EXPERIENCE CO LIMITED — Interim / Quarterly Report 2022

Feb 22, 2022

ACN 167 320 470

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Appendix 4D

For the half year ended 31 December 2021

(Previous corresponding period being the half year ended 31 December 2020)

Results for announcement to the market

Results for announcement to the market
	December	December
	2021	2020
	$000	$000
Revenue from continuing operations	19,219	20,146
Profit before impairment. interest, taxes. depreciation and amortisation (EBITDA) from continuing operations	(4,507)	3,885
Loss before tax from continuing operations	(9,229)	(1,090)
Loss after tax from continuing operations attributable to shareholders	(4,061)	(646)
Net loss after tax from continuing and discontinued operations attributable to shareholders	(4,061)	(213)
Net tangible assets	72,756	65,756
Net tangible assets cents per share	9.7 cents	11.8 cents

Acquisition or disposals of controlled entities, businesses or assets

Refer to note 3 to the Interim Financial Report.

Dividends

No dividend has been paid or declared during the period.

Auditor’s Report

This Appendix 4D is based on the Interim Financial Report for the half year ended 31 December 2021 (as attached) which has been reviewed by Experience Co Limited’s auditors.

Other Information

The remainder of the information requiring disclosure to comply with the Listing Rule 4.2A is contained in the Interim Financial Report that follows.

ACN 167 320 470

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Experience Co Limited

ACN 167 320 470

Interim Financial Report

Half year ended 31 December 2021

This Interim Financial Report is to be read in conjunction with the financial report for the period ended 30 June 2021

EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

CONTENTS

Directors' Report	1
Consolidated Statement of Profit or Loss and Other Comprehensive Income	3
Consolidated Statement of Financial Position	4
Consolidated Statement of Changes in Equity	5
Consolidated Statement of Cash Flows	6
Notes to the Financial Statements	7
Directors’ Declaration	12
Auditor's Independence Declaration	13
Independent Auditor's Review Report	14

EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

DIRECTORS’ REPORT

The directors present their report on the consolidated entity (referred to herein as the Group) consisting of Experience Co Limited (The Company) and its controlled entities for the half year ended 31 December 2021.

DIRECTORS

DIRECTORS	DIRECTORS
The following persons were directors of Experience Co Limited during or since the end of the period up to the date of this report:
Kerry (Bob) East	Chair, Independent Non-Executive Director
Anthony Boucaut	Non-Executive Director
John O’Sullivan	Chief Executive Officer and Executive Director
Neil Cathie	Independent Non-Executive Director
Michelle Cox	Independent Non-Executive Director

REVIEW OF OPERATIONS

Principal Activities

The principal activities of the Group during the period were the provision of adventure tourism and leisure experiences. These activities have historically included tandem skydiving in Australia and New Zealand, and tours to the Great Barrier Reef and Daintree region.

During the half year the Group completed acquisitions that will broaden the portfolio of experiences to include nature based walking and lodge experiences (Wild Bush Luxury and Maria Island Walk) and high rope and zipline aerial adventures (Treetops Adventure).

Group Financial Performance

roup Financial Performance
Revenue Underlying EBITDA Net loss after tax Net cash/(debt)1	31 December 2021 31 December 2020 % change $000 $000
	19,219 20,146 (5%) (3,056) 4,375 n/a (4,061) (213) n/a 12,468 (2,602) n/a

The Group incurred a net loss after tax from continuing operations of $4.1 million (31 December 2020: $0.2 million) and Underlying EBITDA loss from continuing operations was $3.1 million (31 December 2020: $4.4 million profit).

The Group experienced the most challenging trading conditions of the pandemic which included protracted lockdowns and travel restrictions for key domestic markets from July 2021. With momentum building into the summer trading period the emergence of the Omicron strain late in the period soon followed by record case levels, along with the multiplier effect of isolation health directives and overwhelmed testing capabilities, adversely impacted consumer participation and staffing availability in our peak period.

Pleasingly, the acquired businesses were less impacted by the Omicron wave, demonstrating the benefits of the strategy to reweight the Group’s portfolio of assets and increase exposure to domestic markets.

