IKE performance update for Q4 and FY24

FOR IMMEDIATE RELEASE, 18 April 2024

Multiple large subscription contracts closed that will underpin substantial FY25 subscription
revenue growth.

ikeGPS Group Limited (IKE) (NZX: IKE / ASX: IKE) is pleased to release an update for the Q4 and
12-month period to 31 March 2024 (all figures in NZD, unaudited). IKE will host a webinar on 18
April 2024 at 11am AEDT/1pm NZDT to discuss performance and outlook. To register, please
click:

https://us02web.zoom.us/webinar/register/WN_Gj-GgYM1QWGA-C_MhXHZTg

FY24 Highlights:
+ Revenue of ~NZ$21.1m (-31% pcp).
+ Subscription revenue of ~NZ$10.7m (+22% vs pcp).
+ Transaction revenue of ~NZ$7.3m (-61% vs pcp).
+ Gross margin of ~NZ$12.7m (-23% vs pcp), with a gross margin percentage of ~60% (up
from pcp of ~53%)
+ Total cash and receivables as of 31 March 2024 of NZ$15.4m comprised of NZ$10.2m
cash and NZ$5.2m receivables, with payables of NZ$1.2m and no debt. (up from the
position 31 December 2023 of NZ$8.0m cash and NZ$7.2m receivables, and flat against
the cash position 30 September 2023).

Commentary
IKE CEO Glenn Milnes commented, "Q4 FY24 was a stronger period again at IKE with more
significant subscription contracts closed with tier-1 North American electric utility customers
that, although not materially impacting recognized revenue in the FY24 period to March 2024,
will substantially grow FY25 subscription revenue run rates.
That said, the FY24 period saw a substantial year-on-year reduction in revenue from our lower
margin transaction revenue. A 61% reduction vs pcp was due to the FY23 period having outsized
activity from certain customers that as context was up 191% on FY22 levels. Our three-year
transaction revenue CAGR, or growth rate, is 47% and based on guidance from these long-term
customers we expect transaction volumes and associated revenue to build into FY25.
With respect to core subscription revenue, since the Q3 launch of our new IKE PoleForeman
product Total Contract Value (TCV) won has exceeded $8m from mostly tier-1 electric utilities in
the U.S. market. In total ~42 customers have subscribed to the platform, of which 23 were
existing customers and 19 are new, including one of the 10 largest electric utilities in the U.S. We
do expect further major customers to close in the near term and that IKE PoleForeman will
ultimately be the standard for structural analysis in eight of the ten largest electric utilities in
North America.

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Examples of recent subscription contracts include:
- An agreement with the second largest electric utility group in North America for a five-
year term that is expected to generate ~NZ$2.0m in total subscription revenue, or an
additive NZ$0.4m ARR.
- A large U.S. electric utility signed to a ~NZ$0.5m three-year subscription contract for IKE
PoleForeman, representing a five-fold increase in annual recurring revenue from this
customer versus our legacy product.
- A ~NZ$0.8M three-year subscription contract from a major east coast U.S. electric
utility, who is a Fortune 500 company, to use IKE PoleForeman.
- A ~NZ$0.4M annual contract with an engineering group supporting this market for IKE
Office Pro use.
- A ~NZ$3.7m three-year subscription contract with a Fortune 150 Company and one of
the ten largest Investor-Owned-Utilities (IoU’s) in the U.S., upgrading them from IKE’s
legacy product to our new IKE PoleForeman structural analysis platform.
Over the coming years, these long-term customer commitments are estimated to translate to
more than 2,500 distribution engineers across our customer footprint using IKE PoleForeman’s
advanced capabilities for network design.

