CONTROL BIONICS LIMITED — Investor Presentation 2024

Nov 7, 2024

==> picture [255 x 84] intentionally omitted <==

Next-generation assistive technology and data measurement

C O F F E E M I C R O C A P S P R E S E N T A T I O N J E R E M Y S T E E L E , C E O

• 8 N O V E M B E R 2 0 2 4

==> picture [579 x 579] intentionally omitted <==

CONTROLBIONICS.COM | ASX:CBL

==> picture [1440 x 80] intentionally omitted <==

Disclaimer

This presentation is intended to provide a general outline only and is not intended to be a definitive statement on the subje ct matter covered in it. The information in this presentation, whether written or verbal, has been prepared without taking into account the commercial, financial or other needs of any individual or organisation.

Certain information may relate to protected intellectual property rights owned by Control Bionics Limited (Control Bionics) and its subsidiaries (together the Group).

While due care has been taken in compiling the information based on the information available to Control Bionics at the date of the presentation material, neither Control Bionics nor its officers or advisors or any other person warrants the accuracy, reliability, completeness or timeliness of the information or guarantees the commercial or investment performance of the Group.

The information does not constitute advice of any kind and should not be relied upon as such. Investors must make their own independent assessment of the Group and undertake such additional enquiries as they deem necessary or appropriate for the own investment purposes. Any and all use of the information is at your own risk.

No representations, warranty or assurance (express or implied) is given or made in relation to any forward looking statement by and person (including Control Bionics). In particular, no representation ,warranty or assurance (express or implied) is given in relation to any underlying assumptions or that any forward looking statement will be achieved. Actual future events may vary materially from the forward looking statements and the assumptions on which the forward looking statements are based.

Subject to any continuing obligations under applicable law or any relevant listing rules of the Australian Securities Exchange, Control Bionics disclaims any obligation or undertaking to disseminate any updates or revisions to any forward looking statements in these materials to reflect any change in expectations to any forward looking statements or any change in events, conditions or circumstances on which and such statement is based. Nothing in these materials shall under any circumstances create an implication that there has be been no change in the affairs of the Group since the date of these materials.

==> picture [1440 x 80] intentionally omitted <==

INTRODUCTION

On the cusp of rapid global growth

A proven medical device company with sizeable global sales of core products that we design and manufacture

==> picture [67 x 68] intentionally omitted <==

==> picture [69 x 67] intentionally omitted <==

==> picture [79 x 78] intentionally omitted <==

20 years of Regulatory expertise with our clearance and world-first, best-inpatent protected class proprietary in US, AU, UK, technology Japan and Europe

Core business continues to grow organically in Australia, the US and Japan

Blue sky and diversification opportunities with next generation solutions

Many levers for Near cash flow growth with new breakeven* products, uses, excluding sales m arkets, and from new channel partners initiatives

• before corporate overheads

==> picture [112 x 37] intentionally omitted <==

Core IP Technology

==> picture [1440 x 80] intentionally omitted <==

INTRODUCTION

The evolution of our core IP

Smaller, wireless and wearable

==> picture [144 x 13] intentionally omitted <==

----- Start of picture text -----

NEUROEDUCATOR
----- End of picture text -----

==> picture [231 x 231] intentionally omitted <==

==> picture [144 x 34] intentionally omitted <==

==> picture [226 x 225] intentionally omitted <==

==> picture [103 x 13] intentionally omitted <==

----- Start of picture text -----

NEUROSTRIP
----- End of picture text -----

==> picture [226 x 225] intentionally omitted <==

One of the first prototype systems in the NeuroEDUCATOR series was developed 20 years ago with feedback from Stephen Hawking who trialled our technology for m any years.

A wireless, wearable NeuroNode was first launched in 2017. Using our IP, EMG assists disabled people in accessing technology for the world’s best com m unication experience.

Just launched in 2023, the NeuroStrip weighs less than a piece of paper and is a m iniature version of our core IP. It’s our m ain lever for growth with unlim ited uses beyond disability.

==> picture [1440 x 80] intentionally omitted <==

INTRODUCTION EMG technology: the heart of our solutions

==> picture [1440 x 80] intentionally omitted <==

INTRODUCTION

EMG technology: how it works

==> picture [87 x 82] intentionally omitted <==

==> picture [74 x 111] intentionally omitted <==

==> picture [111 x 28] intentionally omitted <==

----- Start of picture text -----

An EMG signal is
detected.
----- End of picture text -----

==> picture [39 x 39] intentionally omitted <==

==> picture [128 x 48] intentionally omitted <==

----- Start of picture text -----

Our patented code
creates a “switch”
to operate devices
----- End of picture text -----

==> picture [235 x 196] intentionally omitted <==

Your brain sends a thought like “m ove m y index finger”.

To m ove your finger, an electrical signal is created and Electrom yography (EMG) is the detection of this signal.

Our core IP uses smart

algorithm s to detect, analyse and convert your body’s bioelectrical EMG into code so a user can select an item and operate a device.

