Scott Announces FY22 Results

18 October 2022
Company announcement

SCOTT TECHNOLOGY ANNOUNCES FY22 RESULTS: FOCUS ON CORE
STRATEGIC PRIORITIES DELIVERS GROWTH
• The Engineering Scott to High Performance 2025 strategy continues to provide momentum
and guide the business focus on its core sectors of meat, materials handling and logistics and
mining, where it has proven world class technology with strong commercials
• The sales and services of these three core sectors delivered 75% of group revenue and 90% of
margin
• Group revenue (from continuing operations) was up 8% to $222m, margins grew to 24%
despite inflationary and supply chain pressures. EBITDA increased 14% to $24m while net
profit after tax (from continuing operations) was up 51% to $12.7m
• Record $190m of forward work across on-strategy meat and mining solutions, combined with
demand for the higher margin mining products, BladeStop and service businesses
• Dividend of 4.0 cents per share declared to take full year total to 8.0 cents
Automation and robotics solutions provider, Scott Technology Limited (NZX: SCT), has today released
its audited results for the twelve months to 31 August 2022 (FY22).
In a year which has seen global markets continue to experience unprecedented disruption through
inflation, supply chain pressures, and ongoing pandemic challenges, the team at Scott Technology
has once again demonstrated resilience and focus to drive a positive business and safety
performance for FY22.
Commitment to the growth of Scott’s three core sectors, meat, materials handling and logistics
(MHL) and mining saw the Scott Group deliver revenue and EBITDA of $222m (+8%) and $24m
(+14%) respectively. This included sales growth in all three core areas of the business, as well as
important revenue and margin contributions from the service, or after-market, business attached to
each segment.
The growth in both revenue and margin, most notably through the core sectors, demonstrates the
maturing focus of the Engineering Scott to High Performance 2025 (Scott 2025) strategy. The business’
sales pipeline has similarly transitioned as the capability of its sales teams matures in-line with the
strategy as is evidenced by a record $190m in forward work. This comprises several MHL projects,
continued strong mining and meat product orders, as well as more progress in secured service
contracts.
Employee safety and wellbeing has continued to underpin the culture at Scott, as is evidenced by the
significant improvements across key indicators. Most notably, hazard reporting increased by 75% from
FY21, while lost time severity rate decreased by 60%. This great progress results from the sincere
commitment from leadership and employees across the Scott Group.
Early momentum in the first year of Scott Technology’s ESG strategy has been underpinned by deep
engagement and support from the board and across the business. Good progress across all ESG pillars
has brought a deep sense of purpose and excitement to the role Scott can play in building a better
world.
Highlights include measurement and verification of carbon emissions across 70% of the business,
launch of the safety and wellbeing programme ‘Be Safe, Be Well, Be Scott’, and the introduction of

sustainable procurement tools which will ensure Scott partners with businesses that share the same
values.
Scott Technology Chief Executive Officer, John Kippenberger, says, “I’m delighted that once again, our
people, together with our local and global partners, have delivered growth through further
advancement of our Scott 2025 strategy. We have successfully focused on the things we do well, and
the deep addressable markets that we can sell to many times. This positively positions Scott to achieve
sustained, profitable growth across our core businesses and geographic regions for years to come.”


Results overview

* FY22 reported NPAT is $0.1m as it captures $12.6m of non-cash write offs from the discontinued
Robotworx operation.

In line with the Scott 2025 strategy which puts a firm focus on core sectors of the business, Scott
closed its U.S-based Robotworx business, and as such, the results snapshot above shows the
continuing operations for all years.
FY22 revenue (from continuing operations) increased 8% on the prior comparative period (pcp) to
$221.8m, as Scott’s strategy of generating more revenue from repeatable core products and services
continued to deliver positive growth.
EBITDA grew 14% to $23.9m, despite the effects of unprecedented disruption through inflation, supply
chain pressures, and ongoing pandemic challenges.
Despite the effects of unprecedented disruption through inflation, supply chain pressures, and
ongoing pandemic challenges, margins held at 24% in line with FY21, as Scott focused on expanding
repeatable sales from the likes of its BladeStop and Rocklabs mining products, whilst taking
opportunities to increase price where the customer proposition is strong.
Net profit after tax (NPAT) for the year was $12.7m, +51% on a like for like basis versus the prior
comparative period.
Operating cash flow of $6.3m was lower than the previous comparative period of $13.4m, as the
company’s revenue growth and global supply chain pressures increased debtors and inventory
respectively. With global pressures easing, a programme is underway to return safety inventory back
to cash. The Group had cash in the bank of $3.9m on 31 August 2022.
The Group’s net debt position was $8.0m as funding was invested in growth and working capital.
In recognition of the progress made by the company, the Directors declared an (unimputed) dividend
of 4.0 cents per share, payable on 22 November 2022, to take the full year dividend to 8.0 cents. The
Dividend Reinvestment Plan will apply.
Results Snapshot
$M
FY22
FY21
FY20
From Continuing Operations
Revenue
221.8
206.0
174.6
EBITDA
23.9
21.0
(11.2)
Net Profit After Tax (NPAT)*
12.7
8.4
(17.0)
Net Cash / (Debt)
(8.0)
1.3
(3.4)
Net Cash / (Overdraft)
3.9
12.2
7.7
Bank Loans
(12.0)
(10.9)
(11.2)
Operating Cash Flow
6.3
13.4
19.6

Core Sectors
The focus on driving positive customer outcomes, rewarding employee experiences, and
commercially successful results, continues under the Scott 2025 strategy. This strategy emphasizes
the imperative of growing sales through product areas where Scott has established world-leading
technology and away from the more bespoke design projects which are unproven and present
higher risk to Scott.

These core sectors made up 75% of the total Group sales for FY22, with combined growth of 16% in
FY22 and 31% over the last two years.
Meat processing
• Revenue up 22% from ongoing demand for lamb primal systems and strong sales of
BladeStop safety bandsaw. The service business in meat also continued to grow
strongly, delivering margins of 30%, well above the Group average.
• The pipeline and forward order book for meat products and service remains strong
as Australasian lamb processors continue to invest in the Scott Lamb Primal product
(+$10 million per unit) and global meat processors continue to buy the Scott
BladeStop bandsaw to drive positive efficiency and safety outcomes.
• The latest order from New Zealand lamb processor Silver Fern Farms is another
demonstration of the company’s long-standing relationships with industry-leading
companies looking to secure a safer, more efficient lamb processing line.
Materials handling and logistics (MHL)
• This sector largely comprises of conveyors, automated palletising and sortation
equipment which operates in the warehousing operations of the large food
manufacturers and related industries. Customers include industry leaders such as
Danone and McCain Foods Ltd.
• Largely concentrated out of Scott’s European operations in Belgium and the Czech
Republic, this business worked at the epicenter of the global supply chain crisis and
in close proximity to the war in the Ukraine. These pressures have driven strong cost
increases and led to delays on many projects, as customers wait for building
materials to complete construction projects to house large Scott equipment.
• Notwithstanding the macro environment, the team in Europe has continued to
deliver positive business and customer outcomes driving growth of 3% in group MHL
and service margins of 38%.
• Scott progressed its strategic priority of expanding its European material handling
business into the high growth North American market with the recent
announcement of a large foundation project with JBS Canada. This US$37 million
project will see Scott build a fully automated warehouse with 100,000 carton
capability. This will be an important proving ground and testament to Scott’s ability
to be competitive in the North American warehousing and intralogistics market.
• Additionally, to drive faster growth in the US, Scott recently brought its North
American business under highly credentialled and proven Regional Director, Aaron
Vanwalleghem, who currently leads Scott’s European center of excellence for
materials handling.

• The forward order book for Scott material handling equipment is sitting at its
highest levels on record (+$40m) as large food companies continue to struggle with
a reduced labour supply combined with increased pressures of short lead times on
the customer end of their businesses.
Mining
• Anchored off strong and reliable Rocklabs sample preparation sales, the mining
sector continues to experience positive and reliable growth. These products are well
proven in the large global mining sector and produce high margins given they are
well priced, and the Scott manufacturing footprint is highly efficient.
• This sector continues to grow at +20% CAGR with margins of 40% supported by over
30% of its revenue coming from high margin recurring consumables.
• Scott will continue to evolve the high-complexity, and therefore high risk, end-to-
end automated laboratory systems part of the business towards a more ‘modular’
product approach. This strategy is well proven at scale, producing high volume
outputs, at quality, accuracy and efficiency for the large mining companies and
independent laboratories.
• This modular approach has already proven its ability to deliver competitively priced
solutions to the market without exposing employees or shareholders to the risks of
the higher complexity end-to-end systems, which rely heavily on robotic
intervention for speed and sample transfers. Such complex projects have cost Scott
significant margin erosion over the past five to seven years.
Service and aftermarket business
Scott’s strategy of building its service and aftermarket business has been important for customers,
maintaining Scott machine accuracy and reliability, and for shareholders as it provides important
recurring revenue and margin streams.
The service business underpinning the above three core business segments saw strong growth of
19% in FY22 and 60% over the last two years. This is 31% of the total revenue of these businesses
and delivered a strong margin performance at 37%.
We see this important business continuing to deliver profitable sustainable growth as our customers
look to the specialist technical skills of Scott technicians to support their own maintenance teams on
what is often highly complex and technical Scott equipment.
The service business also contains a strong stream of high margin recurring consumables.
Service revenue grew across all regions (by 23%) and continued to deliver strong margins of 35% to
be an important contributor to the core performance of Scott.

Regional business update

Scott New Zealand – Strong core performance across meat and mining products (Rocklabs)
• The first Lamb Primal machine was installed at Alliance’s Lorneville plant, which is the largest
Ovine processing site in the world
• A large, automated warehousing system constructed by Scott Europe, is currently being
installed at the Alliance Lorneville plant
• A year of growth (+41%) for mining products manufactured in NZ and distributed worldwide.
Scott Australia – Revenue drops but margin increases with transition out of complex mining systems
• Core meat revenue grew by 46% to $26m as 84 more BladeStop units were sold along with a
Lamb Primal system delivered to Thomas Foods International
• Service revenue increased by 15% during the year
• Margins were adversely impacted by the tail of complex, low margin mining system projects
(coming to an end), and lower volumes through the Sydney and Melbourne facilities.
Scott Europe – Strong BladeStop and MHL growth drivers re-emerged in H2 as COVID eased
• Delivered revenue growth of 7% despite extreme challenges on raw materials supply and
delays caused by customer site builds for the same reason
• MHL has a record forward order book of +$40m and as such is well set for FY23
• Core meat revenue grew 150% to $10m as a further 86 BladeStop machines were sold
• The FY23 outlook is strong with a large order book and an increase in manufacturing capacity.
Scott North America – Challenging margin year but a reset has delivered significant core work
• Revenue growth driven by two large appliance lines for GE Roper and Whirlpool
• Underlying AGV business experienced significant raw material delays and price increases
which adversely impacted margin
• A focus on leveraging large BladeStop (428 units) and AGV installed base saw core service
revenue increase 36% to $12m.
Scott China – Record year in FY21 not repeated as government subsidies cease post COVID
• Consumer spending moved back to out of home items post COVID lockdown
• The order book is full for the next six months of production for domestic and European
systems.

ENDS

Results Snapshot
FY22
FY21
$M
Revenue
Margin
%
Revenue
Margin
%
New Zealand
50.9
22.2
44%
45.9
15.6
34%
Australia
56.7
8.3
15%
66.2
7.1
11%
Europe
57.9
16.0
28%
54.0
15.3
28%
North America
52.5
5.6
11%
27.0
8.3
31%
China
3.8
1.3
33%
12.9
3.3
26%
Total
221.8
53.3
24%
206.0
49.6
24%

For more information, visit www.scottautomation.com or contact:
John Kippenberger Media and investor contact:
Chief Executive Officer, Scott Technology Amber McEwen
T: +64 21 964 045 T: +64 21 194 0429
E: j.kippenberger@scottautomation.com E: amberm@porternovelli.kiwi

About Scott
Scott delivers smart automation and robotic solutions that transform industries by making businesses
safer, more productive, and more efficient. Our diverse capability makes us the first choice for
hundreds of the world’s leading brands. With design and build operations across Australasia, China,
Europe and America and over 100 years of engineering excellence, Scott is the global expert in
automation.
Scottautomation.com

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ANNUAL
REPORT
2022
SCOTT TECHNOLOGY LIMITED

PARENT COMPANY
Registered offi ce
Sco� Technology Limited
630 Kaikorai Valley Road
Dunedin 9011
New Zealand
+64 3 478 8110
Mailing address
Sco� Technology Limited
Private Bag 1960
Dunedin 9054
New Zealand
Website
www.sco� automa� on.com
Chairman and Independent Director
Stuart McLauchlan
Independent Directors
John Thorman
Derek Charge
Directors representi ng JBS Australia Pty Ltd
(Non-independent Directors)
Brent Eastwood
John Berry
Alan Byers
Chief Executi ve Offi cer
John Kippenberger
REGIONAL CONTACTS
New Zealand
Andrew Arnold
+64 21 670 975
a.arnold@sco� automa� on.com
Australia
Gerry Farnell
+61 29 748 7001
g.farnell@sco� automa� on.com
China
Cathy Zhang (Smart)
+86 186 6168 1911
c.smart@sco� automa� on.com
Europe
Aaron Vanwalleghem
+32 473 477 590
a.vanwalleghem@sco� automa� on.be
Americas
Jerry McDonough
+1 980 475 9860
j.mcdonough@sco� automa� on.com
PROFESSIONAL SERVICES
Share registry
Link Market Services Ltd
PO Box 91976
Auckland 1142
+64 9 375 5998
+64 3 375 5990 (fax)
enquiries@linkmarketservices.co.nz
Bankers
ANZ Bank New Zealand Ltd
Solicitors
Gallaway Cook Allan
Auditor
Deloi� e Limited
DIRECTORY
Annual Report 2022
Page 105
Lamb automation solution during
manufacturing in Dunedin, New Zealand.
Scott Technology Limited

Annual Report 2022
Page 1
DIVIDEND
Final dividend: 4.0 cents per share
(unimputed)
Record date: 7 November 2022
Payment date: 22 November 2022
Dividend reinvestment plan applies to this
payment for shareholders who have elected
to receive shares in lieu of a cash dividend.
ANNUAL MEETING
Wednesday 23 November 2022, 3:00pm
www.virtualmeeting.co.nz/sct22
Proxies close 3:00pm,
Monday 21 November 2022
The Board of Directors of Scott Technology
Limited is pleased to present the Annual
Report for the year ended 31 August 2022.
This provides a review of our progress in FY22
and our focus for the financial year ahead.
Strong progress has been made in the second
year of the Scott 2025 strategy, including the
first full year of our Environmental, Social and
Governance (ESG) strategy.
On behalf of the Board, 18 October 2022.
Stuart McLauchlan
Chairman and Independent Director
John Kippenberger
Chief Executive Officer
CONTENTS

02 At a glance: year in review
04 Letter from the Chairman
06 Chief Executive Officer's commentary
10 At a glance: global presence
12 Scott 2025 and leading a sustainable future
14 Strategic focus to maximise momentum
15 Surviving supply chain unrest and maintaining
operational excellence
16 Leading-edge technology: maturing sales and
growing service revenue
18 Scaling Scott through productisation
20 Authentic customer partnerships make way for
new technologies and markets
23 Customer story: Alliance Group
24 Collaboration across regions supports
One Team approach
26 Leading a sustainable future
27 Delivering on sustainability, beyond
benchmarks and baselines
28 Snapshots of work programmes commenced in FY22
29 Delivering for our planet: understanding our
carbon emissions
31 Delivering for our people: Be Safe, Be Well, Be Scott
32 Our Board
33 Financial report
86 Independent auditor’s report
89 Statement of corporate governance
96 Statutory information
102 Remuneration
104 Directors' responsibility statement
105 Directory

AT A GLANCE
YEAR IN REVIEW
RECORD FORWARD
WORK OF $190M
Forward work has increased
by 47% on FY21
STRONG GROWTH
ACROSS CORE
BUSINESS
Strategic focus on meat, mining
and materials handling and logistics
delivering sales growth of 15%.
DELIVERING
ON STRATEGY
REVENUE UP 8% TO
$222M, GROSS MARGIN
OF 24%, EBITDA OF $24M
AND NPAT OF $13M,
UP 51% ON FY21
Operating cash flow of $6.3 million was lower than the
previous comparative period of $13.4 million, as the
Company’s revenue growth and global supply chain
pressures increased debtors and inventory respectively.
With global pressures easing, a programme is under way to
return safety inventory back to cash. The Group had cash in
the bank of $3.9 million on 31 August 2022.
In line with the Scott 2025 strategy, which puts a firm focus
on core sectors of the business, Scott closed its US-based
RobotWorx business and, as such, the results snapshot
above shows the continuing operations for all years.
The Group’s net debt position was $8.0 million as funding
was invested in growth and working capital.
In recognition of the progress made by the Company, the
Directors declared an (unimputed) dividend of 4.0 cents
per share, payable on 22 November 2022, to take the full
year dividend to 8.0 cents. The Dividend Reinvestment
Plan will apply.
FY22 revenue (from continuing operations)
increased 8% on the prior comparative period (pcp)
to $222 million, as Scott’s strategy of generating more
revenue from repeatable core products and services
continued to deliver positive growth.
Earnings before interest, taxes, depreciation, and
amortisation (EBITDA) grew 14% to $24 million, despite
the effects of unprecedented disruption through
inflation, supply chain pressures and ongoing pandemic
challenges. Margins held at 24% in line with FY21, as
Scott focused on expanding repeatable sales from the
likes of its BladeStop and Rocklabs mining products,
whilst taking opportunities to increase price where
customer proposition was strong.
Net profit after tax (NPAT) for the year was
$13 million, 51% growth on a like-for-like basis versus
the prior comparative period. The forward work
programme is up 47% on FY21 to $190 million.

