ikeGPS 1H FY25 Financial Results

For immediate release, 21 November 2024

1H FY25 Financial Results
Solid subscription revenue growth with an exit run rate of ~NZ$13.2m annualised (+34% vs pcp).
Gross margin improves to ~NZ$8.1m (+31% vs pcp), with a Gross Margin percentage of ~67%.
A record ~NZ$33m in contracts won in the period, across ~415 deals.

ikeGPS Group Limited (IKE) (NZX: IKE / ASX: IKE) is pleased to release the results for 1H FY25 to 30
September 2024. All figures are in NZD.
Highlights for the half year, with results in-line with the performance update on 24 October 2024:
 Exit run rate of annual platform subscription revenue grew to ~NZ$13.2m (+34% vs pcp).
 Total recognized revenue in the six-month period of ~NZ$12.2m (+16% vs pcp).
 Recognized subscription revenue of ~NZ$6.5m (+28% vs pcp).
 Recognized transaction revenue of ~NZ$4.0m (+6% vs pcp).
 Recognized hardware and other services revenue of ~NZ$1.7 (in-line with pcp).
 Gross margin of ~NZ$8.1m (+31% vs pcp), with a gross margin percentage of ~67% (up
from pcp of ~59%).
 Net loss was ~NZ$6.9m (pcp ~NZ$6.4m).
 Non-cash items included in this Net loss amount totalled ~$3.7M (pcp ~NZ$2.2m).
 Cash used in Operating activities of ~NZ$2.6m (~51% lower vs pcp).

Commenting on company progress since the release of its quarterly performance update mid-
October 2024, IKE CEO Glenn Milnes said: “since updating the market a month ago we are pleased to
have executed on continued sales momentum with ~NZ$4m in contracts closed in the month of
October (~NZ$2.4m for subscription products and ~NZ$1.6m for transaction & other products).
Two important items were also advanced from a product perspective since 1 October. AI &
automation capabilities have been launched inside of IKE’s core IKE Office Pro product. This will
initially drive productivity and increase the gross margin of IKE’s tech-enabled IKE Analyze business
process but is expected to become an additional up-sell subscription product for the hundreds of
external IKE Office Pro enterprise customers.
Additionally, IKE has continued to collaborate closely with its customer council of leaders of North
American electric utility businesses, representing companies delivering power to over seventy million
customers. This key customer collaboration targets our development efforts, and based on their
inputs, to drive more subscription product adoption.
Our balance sheet position remains strong, noting that cash used in operations in the period
decreased to ~NZ$2.6m, improving 51% vs pcp, and that our overall cash position has reduced
~NZ$3m over the past 12-months while we’ve invested significantly into building five new products,
three of which were launched in 1H FY25, and while we have continued our expansion in the market
with new customer wins running at ~one per week.

2
The commentary and charts below reflect what was released in the mid-October 2024 performance
update. It is repeated here for consistency: "Q2 FY25 represented another strong period with
significant subscription contracts closed with tier-1 North American customers that continue to grow
our ARR run rates.
In addition, we closed a record ~NZ$33m of total contracts in the six-month period across ~415
deals, noting that some subscription and transaction contracts will be recognized over a multi-year
period and that execution of some of these transaction contracts rely on underlying IKE customers
completing their associated engineering.
Our customer retention rates remain excellent at ~95% and our sales pipeline for new business is
strong and growing.
With respect to core subscription revenue and ARR, since the launch of the new IKE PoleForeman
product 10 months ago, Total Contract Value (TCV) has exceeded $12.5m from mostly tier-1 electric
utilities in the U.S. market. Due to the extremely sticky nature of these customers, the life-time value
of these contracts is significant. In total, ~84 customers have now subscribed to this new platform,
of which ~50 were existing customers and ~34 are new customers. This has translated to several
thousand new seat licenses, each representing a distribution network design engineer utilizing the
software. We expect more 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.
Total subscription revenue in FY25 is expected to grow strongly at ~40% or greater vs pcp. This
outlook was revised down from 50% from the start of the financial year based on the likely timing to
close some major pipeline contracts with various tier-1 investor-owned utilities, given that the
associated subscription revenue is recognized over the subsequent 12-month period from close. Our
guidance for ~40% growth or greater in FY25 Subscription revenue is somewhat dependent on the
timing of customer conversions onto the new IKE PoleForeman product. A delay in the up-sale close
processes, with various existing customers, could lead to slightly lower revenue recognition in FY25,
but we remain very confident that this revenue would be recognized in subsequent periods. This is
because we have customer contracts in place and given the conversion of older version PoleForeman
customers has been strong year-to-date due to the enhanced next-gen product on offer and its
productivity features.
Transaction revenue in FY25 is expected to continue to grow against the prior year based on contracts
in place, but with a wider range of potential profiles and, as such, represents higher risk – both upside
and downside. IKE generates additive transaction revenue, on top of base subscription revenue, from
some customers as they engineer more network assets in our system.
Our margin profile was also stronger in 1H FY25 vs pcp at ~67% (up from 59% in the pcp). This
improvement is due to a shift in the product mix toward higher-margin subscription revenue. We
expect this trend to continue.
We believe macro-market tailwinds across North America remain highly supportive of IKE’s business
and will continue to grow over the coming decades. Our North American-headquartered team is
executing on sizable sales opportunities. Based on closed, long-term contracts with some of the
largest utilities in this market, an expanding pipeline, and noting that today IKE has less than ~6%
market share, we expect healthy growth in the 2H FY25 period and beyond.”

