Wellington 2018 Q3 update

® is a registered Trade Mark of Wellington Drive Technologies Ltd in New Zealand
Wellington Drive Technologies LtdWT9101
21 Arrenway Drive,Rosedale, Auckland0632, New Zealand
PO Box 302-533, North Harbour, North ShoreCity0751, New Zealand
Telephone: +64 99 477 0415, Fax: + 64 9 479 5540
Email:info@wdtl.comWebsite:www.wdtl.comPage1of2
18
th
October2018
ForImmediateRelease
Wellington Driverevenuefor Q318 increased62%and EBITDA
improved by $1m.FY18 guidancemaintained.
WellingtonDrive(NZX:WDT)achievedasignificantimprovementforthe3
rd
quarterended30
th
September2018(Q318)whencomparedtosameperiodin2017.Withagrowingorderbookgoing
intothefourthquarter,WellingtonalsomaintainsitsguidanceforFY18.
Q32018Highlights:
RevenueforQ318was$12.6m,comparedto$7.8mforthesameperiodin2017;a62%
improvement.Earningsbeforeinterest,taxation,depreciation,amortisationandimpairment
(EBITDA)forthequarterwasaprofitof$22k,analmost$1mimprovementoverthelossof
$943kinQ317;
Fortheninemonthsto30
th
September2018revenuewasat$40.7m,a29%increasecompared
tothesameperiodin2017.YeartodateEBITDAis$1.1mcomparedto$0.1mforthesame
periodlastyear;
ContinuedgrowthinthequarterfromtheWellingtonConnectSCS(previouslyreferredtoas
SCSConnect)withYTDvolumesincreasingby73%.TheenergyefficientECR2motorYTD
volumesincreased55%yearoveryearandECR01andECR82YTDmotorvolumeswere
consistentwiththesameperiodlastyear;
CompletedtheacquisitionofiProximityon2
nd
July2018,payingA$1.1monsettlement.
iProximity’smarketingsystemisalreadyintegratedintotheWellingtonConnectSCSplatform,
issupportingsalesandcontributingtofieldtrialsofproximity-basedmarketingoutsideofthe
beveragemarket;
AproductpartnershipannouncedwithNewZealandrefrigerationmanufacturerSKOPE
Industries,withSKOPEchoosingtheWellingtonConnectSCSandECmotorproductsaskey
componentsinitsmarket-leadingActiveCoreGlassDoorDisplayrefrigeratorrange;
A$2.5mdebtfacilitysecuredfromOnimegInvestmentstofinancetherepaymentofthe
Smartshares$2mloanandtoprovideadditionalworkingcapitalflexibility.$1.5mwasrepaidin
SeptemberandtheremainingbalanceispayableinMarch2019;and
Cashasat30Septemberwas$3.7mandnetdebtatthatdatewas$0.5m.
TheunauditedresultforQ3is:
Q3–$000’sQ3YTD–$000’s
20182017Change20182017Change
Revenue12,6367,787+62%40,68631,579+29%
GrossProfit3,0081,5689,9287,498
%23.8%20.1%
+3.7%
24.4%23.7%
+0.7%
Otherincome(2)(9)96185
Operatingexpenses(2,984)(2,502)(8,912)(7,564)
EBITDA22(943)1,112119
EBIT(473)(1,389)(216)(1,148)
Lossfortheperiod(666)(1,487)(770)(1,941)

® is a registered Trade Mark of Wellington Drive Technologies Ltd in New Zealand
Wellington Drive Technologies LtdWT9101
Page2of2
Revenueforthesecondhalfof2018isexpectedtobeconsistentwiththatrecordedinthefirsthalf,
withEBITDAaround$1million.EBITDAfortheyearisexpectedtobeatthelowerendofthe$2to
$3millionguidancerangeandtheachievementofnetprofitremainsatarget.
WellingtonCEO,GregAllencommented:“Weareverypleasedwiththecontinuedprogressofour
business,whichfurthervalidatesWellington’sstrategytodelivergrowththroughthedevelopmentof
anInternetofThings(IoT)businessanddiversifyingourmotorbusinessbeyondbottlecoolers.With
ourcontinuedrevenuegrowth,wethinkwehavestartedtocounterthehistoricallyseasonallyweak
Q3dynamicseeninourmarkets.ThisputsthecompanyinagreatpositionaswemoveintoQ4with
$1.1millionofYTDEBITDAalreadysecured.Q4isforecasttobeanotherstrongquarter,however
westillhavemuchworktodotoclosetheyear,withonlyaround60%orderfillforQ4andcustomer
demandtimingexhibitingitsusualvolatility.Aswelookforwardtonextyearweareanticipating
continuedprogressinnewcustomerwins,revenuegrowthandprofitexpansion.”
AboutWellingtonDriveTechnologies
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’sConnectIoT products, iProximity digital marketing solutions, and ECR motors serve some of the
world’s leading food and beverage brands as well as refrigerator manufacturers with advanced products and
digitalsolutions that improve product sales, decrease operating costs and reduce energy consumption.
Wellington is headquartered in Auckland, New Zealand, and is listed on the New Zealand stock exchange under
theticker NZX:WDT.
For further information visitwww.wdtl.com.
Notes:
EBITisEarningsbeforeInterestandTaxation
EBITDAisEarningsbeforeInterest,Taxation,Depreciation,AmortisationandImpairment.Wellingtonhas
alwaysreportedtheEBITDAresultbecausethisprofitperformancemeasureavoidsthedistortionscausedby
differencesinamortisationandimpairmentpolicies.
____________________________________________________________________________
Contact:
Greg AllenHoward Milliner
Chief Executive OfficerChief Financial Officer
Phone +1-778-238-6494+64-9-477-4500