Impairment reversal (expense), net	(2)		(599)		—		(7)		—		(21)		—		—
Gain (loss) on acquisitions/dispositions, net	—		—		—		87		—		—		—		—
Remeasurement of exchangeable and Class B shares	(111)		(392)		148		101		(121)		182		126		696
Other income (expense), net	(11)		44		(51)		171		(38)		(43)		(24)		(7)
Income (loss) before income tax	(184)		(1,032)		9		297		(185)		64		74		698
Income tax (expense) recovery
Current	(44)		(5)		(40)		(112)		(10)		(13)		(26)		(10)
Deferred	54		1		71		10		13		46		38		—
Net income (loss) from continuing operations	$	(174)	$	(1,036)	$	40	$	195	$	(182)	$	97	$	86	$	688
Discontinued operations:
Net income (loss) from discontinued operations	—		3,885		(33)		(37)		(3)		61		(55)		362
Net income (loss)	$	(174)	$	2,849	$	7	$	158	$	(185)	$	158	$	31	$	1,050
Attributable to:
Brookfield Business Partners	$	(150)	$	454	$	97	$	108	$	(140)	$	194	$	92	$	789
Non-controlling interests	(24)		2,395		(90)		50		(45)		(36)		(61)		261
	$	(174)	$	2,849	$	7	$	158	$	(185)	$	158	$	31	$	1,050

Revenues and operating costs vary from quarter to quarter primarily due to acquisitions and dispositions of businesses, fluctuations in foreign exchange rates, business and economic cycles, weather and seasonality, broader economic factors and commodity market volatility. Net income is impacted by periodic monetization gains, impairment losses and gains or losses on remeasurement of exchangeable shares.

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Review of Consolidated Financial Position

The following table is a summary of the unaudited interim condensed consolidated statements of financial position as at March 31, 2024 and December 31, 2023:

					Change
(US$ MILLIONS)	March 31, 2024		December 31, 2023		March 31, 2024 vs December 31, 2023
Assets
Cash and cash equivalents	$	743	$	772	$	(29)
Financial assets	303		224		79
Accounts and other receivable, net	3,601		3,569		32
Inventory, net	59		61		(2)
Other assets	710		737		(27)
Property, plant and equipment	2,622		2,743		(121)
Deferred income tax assets	227		221		6
Intangible assets	6,756		6,931		(175)
Equity accounted investments	216		222		(6)
Goodwill	5,650		5,702		(52)
	$	20,887	$	21,182	$	(295)
Liabilities and Equity
Liabilities
Accounts payable and other	$	4,939	$	4,818	$	121
Non-recourse borrowings in subsidiaries of the company	8,545		8,823		(278)
Exchangeable and class B shares	1,612		1,501		111
Deferred income tax liabilities	1,235		1,280		(45)
	$	16,331	$	16,422	$	(91)
Equity
Brookfield Business Partners	$	722	$	880	$	(158)
Non-controlling interests	3,834		3,880		(46)
	4,556		4,760		(204)
	$	20,887	$	21,182	$	(295)

Financial assets

Financial assets increased by $79 million to $303 million as at March 31, 2024, compared to $224 million as at December 31, 2023. The balance comprised loans and notes receivable, derivative contracts, restricted cash, and other financial assets. The increase was primarily due to fair value adjustments in derivative assets at our dealer software and technology services operation and our water and wastewater operation.

Accounts receivable and other, net

Accounts receivable and other, net increased by $32 million to $3,601 million as at March 31, 2024, compared to $3,569 million as at December 31, 2023. The increase was primarily due to timing of billed receivables in our construction operation.

Property, plant & equipment and intangible assets

PP&E decreased by $121 million to $2,622 million as at March 31, 2024, compared to $2,743 million as at December 31, 2023. The decrease was primarily due to the impact of foreign exchange movements of $118 million. The depreciation expense of $45 million was mostly offset by PP&E additions of $42 million. As at March 31, 2024, PP&E included $228 million of right-of-use assets (December 31, 2023: $245 million).

