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QORIA LIMITED AGM Information 2021

Nov 18, 2021

65649_rns_2021-11-18_5b9e5578-8e29-4406-98d5-cc82f99cad0b.pdf

AGM Information

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ASX: FZO

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To support and protect every child’s digital journey

Family Zone Cyber Safety Annual General Meeting November 2021

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To protect and support and every child’s digital journey.

Our mission is to protect and better children’s lives. To empower communities through holistic online safety tools & advice. To support educators so that children can thrive. To be a global influencer in online safety. We seek for our staff their best ever employment experience and to deliver exceptional returns for our investors.

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2021 Strategy

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✓ Grow our
schools base
in existing &
new markets
Leverage our

schools base
to transition
to consumer
subs
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2021 Acceleration Strategy In 2020 we set a goal of positioning Family Zone as a world leader in online safety. We achieved that aim.

✓ Layer services to make our base more sticky & valuable

✓ ✓ Invest in our Consider platforms and strategic organization acquisitions for scale

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2021 AchievementsAchievements in 2021

Scaled our B2B Business

✓ Acquired NetRef (470,000 Students) ✓ Acquired Smoothwall (6.5 million Students) ✓ Outperformed industry growth in US

Moving forward with B2B2C

✓ Successful pilots in ANZ and soft launched into US ✓ ~ 20% take-up of Community programs

Massive product expansion

✓ Now support single instance deployments of 250k students ✓ World leading Filter, Safeguarding & Parental Controls ✓ Google Partnership delivering Analytics

Transformed our organization

  • ✓ Employed CFO and built out back-office teams ✓ Implemented ERP, Netsuite

✓ Achieved 75% reduction in data & hosting costs per user ✓ Values, employment branding and massive recruitment

Students ~ 10 million On our platforms

Schools ~ 20 thousand On our platforms

US Districts ~ 10% On our platforms

UK MATS ~ 38% On our platforms

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At a glance

Offices Perth (HQ) Sydney Auckland NZ San Diego CA Orlando FL Charlotte NC Leeds UK $ ~ 10m ~20,000 47m STUDENTS SCHOOLS ARR Family Zone is one of the world’s leading online safety providers

As at October 31, 2021

K-12

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Strong UK/US Growth

Family Zone’s global EDU business is growing swiftly driving student numbers to ~ 10 million and schools to 20,000 on the platform.

Strong growth is being experienced in both the US and the UK.

At October 31, 2021 a record pipeline has been built with 744,000 students in Proof of Concept trials in the US alone.

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US POC Pipeline 744,000 students at October 31 2021

* Family Zone acquired Smoothwall in Aug 2021. Proforma charts combining the companies are provided in the appendix.

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Recurring Revenue

ARR approaching $50 million

Strong sales along with cross sales created by the Smoothwall merger are driving ARR towards $50m.

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Sep Qtr Dec Qtr Mar Qtr Jun Qtr
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Annual Recurring Revenue AUD 47.2 million at October 31 2021

* Family Zone acquired Smoothwall in Aug 2021. Proforma charts combining the companies are provided in the appendix.

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Financials

Operating leverage surging

Through the scale of the merged group and ongoing efforts to reduce data & hosting costs, service margins are moving towards 70% and beyond.

Service margins is customer revenue nett of data & hosting costs, hardware costs and channel commissions.

Service margins will continue to improve through:

  • Cross selling: Recent major deals with PSBA and the accelerating cross selling of Smoothwall Monitor in the US is having immediate impacts.

  • Scale: Ongoing work on leveraging scale is seeing significant reductions in data & hosting costs. This work continues.

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Acquisition of Smoothwall

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Thesis and results

In August 2021 Family Zone acquired Smoothwall.

Thesis

Acquire a complementary business of scale

1

Acquire strong capability 2 with a good fit

Consolidated market positioning

3

Large potential synergies plus access consumers

4

Results

Combined group approaching 10 million students All Smoothwall products outperforming expectations Product suite unmatched globally

Strong management team with experience and relationships Integration ahead of schedule, cultural fit strong Negligible churn or disruption

Established Family Zone in the top handful of players globally Encouraging indicators of market consolidation

Cross sells of Monitor into the US strong & ahead of schedule Cost savings being delivered in platforms Additional cross sells coming in 2022 across EDU & Consumer

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Where to from here?

