Preliminary Results for FY2023

Results announcement




Results for announcement to the market
Name of issuer Truscreen Group Limited
Reporting Period 12 months to 31 March 2023
Previous Reporting Period 12 months to 31 March 2022
Currency NZ Dollars
Amount (000s) Percentage change
Revenue from continuing
operations
$1,662 (1%)
Total Revenue $1,662 (1%)
Net profit/(loss) from
continuing operations
$(2,401) +70%
Total net profit/(loss) $(2,401) +70%
Interim/Final Dividend
Amount per Quoted Equity
Security
N/A
Imputed amount per Quoted
Equity Security
N/A
Record Date N/A
Dividend Payment Date N/A
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$0.006 $0.0094
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
See attached announcement
Authority for this announcement
Name of person

authorised
to make this announcement
Guy Robertson Chief Financial Officer
Contact person for this
announcement
Guy Robertson
Contact phone number +61 407 983 270
Contact email address guyrobertson@truscreen.com
Date of release through MAP

30 May 2023

Unaudited financial statements accompany this announcement.

---

NZX/ASX Announcement
30 May 2023
TruScreen FY23 Preliminary Results
(all numbers in New Zealand Dollars)

Highlights
• Despite COVID interruptions in China and Vietnam, product revenues were in line
with prior year, with 7% growth in H2 YOY
• Device sales up 88% YOY with 49 units spread across China, Vietnam, Mexico,
Russia. Device installations increase by 15% YOY to 217
• Major breakthroughs in China with recommendations in joint peak organisations
1

Blue Paper and CSCCP Guideline
• Outstanding clinical results from Saudi Arabia clinical trial
Cervical cancer technology company Truscreen Group Limited (ASX/NZX: TRU) (the Company)
has released its preliminary unaudited financial results for the year ended 31 March 2023.
Financial Results for the year ended 31 March 2023
Truscreen generated product sales in line with the prior year at $1.7m (2022: $1.7m).
As markets recovered post COVID TruScreen saw renewed demand for its TruScreen Cervical
Cancer Screening Device from China, Vietnam, Mexico and Russia. The extended lockdown in
China resulted in reduced number of tests in that market, impacting on overall SUS unit sales which
declined by approximately 9%.
Other income decreased by 44% to $0.54m (2022: $0.97m) given a decrease in the research and
development tax offset, and a 23% fall attributable to the removal of Australian government COVID
assistance.
Total overhead expenses, excluding depreciation, amortisation and impairment declined to $3.3m
(2022: $3.9m), attributable to a reduction in research and development given that the product is
now more mature and robust.
The Company incurred an operating loss, before depreciation, amortisation and impairment, of
$2.3m (2022: loss $2.5m), a 6% improvement on the prior year. Total loss for the year was $2.4m
(2022: $7.9m), with the previous year including a non-cash provision for depreciation and
impairment of the remaining carrying value of non-current assets in that year in the amount of
$5.4m.
While the global certainties have reduced your Board has determined that given ongoing the level
of uncertainty that exists in markets in which it distributes its product, namely Russia and Eastern
Europe, that the carrying value of non-current assets, including those acquired this year, remain
fully impaired.

1
Chinese Association of Gynaecologists Oncologists (COGA), Cervical Cancer Prevention and Control Research
Committee of China, Women and Children's Health Research Institute, Cancer Prevention and Control
Professional Committee of China Preventive Healthcare Association, National Healthcare Industry Entity
Management Association, and the Genital Health Division of China Population Culture Promotion Association.

The provision for impairment, will be reviewed as uncertainties recede at future balance dates and
reversed where applicable. The provision is non-cash and has no impact on the operations of the
Company.
Net operating cash outflow for the year was lower at $2.2m (2022: $2.5m) reflecting higher receipts
from customers and lower costs.
As at 31 March 2023, Truscreen had cash and cash equivalents of $2.2m (2022: $2.8m).



