WISEWAY GROUP LIMITED — Annual Report 2021

Aug 30, 2021

WISEWAY GROUP LIMITED ABN 26 624 909 682

APPENDIX 4E

PRELIMINARY FINAL REPORT

Details of the reporting period

Current reporting period: 12 months ended 30 June 2021

Previous reporting period: 12 months ended 30 June 2020

Results for announcement to the market

Wiseway Group Limited (“Company”) and its subsidiaries, presents its results for the year ended 30 June 2021. The Group’s revenue and EBITDA for the 12 months ended 30 June 2021 were $126,770,000 (12 months ended 30 June 2020: $102,590,000) and $8,146,000 (12 months ended 30 June 2020: $5,003,000) respectively. The profit for the Group for the 12 months ended 30 June 2021 after providing for income tax amounted to $1,766,000 (12 months ended 30 June 2020 loss: $3,450,000).

The comparative year is for the period 12 months ended 30 June 2020.

	12 months ended	12 months ended
	30 June 2021	30 June 2020	Change
	$'000	$'000	%
Revenue from ordinary activites	126,770	102,590	24%
Net Profit/(loss) from ordinary activities
after tax attributable to members	1,774	(3,400)	152%
	12 months ended	12 months ended
	30 June 2021	30 June 2020	Change
	Cents	Cents	%
Basic profit/(loss) per share	1.25	(2.47)	151%
Diluted profit/(loss) per share	1.25	(2.47)	151%

Dividends

There were no dividends recommended, declared or paid during the current reporting period.

Details of entities over which control has been gained

During the year, the following wholly owned subsidiaries were incorporated:

Subsidiary	Country	Date of incorporation
Wiseway Logistics Inc.	United States of America	Incorporated 17 February 2021
Wiseway Logistics Pte. Ltd.	Singapore	Incorporated 23 June 2021

Net tangible assets

30 June 2021 30 June 2020 Cents Cents Net tangible assets per security 5.54 4.24	Change % 31%

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WISEWAY GROUP LIMITED ABN 26 624 909 682

APPENDIX 4E

Audit qualification or review

The financial statements are in the process of being audited.

Attachments

The appendix 4E is provided in accordance with ASX Listing Rule 4.3A and is to be read in conjunction with the operating and financial review, preliminary final report of Wiseway Group Limited for the financial reporting period ended 30 June 2021 where additional disclosures are provided, and any market announcements made by the Company in accordance with continuous disclosure obligations.

The operating and financial review and preliminary final report are attached below.

Signed:

==> picture [89 x 47] intentionally omitted <==

Florence Tong

Director

Wiseway Group Limited

Dated at Sydney this 31st day of August 2021

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WISEWAY GROUP LIMITED ABN 26 624 909 682

OPERATING AND FINANCIAL REVIEW

1) Operating and Financial Review

a) Financial overview

The Company’s revenue for the financial year ended 30 June 2021 (‘FY21’) was $126.8 million, driven by organic growth across the key segments of perishables, imports, and road truck transportation, and resulting in an EBITDA of $8.1 million.

The Company’s revenue from operations for the financial reporting period was $126.0 million, resulting in a positive after-tax statutory net profit of $1.7 million for the first time since listing in 2018.

Wiseway’s milestone full-year profit was a result of the Company’s focus on organic revenue growth, prudent cost management, and economies of scale, following two years of robust strategic investment in the business.

The Company reported a strong financial position as at the financial year end, with $9.9 million in Cash, and a Debt/EBITDA ratio of 1.44.

b) Acquisition and incorporation of subsidiaries

During the year, the following wholly owned subsidiaries were incorporated:

Subsidiary	Country	Date of incorporation
Wiseway Logistics Inc.	United States of America	17 February 2021
Wiseway Logistics Pte. Ltd.	Singapore	23 June 2021

c) Expanding US operations

During the year, the Company expanded its operations into the United States of America. The Company completed the required registration processes and incorporated its US subsidiary Wiseway Logistics Inc. in February and started operating a lean model for its in-country operations in June with a highly experienced team strategically based in Los Angeles, California.

