Ann: Coffee MicroCaps Presentation, page-3

Some notes from the call. The highlighted points in the growth section are of particular interest. If they can land contracts via a new partnership of Government infrastructure monitoring program, I think it would be very well received!!

$7mil MC ~ $5mil EV
- The ability to bring down the cost of drone data for users
- Ai used to process the high volume of data
- The business is about signing up long term, multi-year contracts with customers
- The company integrates a number of key software solutions to tailor a solution for a specific customer
- It's about wrapping the hardware and software within the regulatory approval framework
- Focused on the mining, agri and critical asset industries (significant growth potential for RKT to service)
- Strong Tier 1 + 2 customer base
- RKT has grown over a number of years with their customers, which has helped imbed their offering with the clients
- RKT's output integrates into the customer's system to deliver the analytics required for the customer to make key decisions
- Value drivers in totality helps build a moat for the business - training, distribution, automation, Ai & software integration, economies of scale + scalable operating model

Financial highlights:
- Half year was flat compared to last year as a result of focusing on the new product launches and tender submissions
- Focused on building a business that can deliver long term revenues streams
- South32 ann that was made post qtr end sees the business with a $3mil ARR and $5.5mil Total contract Revenue at present. A much better result than the charts shown for qtr end.
- Enough money in the bank to continue to deliver. The company is focused on growth opportunities
- 30% of business comes ex Australia and they are keen to grow this
- The style of contracts being longer term, reoccurring orientated won't see large swings in revenue y.o.y, it's about continuing to build contract wins on top of the current stack
- Very focused on minimising the cash burn - def not a lifestyle company

Growth opportunities:
- The new Xbot solution, recently approved by CASA, will see the Ai and autonomous data collection offering be available to a wider range of customers. Each unit starts from around $5k p.m. for the base level product solution offering.
- Discussions will be had initially with existing customers using previous solutions
- The customer is looking for more than a photo, they are wanting to make decisions
- Currently working with Government around solutions for infrastructure to extend the life of asset via implementation of a risk based / monitoring solutions. Until now there hasn't been a consistent way of doing so. Trials underway with a number of parties at present.
- A partnership model would see the RKT partnering with companies in industries that can use the RKT service offering as part of their total solution. A couple of partners being worked with at the moment beyond the Strayos partnership that will come to light post proof of concept. A good way to tap into their customers / market opportunities.
- CASA approval took 2+ years - 3 levels to the license signoff required - company, people and aircraft.