USCOM LIMITED — Interim / Quarterly Report 2023

Feb 22, 2023

ASX Media Release

Uscom Limited and its controlled entities

ABN 35 091 028 090

ASX Appendix 4D Half yearly report – 31 December 2022

Contents

Results for announcement to the market	1
Dividends per share	1
Net Tangible Assets per ordinary share	1
Status of review	1
Commentary	1
Financial highlights	1
Half yearly report	2-15

Uscom Limited (ABN 35 091 028 090) Suite 2, Level 8, 66 Clarence Street, Sydney, NSW, 2000, Australia T: +612 9247 4144 E: info@uscom.com.au W: www.uscom.com.au

ASX Media Release

Reporting period ended:	Reporting period ended:			31	December 2022
Previous corresponding reporting period:				31	December 2021
Results for announcement to the market
	Revenue and other income	down	22%	to	$1,257,467
	Lossfrom ordinary activities after tax attributable to members	up	48%	to	$1,391,462
	Net Lossfor the period attributable to members	up	48%	to	$1,391,462
Dividends per share
	It is not proposed to pay a dividend.

Net Tangible Asset per ordinary share	Net Tangible Asset per ordinary share
		31 December 2022	31 December 2021
	NTA backing	2.4c	3.9c
Status of review
	The consolidated entity’s Half-Year Report contains an independent review report that is not subject to a
	modified conclusion, emphasis of matter or other matter paragraph.
Commentary
	Refer Executive Chairman review of operations in page 2-3.
Financial highlights
	Revenue and other income		$1,257,467
	Loss from ordinary activities		$1,391,462
	Sales revenue		$1,021,105
	Net operating cash outflow		$953,318
	Net decrease in cash held		$1,108,619
	Cash held at end of the period		$3,592,779

Uscom 2023 Half Yearly Report

Appendix 4D Page 1

Appendix 4D Half Yearly Report

Interim Financial Report

DIRECTORS’ REPORT

Your directors present the financial report of Uscom Ltd and its controlled entities for the half-year ended 31 December 2022.

Directors

The names of directors who held office during the whole of the half-year and up to the date of this report are:

Dr Rob Phillips Mr Christian Bernecker Mr Brett Crowley Mr Xianhui Meng

Pandemic impacts H1 global markets with H2 recovery underway.

Results

H1 FY23 was a difficult period globally, with results impacted by consecutive but resolving COVID waves and a series of market interruptions. In China we had the remnants of the Australia China geopolitical tussle resolving and COVID-0 lockdowns for the entire period all under the shadow of serious global inflation and recessionary fears.

China

China has been in an effective lockdown for the last calendar year and particularly during the current half resulting in a 55% reduction in our China sales revenue for the half. Given that China is responsible for ~75% of Uscom’s total revenue, this has significantly impacted results in the current reporting period. The introduction and national adoption of domestic product manufacturing regulations and guidelines also limited sales opportunities and forecasts. Uscom has invested in growth during this difficult time by advancing regulatory approvals for BP+ and SpiroSonic and also approval for domestic manufacturers in China. Importantly our Foxconn relationship is rapidly progressing and we look forward to our first locally manufactured devices being released to the market in H2 FY23. With increased products in the market, Uscom has been in discussions with local distributors of scale to develop and expand our China sales activities. Australia’s resolving geopolitical relationship with China is a positive sign for increasing trade between the two countries and potentially restoring the significant commercial opportunities in the world’s most populous market which has restricted Uscom’s performance in the last 2 years.

SE Asia

SE Asia remains the fastest growing region globally and following the establishment of Uscom’s SE Asian regional HQ in Singapore last year, Uscom SNG has appointed a Singapore-based regional sales manager, Mr Kelvin Ng. Mr Ng has a long history of distribution management across SE Asia and the Middle East and is actively reconnecting with current distributors and negotiating with new distribution partners. Singapore is the natural hub between China, Asia, Europe, and the US. Uscom’s intention is to continue to grow Uscom SNG as a sales distribution hub to better access the 1.4b Chinese market and the SE Asia population of ~650m. From this new SNG hub we plan to deliver China-manufactured goods to the world with significantly reduced costs and improved geographical access.

