Annual Shareholders’ Meeting – Presentation

Blackpearl Group | Level 1 60 Cuba Street
Wellington 6011 | New Zealand
hello@blackpearlgroup.com | +64 480 39390


4 September 2023

Annual Shareholder Meeting – Addresses
Tim Crown, Chairman
Dear Shareholders,
Building a successful technology company that can thrive in highly competitive global
markets requires three critical components:
• Great Technology: The foundation of any tech venture is its innovative products
or services.
• A Strong Team: Execution is pivotal. A dedicated and skilled team turn ideas into
reality.
• Capital: Capital fuels innovation, growth, and the achievement of our goals.
Additionally, luck and timing can also play roles in our journey!
I want to express my gratitude to all our shareholders for believing in Black Pearl, its
leader Nick, our Board, and the entire Black Pearl team.
Over the past 15 years, the technology industry has seen remarkable transformations:
• Smartphones went from niche to ubiquitous.
• The cloud transitioned from fear to a mainstream solution for data storage.
• Social platforms have changed the way we communicate.
Today, the game changer is AI and big data. It started with a bang and its accelerating.
Almost every major company in the United States is actively considering AI and data
strategies, both as offensive and defensive measures. AI and Data take center stage in
almost every discussion regarding the future of technology and its direction.
Black Pearl is strategically positioned at this market juncture. Our Pearl Diver product
enables small businesses to participate in AI and data at an affordable price.
My job, and my passion, is to grow and scale companies for the long term. When you
look at the revenue growth, product to market fit and the momentum that Black Pearl
has today - this is what success looks like.
Every investment I make is a long-term commitment. This is what we're building at Black
Pearl. Life is unpredictable, with inevitable challenges. What matters is having the
energy, the drive and the grit to never give up. I see this determination in Nick and our
team, which is why I invested.

Our journey is not a sprint but a marathon. What I see right now is a company coming
into its own. We're at the right place, at the right time, with the right team.
Thank you for being part of Black Pearl's story.
Sincerely,
Tim Crown
Chairman, Black Pearl Group

Nick Lissette, CEO
Black Pearl Group (‘BPG’) has made significant strides in the nine months since
launching on the NZX. BPG has:
• Delivered next level, AI driven technology to the market. We have successfully
created and launched a powerful new data service - Pearl Diver.
• Achieved exceptional revenue growth in the financial year to date.
• Fully subscribed a capital round in a challenging market. Approximately 80% of
the round was subscribed within 48 hours.
• Accomplished rapid revenue growth while actively reducing and capping costs.
• Met or exceeded industry benchmarks on key SaaS metrics.
Next level AI technology has been activated:
• BPG has invested 25m in our data technology platform.
• We have been processing rare and hard to access data for over ten years.
• Our investment in data and technology is what has made the rapid creation,
release and success of Pearl Diver possible.
Rapid Revenue Growth:
• In the period of a year BPG has grown from just over 1m in annual recurring
revenue to over 4m in annual recurring revenue.
• Pearl Diver has increased the new revenue velocity. June was $354k new annual
recurring revenue, July was $480k new annual recurring revenue and August was
$667k new annual recurring revenue. Meaning BPG has secured $1.5m in annual
recurring revenue in just 90 days.
• BPG’s annual recurring revenue for the financial year to date has already
increased by 56% in relation to the whole of the previous financial year.
Maximizing Resourcing:
• BPG has grown revenue while capping, or in some cases reducing costs.
• At the start of the financial year BPG had average revenue per employee of 46k.
As of today BPG are at nearly 140k.
• BPG has tripled its average revenue per employee in just 5 months.
• Key to this success is the effective utilization of global resourcing.

Key Metrics:
• Diverse Customer base (+3800 customers).
• 3.5% churn group wide.
• Average revenue per customer increased by 59% for the financial year to date.
• Annual recurring revenue of 4.1m
Key areas of improvement:
• Debt
o BPG renegotiated terms to remove debt security and push back repayment
dates by 12 months.
o We have negotiated the option for BPG shareholders to convert the principle
of the loan into equity at 0.62 cents per share. At the time of negotiations
that was 50% higher than the share price.
• Market Awareness
o BPG appointed new Independent Director Hugo Fisher
o Increased frequency of Shareholder Updates
o Increased investment into PR

