POINTERRA LIMITED — Interim / Quarterly Report 2017

Feb 27, 2017

Appendix 4D

INTERIM FINANCIAL REPORT

FOR THE HALF YEAR ENDED 31 DECEMBER 2016

POINTERRA LIMITED ABN 078 388 155

1. Company details

POINTERRA LIMITED

ABN or equivalent company reference 39 078 388 155	Financial period ended (‘current period’) 31 December 2016	Financial period ended (‘previous period’)
39 078 388 155	31 December 2016	31 December 2015

2. Results for announcement to the market

2.1.	Revenue Up 100%	18,663
2.2.	Profit (loss) after tax Up 9390% to	(804,886)
2.3.	Net profit (loss) for the period attributable to members Up 9390% to	(804,886)
2.4.	Dividends
	It is not proposed to pay dividends.
2.5.	Record date for determining entitlements to the final dividend.	N/A
2.6.	Brief explanation of any of the figures in 2.1 to 2.4 above necessary to enable the figures to be
	understood.
Software Development
During	the half Pointerra’s technical team continued to enhance the deployment of the Company’s innovative 3D Data as a Service
(“DaaS”) solution in the Amazon Web Services (“AWS”) environment. These initiatives included:
	the development of a Pointerra Data Portal in AWS for easy viewing of multiple 3D datasets;
	the development of a capability for intuitive, easy to use 3rdparty upload of 3D datasets;
	the development of simple and scalable integration between Pointerra’s technology and 3rdparty partner GIS solutions
	such as Esri’s ArcMap and Blue Marble’s Global Mapper;
	the addition of point cloud viewer tools to enable users to perform a number of analytics functions within the point cloud
	environment; and
	the more efficient use of AWS cloud computing resources to support Pointerra’s ability to scale rapidly to hosting
	multiple, massive 3D datasets at lower cost.
Sales and Distribution
During	the half Pointerra signed a number of trial licence and confidentiality agreements with a range of counterparties, ranging
from small end-users, to resellers in the geospatial technology and services sector, through to global geospatial, technology,
engineering and aerospace giants.

POINTERRA LIMITED ABN 39 078 388 155

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Appendix 4D

HALF YEAR REPORT FOR THE PERIOD ENDED 31 DECEMBER 2016

These relationships have provided valuable user acceptance testing and feedback to the development team and has allowed the Company to enhance the ease of use and functionality of its cloud-based 3D DaaS solution.

Moving forward, the Company expects to convert these relationships into revenue generating partnership and reseller agreements as well as monthly recurring income through customer end-user license agreements.

3. NTA Backing

3. NTA Backing
	Current Period	Previous Corresponding Period
Net tangible asset backing per ordinary security	1.05 cents	1.31 cents

4. Control gained over entities

4. Control gained over entities
Name of entity (or group of entities)	N/A
Date control gained	N/A

5. Dividend Reinvestment Plans

The company does not have a dividend reinvestment plan.

6. Details of associates and joint venture entities

There are no associates or joint venture entities.

7. Statement of compliance in regards to audit

If the accounts are subject to audit dispute or qualification, details are described below

This report has been based on financial statements subject to a review. There are no items of dispute with the auditor and the review is not subject to a qualification.

Sign here:

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Date: 27 February 2017

Print name: Neville Bassett

POINTERRA LIMITED ABN 078 388 155

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POINTERRA LIMITED ABN 39 078 388 155

Interim Report 31 December 2016

Pointerra Limited

A.C.N. 078 388 155

Interim Report December 2016

Table of Contents

Corporate Information ........................................................................................................................ 1 Directors’ Report ................................................................................................................................ 2 Auditor’s Independence Declaration .................................................................................................. 3 Condensed Statement of Profit or Loss and other Comprehensive Income ...................................... 4 Condensed Statement of Financial Position ...................................................................................... 5 Condensed Statement of Changes in Equity ..................................................................................... 6 Condensed Statement of Cash Flows ............................................................................................... 7 Notes to the Condensed Financial Statements .................................................................................. 8 Directors' Declaration....................................................................................................................... 11

