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ZICOM GROUP LIMITED Capital/Financing Update 2012

Jul 16, 2012

66117_rns_2012-07-16_37bb3c8a-b6db-4d1c-ab24-1c425fb68364.pdf

Capital/Financing Update

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Zicom Gr Limited ABN 62 009 816 871 oup

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38 Goodman Place, Murarrie, Queensland 4172Tel: (07) 3908 6088Fax: (07) 3390 6898

17 July 2012

Market Announcement Office Australian Securities Exchange Level 6, 20 Bridge Street SYDNEY NSW 2000

Dear Sir,

PROFIT UPDATE 2012

We refer to our revision of our Profit Warning on 07 February 2012 advising that the Group’s profits after tax for the year just ended 30 June 2012 were expected to drop by 50-60% as compared with previous year.

We are pleased to advise that based on unaudited accounts that are subject to final audit adjustments, the Group’s profits after tax for the year just ended are expected to turn out better and to fall within the range of S$7.5m to S$8.0m representing a drop in the range of 43.1% to 46.7% from the previous year.

PROFIT UPGRADE 2013

Although the global economic situation remains uncertain and challenging and may deteriorate further before it gets better, the Group’s business prospects remain strong.

We are gratified to announce that based on current forecasts of strong order prospects, barring no unforeseen circumstances, your directors are hopeful that the Group’s profits after tax for the current financial year ending 30 June 2013 are likely to increase by more than 40% on the profits for the year just ended on 30 June 2012.

The strong recovery in performance is expected to be underscored by the following factors:-

  • a) Sustained recovery in the offshore marine sector

  • b) Sustained demand in the oil and gas sector with strengthened management

  • c) Sustained demand in construction equipment

  • d) Sustained growth in precision engineering and automation

  • e) Some start-ups’ technologies being commercialised, gestation costs contained.

Yours faithfully Zicom Group Limited

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G L Sim Chairman.