Los Angeles is a strategic hub in Australia’s Trans-Pacific trade, being the largest inbound and outbound freight destination in North America according to The Bureau of the Infrastructure, Transport, and Research Economics (“BITRE’’) in 2020. It is also the fourth largest inbound freight destination globally, making it the ideal next step for Wiseway to expand and diversify its global operations.

d) Expanding into Singapore

In June 2021, the Company expanded its operations into Singapore through incorporating its subsidiary Wiseway Logistics Pte. Ltd..

Singapore is Australia’s number one inbound and outbound air freight trade partner, according to The Bureau of the Infrastructure Transport, and Regional Economics, claiming the largest share (18%) of total airfreight traffic activity in 2020.

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WISEWAY GROUP LIMITED ABN 26 624 909 682

OPERATING AND FINANCIAL REVIEW

e) Operating updates

Wiseway continued its transformation journey to diversify its income streams and, importantly, to deliver a broader range of customer services through a more integrated business.

The company continues investing in modern technologies and software solutions that add valuable process efficiencies to online booking, cargo scanning, and real-time tracking.

During the year, the Company expanded its on-ground team in China, based in Shanghai and Guangzhou. The team continues to provide in-country support to the organic growth of the Company’s operations in China and the Asia-Pacific region.

f) Outlook

Wiseway’s logistics operations are an essential part of the Australian economy, which has delivered resilience through the ongoing COVID-19 pandemic. The Company’s strong relationships with its logistics partners and diversified freight services have enabled it to deliver the services its clients need during these challenging times.

The Company has developed the appropriate resource planning capabilities and risk management practices to sustain the growth momentum in the business and prepare for any supply chain disruptions.

After recent expansions into the US and Southeast Asia, the Company will continue its journey to become a global logistics and freight forwarding operator with an extensive network of shipping destinations, which will provide opportunities for synergies and sustainable organic growth.

Wiseway’s diversified business model, growing customer base, strategic industry partnerships, and expanding global footprint will enable it to benefit from the growing demand for integrated logistics solutions.

2) Events subsequent to reporting date

In August 2021, the Company completed its first cross-border acquisition. Through its Singapore subsidiary, Wiseway acquired TAF E-Logistics (Asia) Pte Ltd (“TAF”), a Singapore-based airfreight company that has been serving the Southeast Asia market for the last 30 years. TAF runs its main operations from a customs-bonded warehouse, strategically located within Singapore Changi Airport’s Airfreight Centre and provides a full range of services including customs brokerage and clearance, local transportation, and cross-border trucking.

The strategic acquisition has established a regional hub for Wiseway in Singapore and will deliver valuable supply chain efficiencies and revenue synergies across the Company’s global network of shipping destinations and place it at the doorstep of Southeast Asia’s fastest growing economies including Indonesia, Thailand, Malaysia, and Vietnam.

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WISEWAY GROUP LIMITED ABN 26 624 909 682

OPERATING AND FINANCIAL REVIEW

3) COVID-19 Update

As an essential service provider during the COVID-19 pandemic, Wiseway has continued to operate its import and export services between Australia and Asia, despite the disruptions to the traditional trade pathways between the two regions and the significantly reduced cargo capacities due to the imposed flight restrictions.

Wiseway continues to lead in the trade industry and relations between Australia and the Asia Pacific, by offering its customers a combination of service options and alternative freight routes. The Company’s lean operating platform and strategic partnerships in the industry have helped the Company retain its current customer base and win new customers who are looking for an integrated logistics provider that caters to their everyday shipping needs.

Wiseway continues to prioritise the safety and well-being of its staff in different regions, with carefully developed operational ‘COVID-19 safe’ procedures put in place. This has ensured a safe operating environment to employees and ensured safe, reliable, and high-quality service to its customers.

