Slide 1: Notification to the ASX
Notification to the ASX 19 August 2003 Reckon Limited (RKN) Results Presentation Please see the attached presentation of the half-year financial results for the period ending 30 June 2003. For further information, please contact: Mr Clive Rabie Reckon Limited (02) 9577 5946 clive .rabie@quicken.com.
Slide 2: Reckon Ltd Results Presentation
Reckon Ltd Results Presentation 6 Months — 30 June 2003 Greg Wilkinson - CEO Clive Rabie - CFO
Slide 3: Today's Discussion
' j ' icken. Today's Discussion Clive Rabie - CFO ~ 6 Month — June 2003 Financial Results Greg Wilkinson - CEO — Business drivers & delivery of product — Creating new customers and increased revenue — Maintain customers — providing an improved customer experience when dealing with Quicken www.quicke
Slide 4: Financial Highlights (6 month's)
Financial Highlights (6 month’s) Six Month Six Month June 2003 June 2002 Revenue $12,696,000 $12,929,000 Net Profit $2,567,000 $1,247,000 Operating Cash Flow $2,987,000 $937,000 Return of Capital $1,279,000 $ - Cash in Bank $13,733,000 $10,683,000 www.quicken.com.au
Slide 5: Financial Highlights (6 month's)
Financial Highlights (6 month’s) NPAT | gee eae: Reported Profit $2.57m $1.25m soley in Accounting $ $1.00m Comparative NPAT $2.57m $0.25m ACTUAL NPAT GEESE www.quicken.com.au
Slide 6: Financial Highlights (6 month's)
Financial Highlights (6 month’s) bee Six Month | Six Month ™ | June 2003 | June 2002 Reported Total Revenue $12.70m $12.93m Change in Accounting $ $1.80m policy Comparative Revenue $12.70m $11.13m ACTUAL REVENUE 6 14.1% www.quicken.com.au
Slide 7: Financial Highlights (6 month's)
Financial Highlights (6 month’s) CostsBreakdown i (ssi sts ‘| 9003 | #2000. _ i $o00s $000’s *Product Cost : $962 $1,857 *Royalties $1,533. $1,726 *Employee Benefit Expense $3,994 94,119 *Marketing Expense $1,410 $1,321 «Premises and Establishment Expense $498 $463, *Depreciation and Amortization $5
Slide 8: Breakdown
Breakdown Recurting Revenue Recurring Revenue @ New Product Other / Services
Slide 9: Underlying Strength
Underlying Strength Development driven by Intuit in USA. ¢ 12% Shareholding in Reckon Ltd ¢ 12 Year Evergreen Agreement ¢ Synchronised Development ¢ US $200 million annual R&D spend. ¢ QuickBooks is the dominant world leader * QuickBooks roadmap includes more than 100 new products * 200 members in t
Slide 10: Product Roadmap
Quicken. Product Roadmap e 2003 Releases * QuickBooks Enterprise Payroll Services Payment Services Connected Services End of Year Folder e |-3 years releases — Flankers « Inventory Management Tools * CRM * Estimating * Employee Organizer * Fixed Asset Manager * Financial reporter — Flavours * Combin
Slide 11: Current Range
Quicken. Current Range Personal Range $129.95 $349.00 ; | $4,500.00 Business Range $1,495.00 $449.00 Quicken $229.00 www.quicken.com.au
Slide 12: Customer Acquisition
Quicken. Customer Acquisition ¢ The Professional Partners — 4400 Professional Partners — 460 Accredited Trainers ¢ The Retail Channel — Relationship with all major retails and most independents with ongoing promotions through this channel ¢ New Channels — Develop new VAR and Financial Advisor channe
Slide 13: Customer Retention
Customer Retention [isla End Customers — 320,000 registered small business users — 150,000 registered personal users Focus on customer Support - Call avoidance - Ongoing improvement of quality assurance with automated 'Silk' testing - Improved support tools Customer Satisfaction — Technical support
Slide 14: Questions?
Questions?