IGNITE LIMITED — Annual Report 2009

Aug 25, 2009

==> picture [118 x 49] intentionally omitted <==

ASX Preliminary Final Report

Period ended 30 June 2009

Lodged with the ASX under Listing Rule 4.3A 25 August 2009

Highlights

• NPAT before one-off non-recurring costs and impairment of $3.2m in line with guidance

• Revenue down 9% to $293m

• Operating Cash Flow positive $8.3m

• Impairment write down $10.1m as disclosed at the December half year

• One off non-recurring costs net of tax $1.4m

• Reported NPAT a loss of $8.3m

• No Final Dividend

• Gearing ratio 13.1%

Content

Commentary on results for year ended 30 June 2009 compared to year ended 30 June 2008

Results for announcement to the market

Audited financial report (attachment)

CLARIUS GROUP LIMITED ABN 43 002 724 334 2009 FULL YEAR RESULTS 1

Financial performance

Operating profit after tax (before specific one off items and other significant items such as impairment) was $3.2 million which is in line with market guidance. The reduction in the operating profit is a result of the impact of the Global Financial Crisis.

The statutory net loss after tax is $8.322 million compared to last year’s profit of $11.333 million. The statutory loss includes the impairment write down announced at the half year and other one-off non-recurring costs associated with restructuring and redundancies.

The cash flow for the second half was positive at $13.6 million resulting in a full year positive operating cash flow of $8.3 million. The gearing ratio at balance date was 13.1%.

Management comments on result

Focus on cost control has seen significant reduction in the cost base of the business which was necessary to maintain the profitability. Although the gross margin of the business was down by $20 million, the profit after tax was only down by $8.1 million. The Board took the necessary action to protect the business and remain profitable in a climate of reduced demand for our services.

Staff numbers are down from 450 to 350 in line with the reduced demand for services. As a result the company has maintained the productivity of the sales force throughout the year.

Office premises have been consolidated which has resulted in savings and efficiencies.

As mentioned at the half year there has been a strong emphasis on cash management which has seen a reduction in borrowings and has funded the payments that were made during the year for prior acquisitions.

At the date of this report, all earn out arrangements have been finalised with the exception of the operating companies based in South East Asia which are still in earnout.

Changes in Management

In November 2008 Diana Eilert ceased employment as Managing Director and was replaced by Geoffrey Moles the company’s founder, former managing director and then Chairman.

Geoffrey Moles, Managing Director expects growth

“Clarius remains a very strong business with a proven business model that has operated during both ebb and flow markets over 25 years since 1984. With its experienced management team and stable workforce, Clarius is in a very sound position to take advantage of opportunities that lie ahead. It has benchmark productivity, modest debt and an operating model that generates profit growth ahead of revenue growth; we are confident of our ability to grow in the years to come,” says Geoffrey Moles.

Dividend

In the current circumstances the Board have resolved to not pay a final dividend.

CLARIUS GROUP LIMITED ABN 43 002 724 334 2009 FULL YEAR RESULTS 2

Dividend Reinvestment Plan (DRP)

The DRP shall not apply as there will be no final dividend.

Annual General Meeting

The AGM will be held at 3pm on Tuesday 17 November 2009.

About Clarius Group Limited

Clarius Group (ASX: CND) is a specialist in the employment services market providing recruitment, contractor and staff services in the information and communications technology, banking, finance, commercial accounting, library, records and senior management markets to governments and corporations across the Asia Pacific region.

Established over twenty five years ago and listed on the Australian Stock Exchange in 1997, Clarius Group has a reputation for high-quality delivery and remains one of the largest, longest standing and best performing recruitment suppliers in the region.

Clarius Group operates through a number of quality specialist brands:

Specialist Recruitment

• Alliance Corporate and Financial Services

• Candle ICT Information and Communications Technology

• Lloyd Morgan Asia

• The One Umbrella Library and Records Management

• SouthTech Engineering and Technical

• Lloyd Morgan Accounting

Aligned Services

• JAV IT Managed IT Services and Professional IT

Clarius Group employs over 350 staff through a network of offices located in Sydney, Melbourne, Brisbane, Perth, Adelaide and Canberra in Australia; Auckland and Wellington in New Zealand; Hong Kong, Beijing and Shanghai in China; Kuala Lumpur in Malaysia; and Singapore.

Our objective is to be the leading recruitment supplier of skilled professionals and support staff to business and government in the region.

For further information

Geoffrey Moles – Managing Director - Tel: 02 9250 8100

For a copy of the Full Year Report, visit our website www.clarius.com.au

CLARIUS GROUP LIMITED ABN 43 002 724 334 2009 FULL YEAR RESULTS 3

Results for announcement to the market

This announcement is to be read in conjunction with the attached audited financial report

Year ended 30 June 2009

Previous corresponding period is year ended 30 June 2008

					$’000
Revenuefrom ordinary activities	Down	9%		To	293,438
Profit / (loss)from ordinary activities after tax attributable to members	Down	173%		To	(8,322)
Net profit / (loss)for the period attributable to members	Down	173%		To	(8,322)
Earningsper security					Cents
Basic EPS (cents per share)	Down	168%		To	(14.0)
Diluted EPS (cents per share)	Down	163%		To	(12.1)
Operating cash flow	Up	2627%		to	8,365
Net tangible assets per security	Up	8%		to	29.9 cents
Dividends	Amount per security			Franked amount per security
Final dividend	Nil			100%
Interim dividend	Nil			100%
Record datefor determining entitlement to final dividend				N/A
Ex-dividend date				N/A
Payment dateof final dividend				N/A

CLARIUS GROUP LIMITED ABN 43 002 724 334 2009 FULL YEAR RESULTS 4