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the year ended 30 June 2021

For the year ended 30 June 2021
12 months ended 30 June 2021 Note $'000 Revenue 1 126,770 Direct transport and logistics expenses (95,173) Employee benefit expenses 2 (18,415) Occupancy expenses (970) Depreciation expense 11 (5,162) Share-based payments expense - Administration and other expenses (4,066) Operating profit/(loss) 2,984 Finance costs 3 (1,436) Profit/(loss) before tax 1,548 Income tax expense 4 218 Profit/(loss) for the period 1,766 Other comprehensive income Items that are or may be reclassified subsequently to profit or loss Foreign operations - foreign currency translation differences (28) Other comprehensive income for the period (28) Total comprehensive profit/(loss) for the period 1,738 Profit/(loss) attributable to: Owners of the Company 1,774 Non-controlling interests 19 (8) 1,766 Total comprehensive profit/(loss) attributable to: Owners of the Company 1,746 Non-controlling interests 19 (8) 1,738 Basic earnings per share (cents) 5 1.25 Diluted earnings per share (cents) 5 1.25	12 months ended 30 June 2020 $'000 102,590 (74,719) (17,432) (1,065) (5,041) (88) (4,283)
	(38)
	(1,604)
	(1,642)
	(1,808)
	(3,450)
	32
	32 (3,418) (3,400) (50)
	(3,450)
	(3,368) (50)
	(3,418)
	(2.47) (2.47)

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

As at 30 June 2021

30 June 2021 Note $'000 Assets Current assets Cash and cash equivalents 6 9,934 Trade and other receivables 7 6,734 Inventories 8 120 Current tax assets - Other assets 9 4,235 Total current assets 21,023 Non-current assets Financial assets 10 451 Property, plant and equipment 11 40,847 Deferred tax assets 1,258 Total non-current assets 42,555 Total assets 63,579 Liabilities Current liabilities	30 June 2021 Note $'000 Assets Current assets Cash and cash equivalents 6 9,934 Trade and other receivables 7 6,734 Inventories 8 120 Current tax assets - Other assets 9 4,235 Total current assets 21,023 Non-current assets Financial assets 10 451 Property, plant and equipment 11 40,847 Deferred tax assets 1,258 Total non-current assets 42,555 Total assets 63,579 Liabilities Current liabilities	30 June 2020 $'000 8,607 8,299 120 866 1,663
		19,555
		451 43,184 -
		43,635
		63,190
Trade and other payables 12	7,299	6,530
Loans and borrowings 13	9,305	10,171
Employee benefits 14	1,285	1,020
Provisions 15	127	23
Current tax liabilities	659	-
Total current liabilities Non-current liabilities Loans and borrowings 13	18,675 19,217	17,744
		21,548
Employee benefits 14	211	150
Total non-current liabilities Total liabilities Net assets Equity Share capital 16 Share-based payments reserve Foreign currency translation reserve Reserves 16 Accumulated losses Equity attributable to owners of the Company Non-controlling interests 19 Total equity	19,428 38,103 25,476 26,027 1,458 4 1,462 (1,991) 25,498 (22) 25,476	21,698
		39,442
		23,748
		26,027 1,458 32 1,490 (3,755)
		23,762
		(14)
		23,748

The above statement of financial position should be read in conjunction with the accompanying notes.

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the year ended 30 June 2021

			Foreign	Retained
		Share-based	Currency	earnings /		Non-
		payments	Translation	(accumulated		controlling
	Note Share capital	reserve	Reserve	losses)	Total	interests	Total equity
	$'000	$'000	$'000	$'000	$'000	$'000	$'000
Balance at 30 June 2019	21,487	1,370	-	(355)	22,502	36	22,538
Comprehensive income
Loss for the period	-	-	-	(3,400)	(3,400)	(50)	(3,450)
Other comprehensive income for the
period	-	-	32	-	32	-	32
Total comprehensive income for the
period	**- **	**- **	32	(3,400)	(3,368)	(50)	(3,418)
Transactions with owners, in capacity as
owners
Issue of ordinary shares	4,540	-	-	-	4,540	-	4,540
Share-based payments	-	88	-	-	88	-	88
Total transactions with the owners	4,540	88	**- **	**- **	4,628	**- **	4,628
Balance at 30 June 2020	26,027	1,458	32	(3,755)	23,762	(14)	23,748

The above statement of changes in equity should be read in conjunction with the accompanying notes.

