Analytica Limited
ABN 12 006 464 866
ANNUAL REPORT
YEAR ENDED 30 JUNE 2021
Table of Contents
Table of Contents
Directors Report ____________________________________________________________________ 1
General information _________________________________________________________________ 1
Information on directors _________________________________________________________ 1
Dr Michael Monsour _____________________________________________________________ 1
Dr. Peter B. Corr. ________________________________________________________________ 2
Dr Thomas Lönngren. ____________________________________________________________ 2
Mr Ross Mangelsdorf ____________________________________________________________ 3
Principal activities and significant changes in nature of activities _____________________________ 4
Operating results and review of operations for the year ____________________________________ 4
Operating results _______________________________________________________________ 4
Review of Operations ____________________________________________________________ 4
Financial Review ____________________________________________________________________ 8
Financial position _______________________________________________________________ 8
Other items ________________________________________________________________________ 8
Significant changes in state of affairs________________________________________________ 8
Changes in the controlled entities and divisions _______________________________________ 8
Events after the reporting date ____________________________________________________ 9
Environmental issues ____________________________________________________________ 9
Future developments and results __________________________________________________ 9
Non-audit services ______________________________________________________________ 9
Auditors independence declaration________________________________________________ 10
Company secretary _____________________________________________________________ 10
Meetings of directors ___________________________________________________________ 10
Employees ____________________________________________________________________ 11
Options ______________________________________________________________________ 11
Remuneration report (audited) ___________________________________________________ 12
Corporate Governance __________________________________________________________ 17
Key Management and Staff __________________________________________________________ 23
Geoff Daly, Chief Executive Officer ________________________________________________ 23
Chelsea Cornelius – Product Development and Operations Manager _____________________ 23
Table of Contents
Auditor’s Independence Declaration ___________________________________________________ 24
Consolidated Statement of Profit or Loss and Other Comprehensive Income ___________________ 25
Consolidated Statement of Financial Position ____________________________________________ 26
Consolidated Statement of Changes in Equity ____________________________________________ 27
Consolidated Statement of Cash Flows _________________________________________________ 28
Notes to the Financial Statements _____________________________________________________ 29
1: Summary of Significant Accounting Policies _______________________________________ 29
2. Result for the year _______________________________________________________________ 49
Revenue from continuing operations __________________________________________________ 49
Expenditure _______________________________________________________________________ 49
3. Income Tax _____________________________________________________________________ 50
4. Key management personnel options and rights holdings _____________________________ 51
4. Key management personnel shareholdings ____________________________________________ 53
5 Remuneration of Auditors __________________________________________________________ 53
6 Earnings per Share ________________________________________________________________ 54
7 Cash and cash equivalents __________________________________________________________ 54
8 Trade and other receivables ________________________________________________________ 55
9 Inventories ______________________________________________________________________ 55
10 Other financial assets ____________________________________________________________ 55
11 Property, plant and equipment _____________________________________________________ 56
(a) Movements in carrying amounts of property, plant and equipment ___________________ 56
12 Intangible Assets ________________________________________________________________ 57
13 Other assets ____________________________________________________________________ 57
14 Trade and other payables _________________________________________________________ 58
15 Provisions ______________________________________________________________________ 58
16 Employee Benefits _______________________________________________________________ 58
17 Reserves _______________________________________________________________________ 59
Share option reserve ___________________________________________________________ 59
18 Issued Capital ___________________________________________________________________ 59
(b) Options ___________________________________________________________________ 60
(c) Capital Management _________________________________________________________ 60
19 Contingencies ___________________________________________________________________ 60
20 Operating Segments _____________________________________________________________ 61
Table of Contents
Segment information ___________________________________________________________ 61
Geographical information _______________________________________________________ 63
21 Cash Flow Information ____________________________________________________________ 64
22 Share-based Payments ___________________________________________________________ 64
23 Related Parties __________________________________________________________________ 65
The Group's main related parties are as follows: _____________________________________ 65
Transactions with related parties _________________________________________________ 65
24 Financial Risk Management ________________________________________________________ 66
Specific risks __________________________________________________________________ 66
Financial instruments used_______________________________________________________ 66
Objectives, policies and processes _________________________________________________ 66
Liquidity risk __________________________________________________________________ 66
Market risk ___________________________________________________________________ 67
Credit risk ____________________________________________________________________ 68
25 Fair Value Measurement __________________________________________________________ 69
Financial assets ________________________________________________________________ 69
26 Events Occurring After the Reporting Date ___________________________________________ 70
27 Company Details ________________________________________________________________ 70
Directors' Declaration _______________________________________________________________ 71
Independent Auditor’s Report ________________________________________________________ 72
ASX Additional Information __________________________________________________________ 77
Substantial shareholders ____________________________________________________________ 77
Distribution of equity security holders _________________________________________________ 77
Twenty largest share holders _________________________________________________________ 77
Voting rights ______________________________________________________________________ 78
Ordinary Shares _______________________________________________________________ 78
Options ______________________________________________________________________ 78
Pg. 01
Directors Report
Directors Report
General information
Information on directors
The names, qualifications, experience and special responsibilities of each person who has been a
director during the year and to the date of this report are as follows. Directors have been in office since
the start of the year to the date of this report unless otherwise stated.
Dr Michael Monsour
MBBS-HONS, FACRRM, FAICD
Chairman of the Board (appointed 28 June 2004)
Dr Michael Monsour is a Medical Practitioner with extensive interests in
Queensland medical and dental centres. Michael Monsour graduated from
the University of Queensland in 1977 in medicine with honours. He operates
a medical management company, which provides management support to
medical and dental practitioners. He is the principal of Godbar Software (established 1988) which is one
of the leading software developers of Occupational Health, Safety and Medical Accounting software
packages in Australia.
Interest in shares and options, Direct and indirect
• Dr MP Monsour ordinary shares – 4,180,999
• MPAMM Pty Ltd ordinary shares – 233,042,390
• Halonna Pty Ltd ordinary shares – 696,890,604
• MP Monsour Medical Practice Pty Ltd ordinary shares – 156,379,178
Other related parties
• Ordinary shares 4,071,208
Unlisted options
•
20,000,000 @ 1.30c expires 21/12/2021
Pg. 02
Directors Report
Dr. Peter B. Corr.
Non-Executive Director (appointed 23 May 2017)
Received his doctorate from Georgetown University School of Medicine.
Dr. Corr has extensive experience in the discovery and development of
medicines as well as the sale of assets to major multinational corporations. Dr.
Corr co-founded and is Managing General Partner of Auven Therapeutics, a
private equity firm pursuing a life science investment strategy where products are acquired, developed
and then sold to multinational pharmaceutical firms. Dr. Corr was previously a Professor of Medicine and
Pharmacology at Washington University for 18 years. He then joined Searle as Senior VP of Discovery
Research, and subsequently was President of Research and Development at Warner Lambert / Parke Davis
and then President, worldwide Development at Pfizer, and Corporate Senior Vice President of Science and
Technology at Pfizer.
Dr Corr is currently executive chairman of InVax Inc.
Interest in shares and options
Indirect
•
INOV8 LLC - Ordinary shares 360,790,157
Unlisted options
•
10,000,000 @ 1.30c expires 30/11/2022
Dr Thomas Lönngren.
Non-Executive Director (appointed 10th August 2015) (resigned 17 August 2020)
Thomas is the former Executive Director of the European Medicines Agency, EMA
(Jan 01-Dec 10) he previously served with the Swedish Medical Products Agency
(MPA) as Director of Operations (1978-93) and Deputy Director General, (Jan 93
– Dec 00). Thomas established the EMA from a small unknown agency in 2001 to
a world-renowned regulatory agency in 2011 and was responsible for all of its
operations.
He is currently Director of his own independent consultancy company PharmaExec Consulting AB, Sweden
giving strategic advice to the healthcare, pharmaceutical/Biotech and medical device industry in the areas
of Drug Development, Regulatory Affairs and Market Access. Through his consultancy his main work is for
the NDA Group where he has for the past 4 years been active in Cambridge, Boston US advising biotech
companies on getting regulatory approval and market access in EU and he is frequently invited to speak at
conferences around the world.
Pg. 03
Directors Report
Interest in shares and options
Unlisted options:
•
10,000,000 @ 1.30c expires 21/12/2021
Mr Ross Mangelsdorf
B.Bus, FCA, CTA, MAICD
Executive Director (appointed 7 October 2008)
Mr Mangelsdorf performs the function of Chief Financial Officer.
Mr Mangelsdorf is a Director/partner of a chartered accounting firm for 38
years. He works with SME production, manufacturing and retail firms
assisting with business, taxation and management services.
Interest in shares and options, direct and indirect
• RJ Mangelsdorf - Ordinary shares 348,763
• RJ & JM Mangelsdorf - Ordinary shares 348,763
•
•
Tambien Pty Ltd - Ordinary shares 67,685,119
Edmonmont Pty Ltd – Ordinary shares 39,515,600
Other related parties
• Ordinary shares 3,555,820
Listed options
•
50,000,000 @ 0.35c expires 28/06/2023
Unlisted options
•
•
10,000,000 @ 1.30c expires 21/12/2021
10,000,000 @ 1.30c expires 30/11/2022
Pg. 04
Directors Report
Principal activities and significant changes in nature of activities
The principal activities of the Group during the year were:
•
•
•
•
•
The development of strategies on commercial sales of PeriCoach;
The development of intellectual property of medical device and mobile health application in
relation to patents and systems in the pelvic floor exercise field (PeriCoach);
The development of intellectual property in the medical device field in relation to patents in
the burette field (AutoStart/Flush Enhanced Infusion System);
The development of strategies for commercial sales of burette products;
There were no significant changes in the Group's principal activities during the year.
Operating results and review of operations for the year
Operating results
The consolidated loss of the Group amounted to $1,507,406 (2020: loss $1,620,156), after providing for
income tax. This represented a decrease on the loss of $112,750 result reported for the year ended 30
June 2020 of $1,620,156. Increase for market development of $52,691 to $184,331 (2020: $131,640).
Research and development expenditure decreased by $380,176 to $1,091,471 (2020: $1,471,647) was
incurred due to the continued development of the PeriCoach system. Administration costs increased
by $44,071 to $841,414 (2020: $797,343).
Review of Operations
PeriCoach
Executing the commercialisation strategy for the PeriCoach is focussed on the flowing milestones:
• Building ‘best-in-class’ conservative treatment for pelvic floor conditions, with a particular
focus on urinary incontinence.
• Validate and extend clinical credibility and effectiveness of PeriCoach.
•
•
Confirming market acceptance while creating a positive sales environment.
Securing a competitive partnering agreements with multinational companies with the
resources to make the PeriCoach a global success.
Best-In-Class
•
The PeriCoach system qualifies for the Australian Government’s Research and Development
Tax incentive. The company continues to make substantial investment in the PeriCoach to
establish this unique approach as ‘best in class’. As a result of this investment Analytica
received a $656,895 refund for 2020 year. Substantial investment in the development of
PeriCoach has continued through 2020-2021.
Pg. 05
Directors Report
The board strongly believe development must continue to secure and enhance the partnering
value of the PeriCoach.
•
•
The PeriCoach is a sophisticated medical device designed to collect valuable behavioural and
performance data during treatment of pelvic floor dysfunction that has not been available
previously outside of a clinical environment.
The intuitive and patent-protected design of the PeriCoach incorporates sensors which provide
an ongoing flow of data collected in real-time. This data is transmitted to Analytica’s
proprietary cloud database for further analysis. The PeriCoach smartphone app simplifies the
sensor information providing immediate feedback to the user which drives performance and
motivation. The development of the software, sensor hardware and algorithms is an ongoing
task as we continue to use the data and develop the science from our unique insights into
women’s pelvic health.
