Energy Mad Limited Half Year Result

APPENDIX 1 RELEASE

21 November 2017
This document covers Energy Mad Limited’s unaudited financial results for the six months ended 30
September 2017.

ENERGY MAD LIMITED
RESULTS FOR ANNOUNCEMENT TO THE MARKET






The attached Condensed Interim Report is the unaudited financial statements of the Group for the six months
ended 30 September 2017.






Reporting period 6 months to 30 September 2017
Previous reporting period 6 months to 30 September 2016
Amount (000s) Percentage Change
Revenue from ordinary activities
$NZ 539 -85.31%
Profit / (loss) from continuing activities attributable to security holders
$NZ (506) -1.07%
Net profit / (loss) attributable to security holders
$NZ (506) -1.07%
Net tangible asset per security
30 September 2017 -2.5 cents
30 September 2016
-4 cents
Interim Final Dividend
Amount per
Security
Imputed amount
per Security
No dividend is proposed Not Applicable Not Applicable
Record Date Not Applicable
Dividend Payable Date Not Applicable
Audit The financial statements have not
been audited

Commentary

Income Statement

• Operating revenue of $538,917 for the six months ended 30 September 2017, was well down on the
corresponding period in 2016 ($3,668,784). This reflects the decision to pursue an orderly wind down
of the business and sale of the Group’s residual assets, with inventory being sold and not replenished.
• Gross profit was a loss of $29,753 for the six months ended 30 September 2017 compared with a
profit of $1,535,002 for the previous year. Inventory is being liquidated in a difficult market, with
realisations net of holding costs marginally less than estimated as at 31 March 2017.
• Administration and general expenses of $80,424 for the six months ended 30 September 2017 (2016:
$1,227,488) are after the write back of $220,000 in exit costs provided for in the prior year. There are
no remaining staff, with resources contracted on an as required basis, and the group’s offices have
now been closed.
• Selling and distribution expenses stand at $164,670 for the six months ended 30 September 2017
(2016: $253,048), being primarily agency fees paid to Ecobulb Limited.
• Net finance costs are $237,934 for the six months ended 30 September 2017 compared to $272,876
for the prior period. The reduction is due to the conversion of interest bearing convertible notes to
shares in the previous year.

Statements of Cashflows and Financial Position

• The net cash inflow for operating activities amounted to $307,330 compared to an outflow of $641,272
for the previous period. The net inflow reflects reductions in receivables, inventory and payables.
• There was no cash flow from investing activities, compared to an outflow of $123,572 for the previous
period.
• The net cash outflow from financing activities amounted to $289,466 compared to an inflow of
$604,075 for the previous period. The cash outflow reflects the reduction in debtor factoring over the
period.
• The Company’s cash balance of $55,912 compares to $80,284 in the previous period.

Please refer to the accompanying Market Release and Condensed Interim Report for additional commentary
and financial information.


For more information, contact:

Aidan Johnstone
(027) 434 3108

---

Energy Mad Limited
Interim Report 30 September 2017
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Energy Mad Interim Report 30 September 2017


CONTENTS


Results Overview...........................................................................................2

Interim Results and Commentary...................................................................... 2

Statement of Comprehensive Income................................................................ 4

Statement of Changes in Equity.........................................................................5

Statement of Financial Position.........................................................................6

Statement of Cash Flows................................................................................ 7

Notes to the Financial Statements.....................................................................8

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2




Results Overview


Interim Results and Commentary

Interim Results

Energy saving light bulb company Energy Mad Limited has released its unaudited results for the six
months ended 30 September 2017.

The results reflect the decision to conduct an orderly wind down of the business and sale of Energy Mad’s
residual assets.

• Operating revenue of $538,917 for the six months ended 30 September 2017, was well down on
the corresponding period in 2016 ($3,668,784). This reflects the disposal of inventory without
replenishment.
• Gross profit was a loss of $29,753 for the six months ended 30 September 2017 compared with
a profit of $1,535,002 for the previous year. Inventory is being liquidated in a difficult market, with
realisations net of holding costs marginally less than estimated as at 31 March 2017.
• Administration and general expenses of $80,424 for the six months ended 30 September 2017
(2016: $1,227,488) are after the write back of $220,000 in exit costs provided for in the prior year.
There are no remaining staff, with resources contracted on an as required basis, and the group’s
offices have now been closed.
• Selling and distribution expenses stand at $164,670 for the six months ended 30 September 2017
(2016: $253,048), being primarily agency fees paid to Ecobulb Limited.

Energy Mad Limited
Interim Report 30 September 2017
3

• Net finance costs are $237,934 for the six months ended 30 September 2017 compared to
$272,876 for the prior period. The reduction is due to the conversion of interest bearing
convertible notes to shares in the previous year.
• Cash generated from the sale of inventory and the realisation of receivables has been used to
reduce outstanding payables and debtor factoring loans. Interest continues to accrue on term
loans and convertible notes but remains unpaid.
Proposed sale to Ecobulb Limited

The Agreement with Ecobulb Limited (“Ecobulb”), for the sale and purchase of assets of Energy Mad
remains in place. Ecobulb is associated with Dr Chris Mardon, one of the founding shareholders and a
former Director of Energy Mad. The Agreement constitutes an initial agency arrangement for the orderly
sale of inventory, a potential sale of specified assets of the Group, being primarily residual inventory and
intellectual property, and the assumption of specific liabilities, being obligations under the agreement
between Energy Mad and My Eco Limited for direct sales within New Zealand, and all customer service
obligations.

The proposed sale is subject to shareholder approval. The proposed settlement date has been delayed
to 28 February 2018 (previously 15 November 2017) or earlier if agreed between the parties. It is not
expected that the delay in settlement will have a material financial impact on Energy Mad.

Thank You

The Directors of Energy Mad would like to thank the group’s shareholders and lenders for their continued
support.




Dr Brent Wheeler

Aidan Johnstone
Chairman Director

Energy Mad Limited
Interim Report 30 September 2017
4

Statement of Comprehensive Income









The accompanying notes form part of these financial statements

6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NotesNZ$NZ$NZ$
Revenue
6538,917 3,668,784 5,327,270
Cost of sales
(568,670) (2,133,781) (3,461,315)
Gross profit
(29,753) 1,535,002 1,865,955
Other income67,096 8,999 17,765
Administration and general expenses
7(80,424) (1,227,488) (2,183,405)
Selling and distribution expenses
7(164,670) (253,048) (263,694)
Provision for inventory obsolescence
3,13- (290,917) (1,657,678)
Provision for exit costs associated with winding down operations
3- - (250,000)
Impairment of fixed and intangible assets
3,14,15- - (923,636)
Operating loss
(267,751) (227,452) (3,394,693)
Finance income
8321 275 532
Finance costs
8(238,255) (273,151) (605,012)
Net finance costs
(237,934) (272,876) (604,480)
Loss before taxation
(505,685) (500,327) (3,999,172)
Income tax benefit / (expense)
11- - -
Loss for the year
(505,685) (500,327) (3,999,172)
Other comprehensive income (loss)
Exchange gain / (loss) on translating foreign operations
(19,148) (49,815) (30,468)
Total other comprehensive loss for the year
(19,148) (49,815) (30,468)
Total comprehensive loss for the year
(524,833) (550,142) (4,029,641)
Earnings per share:
22
Basic and diluted earnings per share
Loss for the year
(0.00) (0.01) (0.05)
Total
(0.00) (0.01) (0.05)