Intangible assets decreased by $175 million to $6,756 million as at March 31, 2024, compared to $6,931 million as at December 31, 2023. The decrease was primarily due to $150 million of regular amortization expense and impact of foreign exchange movements of $92 million, partially offset by additions of $67 million primarily at our water and wastewater operation.

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Capital expenditures represent additions to PP&E and certain intangible assets. Included in capital expenditures are maintenance capital expenditures, which are required to sustain the current performance of our operations, and growth capital expenditures, which are made for incrementally new assets that are expected to expand existing operations. Capital expenditures were primarily related to production costs associated with developing or enhancing proprietary technology as well as maintenance of computer and hosting equipment at our dealer software and technology services operation and maintenance and improvements on hospital facilities and new hospital equipment at our healthcare services. In addition, we included additions to intangible assets in our water and wastewater operation within capital expenditures due to the nature of its concession agreements. Maintenance and growth capital expenditures for the three months ended March 31, 2024 were $26 million and $48 million, respectively (March 31, 2023: $47 million and $96 million, respectively). The decrease in maintenance and growth capital expenditures was primarily due to the disposition of our nuclear technology services operation in November 2023.

Goodwill

Goodwill decreased by $52 million to $5,650 million as at March 31, 2024, compared to $5,702 million as at December 31, 2023. The decrease was primarily due to the impact of foreign exchange movements in our construction operation and our healthcare services.

Accounts payable and other

Accounts payable and other increased by $121 million to $4,939 million as at March 31, 2024, compared to $4,818 million as at December 31, 2023. The increase was primarily due to deposits from Brookfield Business Partners used to repay borrowings made under Brookfield-sponsored private equity funds.

Deferred income tax liabilities

Deferred Income tax liabilities decreased by $45 million to $1,235 million as at March 31, 2024, compared to $1,280 million as at December 31, 2023. The decrease was primarily due to the increase in tax attributes within our dealer software and technology services operation

Non-recourse borrowings in subsidiaries of the company

Borrowings are discussed in “Liquidity and Capital Resources”.

Summary Financial Information Related to the Partnership

As the market price of the exchangeable shares is expected to be significantly impacted by the market price of the LP Units and the combined business performance of our group as a whole, we are providing the following summary financial information regarding the partnership. For further details, please review the partnership’s periodic reporting referenced in the introductory section of this MD&A.

(US$ MILLIONS)	Three Months Ended March 31,
IFRS Measures	2024		2023
Revenues	$	12,015	$	13,758
Net income (loss)	203		203

(US$ MILLIONS)	As at
IFRS Measures	March 31, 2024		December 31, 2023
Total assets	$	81,415	$	82,385
Total liabilities	63,015		63,853
Total equity	18,400		18,532

(US$ MILLIONS)	Three Months Ended March 31,
Non-IFRS Measure	2024		2023
Adjusted EBITDA (1)	$	544	$	622

____________________________________

(1)The partnership’s definition of this non-IFRS financial measures is included within the partnership’s periodic reporting referenced in the introductory section of this MD&A.

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Liquidity and Capital Resources

Liquidity and capital requirements are managed through cash flows from operations, use of credit facilities, opportunistically monetizing mature operations and refinancing existing debt. We aim to maintain sufficient financial liquidity to meet our ongoing operating requirements and to fund debt service payments, recurring expenses, required capital expenditures, and acquisition opportunities as they arise. In addition, an integral part of our strategy is to pursue acquisitions through Brookfield-led consortium arrangements with institutional partners or strategic partners, and to form partnerships to pursue acquisitions on a specialized or global basis. Brookfield has an established track record of leading such consortiums and partnerships and actively managing underlying assets to improve performance. Overall, we believe that our liquidity profile is strong, positioning us and our businesses well to take advantage of accretive investment opportunities.

