ikeGPS Group Limited

I'll hand it over to you. Great. Thank you, Simon. And thank you, everyone, for taking the time to join. We've had a lot of information in the market over the last two months or so in terms of the year end and the audit and then the annual report. But please update everyone on the first quarter. It's been a really strong quarter. It's ahead of our plan, ahead of our targets. And Paul will take you through the numbers, but we were about 31, 32 percent up against prior calendar period in terms of exit run rates for our subscription revenue base. Gross margins kept improving. I think the thing that as owners of the business and shareholders you'll be most interested in is where we are in terms of coming to market with three new products and I would like to take you through those because they will drive we hope if we execute well materially more ARR growth based on a customer council and industry demand in terms of what we are building and we are being a little bit coy at the moment because of competitive factors around exactly what we're shipping through the second half of this year but uh we we do have a new platform coming that takes us into the the management of the electrical side of the grid you know taking power from the distribution assets on the street into the into a home or a business uh we've got a a next generation product coming that takes us into make ready engineering so that means Electric Utility can design and develop more capacity in terms of their grid infrastructure and we've got a new communications module for the fibre industry. So all of these things are in flow and wanted to make sure everyone's up to speed on that. It's what we got funded to build and develop. And then there's a final thing around AI. We've now got our entire Ike-specific platform up and running. This is something everyone's reading about it. We're all looking at the same media, etc. But we have an Ike-specific platform called Vitruvius, which is now driving a lot of not just how we do things which is very Ike specific it's around the electrical grid but it's also how we put AI inside of our products but I'm going to hand over now to Paul and scroll down this document so please bear with me and Paul will take you through the numbers so Paul as you know is our CFO we're both based out here in Colorado so Paul

Thank you, Glenn. I'll just start by clarifying. I know that many of you commented and have seen an amended release. I just want to call out that being very consistent with what we shared last quarter, our guidance for subscription revenue is similar growth rate to what we saw last year. And that was an edit that we caught as we went to market. So I just want to clarify that you are seeing the amended release. The guidance is really the major change. Again, a very high guidance and similar to what we saw in FY26. If I look at the exit run rate, so this is our ARR run rate at the end of June 30th, you can see a very strong continuation of the growth, 22 million at the end of June FY26. Sorry, 2026, that's our FY27, comparing with 17 million in the period last year and 13 million the year before. That's a 31% growth rate. Granted, FX helped by three to four basis points, so still a very strong quarter for us. and that's a continuation of a very strong CAGR at 30%. So our exit run rate ARR growing compound annually at 30% and it was 31% for the annual comparable. Just moving to subscription revenue, We've talked a lot in the past about growth coming from new logos and upsells, cross-sells to existing customers. One thing we don't talk about too much is the churn. We see very low churn in our business, certainly in the last few months and even looking back last year. So we have a very sticky solution. Customers are buying it. We don't lose a lot of revenue. and you can see on our platform subscription revenue chart is a 27% growth year over year for the first quarter of FY27. Just going down to the next slide, it's really the seat comparable. Again, looking at our products and more from a seat perspective, we do predominantly sell on a per seat model for our subscriptions. We are looking at our new products and pricing models associated with that, but you can see 19% seat growth. So really the 19% seat growth shows that Many of the seats we're selling are at a much higher price. Clearly our subscription revenue outpacing seat growth, so definitely getting more from our price increases as well as higher pricing from some of the customers that we're selling to. So again, continued strong seat growth through the first quarter of FY27. If you jump, Glenn, now to the next slide, one thing to talk to is our transactions revenue. So this is our services business where we do services work for some of our customers. Most of it, but not all of it, is heavily predicated on our telecommunication, broadband, fiber business. And we've commented on past earnings calls or performance updates about BEAT funding, government funding, and a change in the US administration. And the bottom line here is it has been slow in terms of projects in the market. Read this slide as macroeconomic, not execution by the business. We feel this is a low point for us. There is line of sight to projects, but again, freeing up that broadband funding for rural fiber rollouts has taken longer than we anticipated. That's reflected in these numbers that you see here. I don't know, Glenn, if you want to comment on that, or you want me to just keep going? Sorry, you're on mute. Hey, Glenn, you're on mute.

Yeah, we believe that The fiber market has not gone away and we've got line of sight, I think, to the next three, four, five years of fiber projects. And so, yeah, there has been a bump in the road. And this is the services-based item. Remember, all of these customers use our software. Then we're adding a value-added service over the top of it is the way to think about this business. And the next chart actually talks to that quite strongly if you look at how... the pure subscription part of the business has grown in terms of ARR.