INTEGRATED RESEARCH LIMITED — AGM Information 2007

Nov 12, 2007

Integrated Research Limited > ABN 76 003 588 449

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t +61 (2) 9966 1066 f +61 (2) 9966 1042 e info@prognosis.com Level 9, 100 Pacific Highway, North Sydney NSW 2060 Australia

Chairman’s Address to AGM 13[th] November 2007

Ladies and gentlemen I would like to welcome you to the 7[th] Annual General Meeting of Integrated Research and I am pleased to present my summary of the year to 30[th] June 2007 and to comment on the current reporting period.

Last year was disappointing, with a decrease of 23% in PAT to $5.4M compared to $7M in the prior financial year, while PBT decreased by 5%. The difference between the decreases in PAT and PBT was primarily due to one-off tax adjustments. The decrease in PBT was mainly due to the poor performance of our UK subsidiary, the slippage of some deals to FY08 and an appreciating AUD. However, the company increased its revenue by 6% to $36.4M. These results would have been stronger except for the 5% appreciation of the Australian dollar against the US dollar. This is the currency in which most of our revenue is derived.

What is pleasing to note is the strong performance of the US and Asian operations, which respectively grew 8% and 18% in new license revenue. What was particularly impressive was the Asian result which was helped by a couple of large HP NonStop sales.

The Board was pleased to announce a final dividend of two cents per share, bringing the full year dividend to three cents. The strong cash position, couples with the confidence in future earnings, were key considerations in increasing the payout ratio.

The company continued to invest for growth with expenses increasing by 9%. The investment in R&D increased with the addition of 11 people and sales and marketing expenses have increased by 15%.

After a relatively flat year in 2006 our IPT business achieved strong growth of 80% and achieved 90% in USD. The strong growth is significant and demonstrates the strength in the overall market as well as the relevance of Integrated Research’s products. Although the IPT market has been slower to take off than the IT analyst communities expectations the market is now gaining momentum and compound growth of 40% per annum is expected. Integrated Research has no reason to doubt that over time IP Telephony will substantially replace legacy telephony platforms.

Today Integrated Research is perceived as the leading third party provider of systems management products in the global market of financial transactions and IP telephony environments.

To ensure that Integrated Research maintains its market dominance the company has kept a robust pace of investment in the product range. In the last financial year the company released its Management Reporting product as well as support for the Avaya platform. Both products have been well accepted and contributed to the company’s revenue in the reporting period. The company will add additional platforms this year as well as expanding its products and product functionality.

www.prognosis.com

Precise performance monitoring for business-critical systems

Integrated Research Limited > ABN 76 003 588 449 t +61 (2) 9966 1066 f +61 (2) 9966 1042 e info@prognosis.com Level 9, 100 Pacific Highway, North Sydney NSW 2060 Australia

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Our traditional market, the HP NonStop platform was down slightly as measured in AUD. However, in USD currency, license fees and recurring revenue increased by 4%, the retention rate for maintenance renewals was approximately 95%. This bodes well for the future as the retention rate is a reflection of customer satisfaction with both the HP platform and Prognosis.

I would also like to note that the company continued to build upon the excellent key partner relationships through the year by adding EMC and Stratus.

Looking ahead to the current year and beyond I have no reason to doubt that Integrated Research will continue to grow. The company’s strategy is sound; we are continuing to invest in the future and aggressively tackling the changes that the company needs to make to realize its potential.

The company has no plans for major acquisitions and continues to focus on organic growth, however some small acquisitions of complimentary products maybe considered if appropriate.

The company’s VoIP products continue to gain increased market recognition with CICSO and AVAYA being the leading suppliers in our market segment. Additionally, industry analysts are expecting the segment to growth strongly for the next five years and the addition of new platforms and products will increase the company’s competitiveness.

The company plans to continue its strong investment in R&D while also increasing its sales and marketing activities. Obviously special emphasis will be placed on expanding our capabilities in VoIP and identifying future products and services relevant to advances in IT.

The company recently announced that Mark Brayan has joined the company as CEO in September 2007, replacing Keith Andrews. I would like to thank Keith for the contribution that he had made to the business, and extend a warm welcome to Mark. It is an exciting time for Integrated Research, and the Board and I will work with Mark and the team to ensure our continued growth.

I am pleased to announce that for the first four months of this financial year the company is ahead in revenue for all product lines and profit is also higher than at the same time last year.

For the full financial year of 2008 we expect revenue to be maintained in our HP NonStop market, combined with strong revenue growth in VoIP and moderate growth in the WINDOWS and UNIX markets. This will be somewhat offset by increased sales and marketing expenses that will create future growth. Overall we would expect the company to increase profit after tax for this financial year. The company has hedged its USD exposure at 87c for FY08.

Steve Killelea Chairman

www.prognosis.com

Precise performance monitoring for business-critical systems