• A significant feature is feedback on technique. This most valuable and unique ability to
accurately assist women is a result of sophisticated algorithms developed from the continuing
real world data collection.
•
The data collected also provide a resource to demonstrate not only the efficacy of the product
at a particular point in time, but how our product development program has improved efficacy
over time. This improvement trajectory demonstrates to potential acquirers the first-mover
advantage we have. Analytica has the world’s biggest database of pelvic floor exercise. We
have the data, we can analyse the data and we can improve our treatments based on the
evidence we possess.
• Australian (TGA) and European (CE) registration was achieved in 2014 supported by extensive
documentation and testing. United States Food and Drug Administration (FDA) approval in
March 2015 as a prescription only product and an ‘Over the Counter’ (OTC) product, meaning
it does not require a prescription in July 2016.
• A recent randomized controlled trial concluded that the PeriCoach® biofeedback system with
no formal instruction is non-inferior to Pelvic Floor Muscle Therapy under the supervision of a
physical therapist, making this system the most cost-effective form of treatment for stress and
mixed urinary incontinence.
Establish and extend clinical credibility of effectiveness
• Data is the core of the PeriCoach system. Every user is contributing to the growth and diversity
of the world’s largest pelvic floor database.
•
PeriCoach all comers, prospective study was performed to assess the change in key clinical
measures: Applied Strength, Leak Events, Leak Volume. PeriCoach users encouraged to
participate in “8 week Challenge” with reminders to exercise a minimum of five sessions a
week, enter information into a bladder diary three days a week, and respond to a quality of
life survey at onset, four and eight weeks.
Pg. 06
Directors Report
• Analysis by an independent biostatistician reveals significant improvements in pelvic floor
strength in five weeks, and reduction in urine volume and leakage episodes in only three
weeks. More than 60% of V3 users who used the system for at least three weeks reported
highly significant reduction in leakage episodes (p=.0059) and volume (p=.0017) by week
three and beyond. The post-approval all comers observational study, reviewed women using
the version 3 PeriCoach system. By week eight, more than 75% of the users have at least 80%
improvement in both episodes and volume. Assessment of strength was conducted through
measurement of direct force exerted on the vaginal sensor by a user during each session. This
is an objective measure rather than subjective digital examination common for pelvic
strength assessment. PeriCoach users demonstrated week-on-week improvement in strength
with nearly a third, on average, having at least a 50% improvement in strength, resulting in
predictive improvement by week five (p=.004).
•
•
Established data indicate women performing un-assisted pelvic exercises report limited
progress outcomes of only 3% almost continent, 87% unchanged and 10% worse.
Clinical papers and case studies using PeriCoach in treatment have been published in leading
clinical urology journals. Data from the PeriCoach clinical trial was accepted and presented
at international urogynaecology, physiotherapy and sexual health clinical conferences.
• An independent clinical trial from the University of New Mexico published in the in the official
journal of the American Urogynecologic Society, demonstrated PeriCoach non-inferiority to
in-clinic pelvic floor physical therapy.
Expansion of TGA and CE-Mark Clinical Indicators including Pelvic Organ Prolapse.
In April 2018 the PeriCoach system expands European CE-Marked clinical Indication to include Pelvic
Organ Prolapse. Pelvic organ prolapse is a very common condition with one in twelve women in the UK
reporting symptoms. The data shows that up to one in two women that have given birth have some
degree of POP and prevalence increases with age. It is estimated that half of women over 50
experiencing symptoms and by the age of 80 more than one in ten will have had a surgical intervention,
with incidence of surgery peaking in women aged 60-69. Estimates state women have a lifetime risk of
up to one in eight of undergoing a surgical intervention.
The PeriCoach system with its patent protected force sensing technology assists women to properly
perform pelvic floor exercises. It is widely recognised that pelvic floor muscle exercises are an effective
tool in reducing the burdensome POP symptoms. In a 2015 case study, Analytica demonstrated that
when the PeriCoach was used in coordination with a pelvic floor physiotherapist, symptoms of POP
were reduced, quality of life improvements were reported, and the requirement of an assistive inserted
pessary was no longer needed. In the US alone, as many as 60 Million women experience POP, urinary
incontinence and sexual wellness concerns. As the population ages, more women are at risk for surgery,
leaving room for complications and a large burden on healthcare systems
Pg. 07
Directors Report
Testing market acceptance and create a positive sales environment
•
The company has been represented at top urogynaecology and physiotherapy clinical
conferences in Australia, United States, Europe, and the United Kingdom. These conferences
are a platform to introduce product, gain clinical perspective on conservative management of
PFD as well as disseminate PeriCoach clinical evidence and core differentiators to non-clinical
competitors.
• Developing video training and promotional assets.
• Data driven programming to build awareness and derive evidence-based insights about our
core audience, messaging and content triggers that prompt visits to www.pericoach.com.
Partnership
Despite the corona virus pandemic Analytica has continued to develop opportunities and negotiate
sales and distribution agreements. Uncertainty and inability to travel together with partners attention
demanded on response to the virus, progress has slowed. This corona virus has amplified the need for
more home delivery of essential, effective exercise, which the PeriCoach is the ideal solution.
The US, EU and Chinese markets are considered the largest medical device markets in the world.
Addressing these markets competitively will require significantly more marketing and sales resources
than Analytica has available. The company is actively engaged in discussions with potential partners
that have the capacity to maximise the sales of PeriCoach in these important regions.
In November 2020 a distribution agreement was signed for the Middle East, servicing 10 countries with
a market of 260 million people. This agreement includes Egypt, Saudi Arabia, UAE, Kuwait, Bahrain,
Jordan, Lebanon and Iran. The magnitude of Urinary Incontinence among Middle Eastern and North
African women stands at 54% compared to 33% in western countries.
In March 2021 Analytica announced expansion of PeriCoach pelvic health solution into China entering
into a joint venture agreement to manufacture, distribute and market the system in China, Macau, Hong
Kong and Taiwan. PeriCoach will be distributed though postpartum care centres, hospitals, pharmacy
chains, and other platforms serviced by the JV partners.
AutoStart/Flush Enhanced Infusion System
In April 2021, Analytica announced the signing of a distribution agreement for the Middle East including
9 countries.
Pg. 08
Directors Report
Intellectual Property
Analytica continues to develop and protect its intellectual property through patents, trademarks and
design registrations. Protection of intellectual property is critical in partnering negotiations and assists
in securing a potential partner’s freedom to operate in the market.
The PeriCoach has patent protection in Australia, Japan and China providing patent coverage until 2032.
Analytica also has PeriCoach patents pending in the PCT national phase in Brazil, India, Germany, and
France. Design registrations have also been granted in these jurisdictions.
Analytica's R&D team continues to develop additional novel ideas for future products and product
enhancements during the PeriCoach product development process.
Analytica also maintains registered trademarks in the various jurisdictions above and owns top-level
(.com) and regional internet domains with these trademarks.
Financial Review
Financial position
The net assets of the Group have increased from a net liability of $6,244 from 30 June 2020 to a net
asset position of $2,091,844 at 30 June 2021.
The directors have arranged an unsecured revolving working capital facility for up to $400k at a
commercial unsecured overdraft rate of 8.51% from Halonna Pty Ltd an entity associated with the
chairman Dr Monsour. This secures the company’s financial position to continue the development of
the PeriCoach, and marketing efforts for partnering agreements.
Other items
Significant changes in state of affairs
The following significant changes in the state of affairs of the parent entity occurred during the year:
•
China joint venture agreement to manufacture and distribute PeriCoach® for the China
market.
• Middle Eastern distribution agreement for Enhanced Infusion System.
• Randomised controlled clinical trial concluded that the PeriCoach® biofeedback system with
no formal instruction is non inferior to pelvic floor muscle training under the supervision of a
physical therapist, making this system the most cost effective form of treatment for stress and
mixed urinary incontinence.
•
Capital raising of $3.8 million in June 2021
Changes in the controlled entities and divisions
No changes.
Pg. 09
Directors Report
Events after the reporting date
Update of manufacturing strategy announced 6th September 2021 that Analytica is to bring
manufacturing inhouse with a phased plan over 5 years moving from R&D to commercialisation. The
Queensland Government has announced financial support under its Advance Queensland Industry
Attraction Fund (AQIAF). Grant payments are paid retrospectively on the completion of agreed
milestones and there is no obligation on Analytica to continue the Project should circumstances change,
noting the Queensland Government has the right to terminate the grant if Analytica is not able to meet
the agreed milestones.
Other than this announcement no other matters or circumstances have arisen since the end of the year
which significantly affected or could significantly affect the operations of the Group, the results of those
operations or the state of affairs of the Group in future financial years.
Environmental issues
The Group's operations are not regulated by any significant environmental regulations under a law of
the Commonwealth or of a state or territory of Australia
Future developments and results
Continue the commercialisation strategy for the PeriCoach namely:
•
Executing the commercialisation strategy for the PeriCoach is focussed on the following
milestones:
• Building ‘best-in-class’ conservative treatment for pelvic floor conditions, with expansion from
the current focus on urinary incontinence, which affects one in 3 women, to include pelvic
organ prolapse, a condition which affects up to 10% of all women at some stage of their lives.
• Validate and extend clinical credibility and effectiveness of PeriCoach
•
•
Confirming market acceptance while creating a positive sales environment
Securing competitive partnering agreements with multinational companies with the resources
to make the PeriCoach a global success.
Non-audit services
The Board of Directors is satisfied that the provision of non-audit services during the year is compatible
with the general standard of independence for auditors imposed by the Corporations Act 2001. The
directors are satisfied that the services disclosed below did not compromise the external auditor's
independence for the following reasons:
•
all non-audit services are reviewed prior to commencement to ensure they do not adversely
affect the integrity and objectivity of the auditor; and
Pg. 10
Directors Report
•
•
the nature of the services provided do not compromise the general principles relating to
auditor independence in accordance with APES 110: Code of Ethics for Professional
Accountants set by the Accounting Professional and Ethical Standards Board.
The following fees were paid or payable to the external auditors for non-audit services
provided during the year ended 30 June 2021:
Bentleys QLD Pty Ltd
Preparation of Tax Return
Auditors independence declaration
2021
$2,750
2020
$3,000
The lead auditors, independence declaration for the year ended 30 June, 2021 has been received and
can be found on page 24 of the financial report.
Company secretary
The following person held the position of Company secretary at the end of the year:
Bryan Dulhunty (COSA Pty Ltd) has been the company secretary since 15 October 2012. COSA provides
specialised Company Secretarial and CFO services to Life Science Companies.
Bryan Dulhunty has extensive experience in the biotech industry having held roles covering Chairman,
Managing Director, Company Secretary, CFO, and Non-Executive Director of listed and non-listed
biotech companies.
Meetings of directors
During the year, 11 meetings of directors were held. Attendances by each director during the year were
as follows:
Dr Michael Monsour
Mr Ross Mangelsdorf
Dr Thomas Lönngren
Dr Peter Corr
Number eligible to attend
Number Attended
11
11
1
11
11
11
1
11
Pg. 11
Directors Report
No indemnities have been given or insurance premiums paid, during or since the end of the year, for
any person who is or has been an officer or auditor of Analytica Limited.
Employees
Analytica recognises the value of diversity in the workplace and is committed to providing equal
opportunity for all of its staff. Over 46% of current full-time equivalent employees are female. Where
possible Analytica offers flexible work practices and work life balance as a key retention tool. Analytica
is also committed to providing a workplace free from any form of harassment, bullying and
discrimination.
