VELPIC AGM PRESENTATION · VELPIC AGM PRESENTATN | 25 NOV 2016 FY16 Review – Financial Results Substantial revenue growth for FY16 $1.4 million in revenue (from 22 October 2015

VELPIC AGM PRESENTATION25 NOVEMBER 2016

2VELPIC AGM PRESENTATION | 25 NOVEMBER 2016

Company Overview

Introductions

Chairperson’s Address

FY16 Review

Financial Overview: Summary of FY16 Results

Operational Overview

Strategy & Outlook

Where Are We Going?

Corporate Overview

Contents



Company Overview

Velpic is a cloud-based platform that solves the challenges inherent in the use of existing LMS platforms.

It provides a user-friendly and productivity-enhancing alternative to traditional offline training strategies.

Revenue is generated through recurring Software as a Service (SaaS) Fees.

Dash Digital is a specialist technology agency that offers brand, marketing, web and app development services that

builds, deploys and maintains cloud platforms and mobile applications.

Revenue is generated through Professional Services and Hosting.

Listed on the ASX in November 2015

Two complementary businesses: Velpic: an innovative eLearning Platform Dash Digital: a brand technology agency

Targeting a substantial growing Learning Management Systems (LMS) market expected to be worth US$15.7 billion by 2021*

*Markets and Markets: LMS Report



Introductions – Board

Russell FrancisChief Executive Officer

Industry-disrupting entrepreneur and technology architect with more than 25 years international experience. Proven track recond building enterprise scale applications. Won Talent Unleashed Awards Most Disruptive CIO/CTO Award in 2015 judged by Sir Richard Branson and a panel of global business and technology luminaries.

Leanne GrahamNon-Executive Chairperson

Over 28 years of executive sales and technology experience, having being the highly successful former general manager and global head of sales for Xero’s New Zealand operations. Significant sales and technology experience in early stage and listed companies.

Harry KarelisNon-Executive Director

More than 25 years diversified experience in the financial services sector, including private equity, Asian emerging markets, natural resources, healthcare, life science and medical technologies. Holds several international public and private company directorships and possessing considerable cross-border experience.

Daniel RohrNon-Executive Director

A Chartered Accountant and CFO with over 25 years management, corporate advisory, finance and accounting experience, Daniel has served in numerous listed and unlisted companies across a range of industries including digital technology, mining, real estate and financial services.

BOARD



Chairperson’s AddressYEAR IN REVIEW

Successful listing on the ASX

Raised over $9 million in capital

Commenced International expansion in New Zealand, USA and UK

Enterprise customer growth of 260% in 12 months and fast approaching 50 clients

Established a strong reseller and partner network of 20+ including partners in the USA

OUTLOOK

Global Learning Management Solutions (LMS) market continues to grow at a CAGR of 25%*

Expected to reach USD 15.7 billion in 2021*

Increasing adoption of digital learning among corporates and trends towards micro learning, social learning and gamification will drive growth of VelpicFlexible, scalable and simple to use solution gives Velpic a competitive advantage

Continue to enhance the platform and features available

Continue to drive international expansion opportunities

*Markets and Markets: LMS Report



2014 2015 2016

The ‘Velpic” brand

launched

Version 2.0 development

completed (MVP)

Velpic platform goes live

with 2 inaugural clients

120 lessons completed in first month

Founders decide Velpic’s

future is a public company

Former General Manager and

Global Head of Sales for Xero,

Leanne Graham, Appointed Chair

RTO complete with successful recompliance capital raise

of $4m

Velpic identifies

3 pillar go-to-market

strategy; 1. Enterprise,

2. Reseller Partners & 3. SME

National sales team established to accelerate

Enterprise customer growth and

increase market share

121 lessons completed

in one morning

Launch of Version 3.0 enabling SME

channel

Reseller Partnership

channel launched

with key hires

Rights issue successfully completed raising $5.7m

International expansion

initiated with ADP partnership in

USA and successful

G-Cloud tender in the UK

Launch of Online Lesson Marketplace Providing off the shelf lessons on-

demand lessons for SMEs

Version 3.1 launched allowing any document as a lesson and new active user pricing

2014 2015 2016OCTIncreasing Number of Enterprise SaaS clients:

3 5 6 9 13 19 26 32 40 47

Review – A year of milestones



FY16 Review – Financial ResultsSubstantial revenue growth for FY16

$1.4 million in revenue (from 22 October 2015 to 30 June 2016 - annualised to $2.1m)

Recurring revenue experiencing an uplift (28%) in Q1 FY17

Loss of $4.65m

Included a number of one off expenses linked to legacy operations and acquisition costs

$9+ million capital raised

$4 million re-compliance Prospectus Issue in October 2015

$5.7 million raising through a 2 for 5 renounceable rights issue in July 2016

Cash at bank figure as at 30 Sept 2016 - $5.74 million

Company well funded to further progress growth initiative in 2017, including expanding its customer presence internationally

Reve

nue

AUD

(000

)SEPT-15 DEC-15 MAR-16 JUN-16 SEPT-16

Quarterly Annualised Subscription Revenue

0

50

100

150

200

250

300

11%

28%

35%

17%



FY16 Review – Operational ResultsFast approaching 50 enterprise clients.