Karen Cargill, CFO
Path to profitability
• “profitability is the new growth” and this is what BPG are striving towards
• Profitability is becoming cashflow positive to reduce future investment needs.
• The key factors that influence the path to profitability are:
o Churn
o Avg MRR / customer
o Pricing
o Partner types
o Incremental and New technologies
• Changing any, or a combination of these key factors, has a significant impact on the
timeline to profitability.
• 3 scenarios showing a timeline towards profitability were shown
o Key assumptions of these scenarios:
▪ 5% churn rate, which is above the current groupwide churn rate of
3.5%, and
▪ a price increase from 1 October 2023 which leads to a higher average
MRR / customer.
o Scenario 1 is extrapolating the number of customers is took to reach $600k
total new ARR in August factoring in the price increase applied from 1
October 2023.
o Scenario 2 is extrapolating the number of customers it would take to reach
$700k total new ARR in September and then applying the price increase from
1 October 2023 and

o Scenario 3 is extrapolating the number of customers it would take to reach
$800k total new ARR in September and then applying the price increase from
1 October 2023
o The scenarios show that a pricing change and increasing the average MRR /
customer whilst factoring in a more conservative churn rate could improve
the profitability timeline by 6 months.
o All 3 scenarios only factor in an increase of BPG’s current partner types.
o Large scale distribution partners would radically reduce the timeline to
profitability.
o The scenarios do not show the impact of incremental and new technologies.
Sales Revenue Growth
• Graph showing BPG’s actual ARR from April 2022 through to August 2023 and
the impact of Scenario one through to March 2024 shown.
• BPG have increased ARR from $1m to $4m, over April 2022 to August 2023 and
currently at a 56% increase in ARR in the Financial Year to date
• An explanation of a recurring revenue model is that revenue you already have
recurs monthly.
Flexible Costs
• Building a flexible cost structure has positioned BPG ideally for its path to
profitability.
• In FY23, BPG incurred one-off costs associated with the acquisition of
NewOldStamp and listing on the NZX, In FY24 this spend is now redirected to
revenue growth.
• Substantial investment in infrastructure in FY23 laid out the groundwork for
scalable operations at little to no additional cost.
• BPG’s fixed cost base is 34% of total costs with a deliberately designed cost
structure to be flexible in nature, primarily due to marketing and offshore
resourcing.
• The flexibility enables BPG to swiftly respond to market changes, scale
operations up or down as required and align the cost base to strategic
objectives.
In summary, BPG’s path to profitability is clear, proven, well underway and only 12-18
months from now.

Sam Daish, CTO
Blackpearl’s first customer facing product was email signatures. This has established 10
years of data derived from those signatures and email interactions. For example;
• First and last name
• job title
• Company
• Address
• mobile number
• direct number

• linkedin, Instagram and other social media links.
Applied machine learning also recognises when email has been interacted with and who
that was.
The platform to develop and run this product incorporates data ingestion, AI and
software and design services. This is an incredible foundation for growth.
Pearl Diver:
• The data and platform Blackpearl operates is foundational to the latest product,
Pearl Diver.
• Pearl Diver utilises an AI powered resolution network and identity graph to turn
anonymous website visitors into a flow of new leads.
• Lead data share many of the same attribure as email. For example; name, email
address, business details, contact details, etc.
• Version 1 of Pearl Diver created over $1m new ARR in the past 90 days.
The Pearl Engine:
• From ideation to the first customer onboarding was 60 days.
• Firstly this required a great team of developers, engineers and designers
• Secondly, a platform that incorporates data ingestion, AI, micro services and
design components that can be utilised at near zero marginal cost
• This private platform is the Pearl Engine. It’s at the heart of Blackpearl’ next
generation of products that create new oceans of data and use AI to create
oversized success for customers
• In addition to product creation, the Pearl Engine allows Blackpearl to scale
volume at a rate that increases margin. For example, volume equating to
$80,000 MRR could be added to Pearl Diver at an extra $1,000 per month in
infrastructure costs.
Target Markets and Customers
Pearl Diver is for small and medium sized businesses in USA, or those with significant
website traffic in the USA. This is due to legislative and social license differences in the
USA to other regions. Our email products operate in all locations.
The three most common customer persona’s for Pearl Diver are:
Solopreneur or small business with few if any full time marketers or sales staff
Medium sized business with a marketing and sales teams who make use of online
advertising
Lead generation or digital agency partners