Performance summary

Performance across the business is set out in the following charts and table:

3

Takeaways (NZ$000)
Significant growth in
underlying subscription
revenue.
Three-year subscription
revenue CAGR of +38%.
During FY25, this is
expected to increase
materially by ~40% or
greater vs pcp.


Takeaways
+34% YoY growth in the exit
run rate (ERR) of annual
platform subscription
revenue.
As stated, during the FY25
period this metric is
expected to continue to
grow materially (by ~40% or
greater vs pcp) driven by
continued growth of IKE
Office Pro subscription
sales and successful sell-
through of IKE’s next-
generation IKE
PoleForeman subscription
product, with TCV of
~NZ$12.5m already closed.



Takeaways
Subscription seat license
growth of +179% over the
past year.
Seat count growth has
accelerated at a fast pace
due to customer additions
and upsells, as well as
selling customers onto a
new per-seat subscription
model when adopting the
new IKE PoleForman
product (released late FY
2024).

4


Takeaways
Three-year transaction
revenue CAGR of +20%,
noting that gross margin
increased +107% vs pcp.
Based on contracts signed
in Q2, IKE expects
transaction volumes and
associated revenue to
continue to build into 2H
FY25.


Takeaways (NZ$000)
Three-year total revenue
CAGR of +29%.
Recurring subscription and
reoccurring transaction
revenues (shown in the
green and blue segments in
this chart) dominate IKE’s
revenue mix, at 86% for YTD
FY25.
An expectation for healthy
revenue growth in the FY25
period, including ~40% or
greater growth in
subscription ARR.


Takeaways (NZ$000)
Revenue 1H FY25 of
~NZ$12.2m (+32% pcp)
Gross margin percentage
1H FY25 of ~67% (up from
~59% pcp)
Net loss was ~NZ$6.9M
(pcp ~NZ$6.4M). Net loss
includes non-cash items of
~NZ$3.7m (pcp ~NZ$2.2m)
Cash used in operations
improves to ~NZ$2.6m, a
decrease of 51% vs. pcp.

5


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 until 31 December 2024.
Reconciliation is as follows:




Additional commentary:

New AI-based products launched to market in Q2. Unique whole-of-network intelligence for the North
American industry.
Q2 FY25 was an exciting period for IKE in terms of innovation with the launch of new AI-based
products. This has followed significant investment into building automation capability specific to
productivity outcomes for the assessment & design of distribution networks and associated
engineering workflows.
The solutions launched in Q2 were:
- Double-Wood Detective, see https://ikegps.com/ike-insight/double-wood-detective/.
o Double-Wood (also known as a buddy-pole, ghost-pole, or two-pole) is a prevalent
issue for all electric utilities, with up to 10 million of these assets estimated to be
across the U.S. power network. Double-Wood can result in lagging pole transfers,
backlogs, and communication gaps between pole owners and ‘attachers’. When
1H FY25 1H FY24 % Change
Total Revenue$12.2m $10.5m +16%
Platform Subscriptions
Total # of Subscription Customers413 368 +12%
Total Number of Seat Licenses5,990 2,144 +179%
Platform Subscription Revenue$6.5m $5.1m +28%
Gross Margin$5.7m $4.5m +27%
Gross Margin %87%87%
Platform Transactions
# of Billable Transactions160k142k+13%
Platform Transaction Revenue$4.0m $3.7m+6%
Gross Margin$1.5m $0.7m +107%
Gross Margin %37%19%
Hardware & Other
Hardware & Services Revenue$1.7m $1.7m0%
Gross Margin$1.0m $1.0m0%
Gross Margin %58%60%