FY25 Outlook
Subscription revenue in FY25 is expected to grow strongly, at 50% or greater vs pcp to ~$16m
per annum or greater. This outlook is based on the ongoing growth of our core IKE Office Pro
subscription product, which has seen >30% CAGR over the past three years and with ~95%
customer retention. It is also based on the the success of the launch of our new IKE
PoleForeman product with more than NZ$8m of TCV closed since its Q3 launch.
Transaction revenue in FY25 is expected to grow, but with a wide range of potential growth
profiles and as such represents higher risk – both upside and downside. Transaction revenue at
IKE over the past three years has grown at a ~45% CAGR, although FY24 levels were down
against FY23 due to FY23 seeing outsized customer activity. Based on guidance from long-term
customers we expect transaction volumes and associated revenue to build into FY25.
Overall, we closed ~NZ$27m of contracts in the FY24 period, against approximately NZ$21m of
recognized revenue. Our customer retention rate is excellent, at approximately 95% and our
sales pipeline for new business is strong and is growing. We won 59 new subscription
customers in the U.S. market over the past year, continuing a win rate of approximately one new
customer per week. As a reminder of our business model, IKE generates additive transaction
revenue, on top of subscription revenue, from some customers as they engineer more network
assets in our system.
Our margin profile improved to ~60% in FY24, from ~53% in FY23, due to a continued shift in the
product mix toward higher margin subscription revenue. We expect this trend to continue into
FY25 with the growth in our subscription revenue outpacing other segments resulting in a
material improvement in margins again in FY25.
During 2H FY24 we also reduced our cost profile to maintain the timeframe towards both
EBITDA and cash positive operations. As consistently stated, management and the Board remain
cognizant of the importance of maintaining a strong balance sheet position, executing against
immediate revenue growth opportunities, whilst retaining the ability to manage costs
appropriately. Our balance sheet remains strong, noting that the USD and AUD foreign exchange
rates impact our reported NZD position each period.
Macro-market tailwinds across North America remain supportive of the productivity products
that IKE delivers, driven by the forecasted US$300B investment by electric utilities into building &
maintaining distribution power network capacity and associated network hardening. To meet

3
carbon-zero targets in the U.S. by 2050, analysts forecast that approximately 50% of the energy
in the U.S. needs to be on the electrical grid, from a position of just 20% today. Overall, analysts
forecast that capex and opex spend across distribution networks in the U.S. market will increase
4% annually for the next decade. Further, the multi-year investment being made into building
overhead fiber and 5G networks, IKE’s product suite drives productivity in support of these
network engineering and capacity activities.
Performance across the business is set out in the following table and charts.



Customer Number Reconciliation:
Since 31 December 2023 IKE has changed its reporting of customer numbers from ‘All
Enterprise Customers’ to ‘Subscription Customers’, reflecting only customers with recurring
subscription revenue. The reconciliation between these two metrics will be reported for the next
4 periods to 31 December 2024. Reconciliation as follows:










FY24FY 23% Change
Total Revenue$21.1M$30.8m-31%
Platform Transactions
# of Billable Transactions279K490K-43%
Platform Transaction Revenue$7.3M$18.7m-61%
Gross Margin$1.8M$7.2m-76%
Gross Margin %24%39%
Platform Subscriptions
Total # of Subscription Customers395 367 +8%
Platform Subscription Revenue$10.7M$8.8m+22%
Gross Margin$9.2M$7.7m+20%
Gross Margin %86%88%
Hardware & Other
Hardware & Services Revenue$3.1M$3.3m-9%
Gross Margin$1.7M$1.5m+11%
Gross Margin %56%45%
Customer ReconFY 24FY 23
Total # of Enterprise Customers415 379 +9%
Less: Non-Subscription Customers(20)(12)+67%
Total # of Subscription Customers395 367 +8%

4






Takeaways
Three-year revenue
CAGR of 31%
Recurring
subscription and
reoccurring
transaction
revenues (shown
by the green and
blue segments in
this chart)
dominate IKE’s
revenue mix, at
86% for FY24.
An expectation for
healthy growth in
the FY25 period.



Takeaways
Significant growth
in underlying
subscription
revenue.
Three-year
subscription
revenue CAGR of
33%,
During FY25, this is
expected to
increase materially,
by greater than
50%, due to the
successful Q3
FY24 launch & sell-
through of IKE’s
next-generation
IKE PoleForeman
product.

5


Takeaways
Three-year
transaction
revenue CAGR of
47%, but 61% lower
in FY24 vs pcp due
to FY23 seeing
outsize customer
growth and
activity.
Based on guidance
from long-term
customers IKE
expects
transaction
volumes and
associated
revenue to build
into FY25.


