Ann: Q3 FY2020 Business Update and Appendix 4C, page-2

Hi all,
Today Alcidion released its Appendix 4C quarterly cash flow report for the period ending 31 March 2020 (Q3 FY2020). We are pleased to report solid performance amidst the COVID-19 pandemic.

In Q3 we added $4.2M sold revenue to our pipeline, with $2.4M of this to be recognised in FY2020. Total FY2020 sold revenue stands at $17.2M at end Q3, surpassing FY2019 revenue ($16.9 million) at the full year. The pipeline of sold revenue out to FY2025 remains healthy at $41.6M. During Q3 we signed significant contracts including Calvary Health Care to implement a data warehouse, as well as Townsville Hospital and Health Service for Smartpage. This is our first Smartpage implementation in Queensland.

We’re also pleased to announce an extension to the engagement with Murrumbidgee LHD for an initial 12 month period, with a value of at least $488K. Murrumbidgee will continue using our Miya Precision platform for 12 months following the pilot at Wagga Wagga Base Hospital as part of eHealth NSW’s Proof of Concept (PoC) challenge. Murrumbidgee will also roll out Miya MEMRe to an additional 300 clinicians and implement a COVID-19 monitoring dashboard for both in-hospital and remote monitoring of cases. Further contracts signed in April are detailed in the Appendix 4C cover note.

While the COVID-19 crisis is yet to significantly impact operations, we continue to closely monitor for potential risks to the business. With resilient revenue, a healthy sales pipeline and strong balance sheet, we are well-positioned to respond to any potential risks. Q3 demonstrated our ability to adapt to changing healthcare needs, and new projects to support these needs have largely offset projects that have been deferred. At present, we believe we are well-positioned to maintain current operations going into Q4, even if this means scaling back some planned spends on scaling up in the short term.

View the full Appendix 4C here

Alcidion Managing Director Kate Quirke will host a conference call with investors this morning at 9:00am AEST. Dial-in details can be found in the Appendix 4C cover note. For those unable to join the call, an mp3 recording will be made available on our Investor Centre later today.