6
unaddressed, these assets create a safety hazard and can be the most vulnerable
point in a distribution power network. Regulators are increasing their focus on this
risk as well. Because of the size and age of any distribution network, many utilities
do not have a strong grasp of these assets and their exposure.
o Double Wood Detective from IKE helps utilities identify and validate double-wood
instances at whole-of-network scale, using bulk imagery & AI. This dramatically
increases network intelligence and reduces cost and time resource-intensive field
inspection requirements.
- Joint-Use Ticket Automation, see https://ikegps.com/ike-insight/joint-use-ticket-
automation/
o Joint-Use Ticketing represents an industry-wide requirement across North America
for network owners to communicate with one-another wherever a distribution pole
is shared, say between a power company and a fiber company, for billing, engineering
and maintenance. There are more than 200 million poles in the U.S. market alone,
most of them shared, so joint-use ticketing is currently a significant cost, risk, and
administrative burden for all network operators. Backlogs put these companies at
risk with contractual or regulatory obligations, creating liability exposure.
o The Joint-Use Ticketing Automation solution from IKE helps utilities,
communications companies, and engineering firms dramatically streamline this
process. Using AI & machine learning, this product seamlessly creates, populates,
and updates NJUNS tickets using existing bulk data, dramatically reducing costs and
time, and materially increasing process accuracy.
Several other new AI solutions will be launched to market from 2H FY25. Capabilities will include
automation tools inside of IKE’s Office Pro product. This will initially drive productivity for IKE’s
internal Analyze team but ultimately will be an up-sell opportunity into IKE’s widely established
customer footprint of IKE Office Pro users, further increasing ARPU.

Balance sheet & working capital strength:
As of 30 September 2024, total cash and receivables are ~NZ$11.1m, comprised of ~NZ$6.8m
cash and ~NZ$4.3m receivables, with payables of NZ$1.0m and no debt.
As context, cash has reduced ~NZ$3m over the past 12 months during a period of substantial
investment into building five new products, three of which have now been launched to market, and
through a period of substantial recurring revenue and customer growth. Investment into product
development is paying back, an example being IKE PoleForeman. This new product has been in-
market for ~nine months and as above to date the product has generated ~$12.5m in Total
Contract Value and has increased IKE’s ARR by ~NZ$4.0m. 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.

Macro-market tailwinds remain across North America
As consistently stated, macro-market tailwinds across North America remain highly supportive of
IKE’s business and are growing, driven by the forecasted $300B investment by electric utilities into
building & maintaining distribution power network capacity and associated network hardening. To
meet caron-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. Additively, there are
multi-year investments being made into building overhead fiber and 5G networks by more than 200
communications companies. IKE’s product suite drive productivity outcomes supporting the lifecycle
of these networks.

7
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 120, Broomfield CO 80021, USA
Office: +1 303 222 3218
www.ikegps.com

---

ikeGPS Group Limited
Consolidated Financial Statements
FY25 Interim Report
For the six month period ended 30 September 2024

Contents
Consolidated interim statement of profit or loss and other comprehensive income1
Consolidated interim statement of changes in equity2
Consolidated interim balance sheet3
Consolidated interim statement of cash flows4
Notes to the consolidated interim financial statements5 to 13

Unaudited
6 months to
September 2024
Unaudited
6 months to
September 2023
Continuing operations
NZ$000NZ$000
Operating revenue412,172 10,519
Cost of sales(4,071) (4,344)
Gross profit
8,101 6,175
Other income4- 97
Foreign exchange gains(398) 223
Movement of fair value assets and liabilities4(55) 73
Total other income, gains, and (losses)
(453) 393
Support costs(753) (678)
Sales and marketing expenses(4,589) (3,970)
Research and engineering expenses(5,868) (5,308)
Corporate costs(3,608) (3,594)
Expenses4
(14,818) (13,550)
Operating profit/(loss)
(7,170) (6,982)
Net finance income/(expense)59 132
Net profit/(loss) before income tax
(7,111) (6,850)
Income tax expense--
Profit/(loss) attributable to owners of ikeGPS Group
(7,111) (6,850)
Other comprehensive gains
Exchange differences on translation of foreign operations130 443
Comprehensive income/(loss)
(6,981) (6,407)
Basic and diluted earnings/(loss) per share(0.04)$ $ (0.04)
The accompanying notes form part of, and should be read in conjunction with, these financial statements.
Consolidated interim statement of profit or loss and
other comprehensive income
1