Solopreneur or small business benefit from a significant uplift in leads through
identification of demographic and firmographic details of visitors to their website and

emails. This drives increased sales activity and growth from otherwise low return
technology tools.
Medium sized businesses benefit from increased lead volume to sales teams and more
efficient retargeting and advertising for marketing teams. The data generated also
feeds into segmentation and propensity models
Lead generation and digital agency partners are able to wrap services around Pearl
Diver and email tools to enhance outcomes for their customers at a fraction of it would
otherwise cost them

Cherryl Pressley - Chief Revenue Officer
Background:
• Cherryl has an extensive background in ERP, CRM, and industry software.
• Cherryl was a Microsoft partner and went on to leading partner businesses for
Microsoft and Google.
Direct Sales:
• Direct sales are strong. August alone saw the acquisition of 94 new customers
and over $600,000 in net new ARR.
Partners:
• Partners are great to help businesses scale as you can leveraging their sales
capabilities, existing connections, and industry knowledge.
• Initial progress in partnering has been made with Digital Marketing Companies
and Solution Partners, highlighting the value of Pearl Diver for their businesses.
• Upcoming plans are to collaborate with Large Distribution Partners, tapping into
a significant market opportunity.
• The current status of partner engagement, with 54 partners at various stages of
onboarding.
• BPG has just introduced a new partner program "Nexus" to support partners in
selling Pearl Diver effectively.
• Partner revenue is significant, contributing 28% of total revenue in August.
• The new addition to Pearl Diver will help fuel Partner growth.
On behalf of the Board,
Karen Cargill
Chief Financial Officer
For further information, please contact:
hello@blackpearlgroup.com | +64 480 39390

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Driven by AI,
Built for people.
ASM –
September
2023

Disclaimer
The information in this presentation is for general information purposes only, and does not constitute, or contain,
an offer or invitation for subscription, purchase, or recommendation of securities in Blackpearl for the purposes of
the Financial Markets Conduct Act 2013 or otherwise, or constitute legal, financial, tax, financial product, or
investment advice
This presentation should be read in conjunction with, and is subject to Black Pearl Group’s Financial Statements
and Annual Report, market releases and information published on Black Pearl Group’s website -
www.blackpearl.com
This presentation includes forward looking statements about Blackpearl and the environment in which Blackpearl
operates, which are subject to uncertainties and elements outside of Blackpearl’s control – Blackpearl's actual
results or performance may differ materially from these statements. Blackpearl gives no warranty or
representation as to its future financial performance or any future matter.
This presentation may include statements relating to past performance, which should not be regarded as a
reliable indicator for future performance.
This presentation may include information from third parties believed to be reliable; however, no representations
or warranties are made as to the accuracy or completeness of such information.
While reasonable care has been taken in compiling this presentation, none of Black Pearl Group nor its
subsidiaries, directors, employees, agents or advisors (to the maximum extent permitted by law) gives any
warranty or representation (express or implied) as to the accuracy, completeness or reliability of the information
contained in it, nor takes any responsibility for it. The information in this presentation has not been and will not be
independently verified or audited.
No person is under any obligation to update this presentation at any time after its release to you or provide you
with further information about Black Pearl Group.
The information provided by Black Pearl Group in this communication includes forward-looking financial
scenarios. These scenarios are based on current assumptions, expectations, projections, and other information
available to the Company. However, it is important to note that actual outcomes may differ materially from these
scenarios due to various factors beyond the Company's control. Black Pearl Group does not guarantee the
accuracy or completeness of these scenarios. Recipients of this information are cautioned not to place undue
reliance on these forward-looking statements, as the Company cannot predict with certainty which scenario will
ultimately transpire.
This presentation has been prepared by Black Pearl Group Limited (Blackpearl). All information is current at the date
of this presentation unless otherwise stated. All currency amounts are in NZD unless otherwise stated.
ASM –
September
2023

Agenda
Chairman’s Address
CEO’s Address
Financial Results and Key Metrics
Path to Profitability - CFO
Technology Update - CTO
Partner Growth Strategy - CRO
Q&A
Vote
ASM –
September
2023

Tim Crown
Chair
Chairman's
address

“De Mari Ad Astra”
From the sea
to the stars -
9 months on
the NZX.
High Points
Next level AI delivered to the market.
Exceptional revenue growth.
Fully subscribed capital round.
Efficient utilization of capital and
resources.
Key Metrics on point.
Nick Lissette
Chief Executive Officer

Next
Level
AI
Black Pearl Group creates high-value, low-cost, data-
driven sales and marketing solutions to the US SME
market.
Our ability to ingest, process and create value from
data is because BPG has been meticulously collecting
data for over a decade and has invested over 25m in
creating its proprietary data platform.
Listing on the NZX has given us greater access to new,
high-value data sets which we have leveraged to
create an exciting new service Pearl Diver.

