2018 interim financial statements and funding update

® is aregistered Trade Mark of Wellington Drive Technologies Ltd in New Zealand
Wellington Drive Technologies LtdWT9079
21 Arrenway Drive, Rosedale, North Shore City 0632, New Zealand
PO Box 302-533, North Harbour, North Shore City 0751, New Zealand
Telephone:+64 9 477 0415 Facsimile: +64 9 479 5540
Email:info@wdtl.comWebsite:www.wdtl.comPage1of3
29August 2018
Market Announcement
For Immediate Release
2018interimfinancialstatementsand fundingupdate
Wellington Drive Technologies (WDT), a leading provider of Internet of Things (“IoT”) solutions and energy
efficient motors to the retail food and beverage industry,todayreleased itsunauditedfinancial statements for the
six months ended 30 June 2018.The financial statements are consistent with the market announcement dated15
August 2018.
Funding Update
The company hasreceived an offerfora $2.5 million loan, repayable in September 2019, which it is in the process
of documenting.Meta Capital hasalsooffered to extend the repayment date of its loaninto 2019. With these
new facilities in place the company is well positionedtorepay existing debtdueMarch2019,managechangesin
customer payment termsandlocally-heldcustomerinventory,andtocommenceinvestmentinnewIoT projects.
Highlights for the first half 2018 include:
Significant revenue growth
New Zealand dollar revenue for the first half was $28.0million, an 18% increase compared to the same period
last year.This compared to previous guidance of around 10%.Revenue in the second quarter was $16.3 million,
compared to $11.1 million for the same quarter in 2017, a 47% increase.Second quarter revenue was the largest
single quarter revenue in the company’s history.
Wellington’s US$ revenue for the Americas region grew by 28% due to strong sales of ECR2 motors andthe SCS
Connect IoT platform.Asia-Pacific revenue was flat year-on-year asregionalcustomers moved more slowly than
expected towards IoT adoption and brands reduced their cooler placements.EMEA region US$ revenue was
down 12%, driven by lower volumes from bottle cooler customers in markets impacted by macro-economic
difficulties, such as Turkey and Southern Europe.The Company also decided nottocompete where bottle-cooler
motor price pressure became excessive.EMEA did, however, see significant growth in its supermarket display
customer base as ECR2 motor US$ revenues increased by 83% over the comparable period in 2017.
Revenue growth continues to be driven by IoT and ECR2 motor product sales.In first quarter 2018,motors
represented 66% of the company’s US$ revenue while IoT solutions were 29%.In second quarter,motors were
64% of the company’s total US$ revenue while IoT solutions were 32%.
Wellington is continuing to diversify beyond its historic reliance on the bottle cooler EC motor market. SCS
Connect hardware sales were 45% higher than for the comparable period in 2017. SCS Data revenues continued
to grow with US$0.7 million invoiced in the half, an 88% increase versus 2017.The ECR2 motor unit sales were
46% higher and they now surpass ECR01 motor volumes, which while lower than ECR2, did increase by 12%.
Sales to the company’s two largest supermarket and food service refrigeration customers continued to grow-they
togethercontributed 31% of total ECR2 motor sales.
Gross margin
Gross Margin at 25% was consistent with the 25% recorded in first half 2017.The company came under price
pressure in its EC motor business towards the end of 2017 and generally responded to remaincompetitive.
Additional one-time costs of $0.2million, a 0.9% impact on gross margin, were incurred to successfully manage

