Rakon 2022 Annual Meeting Chair’s Address and Presentation

Rakon Limited
T +64 9 573 5554, F +64 9 573 5559
8 Sylvia Park Road, Mt Wellington, Auckland 1060, New Zealand
Private Bag 99943, Newmarket, Auckland 1149, New Zealand
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11 August 2022

Rakon (RAK) Annual Meeting Chair’s Address and Presentation

The Annual Meeting of Rakon Limited will be held today 11 August 2022 at Guineas 1 Room, Ellerslie
Event Centre, 80 Ascot Avenue, Remuera, Auckland, New Zealand and online via
www.meetnow.global/nz at 11.00 am.

Attached is a copy of:

Chair’s Address

Rakon 2022 Annual Meeting Presentation

This material will also be available on Rakon’s website www.rakon.com

-ends-

Contact:
Maureen Shaddick
Company Secretary
+64 9 571 9238

Media Enquiries:
Richard Inder
The Project
+64 21 645 643

www.rakon.com

About Rakon
Rakon is a global high technology company and a world leader in its field. The company designs and manufactures advanced
frequency control and timing solutions. Its three core markets are Telecommunications, Positioning and Space and Defence.
Rakon’s products are found at the forefront of communications where speed and reliability are paramount. Its products
create extremely accurate electric signals which are used to generate radio waves and synchronise time in the most
demanding communication applications. Rakon has three manufacturing plants, six research and development centres, and
sixteen customer support offices worldwide. Founded in Auckland in 1967, Rakon is proud of its New Zealand heritage. It is
a public company listed on the New Zealand stock exchange, NZX, ticker code RAK.

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Rakon Limited
T +64 9 573 5554, F +64 9 573 5559
8 Sylvia Park Road, Mt Wellington, Auckland 1060, New Zealand
Private Bag 99943, Newmarket, Auckland 1149, New Zealand
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© 2015 Rakon Limited. All Rights Reserved. Unauthorised use or publication is expressly prohibited.




11 August 2022


Rakon (RAK) Annual Meeting Chair’s Address.

Welcome to the Rakon Annual Shareholders Meeting for 2022. I am Lorraine Witten the
Chair of your Board of Directors and I will chair today’s meeting.

We are conducting our meeting this year both here in person at the Ellerslie Event Centre in
Auckland, and online, through the Computershare Online Meetings platform, meetnow.

I am joined today by most of our Board members, and senior management team.
I would like to introduce you to our Board members. We were very pleased to welcome two
new independent directors to the Board this year; Sinead Horgan and Steve Tucker who
were appointed through the year and are standing for election later in the meeting. I am
also joined by Independent Director Keith Watson, and Executive Director Brent Robinson.

Unable to join us today is Independent Director Keith Oliver who is unwell, and Tony Tseng
from Siward who is in Taiwan and for whom travel remains restricted by Covid. They both
send their best regards and will be observing the meeting online.

Also on the podium is our Chief Executive Sinan Altug, and our Chief Financial Officer, Anand
Rambhai.

Finally, I would like to welcome our auditor Indy Sena from PwC, and representatives from
our solicitors Bell Gully, and our bankers ASB.

I am very pleased to be leading us through the presentation of our performance for the
2022 financial year, the plans for our future business and the resolutions for shareholders. It
has been our best year ever! Rakon is stronger than ever and has again driven shareholder
value and growth in returns.

Rakon Today

Rakon is today a global innovator and market leader in technology. Our frequency control
products and timing solutions are critical to enabling connectivity between people,
networks and machines and are at the heart of hundreds of applications around the world.
To understand what this means think making sure a satellite arrives at its exact location in
space; that it communicates information to exactly where it needs to be sent; continues to
work in extreme heat or cold; under extreme pressure; with critical accuracy and stability of
performance in those environments. So crucial that NASA used two of our frequency control
products on their Perseverance robot on Mars. I realise you probably know that, but I’m just
so proud of that achievement I can’t help but repeat it.

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Our Journey

We have been on a journey to get here. I would like to acknowledge both our people
globally, and you our shareholders for supporting us to become the company we are today.