ENDS

About IKE
We’re IKE, the PoleOS™ Company. IKE seeks to be the standard for collecting, analysing and
managing pole and overhead asset information for electric utilities, communications companies,
and their engineering service providers.
The IKE platform allows electric utilities, communications companies, and their engineering service
providers to increase speed, quality, and safety for the construction and maintenance of distribution
assets.
The core revenue engine for IKE is driven by the number of enterprise customers subscribing to the
IKE platform and the volume of assets (called Transactions) being processed through IKE’s
software.


Contact :
Glenn Milnes
CEO
+1 720-418-1936
glenn.milnes@ikegps.com

Simon Hinsley
Investor Relations
+61-401-809-653
simon@nwrcommunications.com.au

ikeGPS Group Limited
329 Interlocken Parkway, Suite 329, Broomfield CO 80021, USA
Office: +1 303 222 3218
www.ikegps.com

---

IKE Performance Update
for the Q4 and FY24 Period to 31 March 2024
We’re IKE, the Pole OS™ Company
Glenn Milnes, CEO
glenn.milnes@ikegps.com
April 2024
CONFIDENTIAL

ikeGPS
2
Important Notice
•Is for general information purposes only, and is not an offer or invitation for subscription, purchase, or
recommendation of securities in ikeGPSGroup Limited (IKE);
•Should be read in conjunction with, and is subject to, IKE’s FY23 financial results (audited), 1H FY24 financial results
(unaudited) , recent market releases, and information published on IKE’s website (www.ikegps.com);
•Includes forward-looking statements about IKE and the environment in which IKE operates, which are subject to
uncertainties and contingencies outsideof IKE’s control – IKE's actual results or performance may differ materially
from these statements;
•Includes statements relating to past performance, which should not be regarded as a reliable indicator of future
performance; and
•May contain information from third parties believedto be reliable, however no representations or warranties are
made as to the accuracy or completeness of such information.
•All information in this presentation is current at the date of this presentation, unless otherwise stated.
•All currency amounts are in NZ dollars unless stated otherwise.
Receipt of this Document and/or attendance at this presentation constitutes acceptance of the terms set out above in
this Important Notice.
Information in this Presentation:

ikeGPS
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Agenda
Q4 and FY24 performance headlines (unaudited)
New SaaS Product Updates
Addressable market and IKE’s value proposition
Q&A

ikeGPS
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•Three-year revenue CAGR of 31%
•Recurring subscription and
reoccurring transaction
revenues (shown by the green
and blue segments in this chart)
dominate IKE’s revenue mix, at
86% for FY24.
•An expectation for healthy
growth in the FY25 period.
Revenue FY24 of ~$21.1m (-31% pcp)
Takeaways:

ikeGPS
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•Significant growth in underlying
subscription revenue.
•Three-year subscription revenue
CAGR of 33%.
•During FY25, this is expected to
increase materially, and by greater
than 50%, due partially to the
successful Q3 launch & Q4 sell-
through of IKE’s next-generation IKE
PoleForemanproduct.
•IKE PoleForemancontracts closed
in Q4 do not significantly impact
recognized revenue in FY24 but will
materially lift revenue in FY25. Total
TCV to date from 42 customers is
greater than NZ$8m.
Subscription revenue growth has continued to be consistently strong
(+22% pcp)
Takeaways:

ikeGPS
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•Three-year transaction revenue
CAGR of 47%, but 61% lower in
FY24 vs pcpdue to FY23 seeing
outsize customer growth and
activity.
•Based on guidance from long-
term customers IKE expects
transaction volumes and
associated revenue to build into
FY25.
But transaction revenue down vs pcp(-61% pcp)
Takeaways:

