VINYL GROUP LTD — Interim / Quarterly Report 2013

Jan 30, 2013

ASX CODE: MBO

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ASX ANNOUNCEMENT AND MEDIA RELEASE

Date: 31 January 2013

Mobilarm continues to improve its results from operations

• Operating cash flows improve by $0.4M over the previous quarter

• Six month operating cash flows improved by $1.0M over the previous year

Global marine safety equipment provider Mobilarm Limited (ASX: MBO) today reported net operating cash out flows of $149,692 for the quarter, an improvement of $397,065 over the previous quarter. The Company had second quarter receipts from customers for the three month period ended 31 December 2012 of $857,090 a 33% decrease over the previous quarter.

Mobilarm Chief Executive Officer Ken Gaunt commented: “We are starting the next quarter with a large pipeline from our orders in Nigeria. We have streamlined our operating cash flows to take advantage of growth that we can achieve through wins like Nigeria.”

Mobilarm Chief Financial Officer commented: “We improved our operating cash flows for the first six months of the year by approximately $960,000 compared to the first six months of the previous year. This is a reflection of the changes to our operations enacted during 2012.”

-Ends-

Further details

Ken Gaunt Email: keng@mrtsos.com Chief Executive Officer Tel.: +61 417 961 770 Tel.: +44 782 731 4442 www.mobilarm.com

Appendix 4C Quarterly report for entities admitted on the basis of commitments

Rule 4.7B

Appendix 4C

Quarterly report for entities admitted on the basis of commitments

Introduced 31/3/2000. Amended 30/9/2001

Name of entity
Mobilarm Limited
ABN 15 106 513 580	Quarter ended (“current quarter”)
15 106 513 580	31 December 2012

Consolidated statement of cash flows

Consolidated statement of cash flows
Cash flows related to operating activities 1.1 Receipts from customers 1.2 Payments for (a) staff costs (b) advertising & marketing (c) research & development (d) leased assets (e) Other working capital 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes (paid)/received 1.7 Rental recoveries 1.7 Purchases of inventory Net operating cash flows	Current quarter $	Year to date (6 months) $
	857,090 (510,452) (5,155) (61,993) - (550,809) - 4,168 (3,934) 584,645 - (463,251)	2,142,085 (1,073,695) (27,039) (101,145) - (970,162) - 8,207 (5,148) 584,645 - (1,254,197)
	(149,691)	(696,449)

• See chapter 19 for defined terms.

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Appendix 4C Quarterly report for entities admitted on the basis of commitments

	Current quarter $	Year to date (6 months) $
1.8 Net operating cash flows (carried forward)	(149,691)	(696,449)
Cash flows related to investing activities 1.9 Payment for acquisition of: (a) Net cash acquired on acquisition( item 5) (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.10 Proceeds from disposal of: (a) businesses (item 5) (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.11 Loans to other entities 1.12 Loans repaid by other entities 1.13 Other (provide details if material) Net investing cash flows 1.14 Total operating and investing cash flows	- - - (7,578) - - - - - - - - -	- - - (7,578) - - - - - - - - -
	(7,578)	(7,578)
	(157,271)	(704,027)
Cash flows related to financing activities 1.15 Proceeds from issues of shares, options, etc. 1.16 Proceeds from sale of forfeited shares 1.17 Proceeds from borrowings 1.18 Repayment of borrowings 1.19 Dividends paid 1.20 Share issue expenses Net financing cash flows	- - - - - -	- - - - - -
	-	-
Net increase (decrease) in cash held 1.21 Cash at beginning of quarter/year to date 1.22 Exchange rate adjustments to item 1.20 1.23 Cash at end ofquarter	(157,271) 809,642 -	(704,027) 1,356,400 -
	652,373	652,373

• See chapter 19 for defined terms.

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Appendix 4C Quarterly report for entities admitted on the basis of commitments

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

1.24 1.25	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.11	Current quarter $A
		(166,392)
		-
1.26	Explanation necessaryfor an understandingof the transactions
	Payments were for salaries and director fees and travel.

Non-cash financing and investing activities

• 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

Nil

• 2.2 Details of outlays made by other entities to establish or increase their share in businesses in which the reporting entity has an interest

Nil

Financing facilities available

Add notes as necessary for an understanding of the position. (See AASB 1026 paragraph 12.2).

3.1 Loan facilities 3.2 Credit standby arrangements	Amount available $A	Amount used $A
	-	-
	-	-

• See chapter 19 for defined terms.

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Appendix 4C Quarterly report for entities admitted on the basis of commitments

Reconciliation of cash

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows.	Current quarter $A	Previous quarter $A
4.1 Cash on hand and at bank 4.2 Deposits at call 4.3 Bank overdraft 4.4 Deposits securing guarantees	387,199	544,469
	-	-
	-	-
	265,174	265,174
Total: cash at end of quarter(item 1.22)	652,373	809,643

The Company received $782,374 of grant funds for the SASJacket program in a bank account under trust. Those funds are to be used solely for the purpose of the grant project and will be distributed amongst the seven participants as reimbursement of the expenses incurred per the project guidelines. The Company has not included these funds as a Company asset, although it will receive a portion of these funds as it incurs expenses under the project.

Acquisitions and disposals of business entities

5.1 Name of entity 5.2 Place of incorporation or registration 5.3 Consideration for acquisition or disposal 5.4 Total net assets 5.5 Nature of business	Acquisitions (Item 1.9(a))	Disposals (Item 1.10(a))
	Nil	Nil

Compliance statement

• 1 This statement has been prepared under accounting policies, which comply with accounting standards as defined in the Corporations Act (except to the extent that information is not required because of note 2) or other standards acceptable to ASX.

• 2 This statement does give a true and fair view of the matters disclosed.

Sign here:

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• See chapter 19 for defined terms.

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Appendix 4C Quarterly report for entities admitted on the basis of commitments

Date: 31 January 2013

Print name: David McArthur

• See chapter 19 for defined terms.

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Appendix 4C Quarterly report for entities admitted on the basis of commitments

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.

2. The definitions in, and provisions of, AASB 1026: Statement of Cash Flows apply to this report except for the paragraphs of the Standard set out below.

3. 6.2 - reconciliation of cash flows arising from operating activities to operating profit or loss

4. 9.2 - itemised disclosure relating to acquisitions  9.4 - itemised disclosure relating to disposals  12.1(a) - policy for classification of cash items  12.3 - disclosure of restrictions on use of cash  13.1 - comparative information

5. Accounting Standards. ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

6. See chapter 19 for defined terms.

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