8COMMON LIMITED — Capital/Financing Update 2023

Nov 28, 2023

8common

ASX Release

29 November 2023

Response to Media Release

Fintech company 8common Limited (8common or the Company) (ASX: 8CO) notes the recent media release from the Minister of Finance on "A new approach for back-office functions in the Australian Public Service’.

8common were selected as the solution provider of Travel and Expense Management for the Australian Government GovERP Complementary (edge) capabilities panel (Edge Panel), part of the Government’s Shared Services Transformation Initiative to provide common resourcing and streamlined provision of services across the Australian Public Sector (refer ASX release 29 July 2021). The GovERP platform enables the selection of the Company’s leading Travel and Expense Management solution, Expense8, under a pre-selected panel of service providers. The GovERP program was nominally anticipated to expire on 30 June 2024.

To date the company has signed over $10.8m in Total Contract value under the GovERP program, with the typical contract duration of 3 years. 8CO currently generates a ARPU of approximately $50 and services over 40,000 live users across 34 entities with the Federal Government. Furthermore, the Company is currently onboarding a further 21,000 users and has over 33,000 users that have conducted Phase 0s.

Whilst 8CO recognises the success in securing new contracts under the GovERP program, the new approach is not anticipated to impede the growth of Expense8 within Federal Government. Furthermore, the GovERP panel was only one of a number of business development channels within Federal Government and other panels, such as DTA Cloud Marketplace, ensuring Federal Government entities are still able to access our solutions.

8common have designed a version of the Expense8 solution specifically for Federal Government needs and the benefits of our solution, coupled with local support staff and competitive pricing will ensure that Expense8 remains an attractive proposition for the travel and expense management requirements of all Federal Government entities.

8common CEO, Andrew Bond said “8common has had a long and successful relationship with the Australian Federal Government delivering fit for purpose solutions for their travel and expense management requirements. Whilst the announcement will bring changes, we do not believe that it will materially slow down our pace of growth with Federal Government. We have received exceptionally positive feedback from Federal Government agencies and users that have onboarded to Expense8 and we are continuing to see strong levels of incoming demand. The basis for our selection onto the GovERP panel remains squarely intact and we believe that quality will continue to see Expesne8 be a solution of choice for Federal Government.

As Expense8 becomes fully implemented amongst the Government entities we have recently and are currently onboarding, we anticipate an increasing utilisation rate which will lead to a material increase in transaction and recurring revenue, as well as cashflow, in FY24.”

8common

Fed Gov onboarding pipeline

There are approximately 174k Total Potential Users Under the GovERP Program

==> picture [458 x 97] intentionally omitted <==

----- Start of picture text ----- 79,000 35,000 20,000 40,000Users not yet engaged *Phase 0 Onboarding Live Users----- End of picture text -----

* Phase 0 Discovery workshops are a key pre onboarding phase for Federal Government agencies on their path to adopting the GovERP template and as such can be viewed as a precursor to future user additions. Over 55k users under the GovERP program have commenced or completed. Phase 0 Discovery workshops

Source: https://budget.gov.au/content/bp4/download/bp4_10_staffing_of_agencies.pdf

This release has been approved by the Board of 8common.

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Further information

Corporate Investors Nic Lim Craig Sainsbury nic@8common.com craig.sainsbury@automicgroup.com.au Executive Chairman

About 8common Limited

8common (ASX:8CO) solutions deliver enterprise grade financial transaction processing for government entities and large enterprise businesses. Its flagship Expense8 platform is a leading pureplay provider of end-to-end travel expense management software, card application and management. The innovative software solutions improve organisation, productivity, incorporate company organisational policies and expense auditing to reduce fraud. Expense8 by 8common was named a Major Player in the IDC MarketScape: Worldwide SaaS and Cloud-Enabled Travel and Expense Management Applications 2019 Vendor Assessment.

Its new product CardHero (prepaid card fund distribution) delivers a closed loop solution to support regulated, large network and high volume requirements. 8common specialises in large enterprise and government segments.

Its growing client base of more than 170,000 platform users include enterprise customers Woolworths, Broadcast Australia, Amcor, and over 165 state and federal government entities. For more information, visit https://www.8common.com/