Rapid Growth
Cumulative total new ARR (NZD) added
over last 90 days has exceeded $1.5m
with over 600k in net new ARR in
August.
Total ARR (NZD)

Maximising
resources
- Costs
Average revenue (ARR) per employee tripled in FY24.
Effective utilization of global resources.
Average ARR per Employee

Key
Metrics
3800
3.5
%
+
%
%
59
56
Customers
Groupwide
Churn
Increase Avg MRR/
Customer in FY to date
Increase ARR in FY to date
4.1
m
Annual Recurring
Revenue (ARR)

Reposition debt
Renegotiated Terms
Created option for BPG to convert Debt at
equity at 0.62 cents/share.
Market Awareness
Creating an amazing business.
New Independent Director
Regular Market Updates
PR
Work-
ons

BPG in
the news

Path to
profitablitiy
ASM –
September
2023

Karen Cargill
Chief Finance Officer
Key
Factors
Customer retention
Avg. MRR / Customer
Pricing
Partner types
Incremental & New Tech
Path to profitability
5% ChurnAssumptions:Price increase from 1 October 2023

Sales
revenue
growth
Scenario 1 Compounding ARR Example
Number of Customers to
reach $600k ARR in August
extrapolated with the price
increase 1 October 2023

Flexible
Costs
%
%
%
%
13
22
31
34
One-off Costs
Infrastructure and
Development Costs
Flexible Costs
Fixed Costs
FY23 Actuals

Sam Daish
Chief Technology Officer
AI
& Data

Ocean of data built from Pearl Insights, web
traffic and Pearl Identity
Our Pearl Engine platform underpins product
development and operations using data, AI,
micro and macro services, and design
components at near-zero margin cost
Scalable infrastructure allows volume growth
while increasing margin
Website traffic
Email interactions
Pearl Identity Engine
Pearl Insights Engine

Both B2B and B2C businesses
US market and those selling to the US market
Markets &
Customers
Require a website as a storefront but generate low value from it
Want very simple ways to increase lead volume for outreach
Solopreneur / Small business
Struggling with cost and return from digital advertising
Have marketing and sales teams that need lead flow
Medium businesses
Provide marketing or lead generation services
Customers demanding greater visibility of return
on investments
Partners

See who's behind the clicks &
how to connect with them

Partners by Type:
COMING SOON!
Partners are our
Force Multiplier
Cherryl Pressley
Chief Revenue Officer
611920
%%%
Digital Marketing
Companies
Large Solution
Partners
Small Niche
Resellers
Large Scale
Distribution
Partners

Partners by the Numbers
Key wins that speak volumes:
54
15
33,00070
%
%
customers
%
30
Partners
Transacting
were onboarded
in 30 days.
additional leads
in two months.
increase in lead
conversion.
of August Revenue
came from Partner

Summary

Q+A

Voting

Appendix
Definitions of Key SaaS Terms & Metrics:
Recurring revenue: Recurring revenue is revenue that is expected to repeat each period into the future. For
Blackpearl, this is revenue directly linked to the number of customers we have.
MRR: Monthly recurring revenue is the total recurring revenue for the last calendar month of the reporting period.
ARR: Annual recurring revenue is the MRR, multiplied by 12. ARPU (monthly): Average revenue per user (monthly) is the
total recurring revenue for the month, divided by the total customers processing payroll that month.
AVG MRR / Customer: Average monthly recurring revenue per customer.
Gross margin: The gross margin, when discussed as a SaaS term, is the recurring revenue of the business, less the
cost to serve customers. This is often then expressed as a percentage, where the gross margin is divided by the
recurring revenue.
Churn: Churn is expressed as a percentage calculated as the net reduction of customers in a calendar month
divided by the total customers at the start of that month.
LTV: Lifetime value is the estimated value of a customer over its lifetime. This is calculated by taking the ARPU
multiplied by the gross margin %, then divided by the churn %.
Note - the terms and metrics above are Non-Generally Accepted Accounting Principles (non-GAAP) measures and
should not be viewed in isolation, not considered substitutes for measures reported in accordance with New Zealand
Equivalents to International Financial Reporting Standards (NZ IFRS).
ASM –
September
2023