There have been a number of deliberate changes that Rakon has made over recent years, in
our Strategy and market focus, and in our people, both the Board and Management. Part of
our journey has been changing our strategy away from the focus of supplying components
for consumer applications, where the specifications are simple, market power is low and it is
difficult to maintain margin, to realising our strength is to be a global technology leader, in
demanding industrial applications that require precision, under difficult environmental
conditions. We have now completed that pivot in strategy.

This year we completed our Board and Management succession plans. A few years ago,
there was a call for more independence on the Board, this year we appointed Sinead and
Steve as independent directors, and I stepped into the Chair role. I would like to take this
opportunity to thank and acknowledge our prior Chairman Bruce Irvine. Bruce served on the
Board for almost 17 years and since 2018 led the Board through the change in direction, and
recent succession. His calm and experienced leadership was important to achieving the
results we have before us. I believe we now have a wide range of relevant skills and
experience on the Board, diversity of thought, and five independent Board members.

We were very pleased to appoint Dr Sinan Altug as Chief Executive Officer in April this year,
completing an 18-month transition with former CEO Brent Robinson. Sinan has been with
Rakon for over 20 years and has successfully undertaken senior leadership roles for us
internationally, covering all aspects of the business. Most recently, he was the head of our
European business, then our Chief Operating Officer here in New Zealand. He has a PhD in
Electrical Engineering as well as an MBA. His deep understanding of our business and his
scientific expertise combined with business acumen made him the best choice for the role.

We are also very happy that Brent Robinson has continued in the Chief Technology Officer
role, where he is now able to focus all his attention on maintaining global leadership in
product development, and our future growth opportunities. I would like to acknowledge the
considerable contribution Brent has made so far over his 42 years’ service with Rakon,
including 36 years as Managing Director. Brent is a global expert in our Industry and
continues to add significant value to the company.

Alongside these changes, we surveyed our shareholders and heard your request for the
company to provide more information and insights into the business. We have been
working to improve the clarity and frequency of our communication with you and the wider
investment community. We reached out into the investor community and met with many
institutional investors and commentators to grow their understanding of Rakon, and listen
to market feedback on our business.

We continue to develop our communications programme, so you can expect to see more
openness, insights and information about how the business is being run and performance.

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We are paying Forsyth Barr for research analysis as part of our ongoing programme to build
investor understanding.

Last year was another difficult operating environment because of the continued disruptions
to global supply chains, the threat of illness to our people from the global Covid pandemic,
and the lack of freedom for people to move between countries for work. It was very
challenging to ensure we could continue to operate our factories at capacity, whether we
would have the raw materials on time to make our products, and whether we would have
the skilled people to run our business. It is due to careful and thoughtful management by all
our team that we overcame these risks and have delivered the exceptional result for 2022. I
acknowledge and thank all our people.

Building a sustainable organisation

We recognise the importance to all Rakon stakeholders, of sustainability and resilience. In
our Annual Report this year we introduced you to the steps we are taking towards the
adoption of our framework for Environmental, Social and Governance (ESG) reporting. We
engaged with a range of internal and external stakeholders including investors and their
representatives, to identify the ESG topics most important to them, and to inform our
assessment of the key topics we will focus on to improve our sustainability and risk
management.

We will build on existing work in key areas of the business with a view to reducing waste
and greenhouse gas emissions, strengthening our supply chain management and visibility,
protecting the health, safety and well-being of our people and encouraging high levels of
employee engagement.

We have also undertaken a maturity assessment to support our readiness for climate
related disclosures in line with the Taskforce for Climate related Financial Disclosures (TCFD)
and identified a roadmap for the next three years. These things are all detailed in our
Annual Report.

FY22 Business highlights

Now to the past financial year, FY22. Sinan will speak in more detail about the performance,
but some points of note are that:

FY22 is the 5
th
year in a row that we have grown revenue and net profit from core business.
We have developed a very solid core business in Telecommunications. Revenue growth was
driven by strong demand in 5G telecommunications networks, and we see the runway for
5G continuing for the rest of the decade. Our core Telecommunications business delivered a
pleasing 21% Compound Annual Growth Rate over the last 4 years.

Through our agility to quickly expand our production here in NZ, we were able to take
advantage of the global chip shortage. This was created by greater demand, and a shortage

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of supply as result of a fire in a key Japanese manufacturer’s factory. Our response boosted
our revenue and gross margin results for the year.

Overall, gross margin grew from 46% to 52%. Sinan will show you how both our core
business has continued to grow, and the impact of the one-off business that we captured.