Uscom 2023 Half Yearly Report

Appendix 4D Page 2

Appendix 4D Half Yearly Report

Interim Financial Report

Europe

While the strategic consolidation of Uscom Europe has been stalled during CY22 by the intermittent COVID pandemic and the Russian war, Uscom Europe is beginning to emerge from the pandemic cloud. As part of our restructuring, we have appointed a new regional COO to manage Budapest, Mr Zoltan Zsoter, and a specialist medical devices sales lead, Mr Daniel Ujj. They will join together with Dr Antonio Ferrario, Uscom’s European Sales and Marketing Manager, as the foundation sales marketing team for Europe. We are delighted to welcome Zoltan and Daniel and look forward to seeing the results from this concerted focus on European sales from this very strong sales team.

US

Sales for H1 in the US remain significantly impacted by the pandemic; however, sales activity and the sales pipeline is growing and forecasts indicate significant growth over the coming year. Sales have also been effected by the delayed FDA approval of Uscom’s SpiroSonic devices. This delay has been in part associated with a backlog of FDA applications, the productivity impact of the pandemic, and zealous examiners. However, the signs are good as we continue meeting with and answering the inquiries of the FDA examiners. We look forward to achieving rapid approval and meeting the demand already established in the US for our sector-leading digital health spirometer; the SpiroSonic AIR.

Risks

Uscom’s optimism for the period ahead is predicated on the recovery of global markets and the restoration of normal global commercial activities. While current global markets all show signs of settling, an expansion of the Russian war or new waves of contagious diseases could impact our predicted recovery and growing revenue forecasts. The potential for global economic headwinds including significant inflation also poses risk and we remain vigilant and prudent in commercial management. We also believe our newly expanded global sales team combined with increased product approvals mitigates regional financial risk and establishes opportunities for strong growth as global economies recover. We will also continue to remain focused on our activities in the recovering global markets of Europe and the US as the pandemic recedes.

Summary

Uscom’s results for H1 FY23 reflect global headwinds associated with the pandemic and the Russian war. China was in lockdown for the period and revenue was effectively stalled, and as China is responsible for >75% of Uscom total sales the impact has been substantial. The remaining markets worldwide have also been restrained leaving revenue for the half down 22%. Despite the reduced revenue Uscom has continued to invest in growth-enhancing products and increasing the number of devices on the regulatory pathway. Uscom has also invested in expanded sales and distribution teams in SE Asia and Europe as preparation for the rebound of global economies as the pandemic effect recedes. Uscom is also in discussions with significant distribution partners in various jurisdictions to ensure our newly approved devices will have a clear path to market. We believe our growth strategy is sound, and well poised to slipstream global growth as it returns. Our new Asian-focused strategy shifts Uscom to the centre of the world’s fastest-growing economies, equipped with an expanding quiver of sector-leading cardiovascular and pulmonary technologies, positioning Uscom perfectly for the predicted growth in these regions over the foreseeable years. Management continues to pursue strategic activities which will deliver market recognition of Uscom’s value and shareholder growth.

Uscom 2023 Half Yearly Report

Appendix 4D Page 3

Appendix 4D Half Yearly Report

Interim Financial Report

AUDITOR’S INDEPENDENCE DECLARATION

A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out on page 5.

This report is made in accordance with a resolution of directors made pursuant to section 306(3) of the Corporations Act 2001.

On behalf of the Directors

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Professor Rob Phillips Chairman Sydney, 23 February 2023

Uscom 2023 Half Yearly Report

Appendix 4D Page 4

Tel: +61 2 9251 4100 Level 11, 1 Margaret St Fax: +61 2 9240 9821 Sydney NSW 2000 www.bdo.com.au Australia

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DECLARATION OF INDEPENDENCE BY JOHN BRESOLIN TO THE DIRECTORS OF USCOM LIMITED

As lead auditor for the review of Uscom Limited for the half-year ended 31 December 2022, I declare that, to the best of my knowledge and belief, there have been:

1. No contraventions of the auditor independence requirements of the Corporations Act 2001 relation to the review; and

2. No contraventions of any applicable code of professional conduct in relation to the review.

This declaration is in respect of Uscom Limited and the entities it controlled during the period.

