Ann: December 2021 Quarterly Report and Business Update, page-65

I think everyone in some way has covered this report. For the first glance I will assume some people will panic at no increase in TTV and some slight delays in implementation, but there is a lot of underlying parts to this that look terrific for any longer term investor.

1) Showing cash flow positive for the quarter.

2) NO bad debts - this is just unbelievable

3) IDSB almost doubled it's profit from Dec 2020 to Dec 2021 but we are still looking at a reduced payment from first assessment and may not need any type of CR for the second tranche.

4) Pilot program well underway for IDSB customer base - this will be big once implemented fully

5) Razer into full implementation and I like what they have written - "Relationships with quality partners who manage large communities of high value merchants and consumers is a core focus of the company's strategy". This means look out for the first 140 merchants they are signing up because they won't be small fry and they won't be single store merchants

6) Margin of 10% is awesome. This holds us in good stead if and when we need to get wholesale financing. Even at 3.5% interest we would still be over 6% which is fantastic for BNPL margins

7) iSentric down in digital transactions but explained by thte moving to a larger database centre with better infrastructure. That means only one thing - they are expecting big growth in numbers moving forward. This is a massive positive

8) Large staff increase. I look at this as a postiive. Some people will say we are over staffed for what we are turning over, but I say it is staff for future business they know is coming. It is a very strong positive indicator for me.

9) Update to APP still on schedule fo this quarter and I like they wrote they will be doing another marketing and advertsing campaign to push it.

For a shorter term view I think there will be people who will be quite negative, but anyone with a 6 month or longer view, things are looking very positive. There is still huge news to come of the DBL licences by March which I am sure will have an impact on both IOU and iSentric.

Could this report have been better? Yes it could, but like I said in the above, if you are taking a slightly longer term view on this, there is almost nothing not to like. I'll be staying in and not moving my investment.