Options
Unissued shares under option
At the date of this report, the unissued ordinary shares of Analytica Limited under option are as follows
Grant Date
Date of Expiry
Exercise Price
Number under Option
Unlisted Options
24-Nov-16
09-Jun-17
09-Jun-17
28-Jun-17
30-Nov-17
22-Dec-21
08-Jun-22
08-Jun-22
22-Dec-21
30-Nov-22
0.01300
0.01300
0.01036
0.01300
0.01300
Listed Options
14-Jun-21
28-Jun-23
0.003500
70,000,000
41,000,000
33,350,000
2,500,000
20,000,000
166,850,000
75,000,000
75,000,000
Option holders do not have any rights to participate in any issues of shares or other interests in the
Company or any other entity. For details of options issued to directors and other key management
personnel as remuneration, refer to the remuneration report.
Pg. 12
Directors Report
Remuneration report (audited)
Remuneration policy
The remuneration policy of Analytica Limited has been designed to align key management personnel
(KMP) objectives with shareholder and business objectives by providing a fixed remuneration
component and offering specific long-term incentives based on key performance areas affecting the
Group's financial results. The Board of Analytica Limited believes the remuneration policy to be
appropriate and effective in its ability to attract and retain the best key management personnel to run
and manage the Group, as well as create goal congruence between directors, executives and
shareholders.
The Board's policy for determining the nature and amount of remuneration for key management
personnel of the Group is as follows:
•
The remuneration policy has been developed by the Board, following professional advice from
independent external consultants when required.
• All key management personnel receive a base salary (which is based on factors such as length
•
•
of service and experience), superannuation, fringe benefits, and performance incentives.
Performance incentives are based on predetermined key performance indicators.
Incentives paid in the form of options or rights are intended to align the interests of the KMP
and the Group with those of the shareholders. In this regard, key management personnel are
prohibited from limiting risk attached to those instruments by use of derivatives or other
means.
The performance of key management personnel is measured against criteria agreed with each
executive and is based predominantly on the forecast growth of the Group’s profits and shareholders’
value. All bonuses and incentives must be linked to predetermined performance criteria. The Board
may, however, exercise its discretion in relation to approving incentives, bonuses and options. Any
changes must be justified by reference to measurable performance criteria. The policy is designed to
attract the highest calibre of executives and reward them for performance that results in long-term
growth in shareholder wealth.
Key management personnel receive a superannuation guarantee contribution required by the law,
which is currently 9.5%, and do not receive any other retirement benefits. Some individuals, however,
have chosen to sacrifice part of their salary to increase payments towards superannuation.
Upon retirement, key management personnel are paid employee benefit entitlements accrued to the
date of retirement. Key management personnel are paid a percentage of between 5-10% of their salary
in the event of redundancy. Any options not exercised before or on the date of termination will lapse.
All remuneration paid to key management personnel is valued at the cost to the Group and expensed.
Pg. 13
Directors Report
The Board's policy is to remunerate non-executive directors at market rates for time, commitment, and
responsibilities. The board determines payments to the non-executive directors and reviews their
remuneration annually, based on market practice, duties and accountability. Independent external
advice is sought when required. The maximum aggregate amount of fees that can be paid to
non-executive directors is subject to approval by shareholders at the Annual General Meeting, the
current maximum is $550,000 which was approved at the 2011 AGM. In November 2004, the Board set
individual directors fees at $50,000 per annum plus statutory superannuation and the chairman's fee
at $75,000 plus statutory superannuation. Based on the current board structure total fees paid on a
yearly basis will be $175,000 plus statutory superannuation.
Key management personnel employed by the Company during the year, in addition to the Company’s
Directors, is the Company’s Chief Executive Officer, Mr Geoff Daly (appointed on the 7 November 2005)
and accepted the position of CEO on the 12 February 2014. Mr Daly has extensive experience in the
design of medical devices, prototyping and manufacturing.
Mr Daly is employed by the Company under the terms and conditions set out in an employment
contract. Due to the size of the company and the nature of its operations, the contract is open-ended
and not for a specific time frame. Mr Daly’s contract can be terminated by either party giving notice
commensurate with the period of employment. There is no provision in the employment contract for
the payment of any termination payments other than accrued statutory entitlements.
Mr Mangelsdorf is employed by the Company as CFO. Mr Mangelsdorf has 41 years in the accounting
profession. Due to the size of the company and the nature of its operations, the employment contract
is open- ended and not for a specific time frame. Mr Mangelsdorf can be terminated by either party
giving notice commensurate with the period of employment. There is no provision for the payment of
any termination payments other than accrued statutory entitlements. Key management personnel are
also entitled and encouraged to participate in the employee share and option arrangements to align
their interests with shareholders' interests.
Options granted under these arrangements do not carry dividend or voting rights. Each option is
entitled to be converted into one ordinary share and is valued using the Black-Scholes methodology.
Key management personnel who are subject to these arrangements are subject to a policy governing
the use of external hedging arrangements. Such personnel are prohibited from entering into hedge
arrangements, i.e. put options, on unvested shares and options which form part of their remuneration
package. Terms of employment signed by such personnel contain details of such restrictions.
Relationship between remuneration policy and company performance
The remuneration policy has been tailored to increase goal congruence between shareholders,
directors and executives. Two methods have been applied to achieve this aim, the first being a
Pg. 14
Directors Report
performance-based bonus based on key performance indicators, and the second being the issue of
options to directors and executives to encourage the alignment of personal and shareholder interests.
The following table shows the gross revenue, profits and dividends for the last five years for the
Company, as well as the share prices at the end of the respective financial years.
Revenue
2021
$
801,647
2020
$
2019
$
2018
$
2017
$
809,919
829,556
1,010,565
1,254,337
Net Profit/(Loss)
(1,507,406)
(1,620,156)
(2,054,174)
(2,159,091)
(3,254,704)
Share Price at
Year end
Dividends Paid
(cents)
0.01
-
0.01
0.01
0.01
-
-
-
0.01
-
Performance conditions linked to remuneration
Company executive fees are not linked to the performance of the Group. However, to align executives'
interests with shareholder interests, the executives are encouraged to hold shares in the Group.
Employment details of members of key management personnel
The following table provides employment details of persons who were, during the financial year,
members of key management personnel of the Group.
The table also
illustrates the proportion of remuneration that was performance based,
non-performance based, and the proportion of remuneration received in the form of options.
Pg. 15
Directors Report
Group KMP
Position Held as
at 30 June 2021
and any Change
during the Year
Contract
Details
Duration and
Termination
Proportions of
Elements of
Remuneration
Related to
Performance
Proportions of
Elements of
Remuneration Not
Related to
Performance
l
y
r
a
a
s
-
n
o
N
d
e
s
a
b
-
h
s
a
C
%
s
t
i
n
U
s
e
r
a
h
S
i
%
s
t
h
g
R
s
n
o
i
t
p
O
%
s
e
e
F
l
y
r
a
a
S
d
e
x
i
F
%
l
a
t
o
T
Directors
Dr M
Monsour
Mr R
Mangelsdorf
Dr T
Lönngren
Dr P Corr
KMP
G Daly
Chairman
Annual Review
Executive
Director and
Chief Financial
Officer
Non-executive
Director
Non-executive
Director
Annual
Review*
Resigned 17
August 2020
Annual Review
-
-
-
-
-
-
100
100
-
23
77
100
-
-
-
-
-
100
100
100
100
100
100
Chief Executive
Officer
*
-
-
* Open - ended contract; Termination by 5 weeks notice or 4 weeks employee.
Service Agreements
On appointment to the Board, all non-executive directors enter into a service agreement with the
Company in the form of a letter of appointment. The letter summarises the Board policies and terms,
including remuneration, relevant to the office of director.
The remuneration and other terms of employment for the Managing Director and senior executives are
set out in formal service agreements as summarised below.
All service agreements are for an unlimited duration. The agreements for executives (other than the
Managing Director, Chief Executive Officer and Chief Finance Officer which require 5 weeks’ notice,
may be terminated by giving 4 weeks’ notice (except in cases of termination for cause where
termination is immediate).
In cases of resignation, no separation payment is made to the executive, except for amounts due and
payable up to the date of ceasing employment, including accrued leave entitlements.
Pg. 16
Directors Report
Remuneration details for the year ended 30 June 2021
The following tables of benefits and payment represents components of the current year and
comparative year remuneration for each member of the key management personnel of the Group. Such
amounts have been calculated in accordance with Australian Accounting Standards.
2021
short term
Total
s
e
e
f
y
r
a
l
a
s
h
s
a
c
$
s
u
n
o
b
y
r
a
t
e
n
o
m
n
o
n
r
e
h
t
o
$
$
$
$
post
employment
long
ter
m
share based
payments
Total
n
o
i
t
a
u
n
n
a
r
e
p
u
s
$
t
s
o
p
r
e
h
t
o
t
n
e
m
y
o
p
m
e
l
n
o
i
t
a
n
m
r
e
t
i
$
$
s
t
h
g
i
r
&
s
n
o
i
t
p
o
$
s
t
i
n
u
&
s
e
r
a
h
s
d
e
l
t
t
e
s
-
h
s
a
c
$
$
$
Directors
Dr M
Monsour
Mr R
Mangelsdorf
Dr T
Lönngren
Dr P Corr
KMP
G Daly
75,000
176,000
6,586
50,000
270,000
577,586
-
-
-
-
-
-
-
-
-
-
-
-
-
75,000
9,500
-
176,000 18,303
-
-
-
-
6,586
2,209
50,000
6,333
270,000 25,650
577,586 61,995
-
-
-
-
-
-
-
-
-
-
-
-
-
59,664
-
-
-
59,664
-
-
-
-
-
-
-
84,500
-
253,967
-
-
-
-
8,795
56,333
295,650
699,245
2020
short term
Total
s
e
e
f
y
r
a
l
a
s
h
s
a
c
$
s
u
n
o
b
y
r
a
t
e
n
o
m
n
o
n
r
e
h
t
o
$
$
$
$
post
employment
long
ter
m
share based
payments
Total
n
o
i
t
a
u
n
n
a
r
e
p
u
S
$
t
s
o
p
r
e
h
t
o
t
n
e
m
y
o
p
m
e
l
n
o
i
t
a
n
m
r
e
t
i
$
$
s
t
h
g
i
r
&
s
n
o
i
t
p
o
$
s
t
i
n
u
&
s
e
r
a
h
s
d
e
l
t
t
e
s
-
h
s
a
c
$
$
$
Directors
Dr M
Monsour
Mr R
Mangelsdorf
Dr T
Lönngren
Dr P Corr
KMP
G Daly
75,000
176,000
50,000
50,000
258,333
609,333
-
-
-
-
-
-
-
-
-
-
-
-
-
75,000
7,125
-
176,000 16,720
-
-
-
-
50,000
4,750
50,000
4,750
250,000 24,542
609,333 57,887
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
82,125
-
192,720
-
-
-
-
54,750
54,750
282,875
667,220
Pg. 17
Directors Report
Securities received that are not performance related
No members of key management personnel are entitled to receive securities which are not
performance-based as part of their remuneration package
Cash performance-related bonuses
There were no bonuses granted as remuneration to key management personnel and other executives
during the year ended 30 June 2021 (2020: nil).
Description of options/rights granted as remuneration
Details of the options granted as remuneration to those key management personnel and executives
during the year:
2021
Granted as
remuneration
Value of
options at
grant date
Vested
during the
year
Lapsed
during the
year
No.