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John Bresolin Director

BDO Audit Pty Ltd

Sydney, 23 February 2023

BDO Audit Pty Ltd ABN 33 134 022 870 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability limited by a scheme approved under Professional Standards Legislation.

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Appendix 4D Interim Financial Report Half Yearly Report

Uscom Limited and its controlled entities

Consolidated statement of profit or loss and other comprehensive income for the half year ended 31 December 2022

Continuing operations
		31 Dec 2022	31 Dec 2021
	Note	$	$
Revenue and other income	2	1,257,467	1,604,604
Raw materials and consumables used		(132,212)	(127,179)
Expenses from continuingactivities	3	(2,501,752)	(2,401,106)
Loss before income tax from continuing operations		(1,376,497)	(923,681)
Income tax expense		(14,965)	(19,609)
Loss after income tax from continuing operations		(1,391,462)	(943,290)
Other comprehensive income
Items that may be reclassified subsequently to profit or loss
Foreign currencytranslation difference for foreign operations		5,859	9,161
Other comprehensive income for the period		5,859	9,161
Total comprehensive (loss) for the period		(1,385,603)	(934,129)
Attributable to:
Owners of the Company		(1,385,603)	(934,129)
Total comprehensive (loss) for the period		(1,385,603)	(934,129)
Earnings per share (EPS)
Basic (loss) per share (cents per share)		(0.8)	(0.6)
Diluted (loss) per share (cents per share)		(0.8)	(0.6)

This Consolidated statement of profit or loss and other comprehensive income is to be read in conjunction with the annual financial report for the year ended 30 June 2022 and the attached notes.

Uscom 2023 Half Yearly Report

Appendix 4D Page 6

Appendix 4D Interim Financial Report Half Yearly Report

Uscom Limited and its controlled entities Consolidated statement of financial position as at 31 December 2022

		31 Dec 2022	30 Jun 2022
	Note	$	$
Current assets
Cash and cash equivalents		3,592,779	4,704,185
Trade and other receivables		453,511	340,075
Inventories		850,340	872,117
Tax assets		218,849	395,709
Total current assets		5,115,479	6,312,086
Non-current assets
Bank guarantee		83,456	83,456
Plant and equipment		29,398	46,748
Intangible assets	4	454,313	477,010
Right-of-use assets		885,211	1,073,640
Total non-current assets		1,452,378	1,680,853
Total assets		6,567,857	7,992,940
Current liabilities
Trade and other payables		474,620	478,164
Provisions		159,304	197,368
Lease liabilities		226,479	220,466
Total current liabilities		860,403	895,998
Non-current liabilities
Provisions		122,880	70,100
Lease liabilities		917,087	1,091,586
Total non-current liabilities		1,039,967	1,161,686
Total liabilities		1,900,370	2,057,684
Net assets		4,667,487	5,935,256
Equity
Issued capital	5	39,150,300	39,136,673
Options and rights reserve	6(i)	3,821,330	3,711,264
Accumulated losses		(38,304,143)	(36,912,681)
Total equity		4,667,487	5,935,256

This Consolidated statement of financial position is to be read in conjunction with the annual financial report for the year ended 30 June 2022 and the attached notes.

Uscom 2023 Half Yearly Report

Appendix 4D Page 7

Appendix 4D Interim Financial Report Half Yearly Report

Uscom Limited and its controlled entities Consolidated statement of changes in equity for the half year ended 31 December 2022