Share
capital
Accumulated
losses
Share based
payment
reserve
Foreign
currency
translation
reserveTotal
NZ$000NZ$000NZ$000NZ$000NZ$000
Opening balance at 1 April 2023 (audited)
105,118 (75,492) 3,699 610 33,935
Profit for the period-(6,850) --(6,850)
Currency translation differences---443 443
Total comprehensive (loss)/ income
-(6,850) -443 (6,407)
Issue of ordinary shares-----
Recognition of vesting of share-based options--471 -471
Issue of shares from exercise of share options57 -(57) --
Share based options forfeited during the period-71 (121) -(50)
Equity movements arising from business combinations201 -(165) -36
Total transactions with owners
258 71 128 -457
Balance at 30 September 2023 (unaudited)105,376 (82,271) 3,827 1,053 27,985
Share
capital
Accumulated
losses
Share based
payment
reserve
Foreign
currency
translation
reserveTotal
NZ$000NZ$000NZ$000NZ$000NZ$000
Opening balance at 1 April 2024 (audited)
105,542 (90,307) 3,901 961 20,097
Loss for the period-(7,111) --(7,111)
Currency translation differences---130 130
Total comprehensive income
-(7,111) -130 (6,981)
Recognition of vesting of share-based options--304 -304
Issue of shares from share based payments130 130
Issue of shares from exercise of share options- -- --
Share based options forfeited during the period-159 (47) -112
Equity movements arising from business combinations112 -(224) -(112)
Total transactions with owners
242 159 33 -434
Balance at 30 September 2024 (unaudited)
105,784 (97,259) 3,934 1,091 13,550
The accompanying notes form part of, and should be read in conjunction with, these financial statements.
Consolidated interim statement of changes in equity
2

Consolidated interim balance sheet
Unaudited
September
2024
Audited
March
2024
ASSETS
NZ$000NZ$000
Current assets
Cash and cash equivalents6,761 10,242
Trade and other receivables4,357 5,114
Prepayments1,518 782
Contract costs827 696
Financial instruments- 10
Inventory1,098 1,865
Total current assets
14,561 18,709
Non-current assets
Property, plant and equipment2,221 2,857
Intangible assets511,204 13,085
Inventory161 205
Lease assets1,052 1,245
Total non-current assets
14,638 17,392
Total assets
29,199 36,101
LIABILITIES
Current liabilities
Trade and other payables905 1,226
Employee entitlements1,578 1,664
Current tax payable8 -
Provision10256 272
Other liabilities6- 279
Financial instruments18 -
Lease liabilities329 324
Deferred income7,351 7,403
Total current liabilities
10,445 11,168
Non-current liabilities
Lease liabilities821 1,009
Deferred income4,383 3,827
Total non-current liabilities
5,204 4,836
Total liabilities
15,649 16,004
Total net assets
13,550 20,097
EQUITY
Share capital8105,784 105,542
Share based payment reserve3,934 3,901
Accumulated losses(97,259) (90,307)
Foreign currency translation reserve1,091 961
Total equity
13,550 20,097
The accompanying notes form part of, and should be read in conjunction with, these financial statements.
NZ (New Zealand Time)
NZ (New Zealand Time)
Director Date: 21 November 2024 Director Date: 21 November 2024
3

Consolidated interim statement of cash flows
Unaudited
6 months to
September 2024
Unaudited
6 months to
September 2023
NZ$000NZ$000
Operating activities
Receipts from customers13,926 11,189
Payments to suppliers and employees(16,492) (16,475)
Payment of low value and short term leases(10) (24)
Government Grants received- 97
Interest paid- -
Net cash from/(used in) operating activities9
(2,576) (5,213)
Investing activities
Purchases of property, plant, and equipment(329) (1,209)
Additions to intangible assets(32) (1,693)
Payment for financial instruments- -
Interest received113 177
Net cash used in investing activities
(248) (2,725)
Financing activities
Payments of principal portion of lease liabilities(210) (138)
Proceeds from issuance of shares--
Net cash (used in)/from financing activities
(210) (138)
Net (decrease)/increase in cash and cash equivalents
(3,034) (8,076)
Cash and cash equivalents at 1 April10,242 18,048
Effect of exchange rate fluctuations on cash held(447) 261
Cash and cash equivalents at the end of the period
6,761 10,233
The accompanying notes form part of, and should be read in conjunction with, these financial statements.
4