AT A GLANCE
FINANCIAL PERFORMANCE
Scott Technology Limited
Page 2

POSITIVE MOMENTUM
IN ESG STRATEGY
Exciting progress across all ESG pillars.
ONGOING CUSTOMER
PARTNERSHIPS
Strong repeat business with global
leading brands, such as McCains, Alliance,
Silver Fern Farms, Rio Tinto and JBS.
FOCUS ON
PRODUCTISATION
Capitalising on addressable market
opportunities for key products.
SERVICE AND
AFTERMARKET CARE
Bolstered service business delivers
20% revenue growth and strong
margin performance.
AT A GLANCE
FINANCIAL PERFORMANCE
20182019202020212022
FINANCIAL$‘000s$‘000s$‘000s$‘000s$‘000s
Revenue165,772211,585174,582206,030221,757
Net surplus / (loss) after tax10,0297,533(16,955)8,38212,657
Operating cash flow1,01872619,56313,426 6,308
Net cash / (overdraft)12,473(4,737)7,74512,242 3,935
Bank loans7,40911,66711,18510,920 11,970
Total asset s194,310217,786193,110194,504 206,888
Shareholders' equity105,677112,73292,74098,195 100,406
DIVIDENDS (CENTS PER SHARE)
20182019202020212022
Interim4.04.0-2.04.0
Final6.04.0-4.04.0
EMPLOYEES (NUMBER)
20182019202020212022
New Zealand249248188188198
Australia95101778695
China3336354540
Americas7483567360
Europe327316257230240
Total778784613622633

AT A GLANCE
FIVE-YEAR TRENDS
Annual Report 2022
Page 3

On behalf of the Board of Directors, I am pleased to
present Scott Technology’s 2022 Annual Report.
Whilst the need for community-wide lockdowns has
diminished, the continued prevalence of COVID-19
infections across the community, and the subsequent
requirement for self-quarantining, has impacted our
people and, in turn, placed pressure on our operations.
This has been compounded by the return of the
widespread flu infections affecting the health of our
employees and their families.
Leadership matters and Scott Technology is fortunate to
have rebuilt a very strong senior leadership team, ably led
by our Chief Executive Officer, John Kippenberger.
WE THANK ALL OF OUR PEOPLE
FOR THEIR COMMITMENT
AND PERFORMANCE THIS
PAST YEAR. WE ARE GRATEFUL
FOR YOUR DEDICATION AND
CONTRIBUTIONS.
DIVIDEND
The Directors are recommending a final dividend of
4.0 cents to be paid, on top of the interim 4.0 cents
dividend paid earlier this year.
GOVERNANCE
The Annual Shareholder Meeting is planned to be in Dunedin
and online on Wednesday, 23 November at 3:00pm.
In accordance with the Company’s Constitution and the
NZX Listing Rules, Derek Charge will retire and is eligible
for re-election. John Berry, who has been an Alternate
Director since February 2017, was appointed Director on
21 September 2022 to replace Edison Alvares, who stood
down as a Director on 20 September 2022. In accordance
with the Company’s Constitution and the NZX Listing Rules,
John Berry will retire and is eligible for election.
I would like to thank Edison for his wise counsel, especially
as a member of the Audit and Risk Committee.
The Board is committed, and continues, to invest in the
development of our Environmental, Social and Governance
(ESG) Programme. Some of the key projects include
Safety and Wellbeing, Carbon Scoping and Sustainable
Procurement.
OUTLOOK
We are seeing good engagement from our customer base
across all parts of the Scott business, with some recent
large orders. This has resulted in a strong order pipeline,
which bodes well for the coming year.
On behalf of the Board, I would like to thank our
shareholders for your continued support of our Company,
the Board and management.

INTRODUCTION
LETTER FROM THE CHAIRMAN
Stuart McLauchlan
Chairman and Independent Director
The team is focused on driving customer outcomes and
delivering on the Scott 2025 strategy. We thank all of our
people for their commitment and performance this past
year. We are grateful for your dedication and contributions.
The FY22 result was underpinned by sales growth, with
revenues of $222 million. Our people have overcome the
interruptions, increased costs and extended freight times,
wrought by COVID-19, to continue to deliver the many
products our customers require.
The resilience of our business model and strategy has been
thoroughly tested, particularly during these past two years,
and its success has seen us continue to deliver growth in
earnings and returns to our shareholders.
We will continue to invest in the core growth areas of our
business which will underpin the future growth of Scott. The
closure of the US-based RobotWorx business during the year
was due to this operation sitting outside of our strategic
focus. The closure saw us take a non-cash write-down.
Scott Technology Limited
Page 4

INTRODUCTION
LETTER FROM THE CHAIRMAN
Installation of lamb automation solution for
Thomas Foods International, Tamworth, Australia.
Annual Report 2022
Page 5

In a year which has seen global markets continue
to experience unprecedented disruption through
inflation, supply chain pressures and ongoing
pandemic challenges, the team at Scott has once again
demonstrated resilience and focus to drive a positive
business and safety performance for FY22.
STRONG GROWTH ACROSS CORE SECTORS
Through our ongoing focus and commitment to the
growth of Scott’s three core business segments, meat,
mining and materials handling and logistics (MHL), we
have delivered revenue and EBITDA of $222 million (+8%)
and $24 million (+14%) respectively. This included sales
growth in all three core areas of the business, as well as
important revenue and margin contributions from the
service or aftermarket business attached to each segment.
The completion of FY22 sees us close the second
full year, guided by our Engineering Scott to High
Performance 2025 strategy. The clarity this provides
has enabled us to continue driving positive customer
outcomes, fulfilling employee experiences and
commercially successful results for Scott. This strategy
emphasises the imperative of driving sales through
product areas where we have established world-leading
technology and away from the more bespoke design
projects that are unproven and present higher risk to
Scott. This is reflected in our strong forward order book
of $190 million.
These core businesses make up 76% of total Group sales
for FY22, with combined growth of 15%.
Meat processing
We saw ongoing demand for our Lamb Primal Systems
and BladeStop safety bandsaw, resulting in revenue
growth of 22%. The service business in meat also
continued to grow strongly. This segment delivered
margins of 32%, well above the Group average.
Most recently, we secured an order from New Zealand
lamb processor, Silver Fern Farms, which reinforces
our long-standing relationships with industry-leading
companies looking to secure a safer, more efficient lamb
processing line.
The forward order book for meat products and service
remains strong, as Australasian lamb processors continue
to invest in the Scott Lamb Primal product (+$10 million
per unit), and global meat processors continue to buy the
Scott BladeStop bandsaw to drive efficiency and safety
outcomes.
Materials handling and logistics (MHL)
This important area of our business largely comprises
of conveyors, automated palletising and sortation
equipment used in the warehousing operations of the
large food manufacturers and related industries.
B7
INTRODUCTION
CHIEF EXECUTIVE OFFICER'S COMMENTARY
REVENUE BY SECTOR
THE TEAM AT SCOTT HAS
ONCE AGAIN DEMONSTRATED
RESILIENCE AND FOCUS TO
DRIVE A POSITIVE BUSINESS
AND SAFETY PERFORMANCE
FOR FY22.
26%
24%
32%
Materials Handling
and Logistics
18%
Mining
Meat
Processing
Other
Scott Technology Limited
Page 6

Our customers include industry leaders, such as McCain
Foods Ltd, Danone and Friesland Campina.
Largely concentrated out of our European operations in
Belgium and the Czech Republic, this business worked at
the epicentre of the global supply chain crisis and in close
proximity to the war in the Ukraine. These pressures have
driven strong cost increases and led to delays on many
projects, as our customers wait for building materials
to complete construction projects to house large Scott
equipment.
Despite the macro environment, we are hugely proud of
the team in Europe as they continued to deliver positive
business and customer outcomes, driving growth of 4% in
group MHL and service margins of 38%.
In FY22, we progressed our strategic priority of expanding
the European material handling business into the
high-growth North American market, with the recent
announcement of a large foundation project with JBS
Canada. This US$37 million project will see us build a fully
automated warehouse with 100,000 carton capability.
This will be an important proving ground and testament
to our ability to be competitive in the North American
warehousing and intralogistics market.
Additionally, to drive faster growth in the US, we recently
brought the North American business under highly
credentialled and proven Regional Director, Aaron
Vanwalleghem, who currently leads our European centre
of excellence for materials handling.
The forward order book for Scott material handling
equipment is sitting at its highest levels on record
(+$40 million) as large food companies continue to
struggle with a reduced labour supply, combined with
increased pressures of short lead times on the customer
end of their businesses.
DESPITE THE MACRO
ENVIRONMENT, WE ARE HUGELY
PROUD OF THE TEAM IN EUROPE
AS THEY CONTINUED TO DELIVER
POSITIVE BUSINESS AND
CUSTOMER OUTCOMES.
(Left to right) Cameron Mathewson, John Kippenberger and
Aaron Vanwalleghem in Podivin, Czech Republic.
Annual Report 2022
Page 7

Mining product sales
Our mining business – anchored off our strong Rocklabs
sample preparation sales – continues to experience
positive and reliable growth. These products are well
proven in the large global mining sector and produce
high-margins, given they are well priced and the Scott
manufacturing footprint is highly efficient.
This business continues to grow at 20% compound annual
growth rate (CAGR) with margins of +40% supported by
over 30% of revenue coming from high margin recurring
consumables.
We will continue to move the high-complexity, and
therefore high risk, end-to-end automated laboratory
systems part of the business towards a more ‘modular’
product approach. This strategy is well proven at scale,
producing high volume outputs, at quality, accuracy
and efficiency for the large mining companies and
independent laboratories.
With this modular approach we have proven our ability to
deliver competitively priced solutions to the market without
exposing our employees or shareholders to the risks of the
higher-complexity end-to-end systems, which rely heavily
on robotic intervention for speed and sample transfers.
SERVICE AND AFTERMARKET BUSINESS
Scott’s strategy of building our aftermarket service
business has been important for customers, maintaining
our machine accuracy and reliability, and for our
shareholders as it provides important recurring revenue
and margin streams.
The service business underpinning the above three core
business segments saw strong growth of 19% for the FY22
year and 60% over the last two years. This is approximately
31% of the total revenue of these businesses and delivers a
strong margin performance at 37%.
We see this important business continuing to deliver
profitable sustainable growth as our customers look to the
specialist technical skills of Scott technicians to support
their own maintenance teams on what is often highly
complex and technical Scott equipment.
A HIGHLY POSITIVE START TO OUR ESG
ENDEAVOURS

I am very pleased with the early momentum building
in our ESG strategy. This has strong engagement and
support from the Board and across the business. The
early work in this area has brought with it a deep sense of
purpose and excitement to playing our part in building a
better world.
REVENUE BY GEOGRAPHY
Australia
26%
Americas
24%
Europe
26%23%
New ZealandChina
1%
John Kippenberger
Chief Executive Officer
THE EARLY WORK IN THIS
AREA HAS BROUGHT WITH IT A
DEEP SENSE OF PURPOSE AND
EXCITEMENT TO PLAYING OUR
PART IN BUILDING A BETTER
WORLD.
We have made strong progress across all our ESG pillars,
including some key project highlights in safety and
wellbeing, carbon footprint scoping and sustainable
procurement. Be sure to read more about these in the
subsequent pages of the report.
We look forward to making further progress and sharing
more about our sustainability journey during FY23.

Scott Technology Limited
Page 8

Chief Executive Officer, John Kippenberger.
Annual Report 2022
Page 9

NZ
AU
US
45%
10%
45%
24%
34%2%
40%
CN
100%
EU
17%
79%
4%
TOTAL
GROUP
26%
32%
18%
24%
KEY
Mining
Other
Material handling
and logis�cs
Meat processing
Manufacturing
facili�es
Sales and office
facili�es
18%
11%
65%
5%
REVENUE BY SECTOR AND END CUSTOMER GEOGRAPHY

AT A GLANCE
GLOBAL PRESENCE
Scott Technology Limited
Page 10

NZ
AU
US
45%
10%
45%
24%
34%2%
40%
CN
100%
EU
17%
79%
4%
TOTAL
GROUP
26%
32%
18%
24%
KEY
Mining
Other
Material handling
and logis�cs
Meat processing
Manufacturing
facili�es
Sales and office
facili�es
18%
11%
65%
5%
AT A GLANCE
GLOBAL PRESENCE
* Includes Rocklabs product sales to international distributors.
*
Annual Report 2022
Page 11

Our Mission
To deliver smart automation solutions that transform industries.
2020
Growing profitible business
focused on long-term growth
for Scott's customers,
shareholders and employees.
(Page 26)
Commitment to the
environment which develops
and encourages sustainable
business practices.
(Page 26 to 28)
Environmental
Management
Sustainable
Procurement
Financial
Performance
Customer
Satisfaction
Purpose
Place
Robust Global
Platforms
Authentic Customer
Partnerships
Continue to build authentic
customer partnerships that
yield repeat business and
growth opportunities.
(Page 20)
Build an operations infrastructure
matched to our growth curve.
(Page 14)
B7
AT A GLANCE
SCOTT 2025 & LEADING A SUSTAINABLE FUTURE
Scott Technology Limited
Page 12

Employee Safety
& Wellbeing
Diversity
& Inclusion
One Global Team
Global
Recruitment
People
Operational Excellence
Leading-edge Technology
Create an effective global Scott
‘identity’ and culture, with a
focus on delivering excellence
and positive customer outcomes.
(Page 24)
Robust systems, controls and
processes to ensure delivery of
projects on scope, on time and
on budget.
(Page 15 to 16)
Leverage Scott’s leading
technology platforms and
offerings. Delivering a matured
revenue mix across products,
systems and service.
(Page 16 to 17)
Building an engaged, diverse, and
talented workforce.
(Page 26 and 31)
Focusing on areas of strength and proven expertise,
Scott continues to deliver sustainable growth and
margin performance in the second year of its 2025
strategy. Combined with a long-term commitment to
sustainability, Scott's strategy continues to mature,
delivering a deeper sense of purpose and commitment
for our planet and stakeholders.
2025 and beyond
Employee
Retention
Our Vision
Be the first choice for businesses wanting smart automation and robotic
solutions that make their businesses safer, more productive and more efficient.
Annual Report 2022
Page 13

Despite some uncertainties around the global economic
outlook, Scott continues to secure sales and contracts
with leading companies who are progressing with capital
expenditure and investment programmes.
“The talent and commitment from the Scott team
around the world to confront the ongoing challenges and
supply chain shortages, whilst continuing to stay focused
and deliver margin at pre-COVID-19 levels, has been
exceptional,” continues Kippenberger.
“We have, however, seen some delay in revenues where
customers’ infrastructure projects have also been delayed,
for example, due to supply issues on steel.”
The strategic focus in FY22 has delivered several highlights:
• Scott’s meat business has seen a 27% increase in
revenue driven by a return to focusing on key product
strengths, such as BladeStop and our Primal technology.
• The service business for meat has also grown 15% year
on year. Combined, these delivered strong net margins
of +30%.
• Scott’s Rocklabs mining products business has also
grown substantially (+25% year on year) while holding
strong margins of 40%.
• $37 million JBS Canada warehouse automation project.
The JBS Canada warehouse automation project provides
an important cornerstone for the development of Scott’s
North American material handling business, extending its
centre of excellence capability from Europe.
Kippenberger continues, “The US is currently the hottest
On the back of the strategic progress of FY21,
Scott Technology has continued to build focus and
momentum around its core business in this financial
year. Its Engineering Scott to High Performance 2025
strategy focused the business on its areas of strength
and proven expertise, namely meat processing,
material handling and mining and this continues to
drive growth and margin.
Scott Technology Chief Executive Officer, John
Kippenberger, says he is delighted with the Company’s
performance against the strategy over the past year.
“Playing to our strengths in selling proven products
and aftermarket services has enabled us to deliver core
revenue growth of 15%. This approach also drives our
pipeline of work and ongoing margin performance – which
is 29% of our core business – so it really sets us up for a
bright future.”