® is a registered Trade Mark ofWellington Drive Technologies Ltd in New Zealand
Wellington Drive Technologies LtdWT9079
Email:info@wdtl.comWebsite:www.wdtl.comPage2of3
the global electronic component shortage situation. These incremental spot buying costs ensured alternate
components were secured and that all customer demand in the period was met.Component shortages are easing
somewhat but are expected to continue well into 2019.
Operating Costs
Operating costs for the period amounted to $5.9 million, or 21% ofrevenue, compared to $5.1m and 21% of
revenue last year.Operating spending increased as the company continued to invest in the skills and infrastructure
required to support a broadening product range and diversifying customer base.This has required additional
personnel in areas such as customer management, marketing and software development.Profitability wasalso
affected by capitalisation ofdevelopment time reducing by $0.4 million as some development engineers were
redeployed to modifying existingproducts to resolve component shortage issues rather than development of future
products.
Profit Improvement
EBITDA
1
for the first half improved to $1.1 million compared to $1.0 million for the same period in 2017. This
result was in line with previousEBITDA
1
guidance of around $1 million.EBIT improved to $0.3 million
compared to $0.2 million in 2017. The company made a net loss of $0.2 million for the half, an improvement on
the $0.5 million loss for the same period last year.The improvement in netloss is higher than the relative
EBITDA
1
improvement due to the cessation of preference share interest costs in May 2017.
Working Capital
The company generated cash in the first half.Cash at 30 June 2018 was $2.6 million compared to $1.6 million at
31December 2017.Net debt at 30 June was $0.6 million versus net debt of $1.0 million at December 2017.
Operating cash flows for the six months amounted to $1.8 million,up from$0.3 million for the corresponding
period in 2017. Netoperating and investing cash flowsamountedto $0.5millionfor the six months, a $1.4 million
improvement.
Inventory management continued to be a highlight with 7.6 inventory turns achieved in the six months, compared
to 4.6 turns for the same period last year.However, several customers have recently mandated higher levels of
locally held inventory to support shorter lead-times and increased product mix, which will increase Wellington’s
stock levels during the second half of the year.In the second quarter, one of the company’slargercustomers
decided to extend payment terms for all its suppliers, as a result of beverage brands extending their terms.This
extended payment cycle is expected to continue for the foreseeable future.
The US$0.6m loan from Meta Capital Limitedwas repaid on 31 May 2018. A new loan for US$0.6m from Meta
Capital was advanced on 29 June 2018 to partially fund the iProximity acquisition settlement and support extended
terms with selected customers.
Acquisition of iProximity
The acquisition of iProximity, an Australian-based digital marketing company, was completed on 2 July 2018.
Several field trials are underway usingiProximity’s solutions, including working with large global food brands to
deliver proximity based information to retailers and shoppers.Wellington’s SCS Connect is being integrated with
the iProximity digital marketing toolset to manage fleets of beacons installed in customer coolers, deliver asset
management tools to food and beverage brands and supermarkets and deliver product promotionsto consumers.
Customer wins
The company added its first dairy products customer to the portfolio, withdeliveries of theSCS Connect IoT
platform startingin the first quarter.This customer is expected to have reached US$1 million of revenue by early
2019 and is an indicator of how Wellington’s IoT solutions are being used beyond carbonated soft drink brands.
The dairy sector is an important target market for the company’s IoT platform.This platformwill help improve
management of in-store dairy coolers and also facilitate improved management of food quality and loss for the
industry.
2018 guidance
As noted in WDT’s announcement of 15 August,revenuefor the second half of 2018 is expected to be consistent
with the first half, with EBITDA
1
around $1 millionand full yearguidance of EBITDA
1
between $2 to 4 million

® is a registered Trade Mark ofWellington Drive Technologies Ltd in New Zealand
Wellington Drive Technologies LtdWT9079
Email:info@wdtl.comWebsite:www.wdtl.comPage3of3
wasnarrowed tobetween$2 to $3 million,withthe achievement of a net profitremaininga target.Wellington
should generateapositive operating cash flow in FY2018.
About Wellington Drive Technologies
Wellington is a leading global provider of IoT solutions, cloud-based fleet management platforms, energy-
efficient electronic motors and connected refrigeration control solutions for the retail food and beverage markets.
Through its iProximity brand in Australia it provides proximity-based marketing for Smart Cities.Wellington’s
SCS Connect IoT products, iProximity digital marketing solutions, and ECR motors serve some of the world’s
leading food and beverage brands and refrigerator manufacturers with advanced products and solutions that
improve product sales, reduce operating costs and reduce energy consumption.Wellington is headquartered in
Auckland, New Zealand, and is listed on the New Zealand stock exchange under the ticker symbol NZ:WDT
Notes
All amounts are stated in New Zealand dollars unless otherwise stated.
Note 1-EBITDA is Earnings before Interest, Taxation, Depreciation, Amortisation and Impairment. Wellington
has always reported the EBITDA result because this is the profit performance measure that avoids the distortions
caused by differences in amortisation and impairment policies.
For further information, please visitwww.wdtl.com.
Contact:
Greg AllenHoward Milliner
Chief Executive OfficerChief Financial Officer
Phone +64 27-777-9025+64 27-587-0455