Notes to the consolidated interim financial statements
1. Reporting entity
ikeGPS Group Limited (the “Company”) is a limited liability company domiciled and incorporated in New
Zealand, registered under the Companies Act 1993 and listed on the New Zealand Stock Exchange (“NZX”)
and Australian Securities Exchange (“ASX”). The Company is an FMC reporting entity for the purposes of the
Financial Markets Conduct Act 2013. The interim financial statements for the six months ended 30
September 2024 comprise the Company and its subsidiaries (together referred to as the “Group”), which
include ikeGPS Limited and ikeGPS Inc.
The principal activity of the Group is that of design, sale, and delivery of a solution for the collection, analysis,
and management of distribution assets for electric utilities and communications companies.
The consolidated interim financial statements were authorised for issue by the Directors on21 November
2024.
2. Basis of preparation
The principal accounting policies applied in the preparation of these interim consolidated financial statements
are set out below. These policies have been consistently applied to all the periods presented, unless otherwise
stated.
Basis of measurement
These unaudited interim financial statements for the six months ended 30 September 2024 have been
prepared in accordance with New Zealand Generally Accepted Accounting Practice (“NZ GAAP”) and NZ IAS
34, Interim Financial Reporting.
The consolidated financial statements have been prepared on the historical cost basis with the exception of
certain financial instruments, which are measured in accordance with the specific relevant accounting policy.
These unaudited interim financial statements do not include all the notes of the type normally included in an
annual financial report. Accordingly, this report should be read in conjunction with the audited financial
statements of the Group for the financial year ended 31 March 2024, which were prepared in accordance with
the New Zealand equivalents to International Financial Reporting Standards (NZ IFRS). All significant
accounting policies have been applied on a basis consistent with those used in the audited financial
statements of the Group for the year ended 31 March 2024.
Critical estimates and judgements
The preparation of financial statements requires management to make judgements, estimates and
assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities,
income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are recognised in the period in which the estimate is revised and in any future periods affected.
In preparing these condensed interim financial statements, the significant judgements made by management
in applying the Group’s accounting policies and the key sources of estimation uncertainty were the same as
those that applied to the consolidated financial statements for the year ended 31 March 2024, unless
separately identified in the notes.
5

Notes to the consolidated interim financial statements
At the end of the period, the Group has reviewed the cash generating unit (CGU) carrying amounts, key
assumptions, and estimates for indicators of impairment. The Directors have identified the following CGUs:
+ CGU1 – IKE Core platform
+ CGU2 – Spike
+ CGU3 – IKE Structural
+ CGU4 – IKE Insight
The Directors determined that there have been no material changes since the 31 March 2024 Annual Report
for CGU1, CGU2, and CGU3.
However, indicator of impairment existed in CGU4 due to the lower-than-expected revenue, requiring an
estimate of the CGU4 recoverable amount.
CGU4 was determined to have a carrying value of $6.9M including goodwill. CGU4 is an early-stage business
segment and technology asset that IKE acquired January 2021. Future cash flows are forecasted based on a
five-year business model for CGU4, with the year two revenue forecasted to be $1.7M with an average
revenue growth rate of 120% in years three to five and operating expenses reflecting the FY25 business plan.
A pre-tax discount rate of 15.9% was used to establish the recoverable amount on a value in use basis. In
determining the terminal value, the Group applied a 2% growth rate.
The Directors believe that given the large desire for automation in the industry and use of artificial intelligence
to complete pole analysis the CGU could outperform these estimates. During the year the first of several
products to be released have been launched in the marketplace with further products close to commercial
launch.
However, given the prior years lower than expected revenue the Directors have taken a prudent approach to
forecasting future revenues.
Impairment of non-financial assets
Based on this approach, the Directors have determined that no impairment of CGU4’s intangible assets of is
required as the carrying amount does not exceeded the value in use calculation.
Going concern
Notwithstanding the above, the Group has prepared cash flow forecasts and sensitivity analyses that indicate
cash-on-hand at the end of the 6 month period (NZ$6.8M), combined with the net cash flows from operations,
will enable the Group to continue operating as a going concern for at least twelve months from the date of
authorising these consolidated financial statements
The considered view of the Board Directors is that the going concern assumption is valid. This view has been
reached after making due enquiry and having regard to the circumstances that the Directors consider will
occur and those that are reasonably likely to affect the Group during the period of one year from the date
these consolidated financial statements are approved.
The Group recorded a net loss of NZ$7.1M (Unaudited) for the 6 months ended 30 September 2024 (2023:
NZ$6.9M) with a cashflow deficit of NZ$3.0M for the same period (2023: NZ$8.1M) and is expected to make
further losses in the following financial year whilst continuing our trajectory to cash breakeven.
2. Basis of preparation (continued)
6