Corporate Information

Pointerra Limited ABN 39 078 388 155

Directors

Dr Robert Newman, Non-Executive Chairman Ian Olson, Managing Director Graham Griffiths, Non-Executive Director Neville Bassett, Non-Executive Director

Company Secretary Neville Bassett

Registered Office

Level 4, 216 St Georges Terrace Perth, WA 6000

Telephone: +61 8 6268 2622 Facsimile: +61 8 6268 2699

Principal Office Level 2, 27 Railway Road Subiaco, WA 6008

Internet

Website: www.pointerra.com Email: info@pointerra.com

Auditor

Bentleys Audit & Corporate (WA) Pty Ltd Level 3, 216 St Georges Terrace Perth, WA 6000

Share Registry Advanced Share Registry Services Ltd 110 Stirling Highway Nedlands, WA 6009

Email: admin@advancedshare.com.au Telephone: +61 8 9389 8033 Facsimile: +61 8 9262 3723

Solicitors Steinepreis Paganin Level 4, The Read Buildings 16 Milligan Street Perth, WA 6000 Telephone: +61 8 9321 4000 Facsimile: +61 8 9262 3723

Stock Exchange Listing

Pointerra Limited shares are listed on the Australian Securities Exchange (ASX Code: 3DP)

Pointerra Limited ABN 39 078 388 155

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Directors’ Report

Your directors submit the financial report of the Company for the half-year ended 31 December 2016.

The names of the directors in office at any time during or since the end of the half year are:

NAME OF PERSON

POSITION

Dr Robert Newman Non-Executive Chairman Mr Ian Olson Managing Director Mr Neville Bassett Non-Executive Director Mr Graham Griffiths Non-Executive Director Mr Neville Bassett Company Secretary

Results

The operating loss after income tax for the half year amounted to $804,886 (31 December 2015: $8,481).

Review of Operations

Software Development

During the half Pointerra’s technical team continued to enhance the deployment of the Company’s innovative 3D Data as a Service (“DaaS”) solution in the Amazon Web Services (“AWS”) environment. These initiatives included:

• the development of a Pointerra Data Portal in AWS for easy viewing of multiple 3D datasets;

• the development of a capability for intuitive, easy to use 3[rd] party upload of 3D datasets;

• the development of simple and scalable integration between Pointerra’s technology and 3[rd] party partner GIS solutions such as Esri’s ArcMap and Blue Marble’s Global Mapper;

• the addition of point cloud viewer tools to enable users to perform a number of analytics functions within the point cloud environment; and

• the more efficient use of AWS cloud computing resources to support Pointerra’s ability to scale rapidly to hosting multiple, massive 3D datasets at lower cost.

Sales and Distribution

During the half Pointerra signed a number of trial licence and confidentiality agreements with a range of counterparties, ranging from small end-users, to resellers in the geospatial technology and services sector, through to global geospatial, technology, engineering and aerospace giants.

These relationships have provided valuable user acceptance testing and feedback to the development team and has allowed the Company to enhance the ease of use and functionality of its cloud-based 3D DaaS solution.

Moving forward, the Company expects to convert these relationships into revenue generating partnership and reseller agreements as well as monthly recurring income through customer end-user license agreements.

Auditor’s Independence Declaration

The lead auditor’s independence declaration under section 307C of the Corporations Act 2001 is set out on page 3 for the halfyear ended 31 December 2016.

This report is signed in accordance with a resolution of the Board of Directors.

On behalf of the Board of Directors.

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Neville Bassett Director

27 February 2017

Pointerra Limited ABN 39 078 388 155

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To the Board of Directors

Auditor’s Independence Declaration under Section 307C of the Corporations Act 2001

As lead audit director for the review of the financial statements of Pointerra Limited for the half year ended 31 December 2016, I declare that to the best of my knowledge and belief, there have been no contraventions of:

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• the auditor independence requirements of the Corporations Act 2001 in relation to the review; and

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• any applicable code of professional conduct in relation to the review.