Our principal sources of liquidity are financial assets, undrawn credit facilities, cash flow from our operations and monetizations of mature businesses, and access to public and private capital markets.

As at March 31, 2024, the outstanding non-recourse borrowings in subsidiaries of our company were $8,545 million compared to $8,823 million as at December 31, 2023. Non-recourse borrowings in subsidiaries of our company comprised the following:

(US$ MILLIONS)	March 31, 2024		December 31, 2023
Term loans	$	4,695	$	4,729
Project financing	889		924
Notes and debentures	2,812		2,817
Credit facilities (1)	149		353
Total non-recourse borrowings in subsidiaries	$	8,545	$	8,823

____________________________________

(1)Includes borrowings made under subscription facilities of Brookfield-sponsored private equity funds.

We principally finance our assets at the operating company level with debt that is non-recourse to both our company and to our other operations and is generally secured against assets within the respective operating companies. Moreover, debt instruments at the operating company level do not cross-accelerate or cross-default to debt at other operating companies. This debt is in the form of revolving credit facilities and term loans with variable interest rates, and notes and debentures with fixed interest rates, with varying maturities ranging from less than one year to 23 years. Borrowings decreased by $278 million between March 31, 2024 and December 31, 2023, primarily due to repayment of borrowings on subscription facilities of Brookfield-sponsored private equity funds that our company invests alongside.

The use of credit facilities, term loans and debt securities is primarily related to ongoing operations, capital expenditures and to fund acquisitions. Interest rates charged on these facilities are based on market interest rates. Most of these borrowings are not subject to financial maintenance covenants, however, some are subject to fixed charge coverage, leverage ratios and minimum equity or liquidity covenants. All of our operations are currently in compliance with all material covenant requirements and the company continues to work with its businesses to monitor performance against such covenant requirements.

The partnership has provided our company with an equity commitment in the amount of $2 billion in order to provide our company with access to equity capital on an as-needed basis and to maximize our flexibility.

Our company has also entered into two credit facilities with Brookfield Business Partners, one as borrower and one as lender, each providing for a ten-year revolving credit facility for purposes of providing our company and Brookfield Business Partners with access to debt financing on an as-needed basis and to maximize our flexibility and facilitate the movement of cash within our group. Our company may also establish credit facilities with one or more arm’s length banks. We intend to use the liquidity provided by the credit facilities for working capital purposes. Each credit facility contemplates potential deposit arrangements pursuant to which the lender thereunder would, with the consent of the borrower, deposit funds on a demand basis. As at March 31, 2024, the amount outstanding on deposit is $189 million payable to Brookfield Business Partners included in accounts payable and other (December 31, 2023: receivable from Brookfield Business Partners of $135 million included in accounts and other receivable, net).

Brookfield entered into a commitment agreement with the partnership in 2022 to subscribe for up to $1.5 billion of perpetual preferred equity securities of subsidiaries of the partnership (including subsidiaries of our company). As at March 31, 2024, the amount subscribed from our company was $nil (December 31, 2023: $nil) and the amount subscribed from other subsidiaries of Brookfield Business Partners was $725 million (December 31, 2023: $725 million). The remaining capacity available on the commitment agreement with Brookfield is $25 million. Brookfield will have the right to cause our company or

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Brookfield Business Partners to redeem the preferred securities at par to the extent of any net proceeds received by our company or Brookfield Business Partners from the issuance of equity, incurrence of indebtedness or sale of assets. Brookfield has the right to waive its redemption option.

Dividend Policy

The Board of Directors may declare dividends at its discretion. However, each exchangeable share has been structured with the intention of providing an economic return equivalent to one LP Unit. Our company targets to declare and pay dividends on the exchangeable shares at the same time as distributions are declared and paid on the LP Units and targets that dividends on each exchangeable share are declared and paid in the same amount as distributions are declared and paid on each LP Unit to provide holders of exchangeable shares with an economic return equivalent to holders of the LP Units.