We achieved a strong operating cashflow of $30.2 million, a $10 million increase on prior
year. The chip shortages and global supply chain disruptions meant we needed to
proactively mitigate our risks by holding higher stocks of raw materials inventory. Our
inventory investment increased by $20 million over the year.

Our manufacturing capabilities are nearing their capacity. In FY22 we increased the
manufacturing volume in New Zealand by 60%. By the end of financial year 2023, we will
complete the expansion of our manufacturing footprint in Bengaluru, India, effectively
doubling our capacity, when we complete building our new factory. During the last financial
year, we purchased the land, which is in a High Tech Aerospace park in Bengaluru, the
foundations are complete, and we are on track. The new factory will deliver an immediate
capacity increase and an improvement in overall gross margin when, in line with our
strategic plan, we are able to transfer the manufacture of some products from New Zealand
and France.

The start-up and transfer of the factory is also one of the business risks of this coming year
with the increase in the cost of building materials and equipment, the usual construction
risks and the risks involved in transitioning production to new premises.

Our new factory in India will be good for our business and our people. It will ensure we
provide modern, high quality working conditions, which align with our fair and just
employment policies.

Finally, our $13.1 million investment in R&D, including in the development of our XMEMS
nanotechnology and ASICS, has progressed well this year, and investment will continue.

Growing our value

Looking forward to the end of FY23, and as announced earlier today, we expect to maintain
the growth in Rakon’s core business and to achieve Underlying EBITDA
1
in the range of $36
million to $44 million. The wide guidance range reflects the ongoing risks of shortages of
raw materials and market disruption, that we will need to overcome through the year. As
signalled EBITDA will be below FY22 due to the one-off nature of the chip shortage business
we captured last year, but core business will continue to grow.

We continue to take a prudent approach to debt. In FY23, we will pay back the debt we
arranged to build the facility, with the additional profit and cash we generated in the last
financial year. This will utilise $10 million of our cash balance. To be prudent we will arrange
a new, undrawn debt facility with our banker ASB. We have a strong balance sheet and are
comfortable with this position given the significant changes in interest rates and inflation
globally, and the challenges in the equity markets.

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This time last year, our Chairman stated that Rakon would most likely pay a dividend in the
coming year, if the forecast results were achieved and there is no significant capital
requirement. I appreciate that this created an expectation that we would pay a dividend.
Also, we have been operating under a Dividend policy that said we would pay out up to 50%
of our profit, and Rakon has never paid a dividend. These are confusing signals to
shareholders.

In May, we announced that the Board had decided not to pay a dividend in relation to FY22.
The reason for doing this is because we believe that we have excellent growth and
investment opportunities within the business that will provide good return on investment to
shareholders. In addition, there have been significant changes in the global economy where
prudence is the best course. The Board carefully weighed the options, and we appreciate
that we need to fully explain our rationale. Sinan will detail our investment plans in his
discussion.

Acknowledging that our Dividend policy was not clear, the Board has reviewed and reissued
the policy. We do not want to give the wrong signal to investors who are looking for a
regular annual dividend. With the speed of growth in our opportunities in
Telecommunications, NewSpace and autonomous vehicles, we do not see a runway for
consistently paying dividends in the near term, rather we propose to invest in growth to
capture these market opportunities while they are here.

Clear Growth Strategy

Looking ahead, we have a very solid Telecommunications business, which we will continue
to grow as we develop our technology for 5G and 6G. However, our view is that we also
need to strengthen our long-term business by developing other key markets. Our goal is to
have, over time, two other strong markets that are as significant and robust as our
Telecommunications business.

We are now ready for a new phase of development and growth. We are going to share with
you today our plan for the next three years. We have four key strategic objectives of:
Growing our core business; Maintaining product and technology leadership; Expanding into
new markets and World class manufacturing. These objectives inform the areas where we
will be investing, our market focus and our expansion targets. Sinan will walk us through
each of these strategies during his presentation.

During our strategy development, we have broken down the elements of the strategic
objectives and the skills and resources that we require to execute effectively. There are of
course some gaps and, over the next few years, we will have to invest to develop
capabilities and acquire market access, specifically into North America, and to continue to
develop new technologies, products and manufacturing skills.