Notwithstanding these challenges, the ‘living with COVID’ approach by National Cabinet in Australia including easing of border restrictions heading into the new year have assisted in trading conditions improving into January.

BALANCE SHEET

The Group maintains a well capitalised balance sheet following the successful capital raise in the period for the acquisition of Treetops Adventure.

As at 31 December 2021 the Group had cash and cash equivalents of $27.5 million and net cash of $12.5 million.

1 Net cash/(debt) is calculated as corporate debt and asset finance less cash and cash equivalents. Comparative as at 30 June 2021.

1

EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

DIRECTORS’ REPORT

ACQUISTIONS

Wild Bush Luxury and Maria Island Walk

On 19 July 2021 we completed the acquisition of Wild Bush Luxury and welcomed its founder, Charles Carlow to the Group to lead our newly established premium adventure activity category. This includes luxury lodges Arkaba Homestead and Walk in South Australia’s Flinders Ranges and Bamurru Plains in the Kakadu region of the Northern Territory.

On 30 November 2021 we completed the acquisition of the Maria Island Walk in Tasmania, which will form part of the Wild Bush Luxury brand portfolio.

These acquisitions are consistent with the Group's growth strategy to diversify the adventure experience portfolio. The Wild Bush Luxury and Maria Island Walk wilderness experiences are highly complimentary and provide the Group exposure to a growth category with resilient domestic demand and strong international appetite when borders are open

Treetops Adventure

On 30 November2021 we completed the acquisition of the Treetops Adventure portfolio of high ropes course and zip line activities.

Treetops Adventure provides an exposure to the family adventure market. This market is anticipated to be a growing category, with experiences having a connection with nature and targeted at a younger audience. With over 400,000 domestic visitors annually, Treetops Adventure improves the quality and scale of the Group's portfolio. We are excited by the growth prospects for this category as pandemic restrictions ease and international markets return.

OUTLOOK

The Group is optimistic that market conditions will continue to improve in Australia and New Zealand as the second half of FY22 progresses. The Group anticipates Q3 FY22 to continue to see recovery in domestic trading conditions, with the potential for international activity commencing from April. In the near term, the Group is focused on integrating the recent acquisitions and positioning the business to leverage its market leading positions as volumes recover.

The Group has high conviction that Australia and New Zealand will be highly desirable destinations for international markets and our diversified adventure experience portfolio will continue to attract domestic markets as international travel markets recover to pre pandemic levels through to FY25.

With a well capitalised balance sheet, we continue to evaluate complimentary acquisitions and organic growth opportunities.

Due to continued uncertainty EXP is not providing earnings guidance for FY22.

DIVIDENDS

No dividend was paid or declared during the period.

ROUNDING OF AMOUNTS

The Company is an entity to which ASIC Corporations (Rounding in Financial/Director's Reports) Instrument 2016/191 issued by ASIC relating to rounding off applies and in accordance with that instrument amounts in the Financial Statements and Directors' Reports have been rounded to the nearest thousand dollars unless otherwise stated.

AUDITOR'S INDEPENDENCE DECLARATION

A copy of the auditor's independence declaration as requested under section 307C of the Corporation Act 2001 is set out on page 13.

Signed in accordance with a resolution of directors, pursuant to section 306(3)(a) of the Corporations Act 2001.