Users can type, generate speech, send em ails, browse the web, stream entertainm ent, access social apps, control their environm ent (lights, electric beds), play with toys, and m ore.

==> picture [82 x 82] intentionally omitted <==

EMG CAPTURES, RECORDS AND INTERPRETS ELECTRICAL ACTIVITY PRODUCED IN YOUR BODY’S MUSCLES WHEN YOU MOVE

==> picture [112 x 37] intentionally omitted <==

Markets

Assistive Mobility

==> picture [389 x 389] intentionally omitted <==

Assistive Communication Data Measurement

ASSISTIVE COMMUNICATION

==> picture [112 x 37] intentionally omitted <==

==> picture [118 x 101] intentionally omitted <==

==> picture [305 x 70] intentionally omitted <==

Our fastest near term path to growth

Works like a switch that turns into a m ouse click, letting the user control their com m unication and software

What Is It

Minimum $1.3bn globally

Market Size

Current sales Speech Language Pathologists (SLPs), industry bodies, clinics, schools, and hospitals give dem os and recom m end our products model (retail)

==> picture [37 x 33] intentionally omitted <==

==> picture [33 x 33] intentionally omitted <==

New growth sales model (wholesale)

NEW PARTNERS

CURRENT SALES

NEW MARKETS

Currently building distributor

Our next focus is the UK and select continental European countries for disabilities, including a significant cerebral palsy m arket of som e 400,000 people

Japan was our first m arket for the new NeuroNode® wholesale strategy in 2023, with initial sales recorded in 1H24

partnerships where our strong patent portfolio and lack of com petition give us the best m arket opportunity

Recent Win # 1:

Granting of new US insurance code so device can be sold separately from 1 Oct 24. First sales already received.

Impact:

Retail: Immediate price increase up to US$4300.

Wholesale: Future growth with new distributors under new revenue sharing model.

Recent Win # 2: Exclusive distribution with SmartBox UK.

Impact:

70% market share in UK and largest operator in Germany. They have other European partners plus a presence in US.

Near Term Catalysts: More European distributors and first US distribution partner expected by Q4 FY25.

ASSISTIVE MOBILITY

==> picture [112 x 37] intentionally omitted <==

==> picture [117 x 102] intentionally omitted <==

==> picture [193 x 57] intentionally omitted <==

The world’s first autonomous wheelchair

A patent -pending module, developed with Deakin University, retrofits powered wheelchairs for safer, independent home travel controlled by the user's intentions

What Is It

==> picture [347 x 289] intentionally omitted <==

Recent Wins: TGA approval granted.

Market Size

Minimum $100m globally

Current sales model (retail)

We expect our first retail sales to begin in Australia soon.

==> picture [33 x 33] intentionally omitted <==

New growth CURRENT SALES sales model (wholesale) First sales expected in coming months in Australia

NEW MARKETS

The recent $A575k ALS grant will help us research the best entry paths into the US

==> picture [37 x 33] intentionally omitted <==

NEW PARTNERS

Currently building distributor partnerships with powered wheelchair manufacturers

A$575k research grant from the US ALS Association to help fund FDA approval.

Near Term Catalysts: Announcing a US clinical trial partner Q2 FY25.

FDA submission targeted for Q4 FY25.

Australian retail sales expected shortly.

BEYOND ASSISTIVE TECHNOLOGY

==> picture [112 x 37] intentionally omitted <==

==> picture [108 x 94] intentionally omitted <==

The new NeuroStrip is a game-changer

BEYOND ASSISTIVE TECHNOLOGY

==> picture [112 x 37] intentionally omitted <==

==> picture [108 x 94] intentionally omitted <==

NEUROSTRIP

Blue sky potential with endless uses

A world-first all-in-one accelerom eter and EMG device that m easures physiological data like unintentional m uscle m ovem ent

What Is It

Market Size

Blue sky given seemingly endless potential uses

Current sales It’s a new product that will not sell retail

model (retail)

==> picture [33 x 33] intentionally omitted <==

==> picture [37 x 32] intentionally omitted <==

New growth sales model The first batch of (wholesale)

NEW MARKETS

CURRENT SALES

NEW PARTNERS

Our initial focus is to leverage our m arket position in our existing m arkets of Australia, US and Japan for sales

We have com m enced discussions

com m ercial-grade NeuroStrips was recently m anufactured

in the US, Australia and Japan for potential partnerships for NeuroStrip distribution

Near Term Catalysts: Announcement of new partnerships and first sales in the US sports science segment.

Market strategy: Enter those with the fastest, lowest-cost access with no extra approvals.

==> picture [34 x 34] intentionally omitted <==

Sports science

Rehab and biofeedback

Movem ent disorders

Dysphagia

Incontinence

==> picture [112 x 37] intentionally omitted <==

Financial Performance

==> picture [1440 x 80] intentionally omitted <==

REVENUE (A$ m)

EBITDA ($A m)

FINANCIALS

Record sales pipeline, building FY25 momentum

• FY24 revenue hit by ~$1M in NDIS delays. However, Q1 FY25 has seen a rapid turnaround in NDIS approvals with record processing from our largest -ever backlog.