$
No.
No.
Value of
lapsed
options at
lapse date
$
Directors
Mr R Mangelsdorf
Dr T Lönngren
50,000,000
59,664
50,000,000
-
-
-
-
10,000,000
-
13,873
2020
Granted as
remuneration
Value of
options at
grant date
Vested
during the
year
Lapsed
during the
year
Value of
lapsed
options at
lapse date
No.
$
No.
No.
$
Directors
NIL
There have not been any alterations to the terms or conditions of any share based payment
arrangements since grant date.
Corporate Governance
Analytica Ltd is committed to implementing the highest possible standards of corporate governance. In
determining what those high standards should involve, Analytica Ltd has turned to the ASX Corporate
Governance Council’s Corporate Governance Principles and Recommendations (ASX Principles) and has
a corporate governance framework that reflects those recommendations within the structure of the
Company.
Pg. 18
Directors Report
The Board of Analytica Ltd approved an updated series of policies and charters in line with the
amendments to the ASX Principles. The Company’s policies and charters together form the basis of the
Company’s governance framework at the date of signing of the directors’ report.
Within this framework:
•
•
•
•
the Board of Directors is accountable to shareholders for the performance of the Company;
the Company’s goals to achieve milestones are set and promulgated;
the risks of the business are identified and managed, and
the Company’s established values and principles underpin the way in which it undertakes its
operations.
The Company has in place an entrenched, well developed governance culture which has its foundations
in the ethical values that the Board, management and staff bring to the Company and their commitment
to positioning the Company as a leader in its field.
In certain instances, due to the size and stage of development of Analytica and its operations, it may
not be practicable or necessary to implement the ASX Principles in their entirety. In these instances,
Analytica Ltd has identified the areas of divergence.
Pg. 19
Directors Report
Key management personnel options and rights holdings
2021
Balance
beginning
of year
s
a
d
e
t
n
a
r
G
n
o
i
t
a
r
e
n
u
m
e
r
d
e
s
i
c
r
e
x
E
Directors
Unlisted Options @ 1.62 cents, Expire 10/12/20
Dr T Lonngren
10,000,000
-
Unlisted Options @ 1.30 cents, Expire 21/12/21
Dr M Monsour
20,000,000
Mr R
Mangelsdorf
10,000,000
Dr T Lonngren
10,000,000
-
-
-
Unlisted Options @ 1.30 cents, Expire 30/11/22
Dr P Corr
10,000,000
Mr R
Mangelsdorf
10,000,000
-
-
Listed Options @ 0.35 cents, Expire 28/06/23
Mr R
Mangelsdorf
Other KMP
50,000,000
Unlisted Options @ 1.30 cent, Expire 8/06/22
G Daly
10,000,000
-
Unlisted Options @ 1.036 cent, Expire 8/06/22
G Daly
10,000,000
-
Unlisted Options @ 1.036 cent, Expire 8/06/22
G Daly
14,000,000
-
Unlisted Options @ 1.036 cent, Expire 8/06/22
G Daly
4,250,000
-
108,250,000
50,000,000
-
-
-
-
-
-
-
-
-
-
-
Lapsed
Balance at
the end of
year
Vested
during the
year
Vested and
exercisable
(10,000,000)
-
20,000,000
10,000,000
10,000,000
10,000,000
10,000,000
-
-
-
-
-
-
-
-
-
-
-
-
50,000,000
50,000,000
50,000,000
10,000,000
10,000,000
14,000,000
4,250,000
-
-
-
-
10,000,000
10,000,000
14,000,000
4,250,000
-
-
-
-
-
-
-
-
-
(10,000,000)
148,250,000
50,000,000
88,250,000
Pg. 20
Directors Report
Key management personnel options and rights holdings
2020
Balance
beginning
of year
s
a
d
e
t
n
a
r
G
n
o
i
t
a
r
e
n
u
m
e
r
d
e
s
i
c
r
e
x
E
Directors
Unlisted Options @ 1.62 cents, Expire 10/12/20
Dr T Lonngren
10,000,000
-
-
Unlisted Options @ 1.30 cents, Expire 21/12/21
Dr M Monsour
20,000,000
Mr R
Mangelsdorf
10,000,000
-
-
Dr T Lonngren
-
Unlisted Options @ 1.30 cents, Expire 30/11/22
10,000,000
Dr P Corr
Mr R
Mangelsdorf
Other KMP
10,000,000
10,000,000
-
-
Unlisted Options @ 1.30 cent, Expire 8/06/22
G Daly
10,000,000
-
Unlisted Options @ 1.30 cent, Expire 8/06/22
G Daly
10,000,000
-
-
-
-
-
-
-
-
Unlisted Options @ 1.036 cent, Expire 8/06/22
G Daly
14,000,000
-
-
Unlisted Options @ 1.036 cent, Expire 8/06/22
G Daly
4,250,000
108,250,000
-
-
-
-
Lapsed
Balance at
the end of
year
Vested
during the
year
Vested and
exercisable
-
-
-
-
-
-
-
-
-
-
-
10,000,000
20,000,000
10,000,000
10,000,000
10,000,000
10,000,000
10,000,000
10,000,000
14,000,000
4,250,000
108,250,000
-
-
-
-
-
-
-
-
-
-
-
10,000,000
-
-
-
-
-
10,000,000
10,000,000
14,000,000
4,250,000
48,250,000
Pg. 21
Directors Report
Key management personnel shareholdings
The number of ordinary shares in Analytica Limited held by each key management person of the
Group during the year is as follows:
2021
Balance at
beginning of
year
On exercise of
options
Other changes
during the year
Balance at end of
year
Directors
Dr M Monsour
Mr R Mangelsdorf
Dr P Corr
KMP
Mr G Daly
876,207,457
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
-
-
-
-
-
-
214,285,714
1,090,493,171
-
-
107,898,245
360,790,157
214,285,714
1,559,181,573
-
2,081,658
214,285,714
1,561,263,231
2020
Balance at
beginning of
year
On exercise of
options
Other changes
during the year
Balance at end of
year
Directors
Dr M Monsour
Mr R Mangelsdorf
Dr P Corr
KMP
Mr G Daly
876,207,457
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
-
-
-
-
-
-
-
-
-
-
-
-
876,207,457
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
Pg. 23
Directors Report
Key Management and Staff
Geoff Daly, Chief Executive Officer
Mr Daly is a Chartered Biomedical and Mechanical Engineer with 25 years of
professional engineering experience, the last 20 in the medical device industry.
Mr Daly has expertise in design processes, quality systems, and business system
improvement, and is trained in the use of Six Sigma tools. He has extensive hands-
on design experience of product development in FDA QSR and ISO 13485
environments in some of Australia's largest and smallest medical device companies.
Chelsea Cornelius – Product Development and Operations
Manager
Chelsea started at Analytica in 2008 and has been a key developer of the
PeriCoach. Chelsea has a double degree of Arts (Cultural Studies) and
Engineering (Mechanical; Hons) at Swinburne University, and a Masters of
Biomedical Engineering at Melbourne University. In 2016 Chelsea received the
Medical Technology Association of Australia Outstanding Achievement Award.
AUDITOR’S INDEPENDENCE DECLARATION
UNDER SECTION 307C OF THE CORPORATIONS ACT 2001
TO THE DIRECTORS OF ANALYTICA LIMITED
I declare that, to the best of my knowledge and belief, during the year ended 30 June 2021 there has been:
i.
no contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in
relation to the audit; and
ii. no contraventions of any applicable code of professional conduct in relation to the audit.
Bentleys Brisbane Partnership
Chartered Accountants
Ashley Carle
Partner
30 September 2021
Pg. 25
Consolidated Statement of Profit or Loss and Other Comprehensive Income
Consolidated Statement of Profit or Loss
and Other Comprehensive Income
Continuing operations
Sales Revenue
Cost of Sales
Gross Profit
Grant Income
Government Business Support
Investment revenue
Royalty Income
Administration expense
Depreciation, amortisation and impairments
Finance expenses
Foreign Currency Gains and Losses
Investments Fair Value Adjustment
Marketing expenses
Occupancy expenses
Option expenses
Patent maintenance expenses
Research and development expense
Loss before income tax
Income tax expense
Loss for the year
Other comprehensive income for the year
Total comprehensive income for the year
Loss attributable to:
Members of the parent entity
Total comprehensive income attributable to:
Members of the parent entity
Note
2
2
2
2
2
2
2
2
2
2
2
3
2021
$
7,244
(3,495)
3,749
656,895
131,300
212
5,996
(841,414)
(9,202)
(58,497)
(8,458)
5,553
(184,331)
(5,094)
(89,496)
(23,148)
(1,091,471)
(1,507,406)
-
(1,507,406)
-
(1,507,406)
-
(1,507,406)
-
(1,507,406)
2020
$
11,367
(16,795)
(5,428)
708,447
74,000
4,014
12,091
(797,343)
(8,634)
(227)
(11,327)
(7,643)
(131,640)
(6,045)
49,005
(27,779)
(1,471,647)
(1,620,156)
-
(1,620,156)
-
(1,620,156)
-
(1,620,156)
-
(1,620,156)
Earnings per share
Basic earnings per share (dollars)
Diluted earnings per share (dollars)
6
6
(0.0004)
(0.0004)
(0.0005)
(0.0005)
Pg. 26
Consolidated Statement of Financial Position
Consolidated Statement of Financial Position
Assets
Current Assets
Cash and cash equivalents
Inventories
Prepayments
Trade and other receivables
Non-current Assets
Intangible assets
Other financial assets
Property, plant and equipment
Total Assets
Liabilities
Current Liabilities
Directors loans
Employee benefits
Short-term provisions
Trade and other payables
Non-Current Liabilities
Provision for Long Service Leave
Total Liabilities
Net Assets
Equity
Issued capital
Reserves
Retained Earnings
Total Equity
Consolidated Group
Notes
2021
$
2020
$
7
9
13
8
12
10
11
16
15
14
16
1,890,683
177,802
114,836
18,934
2,202,255
384,092
13,581
8,690
406,363
2,608,618
-
263,785
70,295
171,448
505,528
66,215
111,578
138,032
20,323
336,148
315,914
8,028
7,562
331,504
667,652
75,154
254,999
66,900
267,289
664,342
11,246
9,554
516,774
673,896
2,091,844
(6,244)
18
17
107,383,796
900,065
(106,192,017)
103,867,798
852,188
(104,726,230)
2,091,844
(6,244)
Pg. 27
Consolidated Statement of Changes in Equity
Consolidated Statement of Changes in Equity
2021
Balance at 1 July 2020
Profit/(Loss) attributable to
members of the parent entity
Options issued during the year
Options lapsed/forfeited during
the year
Transaction costs
Shares issued during the year
Balance at 30 June 2021
2020
Balance at 1 July 2019
Profit/(Loss) attributable to
members of the parent entity
Options reversed during the year
Options lapsed during the year
Transaction costs
Balance at 30 June 2020
Note
Ordinary
Shares
$
103,867,798
Retained
Earnings
$
(104,726,230)
Option
Reserve
$
852,188
Total
$
(6,244)
-
-
-
(1,507,406)
-
(1,507,406)
-
89,496
89,496
41,619
(41,619)
-
(313,663)
3,829,661
107,383,796
-
-
(106,192,017)
-
-
900,065
(313,663)
3,829,661
2,091,844
Ordinary
Shares
$
103,873,113
Retained
Earnings
$
(103,132,370)
Option
Reserve
$
Total
$
927,489
1,668,232
-
(1,620,156)
-
(1,620,156)
17, 18
Note
-
-
(5,315)
103,867,798
-
26,296
-
(104,726,230)
(49,005)
(26,296)
-
852,188
(49,005)
-
(5,315)
(6,244)
17, 18
Pg. 28
Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows
Consolidated Group
Receipts from customers
Receipts from grants
Receipts from Government Support
Receipts from royalties
Payments to suppliers and employees
Interest received
Finance costs
Interest paid
Net cash provided by (used in) operating activities
21
Cash flows from investing activities:
Payment for intangible asset
Payment for Plant & Equipment
Net cash used by investing activities
Cash flows from financing activities:
Proceeds from borrowings
Repayment of borrowings
Proceeds from issue of shares
Costs of fund raising
Net cash used by financing activities
Net increase (decrease) in cash and cash equivalents held
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of financial year
7
2021
$
7,244
656,895
131,300
5,996
(2,281,018)
212
-
(58,497)
(1,537,868)
(74,029)
(4,479)
(78,508)
-
(75,154)
3,829,661
(313,663)
3,440,844
1,824,468
66,215
1,890,683
2020
$
11,367
708,447
74,000
12,091
(2,497,988)
4,014
-
(73)
(1,688,142)
(84,631)
-
(84,631)
75,000
-
-
(5,315)
69,685
(1,703,088)
1,769,303
66,215
Pg. 29
Notes to the Financial Statements
Notes to the Financial Statements
These consolidated financial statements and notes represent those of Analytica Limited and Controlled
Entities (the “consolidated group” or “group”).