John O’Sullivan Chief Executive Officer

______ Kerry Robert (Bob) East Chairman

Dated: 23 February 2022

2

EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

		Half year ended	Half year ended
		31 December	31 December
		2021	2020
	Notes	$000	$000
Sales revenue		19,219	20,146
Cost of sales		(13,718)	(13,005)
Gross profit		5,501	7,141
Other income	4	4,080	8,071
Employee expenses		(7,702)	(6,472)
Depreciation and amortisation expenses		(4,123)	(3,999)
Impairment of property, plant and equipment and other assets		-	(199)
Marketing and advertising expenses		(836)	(504)
Repairs and maintenance expenses		(609)	(543)
Operating expenses		(3,190)	(2,268)
Restructure and other significant expenses	5	(1,709)	(1,419)
Loss on disposal of assets		(42)	(121)
Loss before financial income and taxes		(8,630)	(313)
Net finance costs		(599)	(777)
Loss before income tax from continuing operations		(9,229)	(1,090)
Income tax benefit		5,169	444
Net loss for the half year from continuing operations		(4,061)	(646)
Discontinued operations
Profit after tax for the half year from discontinued operations		-	433
Loss for the half year from continuing and discontinued operations		(4,061)	(213)
Items that will be reclassified subsequently to profit or loss when
specific conditions are met:
Exchange differences on translating foreign operations, net of income tax		83	(12)
Other comprehensive income/(loss) for the half year		83	(12)
Total comprehensive loss for the half year		(3,978)	(225)
Earnings per share for continuing operations
Basic earnings per share (cents)		(0.54)	(0.12)
Diluted earnings per share (cents)		(0.54)	(0.12)

The accompanying notes form part of these financial statements.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

	As at As at
	31 December 2021 30 June 2021
Notes	$000 $000
Assets
Current assets
Cash and cash equivalents	27,507 13,321
Trade and other receivables	2,120 1,841
Inventories	4,023 3,932
Other assets	2,057 2,875
	35,707 21,969
Assets classified as assets held for sale	1,609 2,958
Total current assets	37,316 24,927
Non-current assets
Property, plant and equipment 6	72,551 64,840
Asset under construction	8,550 4,887
Right-of-use assets	18,629 11,741
Deferred tax assets	13,211 8,970
Intangible assets 7	47,274 1,264
Total non-current assets	160,215 91,702
Total assets	197,531 116,629
Liabilities
Current liabilities
Trade and other payables	6,672 5,168
Lease liabilities	8,141 5,539
Employee benefits	2,103 1,707
Current tax liability	- 742
Deferred Consideration	3,835 -
Contract liabilities	13,196 5,692
	33,947 18,848
Liabilities directly associated with assets classified as held for sale	109 851
Total current liabilities	34,056 19,699
Non-current liabilities
Borrowings	7,842 7,850
Lease liabilities	18,188 14,899
Employee benefits	233 230
Provisions	700 -
Deferred Consideration	3,690 -
Total non-current liabilities	30,653 22,979
Total liabilities	64,709 42,678
Net assets	132,822 73,951
Equity
Issued capital	231,398 168,547
Accumulated losses	(96,800) (92,739)
Reserves	(1,776) (1,857)
Total equity	132,822 73,951

The accompanying notes form part of these financial statements.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Note	Issued Capital Retained Earnings Asset Revaluation Reserve Common Control Reserve Share Option Reserve Foreign Currency Translation Reserve Total
	$000 $000 $000 $000 $000 $000 $000
Balance at 1 July 2020	168,645 (88,438) 1,347 (4,171) 596 (192) 77,787
Comprehensive income
Loss for the half year	- (213) - - - - (213)
Other comprehensive loss for the halfyear	- - - - - (12) (12)
Total comprehensive loss for the halfyear	- (213) - - - (12) (225)
Transactions with owners, in their capacity as owners
Reduction in share capital	(94) - - - - - (94)
Options issued during the half year	- - - - 177 - 177
Total transactions with owners and other transfers	(94) - - - 177 - 83
Balance at 31 December 2020	168,551 (88,651) 1,347 (4,171) 773 (204) 77,645
Balance at 1 July 2021	168,547 (92,739) 1,347 (4,171) 1,212 (245) 73,951
Comprehensive income
Loss for the half year	- (4,061) - - - - (4,061)
Other comprehensive income for the halfyear	- - 83 83
Total comprehensive loss for the halfyear	- (4,061) - - - 83 (3,978)
Transactions with owners, in their capacity as owners
Issued share capital	62,451 - - - - - 62,451
Transfer to Issued capital	400 - - - (400) - -
Options issued during the half year	- - - - 398 - 398
Total transactions with owners and other transfers	62,851 - - - (2) - 62,849
Balance at 31 December 2021	231,398 (96,800) 1,347 (4,171) 1,210 (162) 132,822

The accompanying notes form part of these financial statements.