Yours faithfully

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BENTLEYS
Chartered Accountants
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DOUG BELL CA
Director
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Dated at Perth this 27[th] day of February 2017

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income for the half-year ended 31 December 2016

Note Revenue Interest income Administrative expenses 3 Advertising and marketing expenses Compliance and regulatory expenses Research and development expenses 4 Other expenses Loss before income tax Income tax expense Loss after income tax for the year Other comprehensive income Total comprehensive loss for the period attributable to members of the Company Basic loss per share (cents per share)	31 December 2016 $ 31 December 2015 $ - - 18,663 - (208,198) - (9,136) (5,283) (71,538) - (471,074) - (63,603) (3,198)
	(804,886) (8,481) - -
	(804,886) (8,481) - - (804,886) (8,481)
	(0.2469) (0.0098)

The accompanying notes form part of these condensed financial accounts

Pointerra Limited ABN 39 078 388 155

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Condensed Consolidated Statement of Financial Position

as at 31 December 2016

Note CURRENT ASSETS Cash and cash equivalents 5 Trade and other receivables Other TOTAL CURRENT ASSETS NON CURRENT ASSETS Plant and equipment Intangible assets TOTAL NON-CURRENT ASSETS TOTAL ASSETS CURRENT LIABILITIES Trade and other payables 6 Provisions TOTAL CURRENT LIABILITIES TOTAL LIABILITIES NET ASSETS EQUITY Issued capital 7 Reserves Accumulated losses TOTAL EQUITY	31 December 2016 $ 30 June 2016 $ 3,725,048 5,074,609 50,351 10,254 2,359 -
	3,777,758 5,084,863
	62,144 4,873 35,232 -
	97,377 4,873
	3,875,134 5,089,736
	375,325 812,618 27,577 -
	402,902 812,618
	402,902 812,618
	3,472,232 4,277,118
	5,662,919 5,662,919 1,380,131 1,380,131 (3,570,818) (2,765,932)
	3,472,232 4,277,118

The accompanying notes form part of these condensed financial accounts

Pointerra Limited ABN 39 078 388 155

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Condensed Consolidated Statement of Changes in Equity

for the half-year ended 31 December 2016

	Issued		Option	Accumulated
	Capital		Reserves	Losses	Total
	$		$	$	$
BALANCE AT 1 JULY 2015	100		-	(8,269)	(8,169)
Loss for the year		-	-	(8,481)	(8,481)
Other comprehensive income		-	-	-	-
Total comprehensive loss for the period		-	-	(8,481)	(8,481)
BALANCE AT 31 December 2015	100		-	(16,750)	(16,650)
BALANCE AT 1 JULY 2016	5,662,919		1,380,131	(2,765,932)	4,277,118
Loss for the year	-		-	(804,886)	(804,886)
Other comprehensive income	-		-	-	-
Total comprehensive loss for the period	-		-	(804,886)	(804,886)
Transactions with owners directly in equity
Issue of Share Capital	-		-	-	-
Capital raising costs	-		-	-	-
BALANCE AT 31 December 2016	5,662,919		1,380,131	(3,570,818)	3,472,232

The accompanying notes form part of these condensed financial accounts

Pointerra Limited ABN 39 078 388 155

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Condensed Consolidated Statement of Cash Flows

for the half-year ended 31 December 2016

Note CASH FLOWS FROM OPERATING ACTIVITIES Payments to suppliers and employees Interest received Net Cash Used In Operating Activities CASH FLOWS FROM INVESTING ACTIVITIES Payments to acquire property, plant and equipment Payments to acquire intangible assets Net Cash Used In Investing Activities CASH FLOWS FROM FINANCING ACTIVITIES Repayment of borrowings Payment of share issue costs Net Cash Provided By Financing Activities Net decrease in cash held Cash and Cash Equivalents at beginning of the period Cash and Cash Equivalents at end of the period 5	31 December 2016 $ 31 December 2015 $ (725,092) - 18,663 -
	(706,429) -
	(64,607) - (37,117) -
	(101,724) -
	(43,183) - (498,225) -
	(541,408) -
	(1,349,561) - 5,074,609 100
	3,725,048 100