---

1.
ConsolidatedInterimStatement of Comprehensive
Income
Six months ended
Unaudited
Year ended
Audited
30 Jun 201830 Jun 201731 Dec 2017
Note$000s$000s$000s
Revenue
2.1,2.2
28,04223,77543,308
Cost ofgoods sold(21,127)(17,865)(32,967)
Gross profit6,9155,91010,341
Other income
2.3
108151251
Operating expenses
2.4
(5,928)(5,060)(10,054)
Earnings before interest, taxation,
depreciation,amortisationand impairment
1,0951,001538
Depreciation
3.5
(153)(142)(301)
Amortisation
3.6
(673)(654)(1,245)
Impairment
3.6
-(24)-
Earningsbefore interestandtaxation269181(1,008)
Finance income
4.2
2545
Finance expenses
4.2
(364)(700)(934)
Loss before income tax(93)(514)(1,897)
Income tax expense(88)(8)(83)
Loss for the period
(181)(522)(1,980)
Other comprehensive income:
Items that may be reclassified subsequently
to the profit or loss:
Exchange differences ontranslating operations
262(268)(121)
Cash flow hedge
(18)9215
Income tax relating to comprehensive income
---
Other comprehensive income/(loss)for the
period
244(176)(106)
Total comprehensivegain (loss)for the period
$63($698)($2,086)
Loss for the period attributable to the
Owners of the Company
($181)($522)($1,980)
Total comprehensivegain (loss)attributable
to the Owners of the Company
$63($698)($2,086)
Basic earnings per share–cents
2.5
(0.07)(0.20)(0.77)
Diluted earnings per share–cents
2.5
(0.07)(0.20)(0.77)
The aboveConsolidatedInterimStatementof Comprehensive Incomeshould be read in conjunction with the
accompanying notes.

2.
ConsolidatedInterimStatement ofMovementsin Equity
ShareAccumulatedOtherTotal
capitallossesreservesequity
Note$000s$000s$000s$000s
Unaudited for the six months ended 30 June 2018
Equity at beginning of period123,608(114,106)(2,367)7,135
Adjustment arising on adoption of NZ
IFRS 15
-(19)-(19)
Comprehensiveincome:
Loss for period
-(181)-(181)
Other comprehensive income:
Exchange differences on translation
operations
--262262
Cash flow hedge
--(18)(18)
Income tax relating to other
comprehensive income
----
Total comprehensive income-(181)24463
Share option compensation expensed--88
Contributions of equitynet of costs
4.3
----
Equity at end of period$123,608($114,306)($2,115)$7,187
Unaudited for the six months ended 30 June 2017
Equity at beginning of period117,192(112,126)(2,317)2,749
Comprehensiveincome:
Loss for period
-(522)-(522)
Other comprehensive income:
Exchange differences on translation
operations
--(268)(268)
Cash flow hedge--9292
Income tax relating to other
comprehensive income
----
Total comprehensive income-(522)(176)(698)
Share option compensation expensed--4747
Contributions of equitynet of costs
4.3
6,416--6,416
Equity at end of period$123,608($112,648)($2,446)$8,514

3.
Consolidated Interim Statement of Movements in Equity-continued
ShareAccumulatedOtherTotal
capitallossesreservesequity
Note$000s$000s$000s$000s
Audited for year ended 31 December 2017
Equity at beginning ofperiod117,192(112,126)(2,317)2,749
Comprehensiveincome:
Loss for period
-(1,980)-(1,980)
Other comprehensive income:
Exchange differences on translation
operations
--(121)(121)
Cash flow hedge--1515
Income tax relating toother
comprehensive income
----
Total comprehensive income-(1,980)(106)(2,086)
Share option compensation expensed--5656
Contributions of equity net of costs6,416--6,416
Equity at end of period$123,608($114,106)($2,367)$7,135
The aboveConsolidatedInterimStatement ofMovementsin Equity should be read in conjunction with the
accompanying notes.