Needless to say, the investments will be disciplined and targeted. Both Board and
Management believe that Rakon has significant growth prospects before us, and that the

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timing is right to pursue these long-term opportunities, in industries that will develop over
the decade. We have a strong company, we are in an industry that is expanding, globally we
have great people, and we lead the world in our technology field. There is every reason to
have confidence in our future.

I will now pass the meeting over to our CEO to expand on our financial performance and our
business strategies. Later, after a time for questions I will address the formal resolutions for
the meeting. Thank you Sinan.


-ends-

1
Refer to Note 5 of the FY2022 audited consolidated financial statements for an explanation of how ‘Non-GAAP Financial Information’ is used, including a
definition of ‘Underlying EBITDA’ and reconciliation to net profit after tax

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0
Enabling the connected future
Rakon Limited
2022 annual meeting of shareholders
11 August 2022© Rakon Limited

11
Agenda
Welcome & introduction
Chair’s address
Chief executive’s review
Shareholders’ questions
Resolutions
General business
Meeting close / light refreshments
Sinan Altug
Chief Executive Officer
Lorraine Witten
Chair

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3

44
Chair’s address
Lorraine Witten
Lorraine Witten
CEO

5
Our Board of Directors
A strong mix of global experience and technology expertise
BRENT ROBINSON
Executive director
Hon FIPENZ
Appointed 1991
(standing for re-election)
LORRAINE WITTEN
Chair and Independent director
BMS (Hons); CFInstD; FCA
Appointed 2017
KEITH OLIVER
Independent director
BE (Hons)
Appointed 2017
KEITH WATSON
Independent director
NZCE (Telecom); CMInstD
Appointed 2018
(standing for re-election)
YIN TANG (TONY) TSENG
Non-independent director
Hon Master NTUST
Appointed 2017
STEVE TUCKER
Independent director
BMS; FCA; CMInstD
Appointed October 2021
(standing for election)
SINEAD HORGAN
Independent director
BComm; MAcc; CMInstD; FCA
Appointed January 2022
(standing for election)
5

6
Rakontoday
A global innovator and market leader in tech
6

7
Our journey
7
Strategic pivot now
complete
From consumer to higher
margin, high performance
applications
Succession plans
complete
Increased investor
engagement
Resilient and highly
capable organisation
Market feedback sought; improved
communications programme
New Board members
New CEO transition and
appointment
Delivered exceptional result

8
Building a sustainable organisation
ESG framework announced in the FY22 Annual Report
•Materiality assessment
•Sustainability roadmap, strategy, targets, actions, reporting
•Alignment of reporting to TCFD by 2023
Builds on existing work in key areas
•Reducing waste and greenhouse gas emissions
•Supply chain management and visibility
•Low rates of workplace injury
•High levels of employee engagement
Solid progress on ESG framework

9
Growth opportunities
captured
Strong core market growth and
global chip shortage
opportunities captured
FY22 business highlights
9
Record financial
performance
Continued growth in revenue
and earnings
Strong core 5G growth
Telecommunications established
as a solid core business
Supply chain risks
managed
Active management of inventory
and pricing to address supply
chain disruptions
New Zealand output
up 60%
To support increased demand
India expansion
commenced
Construction commenced on new
facility which will significantly
increase capacity

10
$12m
$11m
$15m
$23m
$54m
FY18FY19FY20FY21FY22FY23F
Underlying EBITDA
1
core businessTCXO chip shortageforecast
•FY23 Underlying EBITDA guidance:
$36m –$44m
•Core business continues to grow
•Strong balance sheet with intention to
repay debt facility
•Investment in market growth opportunities
•Updated dividend policy
10
Growing our value
1
Refer to note 5 of the Annual Report 2022 for an explanation of how ‘Non-GAAP Financial Information’ is used,
including a definition of ‘Underlying EBITDA’ and reconciliation to NPAT
Well positioned to drive growth
$36m
$44m
Guidance
range

11
Clear growth strategy
GROW OUR
CORE BUSINESS
MAINTAIN PRODUCT
& TECHNOLOGY
LEADERSHIP
EXPAND INTO
NEW MARKETS
DELIVER
WORLD CLASS
MANUFACTURING
S t r a t e g i c a c q u i s i t i o n s s u p p o r t i n g g r o w t h s t r a t e g y