The accompanying notes form part of these financial accounts

Pointerra Limited ABN 39 078 388 155

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Notes to the Condensed Financial Statements

for the half-year ended 31 December 2016

NOTE 1. STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

Statement of compliance

The half-year financial report is a general purpose financial report prepared in accordance with the Corporations Act 2001 and AASB 134 Interim Financial Reporting . Compliance with AASB 134 ensures compliance with International Financial Reporting Standard IAS 34 Interim Financial Reporting . The half-year report does not include notes of the type normally included in an annual financial report and shall be read in conjunction with the most recent annual financial report.

The half-year report complies with Australian Accounting Standards – Reduced Disclosure Requirements issued by the Australian Accounting Standards Board.

Acquisition of Pointerra Technologies Pty Ltd

On 30 June 2016, Pointerra Limited (formerly Soil Sub Technologies Limited) acquired 100% of the share capital of Pointerra Technologies Pty Ltd (formerly Pointerra Pty Ltd). In accordance with reverse asset acquisition accounting principles under AASB 3 Business Combinations, Pointerra Technologies Pty Ltd is the deemed acquirer of Pointerra Limited. The comparative figures for the half-year ended 31 December 2015 are those of the accounting acquirer Pointerra Technologies Pty Ltd.

Basis of preparation

The condensed financial statements have been prepared on the basis of historical cost, except for the revaluation of certain noncurrent assets and financial instruments. Cost is based on the fair values of the consideration given in exchange for assets. All amounts are presented in Australian dollars, unless otherwise noted.

The accounting policies and methods of computation adopted in the preparation of the half-year financial report are consistent with those adopted and disclosed in the company’s 2016 annual financial report for the financial year ended 30 June 2016, except for the impact of the Standards and Interpretations described below. These accounting policies are consistent with Australian Accounting Standards and with International Financial Reporting Standards.

Amendments to Accounting Standards that are mandatorily effective for the current reporting period

The Group has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to their operations and effective for the current half-year.

New and revised Standards and amendments thereof and Interpretations effective for the current half-year that are relevant to the Group include:

• AASB 2014-4 Amendments to Australian Accounting Standards – Clarification of Acceptable Methods of Depreciation and Amortisation

• AASB 2015-1 Amendments to Australian Accounting Standards – Annual Improvements to Australian Accounting Standards 2012-2014 Cycle

• AASB 2015-2 Amendments to Australian Accounting Standards – Disclosure Initiative: Amendments to AASB 101

The adoption of the above standards has not had a material impact on this half year financial report.

Pointerra Limited ABN 39 078 388 155

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Notes to the Condensed Financial Statements

for the half-year ended 31 December 2016 (continued)

NOTE 2. EVENTS AFTER THE BALANCE SHEET DATE

No matters or circumstances have arisen subsequent to 31 December 2016, which significantly affected or may significantly affect the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years.

NOTE 3. ADMINISTRATIVE EXPENSES

Accounting and audit fees Consulting and contracting expenses Director fees Employee benefits expense OTE 4. RESEARCH AND DEVELOPMENT EXPENSES Employee benefits expense Other research and development expenses	31 December 2016 $ 31 December 2015 $ (17,316) - (97,806) - (57,900) - (35,176)
	(208,198) -
	(455,039) - (16,035) -
	(471,074) -

NOTE 4. RESEARCH AND DEVELOPMENT EXPENSES

NOTE 5. CASH AND CASH EQUIVALENTS

Cash at bank Deposits on call	31 December 2016 $ 30 June 2016 $ 675,048 5,074,609 3,050,000 -
	3,725,048 5,074,609

NOTE 6. TRADE AND OTHER PAYABLES

CURRENT Unsecured Liabilities: Trade Payables Borrowings Sundry creditors and accrued expense	171,996 751,472 2,964 46,146 200,365 15,000
	375,325 812,618

