AUDINATE GROUP LIMITED — AGM Information 2018

Nov 14, 2018

15 November 2018

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Audinate 2018 Annual General Meeting - Agenda

• Welcome – Roger Price

• CEO’s Presentation – Lee Ellison

• Formal Business

• Notice of Meeting and Voting Procedure

• Financial Reports, questions and comments

• – Resolutions 1 - 4

• Meeting close

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Chief Executive Officer Address Lee Ellison

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3

Audinate: bringing the IT revolution to the AV industry

Dante technology distributes audio signals across computer networks Audinate is the leading supplier of digital audio networking for the Professional AV industry

Melbourne Convention Centre Melbourne, Australia

The Dante platform is used in thousands of installations globally

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4

Audinate – performance

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Share Price (indexed) Revenues (AUD$M)
Share Price since IPO
$4.50 25.0
$4.00
20.0
$3.50
15.0
$3.00
$2.50
10.0
$2.00
5.0
$1.50
$1.00 0.0
FY14 FY15 FY16 FY17 FY18
Audinate Small Ords ASX 300 IT
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5

A year in review – FY18

75% A$19.7m

Gross Margin

Revenue

A$0.6m

EBITDA

A$2.5m

NPAT up from a loss FY17 ($20.2m)

A$1.0m

Net cash from operating activities

FY18 Achievements

First full year as a listed Company

Record revenue growth and positive EBTIDA and profit

Geographic expansion of our sales and support teams

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6

FY18 – Operational progress

39%

38%

OEM product growth in growth to 1,639 chips, cards & modules

Dante AVIO adapters began shipping

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58%

438

18,000+

growth in Dante OEMs people trained software units licensed Dante on Dante this year

Video technology demonstrations

Dante Domain Manager software platform released

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7

Dante Case Studies

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8

”Big Four Bank in China” Beijing, China

Problem before Dante Difficult room acoustical characteristics Poor speech intelligibility

Solution with Dante More evenly distributed sound High quality audio from every seat

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Make sure everyone’s voice is heard

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Target Field- Minnesota Twins - Minneapolis, MN

Problem before Dante Every control room was a separate system Installation of conduit & cabling too expensive

Solution with Dante Any area can be connected into one system Connect audio from anywhere to anywhere

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“Dante allows me to create complex systems while maintaining simplicity, and flexibility”

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10

Columbus Zoo and Aquarium - Columbus Ohio

Problem before Dante Reconfiguring audio would take 2 days System was difficult to maintain

Solution with Dante Audio sources can be changed in minutes Segment zones making it easy to maintain

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“Domain Manager combats any unintended changes and puts all control in the hands of the network administrator”

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12

First quarter FY19 update

• Record first quarter result for cash collections

• Strong growth in core business + good initial uptake of adapters

• Customers billed in USD = favourable impact on collections

• Sales demand & pipeline necessitated ↑ inventory spend

• Positive operating cashflow $0.1m (pcp[1] -$0.6m)

• Total cashflow negative $0.8m (pcp[1] -$1.5m)

Cash collections since IPO A$m

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6.8
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5.9
4.8
4.5 4.5
4.4
4Q17 1Q18 2Q18 3Q18 4Q18 1Q19
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1pcp adjusted to exclude IPO impacts

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13

Audinate will continue to invest in growth initiatives to drive future revenue

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• Geographically expand of sales and support teams

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• Broaden the suite of core Dante products to accelerate penetration within OEMs

• Continue the roll-out of Dante Domain Manager and Dante AVIO adapters

• Release a commercially available Dante video solution by end of FY19

Reliable ongoing execution of Group’s strategy

Continue to invest in R&D for growth initiatives

Revenue growth in a range consistent with historical performance

Audinate is well positioned for another year of good consistent growth in FY19

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Important notice and disclaimer

Disclaimer

To the maximum extent permitted by law, none of the Audinate Group Limited or its subsidiaries or their directors, employees or agents accepts any liability, including, without limitation, any liability arising out of fault or negligence, for any loss arising from the use of the information contained in this presentation. In particular, no representation or warranty, express or implied, is given as to the accuracy, completeness or correctness, likelihood of achievement of reasonableness of any forecasts, prospects, statements or returns contained in this presentation. Such forecasts, prospects, statements or returns are by their nature subject to significant uncertainties and contingencies. Actual future events may vary from those included in this presentation.

Summary information

This presentation is for information purposes only is not a recommendation or advice in relation to Audinate or any product or service offered by Audinate or any of its subsidiaries. The information in the presentation is of a general nature only and is not intended to be relied upon as advice to investors or potential investors.

Currency

All amounts in this presentation are in Australian dollars unless otherwise stated.

Past performance

Past performance information, including past share price information, given in this presentation is given for illustrative purposes only and should not be relied upon as an indication of future performance.

Future performance

Forward-looking statements, opinions and estimates provided in this presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions.

Financial information

Certain financial data included in this presentation is 'non IFRS financial information.' These measures are used internally by management to assess the performance of the business and make decisions on the allocation of resources and are included in this presentation to provide greater understanding of the underlying financial performance of the Group's operations. When reviewing business performance, this non-IFRS information should be used in addition to, and not as a replacement of, measures prepared in accordance with IFRS. Readers are cautioned not to place undue reliance on any non-IFRS financial information and ratios included in this presentation. The non-IFRS information has not been subject to audit or review by Audinate's external auditor. The non-IFRS measures do not have any standard definition under

IFRS and may be calculated differently by other companies.

Market share information

All market share information in this presentation is based on management estimates and internally available information, unless otherwise indicated.

No offer of securities

Nothing in this presentation should be construed as either an offer to sell or a solicitation of an offer to buy or sell Audinate securities in any jurisdiction.

Reliance on third party information

The views expressed in this presentation contain information that has been derived from publicly available sources that have not been independently verified. No representation or warranty is made as to the accuracy, completeness or reliability of the information. This presentation should not be relied upon as a recommendation or forecast by Audinate.

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