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Interim Report 30 September 2017
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Statement of Changes in Equity


The accompanying notes form part of these financial statements
ShareForeign exchangeAccumulatedTotal
capitaltranslation reservelossesequity
NotesNZ$NZ$NZ$NZ$
Balance at 1 April 2017
21,982,117 (183,632) (24,962,359) (3,163,874)
Issue of share capital
21- - - -
Transactions with owners
- - - -
Loss for the year
- - (505,685) (505,685)
Other comprehensive income
- (19,148) - (19,148)
Total comprehensive income
- (19,148) (505,685) (524,833)
Balance at 30 September 2017
21,982,117 (202,780) (25,468,044) (3,688,707)
ShareForeign exchangeAccumulatedTotal
capitaltranslation reservelossesequity
NotesNZ$NZ$NZ$NZ$
Balance at 1 April 2016
19,732,117 (153,164) (20,963,186) (1,384,233)
Issue of share capital
21- - - -
Transactions with owners
- - - -
Loss for the year
- - (500,327) (500,327)
Other comprehensive income
- (49,815) - (49,815)
Total comprehensive income
- (49,815) (500,327) (550,142)
Balance at 30 September 2016
19,732,117 (202,979) (21,463,513) (1,934,375)
ShareForeign exchangeAccumulatedTotal
capitaltranslation reservelossesequity
NotesNZ$NZ$NZ$NZ$
Balance at 1 April 2016
19,732,117 (153,164) (20,963,186) (1,384,233)
Issue of share capital
212,250,000 - - 2,250,000
Transactions with owners
2,250,000 - - 2,250,000
Loss for the year
- - (3,999,172) (3,999,172)
Other comprehensive income
- (30,468) - (30,468)
Total comprehensive income
- (30,468) (3,999,172) (4,029,641)
Balance at 31 March 2017
21,982,117 (183,632) (24,962,359) (3,163,874)

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Interim Report 30 September 2017
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Statement of Financial Position



The accompanying notes form part of these financial statements


6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NotesNZ$NZ$NZ$
Current assets
Cash and cash equivalents
55,912 80,284 57,195
Trade and other receivables
12404,344 1,201,410 1,048,101
Income tax receivable
9,920 11,663 11,740
Inventories
13209,759 2,107,521 630,732
Total current assets
679,935 3,400,877 1,747,768
Non current assets
Intangible assets
15- 911,076 -
Property, plant and equipment
14- 41,052 -
Total non current assets
- 952,128 -
Total assets
679,935 4,353,005 1,747,768
Current liabilities
Trade and other payables
16976,023 1,566,629 1,140,738
Employee entitlements
17- 72,003 100,698
Short term advance
1865,307 556,971 354,773
Provisions
330,000 - 250,000
Finance lease payable
- 6,552 925
Convertible notes
19387,374 35,881 369,288
Loans
202,909,938 1,015,342 2,695,219
Total current liabilities
4,368,642 3,253,379 4,911,642
Non current liabilities
Convertible notes
19- 2,534,000 -
Loans
20- 500,000 -
Total non current liabilities- 3,034,000 -
Total liabilities
4,368,642 6,287,379 4,911,642
Equity
Share capital
2121,982,117 19,732,117 21,982,117
Foreign exchange translation reserve
(202,780) (202,978) (183,632)
Accumulated losses
(25,468,044) (21,463,513) (24,962,359)
Total equity
(3,688,707) (1,934,375) (3,163,874)
Total equity and liabilities
679,935 4,353,005 1,747,768

Energy Mad Limited
Interim Report 30 September 2017
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Statement of Cash Flows

The accompanying notes form part of these financial statements

6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NotesNZ$NZ$NZ$
Operating activities
Cash was received from:
Receipts from customers
1,189,769 4,878,462 6,699,023
Interest received
321 275 532
1,190,090 4,878,737 6,699,555
Cash was applied to:
Interest paid
5,450 259,244 361,820
Payments to suppliers and employees
879,130 5,254,308 7,682,729
Taxation paid
(1,820) 6,457 6,534
882,760 5,520,009 8,051,083
Net cash inflow (outflow) from operating activities
24307,330 (641,272) (1,351,528)
Investing activities
Cash was applied to:
Purchase of property, plant & equipment
- 2,995 2,995
Purchase of intangible assets
- 120,577 250,555
- 123,572 253,550
Net cash outflow from investing activities
- (123,572) (253,550)
Financing activities
Cash was provided from:
Term Loan
20- 1,150,000 2,150,000
- 1,150,000 2,150,000
Cash was applied to:
Short term advances repaid
18289,466 545,925 748,123
289,466 545,925 748,123
Net cash inflow (outflow) from financing activities
(289,466) 604,075 1,401,878
Net (decrease) / increase in cash and cash equivalents
17,864 (160,768) (203,201)
Cash and cash equivalents, beginning of the year
57,195 290,865 290,865
Effect of foreign exchange rates
(19,148) (49,815) (30,468)
Cash and cash equivalents, end of the year
1455,912 80,284 57,196

Energy Mad Limited
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Notes to the Financial Statements

1 General information
The reporting entity is Energy Mad Limited (the “Company”). It is a for-profit entity, incorporated and domiciled in New
Zealand. The Group comprising the Company and its subsidiaries is a reporting entity for the purposes of the Financial
Markets Conduct Act 2013 and its financial statements comply with that Act. The address of its registered office is Grant
Thornton New Zealand Ltd, L3, 2 Hazeldean Road, Addington, Christchurch, New Zealand. The Company is listed on the
New Zealand Stock Exchange.

The Group’s primary activity is the importation and distribution of energy efficient light bulbs and energy efficient products.

These financial statements have been approved for issue by the Board of Directors on 21 November 2017.

2 Statement of compliance
The consolidated financial statements for the Group have been prepared in accordance with Generally Accepted
Accounting Practice in New Zealand ("NZ GAAP") and the requirements of the Financial Markets Conduct Act 2013. They
comply with New Zealand equivalents to International Financial Reporting Standards ("NZ IFRS") and other applicable
New Zealand accounting standards and authoritative notices that are appropriate to for-profit entities that apply NZ IFRS.
NZ IAS 34, Interim Financial Reporting, has been applied in preparing the financial statements. The financial statements
also comply with International Financial Reporting Standards (IFRS).