DELIVERING ON STRATEGY
STRATEGIC FOCUS TO MAXIMISE MOMENTUM
THE TALENT AND
COMMITMENT FROM THE
SCOTT TEAM AROUND THE
WORLD TO CONFRONT THE
ONGOING CHALLENGES

... HAS BEEN EXCEPTIONAL.
All three of Scott’s core business sectors are experiencing
ongoing demand for automation to help drive efficiency,
safety, and to overcome the global labour shortages.
Automated mining sample preparation
during manufacturing in Sydney, Australia.
Scott Technology Limited
Page 14

DELIVERING ON STRATEGY
STRATEGIC FOCUS TO MAXIMISE MOMENTUM
intralogistics market in the world as food companies, in
particular, struggle to keep up with demand, at shorter
lead times and often with less availability of labour. The
JBS Canada project, combined with our recent European-
North American executive team merger, will see us build
capability and growth in this sector over the next decade.”
FY22 has also seen Scott begin developing its ESG
(Environmental, Social and Governance) strategy. “I’m very
pleased with the early momentum we’ve seen around ESG,
with strong engagement from the Board right through
the organisation. While we are at the beginning of this
journey, we’re very excited about the deep sense of
purpose this brings to our business, as well playing our
part to build a better world,” adds Kippenberger.
With its laser focus on core business sectors, product
sales growth and increasing its service business, Scott
is proud to have delivered a successful FY22 and is well
placed to continue this progress into FY23.
DELIVERING ON STRATEGY:
SURVIVING SUPPLY CHAIN UNREST
AND MAINTAINING OPERATIONAL
EXCELLENCE
Like many businesses in manufacturing and servicing
across the globe, supply chain disruption has had
a significant impact over the past year. For Scott’s
business in FY22, the key pressure point has been
extended lead times on parts supply.
Chief Executive Officer, John Kippenberger says that they
acted early, which helped the business to mitigate risk
and maintain operational excellence. “Our solution was to
invest in working capital, pushing up inventories to secure
supply and price, which helped us to ensure we could fulfil
customer orders and, ultimately maintain our margins.”
The impacts of supply chain unrest have also extended
beyond parts supply, with some sales delays occurring
due to customers not being ready to accept Scott
equipment. “This has largely been due to delays in
construction projects,” says Kippenberger. “Customers that
are building greenfield sites or extending existing factories
to incorporate Scott equipment, have had their own projects
delayed and this has had a knock-on effect to our sales.”
Most of this impact has been felt in Europe, where
growth hasn’t been quite to the levels Scott would have
liked. The closure of Russian business has also impacted
European growth.
Scott’s ongoing focus on core business, as well as
improved cycle times of production and supply, have
helped to combat this.
“A great example of this is with our primal system where
our engineers and factories have worked hard to deliver
short lead times on our proven equipment for both
Alliance and TFI. We’ve also really focused on growing our
order book, particularly in Europe. The outlook is very
positive,” he adds.
Despite the order book being strong, Kippenberger
anticipates that many of the supply chain disruptions will
continue into FY23.
“We will find new ways to continue to deliver operational
excellence despite this,” says Kippenberger. “We have
a huge team commitment and energy to always push
for the best outcome for our customers, people and
shareholders.”
WITH ITS LASER FOCUS ON
CORE BUSINESS SECTORS,
PRODUCT SALES GROWTH
AND INCREASING ITS SERVICE
BUSINESS, SCOTT IS PROUD
TO HAVE DELIVERED A
SUCCESSFUL FY22 AND IS WELL
PLACED TO CONTINUE THIS
PROGRESS INTO FY23.
Annual Report 2022
Page 15

DELIVERING ON STRATEGY
LEADING-EDGE TECHNOLOGY:
MATURING SALES AND GROWING
SERVICE REVENUE
The Leading-edge Technology pillar within Scott
Technology’s 2025 strategy showcases its ongoing
commitment to innovation, whilst optimising the
business’ mix of sales and continuing to deliver
service revenue growth.
Chief Financial Officer, Cameron Mathewson, says
they have made great progress in this area in FY22
by increasing the focus on selling existing products,
upweighting service and productisation of proven
technology.
“The work we have done has facilitated growth
throughout the entire Scott business. By investing
in service capability and leadership we have strong
service organisations across all our geographies,
led by experienced service leaders. Additionally,
our investment into analytics and insights means
operational management can make quick, accurate,
reliable decisions, responding effectively to customer
demand and sales opportunities.”
Strengthening the Rocklabs brand has enabled
considerable growth, from both a sales and service
perspective. We have also seen success with some of our
meat processing products, such as our poultry trussing
technology, and significant growth is anticipated over the
next year as we expand into North America and our order
volumes increase.
Scott continues to develop new and existing product
offerings, by working on integrating existing products to
create modular solutions that customers can easily order and
commission without needing to go through an often timely
design and implementation process.
WE LOVE BEING ABLE TO
OFFER SOLUTIONS TO OUR
CUSTOMERS THROUGH
WORLD-LEADING TECHNOLOGY.
“Initially, our larger projects are often designed for a
customer who has a particular and unique problem, or
opportunity, they want to resolve,” says Mathewson. “These
then give birth to new ideas, new technology and create
the products of the future. As we continue to develop
new technologies, opportunities to productise present
themselves. We love being able to offer solutions to our
customers through world-leading technology, as we have
Automated appliance line during
manufacturing in Qingdao, China.
Scott Technology Limited
Page 16

seen with the success of our Lamb Primal System and the
monumental material handling deal signed with JBS Canada.”
“We have evolved and become more resilient in how we
contract, investing in capability and processes so when
we take on new business we do so with a greater sense of
confidence around delivering strong margins."
Mathewson says the impact on margins has been extremely
positive, yet the real growth is below the surface.
“We have faced headwinds from macro challenges, such as
supply chains, the pandemic, and inflationary pressures;
however, the work we have put into maturing the mix
has seen both our products and service businesses
experience double-digit growth from a revenue and
profit perspective.”
Mathewson also commented on the importance of having
Scott’s people on board with balancing the focus, every
step of the way.
“We are fortunate to have an abundance of incredibly
talented people within the organisation, and they
understand the reasons behind wanting to strike the right
balance across the three core sectors we operate in.
There are also exciting opportunities in the pipeline, with
the prospect of opening up new markets and customer
sectors, such as expanding our mature material handling
and logistics sector from Europe into North America.
In addition to the expansion of our materials handling
business, we see an opportunity to extend Rocklabs
into more geographies and mining types. BladeStop also
presents an opportunity for expanding our distribution
network and customer footprint, on the back of a strong
year of growth in FY22.”
WE ARE FORTUNATE TO
HAVE AN ABUNDANCE OF
INCREDIBLY SMART PEOPLE
WITHIN THE ORGANISATION,
AND THEY UNDERSTAND THE
REASONS BEHIND WANTING
TO STRIKE THE RIGHT BALANCE
ACROSS THE THREE CORE
SECTORS WE OPERATE IN.
FY22 SALES AND SERVICE REVENUE MIX
0%10%20%30%40%50%
50%
60%70%80%90%100%
Service
Sales
100%
Meat (26%) Mining (18%) Materials handling and logis�cs (32%) Rest of business (25%)
Core Sco� busin ess (76% of total revenue)
28%
72%
34%
66%
31%
69%
10%
90%
Annual Report 2022
Page 17

DELIVERING ON STRATEGY
SCALING SCOTT THROUGH
PRODUCTISATION
A key focus of the Scott 2025 strategy is to commercialise
successful proven technology through productisation,
driving repeatable product sales into large addressable
markets. This approach provides quicker lead times for
customers, higher margin performance and revenue
growth.
Scott’s productisation success to date has stemmed from
strong development partnerships with industry leaders, such
as Silver Fern Farms, MLA, AMPC, and Pilgrims.
Scott is also seeing strong uptake in the European market
for our Pal 4.0 palletising product and its launch into the US
market in FY23.
Rocklab's mining product continues to deliver impressive
revenue and margin performance and Scott continues to
invest in development and marketing of this product range.
Chief Executive Officer, John Kippenberger, says “Our
approach is reflective of the Scott 2025 strategy, to take
our successful and proven technology and commercialise it
through productisation.”
and install without requiring often timely design and
commissioning processes.
Scott’s world-leading lamb automation solution was
developed back in 2001 in partnership with its key customer,
Silver Fern Farms, to increase efficiency, maximise yield and
improve operator safety.
There are now over 18 of these solutions installed across
Australasia, totalling approximately $180 million in sales, with
up to 60% of the market still to be captured.
It is estimated that 30% of all New Zealand lambs are
processed on a Scott automation line.
Poultry
Similar success is expected by applying this process to the
new proprietary automated poultry trussing technology
designed by Scott for Pilgrims and the US market.
Scott Technology’s automated trussing technology is
truly innovative and presents an incredible opportunity
for Scott to begin deploying this product into the US
poultry industry, which makes up 50% of the global
market of fully trussed birds.
The US opportunity is approximately 150 units and growing.
BladeStop
Scott leads the safety bandsaw market with over 1,500 units
of its award-winning BladeStop products installed globally,
however, the market opportunity remains significant as
we seek to convert traditional non-safety bandsaws to
BladeStop safety saws.
BladeStop has seen solid uptake in the European and US
markets in FY22. It is anticipated sales will accelerate in FY23
as strong demand from these regions continues, due to an
ongoing drive from processors to increase operator safety.
While initial market focus for BladeStop remains in the meat
processing industry, the highly adaptable product is also fit
for purpose for non-protein industries, like aluminium and
carbon, further increasing future market potential.
OUR APPROACH IS REFLECTIVE
OF THE SCOTT 2025 STRATEGY,
TO TAKE OUR SUCCESSFUL AND
PROVEN TECHNOLOGY AND
COMMERCIALISE IT THROUGH
PRODUCTISATION.
Lamb automation
The lamb automation systems are an example of how
Scott has successfully taken large complex solutions into
a repeatable product that customers can easily order
Automated poultry trusser during factory
acceptance testing in Dunedin, New Zealand.
Scott Technology Limited
Page 18

US makes up
50%
of the global
market of

trussed birds
Opportunity

150
units for
US market

Configurable in

Fully trussed bird
in 2.5 seconds
Investment
$1.7M
NZD per unit
(24 bpm)
installed
900M
chickens trussed
annually in the US
AUTOMATED POULTRY TRUSSER
BLADESTOP SAFETY BANDSAW
LAMB AUTOMATION
24
birds per minute
(bpm) units
Over
1,500
installs across
30
countries
Configurable for

both protein
and non-protein
applications
World's fastest
stopping time
Investment
$10-15M
NZD per unit

18
installations
across Australasia

Processing
12
carcasses
per minute
Investment
$70K
NZD per unit
excluding options
US Opportunity
1,146
units for beef, pork
and case ready
Installs make up

approximately
40%
of lamb market
for full systems
BladeStop

US marketshare
9%
Annual Report 2022
Page 19

Poland. This is a great example of where our partnership
has meant repeat purchases of our technology solutions
for different markets around the world.
Alliance in New Zealand is another example of an enduring
forward-looking partnership in which investment in proven
automation is driving returns for New Zealand farmers.
In FY22 we commissioned a new Scott-automated Lamb
Primal System at Alliance’s Lorneville plant and soon we
will deliver a large fully automated warehouse facility.
Because of our deep understanding of the business, we
were able to cross-sell between our meat processing
and materials handling businesses, enabling Alliance to
continue to roll out proven Scott technology that will drive
efficiency.”
For Scott, authentic customer partnerships also means
continuing to build its aftermarket support. This means
driving ongoing performance of all Scott products in the
field, while demonstrating true partnership. In FY22, this
part of our business grew 29%, making up 33% of core
revenue and at strong margins of 37%.
FY23 presents several strategic opportunities for Scott.
Continuing to drive recurring revenue from existing
customers through an intimate understanding of their
businesses will help to continue the momentum from
FY22. Extending its customer footprint with BladeStop,
and the launch of Scott’s proprietary poultry trussing
technology into the US are amongst the key opportunities.
DELIVERING ON STRATEGY
AUTHENTIC CUSTOMER
PARTNERSHIPS MAKE WAY
FOR NEW TECHNOLOGIES AND
MARKETS
In FY22 Scott’s authentic customer partnerships have
continued to grow and the benefits have been tangible
for its business and customers.
Chief Executive Officer, John Kippenberger, says that
Scott’s commitment is to work closely with leading global
businesses to truly understand their strategies, priorities
and what this means for their long-term investment plans.
SCOTT’S COMMITMENT IS TO
WORK CLOSELY WITH LEADING
GLOBAL BUSINESSES TO TRULY
UNDERSTAND THEIR STRATEGIES,
PRIORITIES AND WHAT THIS
MEANS FOR THEIR LONG-TERM
INVESTMENT PLANS.
“McCain, one of our frozen food customers, has been a
long-term partner to Scott. Over time it has invested in Scott
warehouse automation solutions in multiple markets – most
recently in France, the Netherlands, Belgium and soon to be,
Pal 4.0 palletiser during
manufacturing in Deerlijk, Belgium.
Scott Technology Limited
Page 20

BladeStop safety bandsaws ready for
shipment in Podivin, Czech Republic.
Annual Report 2022
Page 21

Lamb automation solution in action, separating
the hindquarter from middle section.
Scott Technology Limited
Page 22

CUSTOMER STORY
ALLIANCE GROUP
Scott has partnered with leading global and solutions
food company, Alliance Group, for 12 years. Providing
it with automated processing solutions to support its
growth as it continues to streamline its activities to meet
rising production and customer demands in the meat
processing industry.
One of Alliance’s strategic goals of increasing operational
efficiency and improving yield has been supported by Scott
each step of the way. Today, you will find Scott’s world-
class meat processing technology in many of Alliance’s
processing plants across New Zealand. Scott’s proprietary
Lamb Primal System has been installed across four of
Alliance’s lamb boning rooms to date, with its Lorneville
Plant in Invercargill being the first to include a fully
automated forequarter processing system.
Scott Technology New Zealand General Manager, Andrew
Arnold, says that the business is right on strategy in terms
of building relationships and successful partnerships with
customers.
“For over 12 years we’ve worked closely with the Alliance
Group to develop a deep understanding of its meat
processing business, providing it with market-leading
solutions to improve efficiency and yield. As we’ve grown our
deep knowledge of the business, we’ve been able to identify
areas where some of our other automation solutions will
benefit it,” says Arnold.
WE’RE DELIGHTED TO HAVE
BUILT A DEEP RELATIONSHIP WITH
SCOTT OVER THE YEARS. THEIR
TECHNOLOGY HAS ENABLED
US TO INCREASE OUR YIELD,
ADDRESS ONGOING LABOUR
SHORTAGES AND MITIGATE THE
HEALTH AND SAFETY RISKS.
AS WE’VE GROWN OUR DEEP
KNOWLEDGE OF THE BUSINESS,
WE’VE BEEN ABLE TO IDENTIFY
AREAS WHERE SOME OF OUR
OTHER AUTOMATION SOLUTIONS
WILL BENEFIT IT.
its communications to guarantee that we are performing
ahead of the curve. Service-level agreements have
strengthened Scott’s aftermarket offering, with a focus on
exceptional reliability. With the ability to embed full-time
engineers on customers' sites, Scott can give dedicated
service and support to ensure the technology continues to
operate smoothly.
As a result, Scott is set to supply, out of its European centre
of excellence, a fully automated storage and warehousing
system at Alliance’s Lorneville plant.
“Identifying opportunities to supply our meat processing
clients, for example, with automation solutions in materials
handling and logistics, is critical to the growth and only
comes from truly understanding our customer’s strategy and
business,” explains Arnold.
Arnold believes that actively listening to shifting needs
and requirements is at the forefront of a strong customer
partnership, and Scott has been working hard to strengthen
“When we sell in a piece of equipment, it’s basically selling in
a level of service with that, which is aftermarket care. Each
service-level agreement is bespoke to the customer but
essentially it’s a long-term service commitment to partnering
with our customer to maintain the machine and technology.
This end-to-end offering is vital to the performance of the
equipment and our customer partnership.”
Alliance Group Chief Executive Officer, David Surveyor,
describes its collaboration with Scott Technology as core to
delivery of our automation strategy.
“We’re delighted to have built a deep relationship with Scott
over the years. Their technology has enabled us to increase
our yield, support ongoing labour shortages and mitigate
health and safety risks associated with traditional meat
processing. Their knowledge of our business, combined with
their expertise in several sectors, is enabling us to continue
automating the business by extending beyond processing
and into material handling and logistics. We look forward to
seeing the benefits we’ll gain from automating our storage
and warehouse system at the Lorneville plant.”
Scott and Alliance are currently working on new
opportunities within the New Zealand market and
will continue to strengthen their authentic customer
partnership in the coming years by embracing
automation that transforms.
Annual Report 2022
Page 23