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the year ended 30 June 2021

			Foreign	Retained
		Share-based	Currency	earnings /		Non-
		payments	Translation	(accumulated		controlling
	Note Share capital	reserve	Reserve	losses)	Total	interests	Total equity
	$'000	$'000	$'000	$'000	$'000	$'000	$'000
Balance at 30 June 2020	26,027	1,458	32	(3,755)	23,762	(14)	23,748
Comprehensive income
Loss for the period	-	-	-	1,774	1,774	(8)	1,766
Other comprehensive income for the
period	-	-	(28)	(10)	(38)	-	(38)
Total comprehensive income for the
period	**- **	**- **	(28)	1,764	1,736	(8)	1,728
Balance at 30 June 2021	26,027	1,458	4	(1,991)	25,499	(22)	25,476

The above statement of changes in equity should be read in conjunction with the accompanying notes.

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

CONSOLIDATED STATEMENT OF CASH FLOWS

For the year ended 30 June 2021

For the year ended 30 June 2021	For the year ended 30 June 2021
12 months ended 30 June 2021 Note $'000 Cash flows from operating activities		12 months ended 30 June 2020 $'000
Cash receipts from customers	128,025	103,419
Cash paid to suppliers and employees Cash generated from operating activities Interest received 1 Interest paid Income taxes received/(paid) Net cash generated from operating activities Cash flows from investing activities Proceeds from sale of property, plant and equipment	(120,060) 7,965 10 (1,436) 475 7,013 -	(97,444)
		5,975 19 (1,604) (562)
		3,828
		40
Acquisition of property, plant and equipment 11	(625)	(3,407)
(Acquisition)/disposal of other investments Net cash used in investing activities Cash flows from financing activities Proceeds from issue of share capital Proceeds from loans and borrowings Repayment of loans and borrowings Payment of finance lease liabilities Payment of lease liabilities Net cash (used in)/from financing activities Net increase in cash and cash equivalents Cash and cash equivalents at beginning of the period Effects of movements in exchange rates on cash held Cash and cash equivalents at end of the period 6	60 (565) - 4,707 (5,018) (2,305) (2,477) (5,093) 1,355 8,607 (28) 9,934	361
		(3,006)
		4,540 5,644 (4,500) (923) (1,636)
		3,125
		3,947 4,628 32
		8,607

The above statement of cash flows should be read in conjunction with the accompanying notes.

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ABN 26 624 909 682

WISEWAY GROUP LIMITED

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

1. Revenue

a) Revenue streams

The Group generates revenue primarily from the provision of freight forwarding services to its customers. Other sources of revenue include interest income from term deposits.

b) Disaggregation of revenue from contracts with Revenue from contracts with customers Other revenue Interest income Other income Total revenue	customers 12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 125,977 101,981 10 19 783 590 793 610 126,770 102,590
In the following table, revenue from contracts with customers is disaggregated by business division.
2 El bfi Air freight - general cargo Air freight - perishables Sea freight Road freight Imports	12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 86,690 83,457 19,497 8,615 5,250 3,658 4,274 2,355 10,266 3,896 125,977 101,981
. mpoyee enet expenses
Salaries and wages Contractor costs Contributions to superannuation funds Increase in employee benefits Other employee expenses	12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 8,786 8,967 7,737 7,003 716 803 326 170 850 489 18,415 17,432

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ABN 26 624 909 682

WISEWAY GROUP LIMITED

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

3. Finance costs

3. Finance costs
Financial liabilities measured at amortised cost - interest expense Lease liabilities - interest expense		12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 529 661 908 943 1,436 1,604
4. Income taxes a) Amounts recognised in profit or loss
b) Reconciliation of effective tax rate Current tax expense Current year Changes in estimates to prior year Deferred tax expense Deferred tax (benefit)/expense Income tax (benefit)/expense	12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 662 158 379 72 1,041 230 (1,259) 1,578 (218) 1,808
c) Movement in deferred tax balances Profit/ (Loss) before tax Tax using the Group's domestic Australian tax rate of 30% Tax effect of: Non-deductible expenses Changes in estimates to prior years Recognition of previously unrecognised temporary differences	1,548 (1,642) 464 (492) 81 48 379 72 (1,143) 2,180 (218) 1,808
Share issue costs Trade and other receivables Property, plant and equipment Employee benefits Other payables Deferred tax assets	30 June 2021 30 June 2020 $'000 $'000 389 - 233 - 107 - 275 - 256 - 1,259 -

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WISEWAY GROUP LIMITED ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

5. Earnings per share

a) Basic earnings per share

The calculation of basic earnings per share has been based on the following profit attributable to ordinary shareholders and weighted-average number of ordinary shares outstanding.