4.
ConsolidatedInterimStatement of Financial Position
UnauditedAudited
30 Jun 201830 Jun 201731 Dec 2017
Note$000s$000s$000s
Current Assets
Cash and cash equivalents2,5891,1571,563
Trade and other receivables
3.1
17,82211,45011,690
Derivative financial instruments-576
Inventories
3.2
3,4864,1333,025
Total current assets23,89716,79716,284
Non-Current Assets
Plant andequipment
3.5
1,228918948
Intangible assets
3.6
7,3376,0766,931
Investments
3.7
175--
Totalnon-currentassets8,7406,9947,879
Total assets32,63723,79124,163
Current Liabilities
Trade andother payables
3.3
19,47212,42612,703
Deferred income
2.2
1,426446526
Provisions
3.4
423316377
Borrowings–current portion
4.1
2,98026591
Derivative financial instruments125--
Total current liabilities24,42613,21414,197
Non-CurrentLiabilities
Borrowings
4.1
1771,5212,007
Deferred income
2.2
847542824
Total non-current liabilities1,0242,0632,831
Total liabilities25,45015,27717,028
Net assets$7,187$8,514$7,135
Equity
Contributed equity
4.3
123,608123,608123,608
Accumulated losses(114,306)(112,648)(114,106)
Other reserves(2,115)(2,446)(2,367)
Total equity$7,187$8,514$7,135
The aboveConsolidatedInterimStatement of Financial Position should be read in conjunction with the
accompanying notes.

5.
Consolidated InterimCash FlowStatement
Six months ended
Unaudited
Year ended
Audited
30 Jun 201830 Jun 201731 Dec 2017
Note$000s$000s$000s
Cash flows fromoperating activities
Receipts from customers exclusive of
GST/VAT
23,31322,36141,406
Payments to suppliers and employees
exclusive of GST/VAT
(21,134)(21,540)(40,605)
Interest received2545
Interest paid(290)(288)(522)
Taxation(paid)/ received(101)23(24)
Net GST/VATreceived / (paid)4(250)957
Net cash inflowfrom operating activities1,7943111,257
Cash flows from investing activities
Payments for plantandequipment(374)(108)(260)
Payments for intangibleassets(725)(1,134)(2,358)
Payment–deposit for iProximity acquisition(163)--
Proceeds from sale of plantandequipment-4-
Net cash outflow from investing activities(1,262)(1,238)(2,618)
Cash flows from financing activities
Cashproceeds from share issues, net of
issue costs
-(12)(13)
New loan drawdowns
4.1
1,143-1,083
Loan repayments
4.1
(848)--
Finance lease borrowing251--
Finance lease repayments(20)(14)(25)
Net cash inflow from financing activities526(26)1,045
Netincrease / (decrease)in cash and cash
equivalents
1,058(953)(316)
Cash and cash equivalents at the beginning of
the financial period
1,5632,0992,099
Effect of exchange rate movements on cash(32)11(220)
Cash and cashequivalents at end of period$2,589$1,157$1,563
The aboveConsolidated Interim Cash FlowStatementshould be read in conjunction with the accompanying
notes.

6.
Notes to the Interim Financial Statements
for the six months ended30 June 2018
1.Basis of preparation
1.1General Information
Wellington Drive Technologies Limited (the“company”) and its subsidiaries (together the“group”) develop,
manufacture, market and sellenergy saving,electronically-commutated(EC)motors,connected controllersand fans
for worldwide use.
The company is a limited liability company incorporated and domiciled in New Zealand.The address of its registered
office is21 Arrenway Drive, Rosedale, Auckland 0632.The company is registered under theCompanies Act 1993
and is an FMC reporting entity under Part 7 of the Financial Markets Conduct Act 2013. The financial statements
have been prepared in accordance with the requirements of Part 7 of the Financial Markets Conduct Act 2013 and
the NZX MainBoard Listing Rules.
These interim financial statements do not include all the notes and disclosuresset out inthe annual report. As a
result, this report should be read in conjunction with the annual financial statements for the year ended 31 December
2017.
These consolidated interim financial statements have been approvedfor issue on 29August 2018 andhave not been
audited.
1.2.Accounting Policies
Theseconsolidated interim financial statements have been prepared in accordance withgenerally accepted
accounting practice inNew Zealand.They comply with New Zealand International Accounting Standard 34:Interim
Financial Reportingand International Accounting Standard 34:Interim Financial Reporting. The group is a for-profit
entity for the purposes of financial reporting.
Other than as disclosed below, all significantaccounting policies adopted in the preparation of these consolidated
interim financial statementshave been applied on a basisconsistent with thoseusedin the auditedfinancial
statementsof the groupfor the year ended 31 December 2017.
Application ofNZIFRS 15Revenue from Contracts from Customers–Application of NZIFRS 15 which became
effective on 1 January 2018 resulted in a contract with an overseas distributor being treated as an agency
service contract instead of a principal goods purchase and sale contract. This resulted in a reduction in revenue
and cost of sales for the six months ended 30 June 2018 with an adjustment to accumulated lossesbrought
forward for the impact on prior periods.
Application of NZIFRS 9 Financial Instruments–Application of NZIFRS 9 which became effective on 1 January
2018 had no impact on these financial statements.
(a)Going concern convention
The group reported a loss after tax of $181,000 (2017: $522,000) and cash flows inflows from operating activities of
$1,794,000 (2017: $311,000) for the six months ended 30 June 2018. As at 30 June 2018,thegroup had cash of
$2,589,000 (2017: $1,157,000) and net assets of $7,187,000 (2017: $8,514,000).As at 30 June 2018, thegroup had
excess current liabilities over current assetsof $529,000. On 2 July 2018 the group paid A$1.1 million on closing the
acquisition of iProximity.
The groupis forecasting to beEBITDAprofitable in 2018, is targeting the achievement of a net profitandis forecasting
to generatecashinflows fromits operating activities.Forecasts include judgements and estimates over key
assumptions relating to future revenue growth, gross margins, operating costs and capital expenditure. It should be
noted that by their very nature forecasts includeinherent uncertainty and actual results may vary from those forecasts.