Notes to the consolidated interim financial statements
NZ$000NZ$000
Platform Subscriptions
Platform as a Service revenue1,885 1,745
1,831 908
Subscription revenue2,817 2,444
Cost of sales(865) (638)
Contribution
5,668 4,459
Platform Transactions
IKE Analyze revenue3,964 3,747
Cost of sales(2,501) (3,040)
Contribution
1,463 707
Hardware and other services
Hardware and accessories revenue1,202 1,365
Other service revenue473 310
Cost of sales(705) (666)
Contribution
970 1,009
Total Operating Revenue12,172 10,519
Total Cost of Sales(4,071) (4,344)
Total Gross Profit8,101 6,175
Sales and marketing costs (4,589) (3,970)
Net attributable (other corporate income and expenses)(10,623) (9,055)
Net profit/(loss) before tax
(7,111) (6,850)
The Group derives its revenue from:
+ IKE Device and Spike device sales,
+ IKE Analyze revenue by providing an end-to-end technical solution for customers; IKE captures and
analyses pole loading and make-ready engineering assessments, or customers capture pole data
and transact on the platform,
+ transactional revenue by analysing pole data through an artificial intelligence and machine
learning platform.
+ pole loading software licences and ongoing subscriptions for maintenance and support.
3. Operating segments
Unaudited
6 months to
September 2023
The CEO is assessed to be the Chief Operating Decision Maker (CODM), who regularly review financial
information by product and gross margin. Reporting of overheads and balance sheet position is not
undertaken at a level lower than the Group as a whole. Geographically, revenue is substantially generated in
the United States of America.
Unaudited
6 months to
September 2024
IKE Structural pole loading software licenses and subscription revenue
Platform transactions:
+ the IKE Platform solution where customers use the functionality of IKE Office and if applicable
the IKE Device,
Platform subscriptions:
Hardware and other services:
+ Other services including training and deployment.
The segment information provided to the CEO and Board of Directors for the six months ended 30 September
2024 was as follows:
7

4. Revenue and expenses
Revenue
Unaudited
6 months to
September
2024
Unaudited
6 months to
September
2023
NZ$000NZ$000
Sale of product (point in time)1,202 1,365
Platform as a Service (over time and point in time)1,885 1,745
IKE Analyze (point in time)3,964 3,747
IKE Insight (point in time)- -
IKE subscription (over time)2,817 2,444
Pole loading licence and subscription (over time and point in time)1,831 908
Services (point in time)473 310
Total operating revenue
12,172 10,519
Government grants
1
- 97
Other income- -
Total other income
- 97
Fair value movement on other liabilities- -
Fair value movement on financial instruments(55) 73
Total movement of fair value assets and liabilities
(55) 73
Operating expenses
Amortisation of intangible assets1,504 1,186
Depreciation
2
284 256
Total amortisation and depreciation
1,788 1,442
Audit of financial statements128 113
Employee benefit expense8,367 8,124
External contractors and consultants678 1,237
Employee benefit, contractors and consultants expense capitalised
3
(36) (1,434)
Share-based payment511 421
Operating lease expenses
4
148 109
Direct selling and marketing
5
1,313 1,532
Movement of sales tax provision4 -
Impairment of inventories- -
Other operating expenses
6
1,917 2,006
Total operating expenses
14,818 13,550
Operating expenses consist of operations, sales, marketing, engineering, research, and corporate costs.
Notes to the consolidated interim financial statements
8