	Issued capital	Options and rights reserve	Other reserves	Accumulated losses	Foreign currency translation reserve	Total
	$	$	$	$	$	$
Balance at 1 July 2021	34,665,560	3,268,249	-	(34,940,368)	84,157	3,077,598
Loss for the period	-	-	-	(943,290)	-	(943,290)
Other comprehensive income	-	-	-	-	9,161	9,161
Total comprehensive income for theperiod	-	-	-	(943,290)	9,161	(934,129)
Transactions with owners in their capacity as owners:
Shares Issued	4,301,390	-	-	-	-	4,301,390
Transaction costs on Shares Issued	(33,837)	-	-	-	-	(33,837)
Share-basedpayments	137,500	116,198	-	-	-	253,698
Total transactions with owners	4,405,053	116,198	-	-	-	4,521,251
Balance at 31 December 2021	39,070,613	3,384,447	-	(35,883,658)	93,318	6,664,720
Balance at 1 July 2022	39,136,673	3,638,461	-	(36,912,681)	72,804	5,935,256
Loss for the period	-	-	-	(1,391,462)	-	(1,391,462)
Other comprehensive income	-	-	-	-	5,859	5,859
Total comprehensive loss for theperiod	-	-	-	(1,391,462)	5,859	(1,385,603)
Transactions with owners in their capacity as owners:
Shares Issued	-	-	-	-	-	-
Transaction costs on Shares Issued	(1,373)	-	-	-	-	(1,373)
Share-basedpayments	15,000	104,208	-	-	-	119,207
Total transactions with owners	13,627	104,208	-	-	-	117,834
Balance at 31 December 2022	39,150,300	3,742,669	-	(38,304,143)	78,661	4,667,487

This Statement of Changes in Equity is to be read in conjunction with the annual financial report for the year ended 30 June 2022 and the attached Notes.

Uscom 2023 Half Yearly Report

Appendix 4D Page 8

Appendix 4D Half Yearly Report

Interim Financial Report

Uscom Limited and its controlled entities Consolidated statement of cash flows for the half year ended 31 December 2022

		31 Dec 2022	31 Dec 2021
	Note	$	$
Cash flows from operating activities
Receipts from customers		1,058,105	1,344,567
Payments to suppliers and employees		(2,417,937)	(2,292,125)
Grants received		385,577	694,537
Interest received		20,937	9,590
Net cash used in operatingactivities		(953,318)	(243,431)
Cash flows from investing activities
Purchase of patents and trademarks	4	(32,053)	(90,906)
Purchase ofplant and equipment		(390)	(1,258)
Net cash used in investingactivities		(32,443)	(92,164)
Cash flows from financing activities
Proceeds from issue of shares and options	5	-	4,301,390
Share issue costs	5	(1,373)	(33,837)
Repayment of lease liability		(121,485)	(131,970)
Net cashprovided by (used in)financingactivities		(122,858)	4,135,583
Net increase in cash and cash equivalents		(1,108,619)	3,799,988
Net cash and cash equivalents at the beginning of the period		4,704,185	1,710,554
Foreign exchange impact on cash flows		(2,787)	26,494
Net cash and cash equivalents at the end of the period		3,592,779	5,537,036

This Consolidated statement of cash flows is to be read in conjunction with the attached Notes.

Uscom 2023 Half Yearly Report

Appendix 4D Page 9

Appendix 4D Half Yearly Report

Interim Financial Report

Uscom Limited and its controlled entities Selected Explanatory Notes to the Financial Statements For the half year ended 31 December 2022

Note 1 – Statement of significant accounting policies

The principal accounting policies adopted in the preparation of the financial report are set out below. The financial report covers the Consolidated Entity of Uscom Ltd and its Controlled Entities. Uscom Ltd is a listed public company, incorporated and domiciled in Australia.

The following is a summary of the material accounting policies adopted by the consolidated Group in the preparation of the financial report. The accounting policies have been consistently applied to all years presented, unless otherwise stated.

Basis of preparation

The consolidated financial report for the half year ended 31 December 2022 has been prepared in accordance with Australian Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Act 2001 and was approved by the Board of Directors on 23 February 2023.

This half-year financial report does not include all the notes of the type normally included in an annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and cash flows of the Group as the annual financial report.

Accordingly, this report should be read in conjunction with the annual financial report for the year ended 30 June 2022 and any public announcements made by the Company in accordance with the continuous disclosure obligations arising under ASX listing rules.

New, revised or amending Accounting Standards and Interpretations adopted

The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the annual consolidated financial statements for the year ended 30 June 2022.

