Ann: Investor Update, page-2

well, no significant changes from that presented previously.... having said that, was very impressed with the $5m-$6m EDITDA already. But, some quick notes:

- Depreciation and ammortisation in the prelim report for 2017 fin year was $3.08m. Therefore, I would suggest this makes up the majority of difference between the NPAT forecast of $2-2.5m and EBITDA forecast of $5-6m.... The balance will be interest. This is good, as Depreciation and ammortisation naturally has little effect on cashflow.
- Net Cashflow forecast (after finance costs) of $2.785m. Nice.
- Revenue forecast at $20-$21m, a massive growth. However, it appears only revenue of $1m for eftpos in 2018 year. This may possibly be very conservative. Either way, I would have thought this was going to be a strong percentage of the forecast revenue growth, but, its not even 10%. This lends very well for a very good 2019 year when no doubt the delayed eftpos products begin to make their mark.
- No revenue included in this guidance for bit coin in the 2018 year. This is understandable, based on the timeline indicating H2FY18 as rollout time frame. I would assume this would be May/June at the earliest.
- I love the example of a conversion of 1 Bitcoin.... the present price based on the % fees being charged indicates a transaction fee of $232, as opposed to an ATM transaction fee (on cash) of $2.50.

very happy with the potential of the year ahead.