0.00
200,000.00
400,000.00
600,000.00
800,000.00
1,000,000.00
1,200,000.00
1,400,000.00
ChinaZimbabweMexicoVietnamRussiaOther
NZ$ Revenue by Year
20222023
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
2020202120222023
SUS Unit Sales By Year

Operational Key Performance and Update

Highlights of the 2023 financial year.

 TruScreen China business to be significantly bolstered with recognition in the China Blue
Paper and endorsement from Chinese Society for Colposcopy and Cervical Pathology
(CSCCP)
 China ramps up for Health Check centres
 Zimbabwe government continues roll out of the TruScreen program
 Outstanding clinical evaluation results from Saudi Arabia
 Russia expands operations into Kazakhstan
 Vietnam demonstrating a positive trajectory with further hospital approvals
 Mexico opens cervical cancer screening centre
 TruScreen hosts first Global Medical Symposium and readies for Medical Device Regulation


China Recognition in China Blue Paper and Endorsement from CSCCP

Subsequent to year end TruScreen was recognised in a China Blue Paper “Cervical Cancer Three
Stage Standardized Prevent and Treatment”. Blue Papers are promulgated to act as the definitive
position on leading edge developments in all industries in China and are recognised as an
endorsement by the experts and leaders in the relevant field.

The publication presents a consensus on the most successful and innovative technologies and
methods to eradicate cervical cancer in China, in line with the World Health Organisation (WHO)
strategy. The paper was the result of four years of research and collaboration by many experts in
gynaecology, including a number of leaders (1) in the field who attended the publication launch.

The Blue Paper specifically highlights TruScreen in a section titled “Artificial Intelligence Technology
For Cervical Cancer Screening”, describing it’s origin, substantial clinical trials, and the benefits of
using TruScreen as a standalone primary cervical cancer screening method, which has demonstrated
superior sensitivity and specificity results, in comparison to screening of LBC and HPV.

Separately, the TruScreen technology has also been endorsed in CSCCP’s (Chinese Society for
Colposcopy and Cervical Pathology) China Cervical Cancer Screening Management Guideline, one
of the most important specialist medical clinical guidelines governing management of cervical cancer.

CSCCP’s decision to include TruScreen technology in its new Guideline emphasises the role of new
technology in a booming Chinese healthcare sector. The decision is based on the body of evidence
supporting TruScreen clinical use world-wide and after extensive consultations with healthcare
practitioners and decision makers.

CSCCP is a member of IFCPC (The International Federation of Cervical Pathology and Colposcopy)
which is dedicated to reducing the burden of cervical cancer worldwide. The guideline issued by
CSCCP is a leading clinical standard for doctors and other healthcare providers as well as
government bodies.

China, after the COVID lockdown years, is now seeing a strong pipeline of significant growth
opportunities. This includes 7 hospital tenders won with 13 installations pending, 23 hospitals where
TruScreen has been approved and waiting for tender outcomes, and 78 hospitals where Obstetric
and Gynecologic Department acceptance have been received and are waiting for the next stage of
hospital approval.

China distributor, Beijing Siweixiangtai Tech Co. Ltd (SWXT), placed an order for 40 TruScreen
cervical cancer screening devices for installation into China’s growing public Health Check Sector late
in the financial year, with delivery of the devices now having been completed in April and May 2023.
This followed the first installation having been achieved at The People's Liberation Army General
Hospital, one of the leading health check centers in the country, in February 2023.

Zimbabwe government continues roll out of the TruScreen program

TruScreen successfully secured a tender for the supply of a further 10,800 SUS (Single Use Sensor)
which were shipped in March 2023, with the program due to recommence in May 2023.

TruScreen's screening program in Masvingo Province is a collaborative effort between the Ministry of
Health and Child Care, National AIDS Council, and local health partners. The program aims to provide
screening services to women in remote and underserved communities, where access to healthcare
is often limited. The screening program, which began in 2022, has already screened over 10,000
women in Masvingo Province.

Outstanding clinical evaluation results from Saudi Arabia

The leading private medical services provider in Saudi Arabia, Dr. Sulaiman Al-Habib Medical Group
(SHMG), completed the analysis of results from its cervical screening clinical evaluation of TruScreen
Ultra and Liquid Based Cytology (LBC) during the year.