DELIVERING ON STRATEGY:
COLLABORATION ACROSS REGIONS
SUPPORTS ONE TEAM APPROACH
Scott Technology has made impressive progress in
its One Team approach in FY22, which has ensured
ongoing financial success, whilst championing a people-
led business. Over the past year, Scott has continued
to embed its centre of excellence model, allowing
the organisation to embrace the diverse skillsets and
expertise across the regions and capture different ways
of working.
Scott Technology’s collaboration across its regions has
continued to develop and strengthen over the past year.
Employee engagement at Scott has been a key measure
of success and is evaluated through annual surveys. FY22
showed a real improvement in employee engagement,
with a 23% increase across the organisation. The Company
believes cultural drivers, such as the Be Safe, Be Well, Be
Scott strategy, play a huge part in this.
“We encourage a positive work environment that is free
from harm, where our people thrive, feel cared for, and
look after each other,” says Jenkins. “And what we’ve
seen as a result, is collaboration between our regions on
multiple projects, that utilise the unique skillsets and the
best practices from across our business.”
To invest in the ongoing success of cross-border
collaboration, Scott recognises that the transfer of
knowledge is an area that needs to be invested in to enable
Scott to retain its unique technical skills and expertise.
Internal processes ensure expertise and insights are shared
across teams, specifically with graduates, to support
employee development and Scott Technology’s growth
ambitions.
“Employee engagement, retention and development is
always going to be a huge focus for Scott. We will continue
to develop and engage our people to ensure we have the
skills and experience required to deliver smart automation
solutions to the world.”
WE OPERATE A CENTRE OF
EXCELLENCE MODEL, AND THIS
REQUIRES US TO ACT AS A
SINGLE, SEAMLESSLY CONNECTED
ORGANISATION, WHILE DRAWING
ON THE UNIQUE EXPERTISE FROM
ACROSS THE GLOBE.
“We operate a centre of excellence model, and this
requires us to act as a single, seamlessly connected
organisation, while drawing on the unique expertise
from across the globe. Our team in Europe has fantastic
manufacturing processes that we collaborate into, as our
skillset in New Zealand is quite different. For example, we
have world-first vision and control engineers located in
Dunedin, who collaborate globally where needed,” says
Casey Jenkins, Director of Marketing and People.
The Engineering Scott to High Performance strategy has
really helped Scott’s people to understand the business
mission, vision and values. Ensuring their global teams
understood the unique and important role they play in
delivering the 2025 strategy was an important step to
ensuring successful collaboration across the regions.
“The One Team approach extends across all countries we
operate in,” says Jenkins. “We operate global project teams
in many areas, including ESG and safety and wellbeing.
Having our regional teams involved in developing
our strategies provides greater engagement, deeper
collaboration and, ultimately, better outcomes.”
Scott Technology Limited
Page 24

Appliance line during manufacturing in Qingdao, China.
Annual Report 2022
Page 25

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Customer satisfaction
We will achieve leading
customer satisfaction
scores.
We will support our
customers to enable
them to achieve their
sustainability goals.
Financial performance
We will deliver
long-term
profitable growth
for our employees,
shareholders and
customers.
Sustainable
procurement
Demonstrate leadership
in sustainable
procurement practices.
Standardise our process
for evaluating new and
existing suppliers' ESG
compliance.
PLACE
Aaron Vanwalleghem
Regional Director Scott Europe
Casey Jenkins
Director of Marketing and People
Cameron Mathewson
Chief Financial Officer
PURPOSE
PEOPLE
Employee retention
We will develop the
careers of our team
with education and
training programmes.
1
Sustainable development goals - a set of global goals identified by The United Nations.
Employee safety
& wellbeing
We will provide
a workplace that
safeguards the health
and wellbeing of our
people.
Environmental
management
We will measure,
report and reduce
our greenhouse
gas (CHG) emissions.
We will reduce the
waste we create and
divert waste from
landfill.
We will select
renewable energy and
invest in energy efficient
processes across our
business.
Global recruitment
Build high-performing
teams that align with
our One Team culture.
Diversity & inclusion
We are committed
to diversity and a
culture of inclusion
in our workplace and
will ensure equitable
opportunities for
employees.
Strategic
Goals and
Objectives
Strategic
Goals and
Objectives
Our
Focus
Our
Focus
SDGS
1

Alignment
1
5
2
6
3
7
4
8
FOR PEOPLE, PLACE AND PURPOSE
LEADING A SUSTAINABLE FUTURE
Scott Technology Limited
Page 26

Scott Technology’s overarching sustainability pillars
of People, Purpose and Place, remain integral to the
business leading a sustainable future.
The three pillars have given Scott clarity, whilst pursuing
a long-term sustainable partnership with customers,
stakeholders and the wider community. Governed by the
Environmental, Social and Governance (ESG) Framework
that was developed in FY21, Chief Executive Officer, John
Kippenberger, says strides are being made against all three
pillars, through thoughtful alignment with the 2025 strategy.
“FY22 has seen us move forward from setting benchmarks
and baselines, to now making strong progress on delivering
outcomes for our People, Purpose and Place pillars. Scott is
making positive headway in these areas, and there has been
a significant cultural shift towards delivering sustainable
outcomes since our strategic programmes began.”
B7
LEADING A SUSTAINABLE FUTURE
DELIVERING ON SUSTAINABILITY, BEYOND
BENCHMARKS AND BASELINES
AS A GLOBAL BUSINESS,
IT IS IMPORTANT THAT OUR
SUSTAINABILITY GOALS REFLECT
THE DIVERSITY AND GEOGRAPHIES
OF OUR ENTIRE TEAM.
People is about building an engaged, diverse, and talented
workforce. For Scott to be able to deliver smart technology,
innovation and solutions globally, maintaining a skilled and
experienced workforce is key and this has been a focus over
the past year. This pillar is led by Director of Marketing and
People, Casey Jenkins. (FY22 Highlight: Be Safe, Be Well, Be
Scott, page 31.)
Purpose is about the commitment to growing a profitable
business that focuses on long-term growth and positive
shareholder return, combined with strong authentic customer
partnerships. This pillar is led by Chief Financial Officer,
Cameron Mathewson.
Place refers to being dedicated to creating a workplace
that supports responsible global business outcomes.
Scott recognises the role it needs to play in protecting our
environment and planet for future generations. This pillar
is led by President of Europe and North America, Aaron
Vanwalleghem. (FY22 Highlight: Environmental Management,
and Carbon Scoping, page 29.)
OUTLOOK
“We are proud of our ESG progress to date; however,
we recognise that we are still in the early days of our
sustainability journey and there are still many opportunities,”
says Kippenberger. “Measuring our carbon footprint has
been a standout area, while we maintain our commitment
to our people and our focus on employee retention and
engagement.”
Looking ahead, a key area of focus for Scott is diversity,
specifically focusing on encouraging a greater gender balance
into the fields of engineering and technology. Scott remains a
large supporter of robotics education through its sponsorship
of RoboCup Junior New Zealand, which is ultimately helping
establish career pathways, whilst growing the pipeline of
technology talent in New Zealand.
1
Sustainable development goals - a set of global goals identified by The United Nations.
“As a global business, it is important that our sustainability
goals reflect the diversity and geographies of our entire
team. Every site across the regions has employees involved
in our ESG projects and we attribute our success in these
areas to our people.”
The People pillar has become the core of Scott's business
and is synonymous with achieving its vision for a sustainable
future. The value of retaining a highly skilled and talented
workforce through quality engagement has been recognised
as a key focus area.
Scott team at Alliance Lourneville site, New Zealand.
Annual Report 2022
Page 27

We solve complex problems.
We build clever things.
We have a strong history.
We grow and learn together.
We’re Scott and proud of it.
SUSTAINABLE PROCUREMENT
Scott has focused on partnering with businesses
and suppliers that share the same commitments to
sustainability. To manage this, Scott has created a
Supplier Code of Conduct to ensure it is partnering
with businesses that share its value set, particularly
in the sustainability space. This is managed by an
auditing tool developed internally, that measures
suppliers against those core values. Casey Jenkins,
Director of Marketing and People, says, “We view
this as a partnership and collaborative opportunity
to achieve our own goals, while we support our
suppliers to achieve theirs, too.”
ONBOARDING
This year Scott undertook a review of its onboarding
process to align with the One Team strategic pillar.
“At Scott, it’s important that we set our people
up for success, and that begins with the welcome.
We have strong support structures in place from
recruitment, through to employment, ensuring
these processes are as seamless as possible and
everyone has a positive experience,” says Jenkins.
“Introducing our onboarding process to all our global
geographies has been a huge success, ensuring every
employee receives the same message in their local
language. Our onboarding surveys and 30, 60, and
90-day check-ins, are essential to the success of this
programme, and we ensure support and services are
offered to anyone who needs it.”
EMPLOYEE VALUE
PROPOSITION (EVP) – WE’RE
SCOTT AND PROUD OF IT
The business has worked on identifying what
makes Scott unique, an employer of choice and why
someone would want to join its team. Jenkins says,
“It’s beneficial to communicate thoughtfully and
highlight our rich history to potential employees,
acknowledging our presence for over 100 years and
the world-first projects our teams develop and work
on. At Scott, it is a priority to grow a talent base that
enriches our business and industry with highly skilled
and experienced people. Our sponsorship and support
of RoboCup New Zealand is an example of this.”
LEADING A SUSTAINABLE FUTURE
SNAPSHOTS OF WORK PROGRAMMES
COMMENCED IN FY22
EMERGING DIRECTOR
Scott is excited to welcome Emerging Director, Penny
Ford, with her experience and ideas to the board,
and to be able to provide governance pathways and
opportunities for aspiring directors.
Scott Technology Limited
Page 28

LEADING A SUSTAINABLE FUTURE
DELIVERING FOR OUR
PLANET: UNDERSTANDING
OUR CARBON EMI S SION S
In 2021, Scott Technology, with support from
New Zealand-based sustainability experts, Tadpole,
embarked on a project to measure and understand its
carbon emissions across the global business.
Europe and ANZ (Australia and New Zealand) were selected
as the initial markets for scoping, capturing 70% of the
business, with China and the US to follow in FY23.
Getting the business engaged in the process was the initial
priority for Scott. Regional Director Scott Europe, Aaron
Vanwalleghem, says that having people understand the
‘why’ was an important foundation.
WE’RE EXTREMELY PROUD OF
HOW OUR PEOPLE REALLY GOT
BEHIND OUR DESIRE TO DO
BETTER AS A BUSINESS.
“Working with Tadpole, we ran a series of educational
workshops that our employees could attend. We gave
an overview of global warming, greenhouse gases, local
context, what governments are doing and ended with
how Scott is going to play its part in the long-term future
of our planet.”
Smaller teams in each market were then engaged in the
boundary-setting process. Following the ISO 14064-1
Standard for the quantification and reporting of
greenhouse gas emissions and removals, this involved
understanding each market’s physical boundaries and
emissions sources. The output was a clear plan for exactly
what data was needed to be collected by each market.
“Because 2020 and 2021 were impacted by COVID-19, we
needed to use FY19 as our base year for data collection to
present the most accurate picture of a typical operating
year,” says Vanwalleghem.
Scott measured three types of emissions: direct
greenhouse gas (GHG) emissions (Scope 1), indirect GHG
emissions from purchased energy (Scope 2) and indirect
GHG emissions from other sources (Scope 3). The specific
emissions sources are detailed in the table below.
Scope 1
Direct
greenhouse
gas (GHG)
emissions
• Transport fuel combusted in
Scott leased and owned vehicles
• Transport fuel combusted in
rental vehicles
• Fuel used in forklifts
• Stationary fuel used in
appliances or equipment
• Refrigerant gases
Scope 2
Indirect GHG
emissions from
purchased
energy
• Electricity used in buildings
and for electric forklifts (where
relevant)
Scope 3
Indirect GHG
emissions from
other sources
• Domestic and international air
travel
• Accommodation associated
with business travel or project
installations
• Manufacturing raw materials
• Purchased packaging
• Contracted services (use of
contractors)
• Treatment of waste
• Distribution / line losses
(electricity + gas)
• Well to tank fuel emissions
Annual Report 2022
Page 29

Transport fuel
19%
St a�onary fuel
4%
Ele ctric it y
28%
Mat erials
7%
Pac kaging
2%
Waste
2%
Busin ess travel
36%
Transfers
2%
Transport fuel
27%
St a�onary fuel
6%
Ele ctric it y
17%
Mat erials
36%
Pac kaging
1%
Waste
4%
Busin ess travel
5%
Contrac tors
4%
“Collecting the required data and doing so retrospectively,
was a big undertaking,” says Vanwalleghem. “We’re
extremely proud of how our people really got behind our
desire to do better as a business. The collection process
required commitment and effort from many people
from right across the business, additional to their usual
responsibilities, to enable us to understand our carbon
footprint. The engagement has been incredible, and we’d
like to thank and recognise the many people who have
contributed.”
As with anything new, there were a few challenges along
the way. “While using FY19 as a baseline made complete
sense to eliminate the pandemic factor, it also presented
some limitations,” continues Vanwalleghem. “Freight data
included in our preliminary carbon footprint is limited
to transfers between our sites. Going forward, we have
developed a process that will capture inwards and outwards
freight data. These emissions will be included in our 2023
carbon footprint.”
External audit partners in Europe and ANZ have verified
the processes and data used to develop Scott’s preliminary
carbon footprints, see below.
date, we have already recognised some opportunities
for reduction improvements. For example, our electricity
usage, air travel, accommodation and travel in company
cars. These will be obvious starting points in our emissions
reduction plan.”
The business anticipates that the remaining carbon
footprints for China and US will be completed and verified
by the end of 2022.
By mid FY23, Scott will be in a strong position to share the
carbon footprint for the total Scott business, as well as our
objectives and actions for reduction.
WE HAVE MEASURED
OUR EMISSIONS TO BETTER
UNDERSTAND THE SCALE OF
OUR CARBON FOOTPRINT,
THE IMPACT OF OUR ACTIONS
AND, ULTIMATELY, TO IDENTIFY
OUR OPPORTUNITIES FOR
IMPROVEMENT.
TASKFORCE ON CLIMATE-RELATED
FINANCIAL DISCLOSURES (TCFD)
REPORTING
At Scott we recognise the need for climate-related
disclosures and the long-term value created by better
managing our climate-related risks and opportunities.
We have measured the GHG emissions of our
operations in New Zealand, Australia and Europe and
had these independently assured. The next key step
is for us to clearly establish our climate-related risks
and opportunities and report these in line with the
requirements of the Task Force on Climate-related
Financial Disclosures (TCFD) and New Zealand’s
External Reporting Board (XRB).
In next year’s report, we will provide more information
about Scott’s climate-related risks and opportunities,
how they affect us and, in turn how our operations
affect climate change. This will include scenario
analysis, our process to implement and identify
risks and how we integrate this into the overall risk
management framework. We will also identify and
report the key metrics associated with our most
material climate impacts.
FY19 GHG EMISSIONS FOOTPRINT
“We have measured our emissions to better understand
the scale of our carbon footprint, the impact of our
actions and, ultimately, to identify our opportunities
for improvement. From the work we have completed to
ANZ
1,801 t CO2e
( verified)
Europe
2,736 t CO2e
( verified)
Scott Technology Limited
Page 30

B7
LEADING A SUSTAINABLE FUTURE
DELIVERING FOR OUR
PEOPLE: BE SAFE, BE WELL,
BE SCOTT
Driving a high-performance safety culture is key to
delivering long-term positive outcomes for Scott
Technology. In FY22, the organisation’s safety and
wellbeing strategy has continued to be championed by
the people of Scott, which Director of Marketing and
People, Casey Jenkins, believes is a huge contributing
factor to why the health and safety metrics show
great improvement.
“From the beginning, we wanted our people to drive the
development of our health and safety strategy. To do this,
all our sites workshopped what safety and wellbeing meant
to them and what they expected from our business. Through
this process, the Be Safe, Be Well, Be Scott concept was born
and our six safety expectations were set.
"Having our teams so heavily involved in the development
phase created a real sense of excitement when it came time
to launch the programme. From here, we have supported the
programme with people-focused policies and tools, such as
our ‘Be Scott’ reporting software."
The app has made health and safety reporting significantly
quicker and easier for Scott’s employees and the results are
tangible. Near-miss reporting has increased by 75%, while the
lost-time severity rate has decreased by 60% in this financial
year. To reward and recognise positive behaviours and
leadership in the safety and wellbeing space, Scott has rolled
out the Safe Mate programme globally. This is a people-led
initiative where colleagues can nominate each other for the
award, with one outstanding Safe Mate awarded each month
at each site.
“Be Safe, Be Well, Be Scott has resulted in a significant
culture shift and our teams have been highly engaged
with it. Standouts in this space have been the vision and
branding, bespoke software, the health and safety video, and
performance reporting across the board. The performance
indicators speak for themselves in terms of our lead and lag
reporting, lost-time injuries and reduction in severity rates.
We are a people-led business and our safety and wellbeing
is incredibly important.
In December we are holding our second Stop for Safety
event,” adds Jenkins “We’ll touch on highlights from
2022, acknowledge our people and celebrate some of
our standout achievements from across the Group. It’s
really important to us that we continue to celebrate
success as we drive towards providing the safest working
environment possible.”
Filming of the safety & wellbeing induction video at Scott Charlotte, USA.
Annual Report 2022
Page 31

