MOTIO LTD — Annual Report 2016

Aug 29, 2016

30 August 2016

Market Announcements Platform ASX Limited Exchange Centre 20 Bridge Street Sydney NSW 2000

XTD delivers 185% increase on revenue in FY2016

Cross-track digital advertising system owner and operator XTD Limited (ASX: XTD) ( XTD or the Company ) is pleased to lodge its FY2016 Appendix 4E and Preliminary Final Report.

Financial Highlights:

• Operating revenue of $3,452,991 for the year, an increase of 185% on FY2015 operating revenue ($1,211,723).

• Increased revenue achieved through stronger relationship with APN Outdoor Ltd and more attractive Eastern Seaboard offering launched in June 2015.

• Accelerated development, seeding and launch of subsidiary Contact Light Pty Ltd to focus on designing and marketing mobile platforms for transport environments.

• Completion of a $1.5m capital raising in Contact Light, diluting XTD’s interest to 52%.

• Basic loss per share was 1.9 cents per share, compared to 10.4 cents per share in FY2015.

• Net Asset Position at 30 June 2016 is $5,115,583, an increase of 5% on FY2015.

• Cash and cash equivalents at 30 June 2016 is $2,208,980, an increase of 131% on FY2015.

Operational Highlights:

• Renewed partnership with leading outdoor media provider APN Outdoor Group Limited, ensuring APN will continue to provide XTD with advertising content for its systems in Brisbane and Melbourne.

• Contact Light launched two smartphone apps during the year:

• EDEO, a collaboration with Curtin University in Western Australia; and

• EMBARK, an app that allows commuters to plan journeys using all forms of public transport as well as access editorial content from news sources.

• Pursuing further expansion in international markets.

XTD chief executive officer Steve Wildisen said it had been a strong year of consolidation for the Company after establishing its networks in Brisbane and Melbourne during FY2015 as it worked more closely with partner APN Outdoor.

“ We were able to more than double our operating revenue in 2016 as compared to 2015, which was the result of being able to offer a more attractive Eastern Seaboard package through our partnership with APN, which operates a cross track system in the Sydney metro rail network in tandem with our own systems in Brisbane and Melbourne.

“ We progressed the development of the mobile focused Contact Light Pty Ltd, a new technology that provides a platform for the exchange of content and data between our network of screens and people’s mobile devices. Contact Light performed strongly since its launch, completing two new smartphone applications that have been well received and great advertisements of what we are able to achieve.”

Mr Wildisen said the digital market offered attractive growth for out-of-home (“OOH”) advertising, with market leaders including APN which cited it as a main contributor to growth in FY16 and is accelerating roll-out of further digital operations in the coming year.

XTD has also pursued further opportunities, primarily in the international market, throughout the year.

XTD offers the world’s first cross-track video system designed for rail. It uses billboard-size LED television screens coupled to high definition sound to broadcast advertising and information to metro train commuters. The company owns and operates the cross-track digital video and sound systems in the Melbourne and Brisbane metro rail networks, and has been in extensive discussions with overseas transit operators interested in the potential commercial benefits of the XTD systems.

For more information, contact:

Steve Wildisen

Chief Executive 0413 204 400 steve.wildisen@xtd.tv

Nathan Ryan

Investor relations and media +61 420 580 887

nathan.ryan@nwrcommunications.com.au

XTD LTD NOTES TO THE PRELIMINARY FINAL REPORT FOR THE YEAR ENDED 30 JUNE 2016

XTD Ltd

ABN 43 147 799 951

Appendix 4E

Preliminary Final Report

Results for announcement to the market

for the year ended 30 June 2016

				30 June 2016
				$A
Revenue	Up	185%	to	3,452,991
Loss after tax attributable to members	Down	72%	to	(2,515,909)
Loss for the period attributable to members	Down	72%	to	(2,515,909)
	30	June 2016		30 June 2015
		Cents		Cents
Net Tangible Assets per security		3.52		3.33

Dividend

The Directors recommend that no dividend be paid. No dividends have been paid or declared during the year.

Status of Audit

The report is based on financial accounts which have been audited.

Comments by directors

XTD delivers positive results in short time frame

Cross-track digital advertising system owner and operator XTD Limited (ASX: XTD) (XTD or the Company) is pleased to lodge its FY2016 Financials.