5

EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

CONSOLIDATED STATEMENT OF CASH FLOWS

CONSOLIDATED STATEMENT OF CASH FLOWS
Note	Half year ended 31 December 2021 Half year ended 31 December 2020 $000 $000
Operating activities Receipts from customers (GST inclusive) Interest received Payments to suppliers and employees (GST inclusive) Finance costs Income tax refund/(payment) Net cash (used in)/provided by operating activities Investing activities Sale of property, plant and equipment Proceeds from the sale of discontinued operations Proceeds from grant contribution to assets under construction Payments for assets under construction Purchase of property, plant and equipment Payments for purchase of businesses Net cash (used in)/provided by investing activities Financing activities Issued shares Share purchases Proceeds from borrowings Repayment of borrowings Repayment of leases liabilities Loan repayments to related parties Net cash provided/(used) in financing activities Net increase in cash held Cash and cash equivalents at beginning of the period Cash and cash equivalents at end of the period	23,715 24,504 3 28 (24,641) (19,800) (335) (565) 186 (219)
	(1,072) 3,948
	158 2,597 - 2,895 300 1,050 (1,440) (1,891) (2,477) (1,244) (32,192) -
	(35,651) 3,407
	52,292 - - (94) 611 553 (941) (1,871) (1,053) (2,671) - (79)
	50,909 (4,162)
	14,186 3,193 13,321 12,469
	27,507 15,662

The accompanying notes form part of these financial statements.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 1 SIGNIFICANT ACCOUNTING POLICIES

The interim financial report of Experience Co Limited (the Company) and its subsidiaries (collectively, the Group) for the six months ended 31 December 2021 was authorised for issue in accordance with a resolution of the directors.

The Company is listed on the Australian Securities Exchange, incorporated and domiciled in Australia and its shares are publicly traded. The registered office is located at Level 5, 89 York Street, Sydney, New South Wales, Australia.

BASIS OF PREPARATION

The interim financial report is a general purpose financial report prepared in accordance with the Corporations Act 2001 and AASB 134 Interim Financial Reporting. Compliance with AASB 134 ensures compliance with International Financial Reporting Standard IAS 34 Interim Financial Reporting. The interim financial report does not include notes of the type normally included in an annual financial report and should be read in conjunction with the most recent annual financial report.

All amounts are presented in Australian dollars, unless otherwise noted.

The accounting policies adopted in the preparation of the interim financial report are consistent with those followed in the preparation of the Group’s annual consolidated financial statements for the year ended 30 June 2021, except for the adoption of new standards effective as of 1 July 2021. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

SIGNITICANT ACCOUNTING ESTIMATES AND JUDGEMENTS

In preparing the interim financial report, the Group has made judgements, estimates and assumptions that affect the application of the accounting policies and the reported amounts of assets and liabilities, revenue and expenses. Actual results may differ from these estimates. Significant judgements made by management in applying the Group’s accounting policies and the key sources of estimate uncertainty were the same as that applied to the audited consolidated financial statements for the year ended 30 June 2021.

GOING CONCERN

In preparing the interim financial report the Directors have made an assessment of the ability of the Group to continue as a going concern which contemplates the continuity of business operations, realisation of assets and settlement of liabilities in the ordinary course of business and at the amounts stated in the interim financial report. The Directors have a reasonable expectation that the Group will have adequate resources to continue to meet its obligations as they fall due.

NOTE 2 OPERATING SEGMENTS

IDENTIFICATION OF REPORTABLE OPERATING SEGMENTS

The Group has identified the following reportable operational segments based on a combination of factors including products and services, geographical areas and regulatory environment:

• Skydiving : comprises tandem skydive and related products, with ancillary aircraft maintenance activities.

• Adventure Experiences : reef based dive and snorkel experiences and rainforest tours operating out of Cairns and Port Douglas in the Tropical North Queensland region. This segment also includes the recent acquisitions of Wild Bush Luxury, the Maria Island Walk and Treetops Adventure in the half.