1212
Chief executive's address
Sinan Altug

13
Our senior managershere today
Adam Robinson
Global Sales Manager
Anand Rambhai
Chief Financial Officer
Brent Robinson
Chief Technology Officer
Margo Thomas
General Manager,Global People
& Capability
Darren Robinson
Chief Marketing Officer
Maureen Shaddick
Company Secretary
Avilash Singh
Engineering Manager
Product Research & Development, NZ
Vijay Chandra
Production Manager, NZ
Mark Burgess
Manufacturing Manager, NZ
Prasad Talathi
Global Sales
Administration Manager

14
$12.1m
$11.3m
$14.8m
$23.5m
FY18FY19FY20FY21FY22
Underlying EBITDA
1
core businessTCXO chip shortage
Financial performance
$43m
$52m
$52m
$59m
$90m
43%
45%
44%
46%
52%
FY18FY19FY20FY21FY22
Gross margin
core businessTCXO chip shortage
$19.9m
$54.4m
$36.0m
$141m
$72m
Revenue
Net profit
1
Referto Note5oftheFY22auditedconsolidatedfinancialstatementsforanexplanationofhow‘Non-GAAP
Financial Information’isused,includinga definitionof‘Underlying EBITDA’and reconciliationtonetprofitaftertax
$101m
$114m
$119m
$128m
FY18FY19FY20FY21FY22
Revenuecore business
$172m
FY18 one-offs include sale of French property; gains on
Thinxtrashares; and technology license revenue from Siward
Net profit
($1m)
$3m
$4m
$10m
$11m
FY18FY19FY20FY21FY22
core businessTCXO chip shortageOne-offs
$33.1m

15
Key market update
Telecommunications
Space & Defence
PositioningEmerging &Other

16
16
Telecommunications
21% CAGR over 4-years
Improved gross margins
16
$40m
$54m
$65m
$77m
$86m
34%
38%
40%
40%
44%
FY18FY19FY20FY21FY22
Revenue & GM%
Next-generation product leadership
•Superior synchronisationenables higher
data speeds and more bandwidth
•Customer partnerships to develop next-
generation 6G products
•Expected to continue for 5+ years
•New entrants as open networks grow
Strong 5G network growth globally
•Now converging with 5G
•Strong and growing demand for synchronisation
Cloud computing & data centres
50% of total revenue

17
17
Space & Defence
Stable and higher margin
Most demanding market
NewSpace transition
NewSpace
•Substantial opportunity in Low Earth Orbit (LEO)
constellations
•Unique space/telco knowhow to move up the
value chain from components into subsystems
Continued innovation leadership
•Sector technology innovation is subsequently
applied to other markets
•Space semiconductor chip development
progressing well
17
$28m
$32m
$28m
$30m
$26m
68.2%
68.8%
68.7%
67.7%
69.4%
FY18FY19FY20FY21FY22
Revenue & GM%
Core markets
•Highest levels of performance in extreme
environments
•Critical timing products in aircraft,
satellites,defence communications, radar
and positioning systems
15% of total revenue

18
$26m
$20m
$19m
$14m
42%
40%
36%
48%
56%
FY18FY19FY20FY21FY22
Revenue& GM%
Strategic pivot to
industrial markets
complete
18
Positioning
Autonomous vehicles
•Need for precision positioning and higher
performance products continues to evolve
High precision industrial machines
•Growing share of high-growth agricultural/mining
segments, as automation becomes standard
•Repositioned fromcommoditised consumer
markets into growing, highermargin industrial
markets
18
Emergency locator beacons
•80%+ market share
•Market leader in compliance with COSPAS
SARSAT/ EPIRB international standard
$19m
$27m
16% of total revenue

19
Our competitive strengths
19
Customer relationships, investment in R&D, increased manufacturing output
19
Customer partnerships
$10.1m
$11.8m
$13.3m
$13.3m
$13.1m
FY18FY19FY20FY21FY22
R&D investment
(including capitalised R&D)
•FY22 revenue: 2/3 from customers with
10+ years
•New strategic relationships developed as
new markets evolve
•Targeting R&D investment of 10-12% of
revenue
•Semiconductor chip design team established
in New Zealand
•New generation products on track for release
in FY23
Investment in technology innovationWorld class operations
•Proactive supply chain risk management
•NZoperation: 60% higher output;
record grossmargins
•New India facility: increased capacity
and cost efficiencies
Key participants in Rakon’s core markets