Pointerra Limited ABN 39 078 388 155

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Notes to the Condensed Financial Statements

for the half-year ended 31 December 2016 (continued)

NOTE 7. ISSUED CAPITAL

325,992,157 (June 2016: 325,992,157) fully paid ordinary shares Less: capital raising fees Net issued capital Movements: As at 1 July 2014 (Pointerra Technologies Pty Ltd) Incorporation As at 30 June 2015 Soil Sub Technologies Ltd issue capital prior to acquisition Acquisition of Pointerra Technologis Pty Ltd Elimination of Pointerra Technologies Pty Ltd shares upon reverse acquisition Capital raising Shares issued in settlement of financial liabilities acquired Share-based payments in lieu of cash corporate advisory fee Share issue costs As at 30 June 2016 Movement As at 31 December 2016	31 December 2016 $ 30 June 2016 $ 6,931,150 6,931,150 (1,268,231) (1,268,231)
	5,662,919 5,662,919
	$ No. - - 100 10,000 100 10,000 - 35,017,127 1,050,514 86,666,666 - (10,000) 4,999,031 166,634,364 506,505 25,174,000 375,000 12,500,000 (1,268,231) -
	5,662,919 325,992,157
	- -
	5,662,919 325,992,157

Ordinary shares participate in dividends and the proceeds on winding up of the parent entity in proportion to the number of shares held.

At the shareholders’ meetings, each ordinary share is entitled to one vote when a poll is called, otherwise each shareholder has one vote on a show of hands.

The Company has 165,000,000 performance shares as issued as part consideration for the acquisition of Pointerra Technologies Pty Ltd.

NOTE 8. CONTINGENT LIABILITIES AND ASSETS

There are no contingent assets or liabilities.

NOTE 9. OPERATING SEGMENTS

The Group has only one reportable segment, being the development and commercialisation of its unique 3D geospatial data technology.

NOTE 10. FINANCIAL INSTRUMENTS

The carrying amount of financial assets and liabilities are equal to their fair value based on their short-term nature. No financial assets or liabilities are required to be measured at their fair value on a recurring basis.

Pointerra Limited ABN 39 078 388 155

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Directors' Declaration

The directors declare that:

• (a) in the directors’ opinion, there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable; and

• (b) in the directors’ opinion, the attached financial statements and notes thereto are in accordance with the Corporations Act 2001 , including compliance with accounting standards and giving a true and fair view of the financial position and performance of the consolidated entity.

This declaration is made in accordance with a resolution of the Directors of Pointerra Limited, made pursuant to s.303(5) of the Corporations Act 2001 .

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Neville Bassett Director

27 February 2017

Pointerra Limited ABN 39 078 388 155

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Independent Auditor’s Review Report

To the Members of Pointerra Limited

We have reviewed the accompanying half-year financial report of Pointerra Limited (“the Company”) and Controlled Entities (“the Consolidated Entity”) which comprises the condensed consolidated statement of financial position as at 31 December 2016, the condensed consolidated statement of profit or loss and other comprehensive income, condensed consolidated statement of changes in equity and condensed consolidated statement of cash flows for the half-year ended on that date, a statement of accounting policies, other selected explanatory notes and the directors’ declaration of the Consolidated Entity, comprising the Company and the entities it controlled during the half-year.

Directors Responsibility for the Half-Year Financial Report

The directors of the Company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such control as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity, in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the Consolidated Entity’s financial position as at 31 December 2016 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001. As the auditor of the Consolidated Entity, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independent Auditor’s Review Report To the Members of Pointerra Limited (Continued)

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Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001.

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Pointerra Limited and Controlled Entities is not in accordance with the Corporations Act 2001 including:

• a. Giving a true and fair view of the Consolidated Entity’s financial position as at 31 December 2016 and of its performance for the half-year ended on that date; and

• b. Complying with Accounting Standard AASB 134: Interim Financial Reporting and Corporations Regulations 2001.

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BENTLEYS Chartered Accountants

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DOUG BELL CA Director

Dated at Perth this 27[th] day of February 2017