• Corporate : comprises the centralised management and business administration services.

These operating segments are based on the internal reports that are reviewed and used by the CEO in determining the allocation of resources. The CEO reviews Earnings before interest, taxes, depreciation and amortisation (EBITDA) at the segment level. The accounting policies adopted for internal reporting to the CEO are consistent with those adopted in the financial statements.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 2 OPERATING SEGMENTS (CONTINUED)

	Skydiving Adventure Experiences Corporate Continuing operations
31 December 2021	$000 $000 $000 $000
Revenue
Sales to external customers at a point in time	9,303 9,887 29 19,219
Sales revenue	9,303 9,887 29 19,219
Other income	1,495 2,203 382 4,080
Total segment revenue	10,798 12,090 411 23,299
EBITDA	(1,382) 940 (4,065) (4,507)
Restructure and other significant expenses	198 132 1,379 1,709
Net gain/loss on sale of assets	(67) (6) 115 42
Queensland Growing Tourism Infrastructure Program	- (300) - (300)
Underlying EBITDA	(1,251) 766 (2,571) (3,056)
Depreciation and amortisation	(1,512) (2,218) (393) (4,123)
Segment profit before financial income and taxes	(2,894) (1,278) (4,458) (8,630)
Total assets as at 31 December 2021	58,550 102,416 34,956 195,922
Total liabilities as at 31 December 2021	(25,402) (21,181) (18,017) (64,600)

Finance costs, finance income are not allocated to individual segments as these are managed on a group basis. Current taxes, deferred taxes and certain financial assets and liabilities are not allocated to those segments as they are also managed on a group basis.

basis.
	Skydiving Adventure Experiences Corporate Continuing operations
31 December 2020	$000 $000 $000 $000
Sales to external customers at apoint in time	14,415 5,703 28 20,146
Sales revenue	14,415 5,703 28 20,146
Other income	2,560 5,023 488 8,071
Total segment revenue	16,975 10,726 516 28,217
EBITDA	3,725 2,989 (2,829) 3,885
Restructure and other significant expenses	395 101 923 1,419
Net gain/loss on sale of assets	2 119 - 121
Queensland GrowingTourism Infrastructure Program	- (1,050) - (1,050)
Underlying EBITDA	4,122 2,159 (1,906) 4,375
Depreciation and amortisation	(1,808) (1,935) (256) (3,999)
Segmentprofit before financial income and taxes	1,917 1,054 (3,085) (114)
Total assets as at 31 December 2020	64,582 29,543 23,078 117,203
Total liabilities as at 31 December 2020	(17,103) (2,868) (22,669) (42,640)

A reconciliation of profit / (loss) from continuing operations to Underlying EBITDA for continuing operations is as follows:

Loss for the half year from continuing operations Finance costs Depreciation and amortisation Impairment Income tax expense EBITDA from continuing operations Restructure and other significant expenses (see note 5) Profit on Disposal of Assets Queensland Growing Tourism Infrastructure Program Underlying EBITDA from continuing operations	31 December 2021 31 December 2020 $000 $000
	(4,061) (646) 599 777 4,123 3,999 - 199 (5,168) (444)
	(4,507) 3,885 1,709 1,419 42 121 (300) (1,050)
	(3,056) 4,375

Underlying EBITDA has been presented on a AASB 16 Leases basis, whereby relevant lease expenses are recognised below the line.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 3 BUSINESS COMBINATIONS

During the half year period the Group completed three acquisitions being;

• business and assets of Wild Bush Luxury on 19 July 2021,

• business and assets of Maria Island Walk on 30 November 2021; and

• share purchase of Trees Adventure Holdings Pty Ltd (‘ Treetops Adventure’ ) on 30 November 2021.

These acquisitions complement our continuing business and are aligned with our strategy to increase the portfolio weighting to nature based and domestic based experiences, as well as diversifying our consumer profile age demographics. Each of the acquisitions are historically proven business models with market leadership positions and high quality cash conversion.

