Slide 1: ASX Announcement: Investor Presentation
ASX Announcement 28 August 2025 Investor Presentation Further to Appen Limited’s (ASX:APX) announcement to the market today on its results for the half-year ended 30 June 2025, please find attached the presentation to be delivered to investors and analysts this morning. Authorised for release by the
Slide 2: H1 FY25 results
For personal use only H1 FY25 results 28 August 2025
Slide 3: Important Information
Important Information The forward-looking statements included in these materials involve No representation, warranty or assurance (express or implied) is given or subjective judgement and analysis and are subject to significant made in relation to any forward-looking statement by any person (includi
Slide 4: Agenda
Agenda 01 Results Overview For personal use only 02 H1 FY25 performance 03 Strategy & operational update 04 FY25 outlook & guidance 3
Slide 5: H1 2025 Results Overview
For personal use only H1 2025 Results Overview Ryan Kolln
Slide 6: H1 FY25 highlights
H1 FY25 highlights $102.1 million revenue China breakout growth Core business turnaround For personal use only in H1 FY25 ongoing continues • 2% growth on H1 FY24 (ex Google) • Strong revenue growth continued, up • Deepening customer relationships, • 24% of group revenue from generative 67% on H1 FY
Slide 7: Financial performance
For personal use only Financial performance Justin Miles
Slide 8: H1 FY25 snapshot
H1 FY25 snapshot H1 H1 Change For personal use only FY25 FY24 Commentary • Revenue increased 2% to $102.1m (excluding the impact of Google1). Revenue (excluding Google1) 102.1 100.0 2% Including Google, revenue decreased 10% • New Markets revenue increased 20% to $59.6m and reflects strong growth Ne
Slide 9: Revenue
Revenue Group New markets Global services For personal use only 125.0 80 80.0 13.4 100.0 60 60.0 59.6 13.4 75.0 49.8 40 40.0 50.0 100.0 102.1 50.2 20 20.0 42.4 25.0 0.0 0 0.0 1H24 1H25 1H24 1H25 1H24 1H25 Total excluding Google Google Total excluding Google Google • Excluding Google, revenue up 2%.
Slide 10: Underlying EBITDA (before FX)
Underlying EBITDA1 (before FX) Group New markets Global services For personal use only 10 10 10 5 5 6.8 0 0 5 -2.3 -2.2 -4.0 -5 -5 -8.0 2.1 -10 -10 0 1H24 1H25 1H24 1H25 1H24 1H25 • $0.1m improvement on H1 FY24 • $4.0m improvement on H1 FY24 • $4.7m decrease on H1 FY24 • Notwithstanding lower revenu
Slide 11: Strong China revenue growth continues
Strong China revenue growth continues China revenue Commentary For personal use only 25.0 • Strong revenue growth continued during the half, up 67% on H1 FY24 20.0 • Exited the half with an annualised run-rate for June exceeding $100 million • China business has a more predicable revenue profile 15.
Slide 12: Positive contribution to EBITDA from China
Positive contribution to EBITDA from China China underlying EBITDA Commentary For personal use only 3.0 • China contributed $2.9m underlying EBITDA to H1 FY25, a $2.8m improvement compared to H1 FY24 2.5 • Q2 FY25 was the fifth consecutive quarter of China EBITDA profitability 2.0 • Margin improveme
Slide 13: Global revenue impacted by short-term volatility
Global revenue impacted by short-term volatility Global revenue excluding Google Commentary For personal use only 45.0 • Global revenue impacted by short-term volatility due to the 40.0 dynamic nature of the US AI market 35.0 14.9 • Customer relationships and conviction in revenue opportunity remain
Slide 14: Conviction in revenue opportunity remains for Enterprise
Conviction in revenue opportunity remains for Enterprise Enterprise, Government revenue Commentary For personal use only 8.0 • Decrease in revenue driven by lower volumes within existing large Enterprise projects, including some projects coming to 7.0 an end • Healthy Enterprise pipeline and convict
Slide 15: Profit and loss summary
Profit and loss summary H1 H1 Change For personal use only FY25 FY24 Commentary Revenue 102.1 113.4 (10%) • Revenue decreased 10% to $102.1m, reflecting termination of Google contract in Q1 FY24 Gross Margin1% 37.0% 37.7% -0.7 pp • Decrease in gross margin % reflects a change in customer and project
Slide 16: Cash flow summary
Cash flow summary H1 FY25 H1 FY24 Commentary Receipts 122.1 123.3 For personal use only Payments and other (109.2) (112.7) • Cash balance of $60.9m (AUD 92.9m1), up $6.1m from December 2024 Cash flow from operations before interest and tax 12.9 10.6 • Cash flow from operations of $12.9m, positively
