Yes, good to know that that we have some "heavy hitters" as...

Yes, good to know that that we have some "heavy hitters" as shareholders, and that they generally aren't selling any shares

But apart from that, this annual report was very ordinary IMO

Revenue was up $4.265m to $12.26m (which was obviously good).

However, expenses went up a massive $8.43m to $18.7m - with wages & salaries alone increasing by over $2m this FY

Which meant that the Nett Operating Loss increased by $4.2m to a huge $6.43m

And it also meant that EXT had negative equity at 31 March 2025 (which was before the latest CR).

Overall, whilst I understands it's importance to EXT going forward, I am now wondering whether we have been told the whole truth about the profitability of the CDFS acquisition???

This was the statement released by EXT in the 28 October 2024 quarterly report (see in bold below):

The incorporation of CDFS in the Group aims to enhance financial performance, boost service delivery and growth, particularly in cyber strategy and digital forensics.

For illustrative purposes only, had CDFS been part of the Group at the commencement of the September, quarter, Group customer receipts would have been $6.29M (unaudited) and net operating cashflows would have been $841K (unaudited).

Since then, we have had two very underwhelming 4C quarterly reports (Jan 2025 & April 2025) - with large cash outflows of $2.314m in the Oct to Dec 2024 quarter, and then a small $234k cash inflow result for the Jan to March 2025 quarter.

And then this poor annual report - wit ordinary financials, & which also contains the following "gem" of a statement:

Likely developments and expected results of operations

The Group will continue to pursue opportunities to deliver its cyber security services to enterprises and the government sector.

Operating costs will continue to outpace revenue until sales from current and future contracts commence to generate significant revenue streams and margin improvements can be obtained.

The Group has monitored its cash flows closely and will ensure that ongoing operational costs are managed in line with available resources.


I like where this business is heading from a revenue viewpoint, but I am starting to get concerned that there is not much cost control - so it won't matter how much revenue they can generate going forward (as they will still make large losses) ??

Would really appreciate other people's / shareholders thoughts on this.

Thanks in advance!!