20
20
Strategy update

21
Our strategic pillars
Enabling the connected future

22
Growth strategy: 4 key objectives
GROW OUR
CORE BUSINESS
MAINTAIN PRODUCT
& TECHNOLOGY
LEADERSHIP
EXPAND INTO
NEW MARKETS
DELIVER
WORLD CLASS
MANUFACTURING
S t r a t e g i c a c q u i s i t i o n s s u p p o r t i n g g r o w t h s t r a t e g y
Telco market leadership –
products using proprietary
technologies
Space & Defence –market
access in North America
Precision industrial positioning
applications
New technology design-in
Rakon semiconductor chips –
accelerate time-to-market
XMEMS
®
–deliver next
generation products and
performance
Space & Defence –move
upward into equipment and
subsystems
NewSpace
Cloud computing
Autonomous vehicles
Targeting key customer
partnerships in new markets
Global Manufacturing
Roadmap
Manufacturing capacity and
capability expansion
Advanced supply chain
management
XMEMS
®
nanotechnology
volume manufacturing

23
Key investment areas
23
New facility in India
Semiconductor chip
R&D
XMEMS
®
Quartz
nanotechnology
NewSpace
portfolio

24
New facility Bengaluru, India
Increasing capacity, extending product lifecycles
The opportunity
•Expanded capacity to support growth opportunities
•Consolidate two existing sites and drive manufacturing efficiencies
•Products transferred from NZ and France
•Extended product life cycles from low cost manufacturing base
•Valuable real estate asset created
Investment and timeline
•Land and buildings cost $12 –14m
•Market value estimated $14m
•Facility complete FY23, production commences early FY24
•Additional revenue generation & cost savings from FY24
•Cumulatively cash positive 2027

25
Construction making good progress
•Land allotted
June 2021
•Land surveyed
July 2021
•Ground breaking
ceremony
Dec 2021
•First excavation work
earlyFeb 2022
•Foundation work prep.
mid Feb 2022
•Concrete pour
lateFeb 2022
•Ground floor roof slab
June 2022
•First floor roof slab
July 2022
•Second floor roof slab
Aug 2022
February 2022
April 2022
May 2022June 2022
July 2022August 2022
Above: Artist’s impression of the new facility
Above: Construction as at August 2022

26
Rakon semiconductor chips
Driving product performance and revenue growth
The opportunity
•Products using Rakon’sown chips make up 50% of core revenue in
FY22 and have ~15%+pp higher margins
•Competitive advantage from superior product performance and
long lifecycles
•Enhance chip development capability and reduce time to market
•Build IP –push technological and performance barriers by
integrating chip and product design
Investment and timeline
•Total ongoing investment $7.5m pa, 50% higher than FY22
•4 new chips planned for release FY23 –FY25
•Proven ROI: Mercury Plus
®
case study
-
10
20
30
40
50
60
70
80
FY17FY18FY19FY20FY21FY22
Revenue
NZ$m
Products with 4 key Rakonchips
FY16FY17FY18FY19FY20FY21FY22
Mercury+ product lifecycle
(ROI >100%)
outflowsinflowsCumulative cash flow

27
XMEMS
®
nanotechnology
Delivering next generation products and performance
The opportunity
•Rakon’sXMEMS
®
resonator technology made with
itsphotolithographic microfabrication process on quartz wafers
•Miniaturisedproducts with levels of performance not possible
using existing manufacturing methods
•Proprietarynanotechnology processes and equipment
developed in-house
•Technology leadership in core markets, particularly in high
performance products
•Higher volumes and yields for tighter specifications
Investment and timeline
•$6.9m invested over FY22 –FY25
•Expected ROI >130% over 6 year period
•Cumulative cash positive FY26
FY22FY23FY24FY25FY26FY27
XMEMS® nanotechnology
(ROI>130%)
Total outflowsTotal inflowsCumulative cash