A cohort of 507 women were examined with TruScreen and LBC across multiple medical centres of
SHMG. The preliminary results indicated TruScreen’s sensitivity at 83.3% (LBC: 66%) and specificity
at 95% (LBC 98%).

Russia expands operations into Kazakhstan

TruScreen’s Russia distributor JSC IMSystems extended its presence to Kazakhstan during the year,
which will now be the base of expansion by IMSystems to other Central Asian countries. Kazakhstan
has a population of 18 million spread over an area of 2.7 million square kilometres (the 9th largest
country in the world). Central Asian doctors and healthcare professionals are mostly trained in
Russian universities and hospitals.

On the strength of our Russian distributors expansion into Kazakhstan and to accelerate screening
programmes in Russia and neighbouring Central Asian countries, JSC IMSystems received 11
TruScreen cervical cancer screening devices and 6,120 SUS during the year.

Vietnam demonstrating a positive trajectory with further hospital approvals

TruScreen anticipates that Vietnam will become a market of major focus with significant potential.

A TruScreen seminar hosted by Tu Du Hospital, the most influential gynaecological hospital in South
Vietnam, was held during the year receiving substantial interest, being attended by over 100 doctors.

TruScreen has achieved MOH approval for a number of the most influential hospitals in Vietnam and
is expecting to receive local accreditation shortly, thereby removing the requirement for individual
hospitals to seek prior MOH approval, which will shorten the sales cycle.

Mexico opens cervical cancer screening centre

TruScreen established a cervical cancer screening centre in a new clinic in Cludad de Mexico (Mexico
City) operated by leading healthcare provider Mexpharm Medical Clinical during the year.

The centre run by Mexpharm Medical Clinical, a leader in healthcare care in Mexico, showcases
TruScreen’s medical technology, acts as a training centre, and provides screening services to the
local population. Mexico has a large addressable market with a population of more than 65 million
being female, of whom around half fall within the prime cervical cancer screening age of 25-64 years.

TruScreen hosts Global Medical Symposium and readies for new global Medical Device Regulation

TruScreen completed its first global virtual medical symposium to key opinion leaders from 7
countries, on cervical cancer screening during the year.

The medical symposium was chaired by Professor Neville Hacker, one of the world leaders in
gynaecology-oncology, had 132 registrations from Key Opinion Leaders from China, Mexico, Russia,
Poland, Vietnam, Zimbabwe and Saudi Arabia. The medical symposium enabled professional
discussions on TruScreen and its current clinical data and presented the success in cervical cancer
screening programs in several countries.

TruScreen has expended significant effort during the year in preparing for the Medical Device
Regulation (MDR). MDR is a new regulatory framework that replaced the Medical Device Directive
(MDD) for medical devices being made and/or sold in the European Union. The MDR aims to
strengthen the safety and efficacy of medical devices, improve patient safety, and enhance
transparency and accountability in the medical device industry. The MDR introduces more stringent
requirements for manufacturers, including increased clinical evidence requirements, stricter pre-
market controls and post-market surveillance requirements, and new rules for economic operators,
such as importers and distributors.

TruScreen has also expended significant effort in finalising its Chinese regulatory (NMPA) approval.
In addition to providing approval for the latest TruScreen device updates, this variation will also include
recertification to the updated NMPA standards.

Corporate

Appointment of CEO

The Company appointed Dr. Beata Edling as CEO in October 2022. Dr Edling is an experienced
executive who previously led large and small Medical Affairs Teams and commercialised numerous
medical products with global pharmaceutical companies, Sanofi-Aventis, Shire, Eli Lily and Amgen
for Australia and New Zealand. Dr Edling was previously a Non-Executive Director of ASX listed
Noxopharm Limited.