Al Byers
Director
Stuart McLauchlan
Chairman and Independent Director
Full profiles available on the Scott website at scottautomation.com/en/investor-centre/governance
B7
LEADERSHIP AND GOVERNANCE
OUR BOARD
John Kippenberger
Chief Executive Officer
Brent Eastwood
Director
John Berry
Director
Derek Charge
Independent Director

John Thorman

Independent Director
Penny Ford
Emerging Director
Scott Technology Limited
Page 32

LEADERSHIP AND GOVERNANCE
OUR BOARD
KEY
Accounting policy
Key judgements and
other judgements made
INDEX TO THE FINANCIAL STATEMENTS
C. Capital and funding
63
C1. Share capital63
C2. Earnings and net tangible assets per share63
C3. Borrowings64
C4. Trade creditors and accruals65
C5. Leases66
C6. Employee benefits68
C7. Provision for warranty68
C8. Performance-based compensation69
C9. Onerous contract provision69
D. Risk management70
D1. Financial instruments70
E. Group structure and subsidiaries77
E1. Acquisition of business77
E2. Subsidiaries78
E3. Investments accounted for using
the equity method
79
E4. Related party transactions81
E5. Discontinued operations82
F. Other disclosures83
F1. Notes to the consolidated statement of
cash flows
83
F2. Contingent liabilities85
F3. Key management personnel compensation85
F4. Subsequent events85
Independent auditor’s report
86
Consolidated statement of comprehensive income34
Consolidated statement of changes in equity
35
Consolidated balance sheet
36
Consolidated statement of cash flows
37
Notes to the consolidated financial statements
38
Summary of accounting policies
38
A. Financial performance
41
A1. Revenue from contracts with
customers and operating expenses
41
A2. Income taxes47
A3. Segment information49
B. Assets
51
B1. Trade debtors51
B2. Inventories53
B3. Contract assets / liabilities54
B4. Property, plant and equipment55
B5. Goodwill56
B6. Intangible assets59
B7. Research and development costs61
B8. Development assets61
FINANCIAL REPORT
For the year ended 31 August 2022

Annual Report 2022
Page 33

Scott Technology Limited
Page 34
20222021
$'000s$'000s
Notes(restated)
RevenueA1
221,757
206,030
Other operating incomeA1 2,003
2,118
Share of joint ventures’ net surplusE3 329
796
Raw materials, consumables used and operating expensesA1 (130,425)
(126,164)
Employee benefits expense
(69,746)
(61,813)
OPERATING EARNINGS BEFORE INTEREST, TAX, DEPRECIATION
AND AMORTISATION (EBITDA)
23,918 20,967
Interest revenue 560 102
Depreciation and amortisationB4, B6, C5 (8,053) (8,796)
Finance costs (1,508) (1,380)
NET PROFIT BEFORE TAX
14,917 10,893
Taxation (expense)A2
(2,260) (2,471)
NET PROFIT FOR THE YEAR AFTER TAX FROM CONTINUING OPERATIONS
12,657 8,422
(Loss) / Profit from discontinued operation (net of income tax)E5 (12,567) 1,105
NET PROFIT FOR THE YEAR AFTER TAX 90 9,527
Other Comprehensive Income/(Loss)
Items that may be reclassified to profit or loss:
Translation of foreign operations 4,822 (3,370)
TOTAL COMPREHENSIVE INCOME / (LOSS) FOR THE YEAR NET OF TAX
4,912
6,157
Net profit/(loss) for the year after tax from continuing operations is attributable to:
Members of the parent entity (used in the calculations of earnings per share) 12,639 8,519
Non-controlling interests 18 (97)
12,657 8,422
Total comprehensive income/(loss) is attributable to:
Members of the parent entity 4,894 6,254
Non controlling interests
18
(97)
4,912 6,157
Total comprehensive income/(loss) attributable to members of the parent entity arises from:
Continuing operations 17,479 5,052
Discontinued operations (12,567) 1,105
4,912 6,157
Cents per shareCents per share
Earnings per share to shareholders from continuing operations (weighted average shares on issue):
BasicC2 15.9 10.8
DilutedC2 15.9 10.8
For the year ended 31 August 2022
CONSOLIDATED STATEMENT
OF COMPREHENSIVE INCOME

Annual Report 2022
Page 35
For the year ended 31 August 2022
CONSOLIDATED STATEMENT
OF COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT OF
CHANGES IN EQUITY
For the year ended 31 August 2022

Fully paid
ordinary
shares
Retained
earnings
Foreign
currency
translation
reserve
Non-
controlling
interestsTotal
Notes$’000s$’000s$’000s$’000s$’000s
Balance at 31 August 2020 81,822 11,516 (391) (207) 92,740
Net profit / (loss) for the year after tax - 9,624 - (97) 9,527
Other comprehensive (loss) for the
year net of tax
- - (3,370) - (3,370)
Dividends paid (2.0 cents per share) - (1,581) - - (1,581)
Issue of shares under dividend
reinvestment plan
C1 879 - - - 879
Balance at 31 August 2021 82,701 19,559 (3,761) (304) 98,195
Net profit for the year after tax - 72 - 18 90
Other comprehensive income for the
year net of tax
- - 4,822 - 4,822
Dividends paid (8.0 cents per share) - (6,315) - - (6,315)
Issue of shares under dividend
reinvestment plan
C1 3,614 - - - 3,614
Balance at 31 August 2022 86,315 13,316 1,061 (286) 100,406

Scott Technology Limited
Page 36
20222021
Notes$’000s$’000s
Current assets
Cash and cash equivalents
8,478 12,242
Trade debtors
B1 40,003 27,485
Other financial assets
D1 938 663
Sundry debtors
5,251 5,170
Inventories
B2 31,328 23,125
Contract assets
B3 18,073 24,487
Receivable from joint ventures
E4 431 -
Tax receivable
881 -
TOTAL CURRENT ASSETS 105,383 93,172
Non-current assets
Property, plant and equipmentB4 17,112 17,741
Investment in joint venturesE3 677 348
Other financial assetsD1 99 37
Sundry debtors 4,608 -
GoodwillB5 50,117 55,171
Deferred taxA2 3,365 5,428
Intangible assetsB6 7,158 10,874
Development assetsB8 8,837 2,210
Right-of-use assetsC5 9,532 9,523
TOTAL NON-CURRENT ASSETS 101,505 101,332
TOTAL ASSETS 206,888 194,504
Current liabilities
Bank overdraft
4,543 -
Trade creditors and accruals
C4 35,102 30,095
Lease liabilities
C5 3,290 2,900
Other financial liabilities
D1 1,291 714
Contract liabilities
B3 26,307 22,739
Employee entitlements
C6, C8 9,369 8,282
Provision for warranty
C7 1,323 1,230
Taxation payable
- 1,236
Payable to joint ventures
E4 - 108
Current portion of borrowings
C3 945 737
Deferred settlement on purchase of business
E1 - 1,327
Onerous contracts provision
C9 5,241 7,962
TOTAL CURRENT LIABILITIES 87,411 77,330
Non-current
liabilities
Other financial liabilitiesD1 182 696
Employee entitlementsC6, C8 719 712
Lease liabilitiesC5 7,145 7,388
BorrowingsC3 11,025 10,183
TOTAL NON-CURRENT LIABILITIES 19,071 18,979
Equity
Share capitalC1 86,315 82,701
Retained earnings 13,316 19,559
Foreign currency translation reserve 1,061 (3,761)
Equity attributable to equity holders of the parent 100,692 98,499
Non-controlling interests (286) (304)
TOTAL EQUITY 100,406 98,195
TOTAL LIABILITIES AND EQUITY 206,888 194,504
As at 31 August 2022
CONSOLIDATED BALANCE SHEET

20222021
Notes$’000s$’000s
Cash flows from
operating activities
Cash was provided from / (applied to):
Receipts from operations 224,625 208,146
Interest received 560 102
COVID-19 wage subsidies received 436 591
Payments to suppliers and employees (217,713) (194,583)
Taxation paid (1,600) (830)
Net cash inflow from operating activitiesF1 6,308 13,426
Cash flows to
investing activities
Cash was provided from / (applied to):
Purchase of property, plant, equipment and intangible assets (2,312) (2,303)
Sale of property, plant and equipment 877 209
Divestment of joint venture - 1,215
Sale of HTS-110 - 768
Purchase of development assetB8 (6,574) (2,210)
Purchase of businessE1 (705) (457)
Proceeds from discontinued operations 896 -
Net cash (outflow) from investing activities (7,818) (2,778)
Cash flows to
financing activities
Cash was provided from / (applied to):
Repayment of borrowings (1,599) (10,175)
Dividends paid (less amount reinvested the dividend
reinvestment scheme)
(2,686) (702)
Proceeds from borrowings 2,396 10,119
Lease payments (3,392) (4,007)
Interest paid (1,516) (1,386)
Net cash (outflow) from financing activities (6,797) (6,151)
Net (decrease) / increase in cash held (8,307) 4,497
Add cash and cash equivalents at start of year 12,242 7,745
Balance at end of year 3,935 12,242
Comprised of:
Cash and cash equivalents 8,478 12,242
Bank overdraft (4,543) -
3,935 12,242
Annual Report 2022
Page 37
As at 31 August 2022
CONSOLIDATED BALANCE SHEET
CONSOLIDATED STATEMENT OF CASH FLOWS
For the year ended 31 August 2022

BASIS OF PREPARATION
The financial statements have been prepared on the basis
of historical cost except for the revaluation of certain
financial instruments.
Cost is based on the fair value of the consideration given in
exchange for assets.
Accounting policies are selected and applied in a manner
that ensures that the resulting financial information
satisfies the concepts of relevance and reliability, thereby
ensuring that the substance of the underlying transactions
or other events is reported.
The accounting policies set out below have been applied in
preparing the financial statements for the year ended
31 August 2022 and the comparative information
presented in these financial statements for the year
ended 31 August 2021.
There have been no changes in accounting policy during
the year.
The information is presented in thousands of New
Zealand dollars, which is the functional currency of the
Company and the presentation currency of the Group.
CRITICAL JUDGEMENTS,
ESTIMATES AND ASSUMPTIONS
In the application of NZ IFRS the Directors are required
to make judgements, estimates and assumptions about
SUMMARY OF
ACCOUNTING POLICIES
STATEMENT OF COMPLIANCE
The consolidated financial statements presented are
those of Scott Technology Limited ('Company') and its
subsidiaries ('Group').
The Company is a profit oriented entity, registered in New
Zealand under the Companies Act 1993. The Company is
an FMC reporting entity for the purposes of the Financial
Markets Conduct Act 2013 and its annual financial
statements comply with these Acts.
The Group’s principal activities are the design,
manufacture, sales and servicing of automated and robotic
production lines and processes for a wide variety of
industries in New Zealand and abroad.
The financial statements have been prepared in
accordance with New Zealand Generally Accepted
Accounting Practice ('NZ GAAP') and, for the purposes of
complying with GAAP, it is a for-profit entity. They comply
with New Zealand equivalents to International Financial
Reporting Standards ('NZ IFRS') and other applicable
financial reporting standards as appropriate for profit
oriented entities. The financial statements also comply
with International Financial Reporting Standards ('IFRS').
The financial statements were authorised for issue by the
Board of Directors on 18 October 2022.
NOTES TO AND FORMING PART OF THE
CONSOLIDATED FINANCIAL STATEMENTS

Rocklabs Certified Reference Materials
in production in Auckland, New Zealand.
Scott Technology Limited
Page 38

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
NOTES TO AND FORMING PART OF THE
CONSOLIDATED FINANCIAL STATEMENTS
carrying values of assets and liabilities that are not readily
apparent from other sources. The estimates and associated
assumptions are based on historical experience and various
other factors that are believed to be reasonable under
the circumstances, the results of which form the basis of
making the judgements. Actual results may differ from
these estimates.
The estimates and underlying assumptions are reviewed
on an ongoing basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised.
If the revision affects only that period or in the period of
the revision and future periods if the revision affects both
current and future periods.
Judgements made by the Directors in the application
of NZ IFRS that have significant effects on the financial
statements and estimates with a significant risk of material
adjustments in the next year include:
• Estimating the percentage of completion for systems
contracts (note A1)
• Provisions for losses relating to contract assets (note B3)
• Goodwill impairment (note B5)
• Capitalisation of development assets (note B8).
SIGNIFICANT ACCOUNTING
POLICIES
The principal accounting policies applied in the preparation
of the financial report are set out within the particular note
to which they relate. These policies have been consistently
applied unless otherwise stated.
CONSOLIDATION OF
SUBSIDIARIES
The consolidated financial statements incorporate
the financial statements of the Company and entities
controlled by the Company and its subsidiaries. Control is
achieved when the Company:
• has power over the investee;
• is exposed, or has rights, to variable returns from its
involvement with the investee; and
• has the ability to use its power to affect its returns.
The Group financial statements are prepared by combining
the financial statements of all the entities that comprise the
Group, being the Company and its subsidiaries as defined
by NZ IFRS 10 Consolidated Financial Statements. Consistent
accounting policies are employed in the preparation and
presentation of the Group financial statements.
All intra-group transactions, balances, income and expenses
are eliminated on consolidation.
On acquisition, the assets, liabilities and contingent
liabilities of a subsidiary are measured at their fair values at
the date of acquisition. Any excess of the cost of acquisition
over the fair values of the identifiable net assets acquired
is recognised as goodwill. Any deficiency of the cost of
acquisition below the fair values of the identifiable net
assets acquired (i.e. discount on acquisition) is credited to
profit and loss in the period of acquisition.
The results of subsidiaries acquired or disposed of during
the year are included in the consolidated statement
of comprehensive income from the effective date of
acquisition, or up to the effective date of disposal, as
appropriate.
STANDARDS AND
INTERPRETATIONS EFFECTIVE
IN THE CURRENT PERIOD
The Group has adopted all mandatory new and amended
standards and interpretations. None had a material impact
on these financial statements.
STANDARDS AND
INTERPRETATIONS IN ISSUE
NOT YET ADOPTED
At the date of authorisation of the consolidated financial
statements certain new standards and interpretations to
existing standards have been published but are not yet
effective and have not been adopted early by the Group.
Of these, amendments to NZ IAS 37 Onerous Contracts -
Cost of Fulfilling a Contract and Amendment to NZ IAS 12
are assessed as relevant to the Group. The forthcoming
requirements of Amendments to NZ IAS 37 requires
the onerous contract costs to include both incremental
costs and an allocation of other direct costs (overheads).
Amendment to NZ IAS 12 clarifies the deferred tax
treatment of certain transactions. The amendments will
have no material impact on the Group.
Management anticipates that all pronouncements will be
adopted in the first accounting period beginning on, or after,
the effective date of the new standard.
Summary of accounting policies continued
Annual Report 2022
Page 39