ikeGPS
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FY24 Key Metrics
FY24FY 23% Change
Total Revenue$21.1M$30.8m-31%
Platform Transactions
# of Billable Transactions279K490K-43%
Platform Transaction Revenue$7.3M$18.7m-61%
Gross Margin$1.8M$7.2m-76%
Gross Margin %24%39%
Platform Subscriptions
Total # of Subscription Customers395 367 +8%
Platform Subscription Revenue$10.7M$8.8m+22%
Gross Margin$9.2M$7.7m+20%
Gross Margin %86%88%
Hardware & Other
Hardware & Services Revenue$3.1M$3.3m-9%
Gross Margin$1.7M$1.5m+11%
Gross Margin %56%45%
Customer ReconFY 24FY 23
Total # of Enterprise Customers
415
379 +9%
Less: Non-Subscription Customers(20)(12)+67%
Total # of Subscription Customers395 367 +8%
Customer Number Reconciliation:
•Since 31 December 2023 IKE has changed its reporting
of customer numbers from ‘All Enterprise Customers’
to ‘Subscription Customers’, reflecting only customers
with recurring subscription revenue.
•The reconciliation between these two metrics will be
reported for the next 4 periods to 31 December 2024.
Reconciliation as follows:

Q4 Update and Outlook

ikeGPS
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Sales highlights for our IKE PoleForemanproduct have included:
-Total Contract Value (TCV) won has exceeded $8m from mostly
tier-1 electric utilities in the U.S. market.
-In total ~42 customers have subscribed to the platform, of which
23 were existing customers and 19 are new, including one of the 10
largest electric utilities in the U.S.
-IKE expects further major customers to close in the near term and
that IKE PoleForemanwill ultimately be the standard for structural
analysis in eight of the ten largest electric utilities in North
America.
-Over the coming years, the above long-term customer
commitments are estimated to translate to more than 2,500
distribution engineers across this customer footprint using IKE
PoleForeman’sadvanced capabilities for network design.
New Products to Market
Next-gen structural analysis SaaS product released Q3. Successful sell-through Q4.
>NZ$8m TCV to date from 42 customers – new & existing.

ikeGPS
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New Products to Market continued...
New SaaS product for the Signage industry launched, called Spike SignPilot. www.sign-pilot.com
Leveraging a footprint of more than 5,000 signage businesses using IKE’s Spike hardware device in the U.S. for site surveys.

ikeGPS
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•Subscription revenue expected to grow at 50% or greater vs pcpto ~$16m per
annum or greater. Based on
•the ongoing growth of our core IKE Office Pro subscription product (>30%
CAGR over the past three years) and with ~95% customer retention.
•the sell-through of our new IKE PoleForemanproduct with more than
NZ$8m of TCV closed since its Q3 launch.
•Transaction revenue expected to grow, but with a wide range of potential growth
profiles and as such represents higher risk – both upside and downside.
•Overall, IKE closed ~NZ$27m of contracts in the FY24 period, against
approximately NZ$21m of recognized revenue.
•The sales pipeline for new business is strong and growing.
•IKE won 59 new subscription customers in the U.S. market over the past year,
continuing a win rate of approximately one new customer per week.
•Macro-market tailwinds across the electric utility and communications market in
North America remain remain highly supportive of the productivity products that
IKE delivers.
FY25 Outlook
Expectation for >50% growth in subscription revenue. And an expectation for growth in transaction revenue .

What IKE does, and the market opportunity being addressed
Product and Market re-cap

ikeGPS
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IKE has a Suite of Distribution Network Software Products
Built to address distribution network problems in North America, as The PoleOS™ Company
Digitization of network
assessment
Bulk data processing for
distributionnetwork
decision making
Pole loading analysis
and structural design
Technology & automation drivencapability
to accelerate engineering
+
Business model upshot
•A recurring Subscription to
access any IKE Solution
•Additive, reoccurring revenue
based on usage (license seats
or transactions)
•Optional value-added
products , such as IKE Analyze
(driving transaction revenue)
and training & education via
IKE University

ikeGPS
14
Communications Market Macro
More than 3,000 electric utilities and 200M distribution assets across the U.S.
Investing in decades-long grid resiliency and grid capacity programs
Facing common challenges
•Grid resiliency requirements
•Grid capacity requirements
•Significant legal liability risks
•Regulatory and Engineering code compliance
•An ageing workforce, requiring tech vs more people
IKE products dramatically improve the engineeringdesign & maintenance process

