EPX LIMITED — AGM Information 2021

Dec 14, 2021

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15 December 2021

ASX Announcement (ASX: EPX)

CEO’S AGM ADDRESS

Hello and welcome to EP&T Global Limited’s inaugural AGM. It’s an honour to be talking to you today as CEO of Environment Property and Technology.

We live, work and play in buildings. EP&T Global was borne out of a genuine need to collaborate with owners and operators in the built environment to manage buildings operational outgoings more effectively.

The company has always had an incredible technology at its core - The EDGE Intelligent System a Proprietary technology solution which combines multiple information sources with cloud-based data analytics to detect real-time energy inefficiencies in buildings. These findings identify solutions that lead to significant energy savings over the base year… Simply stated think of us as a fit bit for a building.

Our proprietary algorithms and data lake are enriched and refined by 25 years of data capture, analysis and aggregation. Add to this technology backbone the skill, knowledge and dedication of our people and EP&T presents a very compelling proposition to the market.

Over the past 12 months we have consolidated our brand and refined our messaging so that the market can understand how easy it is to engage with us and just how quickly we deliver results.

Together with the executive team, we agreed that to reach the global market, we needed a reinvigorated sales and marketing process. To that end we have reimagined our brand mark, rebuilt the website, updated our client portal and engaged with some of the best strategic consultants in the business so that our ROI in the areas of sales and marketing are maximised.

We began the year working with 280 assets and as of Dec 9[th] 21 we work with 403 across 4 continents and 22 countries. EP&T Global has grown by 43% (~$10.8M AUD) in Annualised Contract Value (ACV) in FY21. What is most exciting is the 34% (~$2.8M AUD) increase since March 2021. This is due in no small part to the results we consistently deliver our clients – an average of 22% saving on energy costs, and the prevention of >100,000 tons of CO2 every single year – the equivalent of taking 21,000 cars off the road.

As is evidenced in the UN IPCC (Intergovernmental Panel on Climate Change) report, Net Zero targets must be front and centre in the business community. Local asset owners have demonstrated their eagerness to improve their NABERS (National Australian Built Environment Ratings System) ratings. In FY21, EP&T has seen an 82% increase in our NABERS assessments on FY20. With the arrival and uptake of NABERS in the United Kingdom we are well-placed to facilitate ratings assessments.

EP&T Global Limited ACN – 645 144 314 Suite 2, 407 Pacific Highway, Artarmon NSW 2064

EP&T are on the front foot when it comes to supporting our global clients’ sustainability ratings too. We have accredited assessors and technology that supports varying ratings agencies to include Annual performance-based rating schemes (NABERS in Australia and UK), Green Star rating (Australia), key data information for GRESB (Global Real Estate Sustainability Benchmark) & Dow Jones Sustainability Indexes helping our clients improve their environmental standings daily.

EP&T Global engages with an ever-expanding list of verticals including commercial office, retail, hospitals, schools, hotels, clubs, and industrial. We are determined to become the world’s most trusted brand in building energy efficiency. As such we strive for authentic relationships with all our clients.

We are also committed to being active in the community. We recently partnered with SolarBuddy, a charity determined to end energy poverty in developing nations. We have also launched our Women in Engineering internship program to do our part to correct gender inequality in our industry. I’m proud of these community-focused programs, initiated and implemented by our people.

Today EP&T is more relevant than ever. COP26 reminded the world that we have 29 years to reach Net Zero. Emissions reductions, ESG reporting, stronger sustainability ratings, more efficient, greener buildings are all a net effect of our work with clients and their properties. Not to mention an average saving of 22% on energy costs across our entire portfolio.

Over the years we’ve seen various pieces of legislation from numerous governments. The UN environment program, the UK Climate Change Committee, the Paris Accord, the Kyoto Protocol an endless list of governing bodies and legislation is giving rise to a growing number of incentives to reduce emissions.

The reach and frequency of the Net Zero by 2050 message is influential. There’s no doubt that it is fuelling interest in ESG activity for businesses globally. The number of buildings utilising EP&T technology has grown 49% in 12 months ending FY21 – a COVID year. Again, due in no small part to our proven results – emissions reductions and financial savings.

As ACV growth is a key metric as is our focus on the conversion of Annualised Contract Value into Annualised Recurring Revenue (ARR). ARR is forecast to grow from $5.3m at June 30 2021, to $9.8m by 30 June 2022, an increase of 85%

Please note:

• Forecast FY22 ARR is from existing contracts on hand as at end Q1 FY22 as a result of 43% growth in Annualised Contract Value (ACV) in FY21 to $10.9m

• In Q1 FY22 EP&T installed their EDGE Intelligent Systems in 29 buildings, resulting in increased ARR of $1.1m (21%) to $6.4m

• The 3-year contract with leading asset manager, DWS, remains on track to be deployed and live before the end of FY22. The annual contract value (ACV) is A$2.0m with total contract value (TCV) of A$6.1m

EP&T Global Limited ACN – 645 144 314 Suite 2, 407 Pacific Highway, Artarmon NSW 2064

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Since the IPO, our sales & marketing spend has been strategically applied to:

• Search Engine Optimisation. We now rank first in several organic search terms

• Enhancing our digital capabilities in lead generation, CRM, user tracking and measurement, and sales conversion

• Thought leadership and brand presence at key industry conferences

• Content creation and media outreach

• Social responsibility programs – launching our charity partnership with SolarBuddy, and our Women in Engineering Internships

• Increased Sales and Account management headcount and resources

Product development and R&D will always be a focus for us. We are a technology company and continued innovation is essential to meet the evolving needs of our clients, their tenants and the customers they serve.

We are exploring strategic partnerships with companies from a range of different disciplines – from ESG monitoring to international architecture firms – all with a common goal: to meet the demands of companies on their Net Zero journey.

I’d like to take this opportunity to thank all of our investment community for your support. The IPO – finalised in May 2021 – and the recent funding round have reinvigorated the business in many ways.

• We have a greater capacity in the areas of sales and marketing.

• We are realising in practical terms our “Customer First’ philosophy.

• Product development and user interface design are a central focus for our R&D department. All the while our EDGE Intelligent System continues to delivery market-leading insights.

Organisations worldwide are making sustainability a priority; environmentally and financially. EP&T Global thrives where these needs intersect. We are precisely where we should be, doing exactly what is needed for this to happen. Thank you.

This announcement has been authorised for release to ASX by the Chairman of EP&T Global Limited.

ENDS

For more information, please contact:

or more information, please contact:
Trent Knox	Simon Hinsley
Chief Executive Officer	Investor Relations
investor@eptglobal.com	simon@nwrcommunications.com.au
	+61 401 809 653

EP&T Global Limited ACN – 645 144 314 Suite 2, 407 Pacific Highway, Artarmon NSW 2064

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About EP&T Global

EP&T Global is optimising buildings for a sustainable future. EP&T’s proprietary technology solution combines multiple information sources with cloud-based data analytics to detect real-time energy inefficiencies in buildings. This highly accurate identification of faults and inefficiencies enables EP&T to collaborate with building managers to improve and optimise building plant operating systems.

EP&T’s “EDGE Intelligent System” is a data repository incorporating 20+ years of building energy efficiency knowledge – collecting and analysing more than 5.6 billion points of data per annum with proprietary algorithmic analysis and machine learning.

To learn more visit www.eptglobal.com

EP&T Global Limited ACN – 645 144 314 Suite 2, 407 Pacific Highway, Artarmon NSW 2064

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