The Board of Directors has declared a quarterly dividend in the amount of $0.0625 per exchangeable share, payable on June 28, 2024 to shareholders of record as at the close of business on May 31, 2024. This dividend is identical in amount per share and has identical record and payment dates to the quarterly distribution declared by the board of directors of the general partner of Brookfield Business Partners on its LP Units.

Cash Flow

We believe that we have sufficient access to capital resources and will continue to use our available capital resources to fund our operations. Our future capital resources include cash flow from operations, borrowings, proceeds from asset monetizations and proceeds from potential future equity issuances, if required.

As at March 31, 2024, we had cash and cash equivalents of $743 million, compared to $772 million as at December 31, 2023. The net cash flows for the three months ended March 31, 2024 and March 31, 2023, were as follows:

	Three Months Ended March 31,
(US$ MILLIONS)	2024		2023
Cash flow provided by (used in) operating activities	$	(53)	$	(140)
Cash flow provided by (used in) financing activities	124		89
Cash flow provided by (used in) investing activities	(77)		110
Effect of foreign exchange rates on cash	(23)		15
Change in cash and cash equivalents	$	(29)	$	74

Cash flow provided by (used in) operating activities

Total cash flow used in operating activities for the three months ended March 31, 2024 was $53 million compared to cash used of $140 million for the three months ended March 31, 2023. The cash flow used in operating activities during the three months ended March 31, 2024 was primarily attributable to changes in non-cash working capital due to timing of receivables at our construction operation.

Cash flow provided by (used in) financing activities

Total cash flow provided by financing activities was $124 million for the three months ended March 31, 2024, compared to cash flow provided by financing activities of $89 million for the three months ended March 31, 2023. During the three months ended March 31, 2024, our financing activities included net proceeds on non-recourse borrowings, which comprised primarily borrowings at our healthcare services.

Cash flow provided by (used in) investing activities

Total cash flow used in investing activities was $77 million for the three months ended March 31, 2024, compared to cash flow provided by investing activities of $110 million for the three months ended March 31, 2023. Our cash flows used in investing activities were primarily related to capital expenditures of property, plant and equipment and intangible assets of $76 million, primarily within our healthcare services and water and wastewater operation, respectively.

Off-Balance Sheet Arrangements

In the normal course of operations, our operating subsidiaries have bank guarantees, insurance bonds and letters of credit outstanding to third parties. As at March 31, 2024, the total outstanding amounts were approximately $1.5 billion. If these letters of credit or bonds are drawn upon, we will be obligated to reimburse the issuer of the letter of credit or bonds. Our company does not conduct its operations, other than those of equity accounted investments, through entities that are not consolidated in the

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consolidated financial statements and has not guaranteed or otherwise contractually committed to support any material financial obligations not reflected in the unaudited interim condensed consolidated financial statements.

BBUC Holdings Inc., a wholly owned subsidiary of our company, fully and unconditionally guaranteed (i) the obligations of Brookfield Business Partners under its $2.3 billion bilateral credit facilities and (ii) the obligations of Brookfield Business Partners under its $1 billion revolving acquisition credit facility with Brookfield. These arrangements do not have or are not reasonably likely to have a material current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

Our construction operation and other operations may be called upon to give, in the ordinary course of business, guarantees and indemnities in respect of the performance of controlled entities, associates and related parties of their contractual obligations. Any known losses have been brought to account.

In the normal course of operations, our operating subsidiaries will execute agreements that provide for indemnification and guarantees to third parties in transactions such as business dispositions and acquisitions, construction projects, capital projects, and sales and purchases of assets and services. We have also agreed to indemnify our directors and certain of our officers and employees. The nature of substantially all of the indemnification undertakings prevents us from making a reasonable estimate of the maximum potential amount that we could be required to pay third parties, as many of the agreements do not specify a maximum amount and the amounts are dependent upon the outcome of future contingent events, the nature and likelihood of which cannot be determined at this time. Historically, we have made no significant payments under such indemnification agreements. In addition, we have also entered into indemnity agreements with Brookfield that relate to certain construction projects in the Middle East region that have been in place for several years. Under these indemnity agreements, Brookfield has agreed to indemnify us or refund us, as appropriate, for the receipt of payments relating to such projects.

