TPC CONSOLIDATED LIMITED — AGM Information 2021

Nov 25, 2021

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ASX Announcement/Press Release | 26 November 2021 TPC Consolidated Limited (ASX:TPC)

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Address by Chairman Greg McCann

TPC Consolidated Limited 2021 Annual General Meeting – 26 November 2021

Please see attached the address to be delivered by the Chairman to shareholders at this morning’s Annual General Meeting.

Ends.

Authorised for release by the Board of TPC.

For further information, please contact:

TPC Consolidated Charles Huang Chief Executive Officer M: +61 (2) 9009 6888 E: charles.huang@tpc.com.au

Media & Investor Enquiries The Capital Network Julia Maguire M: +61 2 8999 3699 E: julia@thecapitalnetwork.com.au

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About TPC Consolidated

TPC Consolidated Limited (ASX:TPC) owns and operates leading Australian-based electricity and gas retailer CovaU (pronounced “cover you”), which offers competitively priced products to household as well as business (Small Medium enterprises and Commercial and Industrial) customers.

The client base of TPC’s CovaU business, spread across most Australian states and territories, can choose from a wide range of products, from conventional gas and electricity through to solar, wind and ‘greenpower’ plans.

TPC is focussed on further expanding CovaU’s market presence in the energy segment of the Australian utilities sector. The Company’s expansion plans include additions to its current suite of renewables segment-related energy products, as consumers preference energy sources that accelerate the decarbonisation process.

To learn more, please visit: www.tpc.com.au www.covau.com.au

TPC Consolidated Limited (ASX:TPC) | ABN 99 073 079 268 Level 11, 201 Kent Street Sydney NSW 2000 Australia | www.tpc.com.au

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TPC Chairman’s AGM Address – 26 November 2021

On behalf of the Board of Directors, I would now like to go through with shareholders the major accomplishments of TPC Consolidated over the course of its 2021 financial year. Despite the challenges thrown up by an ongoing COVID-19 pandemic, your company achieved satisfying growth in revenues and earnings over this 12-month period. This is an opportune time to say a big thank you to our staff for soldiering on in the face of often difficult working conditions over the past year. Without their efforts, our financial year 2021 results would have been below those actually delivered.

I would now like to outline some key financial highlights of our 2021 financial year. They clearly demonstrate our focus on growing the now core CovaU retail energy provider business is bearing fruit.

Continued expansion of our CovaU unit fully underwrote growth in both annual revenues and profits. Group revenue increased by 8.4% to $93.6 million in our 2021 financial year. Energy unit-sourced revenue rose by 9.5% to $92.6 million. Drilling down here, electricity servicerelated revenue advanced by a robust 10.6%, while the gas service segment reported a 6.5% increase.

As was anticipated, telecommunication-related revenue continued to slide, due to the further decline in the prepaid mobile revenue. This part of our business now only accounts for around 1.0% of total revenues.

It was particularly pleasing to see our gross margin go higher in financial year 2021. It rose by 2.0 percentage points to 23.7%, thanks largely to a stronger energy gross margin. This energy unit margin improvement occurred despite frequent high price events materialising in the second half of the reporting period. The gas unit was the major contributor to this margin uplift.

Total group operating expenses and employee benefit expense jumped by 16.4% over the year. This reflected deliberate moves by TPC senior management to increase sales and marketing head count and invest in the CovaU business with an eye to maintaining the competitive advantages it currently has over rivals. A 2021 highlight was good containment of bad debt expense levels.

The $4.7 million net profit after tax reported in our 2021 financial year was satisfactory given the challenges presenting over the past 12 months. We declared a full year dividend of 18.0 cents a share, representing a payout ratio of 43%. This payment delivers our shareholders an income stream while at the same time gives your company adequate capital resources to fund future growth.

Your company achieved many business highlights over the past 12 months, including:

• Good growth in client billable meters, taking them towards the 24,000 mark

• Expansion of CovaU’s geographic footprint, to now also include South Australia, Tasmania and the Australian Capital Territory

• Further enhancements to CovaU’s market leading back-office functionality (its 24/7 contact centre included)

A just released TPC investor presentation provides shareholders with a more expansive list of the initiatives your company undertook in 2021 and outlines key components of the current year growth strategy.

I would like to personally thank all shareholders for their continued support over the past 12 months and look forward to updating you on further growth in your company’s product offering and geographic footprint over the course of its 2022 financial year.

Greg McCann

TPC Consolidated Limited Chairman