EMPLOYEES % SALES

• Record Q4 results in the USA following improvement in third -party billing issues.

• • Expecting ~20% CAGR growth for FY25 despite FY24 challenges.

• 326 systems sold in our key markets in FY24.

• Capital raised to offset cash flow delays and support ongoing strategic initiatives.

• Group overheads tightly managed , forecasted to remain flat from FY23 through FY25.

==> picture [1440 x 80] intentionally omitted <==

ASSISTIVE COMMUNICATION

How our sales are funded

==> picture [1282 x 462] intentionally omitted <==

----- Start of picture text -----

At least 75% of our sales are USA
AUSTRALIA
through a person’s insurer
Medicare /
Medicaid /
Veteran Affairs /
STAPP (Texas)
National Disability
Insurance Scheme
----- End of picture text -----

‘* Outsource to third -party biller who collects from the insurer (both public and private) Data based on FY24 YTD

==> picture [1440 x 80] intentionally omitted <==

==> picture [431 x 731] intentionally omitted <==

FINANCIALS

Continue to focus on growth, diversification and innovation

• Goal: Achieve near-term EBITDA-positive operations in all key geographic markets for our primary disability business.

• Plan for FY25: Diversify into new products and markets to drive additional growth.

• Diversifying with NeuroStrip outside the disability markets helps reduce reliance on slow and unpredictable insurance payment cycles.

• Further manage these risks by wholesaling our DROVE wheelchair controller, NeuroNode and NeuroStrip products in relevant markets.

==> picture [1440 x 80] intentionally omitted <==

GROWTH STRATEGY

Recent wins and future roadmap

Q4 FY24

Q1 FY25

Q2 FY25

Q3 FY25

Q4 FY25

DROVE TGA approval New US insurance code approved for NeuroNode, enabling a new US wholesale NeuroStrip customer strategy trials start Exclusive UK and Ireland NeuroNode Distribution NeuroStrip App v1.0 Agreement release NeuroStrip launch at AI For Good conference in Geneva

Japan breakeven expected First EU sales for NeuroNode expected First NeuroStrip research partner First sales DROVE expected Clinical trials commence in the US for DROVE New partnerships for standalone NeuroNode strategy in Japan and Europe Prototype for first reuseable NeuroStrip finalised

Final tranche of US FDA submission for research grant payment DROVE for DROVE US breakeven expected

Completed

First commercial sales of NeuroStrip in sports and rehab segments

==> picture [112 x 37] intentionally omitted <==

Company

==> picture [1440 x 80] intentionally omitted <==

Experienced leadership

BOARD

==> picture [174 x 117] intentionally omitted <==

Roger Hawke

Chairman Independent Non Executive Director

==> picture [117 x 116] intentionally omitted <==

Jeremy Steele

Managing Director CEO

==> picture [163 x 109] intentionally omitted <==

Peter Ford

Founder & Non Executive Director

Shannon Boothroyd

• Over 20 years experience in accounting, auditing and finance roles in the United States and Australia

• Previously held senior finance positions with multinational ASX-listed and technology start-up entities • Holds both Chartered Accountant (Australia) and Certified Public Accountant (US) designations

==> picture [115 x 114] intentionally omitted <==

==> picture [175 x 116] intentionally omitted <==

==> picture [174 x 116] intentionally omitted <==

Prof Rob Heard

Independent Non Executive Director

Damian Lismore

Independent Non Executive Director

Brett Crowley Company Secretary

==> picture [1440 x 80] intentionally omitted <==

Corporate Summary

FINANCIAL INFORMATION

Tightly held register. The recent capital raise has provided the business with sufficient funding well into FY26.

Recently the company raised $2.68m in new capital from a Rights Issue and Placement at 7c with a 1:2 free attaching 10c option. The majority of cash was received in Oct-24.

At the end of July 2024, NorthStar Impact Fund also invested $525,000 in CBL and subsequently agreed to underwrite $150,000 in the recently announced rights issue.

Share price (6/11/24) A$0.06 Shares on issue (16/10/24) 247.56 million Market capitalisation A$14.85 million Cash (30/09/24) A$0.646 million Unlisted options (16/10/24) 25 million

TOP SHAREHOLDERS

Phoenix Development 14.65% Nightingale Partners 13.52% Peter Shann Ford 8.08% Brian Gregory Walsh 4.25%

Top 20 hold 69.0% of shares as at 7/11/24

Get In Touch

COMPANY

==> picture [134 x 129] intentionally omitted <==

JEREMY STEELE CEO CONTROL BIONICS jsteele@controlbionics.com +61 433 229 470

CONTROLBIONICS.COM | ASX:CBL

INVESTOR RELATIONS

==> picture [135 x 129] intentionally omitted <==

JOE DURAK EXECUTIVE DIRECTOR & FOUNDER LYNX ADVISORS

j o e @ l y n x a d v i s o r s . c o m . a u

• 6 1 4 1 4 4 6 5 5 8 2

==> picture [324 x 635] intentionally omitted <==