The separate financial statements of the parent entity, Analytica Limited, have not been presented
within this financial report as permitted by the Corporations Act 2001.
The financial statements were authorised for issue on 30th September 2021 by the directors of the
company.
1: Summary of Significant Accounting Policies
Basis of Preparation
These general purpose financial statements have been prepared in accordance with the Corporations
Act 2001, Australian Accounting Standards and Interpretations of the Australian Accounting Standards
Board and International Financial Reporting Standards as issued by the International Accounting
Standards Board. The Group is a for-profit entity for financial reporting purposes under Australian
Accounting Standards. Material accounting policies adopted in the preparation of these financial
statements are presented below and have been consistently applied unless stated otherwise.
Except for cash flow information, the financial statements have been prepared on an accruals basis and
are based on historical costs, modified, where applicable, by the measurement at fair value of selected
non-current assets, financial assets and financial liabilities.
a. Principles of Consolidation
The consolidated financial statements incorporate all of the assets, liabilities and results of the parent
(Analytica Limited) and all of the subsidiaries (including any structured entities). Subsidiaries are entities
the parent controls. The parent controls an entity when it is exposed to, or has rights to, variable returns
from its involvement with the entity and has the ability to affect those returns through its power over
the entity. A list of the subsidiaries is provided in Note 23.
The assets, liabilities and results of all subsidiaries are fully consolidated into the financial statements
of the Group from the date on which control is obtained by the Group. The consolidation of a subsidiary
is discontinued from the date that control ceases. Intercompany transactions, balances and unrealised
gains or losses on transactions between group entities are fully eliminated on consolidation. Accounting
policies of subsidiaries have been changed and adjustments made where necessary to ensure
uniformity of the accounting policies adopted by the Group.
Equity interests in a subsidiary not attributable, directly or indirectly, to the Group are presented as
“non-controlling interests”. The Group initially recognises non-controlling interests that are present
ownership interests in subsidiaries and are entitled to a proportionate share of the subsidiary’s net
assets on liquidation at either fair value or at the non-
Pg. 30
Notes to the Financial Statements
controlling interests’ proportionate share of the subsidiary’s net assets. Subsequent to initial
recognition, non-controlling interests are attributed their share of profit or loss and each component
of other comprehensive income. Non-controlling interests are shown separately within the equity
section of the statement of financial position and statement of comprehensive income.
Business combinations
Business combinations occur where an acquirer obtains control over one or more businesses.
A business combination is accounted for by applying the acquisition method, unless it is a combination
involving entities or businesses under common control. The business combination will be accounted for
from the date that control is obtained, whereby the fair value of the identifiable assets acquired and
liabilities (including contingent liabilities) assumed is recognised (subject to certain limited exemptions).
When measuring the consideration transferred in the business combination, any asset or liability
resulting from a contingent consideration arrangement is also included. Subsequent to initial
recognition, contingent consideration classified as equity is not remeasured and its subsequent
settlement is accounted for within equity. Contingent consideration classified as an asset or liability is
remeasured in each reporting period to fair value, recognising any change to fair value in profit or loss,
unless the change in value can be identified as existing at acquisition date.
All transaction costs incurred in relation to business combinations, other than those associated with
the issue of a financial instrument, are recognised as expenses in profit or loss when incurred.
The acquisition of a business may result in the recognition of goodwill or a gain from a bargain purchase.
Goodwill
Goodwill is carried at cost less any accumulated impairment losses. Goodwill is calculated as the excess
of the sum of:
i.
ii.
iii.
the consideration transferred;
any non-controlling interest (determined under either the full goodwill or proportionate
interest method); and
the acquisition date fair value of any previously held equity interest;
over the acquisition date fair value of net identifiable assets acquired.
The acquisition date fair value of the consideration transferred for a business combination plus the
acquisition date fair value of any previously held equity interest shall form the cost of the investment
in the separate financial statements.
Fair value re-measurements in any pre-existing equity holdings are recognised in profit or loss in the
period in which they arise. Where changes in the value of such equity holdings had previously been
recognised in other comprehensive income, such amounts are recycled to profit or loss.
Pg. 31
Notes to the Financial Statements
The amount of goodwill recognised on acquisition of each subsidiary in which the Group holds less than
100% interest will depend on the method adopted in measuring the non-controlling interest. The Group
can elect in most circumstances to measure the non-controlling interest in the acquired either at fair
value (full goodwill method) or at the non-controlling interest's proportionate share of the subsidiary's
identifiable net assets (proportionate interest method). In such circumstances, the Group determines
which method to adopt for each acquisition and this is stated in the respective notes to these financial
statements disclosing the business combination.
Under the full goodwill method, the fair value of the non-controlling interest is determined using
valuation techniques which make the maximum use of market information where available. Under this
method, goodwill attributable to the non-controlling interest is recognised in the consolidated financial
statements.
Goodwill on acquisition of subsidiaries is included in intangible assets. Goodwill on acquisition of
associates is included in investments in associates.
Goodwill is tested for impairment annually and is allocated to the Group's cash-generating units or
groups of cash-generating units, representing the lowest level at which goodwill is monitored and not
larger than an operating segment. Gains and losses on the disposal of an entity include the carrying
amount of goodwill related to the entity disposed of.
Changes in the ownership interests in a subsidiary that do not result in a loss of control are accounted
for as equity transactions and do not affect the carrying amounts of goodwill.
b. Income Tax
The income tax expense (income) for the year comprises current income tax expense (income) and
deferred tax expense (income).
Current income tax expense charged to profit or loss is the tax payable on taxable income. Current tax
liabilities (assets) are measured at the amounts expected to be paid to (recovered from) the relevant
taxation authority.
Deferred income tax expense reflects movements in deferred tax asset and deferred tax liability
balances during the year as well as unused tax losses.
Current and deferred income tax expense (income) is charged or credited outside profit or loss when
the tax relates to items that are recognised outside profit or loss.
Except for business combinations, no deferred income tax is recognised from the initial recognition of
an asset or liability, where there is no effect on accounting or taxable profit or loss.
Deferred tax assets and liabilities are calculated at the tax rates that are expected to apply to the period
when the asset is realised or the liability is settled and their measurement also reflects the manner in
which management expects to recover or settle the carrying amount of the related asset or liability.
Pg. 32
Notes to the Financial Statements
With respect to non-depreciable items of property, plant and equipment measured at fair value and
items of investment property measured at fair value, the related deferred tax liability or deferred tax
asset is measured on the basis that the carrying amount of the asset will be recovered entirely through
sale.
Deferred tax assets relating to temporary differences and unused tax losses are recognised only to the
extent that it is probable that future taxable profit will be available against which the benefits of the
deferred tax asset can be utilised.
Where temporary differences exist in relation to investments in subsidiaries, branches, associates, and
joint ventures, deferred tax assets and liabilities are not recognised where the timing of the reversal of
the temporary difference can be controlled and it is not probable that the reversal will occur in the
foreseeable future.
Current tax assets and liabilities are offset where a legally enforceable right of set-off exists and it is
intended that net settlement or simultaneous realisation and settlement of the respective asset and
liability will occur. Deferred tax assets and liabilities are offset where: (i) a legally enforceable right of
set-off exists; and (ii) the deferred tax assets and liabilities relate to income taxes levied by the same
taxation authority on either the same taxable entity or different taxable entities where it is intended
that net settlement or simultaneous realisation and settlement of the respective asset and liability will
occur in future periods in which significant amounts of deferred tax assets or liabilities are expected to
be recovered or settled.
c. Fair Value of Assets and Liabilities
The Group measures some of its assets and liabilities at fair value on either a recurring or non-recurring
basis, depending on the requirements of the applicable Accounting Standard.
Fair value is the price the Group would receive to sell an asset or would have to pay to transfer a liability
in an orderly (i.e. unforced) transaction between independent, knowledgeable and willing market
participants at the measurement date.
As fair value is a market-based measure, the closest equivalent observable market pricing information
is used to determine fair value. Adjustments to market values may be made having regard to the
characteristics of the specific asset or liability. The fair values of assets and liabilities that are not traded
in an active market are determined using one or more valuation techniques. These valuation techniques
maximise, to the extent possible, the use of observable market data.
To the extent possible, market information is extracted from either the principal market for the asset
or liability (ie the market with the greatest volume and level of activity for the asset or liability) or, in
the absence of such a market, the most advantageous market available to the entity at the end of the
reporting period (ie the market that maximises the receipts from the sale of the asset or minimises the
Pg. 33
Notes to the Financial Statements
payments made to transfer the liability, after taking into account transaction costs and transport costs).
For non-financial assets, the fair value measurement also takes into account a market participant’s
ability to use the asset in its highest and best use or to sell it to another market participant that would
use the asset in its highest and best use.
The fair value of liabilities and the entity’s own equity instruments (excluding those related to share-
based payment arrangements) may be valued, where there is no observable market price in relation to
the transfer of such financial instruments, by reference to observable market information where such
instruments are held as assets. Where this information is not available, other valuation techniques are
adopted and, where significant, are detailed in the respective note to the financial statements.
d. Inventories
Inventories are measured at the lower of cost and net realisable value. The cost of manufactured
products includes direct materials, direct labour and an appropriate proportion of variable and fixed
overheads. Cost of inventory is determined using the first-in-first-out basis and are net of any rebates
and discounts received.
e. Property, Plant and Equipment
Each class of property, plant and equipment is carried at cost or fair value as indicated less, where
applicable, any accumulated depreciation and impairment losses.
Property
Freehold land and buildings are carried at their fair value (being the amount for which an asset could
be exchanged between knowledgeable, willing parties in an arm’s length transaction), based on
periodic, but at least triennial, valuations by external independent valuers, less accumulated
depreciation for buildings.
Increases in the carrying amount arising on revaluation of land and buildings are credited to a
revaluation surplus in equity. Decreases that offset previous increases of the same asset are recognised
against revaluation surplus directly in equity; all other decreases are recognised in profit or loss.
Any accumulated depreciation at the date of revaluation is eliminated against the gross carrying
amount of the asset and the net amount is restated to the revalued amount of the asset.