Profit / (loss) attributable to ordinary shareholders (basic) Weighted-average number of ordinary shares at 30 June 2021 (basic)	30 June 2021 30 June 2020 $'000 $'000 1,774 (3,400) 141,134 137,455

b) Diluted earnings per share

The calculation of diluted earnings per share has been based on the following profit attributable to ordinary shareholders and weighted-average number of ordinary shares outstanding after adjustment for the effects of all dilutive potential ordinary shares.

Profit / (loss) attributable to ordinary shareholders (diluted) Weighted-average number of ordinary shares at 30 June 2021 (diluted)	30 June 2021 30 June 2020 $'000 $'000 1,774 (3,400) 141,259 137,455

6. Cash and cash equivalents

Bank balances Cash and cash equivalents in the statement of financial position Cash and cash equivalents in the statement of cash flows	30 June 2021 30 June 2020 $'000 $'000 9,934 8,607 9,934 8,607 9,934 8,607

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

7. Trade and other receivables

Trade receivables Less: Provision for doubtful debts Net trade receivables Net GST receivables Other receivables	at 30 June 2021 at 30 June 2020 $'000 $'000 6,958 8,070 (787) (725) 6,171 7,345 533 312 30 642 6,734 8,299

8. Inventories

Pallet inventory Inventories			at 30 June 2021 at 30 June 2020 $'000 $'000 120 120 120 120
9. Other assets
Deposits Prepayments			at 30 June 2021 at 30 June 2020 $'000 $'000 3,294 1,214 941 449 4,235 1,663
10. Financial assets
Term deposits for bank guarantees			at 30 June 2021 at 30 June 2020 $'000 $'000 451 451 451 451

The term deposits relate to bank guarantees as security for leased premises.

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ABN 26 624 909 682

WISEWAY GROUP LIMITED

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

11. Property, plant and equipment

a) Reconciliation of carrying amount

Cost Balance at 1 July 2019	Land and buildings Right-of-use assets Leasehold improvements Plant and equipment Motor vehicles Total $'000 $'000 $'000 $'000 $'000 $'000 11,327 19,873 6,167 1,832 10,943 50,142
Additions	- 248 1,874 1,285 3,407
Disposals Balance at 30 June 2020 Accumulated depreciation and Balance at 1 July 2019 Depreciation Disposals Balance at 30 June 2020 Carrying amounts At 30 June 2020	- - - - (230) (230)
	11,327 19,873 6,415 3,706 11,998 53,319
	(142) - (487) (338) (4,337) (5,304) (572) (2,068) (653) (391) (1,357) (5,041) - - - - 210 210
	(714) (2,068) (1,140) (729) (5,484) (10,135)
	10,613 17,805 5,275 2,977 6,514 43,184
Cost Balance at 30 June 2020 Additions Addition of right-of-use assets Balance at 30 June 2021 Accumulated depreciation Balance at 30 June 2020 Depreciation Disposals Balance at 30 June 2021 Carrying amounts At 30 June 2021	Land and buildings Right-of-use assets Leasehold improvements Plant and equipment Motor vehicles Total $'000 $'000 $'000 $'000 $'000 $'000 11,327 19,873 6,415 3,706 11,998 53,319 - - 492 133 1,802 2,427 - 292 - - - 292
	11,327 20,165 6,907 3,839 13,800 56,038
	(714) (2,068) (1,140) (729) (5,484) (10,135) (572) (1,977) (701) (417) (1,481) (5,162) (33) 95 - - 62
	(1,319) (3,920) (1,841) (1,146) (6,965) (15,235)
	10,008 16,245 5,066 2,693 6,835 40,847

b) Leased plant and equipment

The Group leases motor vehicles under a number of finance leases. At 30 June 2021, the net carrying amount of leased motor vehicles was $6,835,000 (30 June 2020: $6,514,000).

