NANOSONICS LIMITED — AGM Information 2007

Nov 25, 2007

Annual General Meeting

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Important Notice
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This presentation has been prepared in good faith and with due care. However, none of Nanosonics Ltd or its directors, employees or advisers warrant or represent the accuracy or completeness of the information contained in this presentation. To the extent that the presentation contains any forecasts, projections or other forward looking statements, we note that there can be no guarantee that actual results, performance or achievements will be as stated. The reliance that the recipient of this presentation places on any statement, forecast, protection or assumption is a matter for its own commercial judgment.

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Nanosonics’ summary

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Market opportunity drivers

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Modes of disinfection
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• Medical instrument disinfection customers have only a few options

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Nanosonics initial focus is in the heat sensitive device market currently

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Ultrasound device advantages

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Launch product

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Instrument / device relationship
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• Siemens

• GE

• Toshiba

• Philips

• Hitachi

• Etc

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Market size and growth opportunity
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Nanosonics Launch Products

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• Total global market opportunity for HLD instruments is est. to be over US $3.0b

* Estimates of market sizes include device and consumable sales allowing for the estimated useful life of the Disinfection devices

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Annual General Meeting

Launch product

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Nanosonics workflow advantage

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Launch product
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• Dr Schumacher stand at 2007 MEDICA in Dusseldorf

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Launch product
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• ASUM and IMED conference in Australia

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Commercialisation strategy
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1. Focus

• Carefully staged rollout of 3 products

• HLD devices with a medical application initially

2. Manufacturing

• low volume internally to establish quality & cost standards

• then high volume could be outsourced

3. Distribution

• outsourced to established distributors in target markets

4. Regulatory approvals

• simple classification for Class II medical devices

• 3-6 month approval process, Europe creates template for others

5. Business model

• attractive device and consumables margins

• annuity revenue stream from consumables and accessories

• patent protected competitive advantage

• collaborative alliances with major global technology corporations

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Ultrasound global launch plan
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Europe
North America
Australasia
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Ultrasound EU launch plan

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Carefully staged
rollout to other EU
members
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Business model and strategy

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Margin model
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30 – 45%
35 – 42%
Drives cash
Drives cash
50 – 55% flow and flow and 55 – 70%
P&L
P&L
Our cost
Our cost COGS
Distrib Gross Margin
Distrib Gross Margin
Price Nano Gross Margin Nano Gross Margin Price
Recommended Retail Nano Revenue Recommended Retail
Nano Revenue
Nano COGS
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Core ultrasound device margin model

Core ultrasound consumable margin model

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Collaborative developments

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First product
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Ultrasound Probe Disinfector

• Estimate 470M+ ultrasound scans worldwide in 2008

• CAGR of 5%

• Initial launch in Europe, market size of 125,000 units

• Global market size 450,000 plus units

• Positive reactions from customers, instrument manufacturers, medical associations and professionals

• Device and consumables margins attractive

• First sales expected FY08

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Expected regulatory program

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Manufacturing facility
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• Sydney facility for early production; delivers quality assurance

• With quality and initial sales established, high volume manufacturing can be outsourced

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Manufacturing Program
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Completed on time/budget
Commission
Upgraded ISO compliance, EU & Canada
Sydney Facility
Suppliers engaged & audited
Sales Zone
Manufacture CE CE devices in progress
Mark Devices for
Bottle manufacturing begun
Testing
Tooling contract let
Tooling and
Component Scale up Tool designs near complete
Commence Commence Pilot Run
Pre- production Start EU Bottle fill
Ramp Up
Commence Full Full Scale Production
Scale Volume to Commence
meet EU Demand optimisation Project
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Product development pipeline
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Device / Market Research Prototyping Testing Registration Market Ultrasound probe disinfector European launch Aust & NZ launch US & Canada launch Japanese launch Rest of the world launch Endoscope disinfector TEE probe disinfector Sensor technology

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People
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FY 2007 Milestones …..
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Jul 2006 � Lodged 3 new NanoNebulent patents, further enhancing IP position Achievement of EN ISO 13485:2003 certification for Nanosonics Nov 2006 �

Nov 2006 � Launched concept ultrasound device at MEDICA with Siemens and Philips

Dec 2006 � Successful commissioning of new Endoscope reprocessor prototype Commissioned new manufacturing facility in Sydney, on time & on budget Apr 2007 � Completed successful listing on the ASX raising $27million May 2007 � Appoint CFO and Company Secretary May 2007 �

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Milestones achieved since year end
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Advanced collaborative partner program with international healthcare groups Jul 2007 � Achieved $750k extension to Comm. Ready grant program Aug 2007 � Identified distributor network for Europe, expect appointments during Qtr 3 Sep 2007 � Significant progress on OEM materials testing with all probes passing to date Oct 2007 � EN ISO 13485:2003 certification upgrade for in-house Nanosonics manufacture Oct 2007 � Device manufacturing tooling contracts let to tool makers and component moulders Oct 2007 � Commenced manufacturing of CE Mark devices and consumable bottle filling Nov 2007 � Filed CE Mark regulatory dossier with the Notified Body, TUV Rheinland Nov 2007 �

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Business metrics
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(FTE)

@	31st	October 2007	194,535,923
@	31st	October 2007	$31,000,000 $28,662,897
			Nil
@	23rd	November 2007	$0.66
@	23rd	November 2007	$128 million
@	23rd	November 2007	46
@	23rd	November 2007	6

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Shareholders …..
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Analysis of Shareholders 31[st] October 2007 (full diluted)

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Summary ……
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Prospectus milestones continue to be met

Continuing strong validation of commercial opportunity

Regulatory program on track for key global markets

Collaborations and alliances continue to deliver opportunities

Nanosonics is attracting significant enquiries from international groups Successfully executing alignment of processes, products and markets

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