Plant and equipment
Plant and equipment are measured on the cost basis and therefore carried at cost less accumulated
depreciation and any accumulated impairment. In the event the carrying amount of plant and
equipment is greater than the estimated recoverable amount, the carrying amount is written down
immediately to the estimated recoverable amount and impairment losses are recognised either in profit
Pg. 34
Notes to the Financial Statements
or loss or as a revaluation decrease if the impairment losses relate to a revalued asset. A formal
assessment of recoverable amount is made when impairment indicators are present.
The carrying amount of plant and equipment is reviewed annually by directors to ensure it is not in
excess of the recoverable amount from these assets. The recoverable amount is assessed on the basis
of the expected net cash flows that will be received from the asset’s employment and subsequent
disposal. The expected net cash flows have been discounted to their present values in determining
recoverable amounts.
The cost of fixed assets constructed within the consolidated group includes the cost of materials, direct
labour, borrowing costs and an appropriate proportion of fixed and variable overheads.
Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as
appropriate, only when it is probable that future economic benefits associated with the item will flow
to the Group and the cost of the item can be measured reliably. All other repairs and maintenance are
recognised as expenses in profit or loss during the financial period in which they are incurred.
Depreciation
The depreciable amount of all fixed assets including buildings and capitalised lease assets, but excluding
freehold land, is depreciated on a straight-line basis over the asset’s useful life to the consolidated
group commencing from the time the asset is held ready for use. Leasehold improvements are
depreciated over the shorter of either the unexpired period of the lease or the estimated useful lives
of the improvements.
The depreciation rates used for each class of depreciable assets are:
Class of Fixed Asset
Plant and equipment
Office equipment
Computer equipment
Depreciation Rate
13.33% – 20%
10% – 66.67%
20% - 100%
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each
reporting period.
An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying
amount is greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These
gains and losses are recognised in profit or loss in the period in which they arise. When revalued assets
are sold, amounts included in the revaluation surplus relating to that asset are transferred to retained
earnings.
Pg. 35
Notes to the Financial Statements
f. Leases
At inception of a contract, the Group assesses if the contract contains or is a lease. If there is a lease
present, a right-of-use asset and a corresponding lease liability is recognised by the Group where the
Group is a lessee. However, all contracts classified as short-term leases (with a remaining lease term of
12 months or less) and leases of low value assets are recognised as an operating expense on a straight-
line basis over the term of the lease.
Initially the lease liability is measured at the present value of the lease payments still to be paid at
commencement date. The lease payments are discounted at the interest rate implicit in the lease. If
this rate cannot be readily determined, the Group uses the incremental borrowing rate.
Lease payments included in the measurement of the lease liability are as follows:
-
-
-
-
-
-
Fixed lease payments less any lease incentives;
Variable lease payments that depend on an index or rate, initially measured using the index or
rate at the commencement date;
The amount expected to be paid by the lessee under residual value guarantees;
The exercise price of purchase options, if the lessee is reasonably certain to exercise the options;
Lease payments under extension options, if the lessee is reasonably certain to exercise the
options; and
Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option
to terminate the lease.
The right-of-use assets comprise the initial measurement of the corresponding lease liability as
mentioned above, any lease payments made at or before the commencement date, as well as any initial
direct costs. The subsequent measurement of the right-of-use assets is at cost less accumulated
depreciation and impairment losses.
Right-of-use assets are depreciated over the lease term or useful life of the underlying asset, whichever
is the shortest. Where a lease transfers ownership of the underlying asset, or the cost of the right-of-
use asset reflects that the Group anticipates to exercise a purchase option, the specific asset is
depreciated over the useful life of the underlying asset.
Pg. 36
Notes to the Financial Statements
Variable rents that do not depend on an index or rate are not included in the measurement of the lease
liability and the right-of-use asset. The related payments are recognised as an expense in the period in
which the event or condition that triggers those payments occurs and are included in the line ‘Other
expenses" in the statement of profit or loss and other comprehensive income.
g. Financial Instruments
Initial recognition and measurement
Financial assets and financial liabilities are recognised when the Group becomes a party to the
contractual provisions to the instrument. For financial assets, this is the date that the Group commits
itself to either the purchase or sale of the asset (i.e. trade date accounting is adopted).
Financial instruments (except for trade receivables) are initially measured at fair value plus transaction
costs, except where the instrument is classified “at fair value through profit or loss”, in which case
transaction costs are expensed to profit or loss immediately. Where available, quoted prices in an active
market are used to determine fair value. In other circumstances, valuation techniques are adopted.
Trade receivables are initially measured at the transaction price if the trade receivables do not contain
a significant financing component.
Classification and subsequent measurement
Financial liabilities
Financial liabilities are subsequently measured at:
– amortised cost; or
–
fair value through profit or loss.
A financial liability is measured at fair value through profit or loss if the financial liability is:
– held for trading; or
–
initially designated as at fair value through profit or loss.
All other financial liabilities are subsequently measured at amortised cost using the effective interest
method.
The effective interest method is a method of calculating the amortised cost of a debt instrument and
of allocating interest expense in profit or loss over the relevant period.
The effective interest rate is the internal rate of return of the financial asset or liability, that is, it is the
rate that exactly discounts the estimated future cash flows through the expected life of the instrument
to the net carrying amount at initial recognition.
A financial liability is held for trading if it is:
Pg. 37
Notes to the Financial Statements
–
incurred for the purpose of repurchasing or repaying in the near term;
– part of a portfolio where there is an actual pattern of short-term profit taking; or
– a derivative financial instrument (except for a derivative that is in a financial guarantee contract or
a derivative that is in an effective hedging relationship).
Any gains or losses arising on changes in fair value are recognised in profit or loss to the extent that
they are not part of a designated hedging relationship.
The change in fair value of the financial liability attributable to changes in the issuer's credit risk is taken
to other comprehensive income and is not subsequently reclassified to profit or loss. Instead, it is
transferred to retained earnings upon derecognition of the financial liability.
If taking the change in credit risk in other comprehensive income enlarges or creates an accounting
mismatch, then these gains or losses should be taken to profit or loss rather than other comprehensive
income.
A financial liability cannot be reclassified.
Financial guarantee contracts
A financial guarantee contract is a contract that requires the issuer to make specified payments to
reimburse the holder for a loss it incurs because a specified debtor fails to make payment when due in
accordance with the terms of a debt instrument.
Financial guarantee contracts are initially measured at fair value (and if not designated as at fair value
through profit or loss and do not arise from a transfer of a financial asset) and subsequently measured
at the higher of:
–
the amount of loss allowance determined in accordance to AASB 9.3.25.3; and
–
the amount initially recognised less accumulative amount of income recognised in accordance with
the revenue recognition policies.
Financial assets
Financial assets are subsequently measured at:
– amortised cost;
–
fair value through other comprehensive income; or
–
fair value through profit or loss.
Measurement is on the basis of two primary criteria:
–
the contractual cash flow characteristics of the financial asset; and
–
the business model for managing the financial assets.
Pg. 38
Notes to the Financial Statements
A financial asset that meets the following conditions is subsequently measured at amortised cost:
–
the financial asset is managed solely to collect contractual cash flows; and
–
the contractual terms within the financial asset give rise to cash flows that are solely payments of
principal and interest on the principal amount outstanding on specified dates.
A financial asset that meets the following conditions is subsequently measured at fair value through
other comprehensive income:
–
the contractual terms within the financial asset give rise to cash flows that are solely payments of
principal and interest on the principal amount outstanding on specified dates; and
–
the business model for managing the financial asset comprises both contractual cash flows
collection and the selling of the financial asset.
By default, all other financial assets that do not meet the measurement conditions of amortised cost
and fair value through other comprehensive income are subsequently measured at fair value through
profit or loss.
The Group initially designates a financial instrument as measured at fair value through profit or loss if:
–
it eliminates or significantly reduces a measurement or recognition inconsistency (often referred to
as an “accounting mismatch”) that would otherwise arise from measuring assets or liabilities or
recognising the gains and losses on them on different bases;
–
it is in accordance with the documented risk management or investment strategy and information
about the groupings is documented appropriately, so the performance of the financial liability that
is part of a group of financial liabilities or financial assets can be managed and evaluated consistently
on a fair value basis; and
–
it is a hybrid contract that contains an embedded derivative that significantly modifies the cash flows
otherwise required by the contract.
The initial designation of the financial instruments to measure at fair value through profit or loss is a
one-time option on initial classification and is irrevocable until the financial asset is derecognised.
Equity instruments
At initial recognition, the Group made an irrevocable election to measure any subsequent changes in
fair value of equity instruments. Dividend revenue received on underlying equity instruments
investments is also recognised in profit or loss.
Regular way purchases and sales of financial assets are recognised and derecognised at settlement date
in accordance with the Group's accounting policy.
Pg. 39
Notes to the Financial Statements
Derecognition
Derecognition refers to the removal of a previously recognised financial asset or financial liability from
the statement of financial position.
Derecognition of financial liabilities
A liability is derecognised when it is extinguished (ie when the obligation in the contract is discharged,
cancelled or expires). An exchange of an existing financial liability for a new one with substantially
modified terms, or a substantial modification to the terms of a financial liability, is treated as an
extinguishment of the existing liability and recognition of a new financial liability.
The difference between the carrying amount of the financial liability derecognised and the
consideration paid and payable, including any non-cash assets transferred or liabilities assumed, is
recognised in profit or loss.
Derecognition of financial assets
A financial asset is derecognised when the holder's contractual rights to its cash flows expires, or the
asset is transferred in such a way that all the risks and rewards of ownership are substantially
transferred.
All the following criteria need to be satisfied for the derecognition of a financial asset:
–
the right to receive cash flows from the asset has expired or been transferred;
– all risk and rewards of ownership of the asset have been substantially transferred; and
–
the Group no longer controls the asset (ie it has no practical ability to make unilateral decisions to
sell the asset to a third party).
On derecognition of a financial asset measured at amortised cost, the difference between the asset's
carrying amount and the sum of the consideration received and receivable is recognised in profit or
loss.
On derecognition of a debt instrument classified as fair value through other comprehensive income,
the cumulative gain or loss previously accumulated in the investment revaluation reserve is reclassified
to profit or loss.
On derecognition of an investment in equity which the Group elected to classify under fair value
through other comprehensive income, the cumulative gain or loss previously accumulated in the
investments revaluation reserve is not reclassified to profit or loss, but is transferred to retained
earnings.
Impairment
The Group recognises a loss allowance for expected credit losses on:
Pg. 40
Notes to the Financial Statements
–
financial assets that are measured at amortised cost or fair value through other comprehensive
income;
–
lease receivables;
– contract assets (eg amount due from customers under construction contracts);
–
loan commitments that are not measured at fair value through profit or loss; and
–
financial guarantee contracts that are not measured at fair value through
profit or loss. Loss allowance is not recognised for:
–
financial assets measured at fair value through profit or loss; or
– equity instruments measured at fair value through other comprehensive income.
Expected credit losses are the probability-weighted estimate of credit losses over the expected life of a
financial instrument. A credit loss is the difference between all contractual cash flows that are due and
all cash flows expected to be received, all discounted at the original effective interest rate of the
financial instrument.
The Group uses the following approaches to impairment, as applicable under AASB 9: Financial
Instruments:
–
the general approach; and
–
the simplified approach.
General approach
Under the general approach, at each reporting period, the Group assessed whether the financial
instruments are credit impaired, and:
–
if the credit risk of the financial instrument increased significantly since initial recognition, the Group
measured the loss allowance of the financial instruments at an amount equal to the lifetime
expected credit losses; and
–
if there was no significant increase in credit risk since initial recognition, the Group measured the
loss allowance for that financial instrument at an amount equal to 12-month expected credit losses.
