HUBIFY LIMITED — Interim / Quarterly Report 2017

Jul 27, 2017

28 July 2017

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United Networks Limited - Quarterly 4C Review (Q4 2017)

United Networks Limited (“United Networks”) (ASX: UNL), has today released its Quarterly Appendix 4C Filing for Q4 FY2017.

SUMMARY

• Operating Income of $1.123m for the June 2017 quarter was up 46% on the March 2017 quarter.

  • Cash receipts from customers of A$0.769m for the quarter are down 46% as result of cash received in Q3 due to the change in model with key partners.

  • As at 30 June 2017 United had operating unearned revenue of $0.332m. This is made up of committed orders and prepaid credit from customers not recognised until used or credit expired which is typically 6 months from receipt of cash.

• Net operating cash outflows of $0.475m, increased by $0.192m or 65% from the previous period.

  • Payment of $0.082 related to GST from previous periods which was accounted for in December 2016. The GST payment relates to business restructuring for the IPO, change in key partner business model outlined in the previous market update that ensured the operating entities are all Australian Tax Residents.

• Staff Costs increased to $0.411m by 29% on the previous quarter in line with Prospectus . United Networks’ strategy is to strengthen management team and grow the global business development team.

• Administration, including corporate costs for the quarter was $0.235m, down by $0.710m on Q3 as result of Q3 due to the IPO related costs.

• Investment in other non current assets for the over the 12 months was $0.961. This relates to investments in the GAP platform and new product development. Quarterly fluctuations can be expected due to timing of payments and milestones being met in developments.

  • United continues to invest in FY18 in the GAP platform and new products for new clients and countries.

• Debt repayments for the quarter were $0.267m.

FOR FURTHER INFORMATION

Mr Nicholas Ghattas, Chief Executive Officer, United Networks Limited, nghattas@unitednetworks.net.au

Mr Anthony Ghattas, Chairman, United Networks Limited, aghattas@unitednetworks.net.au