Ann: Quarterly Activities Report and Appendix 4C, page-18

SECOND QUARTER FINANCIAL RESULTS
Receipts from customers for the quarter totalled $4,207,000 (Q3: $178,000), driven by $4,056,000 of receipts received under the Pfizer research and development licence agreement.

Other customer receipts related to payments from customers for SleepCheck downloads and ResAppDx use, as well as additional advanced payments from Janssen.

Research and development payments increased to $1,625,000 (Q3: $410,000) due to the additional costs for recruitment in US and India COVID-19 studies during the quarter.

Advertising and marketing costs decreased to $55,000 (Q3: $70,000). Staff costs remained approximately constant at $1,050,000 (Q3: $1,018,000).

Administration and corporate costs increased to $766,000 (Q3: $257,000) due to costs associated with recent corporate and transactional activity. The company paid $150,000 in US withholding tax on the upfront payment from Pfizer under the research and development licence agreement.

The company made payments of $177,000 to directors during the period ($64,000 for nonexecutive director fees and $113,000 for executive director fees). Overall cash increase was $622,000 (Q3: decrease $1,706,000), with net cash from operating activities totalling $636,000 (Q3: net cash used in operating activities $1,577,000). ResApp retained a cash balance of $2.3 million at the end of the quarter.