Dr. Edling holds a MD from the Medical University, Gdansk, Poland, and has completed part 1 of her
Fellowship with Royal College of Surgeons, Australia. Dr Edling completed her PhD at the University
of New South Wales, Australia, has a MBA from Sydney’s Australian Graduate School of
Management, is multi-lingual and speaks several European languages

Capital Raising

The Company raised approximately $1.6m, before costs in March 2023, through a placement of
$600,000 and $1 million through 1 for 5 pro rata renounceable rights issue. In total the Company
issued 53,775,755 new shares at $0.03 each.

This announcement approved for release by the Board.

-ENDS-

For more information, visit

www.truscreen.com or contact:
Beata Edling
Chief Executive Officer
juliethull@truscreen.com
Guy Robertson
Chief Financial Officer
guyrobertson@truscreen.com

About TruScreen:

TruScreen Group Limited (NZX/ASX: TRU) is a medical device company that has developed and
manufactures an AI-enabled device for detecting abnormalities in the cervical tissue in real-time via
measurements of the low level of optical and electrical stimuli.
TruScreen’s cervical screening technology enables cervical screening, negating sampling and
processing of biological tissues, failed samples, missed follow-up, discomfort, and the need for costly,
specialised personnel and supporting laboratory infrastructure.
The TruScreen device, TruScreen Ultra
®
, is registered as a primary screening tool for cervical cancer
screening.
The device is CE Marked/EC certified, ISO 13485 compliant and is registered for clinical use with the
TGA (Australia), MHRA (UK), NMPA (China), SFDA (Saudi Arabia), Roszdravnadzor (Russia), and
COFEPRIS (Mexico). It has Ministry of Health approval for use in Vietnam, Zimbabwe, Israel, Ukraine,
and the Philippines, among others and has distributors in 29 countries. In 2021, TruScreen
established a manufacturing facility in China for devices marketed and sold in China.
In FY22, over 170,000* TruScreen examinations were performed and over 200 devices have been
installed and used in China, Vietnam, Mexico, Zimbabwe, Russia, and Saudi Arabia. TruScreen’s
vision is “A world without the cervical cancer
©
”.
To learn more, please visit: www.truscreen.com/.
*Based on Single Use Sensor sales.

Glossary:
Pap smear (the Papanicolaou smear) test involves gathering a sample of cells from the cervix, with
a special brush. The sample is placed on a glass slide or in a bottle containing a solution to preserve
the cells. Then it is sent to a laboratory for a pathologist to examine under a
microscope. https://www.cancer.net/navigating-cancer-care/diagnosing-cancer/tests-and-
procedures/pap-test
LBC (the liquid-based cytology) test, transfers a thin layer of cells, collected with a brush from the
cervix, onto a slide after removing blood or mucus from the sample. The sample is preserved so other
tests can be done at the same time, such as the human papillomavirus (HPV)
test https://www.cancer.net/cancer-types/cervical-cancer/diagnosis

HPV (human papilloma virus) test is done on a sample of cells removed from the cervix, the same
sample used for the Pap test or LBC. This sample is tested for the strains of HPV most commonly
linked to cervical cancer. HPV testing may be done by itself or combined with a Pap test and/or LBC.
This test may also be done on a sample of cells which a person can collect on their own.
https://www.cancer.net/cancer-types/cervical-cancer/screening-and-prevention

Sensitivity and specificity mathematically describe the accuracy of a test which reports the
presence or absence of a condition. If individuals who have the condition are considered "positive"
and those who don't are considered "negative", then sensitivity is a measure of how well a test can
identify true positives and specificity is a measure of how well a test can identify true negatives:
• Sensitivity (true positive rate) is the probability of a positive test result, conditioned on the
individual truly being positive.
• Specificity (true negative rate) is the probability of a negative test result, conditioned on
the individual truly being negative (Sensitivity and specificity – Wikipedia).
For more information about the cervical cancer and cervical cancer screening in New Zealand and
Australia, please see useful links:
New Zealand: National Cervical Screening Programme | National Screening Unit (nsu.govt.nz)
Australia: Cervical cancer | Causes, Symptoms & Treatments | Cancer Council