During the year ended 30 June 2021, the Group acquired motor vehicles with a carrying amount of $1,802,000 under finance leases (2020: $1,285,000).

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

12. Trade and other payables

12. Trade and other payables
Trade payables Other payables		12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 4,324 5,017 3,275 1,513 7,599 6,530 30 June 2021 30 June 2020 $'000 $'000 1,084 2,739 3,061 1,511 160 921 5,000 5,000 9,305 10,171 5,230 4,822 13,987 16,726 - - 19,217 21,548
13. Loans and borrowings
Current liabilties Finance lease liabilities Lease liabilities Loans from related parties Secured bank loans Non-current liabilities Finance lease liabilities Lease liabilities Secured bank loans

a) Finance lease liabilities

Finance lease liabilities are payable as follows:

Less than one year Between one and five years More than five years	Future minimum lease payments Interest Present value of minimum lease payments 30 June 2020 30 June 2020 30 June 2020 $'000 $'000 $'000 5,459 (1,209) 4,250 14,890 (3,010) 11,880 11,055 (1,387) 9,668
	31,404 (5,606) 25,798

	31,404	(5,606) 25,798
Less than one year Between one and five years More than five years	Future minimum lease payments 30 June 2021 $'000 5,220 16,511 6,226 27,957	Interest 30 June 2021 Present value of minimum lease payments 30 June 2021 $'000 $'000 (1,075) 4,145 (2,909) 13,601 (621) 5,616 (4,605) 23,362

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WISEWAY GROUP LIMITED

ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

The secured loan facility of $5,000,000 was fully paid down on 2 July 2021 and is available for redraw.

14. Employee benefits

14. Employee benefits
Current Liability for annual leave Other employee benefit liabilities Non- Current Liability for long-service leave	30 June 2021 30 June 2020 $'000 $'000 778 513 507 507 1,285 1,020 211 150 211 150
For details on the related employee benefit expenses, see Note 2. 15. Provisions
Provision for make good expenses		30 June 2021 30 June 2020 $'000 $'000 127 23 127 23
16. Capital and reserves a) Share capital
Date Details 30 June 2020 Opening Balance 7 April 2021 Ordinary shares issued - employees 30 June 2021 Closing balance		No. Issue price $'000 140,318,769 - 26,027 3,500,000 - - 143,818,769 - 26,027
		'
Date Details 30 June 2019 Opening balance 27 August 2019 Ordinary shares issued - AZ Global 30 October 2019 Ordinary shares issued - employees 30 June 2020 Closing balance		No. Issue price $000 121,074,003 21,487 18,161,100 0.25 4,540 1,083,666 - -
		140,318,769 26,027

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WISEWAY GROUP LIMITED ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

17. List of subsidiaries

Set out below is a list of material subsidiaries of the Group.

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18. Acquisition of subsidiaries

During the year, the following wholly owned subsidiaries were incorporated:

Subsidiary	Country	Date of incorporation
Wiseway Logistics Inc.	United States of America	Incorporated 17 February 2021
Wiseway Logistics Pte. Ltd.	Singapore	Incorporated 23 June 2021

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WISEWAY GROUP LIMITED ABN 26 624 909 682

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 30 June 2021

19. Non-controlling interests

The following table summarises the information relating to each of the Group’s subsidiaries that has non-controlling interests, before any intra-group eliminations.

Non-controlling interest % Revenue Profit / (loss) Total comprehensive income Profit / (loss) allocated to non-controlling interests Current assets Non-current assets Current liabilities Non-current liabilities Net assets Net assets attributable to non-controlling interests Cash flows from operating activities Cash flows from financing activites Net increase / (decrease) in cash and cash equivalents

Four Seasons Four Seasons Pty Ltd Pty Ltd 12 months ended 12 months ended 30 June 2021 30 June 2020 $'000 $'000 49% 49% 1,860 3,139 17 (102) 17 (102) 8 (50) 213 432 5 5 (13) (8) (250) (457) (46) (28) (22) (14) 211 26 - 176 211 211

20. Going concern basis for the financial report

Management has prepared a detailed financial forecast for the next 12 months which indicates that the Group has the ability to meet its debts as and when they fall due. Accordingly, the Directors have prepared the financial statements on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course of business.

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