JCURVE SOLUTIONS LTD — Interim / Quarterly Report 2022

Jan 30, 2022

ABN 63 088 257 729

9 Help St, Chatswood NSW 2067, Level 8, Australia https://www.jcurvesolutions.com/

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31 January 2022

Business Update –

Significant Growth Across Key Measures

Summary

• ü Record $7.6m of sales for 1HY2022, a 48% increase on 1HY2021, with statutory revenue of $6.3m recognised, a 29% increase on 1HY2021

• ü $1m operating EBITDA in 1HY2022 reflecting the growing strength of the business

• ü Record unearned income of $4.2m to ensure that the $0.1m statutory NPBT recorded in 1HY2022 will grow strongly in 2HY2022 as open projects are delivered

• ü Cash balance of $4.5m as of 31 December 2021 with cash outflows of $0.6m during 1HY2022

JCURVE SOLUTIONS LIMITED (ASX: JCS) (Jcurve), the business transformation technology company, today reported its preliminary unaudited financial result for the half-year (1HY2022) ending 31 December 2021.

Our 1HY2022 preliminary unaudited results with a comparison between key reporting measures and the comparative 1HY2021 period is outlined in the following table:

Measure	1HY2022 Preliminary	1HY2021 Actual	Percentage
	Unaudited Result	Result	increase/(decrease)
Sales Income (*)	$7.6m	$5.1m	48%
Revenue (**)	$6.3m	$4.9m	28%
Unearned Income (**)	$4.2m	$2.5m	68%
Operating EBITDA (***)	$1.0m	$0.0m	Not applicable (****)
NPBT (**)	$0.1m	($0.1m)	Not applicable (****)
Cash Balance	$4.5m	$4.5m	1%

(*) Not revenue as per the accounting standards and not reported in the statutory financial results

(**) Reported in the statutory financial results

(***) Operating Earnings Before Interest, Taxation, Depreciation and Amortisation (EBITDA) is not reported in the statutory financial results but is closely monitored by the Jcurve Group. Reflects the financial results before adjusting for the movement in unearned income during the financial period.

ABN 63 088 257 729 9 Help St, Chatswood NSW 2067, Level 8, Australia https://www.jcurvesolutions.com/

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(****) Movement from loss to profit or break even comparative result so a percentage change has not been shown.

As previously reported to the market on 17 January 2022, Jcurve achieved a record 1HY2022 sales result of $7.6m, which was a 48 per cent increase on the $5.1m of sales achieved in 1HY2021. A further breakdown of sales by our four sub-brands for 1HY2022 is outlined below:

• Optyc generated $5.8m of sales through our Oracle NetSuite ERP practice and $0.9m from the sale of our TEMS solutions;

• Quicta generated $0.2m of subscription and service sales;

• Dygiq generated $0.5m of sales from digital marketing services;

• Vyzeri generated $0.2m of sales from growth consultancy services.

Pleasingly key internal financial measures of success (sales, revenue, operating EBITDA and statutory net profit before tax (NPBT)) all increased significantly against the results achieved in the comparative 1HY2021 period. The company remains debt free and continues to hold strong cash reserves, with a cash balance of $4.5m as of 31 December 2021. The cash outflow for 1HY2022 and increased level of unearned income ($4.m as of 31 December 2021) reflects the seasonality of the Jcurve business and the increased timeline to complete projects as the mix of larger projects sold continues to grow. The record level of unearned income at $4.2m is expected to strongly flow into statutory profit in 2HY2022 as open projects are delivered.

Stephen Canning, CEO of Jcurve, commented, ”Jcurve business growth is accelerating at pace. After a strong 1HY2022 and with a large pipeline of open projects to complete in 2HY2022, the Jcurve group is set up for a record full-year financial result. Of significance for shareholders, complementary technology business merger and acquisition opportunities remain at the forefront of our strategic planning. The impacts of lockdowns from COVID-19 delayed on-site meetings in this respect; however, we remain committed to accelerating business growth both organically and through further acquisitions”.

The half-year audited results will be released in late February.

This announcement has been authorised for release by the Board of JCurve Solutions Limited.

ABN 63 088 257 729 9 Help St, Chatswood NSW 2067, Level 8, Australia https://www.jcurvesolutions.com/

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About Jcurve

Jcurve works collaboratively with ambitious organisations to drive growth through the effective use of technology. Serving as a trusted guide in an on-demand world, Jcurve helps build growing and resilient organisations to withstand market disruption.

From business management solutions and consulting services to field service management and digital marketing services – Jcurve is uniquely positioned to help organisations on their business transformation journey.

For more information, please visit www.jcurvesolutions.com.