Wild Bush Luxury comprises luxury lodge and premium walking experiences operated out of Arkaba Homestead in the Flinders Ranges, South Australia and Bamurru Plains in the Kakadu region of the Northern Territory. The Maria Island Walk, an exclusive wilderness walk experience on Tasmania’s Maria Island, joins the Wild Bush Luxury portfolio.

Treetops Adventure is Australia’s leading operator of aerial adventure experiences, offering treetop rope courses, net parks, canopy tours and ziplining tracks in a segment that is largely resilient to the pandemic and provides exposure to over 400,000 domestic visitors annually.

	Wild Bush Luxury Maria Island Walks Trees Adventure Consolidated Business Combinations
	$000 $000 $000 $000
Assets
Cash & other equivalents	- - 3,503 3,503
Accounts Receivable	- - 189 189
Inventory	38 3 206 247
Other current assets	139 - 583 721
Property, plant and equipment (note 6)	633 227 6,579 7,439
Asset under construction	628 628
Intangible assets (note 7)	- - 65 65
Other non current assets	- - 9 9
Right-of-use assets	2,610 - 4,685 7,295
Liabilities	- - - -
Accounts payable	- - (787) (787)
Other amounts payable	(54) - (734) (788)
Bank Loan	(3,900) (3,900)
Lease liabilities	(2,610) - (4,685) (7,295)
Contract Liabilities	(2,107) (967) (1,573) (4,647)
Net assets acquired	(1,352) (737) 4,768 2,679
Trade Names	837 809 13,933 15,579
Goodwill	1,201 1,639 26,720 29,560
Acquisition-date fair value of the total consideration transferred	686 1,711 45,421 47,818
Representing:
Initial cash consideration paid or payable to vendor	1,775 2,500 31,532 35,807
Working capital and other adjustments	(2,114) (789) (1,474) (4,377)
Experience Co Ltd shares issued to vendor	- - 8,863 8,863
Contingent consideration	1,025 - 6,500 7,525
Total purchase consideration	686 1,711 45,421 47,818
Cash used to acquire businesses, net of cash acquired per statement of cash flows:
Initial cash consideration paid or payable to vendor	(339) 1,711 31,532 32,904
Less: Workingcapital and other adjustments	- - (1,320) (1,320)
Net cash used	(339) 1,711 30,212 31,584

Payment for purchase of business, net of cash acquired per cash flow statement Net cash used for the Wild Bush acquisition Net cash used for the Maria Island acquisition Net cash used for the Trees Adventure acquisition Net cash transaction costs Net cash used for purchase of businesses
	(339)
	1,711
	30,212
	31,584
	607
	32,192

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 3 BUSINESS COMBINATIONS (CONTINUED)

A total of $1.1m in transaction costs were incurred or accrued during the acquisition process. All of these transaction costs have been expensed through the consolidated statement of profit or loss as disclosed in Note 5.

The net assets recognised in the financial statements are based on a provisional assessment of fair value at reporting date.

During the period, the revenue and net profit contribution of the acquisitions was $3,292,590 and $203,018 respectively.

NOTE 4 OTHER INCOME

NOTE 4 OTHER INCOME
	31 December 2021 31 December 2020
	$000 $000
Jobkeeper income	- 5,232
Wages subsidy income	1,120 180
Queensland Tourism Icons Program	- 1,000
Queensland Growing Tourism Infrastructure Program	300 1,050
Queensland Major Tourism Experiences Hardship Grant	2,000 -
New Zealand Strategic Tourism Asset Protection Program	209 154
Diesel Fuel Rebate	189 168
Insurance Recoveries	13 179
Environmental Projects and Other Marine Subsidies	125 -
Other	124 108
	4,080 8,071

NOTE 5 RESTRUCTURE AND OTHER SIGNIFICANT EXPENSES

Restructure and other expenses from continuing operations in the period included costs in relation to redundancy and severance, restructuring and other costs related to the final stages of the business simplification exercise.

