ADSLOT LTD. — Interim / Quarterly Report 2015

Jan 21, 2015

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

Appendix 4C - Quarterly report

Commentary for the quarter ending 31 December 2014

Cash
receipts
from
customers
for
the
December
quarter
were
up
$0.50
million
(32.9%)
to
$2.02 million
(versus
$1.52
million
for
the
September
quarter).

Correspondingly,
net
operating
cash
outflows
for
the
quarter
decreased
from
$2.17
million
in
the September
quarter
to
$1.67
million
for
the
December
quarter.

Further
modest
increases
in
operating
costs
are
expected
in
coming
quarters
due
to
increased investment
in
research
and
development,
and
sales
and
marketing.
This
is
consistent
with
the Company’s
objective
of
“running
faster”
following
the
capital
raising
conducted
in
July
2014.

It
is
expected
these
costs
will
be
offset
by
continued
future
growth
in
campaign
bookings
captured via
the
Adslot
Marketplace
and
the
integrated
Adslot
and
Symphony
platforms
-­‐
an
upgraded
version of
which
is
due
for
release
in
the
March
2015
quarter.

The
Company
realised
another
meaningful
increase
in
campaign
bookings
in
the
December
quarter (versus
the
September
quarter),
representing
the
third
consecutive
quarter
of
significant
growth. Further
growth
in
campaign
bookings
over
coming
quarters
is
expected,
driving
growth
in
Trading Technology
revenues.

Cash
at
the
end
of
the
quarter
was
$5.69
million,
but does
not
include an
additional
$2
million
the Company
expects
to
receive
imminently,
representing
its
Research
&
Development
incentive
for
the year
up
to
June
2014.
In
addition,
the
Company
has
already
expended
six
months
of
Research
& Development
costs
for
FY2015
for
which
it
will
be
entitled
to
an
incentive
payment.

• See
  chapter
  19
  for
  defined
  terms.

Appendix
4C
Page
1

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

Appendix 4C

Quarterly report for entities admitted on the basis of commitments

Name of entity
ADSLOT LTD
ABN 70 001 287 510	Quarter ended (“current quarter”)
70 001 287 510	31 December 2014

**Consolidated

statement
of
cash
flows**

Cash flows related to operating activities 1.1 Receipts from customers 1.2 Payments for: (a) staff costs (b) advertising and marketing (c) research and development (Note 4) (d) leased assets (e) website publisher payments (f) other cost of sales (g) other working capital/overheads 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income and Other taxes paid 1.7 Other – R&D Tax Incentive – Government grant	Current quarter $A’000	Year to date (6 months) $A’000
	2,016 (1,502) (105) (888) - (276) (140) (821) - 71 - (6) - -	3,533 (3,112) (116) (1,807) - (343) (297) (1,752) - 88 - (12) - -
Net operating cash flows	(1,652)	(3,818)

• See
  chapter
  19
  for
  defined
  terms. Appendix
  4C
  Page
  2

24/10/2005

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

	Current quarter $A’000	Year to date (6 months) $A’000
1.8 Net operating cash flows (carried forward)	(1,652)	(3,818)
Cash flows related to investing activities 1.9 Payment for acquisition of: (a) businesses (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.10 Proceeds from disposal of: (a) businesses (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.11 Loans to other entities 1.12 Loans repaid by other entities 1.13 Other (provide details if material) Net investing cash flows 1.14 Total operating and investing cash flows	- - - - (4) - - - - - - - -	- - - - (25) - - - - - - - -
	(4)	(25)
	(1,656)	(3,843)
Cash flows related to financing activities 1.15 Proceeds from issues of shares, options, etc. –Note 3 1.16 Proceeds from sale of forfeited shares 1.17 Proceeds from borrowings 1.18 Repayment of borrowings 1.19 Dividends paid 1.20 Other – Costs relating to issues of shares Net financing cash flows	- - - - - -	6,523 - - - - (364)
	-	6,159
Net increase (decrease) in cash held 1.21 Cash at beginning of quarter/year to date 1.22 Exchange rate adjustments – Note 2	(1,656) 7,345 (4)	2,316 3,354 15
1.23 Cash at end of quarter	5,685	5,685

• See
  chapter
  19
  for
  defined
  terms.

