DTI GROUP LTD — Interim / Quarterly Report 2024

Apr 29, 2024

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ASX Announcement | 30 April 2024

DTI Group Limited (ASX:DTI)

Quarterly Business Activity Report & Appendix 4C

DTI enters Transport for NSW Bus Procurement Panel 4

Highlights

• DTI’s CCTV solution available on Transport for NSW Bus Procurement Panel 4

• Telematics and Liveview generates interest with bus operators.

• DTI’s cash equivalent balance at the end of the March 2024 quarter was $0.705M.

DTI Group Limited (ASX:DTI) (“DTI” or “the Company”) is pleased to provide its Appendix 4C for the quarter ended 31 March 2024 (Q3 FY24) along with the following operational update.

Transport for NSW Bus Procurement Panel 4

DTI’s digital CCTV solution has been successfully adopted by a several bus manufacturers included in Transport for NSW’s Bus Procurement Panel 4. Bus operators are now able to specify a DTI system during a new bus purchase via the government procurement portal. This is the first time DTI has been on this panel, opening new opportunities in the NSW marketplace.

Telematics and real time access

DTI has demonstrated its telematics data capture and Liveview system to a number of its existing bus customers. Feedback has been overwhelmingly positive, and several trials have commenced or are nearing rollout. This solution empowers operators to livestream on-vehicle footage and accelerate downloads for investigations of critical incidents.

Key highlights in DTI’s Q3 FY24 financials included:

• A cash equivalent balance of $0.705M at the end of the Q3 FY24 reporting period.

• Delivery of effective cost control initiatives that conserved cash balances

• Continued investment in future growth, with an additional $0.095M invested into intellectual property.

In accordance with Listing Rule 4.7C.1, during the quarter, $0.893m was expended on product and manufacturing costs, $1.176m on staff costs and $0.19m on administration and corporate costs.

In accordance with Listing Rule 4.7C.3, payments made to related parties and their associates are included in the Appendix 4C section 6.1 and these payments of $20k are for director and company secretarial fees.

DTI Chief Executive Officer Matt Strack said:

“The March 2024 quarter saw DTI leverage the development of its telematic and Liveview solutions with existing bus operators. This capability, along with our traditional CCTV offering, ensures that operators obtain greater value from their investment in a DTI system.

Through multiple bus manufacturers, DTI is now an approved sub-system supplier on the Transport for NSW Bus Procurement Panel 4 – DTI systems can be purchased with new buses.”

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The transit technology people.

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For further information, please contact:

DTI Group Limited (ASX:DTI) Mr. Matt Strack

Chief Executive Officer +61 447 007 505

Mr. Harry Miller Company Secretary +618 9482 0500

About DTI Group Limited (ASX:DTI)

DTI Group Limited (ASX:DTI) is a developer and marketer of a range of world-leading surveillance, video analytics, telematics and passenger information systems technology and services. The Company’s growing client base includes transit agencies, vehicle operators, vehicle manufacturers and law enforcement agencies, based both in Australia and overseas.

DTI Group’s diverse suite of products and services has expanded over time, with new offerings regularly launched that are designed to meet identified client demands in target market segments. Its current range of product and services comprise four broad categories:

• A state-of-the-art surveillance system that enables operators to capture all areas in and around vehicles

• A passenger information system that keeps clients’ passengers engaged and informed

• Industry leading telematics and analytics solutions that provide actionable insights for client operators

• Support services, encompassing a team of on-call skilled DTI Group staff that help maximize the value clients derive from their DTI systems.

To learn more, please visit: www.dti.com.au/

For more information

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Visit our investor website: http://www.dti.com.au

This ASX announcement has been authorised by the Board of DTI Group Limited (ASX:DTI)