Simplified approach
The simplified approach does not require tracking of changes in credit risk at every reporting period,
but instead requires the recognition of lifetime expected credit loss at all times.
This approach is applicable to:
–
trade receivables or contract assets that result from transactions that are within the scope of AASB
15: Revenue from Contracts with Customers, and which do not contain a significant financing
component; and
Pg. 41
Notes to the Financial Statements
–
lease receivables.
In measuring the expected credit loss, a provision matrix for trade receivables is used taking into
consideration various data to get to an expected credit loss (ie diversity of its customer base,
appropriate groupings of its historical loss experience, etc).
Recognition of expected credit losses in financial statements
At each reporting date, the Group recognises the movement in the loss allowance as an impairment
gain or loss in the statement of profit or loss and other comprehensive income.
The carrying amount of financial assets measured at amortised cost includes the loss allowance relating
to that asset.
Pg. 42
Notes to the Financial Statements
Assets measured at fair value through other comprehensive income are recognised at fair value with
changes in fair value recognised in other comprehensive income. The amount in relation to change in
credit risk is transferred from other comprehensive income to profit or loss at every reporting period.
For financial assets that are unrecognised (eg loan commitments yet to be drawn, financial guarantees),
a provision for loss allowance is created in the statement of financial position to recognise the loss
allowance.
h. Impairment of Assets
At the end of each reporting period, the Group assesses whether there is any indication that an asset
may be impaired. The assessment will include the consideration of external and internal sources of
information including dividends received from subsidiaries, associates or joint ventures deemed to be
out of pre-acquisition profits. If such an indication exists, an impairment test is carried out on the asset
by comparing the recoverable amount of the asset, being the higher of the asset’s fair value less costs
of disposal and value in use, to the asset’s carrying amount. Any excess of the asset’s carrying amount
over its recoverable amount is recognised immediately in profit or loss, unless the asset is carried at a
revalued amount in accordance with another Standard (eg in accordance with the revaluation model in
AASB 116: Property, Plant and Equipment). Any impairment loss of a revalued asset is treated as a
revaluation decrease in accordance with that other Standard.
Where it is not possible to estimate the recoverable amount of an individual asset, the Group estimates
the recoverable amount of the cash-generating unit to which the asset belongs.
Impairment testing is performed annually for goodwill, intangible assets with indefinite lives and
intangible assets not yet available for use.
i. Intangibles Other than Goodwill
Patents and trademarks
Patents and trademarks are recognised at cost of acquisition. They have a finite life and are carried at
cost less any accumulated amortisation and any impairment losses. Patents and trademarks are
amortised over their useful lives ranging from 0 to 20 years.
Research and development expenditure during the research phase of a project is recognised as an
expense when incurred. Development costs are capitalised only when technical feasibility studies
identify that the project is expected to deliver future economic benefits and these benefits can be
measured reliably.
Capitalised development costs have a finite useful life and are amortised on a systematic basis based
on the future economic benefits over the useful life of the project.
Pg. 43
Notes to the Financial Statements
j. Foreign Currency Transactions and Balances
Functional and presentation currency
The functional currency of each of the Group’s entities is measured using the currency of the primary
economic environment in which that entity operates. The consolidated financial statements are
presented in Australian dollars, which is the parent entity’s functional currency.
Transactions and balances
Foreign currency transactions are translated into functional currency using the exchange rates
prevailing at the date of the transaction. Foreign currency monetary items are translated at the year-
end exchange rate. Non-monetary items measured at historical cost continue to be carried at the
exchange rate at the date of the transaction. Non-monetary items measured at fair value are reported
at the exchange rate at the date when fair values were determined.
Exchange differences arising on the translation of monetary items are recognised in profit or loss,
except where deferred in equity as a qualifying cash flow or net investment hedge.
Exchange differences arising on the translation of non-monetary items are recognised directly in other
comprehensive income to the extent that the underlying gain or loss is recognised in other
comprehensive income; otherwise the exchange difference is recognised in profit or loss.
Group companies
The financial results and position of foreign operations, whose functional currency is different from the
Group’s presentation currency, are translated as follows:
– assets and liabilities are translated at exchange rates prevailing at the end of the reporting period;
– income and expenses are translated at average exchange rates for the period; and
– retained earnings are translated at the exchange rates prevailing at the date of the transaction.
Exchange differences arising on translation of foreign operations with functional currencies other than
Australian dollars are recognised in other comprehensive income and included in the foreign currency
translation reserve in the statement of financial position. The cumulative amount of these differences
is reclassified into profit or loss in the period in which the operation is disposed of.
k. Employee Benefits
Short-term employee benefits
Provision is made for the Group’s obligation for short-term employee benefits. Short-term employee
benefits are benefits (other than termination benefits) that are expected to be settled wholly before 12
months after the end of the annual reporting period in which the employees render the related service,
including wages, salaries and annual leave. Short-term employee benefits are measured at the
(undiscounted) amounts expected to be paid when the obligation is settled.
Pg. 44
Notes to the Financial Statements
Other long-term employee benefits
Provision is made for employees’ long service leave and annual leave entitlements not expected to be
settled wholly within 12 months after the end of the annual reporting period in which the employees
render the related service. Other long-term employee benefits are measured at the present value of
the expected future payments to be made to employees. Expected future payments incorporate
anticipated future wage and salary levels, durations of service and employee departures and are
discounted at rates determined by reference to market yields at the end of the reporting period on
corporate bonds that have maturity dates that approximate the terms of the obligations. Any re
measurements for changes in assumptions of obligations for other long-term employee benefits are
recognised in profit or loss in the periods in which the changes occur.
The Group’s obligations for long-term employee benefits are presented as non-current provisions in its
statement of financial position, except where the Group does not have an unconditional right to defer
settlement for at least 12 months after the end of the reporting period, in which case the obligations
are presented as current provisions.
Termination benefits
When applicable, the Group recognises a liability and expense for termination benefits at the earlier of:
(i) the date when the Group can no longer withdraw the offer for termination benefits; and (ii) when
the Group recognises costs for restructuring pursuant to AASB 137: Provisions, Contingent Liabilities
and Contingent Assets and the costs include termination benefits. In either case, unless the number of
employees affected is known, the obligation for termination benefits is measured on the basis of the
number of employees expected to be affected. Termination benefits that are expected to be settled
wholly before 12 months after the annual reporting period in which the benefits are recognised are
measured at the (undiscounted) amounts expected to be paid. All other termination benefits are
accounted for on the same basis as other long-term employee benefits.
Equity-settled compensation
The Group operates an employee share and option plan. Share-based payments to employees are
measured at the fair value of the instruments issued and amortised over the vesting periods. Share-
based payments to non-employees are measured at the fair value of goods or services received or the
fair value of the equity instruments issued, if it is determined the fair value of the goods or services
cannot be reliably measured, and are recorded at the date the goods or services are received. The
corresponding amount is recorded to the option reserve. The fair value of options is determined using
the Black-Scholes pricing model. The number of shares and options expected to vest is reviewed and
adjusted at the end of each reporting period such that the amount recognised for services received as
consideration for the equity instruments granted is based on the number of equity instruments that
eventually vest.
Pg. 45
Notes to the Financial Statements
l. Provisions
Provisions are recognised when the Group has a legal or constructive obligation, as a result of past
events, for which it is probable that an outflow of economic benefits will result and that outflow can be
reliably measured.
Provisions are measured using the best estimate of the amounts required to settle the obligation at the
end of the reporting period.
m. Provision for Warranties
Provision is made in respect of the Group’s best estimate of the liability on all products and services
under warranty at the end of the reporting period. The provision is measured as the present value of
future cash flows estimated to be required to settle the warranty obligation. The future cash flows have
been estimated by reference to the consolidated group’s history of warranty claims.
n. Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, deposits available on demand with banks, other short-
term highly liquid investments with original maturities of 12 months or less, and bank overdrafts. Bank
overdrafts are reported within borrowings in current liabilities on the statement of financial position.
o. Revenue and Other Income
Revenue is measured at the fair value of the consideration received or receivable after taking into
account any trade discounts and volume rebates allowed. When the inflow of consideration is deferred,
it is treated as the provision of financing and is discounted at a rate of interest that is generally accepted
in the market for similar arrangements. The difference between the amount initially recognised and the
amount ultimately received is interest revenue.
Revenue from the sale of goods is recognised at the point of delivery as this corresponds to the
satisfaction of the performance obligation within the contract.
Interest revenue is recognised using the effective interest method.
Dividend revenue is recognised when the right to receive a dividend has been established.
Dividends received from associates and joint ventures are accounted for in accordance with the equity
method of accounting.
Royalty revenue is recognised in the consolidated statement of profit or loss and other comprehensive
income when the later of the subsequent sale or usage occurs and the performance obligation to which
the sale-based or usage based royalty has been allocated has been satisfied.
The Group is eligible for research and development incentives from the Federal Government. Such
amounts are recognised as revenue upon receipt.
All revenue is stated net of the amount of goods and services tax.
Pg. 46
Notes to the Financial Statements
p. Trade and Other Receivables
Trade and other receivables include amounts due from customers for goods sold and services
performed in the ordinary course of business. Receivables expected to be collected within 12 months
of the end of the reporting period are classified as current assets. All other receivables are classified as
non-current assets.
Trade and other receivables are initially recognised at fair value and subsequently measured at
amortised cost using the effective interest method, less any provision for impairment.
q. Trade and Other Payables
Trade and other payables represent the liabilities for goods and services received by the entity that
remain unpaid at the end of the reporting period. The balance is recognised as a current liability with
the amounts normally paid within 30 days of recognition of the liability.
r. Borrowing Costs
Borrowing costs directly attributable to the acquisition, construction or production of assets that
necessarily take a substantial period of time to prepare for their intended use or sale are added to the
cost of those assets, until such time as the assets are substantially ready for their intended use or sale.
All other borrowing costs are recognised in profit or loss in the period in which they are incurred.
s. Goods and Services Tax (GST)
Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of
GST incurred is not recoverable from the Australian Taxation Office (ATO).
Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net
amount of GST recoverable from, or payable to, the ATO is included with other receivables or payables
in the statement of financial position.
Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or
financing activities which are recoverable from, or payable to, the ATO are presented as operating cash
flows included in receipts from customers or payments to suppliers.
t. Comparative Figures
When required by Accounting Standards, comparative figures have been adjusted to conform to
changes in presentation for the current financial year.
Where the Group retrospectively applies an accounting policy, makes a retrospective restatement or
reclassifies items in its financial statements, an additional (third) statement of financial position as at
the beginning of the preceding period in addition to the minimum comparative financial statements is
presented.
Pg. 47
Notes to the Financial Statements
u. Rounding of Amounts
The parent entity has applied the relief available to it under ASIC Corporations (Rounding in financial
statements (Directors’ Report Instrument) 2016/191. Accordingly, amounts in the financial statements
have been rounded off to the nearest $1.
v. Going concern
The financial statements have been prepared on a going concern basis.
This basis has been adopted as the company has sufficient cash at 30 June 2021 to conduct its affairs.
The company has a guarantee of continuing financial support from Dr Monsour to allow the company
to meet its liabilities and it is the belief that such financial support will continue to be made available.
The company’s forward cash flow projections currently indicate that the company will be required to
raise additional funds to meet forecast needs. The Directors have considered this position and have
assessed available funding options and believe should funding be required that sufficient funds could
be sourced to satisfy creditors as and when they fall due.
The company also expects to generate sales income during the 2022 year from the sales of its
PeriCoach.
