3q conference call

A solid performance. Ramin on top of his game and impressive as always as Alan's right hand man.

Key Points:

1. $22.6 million cash receipts nine months YTD. More to come in 4Q 2014.

2. Cash receipts from ten ongoing customer programs. Existing programs are Novartis, Sanofi, Hikma, Medimmune leaving six additional clients generating cash receipts including several wearable injector programs, which at this stage remain commercial in confidence as they transition to commercial supply.

3. Clear pathway to profitability based only on existing supply agreements secured to date.

4. Commercial supply revenues from one Unifill product, presumably Hikma, to commence fiscal 1Q 2015/June 2014 - supply from existing production line.

5. Fiscal 2Q 2015/Sept 2014, two additional Unifill products will commence commercial sales from two new production lines.

6. Commercial sales of these three Unifill products will accelerate through fiscal 2015 and beyond.

7. Existing Unifill contracts will generate cumulative revenue of $1 billion annually over term of the contracts.

8. Existing manufacturing capacity for Unifill is either sold or reserved for clients. New lines on order and currently being built.

9. New production capacity is being scaled up for products outside Unifill. Assembly lines/components have been ordered and are being installed according to client ramp programs.

10. Inherent value of the multiple wearable injector programs is not reflected in the current SP valuation.

11. Ocu-Ject is already generating cash receipts through the customization program for existing client.

NB Several other clients are pursuing Ocuject technology which stands alone in its class - i.e. no current competition.

12. Expect to continue reporting sequential quarterly revenue growth, and significant annual revenue growth.

NB Actual expected sales revenue for FY 2014 will be in the range of $10-15 million. This is over and above cash receipts/milestones from various development and customisation programs that are currently in the process of transitioning to commercial supply.

$10-15 million in actual sales revenue in 2014 suggests a decent ramp up of Unifill production in 4Q. All systems go!

13. Commercial sales revenue will be significantly higher in FY 2015. Too early for formal guidance. This will be reviewed on a quarterly basis to try and provide greater clarity.

14. Commercial activity is now underway across all six product platforms.

15. Anticipating a strong finish to 2014 and start to 2015 as commercial sales are ramped up from existing and new clients.

16. A number of different production lines. To aggregate, they anticipate having production capacity of a "few hundred million units" across three Unifill product platform in FY2015-2016. There will be three distinct products from Unifill platform commercially selling in FY 2015.

17. In aggregate it is anticipated they will be selling a "few hundred million units" of wearable injectors in 2015-16, as planned, in meeting the current demand forecast of customers.

18. Capex will end 2014 at roughly twice 2013, and is set to double again in 2015, which sets the trend for growth going forward until it - capex - begins to flatten off in 2016-2017

19. Capex will be funded from cash receipts, debt funding and equipment finance, whatever is best combination of funding at the time. The trend of cash receipts as a major source of capex funding set to continue.

20. Very confident of their competitive advantage in the wearable injector market.

21. Interesting response to a question about Hikma. Ramin at pains to say he did not specifically mention Hikma commercial supply as part of the ramp up in 4Q 2014. They have several other customers "that are that close to commercial supply." Seems there is more going on in the Unifill space than is evident at first glance.

22. The Hikma program is going very well. Hikma executive very pleased with progress and all going according to plan. They anticipate accelerating the program in various areas.

NB They anticipate bringing a number of Hikma drugs to market as soon as Hikma are ready.

23. In response to a question, Alan said there are a significant number of deals in the pipeline that could drop at any time. These are significant deals for wearable injectors. 5 million units per annum wearable injectors at $20-30 per unit. He then said - 50-51 minutes - "so we are working on four that are generating cash income that we have not identified publicly.

NB So there we have it - four additional wearable injector deals about to hit.

24. Re additional production lines, Ramin said "Off the top of my head I can count 3-4 additional lines that are on order and at various stages of receiving the components and being installed, totalling several hundred million units combined production capacity per annum across all the product platforms.

25. New R&D projects - "are many and proliferating with new customers seeking out Unilife on a weekly basis."

NB Tremendous demand in smart devices for very advanced products. Currently supplying working prototypes to several new customers, which will be revealed in the next 6-12 months.

26. "Very happy to say that in the next two quarters we will see increasing sales revenue, and thus will also be reporting cost of goods sold -CGS - as opposed to reporting it as straight R&D."

27. Ocu-Ject deal is progressing extremely well. Feedback from customer is excellent. Extremely excited about Ocu-Ject.

NB Currently in interaction with many pharma in ophthalmology space who are pursuing Ocu-Ject for many specific and unique needs.

Believe that, because of its design and ability to deliver accurate doses - something that is not currently possible, and never has been - that Ocu_Ject will become the industry standard.

Very, very active in this space. More unmet need than they ever anticipated.

NB "Anticipate being able to announce some of these programs in the near future. Some of them may be before we disclose more information about the deal they have already announced."

Worth a good listen at around 1 minute in.

28. Re competition, yes, always competition, but no company has the same range of differentiated platforms as Unilife.

Very confident of taking a lead position in the wearable injector space. At this stage not seeing any other company out-performing or out-innovating Unilife in any area.

Very respectful of their competitors, and their products. But, customers are very smart and know what they want. Creating very complex programs that Unilife are able to fulfil.

Customers are asserting themselves now more than ever about what they want. Unilife, as a small, nimble comany, is in a unique position of being able to meet customer needs in a timely manner. MOre so than large incumbents.

So, that's it. Everyone can make of it what they like. IMO we are in the best shape we have ever been in. From here on in it will only get better, and faster than many anticipate.