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
RECLASSIFICATIONS
Segments and Cash-generating Units (CGUs)
The previous reporting segment and CGU of Australasia
has been split in the second half of the 2022 financial
year into the new segments and CGUs of Australia
and New Zealand. As a result of a number of changes
in the Executive and Leadership Teams in 2022, the
responsibilities of the global team were updated to
align with the revised Group structure and associated
responsibilities. Regional Directors have oversight and
responsibility for the redefined segments and CGUs of
Australia, New Zealand, America, Europe and China. All
internal reporting has been aligned to these revised
segments and CGUs.
As a result of the split of Australia and New Zealand, the
2021 reported segments and CGUs of Australia and New
Zealand have been split out in notes A1 Revenue, A3
Segment information, B1 Trade Debtors and B5 Goodwill
in order to report comparative figures for the new
segments / CGUs of Australia and New Zealand.
GOODS AND SERVICES TAX AND
VALUE ADDED TAX ('GST')
All items in the consolidated balance sheet are stated
exclusive of GST, with the exception of receivables and
payables, which include GST. All items in the consolidated
statement of comprehensive income are stated exclusive
of GS T.
Cash flows are included in the consolidated statement
of cash flows on a net basis. The GST component of cash
flows arising from investing and financing activities that is
recoverable from, or payable to, the taxation authority is
classified as operating cash flows.
FOREIGN CURRENCIES
The individual financial statements of each group entity
are presented in the currency of the primary economic
environment in which the entity operates, which is its
functional currency. For the purpose of the consolidated
financial statements, the results and position of each Group
entity are expressed in New Zealand dollars, which is the
functional currency of the Company and the presentation
currency for the consolidated financial statements.
In preparing the financial statements of each individual
Group entity, transactions in currencies other than the
entity's functional currency are recognised at the rates
of exchange prevailing at the dates of the transactions.
At the end of each reporting period, monetary items
denominated in foreign currencies are retranslated at the
rates prevailing at that date.
For the purposes of presenting these consolidated financial
statements, the assets and liabilities of the Group's foreign
operations are translated into New Zealand dollars using
exchange rates prevailing at the end of each reporting
period. Income and expense items are translated at the
average exchange rates for the period, unless exchange
rates fluctuate significantly during that period, in which
case the exchange rates at the dates of the transactions are
used. Exchange differences arising, if any, are recognised in
other comprehensive income and accumulated in equity,
and attributed to non-controlling interests as appropriate.
NON-GAAP FINANCIAL
INFORMATION
The Group uses operating earnings / (loss) before interest,
tax, depreciation and amortisation (EBITDA), and net
tangible assets per ordinary shares, to describe financial
performance as it considers these line items provide a
better measure of underlying business performance.
These non-GAAP measures do not have a standard
meaning prescribed by GAAP and therefore may not be
compatible to similarly titled amounts reported by other
entities.
Summary of accounting policies continued
Scott Technology Limited
Page 40

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Policy
Revenue on fixed-price contracts is recognised over
the term of the contract period using the input
method based on percentage of completion. At
balance date an assessment is made of the percentage
of completion based on the costs associated with the
work done to date relative to the total forecast cost to
complete. Included in revenue is the value attributed
to work completed, which includes direct costs,
overhead and profit, where this is allowable under the
contract. Scope variations that may potentially lead to
additional revenue are only recognised when certain.
The customer is obligated to pay a fixed amount
when a contractual milestone is met. At this time, a
receivable is recognised as the invoice is raised. If the
revenue recognised by the Group exceeds the amounts
invoiced, a contract asset is recognised. If the amounts
invoiced exceed the revenue recognised, a contract
liability is recognised. The transaction price is the fixed-
price per the contract.
The incremental costs to obtain a contract where the
contract period is less than 12 months is expensed
to the profit and loss under the practical expedient
provisions of IFRS 15.
The Group’s obligation to repair or replace faulty
products under the standard warranty terms is
recognised as a provision (see note C7).
Judgement
The estimation of percentage of completion relies on
the Directors estimating costs to complete systems
contracts. If the costs incurred to complete the
systems contracts differ from the estimates completed
by management, the Directors could be over or under
estimating the percentage of completion on the
project, and consequently revenue and profit to date
may also be over or under estimated.


Revenue recognition – products
The Group manufactures and sells a range of standalone automation and robotic equipment for use in a wide range of
industries, including:
• Rock crushers, pulverisers, ringmills and reference materials under the 'Rocklabs' brand for use by mining companies
and laboratories
• Bandsaw safety equipment under the 'BladeStop' brand, primarily for use by meat processors.

(A) ACCOUNTING POLICIES AND SIGNIFICANT JUDGEMENTS
The Group derives revenue from the following sources:
• Systems
• Products
• Services.
Revenue recognition – systems
The Group designs, manufactures and sells customised automation and robotic systems for use in a wide range of industries
under fixed-price contracts. The contracts are often for periods in excess of twelve months, although shorter periods can also
apply. These contracts are specific to each customer and the Group is restricted by these contracts in its ability to redirect
the products to another customer. The Group, through these contracts, has an enforceable right to payment when agreed
milestones are met for performance completed up to a point in time.

A1
SECTION A: FINANCIAL PERFORMANCE
A1. REVENUE FROM CONTRACTS WITH
CUSTOMERS AND OPERATING EXPENSES
Annual Report 2022
Page 41

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Policy
Revenue is recognised in full at a point in time when
control of the products has transferred, being either
when the products are shipped to, or received by, the
customer, or installed at the customer’s premises,
depending on the terms of the contract.
A receivable is recognised when either a deposit
is due on receipt of a customer’s order or when
Policy
Revenue under service contracts is recognised
at a point in time when the service is delivered
or performed, depending on the terms of the
contract.

the products are shipped to the customer, as
this is the point in time that the consideration is
unconditional because only the passage of time is
required before the payment is due.
The Group’s obligation to repair or replace faulty
products under the standard warranty terms is
recognised as a provision (see note C7).

Revenue recognition – services
The Group earns revenue from after sales service activities associated with the equipment manufactured and sold by the
Group, including spare parts, repairs, routine or scheduled maintenance, upgrades, remote monitoring and the operation
of a 24/7 helpline. Most of these activities are on an ad hoc, as required basis, while some of these activities are covered
by an agreement for services to be provided over a specified period of time.

The Group’s obligation to repair or replace faulty
products under the standard warranty terms is
recognised as a provision (see note C7).

Disaggregation of revenue from contracts with customers
The Group derives revenue from the transfer of goods and services over time and at a point in time in the following
major geographic manufacturing regions (segments) and revenue streams. This is consistent with the revenue
information disclosed for each reportable segment under NZ IFRS 8 Operating Segments, (see note A3).

A1. Revenue from contracts with customers and operating expenses continued
Scott Technology Limited
Page 42

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
A1. Revenue from contracts with customers and operating expenses continued
Annual Report 2022
Page 43
Year Ended 31 August 2022
Systems Products Services Total
$’000s $’000s $’000s
$’000s
New Zealand
manufacturing
Segment revenue
32,308 28,296 18,070
78,674
Inter-segment transactions
(23,282) (4,526) 82
(27,726)
Revenue from external customers
9,026 23,770 18,152
50,948
Timing of revenue recognition
- At a point in time
- 23,770 18,152
41,922
- Over time
9,026 - -
9,026
9,02623,77018,152
50,948
Australia
manufacturing
Segment revenue
20,656 14,642 9,574
44,872
Inter-segment transactions
15,249 (1,915) (1,536)
11,798
Revenue from external customers
35,905 12,727 8,038
56,670
Timing of revenue recognition
- At a point in time
- 12,727 8,038
20,765
- Over time
35,905 - -
35,905
35,90512,7278,038
56,670
Americas
manufacturing
Segment revenue
11,020 3,669 10,817
25,506
Inter-segment transactions
19,985 5,709 1,264
26,958
Revenue from external customers
31,005 9,378 12,081
52,464
Timing of revenue recognition
- At a point in time
- 9,378 12,081
21,459
- Over time
31,005 - -
31,005
31,005 9,378 12,081
52,464
Europe
manufacturing
Segment revenue
36,669 7,164 18,579
62,412
Inter-segment transactions
(5,181) 459 195
(4,527)
Revenue from external customers
31,488 7,623 18,774
57,885
Timing of revenue recognition
- At a point in time
- 7,623 18,774
26,397
- Over time
31,488 - -
31,488

31,488 7,623 18,774
57,885
China
manufacturing
Segment revenue
9,993 295 5
10,293
Inter-segment transactions
(6,771) 273 (5)
(6,503)
Revenue from external customers
3,222 568 -
3,790
Timing of revenue recognition
- At a point in time
- 568 -
568
- Over time
3,222 - -
3,222
3,222 568 -
3,790
Total
manufacturing
Segment revenue
110,64654,06657,045
221,757
Inter-segment transactions
- - -
-
Revenue from external customers
110,646 54,066 57,045
221,757
Timing of revenue recognition
- At a point in time
- 54,066 57,045
111,111
- Over time
110,646 - -
110,646
110,64654,06657,045
221,757

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Scott Technology Limited
Page 44
Year Ended 31 August 2021
Systems Products Services Total
$’000s $’000s $’000s
$’000s
New Zealand
manufacturing
(restated)
Segment revenue26,500 19,885 12,270
58,655
Inter-segment transactions (12,534) (2,423) 2,176
(12,781)
Revenue from external customers13,966 17,462 14,446
45,874
Timing of revenue recognition
- At a point in time - 17,462 14,446
31,908
- Over time13,966 - -
13,966
13,96617,46214,446
45,874
Australia
manufacturing
(restated)
Segment revenue34,850 13,564 7,656
56,070
Inter-segment transactions 13,050 (2,238) (697)
10,115
Revenue from external customers47,900 11,326 6,959
66,185
Timing of revenue recognition
- At a point in time - 11,326 6,959
18,285
- Over time47,900 - -
47,900
47,90011,3266,959
66,185
Americas
manufacturing
(restated)
Segment revenue8,702 4,809 9,495
23,006
Inter-segment transactions1,118 4,560 (1,639)
4,039
Revenue from external customers9,820 9,369 7,856
27,045
Timing of revenue recognition
- At a point in time - 9,369 7,856
17,225
- Over time9,820 - -
9,820
9,820 9,369 7,856
27,045
Europe
manufacturing
Segment revenue34,403 3,770 17,076 55,249
Inter-segment transactions (1,510) 82 160 (1,268)
Revenue from external customers32,893 3,852 17,236 53,981
Timing of revenue recognition
- At a point in time - 3,852 17,236 21,088
- Over time32,893 - - 32,893
32,893 3,852 17,236 53,981
China
manufacturing
Segment revenue12,542 508 - 13,050
Inter-segment transactions (124) 19 - (105)
Revenue from external customers12,418 527 - 12,945
Timing of revenue recognition
- At a point in time - 527 - 527
- Over time12,418 - - 12,418
12,418 527 - 12,945
Total
manufacturing
Segment revenue116,99742,53646,497
206,030
Inter-segment transactions - - -
-
Revenue from external customers116,997 42,536 46,497
206,030
Timing of revenue recognition
- At a point in time - 42,536 46,497
89,033
- Over time 116,997 - -
116,997
116,99742,53646,497
206,030
A1. Revenue from contracts with customers and operating expenses continued

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Revenue recognised in relation to contract liabilities
The following table shows how much of the revenue recognised in the current reporting period relates to carried
forward contract liabilities and how much relates to performance obligations that were satisfied in a prior year.
Revenue recognised included in the contract liability balance at the beginning of the period.
20222021
$’000s$’000s
Fixed-price contracts for long-term projects 13,068 15,409
There was no revenue recognised from performance obligations satisfied in previous periods on long-term projects.
Unsatisfied long-term fixed-price project contracts
The following table shows unsatisfied performance obligations resulting from fixed-price long-term project contracts.
20222021
$’000s$’000s
Aggregate amount of the transaction price allocated to long-term fixed-price project
contracts that are partially or fully unsatisfied as at 31 August
71,580 71,302
Management expects that 89% of the transaction price allocated to the unsatisfied contracts as of 31 August 2022 will
be recognised as revenue during the next reporting period ($64 million) (2021: 94% of the transaction price allocated
to the unsatisfied contracts as of 31 August 2021 will be recognised as revenue during the next reporting period
($67 million)). The remaining 11% ($8 million) (2021: 6% ($4 million)) will be recognised in the following financial year.
(B) OTHER OPERATING INCOME
Government grants
Policy
Government grants are not recognised until
there is reasonable assurance that the Group will
comply with the conditions attaching to them and
that the grants will be received.
Government grants are recognised as other
income over the periods necessary to match
them with the costs for which they are
intended to compensate, on a systematic basis.
Government grants that are receivable as
compensation for expenses or losses already
incurred, or for the purpose of giving immediate
financial support to the Group with no future
related costs, are recognised in profit or loss in
the period in which they become receivable.
The Group receives grant revenue related to research and development through its Australian subsidiary Scott
Automation and Robotics Pty Ltd. Any tax credits claimed are offset against any tax expense.
A1. Revenue from contracts with customers and operating expenses continued
20222021
$’000s$’000s
Rental income 230 74
Government grants related to research and development 1,156 625
COVID-19 wage subsidies 426 1,351
Other Government grants 142 -
Gain on sale of property, plant and equipment 49 68
2,003 2,118
Annual Report 2022
Page 45

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Government wage subsidies and wage support were claimed in New Zealand by Scott Technology NZ Limited, as a result
of COVID-19 and the impact on the New Zealand business. The total of the subsidies recognised as revenue in 2022 was
$0.4 million (2021: $1.4 million).
(C) INCLUDED IN RAW MATERIALS, CONSUMABLES AND OPERATING EXPENSES
20222021
$’000s$’000s
Audit services:
Deloitte Limited
Group audit 484 412
Other assurance services - -
Total remuneration for audit services 484 412
Non-audit services:
Deloitte Limited
Taxation services 249 261
Total remuneration for non-audit services 249 261
The auditor of the Group is Deloitte Limited.
20222021
$’000s$’000s
Other separately
disclosed expenses:
Directors’ fees
279 255
Superannuation scheme contributions
6,284 5,762
Raw materials and consumables used (cost of sales)
117,935 114,271
Foreign exchange loss
1,529 1,706
Unrealised fair value losses on foreign exchange derivatives
639 521
Fair value losses on derivatives held as fair value hedges
- -
Unrealised fair value losses on interest rate swap contracts
- -
and after crediting:
Foreign exchange gains
- -
Fair value gains on firm commitments
- -
Unrealised fair value gains on foreign exchange derivatives
339 132
Unrealised fair value gains on interest rate swap contracts
576 155
A1. Revenue from contracts with customers and operating expenses continued
Scott Technology Limited
Page 46

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Income tax recognised in net surplus
Policy
Current tax is calculated by reference to the
amount of income taxes payable or receivable
in respect of the taxable profit or tax loss for the
period. It is calculated using tax rates and tax laws
that have been enacted or substantively enacted
by reporting date. Current tax for current and
prior periods is recognised as a liability (or asset)
to the extent it is unpaid (or refundable).
A2
SECTION A: FINANCIAL PERFORMANCE
A2. INCOME TAXES

20222021
$’000s$’000s
Net profit before tax 14,917 10,893
Income tax expense calculated at 28% (2021: 28%) 4,177 3,050
Non-deductible expenses / (non-assessable income) (1,629) (642)
Under / (over) provision of income tax in previous year (288) 63
Taxation expense 2,260 2,471
Represented by:
Current tax 197 2,034
Deferred tax 2,063 437
2,260 2,471
The prima facie income tax expense on pre-tax accounting profit from operations
reconciles to the income tax expense in the financial statements as follows:
Policy
Deferred tax is accounted for using the
comprehensive balance sheet liability method
in respect of temporary differences arising from
differences between the carrying amount of
assets and liabilities in the financial statements
and the corresponding tax base of those items.
In principle, deferred tax liabilities are recognised for
all taxable temporary differences. Deferred tax assets
are recognised to the extent that it is probable that
sufficient taxable amounts will be available against
which deductible temporary differences or unused
tax losses and tax offsets can be utilised. However,
deferred tax assets and liabilities are not recognised
if the temporary differences giving rise to them arise
from the initial recognition of assets and liabilities
(other than as a result of a business combination)
which affects neither taxable income nor accounting
profit.
Deferred tax assets and liabilities are measured
at the tax rates that are expected to apply in the
period when the liability is settled or the asset is
realised based on tax rates that have been enacted
or substantively enacted at reporting date. Deferred
tax is charged or credited to profit or loss, except
when it relates to items charged or credited to other
comprehensive income or directly to equity, in which
case the deferred tax is also dealt with in other
comprehensive income or in equity.