---

TRUSCREEN GROUP LIMITED



Preliminary Final Report
Consolidated Financial Statements - Unaudited

Currency is New Zealand Dollars

For the Year Ended 31 March 2023


Contents
Consolidated Summary of Profit or Loss and Other
Comprehensive Income
2
Consolidated Statement of Financial Position 3
Consolidated Statement of Changes in Equity 4
Consolidated Statement of Cash Flows 5
Notes to the Financial Statements 6

TRUSCREEN GROUP LIMITED
2
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER
COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2023
Note 2023 2022

$

$
Revenue from the sale of goods
3
1,662,619 1,678,465
Other income
3
540,016 973,914



Purchases of inventory

(1,202,628) (1,155,725)
Employee benefit expenses and directors’ fees

(876,849) (991,911)
Administration

(415,296) (347,807)
Research and development expenses

(864,074) (1,498,629)
Rent

(60,959) (54,139)
Travel

(62,544) (4,969)
Marketing & product approvals

(722,256) (716,923)
Insurance

(139,633) (116,191)
Shareholder relations & services

(155,664) (117,877)
Amortisation & depreciation

- (592,715)
Write off of obsolete inventory

- (181,217)
Provision for impairment plant and equipment

(49,700) (198,847)
Provision for impairment of intangible assets

- (4,423,287)
Share based payments

(54,873) (144,813)
Loss before income tax

(2,401,840) (7,892,672)
Income tax expense

- -
Loss for the period

(2,401,840) (7,892,672)
Other comprehensive income


Item that may be reclassified subsequently to
profit or loss


Exchange differences on translating foreign
subsidiary operations


1,736 (166,281)


1,736

(166,281)
Total comprehensive loss for the period

(2,400,104)

(8,058,953)



Basic and diluted loss per share (cents)
4
(0.66) (2.18)

TRUSCREEN GROUP LIMITED
3
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2023
Note 2023 2022
$ $
CURRENT ASSETS
Cash and cash equivalents 2,160,468 2,797,004
Other receivables 336,700 601,554
Trade receivables 170,311 275,447
Goods and services tax recoverable 33,902 36,782
Inventories 563,441 496,887
Other current assets – prepayments 205,361 179,270
TOTAL CURRENT ASSETS 3,470,183 4,386,944
NON-CURRENT ASSETS
Plant and equipment - -
Intangible assets - -
TOTAL NON-CURRENT ASSETS - -
TOTAL ASSETS 3,470,183 4,386,944

CURRENT LIABILITIES
Trade and other payables 800,255 807,374
Provision for employee benefits 88,547 140,385
TOTAL CURRENT LIABILITIES 888,802 947,759
NON-CURRENT LIABILITIES
Provision for employee benefits 39,357 44,134
TOTAL NON-CURRENT LIABILITIES 39,357 44,134
TOTAL LIABILITIES 928,159 991,893
NET ASSETS 2,542,024 3,395,051

EQUITY
Issued capital 5 36,097,125 34,550,048
Share option reserve 5 144,813 450,813
Foreign currency translation reserve (379,108) (380,844)
Accumulated losses (33,320,806) (31,224,966)
Total Equity 2,542,024 3,395,051

TRUSCREEN GROUP LIMITED
4
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2023


Note
Share
Capital
Accumulated
Losses
Foreign
Currency
Translation
Reserve
Option
Reserve

Total

$

$
$ $
$
Balance at 1 April 2022
34,550,048 (31,224,966)
(380,844)
450,813 3,395,051
Loss for the year to 31
March 2023

- (2,401,840) - - (2,401,840)
Exchange differences on
translating foreign
subsidiary operations


- - 1,736 - 1,736
Total comprehensive
income for the year

- (2,401,840) 1,736 - (2,400,104)
Transactions with owners, in their capacity as owners


Issue of shares 5
1,613,273 - -
-
1,613,273
Share issue costs 5
(66,196) - -
-
(66,196)
Transfer from share based
payments

