Ann: Appendix 4C and Business Activity Report - Dec-22 Qtr, page-9

Very poor result - really no other way to call it.

In summary:

• worst result in cash receipts since Q2 2021
• no discernible increase in US ECP numbers selling product - Q4 2020 was last time it was this low.
• drop in revenue per US ECP back to $829

All of this in a market environment that is expanding rapidly in the US (and elsewhere). Clearly we are having trouble penetrating in the US with the resources we can throw at sales, and the lack of the FDA approval (hence off-label prescribing required).

The only mitigating factors I can think of are:

• Cash use for the full year is bang on the $6M guidance - well done on cost control Brian, but the revenue generation not so flash buddy
• Heavy discounting in the UK would limit any contribution this quarter, but man, we had better see some evidence of impact next quarter
• Menicon bloom really just getting started as indicated by Menicon's own timetable.

I don't have any real concerns about the cash lasting the distance, but there is certainly a significant chance that we are not going to ramp significantly until the RCT indicates a strong positive result at the end of the year.

Looking like a long wait....