Deferred tax balances
Prima facie tax rate

The prima facie tax rate used in the above reconciliation is the corporate tax rate of 28% payable by New Zealand
corporate entities on taxable profits under New Zealand tax law for the 2022 income tax year.
Annual Report 2022
Page 47

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Imputation credit account balances

2022
Opening
balance
Charged
to income
Closing
balance
$’000s $’000s $’000s
Gross deferred
tax assets:
Trade debtors 163 41 204
Other financial assets 37 (28) 9
Employee entitlements 1,422 289 1,711
Provisions 1,535 (1,034) 501
Tax losses 4,629 (2,489) 2,140
Leases 262 13 275
Inventories 692 459 1,151
8,740 (2,749) 5,991
Gross deferred
tax liabilities:
Property, plant and equipment (1,584) 414 (1,170)
Intangible assets (1,728) 272 (1,456)
(3,312) 686 (2,626)
5,428 (2,063) 3,365

At the reporting date, the Group has unused gross tax losses of $7.83 million (2021: $16.5 million) available to offset against
future profits. A deferred tax asset has been recognised in respect of $1.9 million (2021: $4.6 million) of such losses.
It is considered probable that there will be future taxable profits available in the relevant jurisdictions to allow the Group
to utilise these losses.
2021
Opening
balance
Charged
to income
Closing
balance
$’000s $’000s $’000s
Gross deferred
tax assets:
Trade debtors 324 (161) 163
Other financial assets 97 (60) 37
Employee entitlements 998 424 1,422
Provisions 3,832 (2,297) 1,535
Tax losses 2,793 1,836 4,629
Leases 274 (12) 262
Inventories 358 334 692
8,676 64 8,740
Gross deferred
tax liabilities:
Property, plant and equipment (1,020) (564) (1,584)
Intangible assets (1,791) 63 (1,728)
(2,811) (501) (3,312)
5,865 (437) 5,428
20222021
$’000s$’000s
Imputation credits available to shareholders - -
The above amounts represent the balance of the imputation credit account at the end of the reporting
period adjusted for:
• Imputation credits that will arise from the payment of the amount of the provision for income tax
• Imputation debits that will arise from the payment of dividends.
Availability of these credits is subject to continuity of ownership requirements.
A2. Income taxes continued
Scott Technology Limited
Page 48

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Policy
NZ IFRS 8 Operating Segments requires operating
segments to be identified on the basis of internal
reports about components of the Group that are
regularly reviewed by the chief operating decision-
maker (the Board) in order to allocate resources to
the segments and to assess its performance.
The Group’s Board allocates resources and assesses
performance of the Group by manufacturing base,
therefore under NZ IFRS 8 the Group’s reportable
segments are:
• New Zealand manufacturing
• Australia manufacturing
• Americas manufacturing
• Europe manufacturing
• China manufacturing.
New Zealand and Australia have previously
been reported as a single segment (Australasia
manufacturing) due to the previously integrated
nature of customers, management, manufacturing and
sales activities across New Zealand and Australia. These
segments have been split into New Zealand and Australia
in 2022, as a result of the separation in the management
and change in focus in the regions.
Americas is reported as a single segment due to
the integrated nature of customers, management,
manufacturing, sales and financing activities across
North and South America.
Europe is reported as a single segment due to
the integrated nature of customers, management,
manufacturing, sales and financing activities across
Europe.
China is reported as a single segment due to the
integrated nature of customers, management,
manufacturing, sales and financing activities across
China.

Segment revenues and results
The following is an analysis of the Group’s revenue and results by reportable segment. For the purposes of NZ IFRS 8,
allocations are based on the operating results by segment. The Group does not allocate certain resources (such as senior
executive management time) and central administration costs by segment for internal reporting purposes as these allocations
would not result in a meaningful and comparable measure of profitability by segment.
Manufacturing
New Zealand AustraliaAmericas Europe China UnallocatedTotal
2022
$’000s $’000s $’000s $’000s $’000s $’000s $’000s
Revenue 50,948 56,670 52,464 57,885 3,790 - 221,757
Segment profit / (loss) 22,962 2,512 (1,334) 8,002 309 - 32,451
Depreciation and amortisation (1,171) (2,886) (575) (2,950) (137) (334) (8,053)
Share of net surplus in joint ventures 329 - - - - - 329
Interest revenue - 486 - 1 73 - 560
Central administration costs - - - - - (8,862) (8,862)
Finance costs (153) (107) (164) (321) - (763) (1,508)
Net profit / (loss) before taxation 21,967 5 (2,073) 4,732 245 (9,959) 14,917
Taxation (expense) / benefit (3,282) 667 1,068 (736) 23 - (2,260)
Net profit / (loss) after taxation 18,685 672 (1,005) 3,996 268 (9,959) 12,657
A3
SECTION A: FINANCIAL PERFORMANCE
A3. SEGMENT INFORMATION
Annual Report 2022
Page 49

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Revenue reported above represents revenue generated from external customers. Inter-segment sales, which are
eliminated on consolidation, were $40.8 million for the year ended 31 August 2022 (2021 restated: $34.1 million).
The accounting policies of the reportable segments are the same as the Group’s accounting policies. Segment profit
represents the profit earned by each segment without allocation of central administration costs and investment revenue.
Industry information
The Group focuses its marketing on five principal industries: appliances, materials handling and logistics, meat processing, mining,
and industrial automation. The Group’s revenue from external customers by industry is detailed below:

20222021
$’000s$’000s
(restated)
Appliances 28,950 19,597
Materials handling and logistics 70,044 68,158
Meat processing 57,129 36,706
Mining 56,722 58,383
Industrial automation 8,912 23,186
221,757 206,030
Geographical information


Manufacturing
New Zealand Australia Americas Europe China UnallocatedTotal
2021
$’000s $’000s $’000s $’000s $’000s $’000s $’000s
Revenue 45,874 66,185 27,045 53,981 12,945 - 206,030
Segment profit 15,673 3,774 2,972 6,275 2,514 - 31,208
Depreciation and amortisation (990) (2,802) (561) (3,991) (79) (373) (8,796)
Share of net surplus in joint ventures 796 - - - - - 796
Interest revenue - - - 3 99 - 102
Central administration costs - - - - - (11,037) (11,037)
Finance costs (160) - (194) (392) - (634) (1,380)
Net profit / (deficit) before taxation 15,319 972 2,217 1,895 2,534 (12,044) 10,893
Taxation (expense) (799) (313) (737) (501) (121) - (2,471)
Net profit / (loss) after taxation 14,520 659 1,480 1,394 2,413 (12,044) 8,422
The Group sells into eight principal geographical areas. The Group’s revenue from external customers by geographical location
(of the customer) is detailed below:
A3. Segment information continued
20222021
$’000s$’000s
(restated)
New Zealand (country of domicile) 9,735 14,161
Australia and Pacific Islands 60,885 53,919
North America, including Mexico 61,703 46,144
South America 9,816 5,416
Asia 12,784 21,933
Europe 59,258 56,745
Russia and former states 4,996 4,696
Africa and Middle East 2,580 3,016
221,757 206,030
Scott Technology Limited
Page 50

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
20222021
$’000s$’000s
Australia 32,248 21,803
US 10,066 16,634
Europe 25,819 29,033
China 955 907
69,088 68,377
Information about major customers
In 2022 there was no single customer accounting for more than 10.0% of total Group sales (2021: Australia manufacturing
segment and the mining industry 13.1%).


The Group holds non-current assets in geographical areas outside of New Zealand, the country of domicile. These
non-current assets are held in the following locations
Policy
Trade debtors are initially recognised at fair value
and are subsequently measured at amortised cost
using the effective interest rate method, less any
provision for expected credit losses. The Group
applies the simplified approach to measuring
expected credit losses, which uses a lifetime
expected credit loss allowance. The measurement
of expected credit losses is a function of the
probability of default, loss given default and the
exposure of default.
The expected credit losses on trade receivables are
estimated using a provision matrix by reference to past
default experience of the debtor’s current financial
position, adjusted for factors that are specific to the
conditions of the industry in which the debtor operates
and an assessment of both the current, as well as the
forecast direction of conditions at the reporting date.
Provision for expected credit losses is recognised in profit
or loss.
20222021
$’000s$’000s
Trade debtors 40,759 28,069
Allowance for expected credit losses (756) (584)
40,003 27,485
Credit losses in profit and loss
The allowance for expected credit losses recognised in the profit and loss during the year was $0.2 million (2021:
($0.7) million).
Credit period
The credit period on sales of goods ranges from 30 to 120 days depending on the terms negotiated by the customer
for large contracts. No interest is charged on trade debtors.

B1
SECTION B: ASSETS
B1. TRADE DEBTORS
A3. Segment information continued
Annual Report 2022
Page 51

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Impairment of financial assets
In relation to the impairment of financial assets, NZ IFRS 9 requires an expected credit loss model to be used. The expected
credit loss model requires the Group to account for expected credit losses and changes in those expected credit losses at each
reporting date to reflect changes in credit risk since initial recognition of the financial assets. Under NZ IFRS 9 it is not necessary
for a credit event to have occurred before credit losses are recognised.
The calculation of impairment losses impacts the way the Group calculates the bad debts provision, now termed the allowance
for expected credit loss. The Group applies the NZ IFRS 9 simplified approach to measuring expected credit losses, which uses a
lifetime expected loss allowance for trade debtors.
To measure the expected credit losses, trade debtors, other financial assets, sundry debtors and contract assets have been
grouped based on their shared credit risk characteristics and the days past due. The contract assets relate to unbilled work in
progress and have substantially the same risk characteristics as the trade debtors for the same type of contracts.
A provision matrix is determined based on historic credit loss rates for each group of customers, adjusted for any material
expected changes to the customers’ future credit risk. In addition, the Company has increased the credit loss allowance for
anticipated losses from specific customers. On that basis, the credit loss allowance as at 31 August was determined as follows;
Provision matrix
New ZealandAustraliaAmericasChinaEuropeGroup
202220212022202120222021202220212022202120222021
$’000s $’000s $’000s $’000s $’000s $’000s $’000s $’000s $’000s $’000s $’000s $’000s
(restated)(restated)
Debtors
Current-30 days
8,228 6,705 5,582 3,910 5,519 4,848 88 2,053 12,330 5,510 31,747 23,026
31-60 days
2,254 185 185 10 114 524 - - 1,050 350 3,603 1,069
61-90 days
422 99 595 118 147 135 - - 542 284 1,706 636
Over 91 days
1,751 571 478 224 619 1,006 295 124 560 1,413 3,703 3,338
Total debtors
12,655 7,560 6,840 4,262 6,399 6,513 383 2,177 14,482 7,557 40,759 28,069
Contract assets 3,895 6,403 1,049 8,774 1,843 781 3,101 3,487 8,185 5,042 18,073 24,487
Total assets 16,550 13,963 7,889 13,036 8,242 7,294 3,484 5,664 22,667 12,599 58,832 52,556
Allowance based on
expected credit loss
- - - - - - - - - - - -
Expected credit
loss on individually
assessed balances
(694) (548) - - (41) (36) - - (21) - (756) (584)
Credit loss
allowance
(694) (548) - - (41) (36) - - (21) - (756) (584)
Trade debtors and contract assets are written off when there is no reasonable expectation of recovery. Indicators that there
are no reasonable expectation of recovery include, amongst others, the failure of a debtor to engage in a repayment plan
with the Group.
The Group has not experienced delays in payment receipts as a result of COVID-19. COVID-19 has, however, been taken into
consideration when completing the expected credit losses calculations for 2021 and 2022.
B1. Trade debtors continued
Scott Technology Limited
Page 52

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Policy
Inventories are valued at the lower of cost and net
realisable value. Costs, including an appropriate
portion of fixed and variable overhead expenses,
are assigned to inventories by the method most
appropriate to the particular class of inventory,
with the majority being valued on a first-in first-out
basis. Net realisable value represents the estimated
selling price for inventories, less all estimated costs of
completion and costs necessary to make the sale.
Provision for slow moving and obsolete inventories is
assessed by the Group as part of the ongoing financial
reporting. Obsolescence is assessed based on the
time the inventory has been held and the likelihood of
future sales of the inventory.


20222021
$’000s$’000s
Raw materials 14,393 11,930
Work in progress 9,329 7,046
Finished goods 8,926 5,860
Provision for obsolete inventory (1,320) (1,711)
31,328 23,125
Write downs
The cost of inventories recognised as an expense during the year includes $0.1 million (2021: $0.8 million) in
respect of write downs of inventory to net realisable value and write-offs of obsolete inventory.


B2
SECTION B: ASSETS
B2. INVENTORIES
Annual Report 2022
Page 53

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Assets and liabilities related to contracts with customers
The Group becomes entitled to invoice customers for long-term projects when certain milestones are met. These
milestones and cash flows are agreed upfront with the customer when the contract is signed. When a particular
milestone is reached, the customer is sent an invoice and any revenue previously recognised as a contract asset is
reclassified to trade receivables at this time. If the invoice milestone payment exceeds the revenue recognised under
the percentage of completion method, the Group will recognise a contract liability for the difference.
The majority of fixed-price contracts are not considered to have a significant financing component under the percentage
of completion method, as the period between the recognition of revenue and the milestone payments is usually less
than one year.
However, two contracts contain a potential financing component. The financing component has been taken into
consideration when calculating the revenue for each individual contract.
Contract assets and contract liabilities include provisions where the likelihood of cost overruns are expected as a
result of factors, such as the complexity of the projects and additional costs for commissioning and installation as
a result of travel restrictions from COVID-19.
20222021
$’000s$’000s
Contract assets 18,073 24,487
Contract liabilities (19,576) (17,214)
Deferred revenue (6,731) (5,525)
(8,234) 1,748
Policy
Contract assets are balances due from customers
under fixed-price project contracts that arise when
the Group receives payments from customers in line
with a series of performance-related milestones.
The Group will previously have recognised a
contract asset for any work performed. Any
amount previously recognised as a contract asset is
reclassified to a trade debtor at the point at which it
is invoiced to the customer. Contract liabilities
relating to fixed-price project contracts are balances
due to customers under fixed-price project contracts.
These arise if a particular milestone payment exceeds
the revenue recognised to date.
Deferred revenue arises from short-term projects
where the Group receives payments from customers
in advance of delivering the asset to the customer.
Judgement
Determining the level of provisions to include
against contract assets and liabilities requires an
estimation of the costs to complete for the fixed-
price contracts. If the costs incurred to complete
the contracts differ from the estimates completed
by management, the Directors could be over or
under estimating the contract assets or contract
liabilities.
B3
SECTION B: ASSETS
B3. CONTRACT ASSETS / LIABILITIES
Scott Technology Limited
Page 54

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
SECTION B: ASSETS
B3. CONTRACT ASSETS / LIABILITIES
Policy
All items of property, plant and equipment are
stated at cost less accumulated depreciation and
impairment. Cost includes expenditure that is directly
attributable to the acquisition of the item. In the
event that settlement of all, or part, of a 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.
Depreciation is calculated on a straight-line basis
so as to write off the net cost of the asset over its
expected useful life to its estimated residual value.
The following estimated useful lives are used in the
calculation of depreciation:
• Buildings 40 years
• Plant, equipment and vehicles 1-13 years
Freehold
land at cost
Freehold
buildings
at cost
Plant,
equipment and
vehicles at costTotal
$’000s $’000s $’000s $’000s
Gross carrying amount
As at 31 August 2020 2,432 12,742 27,417 42,591
Additions - 197 2,011 2,208
Disposals - (8) (3,102) (3,110)
Translation of amounts held in foreign currency - 80 (406) (326)
As at 31 August 2021 2,432 13,011 25,920 41,363
Additions - 266 1,796 2,063
Disposals - (24) (2,084) (2,108)
Translation of amounts held in foreign currency - (123) 483 359
As at 31 August 2022 2,432 13,130 26,115 41,677
Accumulated depreciation and impairment
As at 31 August 2020
- 2,961 21,332 24,293
Disposals - (7) (2,869) (2,876)
Depreciation expense - 471 1,946 2,417
Translation of amounts held in foreign currency - 96 (308) (212)
As at 31 August 2021 - 3,521 20,101 23,622
Disposals - (24) (1,599) (1,623)
Depreciation expense - 436 1,941 2,377
Translation of amounts held in foreign currency - (7) 196 189
As at 31 August 2022 - 3,926 20,639 24,565
Net book value
As at 31 August 2021 2,432 9,490 5,819 17,741
As at 31 August 2022 2,432 9,204 5,476 17,112
B4
SECTION B: ASSETS
B4. PROPERTY, PLANT AND EQUIPMENT
Annual Report 2022
Page 55

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Gross carrying amount
20222021
$’000s$’000s
Balance at beginning of financial year 55,171 57,316
Discontinued operation
(7,656) -
Translation of goodwill amounts held in foreign currency 2,602 (2,145)
Balance at end of financial year 50,117 55,171
Judgement
Determining whether goodwill is impaired
requires an estimation of the value in use of the
cash-generating units to which goodwill has been
allocated. The value-in-use calculation requires
the Directors to estimate the future cash flows,
particularly in relation to future project wins and
market conditions, expected to arise from the
cash-generating unit and a suitable discount rate
in order to calculate present value.
Impairment testing summary
For the purposes of preparing these financial statements, the Board has reviewed the intangible assets and impairment
model and determined that there is no impairment of any intangible assets in the current year or in prior periods based upon
the inputs and assumptions made for each cash-generating unit (CGU).
Sensitivity analysis has been performed on the impairment model to determine how sensitive the model is to any changes to
inputs, specifically around the cash flow forecasts. The sensitivity analysis showed no reasonably possible scenarios resulting
in impairment for New Zealand, Americas, Europe, or China manufacturing.
In the current year, upon consideration of the CGUs within the Group, it was determined that the previously represented
Americas CGU should have historically been spilt into Americas - RobotWorx and Americas - Transbotics. In the current
year, Americas - RobotWorx has been discontinued. Refer to note E5. Management has considered whether impairment
has occured in the stand alone Americas CGUs in the periods affected and determined that there were no indications of
impairment. America - Transbotics has been renamed Americas in the current period to align with the manufacturing regions
on a continuing basis.
Policy
Goodwill represents the excess of the purchase
consideration over the fair value of the identifiable
tangible and identifiable intangible assets, liabilities
and contingent liabilities of the subsidiary recognised
at the time of acquisition of a business or subsidiary.
Goodwill is initially recognised as an asset at cost
and is subsequently measured at cost, less any
accumulated impairment losses.
For the purpose of impairment testing, goodwill is
allocated to each of the Group’s cash-generating
units expected to benefit from the synergies
of the combination. Cash-generating units to
which goodwill has been allocated are tested for
impairment annually or more frequently when
there is an indication that the unit may be impaired.
If the recoverable amount of the cash-generating
unit is less than the carrying amount of the unit,
the impairment loss is allocated first to reduce the
carrying amount of any goodwill allocated to the unit
and then to the other assets of the unit pro-rata on
the basis of the carrying amount of each asset in the
unit. An impairment loss recognised for goodwill is
not reversed in a subsequent period.
On disposal of a subsidiary, the attributable amount
of goodwill is included in the determination of the
profit or loss on disposal.