- 306,000 - (306,000) -
Total transactions with
owners

1,547,077 306,000
-
(306,000) 1,547,077
Balance at 31 March 2023
36,097,125 (33,320,806)
(379,108)
144,813 2,542,024


Note
Share
Capital
Accumulated
Losses
Foreign
Currency
Translation
Reserve
Option
Reserve

Total

$

$
$ $
$



Balance at 1 April 2021
34,550,048 (23,332,294)
(214,563)
306,000 11,309,191
Loss for the year to 31
March 2022

- (7,892,672) - - (7,892,672)
Exchange differences on
translating foreign
subsidiary operations


- - (166,281) - (166,281)
Total comprehensive
income for the year

- (7,892,672 (166,281) - (8,058,953)
Transactions with owners, in their capacity as owners


Share based payments

- -
-
144,813 144,813
Total transactions with
owners
- -
-
144,813 144,813
Balance at 31 March 2022
34,550,048 (31,224,966)
(380,844)
450,813 3,395,051

TRUSCREEN GROUP LIMITED
5

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2023


Note 2023 2022

$

$
CASH FLOW FROM OPERATING ACTIVITIES

Cash received from customers 1,790,550 1,434,264
Cash paid to suppliers and employees including GST (4,483,553) (4,586,932)
Cash received from research and development tax
offset

627,982 620,888
Government subsidies - 123,535
Short-term lease payments not included in lease
liability

(131,619) (123,775)
Interest received 2,854 323
Net cash from operating activities 6 (2,193,786) (2,531,697)

CASH FLOW TO INVESTING ACTIVITIES
Purchase of plant and equipment (49,700) (2,662)
Net cash to investing activities (49,700) (2,662)

CASH FLOW FROM FINANCING ACTIVITIES
Proceeds from issue of shares 1,613,273 -
Share issue costs (66,196) -
Net cash from financing activities 1,547,077 -

Net decrease in cash and cash equivalents (696,409) (2,534,359)
Cash and cash equivalents at the beginning of the
financial year

2,797,004 5,255,074
Effects of exchange rate changes on cash and cash
equivalents

59,873 76,289
Cash and cash equivalents at the end of the
financial year

2,160,468 2,797,004

6
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
General Information
These consolidated financial statements and notes represent those of Truscreen Group Limited (formerly
Truscreen Limited) and its subsidiaries (the “Group”). References to “Truscreen” is used to refer to
Truscreen Group Limited (the “Company”).
The parent company, Truscreen Group Limited, is the ultimate legal parent company of the Group and is a
limited liability company incorporated and domiciled in New Zealand. It is registered under the Companies
Act 1993. Truscreen is listed on the NZX and on the ASX as an ASX Foreign Exempt Listing.
Truscreen
is a FMC reporting entity under Part 7 of the Financial Markets Conduct Act 2013.
The registered office of the Company is Level 6 Equitable House, 57 Symonds St, Grafton, Auckland 1010,
New Zealand. The Group is engaged in the business of the development, manufacture and sale of cancer
detection devices and systems.
Basis of Preparation
These financial statements have been prepared under the historical costs convention, modified by the
revaluation of certain assets and liabilities.
The principal accounting policies adopted in the preparation of the financial report are unchanged from the
Interim Financial Statements for the period ended 30 September 2022 and Annual Financial Statements for
the year ended 31 March 2022. These policies have been consistently applied to all the periods presented,
unless otherwise stated.
The financial statements have been rounded to the nearest dollar.

NOTE 2. SIGNIFICANT ACCOUNTING ESTIMATES AND JUDGEMENTS
The Company makes estimates and assumptions concerning the future that affects the amounts reported in
the financial statements. Estimates and judgments are continually evaluated and based on historical
experience and other factors, including expectations of future events that are believed to be reasonable
under the circumstances. The estimates will, by definition, seldom equal the related actual results. The
estimates and assumptions that have a significant risk of causing material adjustments to the carrying
amounts of assets and liabilities within the next financial year are discussed below:
• Intangibles
The carrying value of intangibles include acquired intellectual property and development costs capitalised
in accordance with the accounting policy for research and development.
The intangibles were fully written off in the previous year.
Given the ongoing significant uncertainty associated with macro-economic events, the Directors have
determined that the intangibles should remain fully impaired as at 31 March 2023.