Financial highlights include:

XTD delivers 185% increase on revenue in FY2016

Cross-track digital advertising system owner and operator XTD Limited (ASX: XTD) (XTD or the Company) is pleased to lodge its FY2016 Financials.

XTD LTD NOTES TO THE PRELIMINARY FINAL REPORT FOR THE YEAR ENDED 30 JUNE 2016

Financial highlights include:

• Operating revenue of $3,452,991 for the year, an increase of 185% on FY2015 operating revenue ($1,211,723)

• Increased revenue achieved through stronger relationship with APN Outdoor Ltd and more attractive Eastern Seaboard offering launched in June 2015.

• Accelerated development, seeding and launch of subsidiary Contact Light Pty Ltd to focus on designing and marketing mobile platforms for transport environments.

• Completion of a $1.5m capital raising in Contact Light, diluting XTD’s interest to 52%

• Operating loss attributable to owners of XTD Ltd of $2,515,909 for the year included the following:

• $1,162,649 depreciation on screens and equipment.

• $1,595,346 directors and employee benefits expense for the component of performance shares amortised during the financial year.

• Basic loss per share was 1.9 cents per share, compared to 10.4 cents per share in FY2015.

• Net Asset Position at 30 June 2016 is $5,115,583, an increase of 5% on FY2015.

• Cash and cash equivalents at 30 June 2016 is $2,208,980, an increase of 131% on FY2015.

Operational highlights:

• Renewed partnership with leading outdoor media provider APN Outdoor Group Limited, ensuring APN will continue to provide XTD with advertising content for its systems in Brisbane and Melbourne.

• Mike Boyd appointed as CEO of Contact Light.

• Contact Light launched two smartphone apps during the year:

• EDEO, a collaboration with Curtin University in Western Australia; and

• EMBARK, an app that allows commuters to plan journeys using all forms of public transport as well as access editorial content from news sources.

• XTD is actively pursuing international expansion plans.

XTD Chief Executive Officer Steve Wildisen said it had been a strong year of consolidation for the Company after establishing its networks in Brisbane and Melbourne during FY2015 as it worked more closely with partner APN Outdoor.

“ We were able to more than double our operating revenue in 2016 as compared to 2015, which was the result of being able to offer a more attractive Eastern Seaboard package through our partnership with APN, which operates a cross track system in the Sydney metro rail network in tandem with our own systems in Brisbane and Melbourne.

“We invested a lot of time in 2016 establishing the second phase of our operation – Contact Light Pty Ltd, a new technology that provides a platform for the exchange of content and data between our network of screens and people’s mobile devices. Contact Light performed strongly since its launch, completing two new smartphone applications that have been well received and great advertisements of what we are able to achieve.”

This preliminary final report does not include all the notes of the type normally included in an annual financial report. Accordingly, this should be read in conjunction with the annual report for the year ended 30 June 2016 and any public announcements made by XTD Ltd during the reporting period in accordance with the continuous disclosure requirements of the ASX Listing Rules and Corporations Act 2001 (Cth).

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Stuart Richardson

Director

XTD LTD NOTES TO THE PRELIMINARY FINAL REPORT FOR THE YEAR ENDED 30 JUNE 2016

Summary Information:

Reporting Period: 30 June 2016

Previous Corresponding Period: 30 June 2015

Results for announcement to the market

Resultsforannouncement to themarket	Resultsforannouncement to themarket	Resultsforannouncement to themarket
Revenues from ordinary activities Loss from ordinary activities after tax attributable to members Net Loss for the period attributable to members	$’000 Up 185% to 3,452 Down 72% to (2,516) Down 72% to (2,516)
Dividends (distributions)	Amount per security	Franked amount per security
Final dividend	Nil	Nil
Interim dividend	Nil	Nil
Previous corresponding period	Nil	Nil
Record date for determining entitlements to the dividend.	No dividends are proposed

NTA backing	Current period	Previous corresponding Period
Net tangible asset backing perordinary security	3.52cents	3.33 cents

Control gained over entities having material effect

Name of entity (or group of entities)	n/a
Date from which such profit has been calculated	n/a
Contribution to the reporting entity’s result	n/a