B5
SECTION B: ASSETS
B5. GOODWILL
Scott Technology Limited
Page 56

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
A heightened degree of focus has been given to the Australian CGU, due to the impacts that COVID-19 continued to have on
Australia in the current year. The impairment model includes assumptions around post-COVID-19 recovery, resulting in an
expectation that the Australian CGU will improve its Earnings Before Interest and Tax (EBIT) by NZ$3.8 million in 2023 and
then adjusting for annualised growth after that date. The Board considers this a conservative estimate of forecast growth,
given the changes made to the Australia business in the prior year. Sensitivity analysis has showed that if the improvement
in the net result from 2023 onwards is NZ$3.2 million rather than the NZ$3.8 million assumed and no subsequent recovery
in earnings is made, the model would result in nil headroom. Sensitivity analysis also showed that if the upper limit of
the discount rate range was used the model would result in no indications of impairment. The Board is satisified that the
assumptions included in the model are reasonable.
Allocation of goodwill to cash-generating units
The Group’s cash-generating units are:
• New Zealand manufacturing
• Australia manufacturing
• Americas - Transbotics manufacturing
New Zealand is reported as a single cash-generating unit due to the integrated nature of customers, management,
manufacturing, sales and financing activities across New Zealand.
Australia is reported as a single cash-generating unit due to the integrated nature of customers, management,
manufacturing, sales and financing activities across Australia.
Americas - Transbotics is reported as a single cash-generating unit due to the integrated nature of customers,
management, manufacturing, sales and financing activities across North and South America.
Americas - RobotWorx is a separate CGU, which was discontinued during the current year as mentioned above.
Europe is reported as a single cash-generating unit due to the integrated nature of customers, management,
manufacturing, sales and financing activities across Europe
China is reported as a single cash-generating unit due to the integrated nature of customers, management,
manufacturing, sales and financing activities across China.
20222021
$’000s$’000s
(restated)
New Zealand manufacturing 10,530 10,530
Australia manufacturing14,166 13,148
Americas - Transbotics manufacturing 8,079 7,051
Americas - RobotWorx manufacturing - 6,683
Europe manufacturing16,961 17,404
China manufacturing 381 355
50,11755,171
Impairment model inputs by region
The recoverable amount of each cash-generating unit is determined based on a value-in-use calculation, which uses cash
flow projections based on financial budgets and forecasts covering a five-year period. The inputs for each of the CGUs have
been listed below. Goodwill has been allocated for impairment testing purposes to the cash-generating units:
New Zealand
20222021
Annual growth rate2.5%2.5%
Terminal growth rate2.0%2.0%
Pre-tax discount rate11.8%11.0%
SECTION B: ASSETS
B5. GOODWILL
• Americas - RobotWorx manufacturing
• Europe manufacturing
• China manufacturing.
B5. Goodwill continued
Annual Report 2022
Page 57

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
New Zealand cash flow projections during the budget and forecast period are based on historical gross margins during the
budget and forecast period. The rate of revenue and materials price inflation during 2022 of 2.5% (2021: 2.5%) reflects the
effect of COVID-19 on global sales over the five-year period. Cash flows beyond that five-year period have been extrapolated
using a 2.0% p.a. growth rate (2021: 2.0%). The pre-tax discount rate calculated in 2022 is 11.8% (2021: 11.0%).
The New Zealand CGU has sufficient historical data to support the cash flow assumptions included in the impairment
model and management believes that any reasonably possible change in the key assumptions on which the recoverable
amount is based would not cause the aggregate carrying amount to exceed the aggregate recoverable amount of the New
Zealand cash-generating unit.
Australia
20222021
Annual growth rate3.0%2.5%
Terminal growth rate2.0%2.0%
Pre-tax discount rate11.2%11.0%
Australia cash flow projections during the budget and forecast period are based on historical gross margins during the
budget and forecast period. The rate of revenue and materials price inflation during 2022 of 3.0% (2021: 2.5%) reflects
the effect of COVID-19 on global sales over the five-year period. Cash flows beyond that five-year period have been
extrapolated using a 2.0% p.a. growth rate (2021: 2.0%). The pre-tax discount rate calculated in 2022 is 11.2% (2021: 11.0%).
As noted above, the Australian CGU has received a heightened degree of focus for the impairment testing. The key
assumptions in the impairment test relate to achieving forecast EBIT and the discount rate used.
Americas - Transbotics
20222021
Annual growth rate2.4%2.4%
Terminal growth rate2.4%2.0%
Pre-tax discount rate11.1%10.6%
Americas - Transbotics cashflow projections during the budget and forecast period are based on historical gross margins
where available, during the budget and forecast period. Where historical data is not easily comparable for recent
acquisitions, recent sales, forward work and sales pipelines have been used to assist with projections. There is sufficient
headroom in the model to support the carrying amount of the goodwill.
The rate of revenue and materials price inflation during 2022 of 2.4% (2021: 2.4%) reflects the effect of COVID-19 on
global sales over the five year period, albeit with a slight recovery in 2022. Cash flows beyond that five year period have
been extrapolated using a 2.4% p.a. growth rate (2021: 2.0%). The pre-tax discount rate calculated in 2022 is 11.1% (2021:
10.6%). Management believes that any reasonably possible change in the key assumptions on which the recoverable
amount is based would not cause the aggregate carrying amount to exceed the aggregate recoverable amount of the
Americas - Transbotics cash-generating unit.
Americas - RobotWorx
20222021
Annual growth rate-2.4%
Terminal growth rate-2.0%
Pre-tax discount rate-10.6%
Americas -RobotWorx has been disposed in 2022 and forms the discontinued operation. Refer to note E5.
Europe
20222021
Annual growth rate2.0%1.5%
Terminal growth rate2.0%1.0%
Pre-tax discount rate10.1%9.7%
Europe cashflow projections during the budget and forecast period are based on historical gross margins during the budget
and forecast period. The rate of revenue and materials price inflation during 2022 of 2.0% (2021: 1.5%) reflects the effect of
COVID-19 on global sales over the five year period. Cash flows beyond that five year period have been extrapolated using a
2.0% p.a. growth rate (2021: 1.0%). The pre-tax discount rate calculated in 2022 is 10.1% (2021: 9.7%).
The European CGU has sufficient historical data to support the cash flow assumptions included in the impairment model
B5. Goodwill continued
Scott Technology Limited
Page 58

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
B5. Goodwill continued
and management believes that any reasonably possible change in the key assumptions on which the recoverable amount
is based would not cause the aggregate carrying amount to exceed the aggregate recoverable amount of the European
cash-generating unit.
China
20222021
Annual growth rate3.0%2.5%
Terminal growth rate2.0%2.0%
Pre-tax discount rate14.3%13.5%
China cash flow projections during the budget and forecast period are based on historical gross margins during the budget
and forecast period. The rate of revenue and materials price inflation during 2022 of 3.0% (2021: 2.5%) reflects the effect of
COVID-19 on global sales over the five-year period. Cash flows beyond that five-year period have been extrapolated using a
2.0% p.a. growth rate (2021: 2.0%). The pre-tax discount rate calculated in 2022 is 14.3% (2021: 13.5%).
The Chinese CGU has sufficient historical data to support the assumptions included in the impairment model and management
believes that any reasonably possible change in the key assumptions on which the recoverable amount is based would not
cause the aggregate carrying amount to exceed the aggregate recoverable amount of the Chinese cash-generating unit.


Policy
Intangible assets with finite useful lives that are
acquired separately are carried at cost, less
accumulated amortisation and accumulated
impairment losses. Amortisation is recognised on
a straight-line basis over their estimated useful
lives. Intangible assets with indefinite useful lives
that are acquired separately are carried at cost,
less accumulated impairment losses.
Intangible assets that are acquired in a business
combination and recognised separately from
goodwill are initially recognised at fair value at
the acquisition date, which is regarded as their
cost. Subsequent to initial recognition, intangible
assets acquired in a business combination are
recognised on the same basis as intangible assets
that are acquired separately.
At each balance sheet date, the Group reviews
the carrying amounts of its non-financial tangible
and intangible assets to determine whether there
is any indication that those assets have suffered
an impairment loss. If any such indication
exists, the recoverable amount of the asset is
estimated in order to determine the extent of
the impairment loss, if any. Goodwill is tested for
impairment annually. Where the asset does not
generate cash flows that are independent from
other assets, the Group estimates the recoverable
amount of the cash-generating unit to which the
asset belongs.
The recoverable amount is the higher of fair value,
less costs to sell and value in use. In assessing
value in use, the estimated future cash flows are
discounted to their present value using a discount
rate that reflects current market assessments of
the time value of money and the risks specific to
the asset for which the estimates of future cash
flows have not been adjusted.
If the recoverable amount of a cash-generating
unit, (CGU), is estimated to be less than its carrying
amount, the carrying amount of the CGU is
reduced to its recoverable amount. An impairment
loss is recognised in profit or loss immediately,
unless the asset is carried at fair value, in which
case the impairment loss is treated as a revaluation
decrease.

B6
SECTION B: ASSETS
B6. INTANGIBLE ASSETS
Annual Report 2022
Page 59

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Accumulated amortisation
and impairment
As at 31 August 2020 1,463 5,354 - 40 403 86 293 19 7,658
Amortisation expense
767 1,333
- 6 - 26 192 19 2,343
Disposals
- -
- - (403) - - - (403)
Foreign translation difference
(148) (303)
- (2) - - (34) 1 (486)
As at 31 August 2021 2,082 6,384 - 44 - 112 451 39 9,112
Amortisation expense
685 1,350
- 31 - 26 138 35 2,265
Disposals
- -
- (82) - - - - (82)
Foreign translation difference
(101) 543
- 7 - - (22) 4 431
As at 31 August 2022 2,666 8,277 - - - 138 567 78 11,726
Net book value
As at 31 August 2021 3,542 4,003 1,850 28 - 228 1,092 131 10,874
As at 31 August 2022 2,955 2,914 - - - 202 967 120 7,158
Assets
Intangible assets comprise:
• Conveyor and palletiser technology used in the materials handling industry, purchased through the acquisition of the
Alvey business in April 2018, which is being amortised on a straight-line basis over an estimated remaining useful life at
the time of purchase of 10 years.
• BladeStop bandsaw safety technology purchased in October 2017, which is being amortised on a straight-line basis over
an estimated remaining useful life at the time of purchase of eight years.
• Domain names (URLs) and a non-compete arrangement resulting from the purchase of the RobotWorx business in May
2014. These assets have been disposed of in 2022 and form part of the discontinued operations disclosure.
• Intangible assets associated with the RobotWorx non-compete arrangement, which are being amortised on a straight-
line basis over a fifteen-year period, while intangible assets related to the URLs are indefinite life intangibles as the rights
to the URLs are held indefinitely and are assessed for impairment annually. This asset has been disposed of in 2022 and
forms part of the discontinued operations disclosure.
• Centrifuge technology used in the honey and fish oil industry purchased through the acquisition of the other joint
venture partners’ interests in Scott Separation Technology Limited in May 2017, which is being amortised on a straight-
line basis over an estimated remaining useful life at the time of purchase of 13 years.
• Automated grading technology used in the meat industry purchased through the acquisition of Normaclass in May 2019,
which is being amortised on a straight-line basis over an estimated useful life at the time of purchase of 10 years.
B6. Intangible assets continued
Conveyor
and
palletiser
technology
at cost
BladeStop
technology
at cost URLs at cost
Non-
compete
at cost
HTS
technology
at cost
Centrifuge
technology
at cost
Automated
grading
technology
at cost
Patents
and
otherTotal
$000’s$’000s$’000s $’000s$’000s$’000s$’000s $’000s$’000s
Gross carrying amount
As at 31 August 2020 5,976 10,933 1,929 74 403 340 1,637 87 21,379
Additions 16 - - - - - - 79 95
Disposals - - - - (403) - - - (403)
Foreign translation difference (368) (546) (79) (2) - - (94) 4 (1,085)
As at 31 August 2021 5,624 10,387 1,850 72 - 340 1,543 170 19,986
Additions 189 - - - - - 41 19 249
Disposals -
- (2,120) (82) - - -
- (2,202)
Foreign translation difference (192) 804 270 10 - - (50) 9 851
As at 31 August 2022 5,621 11,191 - - - 340 1,534 198 18,884
Scott Technology Limited
Page 60

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
Policy
Expenditure on research activities is recognised as an
expense in the period in which it is incurred.
An asset arising from development (or from the
development phase of an internal project) is
recognised if, and only if, all of the following are
demonstrated:
• the technical feasibility of completing the asset
so that it will be available for use or sale;
• the intention to complete the asset and use or
sell it;
• the ability to use or sell the asset;
• how the asset will generate probable future
economic benefits;
• the availability of adequate technical,
financial and other resources to complete the
development to use or sell the asset; and
• the ability to measure reliably the expenditure
attributable to the asset during the
development.
B7
SECTION B: ASSETS
B7. RESEARCH AND DEVELOPMENT COSTS
Policy
Development assets exist where the Group is
working on developments with the intention to meet
an end customer's needs but no contract exists with
that end customer. Revenue is not recognised on
these projects until a contract with a customer is
formed. All the costs incurred will sit on the balance
sheet until a conclusion is reached. These projects
have a large portion of R&D and are undertaken with
the view that the Group will be able to realise future
sales on these products.
At the end of each reporting period, an assessment
is made of these development assets for indicators
of impairment using the mix of external and internal
indicators included in NZ IAS 36 and the criteria
for capitalisation under NZ IAS 38 outlined in B7.
Where there are indicators of impairment the asset's
recoverable amount is calculated and an impairment
recognised. If the criteria for capitalisation are no
longer met, the assets are expensed.
B9
SECTION B: ASSETS
B8. DEVELOPMENT ASSETS
Judgement
Determining when costs incurred on a project
are research, when costs are development, what
costs can be capitalised as a development asset
and the recoverability of development assets
through future sales relies on the Directors
judgement.
Annual Report 2022
Page 61

Notes to and forming part of the consolidated financial statements continued
For the year ended 31 August 2022
The meat development assets relate to work being completed on producing systems to automated processing solutions
for pork and chicken. Work has also been completed on updating design drawings for a lamb processing system. All
meat development assets relate to the New Zealand and Australian segments. These assets will be amortised over the
periods future sales are expected.
Mining development assets relate to work completed on large projects to develop products that will be able to be sold
as future products. All mining development assets relate to the Australian segment. These assets will be amortised over
the periods future sales are expected.

Meat
development
assets
Mining
development
assetsTotal
$’000s $’000s $’000s
Gross carrying
amount
As at 31 August 2020 - - -
Additions 1,576 634 2,210
Disposals - - -
Foreign translation difference - - -
As at 31 August 2021 1,576 634 2,210
Additions 1,574 5,000 6,574
Disposals - - -
Foreign translation difference 4 49 53
As at 31 August 2022 3,154 5,683 8,837
Accumulated
amortisation and
impairment
As at 31 August 2020
- - -
Amortisation expense - - -
Foreign Translation Difference - - -
As at 31 August 2021
- - -
Amortisation expense
- - -
Foreign Translation Difference - - -
As at 31 August 2022 - - -
Net book valueAs at 31 August 2021 1,576 634 2,210
As at 31 August 2022 3,154 5,683 8,837
B8. Development Assets continued
Scott Technology Limited
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