ikeGPS
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25-year Macro-Market Tail Wind for Grid Resiliency & Expansion ($B’s)
An Electric Utility Industry, Spending 100’s of Billions, in Need for Productivity Solutions, such as IKE
7.27.27.27.27.27.27.27.27.27.27.27.2
3.63.63.63.63.63.63.63.63.63.63.63.6
3.63.63.63.63.63.63.63.63.63.63.63.6
44.9
46.4
49.3
52.2
59.4
65.2
71.0
78.3
82.6
87.0
89.9
95.7
$59.4
$60.9
$63.8
$66.7
$73.9
$79.7
$85.5
$92.8
$97.1
$101.4
$104.3
$110.1
201420152016201720182019202020212022202320242025
CanadianMuniCo-opsUS IOU
U.S. AND CANADIAN ELECTRIC DISTRIBUTION CAPITAL EXPENDITURES
ACTUALFORECASTED
$NZD in B

ikeGPS
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Where IKE sells: U.S. Market-Map of Investor-Owned Utilities (multi-$B companies)
A huge expansion opportunity......

ikeGPS
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Plus >2,800 Municipalities and Co-Operatives
All of which represent sales opportunities for IKE products
Takeaways
•Market timing is everything
•IKE is in the right place, at the right
time, and with the right technology,
team and execution capability
•Today, IKE has a presence in
approximately 6% of addressable
customers, but is estimated to be
only 20% penetrated. So an
opportunity to:
•Develop an additional 80%
revenue per annum from the
existing customer footprint as
‘White Space’ via cross-sell and
up-sell, plus to
•Sell to the other 94% of the
market via ‘Green Field’ new logo
opportunities

ikeGPS
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8 of the 10 largest Investor-Owned Utilities have standardized on an IKE product
IKE Lands-then-Expands
Takeaways
•8 of the 10 largest Investor-Owned
Utilities (“IOUs”) in North America, all
multi-billion dollar businesses
•>400 customers in North America,
with 59 new logos added in FY24 or
approx. 1 per week in FY24 YTD
•>5,000 enterprise target accounts
to pursue overall
Opportunities to:
•Grow, upsell and cross-sell IKE
products into existing customer
base
•Win new logos in the North
American market
•Expand into international markets
Communications
Electric Utilities
Engineering & Project Management

ikeGPS
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IKE solutions make fiber and 5G network deployments faster
IKE dramatically speeds up the network deployment process.
•>$300B expected investment into fiber network development in the U.S over next 5+ years
•>$50B expected investment into 5G network development in the U.S. over the next 5+ years
•An additional >$60B expected investment into rural broadband development as part of the Biden administrations
new Infrastructure bill
•>200 Communications companiescompeting to build a networks and winunderlying customers
•>2,000 engineering serviceproviders supporting network development

ikeGPS
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Fiber and 5G Investment Super-Cycle in North America Still In Its Early Stages
PROJECTED INVESTMENTS INTO 5G & FIBER OPTIC INFRASTRUCTURE
$39B
20102018
$43B
$72B
2025
$NZD
Source: Bell Potter Initiation of Coverage Report, GSMA, American Tower
Note: Labeled Capex Figures reflect Houlihan Lokey Estimates

ikeGPS
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Some of the largest U.S. Communication groups have Standardized on IKE
And a growing footprint of tier-2 fiber businesses
Takeaways
•Several of the largest comms group
in North America: AT&T ($107B),
Crown Castle ($39B), Bell Canada
($47B)
•A growing footprint of the tier-2
fiber companies
Opportunities to:
•Grow, upsell and cross-sell IKE
products into existing customer
base
•Win new logos in the North
American market
•Expand into international markets
over time
Communications
Electric Utilities
Engineering & Project Management