	31 Dec 2022	31 Dec 2021
	$	$
Note 2 – Revenue and other income
Sale ofgoods	1,021,105	1,100,569
Other revenue
Interest received	20,915	9,524
Other income
Grants	215,447	452,714
Exchangegain	-	41,797
Total other income	215,447	494,511
Total revenue and other income	1,257,467	1,604,604
Note 3 – Expenses from ordinary activities
Depreciation and amortisation expenses	72,648	80,492
Depreciation – right-of-use assets	121,485	131,970
Employee expenses	1,327,832	1,470,169
Research and development expenses	38,863	7,364
Advertising and marketing expenses	424,495	339,663
Occupancy expenses	43,734	(6,776)
Regulatory expenses	129,339	84,620
Administrative expenses	305,463	259,576
Exchange loss	12,760	-
Finance costs	25,133	34,028
Total expenses from ordinaryactivities	2,501,752	2,401,106

Uscom 2023 Half Yearly Report

Appendix 4D Page 10

Appendix 4D Half Yearly Report

Interim Financial Report

			31 Dec 2022	30 Jun 2022
Note 4 – Intangible assets			$	$
Patents			454,313	477,010
Total intangible assets			454,313	477,010
			Patents	Total
			$	$
Movements in carrying amounts
Opening balance			477,010	469,684
Additions			32,053	109,486
Impairment			-	-
Amortisation			(54,750)	(102,160)
Intangible assets at the end of theperiod			454,313	477,010
	31 Dec 2022	30 Jun 2022	31 Dec 2022	30 Jun 2022
Note 5 – Issued Capital	Number	Number	$	$
Ordinary shares
Fully paid ordinaryshares	198,635,884	196,768,333	39,150,300	39,136,673
Total contributed equity	198,635,884	196,768,333	39,150,300	39,136,673
Movement in issued capital
Opening balance	196,768,333	154,384,643	39,136,673	34,665,560
Ordinary shares issued	-	39,627,942	-	4,359,074
Ordinary shares issued in lieu of salary	1,867,551	2,755,748	15,000	166,900
Share issue costs	-	-	(1,373)	(54,862)
Ordinaryshares at the end of theperiod	198,635,884	196,768,333	39,150,300	39,136,673
			31 Dec 2022	30 Jun 2022
Note 6 – Reserves			$	$
Options and rights reserves (i)			3,742,669	3,628,461
Foreign currencytranslation reserves			78,661	72,803
Total reserves			3,821,330	3,711,264
(i) Movement in options and rights reserves	31 Dec 2022	30 Jun 2022	31 Dec 2022	30 Jun 2022
	Number	Number	$	$
Opening balance	2,186,782	1,586,782	3,638,461	3,268,249
Granted during the period (a)	3,164,557	2,036,782	-	-
Exercised during the period (b)	(1,636,782)	(1,436,782)	-	-
Lapsed during the period	-	-	-	-
Share-based payment expenses	-	-	119,208	537,112
Fair value of shares issued to employees	-	-	(15,000)	(166,900)
At the end of theperiod(c)	3,714,557	2,186,782	3,742,669	3,638,461

(a) 3,164,557 Indeterminate rights were granted to Rob Philips on the terms and conditions approved by shareholders at the AGM on 10 November 2022 under the Equity Incentive plan, vesting dependent on performance hurdles on 1 July 2023. Consideration payable upon vesting is $nil. The Board may exercise its discretion to pay cash in lieu of issue of ordinary shares.

(b) 1,636,782 Indeterminate rights were issued to Rob Philips on the terms and conditions approved by shareholders at the AGM on 14 October 2021 under the Equity Incentive plan, vesting dependent on performance hurdles on 1 July 2022. Consideration payable upon vesting is $nil. The Board may exercise its discretion to pay cash in lieu of issue of ordinary shares. Upon meeting the performance hurdles, total of 1,636,782 were exercised on 5 July 2022.

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Appendix 4D Page 11

Appendix 4D Half Yearly Report

Interim Financial Report

Note 7 – Operating segments

Segment information

The consolidated entity operates in the global health and medical products industry. Globally the company has 4 geographic sales and distribution segments as shown below. For each segment, the CEO and General Manager review internal management reports on at least a monthly basis.