260% growth in enterprise clients in 12 months.Velpic Growth

Ente

rpris

e Sa

aS c

lient

sJul

2014

5

10

0

15

20

25

30

35

40

Sep Nov Jan Mar May Jul2015

Jul2016

Sep Nov Jan

45

50

Mar May Sept

total lessons completed to date 37,131

www.canterbury.com.au

www.coffey.com

www.ahg.com.auwww.shelfsubsea.com

www.comops.com.au www.mineralresources.com.au

www.enjo.com.au

www.directgroup.com.au

www.sbia.com.au

www.kailisbros.com.au www.fugrotsm.com

www.clough.com.au

www.alcoa.com/australia

www.apeagers.com.auwww.infigenenergy.com www.catalano.com.au

www.wbho.com.au

www.scee.com.au

www.cargotec.com www.neptunems.com



Customer Growth

Platform Development

SME Customer Growth

Expand into New Geographies

Activity pipeline & newsflow

• Customer growth continues in Australia. Fast approaching 50 enterprise clients.

• Strong reseller partnerships in place with 23 resellers and positioned in leading app marketplaces including G-Cloud and ADP.

• Further partnerships anticipated in 2017.

• Strategic enhancements to sales team planned.

• 92 expert modules launched

• Online marketplace now live enabling customers to purchase off-the-shelf on demand e-learning lessons and customisable templates to attract further SME clients.

• V.3.1 of eLearning platform launched offering enhanced lesson creation functionality to further drive client growth.

• Continue to develop and enhance client experience.

• Entered a number of strategic partnerships with product and service providers driving SME marketing and customer growth.

• Dedicated lead generation and desk-based sales team established.

• International Top 20 awards for:• category leader in LMS• most affordable LMS

software• most user friendly LMS

software

• International expansion commenced with first client wins in New Zealand.

• Positioned for growth via leading app marketplaces including ADP and G-Cloud (UK Government) marketplace.

• 2017 – follow through with targets in US, UK, Singapore, Hong Kong and South Africa.

• Further distribution partnerships to come.

1 2 3 4

Strategy and Outlook



Where are we going?VISION

To be a significant force in transforming the learning management solutions sector.LMS platforms are fast becoming a business critical solution. By capitalising on the shift towards continuous micro learning and the increasing social learning trend, Velpic will continue to improve the skills, knowledge and capabilities of business’ most important assets, their people.

Boost content retention by up to

60%Reduce cost to train by up to

70%Reduce training time by up to

75%

Enter new markets: UK, US, Singapore, Hong Kong and South Africa

Further grow the client base

Focus on increasing recurring subscription (SaaS) revenue

Enhance the LMS platform to capitalise on new learning trends including social learning

Enhance content library of online marketplace to drive customer growth

WHAT 2017 LOOKS LIKE



Corporate Overview

ASX VPC

Share Price $0.02

Fully Paid ordinary shares 552,432,676

Restricted/Escrowed fully paid ordinary shares 126,040,500

Options:Listed $0.06 OptionsOptions to acquire fully paid ordinary shares

97,052,11729,960,000

Market Cap (undiluted) $13.6 million

Cash Balance (30 September 2016) $5.74 million

Top 5 Shareholders (21 November 2016)

The Trust Company (Australia) Limited 7.57%

Mr Russell Francis 6.02%

Mr Patrick Connell 5.60%

Mr Glen Moora 5.60%

Ms Natalie Olive Horsefield 2.75%

CAPITAL STRUCTURE

Management

Top 20 (excl Management)

Others

21 November 2016:

55%

17%

28%


Investors

Russell FrancisChief Executive OfficerVelpic Ltd

t +61 8 6160 4455m +61 408 822 [email protected]

Media

Ben GrubbSenior Account Manager

t +61 414 197 [email protected]

Sales

Glen MooraExecutive Director & BDMVelpic Ltd

m +61 418 919 [email protected]

Thank you

www.velpic.com

NSW | VIC | WA | QLD | NZ

Documents

VELPIC AGM PRESENTATION · VELPIC AGM PRESENTATN | 25 NOV 2016 FY16 Review – Financial Results Substantial revenue growth for FY16 $1.4 million in revenue (from 22 October 2015