Slide 1: ReadCloud Limited: Strong earnings momentum and FY26 Outlook
ReadCloud Limited Strong earnings momentum and FY26 Outlook FY25 Audited Annual Results
Slide 2: FY25 Financial Highlights
FY25 Financial Highlights Strong earnings momentum driven by revenue growth in Australian school businesses Up 26% Up 17% Up 109% Up 26% Up 34% VET-in-Schools Sales & Direct eBooks sales to Underlying EBITDA* Operating Cashflow Cash Fee Revenue Australian schools $5.7m $4.6m $0.8m $0.5m $1.9m Organi
Slide 3: FY25 Operational Highlights
FY25 Operational Highlights Continued organic growth for Australian schools businesses Sales & Fee Revenue by business Drivers of Organic Growth $12 m • 62 new school customers successfully on-boarded for the 2025 $10 m school year across the VET-in-Schools and eBook Solutions businesses (up from 51
Slide 4: ReadCloudVET (VET-in-Schools)
ReadCloudVET (VET-in-Schools) Sales and fee revenue growth is accelerating 26% Sales and fee revenue growth, including 29% growth $6 m in VET-in-Schools partnering fees, driven by: • 92% School customer retention $5 m • 11% growth in customer numbers: 55 Schools added (372 total) $4 m • a 5% increas
Slide 5: ReadCloudVET (VET-in-Schools)
ReadCloudVET (VET-in-Schools) Key indicators showing sustained upward momentum Average qualifications per school Average revenue per school 2.0 (partnering fees only) 1.9 $14,408 1.7 $11,491 1.6 $10,450 $9,421 FY22 FY23 FY24 FY25 FY22 FY23 FY24 FY25 FY25 Audited Annual Results 5
Slide 6: eBooks
eBooks 17% Growth in Australian direct eBooks sales • Growth driven by: Australian eBooks strengthening $5 m • 91% customer retention • 7 new school customers $4 m • An increase in average customer value $3 m • International channel contracted in FY25 and performance of Reseller channel was subdued
Slide 7: Industry Training
Industry Training • Revenue is directly impacted by availability of State funding, which is unpredictable: Sales & fee rev - Industry training • FY24 revenue + 50% on pcp $1.8 m $1.6 m • 1H25 revenue + 2% on pcp $1.4 m • FY25 revenue -28% on pcp $1.2 m $1.0 m • Southern Solutions is heavily dependen
Slide 8: FY25 Summary Profit and Loss
FY25 Summary Profit and Loss $’000 30-Sept-25 30-Sept-24 YOY Notes Sales and fee revenue 12,634 11,904 6% • Sales & Fee Revenue up 6% reflecting: Less direct costs (5,338) (5,340) 0% • 26% growth for VET-in-Schools Gross profit 7,295 6,564 11% • 17% growth in Australian direct eBooks sales Gross pro
Slide 9: Core revenue growth and cost discipline driving earnings momentum
Core revenue growth and cost discipline driving earnings momentum Sales and fee revenue growth - Australian school Operating expenses1 % of Sales & fee revenue businesses $11 m 80% $10 m 75% $9 m 70% 65% $8 m 60% $7 m 55% $6 m 50% $5 m 45% $4 m 40% $3 m 35% $2 m 30% FY21 FY22 FY23 FY24 FY25 FY21 FY2
Slide 10: FY24 to FY25 Underlying EBITDA Earnings Bridge
FY24 to FY25 Underlying EBITDA Earnings Bridge 1,600 34 1,400 295 1,200 730 (327) 1,000 (74) (23) #039;000 800 757 (240) 600 400 363 200 - FY25 Audited Annual Results 10
Slide 11: Cashflow
Cashflow $’000 30-Sept-25 30-Sept-24 YOY Notes Receipts from customers 12,558 12,042 4% Payments to suppliers and employees (12,398) (12,006) 3% • Effective Working Capital Research and development tax incentive refund 332 333 0% Management Interest income 31 33 -7% • 69% Underlying EBITDA to Income
Slide 12: Balance Sheet
Balance Sheet $’000 30-Sept-25 30-Sep-24 Notes Cash and cash equivalents 1,920 1,431 Trade and other receivables 801 978 • Maintaining a strong cash position Prepayments 148 115 (cash up 34% on pcp) Total current assets 2,869 2,524 • Debt free Non-current deposits 36 0 Property, plant & equipment 40
Slide 13: FY26 Outlook
FY26 Outlook Management is focussed on disciplined execution that fuels organic growth and unlocks operating leverage FY26 Priorities: • extend strong earnings momentum • win >50 new school customers • ensure school customer retention >90% • preserve VET-in-Schools gross margin >90% • increase avera
Slide 14: Investment Highlights
Investment Highlights • Large addressable markets in education present a deep pool of opportunity resilient to geopolitical and economic shocks • Operating leverage being unlocked by sustained revenue growth and disciplined cost control • Recurring revenue models with 90-95% retention rates • Market
Slide 15: Corporate Snapshot
Corporate Snapshot ASX Code: RCL Substantial Shareholders Share Price (19 November 2025) $0.11 Board and management shareholdings* 22.7% Thorney Group* 12.2% Market capitalisation (@ 11 cents) $16.9m Microequities Asset Management 8.7% Shares on issue 153.6m Hunmar Holdings/Darren Hunter* 4.9% Optio
Slide 16: Disclaimer
Disclaimer This presentation has been prepared by ReadCloud Limited (“Readcloud”), based on information available as at Forward looking statements the date of this presentation. The information in this presentation is provided in summary form and does not contain all information necessary to make an