EROAD Delivers Strong Overall Growth for Q2 for FY20

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Quarterly Operational Update
18 October 2019
EROAD delivers strong overall growth for Q2 of FY20
Transport technology services company EROAD today released its quarterly update for the three
months ended 30 September 2019.
EROAD has continued to build on its good start to this financial year. In addition, the company has an
encouraging overall pipeline that will continue to deliver solid growth. Second quarter highlights
include:
• 28% annualised growth in total contracted units reflecting growth across all EROAD’s
markets;
• Strong annualised growth of 62% in North America reflects the majority of deployment to its
largest two enterprise customers.


Quarterly Units
Total at
30 June 2019
Total at
30 Sept 2019
Units added
in quarter
% Growth
annualised
Total Contracted
Units*
102,202 109,380 7,178 28%
New Zealand 72,975 75,674 2,699 15%
North America 27,848 32,193 4,345 62%
Australia 1,379 1,513 134 39%

YTD Units
Total at
30 Sept 2018
Total at
30 Sept 2019
Units added
in 12 months
% Growth
annualised
Total Contracted
Units*
86,240 109,380 23,140 27%
New Zealand 64,029 75,674 11,645 18%
North America 20,955 32,193 11,238 54%
Australia 1,256 1,513 257 20%
* Total Contracted Units is a non-GAAP measure used by EROAD which represents the total units subject to a customer contract and includes both Units on Depot and
units pending instalment.
EROAD continues to see good growth in New Zealand as existing customers expand the
implementation of EROAD technology in their fleets as well as continuing growth in new customers.
Over the quarter, New Zealand grew 4%, in line with the company’s expectations, with consistent
pricing, attracting both enterprise and small to medium businesses.
The North American market for EROAD delivered strongly with Total Contracted Units up 54% on
Q2FY19. Within this quarter, deployments were completed for EROAD’s largest enterprise customer
(c 5,500 units). Additionally, following the signing of a further large enterprise customer in June,
EROAD’s investment in scalable systems and processes enabled installation of over 90% of the

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contracted units (c 1,650) for that customer within eight weeks. The run rate for small to medium
business customers has to date been below EROAD’s expectations. Additionally, EROAD has not
seen the anticipated level of increase in sales pipeline ahead of the AOBRD to ELD mandate deadline
at the end of December 2019.
EROAD continued to build its brand presence in the Australian market, with steady growth of 10% in
the quarter reflecting gains in the small-to-medium businesses sector. While steady, the small-to-
medium business run rate is below EROAD’s expectations. However, the pipeline of enterprise
customers (with longer sales lead times) remains encouraging and above original expectations.
EROAD is becoming a global company with expanding offshore operations and revenues as well as
significant growth aspirations.
Following the re-launch of our Australian business and increasing interest from Australian and other
international investors, the Board is considering seeking an ASX Foreign Exempt Listing, to facilitate
greater alignment between the Company’s business operations and investor base. A decision
regarding a secondary listing is expected in early 2020. EROAD remains committed to maintaining an
NZX listing.
Ends
Contact: Sue-Ellen Craig, Director of Communications
Ph +64 21 577 685 email: sueellen.craig@eroad.com
About EROAD
• EROAD believes every community deserves safer roads that can be sustainably funded. This is why
EROAD develops technology solutions (products and services) that manage vehicle fleets, support
regulatory compliance, improve driver safety and reduce the costs associated with driving. EROAD
also provides valuable insights and data analytics to universities, government agencies and others
who research, trial and evaluate future transport networks. This data enables those who use the
roads to influence the design, management and funding of future transport networks.
• EROAD launched with the purpose of modernizing New Zealand’s paper-based road user charging
system. By 2009 EROAD had introduced the world’s first nationwide electronic road user charging
system and now around 46% of collected heavy vehicle road user charges in New Zealand are being
collected using EROAD technology. By March 2019, this had delivered NZ$2.5B to NZTA for the
sustainability of the NZ transport network. In the USA, EROAD introduced the first electronic Weight
Mile Tax service (2014) and the first independently verified Electronic Logging Device service (2017).
• EROAD (ERD) is listed on the NZX, and employs over 280 staff located across NZ, Australia and
North America.