The going concern assumption has not been applied in the preparation of the consolidated financial statements. Refer
note 3. The financial statements for the six months to 30 September 2016 were prepared on a going concern basis.

These consolidated financial statements do not include all the notes of the type included in an annual financial report. This
report should be read in conjunction with the audited financial statements of Energy Mad Limited for the year ended 31
March 2017.
3 Use of 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. The estimates
and the associated assumptions are based on historical experience and various other factors that are believed reasonable
under the circumstances, the results of which form the basis of making the judgements about carrying values of assets
and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised and in any future periods affected.

Judgement has also been exercised in preparing these financial statements in relation to the following:
Going concern / expected net realisation
The Directors are of the view that a recovery in performance in the near term is no longer possible, and have therefore
pursued an orderly wind down of the business and sale of the Group’s residual assets.

The accounts have therefore been prepared on an expected net realisation basis where assets are carried at the amount
of cash or cash equivalents that are expected to be attained under the orderly wind down and sale, net of provisions for
estimated realisation costs through to the expected settlement date.

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Reclassification of all non-current assets and liabilities
The Group expects to realise all of its assets within 12 months of the date of the statement of financial position. The
external liabilities of the Group are expected to be settled within its normal operating cycle as a result of the realisation of
assets.

Provision for inventory
The Group has assessed the expected net realisable value of all inventory with reference to current market realisation,
age of stock and expected costs of disposal including warehousing and distribution costs and agency commissions. A
provision for inventory obsolescence of $1,657,678 was recognised in the Statement of Comprehensive Income for the
2016 year within the New Zealand and Australia segments.
Provision for exit costs associated with winding down operations
The Group estimated the costs of winding down operations and proceeding through to a sale of the Group’s residual
assets at $250,000. This includes the cost of office leases through to termination, staffing costs, expected legal and
advisory fees and other overheads. The provision was recognised in the year ended 31 March 2017 within the New
Zealand segment. The Statement of Comprehensive Income for the six months to 30 September 2017 has benefited by
the writeback of $220,000 of this provision as these costs were incurred.
Impairment of fixed and intangible assets
The Group expected to get little or no recovery for fixed and intangible assets and therefore fully impaired these
classes of assets, recognising an impairment charge of $923,636 in the year ended 31 May 2017, within the New Zealand
segment.
Deferred tax asset
The Directors consider it is unlikely that future taxable profits will be generated to offset available tax losses, and
accordingly deferred tax assets of $2,511,819 associated with those tax losses have not been recognised.
Provision for doubtful debts
The Group has assessed the recoverability of trade receivables with reference to historical bad debts, current debtor
ageing, and potential recoveries through trade credit insurance. The provision has been assessed at $70,305 (2017:
$60,549)
4 Summary of accounting policies
4.1 Overall consideration
The significant accounting policies that have been used in the preparation of these consolidated financial statements are
summarised below. They are consistent with those used in the previous financial year.

The consolidated financial statements have been prepared using the measurement bases specified by NZ IFRS for each
type of asset, liability, income and expense. The measurement bases are more fully described in the accounting policies
below.

4.2 Basis of preparation
These accounts are not prepared on a going concern basis. The financial statements have been prepared on a realisation
amount basis. Refer to Note 3 for further information.

4.3 Presentation of financial statements
The consolidated financial statements are presented in accordance with NZ IAS 34 Interim Financial Reporting. The
Group has elected to present the Statement of Comprehensive Income in one statement. The Statement of
Comprehensive Income discloses the analysis of expenses using the function method.

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4.4 Basis of consolidation
The consolidated financial statements of the Group comprise the Company and its subsidiaries. The subsidiaries are fully
consolidated from the date on which control is transferred to the Company and de-consolidated from the date that control
ceases. The Group obtains and exercises control as the basis for determining which entities are consolidated in the
consolidated financial statements. All subsidiaries have a reporting date of 31 March.

In preparing the consolidated financial statements, all inter entity balances and transactions, and unrealised profits and
losses arising within the consolidated entity are eliminated in full.

The Group uses the acquisition method of accounting for business combinations. On initial recognition, the assets and
liabilities of the acquired subsidiary are included in the consolidated statement of financial position at their fair values,
which are also used as the basis for subsequent measurement in accordance with the Group's accounting policies.
Acquisition costs are expensed as incurred.

4.5 Foreign currency translation
The financial statements are presented in New Zealand dollars, which is the Company’s functional currency and the
Group’s presentation currency. All financial information presented in New Zealand dollars has been rounded to the
nearest dollar.

Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary
economic environment in which the entity operates.

Foreign currency transactions are translated into the presentation currency using the exchange rates prevailing at the
dates of the transactions or valuation where items are re-measured. Foreign exchange gains and losses resulting from the
settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities
denominated in foreign currencies are recognised in the Statement of Comprehensive Income.

The results and financial position of all the Group entities (none of which has the currency of a hyper-inflationary
economy) that have a functional currency different from the presentation currency are translated into the presentation
currency as follows:

(a) assets and liabilities for each statement of financial position as presented are translated at the closing rate at the date
of that statement of financial position;

(b) income and expenses for each statement of comprehensive income are translated at average exchange rates (unless
this average is not a reasonable approximation of the cumulative effect of the rates prevailing on the transaction dates, in
which case income and expenses are translated at the rate on the dates of the transactions); and

(c) all resulting exchange differences are recognised in other comprehensive income.

On consolidation, exchange differences arising from the translation of the net investment in foreign operations, and of
borrowings and other currency instruments, are taken to other comprehensive income. When a foreign operation is
partially disposed of or sold, exchange differences that were recorded in equity are recognised in the Statement of
Comprehensive Income as part of the gain or loss on sale.

4.6 Segment reporting
In identifying its operating segments, the Directors generally follow three reporting segments based on the geographical
locations of the operations and revenue streams. These segments have been determined based on the reports reviewed
by the Directors and, according to NZ IFRS 8, are around the assessment of performance and the allocation of resources.

Energy Mad Limited
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The geographical areas are as follows:

Segment Activity
New Zealand Sale of energy efficient products within New Zealand
Australia Sale of energy efficient products within Australia
Rest of World Sale of energy efficient products to all other countries

Each of these operating segments is managed within the Group and each of these service lines requires different
resources and marketing approaches.

The measurement policies the Group uses for segment reporting under NZ IFRS 8 are the same as those used in its
financial statements.

There have been no changes from prior periods in the measurement methods used to determine reported segment profit
or loss.

4.7 Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue
can be reliably measured.

Revenue comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course
of the Group’s activities. Revenue is shown net of goods and services tax, returns, rebates and discounts and after
eliminating sales within the Group.