7.
The company hassince balance datereceived an offer offundingwhichwill enable the repayment of the Smartshares
Limited loan on due date.The offer is for a$2.5 millionloan repayable in September 2019.Meta Capital hasalso
offered to extendthe repayment date of its loaninto 2019.It is the considered view of the Directors that the Group
will have access to adequate resources to meet its ongoing obligations for at least a period of 12 months from the
date of signing these consolidated financial statements.
On this basis, the Directors have assessed it is appropriate to adopt the going concern basis in preparing its financial
statements.
(b)Functional and presentation currency
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 (“the functional currency”).The company’s functional
currency is US Dollarsbecause its purchase and sale of product is mainly denominated in US Dollars.
The consolidatedinterimfinancial statements are presented in New Zealand dollars, rounded to the nearest
thousand, which is the group’s presentation currency.Thepresentation currency remains New Zealand dollars due
to thecompany’sshareholder base being concentrated in New Zealand.

8.
2.Results for the period
2.1Segment information
(a)Reportable segments
At 30 June 2018, thegroupis organised on a global basis intooneoperatingsegment–themarketing, sale,
manufacture anddevelopment ofelectricmotors and associated electronics and software.Theinterimfinancial
statements thereforereflectthe results and financialpositionof the segment.
(b)Geographical segments
Thegroupoperates inthreemain geographical areas,although it is managed on a global basis.
Six months endedYear ended
30 Jun 201830 Jun 201731 Dec 2017
Revenue by Destination$000s$000s$000s
Americas
24,04319,39535,939
Asia / Pacific (APAC)
1,9622,0053,562
Europe / Middle East / Africa (EMEA)
2,0372,3753,807
Total
$28,042$23,775$43,308
Revenue is allocated above based on the country in which the customer is located.
2.2Revenue
Six months endedYear ended
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Product revenue
27,85823,63343,081
Services revenue
184142227
Total
$28,042$23,775$43,308
Revenue is measured at the fair value of theconsideration received or receivable for the sale of goods and services,
excluding GST / VAT, rebates and discounts and after eliminating sales within the group.
Sale of Goods–sales are recognised when legal title or possession is transferred to the buyer which is usually when
delivery of the goods to the customer takes place.
Sale of services–revenue from the provision of services is recognised when services are rendered to the buyer.
The company has received incomein previous years amounting toUSD212,000in connection with thedevelopment
of a new motor product.Thisincomehas been deferred andwill be recognised in the income statementwhen the
motordevelopment is completed andproducts are soldpursuant to a licence agreement.The company has also
received revenue ofUSD672,000 in the period(June2017: USD 372,000)fromthe sale of data services for its SCS
Connect product.Thatincomealsohas been deferred and will be recognised in the income statement over the
service period.Service periods range from 1 to 10 years.
2.3Other income
Six months endedYear ended
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Net foreign exchange gains
106126215
Other
22536
Total
$108$151$251
Net foreign exchange gainsarise from normal trading activities exceptfor the 6 months to 30 June 2017whenthe
amountincluded a $61,000 gain arising from the revaluation of the mandatory convertible preference shares which
converted into ordinary shares in May 2017(Year ended 31 December 2017–a $60,000 gain).