4. Revenue and expenses (continued)
5. Intangible assets
Development
assets
Work in
progress Patents Goodwill
Customer
contracts,
relationships,
trademarks
Training
materialsTotal
NZ$000 NZ$000 NZ$000NZ$000NZ$000 NZ$000 NZ$000
Cost
Balance at 1 April 202321,064 2,935 174 3,689 746 210 28,818
Additions- 2,273 - - 266 - 2,539
Transfers2,806 (2,806) - - - - -
Disposals/Expensed(5) (329) - - - - (334)
Exchange differences612
(10)
- 151 35 9 797
Balance at 31 March 202424,477 2,063 174 3,840 1,047 219 31,820
Balance at 1 April 202424,477 2,063 174 3,840 1,047 219 31,820
Additions-172 - -- -172
Transfers1,511 (1,511) -
Disposals(6) (135) (141)
Exchange differences(673) (53) -(220) (60) (13) (1,019)
Balance at 30 September 202425,309 536 174 3,620 987 206 30,832
Amortisation and impairment losses
Balance at 1 April 202312,123 -174 2,969 373 75 15,714
Amortisation for the year2,342 ---178 71 2,591
Impairment- --- ---
Exchange differences272 --130 26 2 430
Balance at 31 March 202414,737 -174 3,099 577 148 18,735
Balance at 1 April 202414,737 -174 3,099 577 148 18,735
Amortisation for the period1,350 --83 34 1,467
Disposals(5) (5)
Impairment-------
Exchange differences(348) -(177) (33) (8) (566)
Balance at 30 September 202415,734 - 174 2,922 627 174 19,631
Carrying amounts
At 31 March 20249,740 2,063 - 741 470 71 13,085
At 30 September 20249,575 536 - 698 360 32 11,201
Notes to the consolidated interim financial statements
1.Government grants were payments received under the research and development tax incentive scheme
relating to FY22 research and development costs and the NZTE International Growth Fund.
2.Total depreciation for the period is $973k (2023: $868k), comprised of depreciation on fixed assets of
$803k (2023: $716k) and depreciation on leased assets of $170k (2023: $152k). Engineering and research
expenses included $86k (2023: $105k) and corporate costs included $170k (2023: $152k) of depreciation on
leased assets under NZ IFRS 16. The balance of depreciation totalling to $717k (2022: $611k) is included in
cost of sales.
3.     Relates to employee benefit expenses, external contractors, and consultants’ expenses that are directly
attributable to the development of intangible assets and have been capitalised.
4.Relates to short term and low value leases and common area maintenance costs.
5.     Direct selling and marketing expenses includes expenses incurred mainly in relation to promotional
activities such as commissions, travel, and other direct marketing expenses.
6.     Other operating expenses include corporate advisory, travel, engineering, facilities, and IT costs.
9

6. Other liabilities
Unaudited
6 months to
September
2024
Audited
year ended
March
2024
NZ$000NZ$000
Accrued liabilities for services- 279
- 279
Accrued liabilities for services
7. Foreign currency risk management
March 2024
Carrying amount
in USD
Carrying amount
in AUD
Carrying amount
in USD
Carrying amount
in AUD
US$'000AU$'000US$'000AU$'000
Cash and cash equivalents
3,395 1,215 3,812 3,417
Trade and other receivables
2,762 - 3,038 -
Trade and other payables
(264) (3) (505) 12
Carrying amount
Change in USD
rate
Effect on profit/
loss before tax
Sensitivity analysis
US$'000%NZ$'000
10%
(845)
-10%
1,033
10%
(965)
-10%
1,179
Carrying amount
Change in AUD
rate
Effect on profit/
loss before tax
AU$'000%NZ$'000
10%
(120)
-10%
147
10%
(340)
-10%416
Notes to the consolidated interim financial statements
Other liabilities are obligations from prior year business combinations and were initially recorded at fair value. They are deferred
consideration and are subsequently measured at amortised cost.
The Group has employment agreements that result in cash payments being made to certain staff at the end of a service period. The
expense is accrued as services are delivered and payment is made at the end of the service period. The liability was initially measured at
fair value and subsequently measured at amortised cost.
September 2024
March 20243,429
The Group is exposed to foreign currency risk on its revenue and a significant portion of its expenses that are denominated in USD,
which is different to the Group’s presentational and parent’s functional currency NZD. Additionally, the institutional placement and share
purchase plan completed during the 2022 financial year was predominantly in AUD, creating additional foreign currency risk exposure.
Therefore, the Group has purchased AUD/USD foreign exchange options to mitigate the risk on its AUD cash holdings.
If the NZD strengthened / weakened against the USD or AUD by 10% at 30 September 2024, the effect on profit / loss is as follows:
September 20245,893
March 20246,345
September 20241,212
10

