DTI GROUP LTD — Interim / Quarterly Report 2022

Jan 30, 2022

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31[st] January 2022

DTI GROUP LTD (ASX:DTI) QUARTERLY BUSINESS ACTIVITY REPORT & APPENDIX 4C

Australian technology provider DTI Group Ltd (“ DTI ”) (ASX: DTI) , releases its Quarterly Business Activity Report and Appendix 4C Cash Flow Report for the quarter ending 31 December 2021 .

Net operating cash outflow was $0.09M for the quarter and half-year-to-date and a cash equivalent balance of $2.18M is reported as at 31[st] December 2021.

Additional financial performance information will be released during February 2022 upon completion of the half-year external audit.

Business Activity

As per the ASX release dated 3 September 2021, DTI announced a capital raising by way of a 1 for 3 non-renounceable entitlement offer. This was completed during quarter 2 on the 5th of October 2021 and raised approximately $2 million via the issue of approximately 111.7 million shares.

DTI is focused on the delivery of the products and services to customers which include:

• Alstom Transport India Ltd

• Metro Train Melbourne

• Brisbane City Council

• Siemens Mobility, Inc

Orders have been received for the new digital recorder systems targeting the bus segment.

The global shortage of semi-conductors and electronic components continues to impact the delivery times for some hardware products.

Forward Outlook

DTI is focused on successfully delivering the pipeline of contracted opportunities, improving the engagement with existing customers and potential customers, and continuing the development of products which are attractive to target market segments.

Appendix 5B:

The quarterly cashflow report (4C) for the quarter details expenditure on the abovementioned operations. During the quarter, $3.4M was expended on product manufacturing and operations, $1.5M on staff expenditure and $0.56 on administration.

A cash equivalent balance of $2.18M is reported as of 31[st] December 2021. Net operating cash outflow was $0.09M for the quarter and half-year-to-date.

In accordance with Listing Rule 4.7C, payments made to related parties and their associates are included in Appendix 4C section 6.1 and these payments are entirely for Directors’ fees.

This ASX communication has been approved for release by Mr. Greg Purdy, Chairman.

About DTI Limited

DTI develops and provides world-leading surveillance, video analytics, and passenger information systems technology and services to the worldwide mobile transit industry. Our customers include transit agencies, vehicle operators, vehicle manufacturers, and law

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enforcement agencies. Products and services include on-board recording equipment, passenger information equipment, fleet management systems, back-end mass storage and retrieval facilities, and end-to-end managed services.

Core technology development and systems design activities are undertaken from the company’s headquarters in Perth, Australia.

For further information, please contact:

Mr. Matt Strack Chief Executive Officer +61 447 007 505

Mr. Ian Hobson Company Secretary +61 (8) 9388 8290

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Appendix 4C

Quarterly cash flow report for entities subject to Listing Rule 4.7B

Name of entity

DTI Group Limited

Name of entity	Name of entity	Name of entity
DTI Group Limited
ABN			Quarter ended (“current quarter”)
15 069 791 091			31/12/2021
Consolidated statement of cash flows			Current quarter $A’000	Year to date (6 months) $A'000
1.0	Cash flows from operating activities
1.1	Receipts from customers		5,496	10,497
	Receipt of Government Grant revenue*
1.2	Payments for
	(a) research and development		-75	-243
	(b) product manufacturing and operating costs		-3,406	-5,381
	(c) advertising and marketing		-5	-6
	(d) leased assets		-1	-64
	(e) staff costs		-1,497	-2,891
	(f) administration and corporate costs		-561	-1,908
1.3	Dividends received (see note 3)
1.4	Interest received		0	0
1.5	Interest and other costs of finance paid		-22	-23
1.6	Income taxes paid		0	0
1.7	Government grants and tax incentives		0	0
1.8	Other (GST)		-23	-68
1.9	Net cash from / (used in) operating activities		-94	-87

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Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A'000
2.0 Cash flows from investing activities 2.1 Payments to acquire: (a) entities (b) businesses (c) property, plant and equipment (d) investments (e) intellectual property (f) other non-current assets 2.2 Proceeds from disposal of: (a) entities (b) businesses (c) property, plant and equipment (d) investments (e) intellectual property (f) other non-current assets 2.3 Cash flows from loans to other entities 2.4 Dividends received (see note 3) 2.5 Other (provide details if material) 2.6 Net cash from / (used in) investing activities	-1 12 0	-1 16 0
	11	15
3.0 Cash flows from financing activities 3.1 Proceeds from issues of equity securities (excluding convertible debt securities) 3.2 Proceeds from issue of convertible debt securities 3.3 Proceeds from exercise of options 3.4 Transaction costs related to issues of equity securities or convertible debt securities 3.5 Proceeds from borrowings 3.6 Repayment of borrowings 3.7 Transaction costs related to loans and borrowings 3.8 Dividends paid 3.9 Other - bank guarantee for operational contract, cash backing for corporate credit cards 3.10 Net cash from / (used in) financing activities	2,010 28 -1,176 -425	2,010 1,415 -1,617 -385
	437	1,423

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Consolidated statement of cash flows	Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A'000
7.0		Financing facilities available	Total facility amount at quarter end	Amount drawn at quarter end
		Add notes as necessary for an understanding of the position	$A’000	$A’000
7.1		Loan facilities
7.2		Credit standby arrangements
7.3		Other (Credit Card)	263	0
7.4		Total financing facilities	263	0
7.5		Unused financing facilities available at quarter end		262
7.6		Include in the below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.
		American Express Credit Cardfacility. Rollingmonthlymaturity date.Unsecured.
		Refer note 8.6.2
8.0		Estimated cash available for future operating activities		$A’000
8.1		Net cash from / (used in) operating activities (item 1.9)		-94
8.2		Cash and cash equivalents at quarter end (item 4.6)		2,180
8.3		Unused finance facilities available at quarter end (item 7.5)		262
8.4		Total available funding (Item 8.2 + Item 8.3)		2,442
8.5		Estimated quarters of funding available (Item 8.4 divided by Item 8.1)		26
8.6		If Item 8.5 is less than 2 quarters, please provide answers to the following questions:
	1	Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?
		Answer: N/A
	2	Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?
		Answer: N/A
	3	Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
		Answer: N/A

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Compliance statement	Compliance statement	Compliance statement
1	This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
2	This statement gives a true and fair view of the matters disclosed.
Date:		31/01/2022
Authorised by:		By the Board of Directors
		(Name ofbody orofficerauthorisingrelease-see	note4)
Notes
1	The quarterly report and the accompanying activity report provides a basis for informing the market how the entity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
2	If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of,_AASB 107: Statement of Cash Flows_apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report.
3	Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
4	If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board. If it has been authorised for release to the market by a committee of your board of directors, you can insert her: "By the [name of board committee - eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee".
5	If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Coucils Corporate governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash fows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

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