28
$4.6b
$5.5b
$6.9b
$8.1b
$8.6b
$9.0b
$9.1b
2020202120222023202420252026
LEO satellite hardware forecast
(<500kg)
Low Earth Orbit satellites
NewSpaceSubsystems –combining space expertise and telco experience
The opportunity
•Telecommunications and earth monitoring driving rapid growth
•Leveraging Rakon’slong space heritage, advanced R&D and efficient
manufacturing at scale, to capture new opportunities
•Moving from a component supplier to supplying higher value satellite
assemblies and subsystems
Investment and timeline
•Investment of $6.2m over FY22 –FY24
•Incremental revenue from subsystems commences FY24
•Cumulative cash positive FY26
FY22FY23FY24FY25FY26FY27
NewSpacesubsystems
(ROI >100%)
InflowsOutflowsCumulative cash flow
Source:Euroconsult, Prospects for the Small Satellite Market, 2022

29
FY23FY24FY25
•Construction completed
•Fitout / capacity
expansion
•Existing manufacturing
transferred
•Select NZ products
transferred
•Select NewSpace
products transferred
•Select French
NewSpacesubsystem
modules transferred
•Substantial increase in
R&D and chip design
capability inNZ & UK
•Releaseof Niku next
generation chip
•Release of Vulcan next
generationchip
•Chip based
productrevenue growing
to over 60%
•Chip based product
revenue growing
•Release of Caduceus &
Keplerchips
•Continued investment in
XMEMS
®
capability
•Release of initial XMEMS
®
based products
•Volume production of
XMEMS
®
based products
•Leadership in targeted
market segments
•Expansion into other
product categories
•R&D and supply chain
investment
•Strategic relationships
established
•Recognised player in the
ecosystem
•Significant orders secured
•Become a top 3 player
in subsystems
•Delivery of orders
3 year growth roadmap
Rigorous project governance
New
manufacturing
facility in India
New Rakon
designed
semiconductor
chips
Commercialisation
ofXMEMS
®
nanotechnology
manufacturing
capability
NewSpacebusiness

30
Building global leadership through value-accretive investments
2010
France (Space & Defence)
acquired
Entry into Space programmes
Now 11% of total revenue
Platform for NewSpace/LEO
initiatives
Products on Mars Perseverance
Rover
2007
UK and France (Telecom)
acquired
Entry into Telecommunications
(now 50% of total revenue)
We supply all major global
telco infrastructure customers
In house semi-conductor chip
development capability
2018
Control of Rakon India JV
High-quality, low-cost
manufacturing capability
Control over products
manufactured
Platform for further expansion
2022+
Synergistic value creation
Accelerate access to targeted
markets
Leverage Rakon’s competitive
advantages (customers,
technology, products)
Strategic acquisitions have enabled Rakon to build technology
leadership and expand into new markets
These have played an important role in Rakon’srepositioning,
to become the company it is today

31
$12m
$11m
$15m
$23m
$54m
FY18FY19FY20FY21FY22FY23F
Underlying EBITDA
1
core businessTCXO chip shortageforecast
$36m
$44m
Q1 update and guidance
Strong start to year, FY23 EBITDA guidance of $36 –$44 million
•Strong Q1 performance
Manufacturing at capacity, additionalconstraints remain due to labour and
component shortages
•Significant core business revenue & gross margin growth
Order intake remains very highfor FY23 delivery
•Investing into our future moderates EBITDA
Investment in growth strategy; transition to new India facility;cost inflation
•Ongoing risks
Globaleconomic outlookand its impact onglobal demand,
supplychainchallengesand the execution of thetransition to the new
facility in India
1
Referto Note5oftheFY22auditedconsolidatedfinancialstatementsforanexplanationofhow‘Non-GAAP
Financial Information’isused,includinga definitionof‘Underlying EBITDA’and reconciliationtonetprofitaftertax
Guidance
range

32
•Well positioned to drive growth in core markets
•Clear three year growth plan
•Investment in key projects
•Exploring acquisition opportunities
•Strong start to FY23
Summary
Record FY22 performance, well positioned for FY23

33
Shareholder questions
33

34
34
Resolutions

35
35
35
Ordinary resolution
Resolution 1:
That Brent Robinson be re-elected as a director of Rakon

36
36
36
Ordinary resolution
Resolution 2:
That Keith Watson be re-elected as a director of Rakon

37
37
37
Ordinary resolution
Resolution 3:
That Steven Tucker be elected as a director of Rakon

38
38
38
Ordinary resolution
Resolution 4:
That Sinead Horgan be elected as a director of Rakon

39
39
39
Ordinary resolution
Resolution 5:
That the directors be authorised to fix the remuneration of
Rakon’sauditor PricewaterhouseCoopers, for the following year