Sale of goods
The Group sells a range of ecobulbs in the wholesale market. Sales of goods are recognised when a Group entity has
delivered products to the customer. Delivery does not occur until the products have been shipped to the specific location,
and the risks of obsolescence and loss have been transferred to the customer. The ecobulb products are often sold with
volume discounts. Sales are recorded based on the price specified in the sales contracts, net of estimated volume
discounts and returns at the time of sale.

4.8 Finance income and expenses

Finance income
Interest income is recognised as it accrues, using the effective interest method.

Finance expenses
All finance expenses are recognised in profit and loss using the effective interest method.

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4.9 Financial instruments
Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of
the financial instrument being the trade date.

Financial assets are derecognised when the contractual rights to the cash flows from the financial asset expire, or when
the financial asset and all substantial risks and rewards are transferred. A financial liability is derecognised when it is
extinguished, discharged, cancelled or expires.

Financial assets and financial liabilities held by the Group are measured initially at fair value plus/less transaction costs,
except for financial assets carried at fair value through profit or loss where transaction costs are expensed in the
Statement of Comprehensive Income.

Financial assets and financial liabilities are measured subsequently as described below.

Financial assets
The Group’s financial assets include cash and cash equivalents and trade and other receivables.

Loans and receivables
Cash and cash equivalents and trade and other and receivables are non-derivative financial assets with fixed or
determinable payments that are not quoted in an active market. After initial recognition, these are measured at amortised
cost using the effective interest method, less provision for impairment. The Group recognises purchases and sales of
financial assets at trade date.

Loans and receivables are considered for impairment when there is objective evidence that the Group will not be able to
collect all amounts due according to their original terms of the receivables. Significant financial difficulties of the debtor or
investee, probability that a debtor will enter bankruptcy or financial reorganisation and default or delinquency in payments
(more than 30 days overdue) are considered indicators that the trade receivable is impaired.

If there is objective evidence that impairment exists for individual loans and receivables, the impairment loss is calculated
as the difference between the carrying amount of the financial assets and the present value of estimated future cash flows
using the original effective interest rate. Receivables with a short duration are not discounted.

The Group uses an allowance account to reduce the carrying amount of loans and receivables that are considered to be
impaired (or in the case of a reversal of a write-down because of an event occurring after the impairment was recognised,
an increase), unless there is no reasonable possibility of recovering any cash from the debtor or investee. In this case,
the Group writes off the receivable directly (and transfers any impairment loss recognised in the allowance account
directly to the receivable).

Other financial liabilities
The Group's financial liabilities include loans and borrowings (including convertible notes), trade and other payables and
finance lease payable.

All financial liabilities are measured subsequently at amortised cost using the effective interest method.

Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the
liability for at least 12 months after the reporting date.

Trade and other payables represent liabilities for goods and services provided to the Group prior to the end of the
reporting period which are unpaid. The amounts are unsecured.

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4.10 Statement of Cash Flows
The Statement of Cash Flows has been prepared using the direct method. Definitions are:

1) Operating Activities
Are the principal revenue-producing activities of the Group and other activities that are not investing or financing activities.

2) Investing Activities
All transactions relating to the acquisition and disposal of long term assets and other investments not included in cash and
cash equivalents.

3) Financing Activities
Are activities that result in changes of the equity and debt capital structure of the reporting entity and the cost of servicing
the equity capital.

4.11 Cash and cash equivalents
Cash and cash equivalents includes cash on hand, deposits held at call with banks, investments in term deposits with
maturities of less than three months, bank overdrafts and other highly liquid investments that are readily convertible to
known amounts of cash as part of its day to day cash management and which are subject to an insignificant risk of
changes in value.

4.12 Inventories
Inventories are measured at the lower of cost and net realisable value. Net realisable value is the estimated selling price,
less the estimated costs of completion and selling expenses.

Cost is based on the weighted average method and includes expenditure in acquiring the inventories and bringing them to
their existing location and condition.

4.13 Income tax
Income tax on the profit or loss for the year comprises current and deferred tax. Income tax is recognised in the Statement
of Comprehensive Income except to the extent that it relates to items recognised directly in equity, in which case it is
recognised in equity.

Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively
enacted at the reporting date, and any adjustment to tax payable in respect of previous years.

Deferred tax is provided on temporary differences arising on investments in subsidiaries and other financial assets except
to the extent that the timing of the reversal of the temporary differences is controlled by the Group and it is probable that
the temporary difference will not reverse in the foreseeable future.

The amount of deferred tax provided is determined by using tax rates and laws enacted or substantively enacted at
reporting and expected to apply when the related deferred tax asset or liability is realised or settled.

A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against
which the asset can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related
tax benefit will be realised.

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4.14 Property, plant and equipment
Items of property, plant and equipment are measured at cost less accumulated depreciation and impairment losses. Cost
includes expenditure that is directly attributable to the acquisition of the asset. In the event that settlement of all or part of
the purchase consideration is deferred, cost is determined by discounting the amounts payable in the future to their
present value as at the date of acquisition.

The cost of self-constructed assets includes the cost of materials and direct labour, any other costs directly attributable to
bringing the asset to a working condition for its intended use, and the costs of dismantling and removing the items and
restoring the site on which they are located. Purchased software that is integral to the functionality of the related
equipment is capitalised as part of that equipment.

When parts of an item of property, plant and equipment have different useful lives, they are accounted for as separate
items (major components) of property, plant and equipment.

The cost of replacing part of an item of property, plant and equipment is recognised in the carrying amount of the item if it
is probable that the future economic benefits embodied within the part will flow to the Group and its cost can be measured
reliably. The costs of the day-to-day servicing of property, plant and equipment are recognised in profit or loss as
incurred. Property plant and equipment is subject to impairment testing as described in Note 4.19.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised
within “administration and general expenses” in the Statement of Comprehensive Income.

Depreciation is recognised in the Statement of Comprehensive Income to write off the cost of an item of property, plant
and equipment, less any residual value, over its expected useful life, at the following rates:

• Computer equipment 14.4% - 60.0% Diminishing value
• Office furniture and equipment 15.6% - 50.0% Diminishing value
• Motor vehicles 30.0% - 36.0% Diminishing value
• Laboratory equipment 40.0% Diminishing value
• Plant and equipment 60.0% - 67.0% Diminishing value

Depreciation methods, useful lives and residual values are reviewed at each reporting date.
4.15 Intangible assets
Intangible assets include acquired and internally developed software used in administration, trademarks and patents
acquired and internally developed designs and development. They are accounted for using the cost model whereby
capitalised costs are amortised on a straight-line basis over their estimated useful lives, as these assets are considered
finite. Residual values and useful lives are reviewed at each reporting date. In addition, they are subject to impairment
testing as described in Note 4.19. The following useful lives are applied:
• Software: 4 years
• Trademarks 7 – 11 years
• Patents 2.5 years
• Designs 1 – 20 years
• Development 3 - 5 years