9.
2.4Operating expenses
Six months endedYear ended
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Employee benefits
4,2583,8827,810
Rental expense relating to operating leases
159143270
2.5Earnings per share
Earnings per share (‘EPS’) is the amount of post-tax profit attributable to each share.
Basic EPS of aloss of0.07cents (June 2017–loss of 0.20cents) is calculated by dividing the loss attributable to
equity holders ofthe companyof $181,000 (June 2017-$522,000) by the weighted average number of ordinary
shareson issue during the yearof257,041,576(June 2017–256,939,967).
DilutedEPS of a loss of0.07cents*(June 2017-loss of 0.20cents) reflects anycommitments the group has to issue
shares in future that would decrease EPS.The weighted average number of ordinary shares is compared with the
number of shares that would have been issued assuming the exercise of share options.
As at 30 June, the following instruments existed that are, or were, potentially dilutive of future earnings per share, but
were not included in the calculation of diluted EPS for that year because the effect in that year would have been
antidilutive:
Numbers of shares30 Jun201830 Jun201731 Dec 2017
Part paid shares
12,703,07012,703,07012,703,07012,703,070
US employee share options
1,914,6011,914,6011,914,6011,914,601
*TheJune 2018weighted average number of ordinary shares on issue for the purpose of the dilutedEPScalculation includes
18,897,928ordinaryshares being the maximumnumber of ordinary shares thatmaybe issuedfor deferred consideration
pursuant to the acquisition of iProximity(refer to note 5.3).

10.
3.Operating assets and liabilities
3.1.Tradeand other receivables
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Trade receivables
16,94810,60811,146
Provision for doubtful debts
(113)(104)(107)
Net trade receivables
16,83510,50411,039
Prepayments
316239325
VAT/GSTrefunds due
585620259
Income tax refund due
14122
Other receivables
728645
$17,822$11,450$11,690
3.2.Inventories
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Finished goods–at cost
2,6612,7262,271
Work in progress–at cost
6391,176549
Raw materials–at cost
281299267
Less inventory provisions
(95)(68)(62)
Total inventories
$3,486$4,133$3,025
3.3Trade and other payables
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Trade payables
17,84011,37511,233
Employee entitlements
8878071,179
Income tax payable
--49
Accrued expenses
745244242
$19,472$12,426$12,703
3.4Provisions
30 Jun 201830 Jun 201731 Dec 2017
Warranty provisions$000s$000s$000s
Carrying amount at startof period
377253253
Additional provisions recognised
118168300
Amounts used
(95)(93)(175)
Exchange adjustment
23(12)(1)
Carrying amount at end of period
$423$316$377
The group sells productswith warranty periods of up tofiveyears.The terms ofthe warranty provide that thegroup
will repair or replace items that fail to perform satisfactorily.A provision is recognised based on historical data and
average levels of repairs and warranty claims experienced by the group.It is expectedthat the provision will be
utilised within one year as any product failures are typically exhibited within one year of sale.

11.
3.5Plant and equipment
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Net book amount at start of period
948999999
Additions
374108260
Depreciation
(153)(142)(301)
Disposals
---
Exchange adjustment
59(47)(10)
Net book amount at end of period
$1,228$918$948
Depreciation
Plant and equipment
117107229
Office equipment, furniture &fittings
363572
$153$142$301
Sale of plant and equipment
Gain on disposal
$-$4$-
Capital commitments
Capital commitments contracted for at 30 June 2018amounted to $169,000(June 2017 $179,000)
3.6Intangible assets
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Net book amount at start of period
6,9315,9145,914
Additions
7251,1342,358
Amortisation
(673)(654)(1,245)
Impairment
-(24)-
Exchange adjustment
354(294)(96)
Net book amount at end of period
$7,337$6,076$6,931
Amortisation and impairment
Amortisation of intangible assets
$673$654$1,221
Impairment of intangible assets
-$24$24
3.7Investments
On 28 February 2018the company signed an agreement with iProximity, anAustralian based innovative proximity
marketing solutions and consumer intelligence company. The agreement is an option expiring 28 August 2018 and
allows the company to acquire all the shares in iProximity. On 22 May 2018 the company gave notice that itwill
exercise its option.See also note 5.3for the impact.