8. Contributed equity
Share capital
Unaudited
6 months to
September
2024
Audited
year ended
March
2024
NZ$000NZ$000
On issue at 01 April105,542 105,118
Exercise of share options- 57
Issue of share capital as part of share based payment130 166
Issued as part of business combination112 201
Total share capital105,784 105,542
Share capital on issue
QtyQty
Fully paid total shares at beginning of year160,242,975 159,731,745
New ordinary shares offered- -
Ordinary shares issued on settlement of options- 28,241
Ordinary shares issued as share based payment372,094 218,637
Ordinary shares issued as part of business combination134,668 264,352
Fully paid ordinary shares160,749,737 160,242,975
9. Reconciliation of operating cash flows
Unaudited
6 months to
September
2024
Unaudited
6 months to
September
2023
NZ$000NZ$000
Profit/(loss) for the period(7,111) (6,850)
Less investment interest received(113) (177)
Non-cash items included in net profit/loss
Depreciation973 868
Amortisation of intangible assets1,504 1,186
Raw materials and finished goods written down143 22
Share based payment expense511 729
Write off of obsolete materials and assets175 77
Fair value movement55 (73)
Finance lease interest54 45
Unrealised foreign exchange (gain)/loss416 (210)
Foreign exchange (gains)(130) (443)
3,701 2,201
Add/(less) movement in working capital items
Decrease in trade and other receivables778 (992)
(Increase) in inventories811 744
Decrease/(increase) in prepayments(867) (558)
Increase/(decrease) in trade and other payables(223) (1,187)
Increase in deferred revenue503 1,662
Increase in other liabilities28 (73)
(Decrease) in provision3 110
Increase in employee entitlements(86) (93)
947 (387)
Net cash from/(used in) operating activities(2,576) (5,213)
Notes to the consolidated interim financial statements
11

10. Provisions
Corporate Tax
Unaudited
6 months to
September
2024
Audited
year ended
March
2024
NZ$000NZ$000
Opening balance272 -
Provision added-262
Provision used--
Foreign exchange movement(16) 10
Closing balance256 272
11. Related parties
The group issued 1,409,000 unlisted share options at NZD$0.475 to key management during the period, in
accordance with the ikeGPS Group Limited Employee Share Scheme.
The Group has identified a potential tax obligation linked to a series of intercompany transactions. As the
transactions have occurred the Group considers it to be more likely than not the obligation exists.
Notes to the consolidated interim financial statements
12

ikeGPS Group Limited
Level 2, 79 Boulcott Street
Wellington Central
Wellington, 6011
Telephone: +64 4 382 8064
Directors of ikeGPS Group Limited
Alex Knowles
Glenn Milnes
Fred Lax
Mark Ratcliffe
Roz Buick
Legal Advisers
Chapman Tripp
Level 6, 20 Cuxtomhouse Quay
PO Box 993
Wellington, 6140
Telephone: +64 4 499 5999
Auditor
Grant Thornton
Level 15, Grant Thornton House
215 Lambton Quay
PO Box 10712
Wellington, 6143
Telephone: +64 4 474 8500
Share Registrar
Link Market Services Limited
PO Box 91976, Auckland, 1142
Level 30, PwC Tower
15 Customs Street West, Auckland
Telephone: +64 9 375 5998
Bankers
Bank of New Zealand
Level 4, 80 Queen Street,
Auckland,1010
Private Bag 39806,
Wellington Mail Centre,
Lower Hutt, 5045
www.ikegps.com
13

---

Template
Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)
Updated as at 17 October 2019


Results for announcement to the market
Name of issuer ikeGPS Group Limited
Reporting Period 6 months to September 2024
Previous Reporting Period 6 months to September 2023
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$12,172 15.7%
Total Revenue $12,172 14.7%
Net profit/(loss) from
continuing operations
($7,111) 3.8%
Total net profit/(loss) ($6,981) 9.0%
Interim/Final Dividend
Amount per Quoted Equity
Security
N/A
Imputed amount per Quoted
Equity Security
N/A
Record Date N/A
Dividend Payment Date N/A
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$0.04 $0.09
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
This results announcement should be read in conjunction with
the unaudited consolidated financial statements for the six
months ended 30 September 2024 ('Interim Financial
Statements').
Authority for this announcement
Name of person

authorised
to make this announcement
James Macdonald
Contact person for this
announcement
James Macdonald
Contact phone number +64 4 382 8064
Contact email address james.macdonald@ikegps.com
Date of release through MAP

21/11/2024

Unaudited financial statements accompany this announcement.