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Appendix 4C +Rule 4.7B

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

Name of entity

Name of entity	Name of entity	Name of entity	Name of entity
DTI Group Limited
ABN		Quarter ended(“currentquarter”)
15 069 791 091		31/03/2024
Consolidated statement of cash flows		Current quarter $A’000	Year to date (9 months) $A'000
1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 Income taxes paid Government grants and tax incentives Other Net cash from / (used in) operating activities (d) leased assets Receipt of Government Grant revenue (e) staff costs (f) administration and corporate costs Dividends received (see note 3) Interest received Interest and other costs of finance paid Cash flows from operating activities* Receipts from customers Payments for (a) research and development (b) product manufacturing and operating costs (c) advertising and marketing		1,705 0 0 -893 -11 -23 -1,176 -192 0 0 -13 0 0 0	6,924 0 0 -3,138 -82 -66 -2,963 -827 0 23 -36 0 0 0
		-603	-165
Cash flows from investing activities 2.0		Current quarter $A '000	Year to date (9 months) $A'000
Payments to acquire: (a) entities (b) businesses (c) property, plant and equipment (d) investments (e) intellectual property (f) other non-current assets Proceeds from disposal of: (a) entities (b) businesses (c) property, plant and equipment (d) investments (e) intellectual property (f) other non-current assets Cash flows from loans to other entities Dividends received (see note 3) Other (provide details if material) Net cash from / (used in) investing activities 2.3 2.4 2.5 2.6 2.2 2.1		-3 -95	-34 -543
		-98	-577

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3.0	Cash flows from financing activities	Current quarter $A '000	Year to date (9 months) $A'000
3.7 3.8 3.9 3.10 3.1 3.2 3.3 3.4 3.5 3.6	Proceeds from issues of equity securities (excluding convertible debt securities) Proceeds from issue of convertible debt securities Proceeds from exercise of options Transaction costs related to issues of equity securities or convertible debt securities Proceeds from borrowings Repayment of borrowings Transaction costs related to loans and borrowings Dividends paid Other (provide details if material) Net cash from / (used in) financing activities	922 -384	1,846 -1,482
		538	364
4.0	Net increase / (decrease) in cash and cash equivalents for the period	Current quarter $A '000	Year to date (9 months) $A'000
4.1 4.2 4.3 4.4 4.5	Cash and cash equivalents at beginning of quarter/year to date Net cash from / (used in) operating activities (item 1.9 above) Net cash from / (used in) investing activities (item 2.6 above) Net cash from / (used in) financing activities (item 3.10 above) Effect of movement in exchange rates on cash held	877 -603 -98 538 -10	1,113 -165 -577 364 -30
4.6	Cash and cash equivalents at end of quarter	705	705
5.0	Reconciliation of cash and cash equivalents	Current quarter $A’000	Previous quarter $A’000
	at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts
5.1 5.2 5.3 5.4 5.5	Bank balances Call deposits Bank overdrafts Other (provide details) Cash and cash equivalents at end of quarter(should equal item 4.6 above)	705	877
		705	877
6.0	Payments to related entities of the entity and their associates		Current quarter $A'000
6.1 6.2	Aggregate amount of payments to related parties and their associates included in item 1 - Director/Secretary payments Aggregate amount of payments to related parties and their associates included in item 2		-20
			0

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7.0	Financing facilities available	Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000
7.1 7.2 7.4 7.3	Loan facilities Credit standby arrangements Other - Credit card facility Total financing facilities	500	500
		148	139
		648	639
7.6 7.5	Credit card-unsecured Unused financing facilities available at quarter end		8
8.0	Estimated cash available for future operating activities		$A’000
8.3 8.4 8.5 8.1 8.2	Unused finance facilities available at quarter end (item 7.5) Total available funding (Item 8.2 + Item 8.3) Estimated quarters of funding available (Item 8.4 divided by Item 8.1) Net cash from / (used in) operating activities (item 1.9) Cash and cash equivalents at quarter end (item 4.6)		-603 705 8
			713
			1.2
1 8.6	If Item 8.5 is less than 2 quarters, please provide answers to the following questions: 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?
2	Answer: No. Q4 is expected to generate an improved cash flow through increased sales utilising inventory already in stock and paid for. DTI is further reducing operating expenses throughout the quarter.
	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?
3	Answer: Yes, DTI secured a loan for $500K during March 2024.
	Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
	Answer: Yes, the March 2024 loan provides the operating cash to execute against the business plan. There is a high degree of confidence in the cost reduction strategy and sales pipeline.

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Compliance statement

• This statement has been prepared in accordance with accounting standards and policies which comply with

• 1 Listing Rule 19.11A.

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

Date: 30/04/2024 Authorised by: by the Board of Directors (Name of body or officer authorising release - see note 4)

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 Councils 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 flows 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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