Subsequent expenditure is capitalised only when it increases the future economic benefits embodied in the specific asset
to which it relates. All other expenditure is recognised in profit or loss when incurred.
Research and Development Expenditure
Expenditure on research (or the research phase of an internal project) is recognised as an expense in the period in which
it is incurred. Costs that are directly attributable to the development phase of new ecobulbs and energy efficient products
are recognised as intangible assets provided they meet the following recognition requirements:

Energy Mad Limited
Interim Report 30 September 2017
15



• completion of the intangible asset is technically feasible so that it will be available for use or sale;
• the Group intends to complete the intangible asset and use or sell it;
• the Group has the ability to use or sell the intangible asset;
• the intangible asset will generate probable future economic benefits. Among other things, this requires that there is a
market for the output from the intangible asset or for the intangible asset itself, or, if it is to be used internally, the
asset will be used in generating such benefits;
• there are adequate technical, financial and other resources to complete the development and to use or sell the
intangible asset; and
• the expenditure attributable to the intangible asset during its development can be measured reliably.
Development costs not meeting these criteria for capitalisation are expensed as incurred.
Directly attributable costs include employee costs incurred on product development along with directly attributable
overheads. Internally generated product development recognised as intangible assets are subject to the same
subsequent measurement method as external product development costs. However, until completion of the development
project, the assets are subject to impairment testing only as described below in Note 4.19.
The gain or loss arising on the disposal of an intangible asset is determined as the difference between the proceeds and
the carrying amount of the asset.
4.16 Short-term employee entitlements
Short-term employee entitlements, including holiday entitlement, are current liabilities included in employee entitlements,
measured at the undiscounted amount that the Group expects to pay as a result of the unused entitlement.

Liabilities for accumulating short-term compensated absences are measured as the amount of unused entitlement
accumulated at the pay period ending immediately prior to the reporting date.
4.17 Equity, reserves and dividend payments
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares are
shown in equity as a deduction from the proceeds.
Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the discretion
of the entity, on or before the end of the reporting period but not distributed at the end of the reporting period.
Retained earnings include all current and prior period accumulated losses.
Foreign exchange translation reserve reflects foreign exchange gains and losses resulting from the translation of assets,
liabilities, income and expenses of Group entities that have a functional currency different from the Group presentation
currency.
All transactions with owners of the parent are recorded separately within equity.

Energy Mad Limited
Interim Report 30 September 2017
16



4.18 Leased assets
Leases in which a significant portion of the risk and rewards of ownership are retained by the lessor are classified as
operating leases. Payments made under operating leases (net of any incentives received from the lessor) are charged to
the Statement of Comprehensive Income on a straight-line basis over the period of a lease. The Group leases certain
property, plant and equipment. Leases of property, plant and equipment, where the Group has substantially all the risks
and rewards of ownership, are classified as finance leases. Finance leases are capitalised at the lease’s commencement
at the lower of the fair value of the leased property and the present value of the minimum lease payments.
Each lease payment is allocated between the liability and finance charges. The corresponding rental obligations, net of
finance charges, are included in non current liabilities. The interest element of the finance cost is charged to the
Statement of Comprehensive Income over the lease period so as to produce a constant periodic rate of interest on the
remaining balance of the liability for each period. The property, plant and equipment acquired under finance leases is
depreciated over the shorter of the useful life of the asset and the lease term.
4.19 Impairment of non-financial assets
The carrying amounts of the Group’s intangible assets and property plant and equipment are reviewed at each reporting
date to determine whether there is any indication of impairment. If any such indication exists then the asset’s recoverable
amount is estimated.
An impairment loss is recognised if the carrying amount of an asset exceeds its recoverable amount. Impairment losses
are recognised in the Statement of Comprehensive Income.
The recoverable amount of an asset is the greater of its value in use and its fair value less costs to sell. In assessing
value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that
reflects current market assessments of the time value of money and the risks specific to the asset.
An impairment loss in respect of other assets (i.e. property, plant and equipment and intangible assets) is assessed at
each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if
there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed
only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been
determined, net of depreciation or amortisation, if no impairment loss had been recognised.
4.20 Goods and services tax
The financial statements are prepared exclusive of GST with the exception of receivables and payables that are shown
inclusive of GST. Where GST is not recoverable as an input tax it is recognised as part of the related asset or expense.
The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable
to the taxation authority, are presented as operating cash flows.
5 Segment reporting
The Directors currently identify the Group’s service lines as operating segments as further described in Note 4.6. These
segments have been determined based on the reports reviewed by the Directors and, according to NZ IFRS 8, are around
the assessment of performance and the allocation of resources.
Segment profit / (loss) represents the profit / (loss) earned by each segment including allocation of some central
administration costs and finance costs of short term advances. The segment profit represents the profit (loss) before tax.
This is the measure reported to the Directors for the purpose of resource allocation and assessment of segment
performance.

Energy Mad Limited
Interim Report 30 September 2017
17



Segment information for the Group can be analysed as follows for the reporting periods under review:

NZ$NZ$NZ$NZ$NZ$
Six months ended 30 September 2017New ZealandAustraliaRest of WorldEliminationsTotal
Revenue from external customers 110,078 428,839 - - 538,917
Other income7,096 - - - 7,096
Depreciation & amortisation- - - - -
Provision for stock obsolescence- - - - -
Provision for exit costs associated with winding
down operations- - - - -
Impairment of assets- - - - -
Segment net (loss)/profit before tax(314,845) (190,153) (687) - (505,685)
Non-current asset additions-
Segment assets 2,615,976 402,423 - (2,338,464) 679,935
Segment liabilities(3,680,323) (595,159) (2,183,722) 2,090,562 (4,368,642)
Reconcilation to loss after tax:
Segment net (loss)/profit before tax(505,685)
Income tax expense-
Loss after tax for the year(505,685)
NZ$NZ$NZ$NZ$NZ$
Six months ended 30 September 2016New ZealandAustraliaRest of WorldEliminationsTotal
Revenue from external customers 534,577 3,134,207 - - 3,668,784
Other income8,999 - - - 8,999
Depreciation & amortisation(143,579) - - - (143,579)
Provision for stock obsolescence- - - - -
Provision for exit costs associated with winding
down operations- - - - -
Impairment of assets- - - - -
Segment net (loss)/profit before tax(1,209,503) 766,424 (57,248) - (500,327)
Non-current asset additions123,572 - - - 123,572
Segment assets 4,455,451 2,764,115 323,601 (3,190,162) 4,353,005
Segment liabilities(4,592,577) (2,024,762) (2,290,037) 2,619,997 (6,287,379)
Reconcilation to loss after tax:
Segment net (loss)/profit before tax(500,327)
Income tax expense-
Loss after tax for the year(500,327)
NZ$NZ$NZ$NZ$NZ$
Year Ended 31 March 2017New ZealandAustraliaRest of WorldEliminationsTotal
Revenue from external customers 633,719 4,693,551 - - 5,327,270
Other income17,765 - - - 17,765
Depreciation & amortisation(303,662) - - - (303,662)
Provision for stock obsolescence(266,127) (1,391,551) - - (1,657,678)
Provision for exit costs associated with winding
down operations(250,000) - - - (250,000)
Impairment of assets(923,636) - - - (923,636)
Segment net (loss)/profit before tax(3,749,965) (240,986) (8,222) - (3,999,172)
Non-current asset additions-
Segment assets 3,088,855 1,436,508 690 (2,778,285) 1,747,768
Segment liabilities(3,685,376) (1,677,222) (2,254,808) 2,705,765 (4,911,642)
Reconcilation to loss after tax:
Segment net (loss)/profit before tax(3,999,172)
Income tax expense-
Loss after tax for the year(3,999,172)