Appendix
4C
Page
3

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

**Payments

to
directors
of
the
entity
and
associates
of
the
directors**

**Payments

to
related
entities
of
the
entity
and
associates
of
the
related entities**

entities	entities
		Current quarter $A'000
1.24	Aggregate amount of payments to the parties included in item 1.2	29
1.25	Aggregate amount of loans to the parties included in item 1.11	-
1.26 Explanation necessary for an understanding of the transactions Directors Fees of $29k.

**Non-­‐cash

financing
and
investing
activities**

• 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows N/A

• 2.2 Details of outlays made by other entities to establish or increase their share in businesses in which the reporting entity hasntity hastity hasity hasty has hasas an interestn interestterestrestest N/A

• 2.2 Details of outlays made by other entities to establish or increase their share in businesses in which the reporting entity hasntity hastity hasity hasty has hasas an interestn interestterestrestest

**Financing

facilities
available**

Add
notes
as
necessary
for
an
understanding
of
the
position.
(See
AASB
1026
paragraph
12.2).

		Amount available $A’000	Amount used $A’000
3.1	Loan facilities	-	-
3.2	Credit standby arrangements	-	-

• See
  chapter
  19
  for
  defined
  terms. Appendix
  4C
  Page
  4

24/10/2005

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

**Reconciliation

of
cash**

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items inthe accountsis asfollows.	Current quarter $A’000	Previous quarter $A’000
4.1 Cash on hand and at bank 4.2 Deposits at call 4.3 Bank overdraft 4.4 Other	670	519
	5,015	6,826
	-	-
	-	-
Total: cash at end of quarter(item 1.23)	5,685	7,345

**Acquisitions

and
disposals
of
business
entities**

5.1 Name of entity 5.2 Place of incorporation or registration 5.3 Consideration for acquisition or disposal 5.4 Total net assets 5.5 Nature of business	Acquisitions (Item 1.9(a))	Disposals (Item 1.10(a))
	N/A	N/A
	-	-
	-	-
	-	-
	-	-

**Compliance

statement**

• 1 This
  statement
  has
  been
  prepared
  under
  accounting
  policies
  which
  comply
  with accounting
  standards
  as
  defined
  in
  the
  Corporations
  Act
  (except
  to
  the
  extent
  that information
  is
  not
  required
  because
  of
  note
  2)
  or
  other
  standards
  acceptable
  to
  ASX.

• 2 This
  statement
  does
  give
  a
  true
  and
  fair
  view
  of
  the
  matters
  disclosed.

Sign
here: ............................................................
Date:
28
January
2015 Company
Secretary

Print
name: Brendan
Maher

• See
  chapter
  19
  for
  defined
  terms.

Appendix
4C
Page
5

Appendix
4C
-­‐
Quarterly
report
for
entities admitted
on
the
basis
of
commitments

Notes

1. The
   definitions
   in,
   and
   provisions
   of, AASB
   1026:
   Statement
   of
   Cash
   Flows apply
   to
   this report
   except
   for
   the
   paragraphs
   of
   the
   Standard
   set
   out
   below.

2. 6.2 -­‐
   reconciliation
   of
   cash
   flows
   arising
   from
   operating
   activities
   to operating
   profit
   or
   loss

3. 9.2 -­‐
   itemised
   disclosure
   relating
   to
   acquisitions

4. • 9.4 -­‐
   itemised
   disclosure
   relating
   to
   disposals

5. • 12.1(a)
   -­‐
   policy
   for
   classification
   of
   cash
   items

6. • 12.3 -­‐
   disclosure
   of
   restrictions
   on
   use
   of
   cash

7. • 13.1 -­‐
   comparative
   information

8. Exchange
   Rate
   Adjustment
   (1.22): Represents
   accounting
   adjustment
   related
   to conversion
   of
   US
   dollar,
   NZ
   dollar,
   GB
   pound
   and
   Euro
   bank
   account
   balances
   to
   local currency.

9. Proceeds
   from
   issue
   of
   shares
   (1.2a
   &
   1.15) :
   Includes
   $6.5m
   funds
   raised
   from
   a
   share placement
   and
   $23k
   received
   from
   options
   exercised
   by
   an
   employee.

10. Research
    &
    Development
    (1.2c): Represents
    direct
    payroll
    and
    on-­‐costs
    related
    to on-­‐going
    technology
    development
    work
    compliant
    with
    R&D
    Grant
    regulations.

11. See
    chapter
    19
    for
    defined
    terms. Appendix
    4C
    Page
    6

24/10/2005