ikeGPS
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$5.4B
TAM
$550M Fiber / 5G
Market Opportunity
0.6M
Poles Needing
Small Cell
Deployments
Overall.. a Large Addressable Market Opportunity That is Expected to Grow
(1)Assumed 80% discount rate on range of fibre deployments
(2)Other services include design planning, grid hardening/resiliency programs, NESC violations, joint use attachment audit, billing audits , etc.
Source: Management Estimates, Bell Potter Initiation of Coverage Report, Houlihan Lokey Estimates
Note: Market analysis does not include opportunity that will arise from growth of pole infrastructure
$NZD
5G Small Cell
Antenna
Fibre Connections
5G and Fibre
4.2M
1
Poles
Requiring Fiber
Connections
$113 Cost of
Service
$4.8B Electric Utilities
Opportunity
40M Poles
Needed for
Audit per
annum
Estimated
$50 Cost of
Audit per
Pole
Estimated
$113 Cost of
New Build
per Pole
>200M Total No. of
Electrical Poles
25M Poles
Used for
Other
Services
2
Utilities
$NZD

ikeGPS
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50%+
Of US energy consumption will be comprised of
electricity on the distribution grid by 2050 to attain
carbon net zero targets, and power the new EV market,
compared to current levels of just 20% = engineering
requirements to build capacity on the network.
Market Tailwinds Over the Coming Decades
Source: Bell Potter Initiation of Coverage Report, GSMA, American Tower, Accenture, Grandview Research, Global Newswire, RyseEnergy, World Economic Forum
Small Cell Deployments across North
America, much of it engineered on
distribution power poles
800,000+
Small cell site expansions are expected by 2025 as
communications infrastructure providers look to speed up 5G
rollout while reducing cost and time of deployment
Requirement for harder and higher
capacity distribution power networks
across all of North America
>3,200
Electric Utilities in North America with long-term, recurring
distribution network hardening, joint use, and capacity needs for
electrical distribution
7+ year macro-market tailwind of fiber
deployment, much of it engineered on
distribution power poles
>$350B
Investment forecast in fiber in the US by 2025, representing >30M
attachments; communications infrastructure providers seeking
partners to manage new fiber attachments for every pole
Infrastructure development via
Engineering Service Providers
>1,000
Engineering Service Providers in the US subcontracted by
telecom and utilities providers to assist in infrastructure
development and deployment
Massive engineering requirements for an
evolving distribution network supporting
an increase in global consumption of
electricity

ikeGPS
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Today, IKE Goes to Market Directly
With a deepened team of segment experts
SVP of
Sales
VP of Utilities
Solutions
Engineering
Manager
Solutions Engineer
Systems Engineer
Systems Engineer
Production Engineer
Sr. Account
Manager
Sr. Director of
Communications
Sales
Inside Sales
Lead
Generation
Sr. GIS
Manager
Sales
Operations
Coordinator
Director, Utility
Enterprise
Director, Utility
Enterprise
Director, Utility
Enterprise
Solutions Engineer
Inside Sales
Sr. Director of
Communications
Sales
Sales
Operations &
Marketing
automation
Each rep has 40-50
named accounts
Market focus: Utility &
Major ESP
Each rep 40-50 named
accounts
Market focus:
Communications &
some ESP
Some existing Business
mostly New business
hunting
Mostly Existing
Customer Expansion
and Inbound leads
Market Focus:
Communications, Small
Utilities (Coop/muni) &
Engineering firms

ikeGPS
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A Map-View of Usage, and how IKE customers deploy our software
Crown Castle in Florida

ikeGPS
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A map-view of Usage, and how IKE customers deploy our software
AT&T in 7 example States

ikeGPS
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Multiple Avenues Supporting Future Growth Potential
Sales Team
Expansion / New
Customers
Inorganic
Growth
Cross Sell & Upsell into
Existing Customer Base
International
Expansion
$43mm
Revenue
“Today”
Revenue
“Future”
2
3
4
1
Sales Team
Expansion /
New Logos
1
Platform for
Inorganic Growth
3
Cross Sell &
Upsell
2
International
Expansion
4

ikeGPS
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Thanks
Manaakitanga: We Rise By Lifting Others

ikeGPS
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Q&A
We’re IKE, The PoleOS™Company
IKE seeks to bethe standard for collecting, analyzing and managing pole
and outside plant (“OSP”) information for electric utilities,
communications companies, and their engineering service providers
The IKE platform allows its customers to increase speed, improve
quality, and deliver safety in the assessment, construction, and
maintenance of distribution poles and other OSP assets
IKE’s purpose is Manaakitanga, which means”to rise by lifting others”