	Australia	Asia	Americas	Europe	Total
	$	$	$	$	$
31 Dec 2022
Sales to external customers	102,893	534,462	-	383,750	1,021,105
Other revenues	225,066	5,890	-	5,406	236,362
Total segment revenue	327,959	540,352	-	389,156	1,257,467
Segment expenses	1,347,588	620,580	229,913	435,883	2,633,964
Segment result	(1,019,629)	(80,228)	(229,913)	(46,728)	(1,376,497)
Income Tax	-	-	-	(14,965)	(14,965)
Consolidated profit (loss) from ordinaryactivities after income tax	(1,019,629)	(80,228)	(229,913)	(61,692)	(1,391,462)
31 Dec 2021
Sales to external customers	16,275	577,020	165,179	342,095	1,100,569
Other revenues	400,031	7,138	-	96,866	504,035
Total segment revenue	416,306	584,158	165,179	438,961	1,604,604
Segment expenses	1,230,082	579,207	214,662	504,334	2,528,285
Segment result	(813,776)	4,951	(49,483)	(65,373)	(923,681)
Income Tax	-	-	-	(19,609)	(19,609)
Consolidated profit (loss) from ordinaryactivities after income tax	(813,776)	4,951	(49,483)	(84,982)	(943,290)

Note 8 – Contingent liabilities

There were no contingencies as at 31 December 2022.

Note 9 – Events after the reporting date

In February Uscom initiated a small parcels purchase with the intent of simplifying the share register and reducing administration and cost while providing small shareholders a cost-effective exit from the company.

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Appendix 4D Page 12

Appendix 4D Half Yearly Report

Interim Financial Report

DIRECTORS’ DECLARATION

In the directors' opinion:

• the attached financial statements and notes thereto comply with the Corporations Act 2001, Australian Accounting Standard AASB 134 'Interim Financial Reporting', the Corporations Regulations 2001 and other mandatory professional reporting requirements;

• the attached financial statements and notes thereto give a true and fair view of the consolidated entity's financial position as at 31 December 2022 and of its performance for the financial half-year ended on that date; and

• there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors made pursuant to section 303(5) of the Corporations Act 2001.

On behalf of the directors

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Professor Rob Phillips Chairman Sydney, 23 February 2023

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Appendix 4D Page 13

Tel: +61 2 9251 4100 Level 11, 1 Margaret Street Fax: +61 2 9240 9821 Sydney NSW 2000 www.bdo.com.au Australia

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INDEPENDENT AUDITOR’S REVIEW REPORT

To the members of Uscom Limited

Report on the Half-Year Financial Report

Conclusion

We have reviewed the half-year financial report of Uscom Limited (the Company) and its subsidiaries (the Group), which comprises the consolidated statement of financial position as at 31 December 2022, the consolidated statement of profit or loss and other comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows for the half-year ended on that date, a summary of significant accounting policies and other explanatory information, and the directors’ declaration.

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the accompanying half-year financial report of the Group does not comply with the Corporations Act 2001 including:

• (i) Giving a true and fair view of the Group’s financial position as at 31 December 2022 and of its financial performance for the half-year ended on that date; and

• (ii) Complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001.

Basis for conclusion

We conducted our review in accordance with ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity . Our responsibilities are further described in the Auditor’s Responsibilities for the Review of the Financial Report section of our report. We are independent of the Company in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to the audit of the annual financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We confirm that the independence declaration required by the Corporations Act 2001 which has been given to the directors of the Company, would be the same terms if given to the directors as at the time of this auditor’s review report.

Responsibility of the directors for the 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 internal 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.

BDO Audit Pty Ltd ABN 33 134 022 870 is a member of a national association of independent entities which are all members of BDO Australia Ltd ABN 77 050 110 275, an Australian company limited by guarantee. BDO Audit Pty Ltd and BDO Australia Ltd are members of BDO International Ltd, a UK company limited by guarantee, and form part of the international BDO network of independent member firms. Liability limited by a scheme approved under Professional Standards Legislation.

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Auditor’s responsibility for the review of the financial report

Our responsibility is to express a conclusion on the half-year financial report based on our review. ASRE 2410 requires us to conclude whether we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including giving a true and fair view of the Group’s financial position as at 31 December 2022 and its financial performance for the half-year ended on that date and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 .

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.

BDO Audit Pty Ltd

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John Bresolin Director

Sydney, 23 February 2023

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