Energy Mad Limited
Interim Report 30 September 2017
18



6 Revenue and other income
Revenue and other income includes the following items:


7 Administration and general expenses / selling and distribution expenses

Profit / (loss) before taxation includes the following expenses:

6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Revenue
Sale of eco bulbs and energy efficient products 538,917 3,668,784 5,327,270
Revenue subtotal 538,917 3,668,784 5,327,270
Other income
Sundry income 7,096 8,999 17,765
Other income subtotal 7,096 8,999 17,765
Total revenue and other income 546,013 3,677,783 5,345,035
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
Note
201720162017
NZ$NZ$NZ$
Administration and general expenses:
Audit fees 10 15,000 39,375 60,000
Depreciation and amortisation 9 - 143,579 303,662
Directors fees and expenses
49,310 109,861 219,668
Donations
- - -
Employment expenses
(30,165) 461,285 786,246
Exchange (gains) / losses on trading
(8,945) 29,931 35,438
Lease and rental expenses
31,846 47,704 96,144
Office & administration
89,095 141,181 247,253
Research costs
717 - (2,275)
Other expenses
153,566 254,573 437,270
Exit costs associated with winding down operations previously
provided for (220,000) - -
Total administration and general expenses
80,424 1,227,488 2,183,405
Selling and distribution expenses:
Lead generation costs - 47,754 47,754
Sales commissions and external fees 164,325 148,625 150,382
Other selling and distribution expenses 345 56,669 65,558
Total selling and distribution expenses
164,670 253,048 263,694
Total expenses
245,094 1,480,536 2,447,098

Energy Mad Limited
Interim Report 30 September 2017
19



8 Finance costs / (income)



9 Depreciation and amortisation





6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Interest income on bank deposits and employee loans
(321) (275) (532)
Finance income
(321) (275) (532)
Interest expense on loans and borrowings 238,255 273,151 605,012
Total selling and distribution expenses
238,255 273,151 605,012
Total expenses
237,934 272,876 604,480
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Depreciation
Computer equipment - 5,027 10,429
Office furniture and equipment - 1,180 2,353
Plant and equipment - 115 9,285
Motor vehicles - 1,395 1,746
Laboratory Equipment - 4,642 2,790
Total depreciation - 12,359 26,603
Amortisation of trademarks, patents, designs and software - 11,594 26,517
Amortisation of research and development - 119,626 250,542
Total depreciation and amortisation - 143,579 303,662

Energy Mad Limited
Interim Report 30 September 2017
20



10 Auditors’ remuneration
Amounts paid to the auditors include:

Note 1: The $15,000 paid to 30 September 2017 reflects an under-accrual of audit fees for the year ended 31 March
2017.
11 Income tax
The relationship between the expected tax expense based on the domestic effective tax rate of Energy Mad Limited at
28% (2016: 28%) and the reported tax expense in the Statement of Comprehensive Income can be reconciled as follows,
also showing major components of tax expense.

The Directors consider it is extremely unlikely that future taxable profits of $8,970,781 will be generated to offset available
tax losses, and accordingly deferred tax assets associated with those tax losses have not been recognised.
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Audit of financial statements
Audit of financial statements
1
15,000 33,075 60,000
Other Services
Share registry review- 6,300 -
Total other services- 6,300 -
Total fees paid to auditor
15,000 39,375 60,000
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Loss before tax from operations(505,685)(500,327)(3,999,172)
Loss before tax from discontinuing operations - - -
Profit / (loss) before taxation(505,685)(500,327)(3,999,172)
Domestic tax rate for Energy Mad Limited28%28%28%
Expected tax benefit(141,592)(140,092)(1,119,768)
Adjustment for non taxable income and expenses(129,070)114,952776,896
Adjustment in respect of previous years0 - (289,799)
Tax benefit not recognised in current year 270,662 25,140 632,671
Tax (expense) / benefit - - -
Taxable profit / (loss)(966,651)(34,755)(1,224,543)
Losses brought forward(8,004,130)(5,744,592)(5,744,592)
Adjustment in respect of previous years0 - (1,034,995)
Tax losses no longer claimable - - -
Losses to carry forward(8,970,781)(5,779,347)(8,004,130)

Energy Mad Limited
Interim Report 30 September 2017
21




12 Trade and other receivables




13 Inventories




The cost of inventories for the year is included in cost of sales in the Statement of Comprehensive Income.

The inventory obsolescence provision has been assessed at $1,792,173 (March 2017: $1,941,536) and $141,771 has
been written back to the Statement of Comprehensive Income for the six months ended 30 September 2017 (March 2017:
charge of $1,657,678).


6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Trade receivables348,8091,059,362 978,494
Provision for doubtful debts(70,305)(60,549)(60,549)
Goods & services tax refund13,36615,183 -
Prepayments37,474112,415 55,156
NZX bond75,00075,000 75,000
Total trade and other receivables 404,344 1,201,410 1,048,101
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Ecobulbs1,941,3142,528,980 2,492,470
Inventory deposits 60,618 203,541 79,797
Provision for inventory obsolescence (1,792,173) (625,000) (1,941,536)
Total inventories 209,759 2,107,521 630,732