12.
4.Capital and financing costs
4.1Borrowings
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Current portion
Loan facility–Smartshares Limited
2,000--
Loan facility–Meta Capital Limited
890-564
Finance leases
902627
$2,980$26$591
Non-Current portion
Loan facility–Smartshares Limited
-1,5002,000
Finance leases
177217
$177$1,521$2,007
Loan facility–SmartsharesLimited
In September 2016 thecompanysecured a $2 million unsecured loan facility from Smartshares Limited (formerly
SuperLife Limited), a shareholder.The loan facility initially hada one year term.In June 2017 the company agreed
with the lenderan extension of the facilityto March2019.Interest is payable quarterly at 15.75% pa(14.75%until
September 2017).The facility has been drawn down to $2.0million at balance date.A$20,000 annual revolver fee
is payable.
Loan facility–Meta CapitalLimited
InNovember2017thecompanysecured aUSD 600,000unsecured loan facility fromMeta Capital Limited, a
company related to a director.USD 400,000 was drawn down in December 2017 and USD 200,000 in January 2018.
The loan was repaid in May 2018.A new unsecured loan facility was entered into in May 2018 and USD 600,000
drawn down in June 2018. The loan is repayable in December 2018. Interest is payable at12.5%.
4.2Finance income and expenses
Six months endedYear ended
30 Jun 201830 Jun201731 Dec2017
$000s$000s$000s
Finance income
Change in fair value ofembedded option
---
Other interest income
2545
$2$5$45
Finance expense
Convertible preference shares:
-Amortisation ofliability
-329329
-Preference shares coupon
-12582
-Change in fair value ofembedded option
-126126
-580587
Interest payable to Smartshares Limited
155110244
Interest payable to Meta Capital Limited
49-8
Other interest
16010145
$364$700$934

13.
4.3Contributed equity
30 Jun 2018
Shares
30 Jun 2017
Shares
30 Jun 2018
$000s
30 Jun 2017
$000s
Ordinary shares–fully paid (a)
257,097,352257,097,352123,571123,571
Ordinary shares–partly paid (b)
12,703,07012,703,0703737
US employee shareoptions (c)
1,914,6011,914,601--
Total shares and options on issue
271,715,023271,715,023$123,608$123,608
(a)Ordinary shares–fully paid
30 Jun 2018
Shares
30 Jun 2017
Shares
30 Jun 2018
$000s
30 Jun 2017
$000s
Opening balance of ordinaryshares on issue
257,097,352231,684,047123,571117,155
-Mandatory convertible preference shares that
converted toordinaryshares in May 2017 at
25.5 cents each
-25,211,740-6,429
-Part paid shares exercised
-201,565-19
-NZX charges relating tothese transactions
---(32)
Ordinary fully paid shares on issue at period end
257,097,352257,097,352$123,571$123,571
All ordinary shares are authorised and have no par value.Ordinary shares entitle the holder to participate in
dividends and theproceeds on winding up of the company in proportion to the number of and amounts paid on
shares held.
(b)Ordinary shares–partlypaid
Six months ended
30 Jun 2018
Shares
30 Jun 2017
Shares
30 Jun 2018
$000s
30 Jun 2017
$000s
Partly paid shares onissue at start of period
12,703,07012,904,6353737
Issued
----
Exercised
-(201,565)--
Ordinary part paid shares on issue at period end
12,703,07012,703,070$37$37
(c)US employee share options (numbers)
30 Jun 201830 Jun 2017
Optionsoutstanding at start of period
1,914,6011,914,601
Granted/ Exercised
--
Outstanding at end of period
1,914,6011,914,601

