FY24 Annual Report

IN MILLIONS OF AUD

1. FY21 was impacted by the COVID-19 global pandemic.
2. FY24 includes $0.6m of EBITDA loss relating to the setup and operating expenses in the new Denmark territory and $0.2m of costs for evaluating new territories.
3. Adjusted EBITDA represents Group Earnings before interest, taxation, depreciation and amortisation adjusted for costs incurred but not expected to occur in the future.

4 Adjusted EBITDA and Adjusted EBITDA margin are non-IFRS financial measures.

Smart Parking Annual Report FY24

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Dear Fellow Shareholder,

We are pleased to present Smart Parking Limited's ("Smart Parking", "the Group", "SPZ") Annual Report. 2024 has been a year of record growth with contributions from existing and new operating territories.

Christopher Morris

Chairman

SPZ is pleased to deliver another set of record results driven by the disciplined execution of our growth strategy. SPZ is a fast growing, profitable and cash flow positive company that can scale in large markets and self-fund its organic growth strategy. Our strategy is to drive strong organic growth in existing territories, build scale in new territories and complement this with selective acquisitions.

In addition to executing the company's organic growth strategy, in FY24 the Group completed

2 acquisitions and launched operations in Denmark.

In July 2023 the Group acquired ParkInnovation GmbH (ParkInnovation) for total cash consideration of $2.0m. ParkInnovation provides parking management solutions in Germany and has 46 manually operated sites under management. The acquisition accelerates growth in the German market and provides the opportunity to upgrade suitable sites to Automatic Number Plate Recognition (ANPR) technology, while continuing to operate remaining sites manually, as well as leverage customers to potentially install additional sites.

In March 2024 the Group acquired the parking management contracts and assets from Local

Parking Security Limited

(Local Parking Security) for cash consideration of $5.9m. Local Parking Security provides parking management solutions in the United Kingdom and has 72 ANPR sites and 54 manually operated sites and provides opportunity to

upgrade suitable sites to the ANPR technology.

On 1 January 2024, the Company launched its second operation in mainland Europe by opening a Parking Management business in Denmark. The business will operate in the same fashion as other countries and will focus on growing sites under management in the region. Expansion into Denmark provides an opportunity for the company to continue its expansion in Europe. The Company believes the technology-led solutions that it currently provides in other operating territories will be a significant point of difference during the sales process and will lead to greater client wins.

The business has shown that it can take its valuable Intellectual Property into new regions, providing market leading technology and delivering profitable growth and we will continue to evaluate new markets in line with our global expansion plans.

Across the Group we saw growth in both lead metrics of ANPR sites under management and the issuance of Parking Breach Notices (PBNs). Sites under management increased by 28% to 1,424 sites, and the number of PBNs issued increased by 22% in FY24 largely due to the increased number of sites and customer contract wins. Through a disciplined approach to sales execution, the Company has seen the number of sites grow at an average rate of 31% per annum over the last 6 years. It is this continued focus on customer delivery that will see the Group achieve its growth target of 1,500 sites under management before December 2024.

Financial results

Total revenue of $54.7m for FY24 was up 21% compared to FY23 refllecting the uplift in sales activity, expansion into new operating territories and acquisitions. After accounting for unusual and non-recurring items, the Adjusted EBITDA profit of $13.9m is up 21%, or $2.4m, against FY23. The strong results from the underlying business refllect the ongoing continued organic growth of the business supplemented

by acquisitions. When allowing for the new set up of Danish operations and new territory exploration activity, the adjusted EBITDA increased further to $14.7m, growth of 28% compared to FY23.

The net statutory profit after tax attributable to members is $3.7m, down 42% (FY23: $6.4m). This decrease is largely due to the higher underlying result from operations being offset by an unfavourable foreign exchange movement of $1.4m (FY23: gain of $1.2m), and an increase in tax expense by $2.1m from prior year.

The Group's continued positive cashflow performance was a highlight of the results. The Company generated strong operating cash returns over FY24 of $13.5m up 46% on FY23.

Outlook

The Company is well placed to take advantage of opportunities as they arise. The Company will benefit from growth in sites in the UK, New Zealand, Germany, and expansion into the Denmark market.

The growth in sites, operating leverage and contribution from acquisitions is expected to result in revenue and earnings growth.

Results to date in the current year are tracking ahead of the same period in FY24 with the company issuing 183,373 PBNs in July/ August 2024, up 22% compared to July/August 2023.

The Group maintains a strong balance sheet to take advantage of further acquisition opportunities and explore new territories suitable for the Company's technology and business model.

Social contribution

Over FY24 Smart Parking has embarked on a number of charitable causes, most notably our support of Ronald McDonald House (in NZ and the UK), and Zoe's Place Baby Hospice (UK). Support has included donations, fundraising drives and staff attending their charitable events. In NZ we have also conducted several fundraising events that support the Royal New Zealand Returned and Services Association (RSA) and the NZ Breast Cancer Foundation.

We would like to take this opportunity to thank the team at Smart Parking for their efforts and our fellow shareholders for your continued support.

Christopher Morris

Chairman

Paul Gillespie

Chief Executive Officer

27 September 2024

Paul Gillespie

CEO

Smart Parking Annual Report FY24

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Smart Parking's Parking Management division continues to grow its global number of sites across the UK,

New Zealand, Germany and Denmark. Bringing the best in class by combining managed car park services and technology, we provide the 1,424 sites we have under management a range of solutions to suit each ANPR managed site's requirements.