Energy Mad Limited
Interim Report 30 September 2017
22



14 Property, plant and equipment


Computer
equipment
Office furniture
and equipment
Plant &
equipment
Motor
vehicles
Laboratory
equipmentTotal
NZ$NZ$NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2017 201,865 56,225 93,214 1,323 39,631 392,258
Additions, separately acquired
- - - - - -
Disposals - - - - - -
Balance at 30 September 2017 201,865 56,225 93,214 1,323 39,631 392,258
Accumulated depreciation
Balance 1 April 2015 (188,141) (50,286) (88,641) (1,323) (35,447) (363,838)
Depreciation - - - - - -
Disposals - - - - - -
Balance at 30 September 2017 (188,141) (50,286) (88,641) (1,323) (35,447) (363,838)
Impairment as at 30 September 2017 (13,724) (5,939) (4,573) - (4,184) (28,420)
Carrying amount 30 September 2017 - - - - - -
Computer
equipment
Office furniture
and equipment
Plant &
equipment
Motor
vehicles
Laboratory
equipmentTotal
NZ$NZ$NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2016 201,277 56,225 93,214 6,541 39,631 396,888
Additions, separately acquired
2,995 - - - - 2,995
Disposals (2,408) - - (5,217) - (7,625)
Balance at 30 September 2016 201,864 56,225 93,214 1,324 39,631 392,258
Accumulated depreciation
Balance 1 April 2016 (180,118) (47,933) (79,356) (4,795) (32,657) (344,859)
Depreciation (5,027) (1,180) (4,642) (115) (1,395) (12,359)
Disposals 2,202 - - 3,810 - 6,012
Balance at 30 September 2016 (182,943) (49,113) (83,998) (1,100) (34,052) (351,206)
Carrying amount 30 September 2016 18,921 7,112 9,216 224 5,579 41,052
Computer
equipment
Office furniture
and equipment
Plant &
equipment
Motor
vehicles
Laboratory
equipmentTotal
NZ$NZ$NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2016 201,277 56,225 93,214 6,541 39,631 396,888
Additions, separately acquired
2,994 - - - - 2,994
Disposals (2,406) - - (5,218) - (7,624)
Balance at 31 March 2017 201,865 56,225 93,214 1,323 39,631 392,258
Accumulated depreciation
Balance 1 April 2016 (180,118) (47,933) (79,356) (4,795) (32,657) (344,859)
Depreciation (10,429) (2,353) (9,285) (1,746) (2,790) (26,603)
Disposals 2,406 - - 5,218 - 7,624
Balance 31 March 2017 (188,141) (50,286) (88,641) (1,323) (35,447) (363,838)
Impairment as at 31 March 2017 (13,724) (5,939) (4,573) - (4,184) (28,420)
Carrying amount 31 March 2017 - - - - - -

Energy Mad Limited
Interim Report 30 September 2017
23



15 Intangible assets

Development
Trademarks,
patents and
designsSoftwareTotal
NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2017
4,292,765 389,648 113,779 4,796,192
Additions
- - - -
Balance at 30 September 2017
4,292,765 389,648 113,779 4,796,192
Amortisation and impairment
Balance at 1 April 2017
(4,292,765) (389,648) (113,779) (4,796,192)
Amortisation
- - - -
Impairment
- - - -
Balance at 30 September 2017
(4,292,765) (389,648) (113,779) (4,796,192)
Carrying amount 30 September 2017
- - - -
Development
Trademarks,
patents and
designsSoftwareTotal
NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2016
4,059,185 372,672 113,779 4,545,636
Additions
113,479 7,098 - 120,577
Balance at 30 September 2016
4,172,664 379,770 113,779 4,666,213
Amortisation and impairment
Balance at 1 April 2017
(3,243,774) (287,168) (92,975) (3,623,917)
Amortisation
(119,626) (6,531) - (126,157)
Impairment
- - - -
Balance at 30 September 2016
(3,363,400) (293,699) (92,975) (3,750,074)
Carrying amount 30 September 2016
809,264 86,071 20,804 916,139
Development
Trademarks,
patents and
designsSoftwareTotal
NZ$NZ$NZ$NZ$
Cost
Balance at 1 April 2016
4,059,185 372,672 113,779 4,545,636
Additions
233,580 16,976 - 250,556
Balance at 31 March 2017
4,292,765 389,648 113,779 4,796,192
Amortisation and impairment
Balance at 1 April 2016
(3,243,774) (287,168) (92,975) (3,623,917)
Amortisation
(250,542) (16,412) (10,105) (277,059)
Impairment
(798,449) (86,068) (10,699) (895,216)
Balance at 31 March 2017
(4,292,765) (389,648) (113,779) (4,796,192)
Carrying amount 31 March 2017
- - - -

Energy Mad Limited
Interim Report 30 September 2017
24



16 Trade and other payables

17 Employee entitlements


The last remaining employees left the Group in May 2017. All employee benefits were settled in accordance with the
relevant agreements and the Group has no remaining employment related obligations.

18 Short term advance


The Group has a A$1,000,000 (2016: A$1,000,000) factoring facility from global debtor finance provider Scottish Pacific
Business Finance, through the assignment of its Australian accounts receivable. This facility relates to debtors less than
90 days old and is for a two year period from 22 February 2016 at an interest rate of 1% above Westpac Banking
Corporation’s Indicator Lending Rate. This facility is secured by a General Security Agreement over the assets and
undertaking of Energy Mad NZ Limited, which has a guarantee and indemnity from Energy Mad Limited.


6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Trade payables943,2951,463,782 1,084,464
Sundry accruals 32,728 77,880 53,612
Goods and services tax - 24,967 2,661
Total trade and other payables 976,023 1,566,629 1,140,738
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Annual leave accruals - 72,003 32,937
Bonus accruals - - 67,761
Total employee entitlements - 72,003 100,698
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Short term advance 65,307 556,971 354,773
Total short term advance 65,307 556,971 354,773

Energy Mad Limited
Interim Report 30 September 2017
25



19 Convertible notes (unsecured)

Convertible notes (unsecured) include the following liabilities:



Convertible notes to the value of $2,250,000 converted to shares on 20 February 2017. The issue price was $0.0322 per
share, being the average Energy Mad share price over the five days prior to conversion, resulting in the issue of
69,875,776 shares (refer also note 26).

The remaining convertible notes were issued on 25 November 2014, have a term of three years with an option for the
Group to extend for a further year, and bear an interest rate of 13.5% per annum, calculated on a quarterly basis. The
Group can repay the balance of the convertible notes at any time prior to completion of the three year term.

Should the convertible notes convert to ordinary shares in the Company at the end of the three year term, the conversion
will be at the lower of $0.13 per share and the average Energy Mad share price over the five days prior to conversion.

20 Term loans
Term loans include the following liabilities:



The Group obtained a $500,000 term loan facility from SuperLife Limited on 11 September 2015. The loan facility is for a
term of two years with a right of renewal for a further one year at an interest rate of 14% per annum for the first two years
and 15% per annum for the third year. The loan is unsecured.

The Group obtained a further $1,000,000 term loan facility from SuperLife Limited on 1 June 2016. The loan facility is for a
one year term at an interest rate of 15.75% per annum. The loan is unsecured.

The Group obtained a further $1,000,000 term loan facility from Smartshares Limited on 21 November 2016. The loan
facility is for a one year term at an interest rate of 20% per annum, and is secured by way of a Specific Security Deed over
inventory held by the Group.