Business acquisition costs Restructuring costs Strategic review costs Share based payments Other (net) Restructure and other significant expenses	31 December 2021 31 December 2020 $000 $000
	1,067 - 389 507 - 426 397 177 (144) 309
	1,709 1,419

NOTE 6 PROPERTY PLANT & EQUIPMENT

	Land & Buildings	Plant & Equipment	Leasehold Improv.	Aircraft	Motor Vehicles	Office Equipment	Vessels	Total
	$000	$000	$000	$000	$000	$000	$000	$000
Cost 1 July 2021	1,696	11,682	3,694	33,114	3,709	1,837	31,292	87,024
Accumulated depreciation	(57)	(6,622)	(872)	(1,245)	(2,130)	(1,461)	(9,797)	(22,184)
Carrying amount 1 July 2021	1,639	5,060	2,822	31,869	1,579	376	21,495	64,840
Additions	20	208	226	539	227	80	520	1,820
Depreciation expense	(10)	(502)	(55)	(561)	(164)	(82)	(1,461)	(2,835)
Disposals	-	-	-	-	(38)	-	-	(38)
Movement in foreign exchange	2	2	21	58	4	1	-	88
Transfer from asset held for sale	-	-	-	1,236	-	-	-	1,236
PPE acquired through business combinations (see note 3)	1,065	1,112	4,755	-	348	3	156	7,439
Cost 31 December 2021	2,783	13,031	8,696	34,963	4,288	1,921	31,968	97,650
Accumulated depreciation	(67)	(7,151)	(927)	(1,822)	(2,331)	(1,543)	(11,258)	(25,099)
Carrying amount 31 December 2021	2,716	5,880	7,769	33,141	1,957	378	20,710	72,551

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 7 INTANGIBLE ASSETS

NOTE 7 INTANGIBLE ASSETS
	Goodwill			Trademarks		Computer Software	Customer relationships	Leases & Licenses	Total
	$000			$000		$000	$000	$000	$000
Cost 1 July 2021		-			-	2,134	4,090	3,252	9,476
Accumulated amortisation and impairment		-			-	(1,082)	(4,090)	(3,040)	(8,212)
Carrying amount 1 July 2021		-			-	1,052	-	212	1,264
Additions		-			-	210	-	-	210
Allocable cost amount adjustment		789			-	-	-	-	789
Amortisation expense		-			-	(193)	-	-	(193)
Intangibles acquired through business combinations (see note 3)	29,560			15,579		65	-	-	45,204
Cost 31 December 2021	30,348			15,579		2,409	4,090	3,252	55,678
Accumulated amortisation and impairment		-			-	(1,275)	(4,090)	(3,040)	(8,405)
Carrying amount 31 December 2021	30,349			15,579		1,134	-	212	47,274

NOTE 8 DIVIDENDS

No dividend paid or declared during the period (31 December 2020: nil)

NOTE 9 SUBSEQUENT EVENTS

Other than the events outlined elsewhere in the half year financial statements, no matters or circumstances have arisen since the end of the reporting period that have significantly affected, or may significantly affect, the operations, results of operations or state of affairs on the Group in subsequent reporting periods.

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

DIRECTOR’S DECLARATION

In accordance with a resolution of the directors of Experience Co Limited pursuant to section 303(5)(a) of the Corporations Act 2001, the directors of the Company declare that:

1. The financial statements and notes, as set out on pages 3 to 15:

2. (a) comply with the Corporation’s Act 2001, AASB 134 Interim Financial Reporting, The Corporations Regulations 2001 and other mandatory professional reporting requirements.

3. (b) give a true and fair view of the consolidated entity’s financial position as at 31 December 2021 and of its performance for the period ended on that date.

4. 2 In the directors’ opinion there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

On behalf of the directors

John O’Sullivan Chief Executive Officer

______ Kerry Robert (Bob) East Chairman

Dated: 23 February 2022

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

AUDITOR’S INDEPENDENCE DECLARATION

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

INDEPENDENT AUDITORS REVIEW REPORT

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EXPERIENCE CO LIMITED AND ITS CONTROLLED ENTITIES

INDEPENDENT AUDITORS REVIEW REPORT

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