Slide 17: Strategy & operational update
For personal use only Strategy & operational update Ryan Kolln
Slide 18: Appen sees three critical areas for long-term success
Appen sees three critical areas for long-term success For personal use only Expert-led approach Evolved data Technology enabled to sales and offerings efficiencies marketing • Appen customers are at the forefront • The data needs of customers is • Creating high quality data increasingly of AI model
Slide 19: Scalable and flexible technology underpins Appen's operations
Scalable and flexible technology underpins Appen’s operations Proprietary technology platforms that enable high quality data at scale For personal use only Appen AI data consultants Mercury ADAP + MatrixGo1 CrowdGen Crowd and project management platform Data annotation platform Crowd onboarding and
Slide 20: Near-term strategy execution
Near-term strategy execution Phase 1 of Appen’s 12-month strategy focusses on delivering improved data quality and speed (unit economics), further bolstering Appen’s core business and greater revenue diversification For personal use only Enhanced focus on LLM growth Operational efficiency & automati
Slide 21: Focused technology roadmap is driving cost efficiency
Focused technology roadmap is driving cost efficiency Opex1,2 Commentary For personal use only 80.0 • Our technology roadmap continues to deliver operational efficiencies in the business • Approximately $10 million in incremental annualised cost efficiencies identified and will be executed over the
Slide 22: FY25 outlook & guidance
For personal use only FY25 outlook & guidance Ryan Kolln
Slide 23: FY25 outlook & guidance
FY25 outlook & guidance For personal use only Appen remains confident in its long-term revenue opportunity, including previously provided longer- term targets. As it relates to the balance of FY25, there is limited visibility relating to specific timing for the resumption of large LLM projects. In a
Slide 24: Appendix
For personal use only Appendix
Slide 25: Appen reporting structure
Appen reporting structure Global Services New Markets For personal use only Services provided to leading New Markets reflects progress against our product led strategy US tech companies utilising their platform Includes Global Product (Global customer revenue through Appen products), Enterprise, Chi
Slide 26: Investment in product development
Investment in product development Investment in product development¹ For personal use only Commentary Product development (exc. amortisation) as a % of revenue • $9.5m investment in product development during H1 FY25 • ~65% of spend capitalised, up on FY24 due to increased effort on 12.7% developmen
Slide 27: Reconciliation between statutory and underlying results
Reconciliation between statutory and underlying results Half-year ended Half-year ended Change 30-Jun-25 30-Jun-24 For personal use only 1. Underlying results are a non-IFRS measure used by management to assess $000 $000 1 the performance of the business and have been calculated from statutory Under
Slide 28: Balance sheet
Balance sheet Jun 2025 Dec 2024 Commentary For personal use only Cash 60.9 54.8 • Cash balance of $60.9m (AUD 92.9m1) , up $6.1m from December 2024. Balance positively impacted by receipt of a $10m payment from a major Receivables 34.1 46.7 customer in the first week of January 2025 versus December
Slide 29: Appen global workforce
Appen global workforce For personal use only 1M+ 50M+ 500+ 100+ 7 100+ people people hours on languages domain specific secure facility countries platform capabilities options 28
Slide 30: Appen creates bespoke AI training data for leading model builders
Appen creates bespoke AI training data for leading model builders For personal use only Client requirements Appen AI data consultants Description of task Workforce requirement Workforce and project management Bespoke AI Data annotation platform: ADAP training data platform: Mercury Data quality rubr
Slide 31: Examples of how Appen supports its customers
Examples of how Appen supports its customers Evaluation of LLM Ad evaluations For personal use only Image annotation responses Foundation Social Misinformation Domain specific AI first Embodied AI model media categorization model reasoning companies agents (robotics) builders AR/VR & wearable Agenti
Slide 32: Thank you
For personal use only Thank you © 2024 proprietary & confidential 31