All facilities have been fully drawn down at balance date.
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Convertible notes (unsecured) 284,000 2,534,000 284,000
Overdue and accrued interest 103,374 35,881 85,288
Total convertible notes (unsecured) 387,374 2,569,881 369,288
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Term Loan (unsecured) 1,500,000 1,500,000 1,500,000
Term Loan (secured) 1,000,000 - 1,000,000
Overdue and accrued interest 409,938 15,342 195,219
Total term loan 2,909,938 1,515,342 2,695,219

Energy Mad Limited
Interim Report 30 September 2017
26



21 Contributed equity
All ordinary shares have an equal right to vote, to dividends and to any surplus on winding up.

69,875,776 shares were issued on 20 February 2017, on conversion of convertible notes to the value of $2,250,000. The
issue price was $0.0322 per share, being the average Energy Mad share price over the five days prior to conversion (refer
also note 24).
22 Earnings per share
The basic earnings per share have been calculated using the profit / (loss) for the year attributable to shareholders of the
Company. No options to subscribe for securities have been or are granted in respect of the Company.
The weighted number of shares used is as follows:

There are convertible notes held (see note 19) which are convertible to a variable number of shares. As the instruments
are anti-dilutive, the disclosure requirements of NZ IAS 33 are not required in the current period. The number of basic and
diluted shares is the same.

6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Shares issued and fully paid:
Beginning of the year 21,982,117 19,732,117 19,732,117
Share issue - - 2,250,000
Total share s authorise d 21,982,117 19,732,117 21,982,117
Reconciliation of the Number of Shares:
Opening shares on issue 147,436,635 77,560,859 77,560,859
Shares Issued, Fully Paid at $0.0322 Per Share - - 69,875,776
Total numbe r of share s 147,436,635 77,560,859 147,436,635
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
Weighted average number of ordinary sharesBasic 147,436,635 77,560,859 85,218,478
NZ$NZ$NZ$
Loss for the year
(505,685) (500,327) (3,999,172)
Total loss for the year
(505,685) (500,327) (3,999,172)
Earnings per share:
Basic earnings per share
Loss for the year
(0.00) (0.01) (0.05)
Total
(0.00) (0.01) (0.05)

Energy Mad Limited
Interim Report 30 September 2017
27



23 Financial instruments by category
The carrying amounts of financial instruments presented in the Statement of Financial Position relate to the following
categories of assets and liabilities:

All financial instruments have been recognised in accordance with the accounting policy in Note 4.9.
The fair value of all financial instruments is approximately equal to their carrying value.
24 Reconciliation of loss for the period to net operating cash flows





6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Cash and cash equivalents 55,912 80,284 57,195
Loans and receivables
Trade receivables 348,809 1,059,362 978,494
Total loans and receivables 348,809 1,059,362 978,494
404,720 1,139,646 1,035,689
Trade and other payables 976,023 1,566,629 1,140,738
Finance lease payable - 6,552 925
Convertible note (unsecured) 387,374 2,569,881 369,288
Term loans 2,909,938 1,515,342 2,695,219
Short term advance 65,307 556,971 354,773
4,338,642 6,215,376 4,560,943
Other financial liabilities at amortised cost

6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Net loss after tax(505,685) (500,327) (3,999,172)
Adjustments for:
Depreciation and amortisation- 143,579 303,662
Impairment of patents and designs
- - 923,636
(505,685) (356,748) (2,771,874)
Change in income tax receivable1,820 (6,457) (6,534)
Change in inventories420,973 236,570 1,713,359
Change in trade & other receivables643,757 1,200,679 1,353,988
Change in trade & other payables(165,640) (1,703,551) (2,150,589)
Change in provisions(220,000) - 250,000
Change in employee benefits(100,698) (11,765) 16,930
Change in accrued interest232,805 - 243,191
Net cash inflow /(outflow) from operating activities307,330 (641,272) (1,351,528)

Energy Mad Limited
Interim Report 30 September 2017
28



25 Capital commitments

There were no capital commitments at 30 September 2017 (March 2017: $Nil).
26 Contingent assets and liabilities

A former agent, Direct Energy Solutions Limited, has lodged a claim in the District Court against Energy Mad Limited for
$137,217 plus interest and costs, in relation to unpaid agency fees and costs wrongfully deducted from agency fees paid.
The claim is being defended by the Group. These financial statements include an unpaid debt owed by Direct Energy
Solutions Limited of $36,110, and an unpaid amount owed to Direct Energy Solutions Limited of $24,382, with the net
balance having been fully provided for as a doubtful debt.
There were no contingent assets and liabilities at 31 March 2017.
34 Related parties

The Group entered into the following transactions and had balances payable/receivable with the following related parties:
On 20 February 2017, a convertible note issued in 2014 was converted to shares based on the terms disclosed in note
23. This conversion increased the shareholding of SuperLife Limited to 71% of the Company and therefore Energy Mad
Limited became a subsidiary of SuperLife Limited.
The Group also has a convertible note and unsecured term loan facility from Superlife Limited and a secured term loan
facility from Smartshares Limited. Total interest of $232,805 was recognised on these facilities for the six months to 30
September 2017 (March 2017: $540,610). The balance owing on these facilities at 30 September was $3,297,312 (March
2017: $3,064,507) (refer to notes 19 and 20).
Key management personnel remuneration
Key management personnel are defined as those persons having authority and responsibility for planning, directing and
controlling the activities of the Group, and include the General Manager – Finance and Operations and his key reports.
The following table summarises remuneration paid to key management personnel.

The last remaining employees left the Group in May 2017.
The General Manager – Finance and Operations (Aidan Johnstone) was re-engaged on a casual employment agreement
to assist with the orderly wind down of the business. He has been paid $67,735 to 30 September 2017 under this
agreement.
Agency Arrangement – Ecobulb Limited
On 8 May 2017, the Group entered into an Agreement with Ecobulb Limited (“Ecobulb”), for the sale and purchase of
assets of the Group. Ecobulb is associated with Dr Chris Mardon, a former Director and then employee of the Group. The
6 Months6 Months12 months
UnauditedUnauditedAudited
SeptemberSeptemberMarch
201720162017
NZ$NZ$NZ$
Short-term employee benefits53,439 408,208 419,646

Energy Mad Limited
Interim Report 30 September 2017
29



Agreement constitutes an initial agency arrangement for the orderly sale of the Group’s inventory, and a potential sale of
specified assets of the Group, being primarily inventory and intellectual property, and excluding cash on hand, trade
debtors and rights under any contract of insurance, and the assumption of specific liabilities, being obligations under the
agreement between the Group and My Eco Limited for direct sales within New Zealand, and all customer service
obligations.

Ecobulb Limited has been paid $164,325 to 30 September 2017 under this arrangement, and has also assumed
employment related obligations of the Group as at 8 May 2017 totaling $96,772.

The proposed sale to Ecobulb Limited is subject to shareholder approval. The proposed settlement date has been
deferred to 28 February 2018 or earlier if agreed between the parties.

25 Subsequent events

The Directors are not aware of any other material matters or circumstances since the end of the reporting period, not
otherwise dealt with in the financial statements that have significantly or may significantly affect the operations of the
Group.