40
Proxy votes lodged prior to meeting
Proxy votes lodgedFor%Against%Discretionary%
12,664,4888,713,03468.80315,8092.493,635,60528.71
Resolution 1: That Brent Robinson be re-elected as a director of Rakon
Resolution 2: That Keith Watson be re-elected as a director of Rakon
Resolution 3: That Steven Tucker be elected as a director of Rakon
Resolution 4: That Sinead Horgan be elected as a director of Rakon
Resolution 5: That the directors be authorised to fix the remuneration of Rakon’sauditor
PricewaterhouseCoopers, for the following year
Proxy votes lodgedFor%Against%Discretionary%
12,665,6468,726,63768.904,1980.033,934,81131.07
Proxy votes lodgedFor%Against%Discretionary%
12,635,646
8,614,03468.1744,1730.353,977,43931.48
Proxy votes lodgedFor%Against%Discretionary%
12,671,7508,653,67668.2945,6750.363,972,39931.35
Proxy votes lodgedFor%Against%Discretionary%
12,671,750
8,005,30963.17737,7005.823,928,74131.00

41
General business & shareholder questions
41

42
Meeting closure
42

43
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https://www.rakon.com/
investors
Subscribe to our investor
news:
https://www.rakon.com/
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Email us:
investors@rakon.com
43
www.rakon.com
Find out more

Appendices
44

Cloud computing: Allows users to have on-demand availability of a
remote computer system’s resources for improved computing power or
data storage (usually located quite far from the user, such as in another
country)
Datacentres: Usually a building that is used to hold a computer system
and other components to backup data
Design-in: An opportunity that allows Rakon’sproduct to be used as the
reference component for certain customer reference designs (a technical
blueprint of a system intended to be used by customers)
Edge computing: Allows users to have on-demand availability of a remote
computer system’s resources for improved computing power or data
storage (usually located close to the user, such as within the same city)
5G: 5th generation of the telecommunications standard, providing 10 to
1000 times better performance in many different applications
5G millimetre wave technology: The equipment that enables higher
frequency data transmission in 5G
NewSpace/ NewSpaceLEOs: Refers to space sector commercialisation,
that are mainly low earth orbit (LEO) satellites
Mercury™ / Mercury+™: Rakon’sproprietary integrated circuit used in
OCXOs to achieve clock variations to less than 1 billionth of a second, these
enable precision timing in 5G applications
OCXO: Oven Controlled Crystal Oscillator. A crystal oscillator that uses a
miniaturised oven to keep its internal temperature constant
O-RAN: Mobile networks that are more intelligent, open, virtualised and fully
interoperable
Pluto®: Rakon’sproprietary integrated circuit used in TCXOs to achieve clock
variations to less than 100 millionth of a second; these enable higher data rates
in 5G applications
System solutions:Refers to Rakon’ssolutions that include high performance
products, equipment and consulting services for Space & Defence
TCXO: Temperature Compensated Crystal Oscillator. A crystal oscillator with
additional circuitry to remove frequency variations due to temperature change
Tier 1customers: recognised key players within their respective industries, that
make up a significant market share
VCXO: Voltage Controlled Crystal Oscillator (VCXO). A crystal oscillator that
allows the user to manually adjust a control voltage; it helps to compensate for
instabilities in the output frequency
XMEMS®: Crystal Micro-Electro-Mechanical System. Rakon’sadvanced quartz-
based resonator technology. It is made with Rakon’snanotechnology
microfabrication process, delivering unprecedented resonator and oscillator
performances
45
45
Glossary

46
This presentation contains not only a review of operations, but also some forward-looking
statements about Rakon Limited and the environment in which the company operates. Because
these statements areforward looking, Rakon Limited's actual results could differ materially
Although management and directors may indicate and believe that the assumptions underlying
theforward looking statements are reasonable, any of the assumptions could prove inaccurate
or incorrectand, therefore, there can be no assurance that the results contemplated in the
forward lookingstatements will be realised
Media releases, management commentary and investor presentations are all available on the
company'swebsite and contain additional information about matters which could cause Rakon
Limited'sperformance to differ from any forward-looking statements in this presentation
Please read thispresentation in the wider context of material previously published by Rakon
Limited
Disclaimer
46
46

www.rakon.com