7
NOTE 3. REVENUE 2023

2022


$ $
Sales revenue - sale of goods¹


Wholesalers/distributors

1,415,542 1,462,566
Direct to customer

247,077 215,899


1,662,619 1,678,465
Other income


Research and development tax offset
2



- Current year

345,901 593,197
- Prior year adjustment

31,143 48,830


377,044 642,027
Interest received

3,303 372
Miscellaneous income

39,084 -
Foreign exchange gain

120,585 103,348
Government assistance and grants

- 228,167


540,016 973,914



NOTE 4. EARNINGS PER SHARE


2023 2022
Basic and Diluted loss per share:
Net loss attributable to shareholders (2,401,840) (7,892,672)
Weighted average number of ordinary shares on issue 364,192,230 362,866,253
Basic and diluted loss per share (cents) (based on weighted
average number of shares on issue)
(0.66) (2.18)

8
NOTE 5. ISSUED CAPITAL

a) Ordinary Shares


2023 2023 2022 2022
Group
Number $ Number $
Balance at beginning of the year of fully paid
ordinary shares
362,866,253 34,550,048 362,866,253 34,550,048
Ordinary shares issued
Share issue - placement 20,000,000 600,000 - -
Share issue – rights issue 33,775,755 1,013,273 - -
Share issue costs - (66,196) - -
Balance at 31 March 416,642,008 36,097,125 362,866,253 34,550,048
No particular number of shares are authorised. There is no par value of shares.
All issued ordinary shares carry equal rights in respect of voting and the receipt of dividends, and upon
winding up rank equally with regard to the Company’s residual assets.
Shares were issued during the:
a. current period:
The Company undertook a share placement and a rights issue during the year, issuing 53,775,755 shares
at $0.03 per share to raise $1,613,273, before costs.
b. prior period:
No shares were issued in the prior period.

b) Share Options
2023
2023

Weighted
2022 2022
Weighted
Group
Number Share Based
Payments
$
Average
Exercise
Price
Number Share Based
Payments
$
Average
Exercise
Price
Balance at beginning of
the year
14,000,000 450,813 12.5c 17,777,363 306,000 13.9c
Options issued¹ - - 10.0c 2,500,000 69,500 10.0c
Options issued
2
- - 10.0c 2,500,000 75,313 10.0c
Options lapsed
3
(9,000,000) (306,000) (8,777,363) - -
Balance at end of year 5,000,000 144,813 10.0c 14,000,000 450,813 12.5c

¹Options issued 29 December 2021 to directors and employee
2
Options issued 4 March 2022 to distributors
3
Options lapsed exercise price of 15 cents and expiry date 27 August 2022 and in the prior year 13 cents
per share and expiry date 12 July 2021.

9
NOTE 6. CASH FLOW INFORMATION 2023 2022
$ $
Reconciliation of cash flow from operations with loss
after income tax


Loss for the period (2,401,840) (7,892,672)
Adjusted for:
Depreciation and amortisation
-
592,715
Impairment of non-current assets 49,700 4,622,134
Share based payment expense 54,873 144,813
Unrealised exchange difference arising from
translating loss items at the date of transaction

(113,010) (146,358)
Operating cash flows before working capital changes
(2,410,277)
(2,679,368)
Decrease/(Increase) in trade and other receivables 105,137 (275,447)
Decrease in goods and services taxes recoverable 2,880 7,445
Iincrease in prepayments
(26,092)
(73,339)
(Increase)/decrease in inventory (66,553) 235,687
Decrease/(increase) in research and development tax
offset

264,854 (43,069)
Decrease/(Increase) in trade and other payables (7,120) 354,881
Decrease in employee liabilities
(56,615)
(58,487)
Net cash to operating activities
(2,193,786) (2,531,697)