ZOONO GROUP LIMITED — Interim / Quarterly Report 2021

Feb 24, 2021

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Zoono Group Limited (ASX:ZNO) Results Presentation Half-Year ended 31 December

2020

Fight Harmful Germs

CONTENTS

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1 Financial Information

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Zoono Group Limited #1

Financial Information

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1.1 Business Highlights – Half-Year 31 December 2020

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Strong FY21 Half-Year financial performance & high operating margins achieved with low overheads (orders of NZ$7.1m in December if shipped revenue would have been NZ$21.5m)

Revenue (Group)

• Total Revenue: NZ$14.4m (FY20: NZD$1.7m) + NZ$12.7m improvement

• +741% increase vs. FY19

EBITDA (Group)

• Operating EBITDA: NZ$2.9m (FY:20 NZ$(0.7m)) + NZ$3.6m improvement

+541% increase vs. FY19

• Inventory: NZ$14.3m increase of NZ$14.0m over FY20

• Group Revenue: NZ$14.4m (+741% vs. FY19)

FY21 vs. Consolidated Profit & Loss Actual Actual FY20 (NZ$m) FY21 FY20 % Revenue Revenue - Total 14.4 1.7 741% Gross Profit 8.5 0.9 854% Margin (%) 59.1% 52.1% + 7.0% improvement EBITDA EBITDA (Operating) - Total 2.9 (0.7) 541% Margin (%) 20.1% (38.2)%

EBITDA

• Group Operating EBITDA: NZ$2.9m (+541% vs. FY20)

• NPAT: NZ$1.9m (+362% vs. FY20)

• EPS (NZ$): 1.16 cents per share (FY20 (0.45) cents per share))

• Dividend: NZ$3.1 cents per share

• Net assets: $18.0m (sufficient balance sheet capacity to fund organic growth)

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1.2 Financial Summary – Consolidated Balance Sheet Half-Year

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Strong balance sheet - sufficient capacity to fund growth

Balance Sheet (31 December-20)

• Net assets: NZ$18.0m (FY20: $3.2m) + NZ$14.8m improvement

• Net cash: NZ$7.3m (FY20: $2.7m) + NZ$4.6m improvement

• Gross cash: NZ$7.3m (FY20:$2.7m) + NZ$4.6m improvement

Capital Efficiency Metrics

• ROA: 9.9% (FY20 (14.2)%)

• ROE: 10.6% (FY20 (22.8)%)

• NTA: NZ$12.4m (FY20 NZ$ 3.1m)

• NTA per Share (NZ$): 8.0 cents per share (FY20 2.0 cents per share)

• EPS (NZ$): 1.17 cents per share (+361% vs. FY20)

• EPS (NZ$ diluted) : 1.15 cents per share (+350% vs. FY20)

Earnings Per Share	Dec-20	Dec-19
Earnings per Share (EPS)
NPAT Attributable to Shareholders (NZ$m)	1.9	(0.7)
Weighted Average Ordinary Shares (m)	163.6	163.1
Weighted Average Ordinary Shares diluted (m)	165.6	163.1
Earnings Per Share	1.17 cents	(0.45) cents
Earnings Per Share Diluted	1.15 cents	(0.45) cents

	Balance Sheet (NZ$m) Actual Dec-20 Actual Dec-19
	Total Assets Net Assets 33.7 18.0 4.5 3.2 Cash Debt (3rd Party) 7.3 0.0 2.7 (0.0)
	Net Cash / (Debt) 7.3 2.7
	Capital Efficiency Metrics Actual Actual
	(NZ$m) Dec-20 Dec-19
	Return on Assets (ROA) NPAT Attributable to Shareholders 1.9 (0.7) Total Assets 33.7 4.5 Return on Equity (ROE) NPAT Attributable to Shareholders 1.9 (0.7) Shareholder Funds 18.0 3.2
	Net Tangible Assets (NTA) Total Assets 33.7 4.5 Intangible Assets Total Liabilities 5.5 15.7 0.05 1.3 Net Tangible Asset per Share (NTA per Share) Total Assets 33.7 4.5 Intangible Assets Total Liabilities 5.5 15.7 0.05 1.3 Weighted Average Ordinary Shares (m’s) 163.6 163.1

1 Excluding IPO and other transaction related expenses and $4.6m non-recurring gain on sale of businesses in 1H19

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Commercial inConfidence

2 Statutory NPAT attributable to JLG Shareholders excluding $2.9m non-recurring gain on sale of businesses in 1H19 ($4.6m @ 90% JLG interest and tax-effected at 30%)

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1.3 Financial Summary – Cash Flow & Working Capital Strong operating cash inflow despite tax payment of NZ$2.5m compared to prior corresponding period

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Working Capital 31 December-20

• Working capital is actively managed with strong focus on cash flow.

• Huge investment in inventory of NZ$14.3m to supply customers relatively quickly.

• Majority of customers are 50% cash upfront on placing orders and 50% prior to delivery with terms for the rest.

• Dividends of NZ$5.1m and Tax payment of NZ$2.5m reduced cash balance at half-year.

• Low capital intensive business.

• No external bank debt

Cash inflow /(outflow) from Operating	Actual	Actual
Activities
(NZ$m)	Dec-20	Dec-19
Net cash provided / (used in) operating
activities	3.6	(0.4)
Cash outflow from Investing Activities	Actual	Actual
Working Capital (NZ$m)	Actual Dec-20	Actual Dec-19
($m) Net cash used in investing activities	Dec-18 (0.7)	Dec-19 (0.0)
Cash inflow / (outflow) from Financing	Actual	Actual
Activities
(NZ$m)	Dec-20	Dec-19
Net cash provided / (used in) financing
activities	(5.08)	(0.044)
Net increase / (decrease) in cash and cash	(2.16)	(0.44)
equivalents held
Total effects on foreign exchange	(0.87)	(0.021)
Cash and cash equivalents at beginning of	10.3	3.1
year
Cash and Cash Equivalents at Half-Year	7.3	2.7

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1.4 Key Metrics – Revenues Half-Year FY21

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Group Revenues:

• B2B NZ$11.6m 81%

• B2C NZ$2.2m 15%

• Animal Health NZ$0.6m 4% (Orders in Dec of NZ$0.5m and Jan NZ$0.4m not yet shipped)

• Total NZ$14.4m 100%

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Global Locations

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Im ortant Notice & Disclaimer p

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Zoono has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Whilst provided in good faith, to the maximum extent permitted by applicable laws, Zoono makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for (1) the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission from, any information, statement or opinion contained in this presentation and (2) without prejudice to the generality of the foregoing, the achievement or accuracy of any forecasts, projections or other forward looking information contained or referred to in this presentation.

This overview of the Company does not purport to be all inclusive or to contain all information which its recipients may require in order to make an informed assessment of Zoono’s prospects. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation before making any investment decision.

Future Performance

This presentation contains forecasts, projections and forward looking information. Such forecasts, projections and information are not a guarantee of future performance and involve unknown risks and uncertainties, many of which are out of Zoono’s control. Actual results and developments will almost certainly differ materially from those expressed or implied.

Zoono disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise. The words “believe”, “expect”, “anticipate”, “indicate”, “contemplate”, “target”, “plan”, “intends”, “continue”, “budget”, “estimate”, “may”, “will”, “schedule” and other similar expressions identify forward-looking statements. All forward-looking statements made in this presentation are qualified by the foregoing cautionary statements. Investors are cautioned that forward-looking statements are not guarantees of future performance and accordingly investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein.

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NZ +64 9 600 1188

zoono.com | Zoono Group Limited (ASX:ZNO)

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