15.10.2020 iSignthis: 30 June 2020 Half-Year Report

15.10.2020 iSignthis: 30 June 2020 Half-Year Report

Key Highlights 1H20 versus 1H19

Revenue : $19.5 million Up 173% from $7.1 million in H12019
Profit (after tax) : $770k up from a loss of $875k in H12019, inclusive of a tax expense of $734k in the period


Normalised Profit (after tax) : $3.4 million for the half (excluding a one off write down of the NSX investment of 1.6 million and $1m legal costs), from a loss of $875k in the prior corresponding period
EPS : $0.07 cents, up from a loss per share of $0.08 cents
R&D Investment : $363k up 101% from $181k

Melbourne, 14th October 2020: iSignthis Ltd (‘the Company”) is pleased to present to final
half year accounts of the Company, post completion of the half year audit review.

John Karantzis, Managing Director of iSignthis Ltd, said ”I’m pleased to present a half year
profit, demonstrating the solid foundations which we have built over the last few years.

Our recurring revenues continue to grow, despite some significant business and
reputational impacts during the period as a consequence the ASX’s suspension and
“Statement of Reasons”.

We continue to invest in research and development of further extensions to existing or new
platforms and services, which we expect will position us for further growth in the EEA.
Following a year of disruption due to the ASX matter and COVID-19, the Company is now
also in a position to consider its options fully with regards to further territorial expansion
outside the EEA.”

The Company advises that through completion of the audit review process there have been
a number of minor changes to the accounts of the Company, since the preliminary accounts
were released on 28 August 2020.

The reported profit after tax for the half year has decreased by $58,152, to $770,028 and net
assets reduced by a total of $107,897 to $24,961,226. These changes are largely due as the
result of finalisation of acquisition accounting for the UAB Baltic Banking Services business,
acquired in 2019. The reported cash at bank has reduced from $16.1m to $15.5m, due to an
offsetting reduction in contract liabilities.

The Company in the same period invested $5.7m cash to acquire 19.22% of the NSX Limited
and received $3.2m for the NSX investment in ClearPay Pty Ltd, such that normalised cash
at bank without this investment would have increased to $18m.

Legal costs of $1m have also been incurred in our claim against the ASX for misleading and
deceptive conduct with the damages claimed currently quantified at $462m.

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