14.
5.Other information
5.1Related party transactions
(a)Directors
The names of persons who are directors of the companyare onpage16.
(b)Key management personnel and compensation
Key management personnel compensation is set out below.Key management personnel comprises of the Directors,
the Chief Executive Officer (CEO) and all the senior executives that report directly to theCEO.
Six monthsSix months
endedended
30 Jun201830 Jun2017
$000s$000s
Salaries, fees and other short term benefits
9871,007
Share based remuneration
435
Directors remuneration
7070
Total
$1,061$1,112
(c)Employee share basedremuneration
Equity settled, share based compensation is provided to employees via the Wellington Partly Paid Share Scheme
and Wellington Employees Share Option Plan.The fair value of the employee services received in exchange for the
grant of part paidshares or options are recognised as an expense over the vesting period.The proceeds received
net of any directly attributable transaction costs are credited to share capital when the partly paid share proceeds are
received or options are exercised.
(d)Meta Capital Limited loan
Meta Capital Limited is a company associated witha director, Mr J McMahon. Note 4.1 sets out details of the
agreementswith MetaCapital Limited and the amounts outstanding at balance dates.Interest paid / payable to Meta
Capital Limited is disclosed in note 4.2.
(e)Smartshares Limited loan
Smartshares Limited is a substantial security holder. Note 4.1 sets out details of the agreements with Smartshares
Limited and the amounts outstanding at balance dates. Interest paid/ payable to Smartshares Limited is disclosed
in note 4.2.
5.2Contingencies and commitments
Thereare no materialcontingent liabilities or assets (June2018).
5.3Subsequent events
On 28 February 2018the company signed an agreement with iProximity, an Australian based innovative proximity
marketing solutions and consumer intelligence company.The agreement is an option expiring28 August 2018 and
allows the company to acquire all the shares in iProximity. The considerationfor the acquisition ifthe company
exercises its option includes both up-front payments and three year cash and share-based earn out targets as follows:
a.Payment of a non-refundable deposit of A$150,000, in consideration of the option;
b.A$1.1m in cash on closing (i.e. at exerciseof the option);
c.Payment of up to a further A$500,000 based on meeting specified EBIT targets (for iProximity’s existing
business) for FY2018 and FY2019; and
d.The future issue to the Vendors of fully paid ordinary shares (“Consideration Shares”) in the capital of
Wellington in tranches based on meeting specified EBIT targets for the business purchased for the period
ending 31 December 2020 (as to 50% of the shares) and also based on Wellington’s SCS™ Connect
System controller sales performance for the same period (as to the other 50% of the shares).
Consideration Shares not “earned” by 31 December 2020 are forfeited.
On 22
nd
Maythe company gave notice that itwillexerciseits option to acquire all the shares in iProximity Pty
Limited (iPX) on 2 July 2018.A$1,100,000 was paid on 2 July 2018.The maximum number of Consideration

15.
Shares that may be issued to the Vendors (i.e. assuming 100% achievement of EBIT and SCS™ sales objectives)
is 18,897,928.
The acquisition was completed on 2 July 2018. The accounting for the acquisition is currently under review and is
not completed.
5.4Reconciliation of loss for the period to net cash inflowfrom operating activities
Six months ended
Unaudited
Year ended
Audited
30 Jun 201830 Jun 201731 Dec 2017
$000s$000s$000s
Loss after taxation for the period(181)(522)(1,980)
Adjustments for:
Depreciation,amortisationand impairment8268201,546
Gain on disposal of plant & equipment-(4)-
Share based payments84756
Amortisation ofborrowing-329329
Change in fair value of embedded option-126126
Inventory provision movements33(3)(9)
Doubtful debt provision movements6(44)(41)
Provision for warranty movements4663124
Net foreign exchange differences(4)(313)181
Increase in trade and other receivables(6,138)(2,391)(2,634)
Increase in deferred income923397759
(Increase) / decrease in inventories(494)(669)445
Increase in trade and other payables6,7692,4752,355
Net cash inflow from operatingactivities1,794$311$1,257

16.
Directory
Directors
Tony Nowell,Chairman
DrLisbeth Jacobs
John McMahon
Gottfried Pausch
Senior Staff
Greg Allen,Chief Executive Officer
Steven Hodgson,Senior Vice President Commercial
David Howell,Chief TechnicalOfficer
Howard Milliner,ChiefFinancial Officer
Marc Tinsel, Head of Manufacturing
Peter Barnes, Global Quality Leader
Ali Karahasanoğlu,Sales Director, Europe/ Eurasia
Erick Layseca-Flores,Business DevelopmentManager,Americas
Gerardo Gonzalez, VPIntelligent Systems Business Unit
Clayton Thomas, Sales and Marketing Director Asia-Pacific
Ron Jackson,Secretary
Phone/Fax
Ph: 64-9-4774500
Fax: 64-9-4795540
Internet
Website: www.wdtl.com
Email: info@wdtl.com
Addresses
21Arrenway Drive,Rosedale
North Shore City 0632, New Zealand
PO Box 302-533, North Harbour
Auckland 0751, New Zealand
Registered Office
21Arrenway Drive, Rosedale
North Shore City 0632, New Zealand
Auditor
PricewaterhouseCoopers
188 Quay Street, Auckland, New Zealand
Share Registry
Computershare Investor Services Ltd
Private Bag 92119, Auckland 1142
New Zealand

17.
Interim Report
June 2018
WT9080