From time to time, we may be contingently liable with respect to litigation and claims that arise in the normal course of operations. In our construction operation, this may include litigation and claims from clients or subcontractors, in addition to our associated counterclaims. On an ongoing basis, we assess the potential impact of these events. We have determined that the potential loss amount of these claims cannot be measured and is not probable at this time.

On August 15, 2023, the TSX accepted a notice filed by our company of its intention to renew its normal course issuer bid (“NCIB”) for its exchangeable shares. Under the NCIB, our company is authorized to repurchase up to 5% of its issued and outstanding exchangeable shares as at August 8, 2023 or 3,647,745 shares, including up to 7,702 shares on the TSX during any trading day.

During the three months ended March 31, 2024, our company did not repurchase any of its exchangeable shares (March 31, 2023: nil exchangeable shares).

Contractual Obligations

An integral part of our company’s strategy is to participate with institutional partners in Brookfield-sponsored private equity funds that target acquisitions that suit Brookfield private equity’s profile. In the normal course of business, our company may make commitments to Brookfield-sponsored private equity funds to participate in these target acquisitions in the future, if and when identified.

In the ordinary course of business, we enter into contractual arrangements that may require future cash payments. The table below outlines our undiscounted contractual obligations as at March 31, 2024:

	Payments as at March 31, 2024
(US$ MILLIONS)	Total		< 1 Year		1-2 Years		3-5 Years		5+ Years
Borrowings	$	8,772	$	305	$	113	$	2,043	$	6,311
Lease liabilities	475		49		35		69		322
Interest expense	6,402		729		716		2,201		2,756
Obligations under agreements	53		35		7		11		—
Exchangeable and class B shares	1,612		1,612		—		—		—
Total	$	17,314	$	2,730	$	871	$	4,324	$	9,389

Related Party Transactions

We entered into a number of related party transactions with Brookfield as described in Note 22 of the unaudited interim condensed consolidated financial statements.

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Critical Accounting Policies, Estimates and Judgments

The preparation of financial statements requires management to make critical judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses that are not readily apparent from other sources, during the reporting period. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

For further reference on accounting policies, critical judgments and estimates, see our “Material Accounting Policy Information” contained in Note 2 of our annual consolidated financial statements as at December 31, 2023 and 2022 and for the years ended December 31, 2023, 2022 and 2021.

Global minimum top-up tax

The company operates in countries which have enacted new legislation to implement the global minimum top-up tax. The company has applied a temporary mandatory relief from recognizing and disclosing information related to the top-up tax and will account for it as a current tax when it is incurred. There is no material current tax impact for the quarter ended March 31, 2024. The Canadian legislation is not yet substantively enacted and if enacted in its current form, will be effective from January 1, 2024. The global minimum top-up tax is not anticipated to have a significant impact on the financial position of the company.

Controls and procedures

There were no changes in internal control over financial reporting that occurred during the period beginning on January 1, 2024 and ended on March 31, 2024 that have materially affected or are reasonably likely to materially affect internal control over financial reporting.

New Accounting Policies Adopted

The company has applied certain new and revised standards issued by the IASB that are effective for the period beginning on or after January 1, 2024.

(i)    Amendments to IAS 1 Presentation of financial statements (“IAS 1”)

The amendments clarify how to classify debt and other liabilities as current or non-current. The company adopted these amendments on January 1, 2024 and the adoption did not have a material impact on the company’s unaudited interim condensed consolidated financial statements.

Future changes in accounting policies

There are currently no other future changes to IFRS with expected material impacts on the company.

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NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS AT MARCH 31, 2024 AND DECEMBER 31, 2023 AND FOR THE THREE MONTHS ENDED MARCH 31, 2024 AND 2023

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