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USA E ducationDUCATION

DISTRICTS 13,500

US Deals in Dec Qtr 2021 AUD 11.7 / student SCHOOLS Average Revenue / Student 135,000

World’s biggest safety market Required to filter by law Large enterprise deals & mature channels 1:1 devices and virtual classes normal Massive funding programs

STUDENTS / TAM 57m |[$] 700M FAMILIES / TAM 83m |[$] 8.3B

Positioning Opportunities & next steps Currently support ~ 10% of Expanded product set with Smoothwall US school districts Monitor & Case Manager Product-market fit validated Cross sells driving out-of-cycle sales and having immediate effect on Channel, sales & delivery revenue per student capability validated K-12 sales cycle kicks off end of Q3 Marked out performance against industry

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UK Education

MATS 1,200

Established presence

Required to filter & monitor by law Monitoring is a greenfields opportunity Professionalising education through MATs 1:1 devices and virtual classes now normal

Positioning Opportunities & next steps Currently support ~ 38% of Expanded product range launching UK schools in 2022 - Classwize, Education, Smoothwall brand is the Analytics & Consumer market leader Leading Monitoring solution and required by KCSIE regulation World leading safeguarding product “Monitor” K-12 sales cycle kicks off in January

SCHOOLS 24,400

STUDENTS / TAM 9m |[$] 100M FAMILIES / TAM 14m |[$] 1.4B

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1

Our strategy

Platform: Build a universal platform where the cyber-safety features & advice that schools, parents and children want are available in one product.

Education: Sell school solutions covering all of their cyber safety needs. Sell beyond IT into learning and wellbeing.

2

Community: Seek ways to build relationships with 3 parents. Eg offer school parents free insights/reporting, deliver parent education and so on.

4

Premium: Provide insights to these freemium accounts and compelling reasons to upgrade to paid parental controls and premium content.

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World leading components

COMPLIANCE CLASSROOMS SAFEGUARDING FAMILY

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IT and network administration tools to Tools to empower teachers in modern Advanced AI tools to monitor user deliver online safety and support the classrooms. Includes screen monitoring, activity and identify opportunities to efficacy of IT programs. Includes streaming, messaging, classroom focus intervene. Includes case managing identity, filtering, integrations, and custom rules. incidents in compliance with reporting, bandwidth management and regulations. more.

Online safety tools, education & insights to support their family’s online journey.

Market leading Rapidly developing Dominant UK provider Penetrating US Taking market share in US Launching in UK Q3

Premium product Market leading Live in UK; laws mandate Piloting in US Now launched in US Launching in UK Q3

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Corporate

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CAPITAL

CASH*

ORDINARY SHARES

$ 25.6M

708,815,364

MARKET CAP (@60c) TOP 20 SHAREHOLDERS FOUNDERS & EXECUTIVES

$ 425M 63% 5%

Notes

  • 30 Sept 2021

1 Remaining Linewize acq securities have target of NZ$9.25m ARR from NZ and Linewize technology. 2 Exec salaries received PRs in lieu of cash 3 Employee incentives time based milestones

Perf Shares/Rights 43,258,700 Options 17,961,319 $9.25m Rev’ from NZ[1] 3,000,000 50-68c (expiring 2025) 9,118,112 Exec salaries[2] 6,171,634 18c-25c (expiring 2022) 6,143,207 Employee[3] 8,827,066 18c-24c (expiring 2023) 2,700,000 Employee & Exec[4] 25,260,000

4 Exec incentives various performance based targets

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Key personnel

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Ben Trigger Paul Robinson Todd Morcombe
CTO CPO CFO
Peter Pawlowitsch Tim Levy Phil Warren
Chairman Managing Director Non-Exec Director
Ross Young Gavin Logan Georg Ell
North America UK Smoothwall
Crispin Swan Matthew Stepka Emma Wates
Executive Director Non-Exec Director Company Secretary
Jordan Foster Nadine Mills David Dunstan
Education & Wellbeing People Marketing
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CONTACTS

Investor Centre familyzone.com/au/investor Automic Registry Services Phone: +61 8 9324 2099 Email: [email protected] Tim Levy Managing Director [email protected] +61 413 563 333

Investor Relations Tim Dohrmann NWR Communications [email protected] +61 468 420 846

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Appendix

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Appendix - Indicative Proforma*

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* Family Zone acquired Smoothwall in Aug 2021. Proforma charts combine these companies over the past 6 quarters for comparative purposes.