ATOMOS LIMITED — Capital/Financing Update 2019

May 21, 2019

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ASX Announcement ATOMOS LIMITED (ASX:AMS) 22 May 2019

Upgrade to FY19 Guidance[*]

Highlights:

• FY19 revenue now anticipated to be in excess of $50.0m (FY18: $35.6m), compared to the Prospectus forecast of $42.2m

• The second half FY19 Pro Forma EBITDA is anticipated to be ahead of expectations and broadly in line with the first half Pro Forma EBITDA of $0.7m. This compares to the Prospectus forecast of $0.3m for the full year (FY18: $0.2m)

Atomos Limited (ASX:AMS, “Atomos” or the “Company”), today announced upgrades to its expectations for both revenue and EBITDA for FY19 (12 months to 30 June).

On 28 February 2019, the Company reported 1H FY19 revenues up 32% to $24.2m. Pro forma EBITDA in the first half was up 194% to $0.7m.

The upgrade to expectations for FY19 revenue and Pro Forma EBITDA were driven by several factors including:

• Stronger than forecast sales from the Ninja V which was launched in September 2018. Ninja V was the first product released on the Ninja platform, a highly leverageable new technology platform incorporating a redesigned operating system that will underpin a suite of new products over the coming years;

• Stronger than forecast sales from the two Shinobi devices, 5-inch HDMI and SDI monitors targeting the rapidly growing ‘Social’ segment of the video market, which were launched in February and March 2019; and

• In part offset by continued investment in market development and product innovation.

Commenting on the upgrades, Atomos CEO Jeromy Young said:

“The improved revenue and Pro Forma EBITDA expectations reflect the strong customer response to both existing and new Atomos products and we are particularly pleased to exceed expectations in our first year as a public company as we seek to deliver shareholder value.

The Company has worked hard during the past few years to create the underlying ‘Ninja Platform’ that we are now successfully leveraging across multiple products and market segments.

Furthermore, the decision to increase our focus on capturing market share with the launch of new products in the rapidly growing Social video market is proving to be very successful.

In the Prospectus we stated a goal of doubling our product line during the next few years and we are well on track to deliver on that goal with four new products (including Ninja V) having been announced during the last nine months,” he said.

-- ENDS --

* FY19 numbers are non-IFRS and unaudited

MELBOURNE[• ] TOKYO[• ] BEIJING[• ] LONDON[• ] FRANKFURT[• ] PARIS[• ] BROOKLYN[• ] PORTLAND[• ] LOS ANGELES

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For further information please contact:

James Cody Matthew Wright Chief Financial Officer Media relations +61 3 9999 5908 +61 451 896 420 james.cody@atomos.com matt@nwrcommunications.com.au

About Atomos:

Atomos is a global video technology company delivering award-winning, simple to use monitor-recorder content creation products. These products give content creators across the rapidly growing social, pro-video and entertainment markets a faster, higher quality and more affordable production system.

Atomos’ range of products take images directly from the sensor of all major camera manufacturers, then enhance, record and distribute them in high-quality formats for content creation using the major video editing software programs. Since being founded in 2010, Atomos has established strategic relationships with key technology providers within the ecosystem including Apple, Adobe, Sony, Canon, Panasonic, Nikon and JVC Kenwood.

Atomos is based in Australia with offices in the USA, Japan, China, UK and Germany and has a worldwide distribution partner network.

For more information please visit www.atomos.com

Forward looking statements:

This announcement contains forward looking statements. All statements that address events or developments that Atomos expects or anticipate will or may occur in the future and guidance on financial performance are forward looking statements. These forward looking statements are based on the Board or management’s beliefs and expectations based on information currently available to the Board and management. The Company believes that these forward looking statements are reasonable as and when made. However, you should not place undue reliance on any such forward looking statements which are inherently uncertain. Atomos does not undertake any obligation to publicly update or revise any forward looking statements whether as a result of new information, future events or otherwise except as required by law or the ASX Listing Rules. Forward looking statements are subject to certain risks and uncertainties, many of which are outside its control that could cause actual results, events and developments to differ materially from Atomos’ historical experience, or its present expectations or projections.

MELBOURNE[• ] TOKYO[• ] BEIJING[• ] LONDON[• ] FRANKFURT[• ] PARIS[• ] BROOKLYN[• ] PORTLAND[• ] LOS ANGELES