Expanding territories

The Parking Management division now operates in five territories - the UK, Germany, Australia (Queensland), New Zealand and Denmark - and specialises in the management of car parks on behalf of retail businesses, land owners and property managing agents. The expansion into four new markets in the last 3 and a half years has helped bring our total number of ANPR sites under management to a record 1,424, a 28% net increase on FY23. PBNs issued in the UK have reduced from 100% of total PBNs issued by the Group in FY19 to 78% in FY24 as a result of planned diversification into new territories.

Acquisitions

July 2023 saw Smart Parking execute its successful growth strategy resulting in the acquisition of a Parking Management business in Germany - ParkInnovation - with 46 manually operated sites that provide opportunities to upgrade suitable sites to ANPR technology.

In March 2024 Smart Parking acquired the parking management contracts and assets of a parking business in the UK - Local Parking Security - with 72 ANPR sites and 54 manually operated sites that provide opportunities to upgrade suitable sites to ANPR technology.

Key metrics

On average, Parking Breach Notice (PBN) revenue makes up approximately 87% of the Group's revenue. Results to date in FY25 are tracking ahead of the same period in FY24 with the company issuing

183,373 PBNs in July/August 2024, up 22% compared to July/August 2023.

FY24 at a glance

Managed Services launched in Denmark in January 2024.

Managed Services expands in Germany with 67 sites already installed, and more in the pipeline.

162 ANPR sites are operating well in NZ.

The 71 Queensland sites paused ANPR operations in February 2023, with continued manual operations on some sites, while the Queensland government determines future regulatory access to the Motor Vehicle Registry.

Outlook

The Company remains focused on its strategy of growing the installed number of ANPR sites to 1,500 by 31 December 2024 and is on track to exceed this milestone, ahead of the original target date of 30 June 2025.

The Company will continue to evaluate potential acquisitions and explore new territories suitable for the Company's technology and business model.

2021

July

January

July

Completed the acquisition

of ParkInnovation and

2024

March

Completed the acquisition

of the assets in Local

Launched

a technology driven Parking Management business in Queensland, Australia

Successfully launched a technology driven Parking Management business in Germany

April

Completed the

acquisition of NE Parking

2022 and are working with customers to upgrade

suitable sites from

manual operations to a technology led solution

working to upgrade suitable

sites in Germany from manual operations to a technology led solution

2023

February

Successfully launched a technology driven Parking Management business in Denmark

Parking Security working to upgrade suitable sites in the UK from manual operations to a technology led solution

UK Parking Breach Notices Issued

Reduction in PBNs in Q3 is in line with normal seasonal variations.

UK ANPR Sites Under Management

Australia

The Queensland government continued its temporary pause on private parking operators' access to the Queensland Motor Vehicle Register. On 10th August 2023, the Queensland Department of Transport and Main Roads released a consultation document seeking comments and submissions on options to reform the release of personal information for enforcement of private car park conditions. At the date of the pause in operations, 71 ANPR sites were installed in Queensland. Some sites are now manually operated, pending the outcome of the government decision.

APAC/Germany Parking Breach Notices Issued1

Germany

The Company launched its first operation in mainland Europe on 1 January 2022 by opening a Parking Management business in Germany. The focus since launch has been on establishing a team, business processes and leveraging off the Group's best-in-class ANPR technology. Smart Parking's proprietary technology, SmartCloud, is being deployed in order to differentiate the business against German competition. On 30 June 2024, the German operation had 67 ANPR sites.

The German market presents a substantial opportunity leveraging the Group's technology, knowledge and expertise. In July 2023 the Group entered into an agreement to acquire ParkInnovation for $2m. ParkInnovation provides parking management solutions in Germany and has 46 manually operated sites under management. The acquisition accelerates growth in the German market and the acquisition provides the opportunity to upgrade suitable sites to ANPR technology, while continuing to operate remaining sites manually.

Denmark

On 1 January 2024, the Company launched its second operation in mainland Europe by opening a Parking Management business in Denmark. The business will operate in the same fashion as other countries and will focus on growing sites under management in the region. Expansion into Denmark provides an opportunity for the company to continue its expansion in Europe. The Company believes the technology-led solutions that it currently provides in other operating territories will be a significant point of difference during the sales process and will lead to greater client wins.

PRIVAT

PARKPLATZ

KENNZEICHENERFASSUNG

MAXIMAL

60 VERTRAGSSTRAFE*

MINUTEN MINDESTENS

FREI 40€

KEINE PARKSCHEIBE

ERFORDERLICH

*bei Überschreitung der Freiparkdauer zuzüglich ggf. hinzugekaufter Parkzeit

MIT PARKVORGANG GELTEN

DIE AUSGEHÄNGTEN AGB

SMART PARKING GERMANY GMBH

Smart Parking Annual Report FY24

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Review of key divisions

Technology division

The technology division continues to be focused on the provision of real-time information through SmartCloud and bay monitoring technology and supporting the Parking Management division.

By focusing on new market verticals such as enforcement software and managed services, the Company has unlocked new revenue streams to complement our traditional customer base.

Our on-street and off-street products

Research & development division

Smart Parking's R&D division has rolled out more technology offerings within our app and SmartCloud platform.

We continue to expand our offerings beyond the usual parking equipment, with a strong focus on ANPR and the development of complementary technologies.

Our in-house development capabilities enable us to adapt existing software for new territories, and improvements to existing territories.

Our development of Artificial Intelligence has increased our camera accuracy, which results in more PBNs issued per site and will simultaneously reduce camera and other costs in the future. Smart Parking R&D division has a strong focus on cost efficiencies, increased effectiveness of operations/issuance of PBNs, speedy adaptation to launch new territories and adding value to our customers.

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