However, if adequate capital raising is not achieved the company may be unable to continue as a going
concern. No adjustments have been made relating to the recoverability and classification of recorded
assets amounts and classification of liabilities that might be necessary should the company not continue
as a going concern.
w. Earnings per share
The Group presents basic and diluted earnings per share information for its ordinary shares.
Basic earnings per share is calculated by dividing the profit/loss attributable to owners of the company
by the weighted average number of ordinary shares outstanding during the year.
Diluted earnings per share adjusts the basic earnings per share to take into account the after income
tax effect of interest and other financing costs associated with dilutive potential ordinary shares and
the weighted average number of additional ordinary shares that would have been outstanding
assuming the conversion of all dilutive potential ordinary shares.
x. Share capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary
shares and share options which vest immediately are recognised as a deduction from equity, net of any
tax effect.
Pg. 48
Notes to the Financial Statements
y. Critical accounting estimates and judgements
The directors evaluate estimates and judgements incorporated into the financial statements based on
historical knowledge and best available current information. Estimates assume a reasonable
expectation of future events and are based on current trends and economic data, obtained both
externally and within the Group.
Key estimates – impairment
The Group assesses impairment at the end of each reporting year by evaluating conditions specific to
the Group that may be indicative of impairment triggers. Recoverable amounts of relevant assets are
reassessed using value-in-use calculations which incorporate various key assumptions.
z. New Accounting Standards for Application in Future Periods
Australian Accounting Standards and Interpretations that have recently been issued or amended but
are not yet mandatory, have not been early adopted by the consolidated entity for the annual reporting
period ended 30 June 2021.
The Group anticipates to adopt these standards from their relevant application dates. Based on the
preliminary assessment these standards are not expected to have a material effect.
Pg. 49
Notes to the Financial Statements
2. Result for the year
Revenue from continuing operations
2. Revenue from continuing operations
Sale of goods revenue
Other Revenue
R & D tax incentive revenue
Investment revenue
Government Business Support
Royalty Income
Total Revenue
Expenditure
Consolidated Group
2021
$
7,244
656,895
212
131,300
5,996
794,403
801,647
2020
$
11,367
708,447
4,014
74,000
12,091
798,552
809,919
2. Results for the year
Profit before income tax from continuing operations includes the following specific expenses
Consolidated Group
2021
$
2020
$
Finance expenses
Directors' Loan
External
Administration expense
Administration - compliance
Administration - employment
Administration - general
Depreciation, amortisation and impairments
Intangible assets
Property, plant and equipment
Marketing expenses
Marketing - employment
Marketing - Other
Marketing - PeriCoach
58,437
60
58,497
568,795
261,424
11,195
841,414
5,851
3,351
9,202
1,312
1,300
181,719
184,331
154
73
227
463,200
320,806
13,337
797,343
3,941
4,693
8,634
2,759
1,966
126,915
131,640
Pg. 50
Notes to the Financial Statements
Patent maintenance expenses
Patent Maintenance - AutoStart Burette
Patent Maintenance - PeriCoach
Research and development expense
R & D - Employment
R & D - PeriCoach
3. Income Tax
Loss for the year
Tax
Add:
Tax effect of:
- non deductible expenses
Less:
Tax effect of:
- non assessable income
Temporary differences and tax losses
not brought to account
Income tax attributable to parent entity
Consolidated Group
2021
$
12,132
11,016
23,148
587,287
504,184
1,091,471
2020
$
8,013
19,766
27,779
648,208
823,439
1,471,647
Consolidated Group
2021
$
(1,507,406)
26.0%
(391,925)
2020
$
(1,620,156)
27.5%
(445,543)
214,899
(177,026)
342,904
(102,639)
(184,980)
(210,235)
362,006
312,874
-
-
Carried forward tax losses of $22,692,385 (2020:$ 22,078,920) have not been brought to account as a
deferred tax asset because it is not yet considered probable that they will reverse to the extent of being
utilised in the future.
Pg. 51
Notes to the Financial Statements
4. Key management personnel options and rights holdings
2021
Balance
beginning of
year
Granted as
remuneration
d
e
s
i
c
r
e
x
E
Lapsed/
forfeited
Balance at
the end of
year
Vested
during the
year
Vested and
exercisable
-
(10,000,000)
-
Directors
Unlisted Options @ 1.62 cents, Expire 10/12/20
Dr T Lonngren
Unlisted Options @ 1.3 cents, Expire 21/12/21
10,000,000
Dr M Monsour
Mr R Mangelsdorf
Dr T Lonngren
Unlisted Options @ 1.3 cents, Expire 20/11/22
20,000,000
10,000,000
10,000,000
Dr P Corr
Mr R Mangelsdorf
Listed Options @ 0.35 cents Expire 18/6/22
Mr R Mangelsdorf
10,000,000
10,000,000
-
50,000,000
-
-
-
-
-
-
Other KMP
Unlisted Options @ 1.30 cent, Expire 8/06/22
G Daly
Unlisted Options @ 1.30 cent, Expire 8/06/22
10,000,000
G Daly
Unlisted Options @ 1.036 cent, Expire 8/06/22
10,000,000
G Daly
Unlisted Options @ 1.036 cent, Expire 8/06/22
14,000,000
G Daly
4,250,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
20,000,000
10,000,000
10,000,000
10,000,000
10,000,000
-
-
-
-
-
-
-
-
-
-
-
-
50,000,000 50,000,000
50,000,000
10,000,000
10,000,000
-
-
10,000,000
10,000,000
14,000,000
14,000,000
4,250,000
-
4,250,000
108,250,000
50,000,000
-
(10,000,000)
148,250,000 50,000,000
88,250,000
Pg. 52
Notes to the Financial Statements
Balance
beginning of
year
Granted as
remuneration
2020
Directors
Unlisted Options @ 1.62 cents, Expire 10/12/20
Dr T Lonngren
Unlisted Options @ 1.3 cents, Expire 21/12/21
10,000,000
Dr M Monsour
20,000,000
Mr R Mangelsdorf
10,000,000
Dr T Lonngren
Unlisted Options @ 1.3 cents, Expire 20/11/22
10,000,000
Dr P Corr
Mr R Mangelsdorf
10,000,000
10,000,000
Other KMP
Unlisted Options @ 1.30 cent, Expire 8/06/22
G Daly
Unlisted Options @ 1.30 cent, Expire 8/06/22
10,000,000
G Daly
Unlisted Options @ 1.036 cent, Expire 8/06/22
10,000,000
G Daly
Unlisted Options @ 1.036 cent, Expire 8/06/22
14,000,000
G Daly
4,250,000
-
-
-
-
-
-
-
-
-
d
e
s
i
c
r
e
x
E
-
-
-
-
-
-
-
-
-
-
108,250,000
-
-
Lapsed/
forfeited
Balance at
the end of
year
Vested
during the
year
Vested and
exercisable
-
-
-
-
-
-
-
-
-
-
-
10,000,000
20,000,000
10,000,000
10,000,000
10,000,000
10,000,000
10,000,000
10,000,000
14,000,000
4,250,000
108,250,000
-
-
-
-
-
-
-
-
-
-
-
10,000,000
-
-
-
-
-
10,000,000
10,000,000
14,000,000
4,250,000
48,250,000
Pg. 53
Notes to the Financial Statements
4. Key management personnel shareholdings
Balance at
beginning of
year
On exercise
of options
Other
changes
during the
year
Balance at end of
year
2021
Directors
Dr M Monsour
876,207,457
Mr R Mangelsdorf
Dr P Corr
KMP
Mr G Daly
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
-
-
-
-
-
-
214,285,714
1,090,493,171
-
-
214,285,714
107,898,245
360,790,157
1,559,181,573
-
214,285,714
2,081,658
1,561,263,231
Balance at
beginning of
year
On exercise
of options
Other
changes
during the
year
2020
Directors
Dr M Monsour
876,207,457
Mr R Mangelsdorf
Dr P Corr
KMP
Mr G Daly
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
5 Remuneration of Auditors
-
-
-
-
-
-
Balance at end of
year
-
-
-
-
-
-
876,207,457
107,898,245
360,790,157
1,344,895,859
2,081,658
1,346,977,517
Remuneration of the auditor of the company, Bentleys,
for auditing or reviewing the financial report
other services
68,400
2,750
67,300
3,000
Consolidated Group
2021
$
2020
$
Pg. 54
Notes to the Financial Statements
6 Earnings per Share
(a) Reconciliation of earnings to profit or loss from continuing operations
Loss from continuing operations
Earnings used to calculate basic EPS from
operations
(b) Earnings used to calculate overall earnings per
share
Consolidated Group
2021
$
(1,507,406)
(1,507,406)
2020
$
(1,620,156)
(1,620,156)
Earnings used to calculate overall earnings per share
(1,507,406)
(1,620,156)
(c) Weighted average number of ordinary shares
outstanding during the year used in calculating basic
EPS
Consolidated Group
2021
No.
2020
No.
Weighted average number of ordinary shares outstanding
during the year used in calculating basic EPS
3,567,576,772
3,519,612,332
Weighted average number of dilutive options outstanding
-
-
Weighted average number of ordinary shares outstanding
during the year used in calculating dilutive EPS
3,567,576,772
3,519,612,332
Earnings per share
Basic earnings per share (dollars)
Diluted earnings per share (dollars)
7 Cash and cash equivalents
Cash at bank and in hand
Short term bank deposits
(0.0004)
(0.0004)
(0.0005)
(0.0005)
Consolidated Group
2021
$
30,468
1,860,215
1,890,683
2020
$
65,212
1,003
66,215
Pg. 55
Notes to the Financial Statements
8 Trade and other receivables
Accrued Revenue
GST Refundable
Sundry Debtors
Trade Debtors
Consolidated Group
2021
$
4,567
10,746
153
3,468
18,934
2020
$
6,046
14,125
152
-
20,323
The Group has no significant concentration of credit risk with respect to any single counterparty or
group of counterparties. The class of assets described as “trade and other receivables” is considered to
be the main source of credit risk related to the Group.
9 Inventories
PC Stock - Finished Goods
PC Stock - Materials
10 Other financial assets
Consolidated Group
2021
$
19,476
158,326
177,802
2020
$
15,859
95,719
111,578
Financial assets at fair value through profit or loss are shares held for trading for the purpose of
short - term profit taking. Changes in fair value are included in the consolidated statement of profit or
loss and other comprehensive income.
Listed investments at fair value
Investments in Invion
Financial assets at fair value through profit and loss
Listed shares at cost
less fair value adjustment
Consolidated Group
2021
$
2020
$
13,581
8,028
522,026
(508,445)
13,581
522,026
(513,998)
8,028
Pg. 56
Notes to the Financial Statements
11 Property, plant and equipment
Computer Equipment
Computer Equipment Dep'n Accum
Office Equipment
Office Equipment Dep'n Accum
Plant & Equipment
Plant & Equipment Dep'n Accum
Consolidated Group
2021
$
115,114
(114,709)
405
22,467
(17,863)
4,604
28,253
(24,572)
3,681
8,690
2020
$
115,114
(114,577)
537
17,988
(15,763)
2,225
28,253
(23,453)
4,800
7,562
(a) Movements in carrying amounts of property, plant and equipment
Movement in the carrying amounts for each class of property, plant and equipment between the
beginning and the end of the current year:
Consolidated
Plant &
Equipment
$
Office
Equipment
$
Computer
Equipment
$
Total
$
Year ended 30 June, 2021
Balance at the beginning of year
Additions
Depreciation expense
Balance at the end of the year
Year ended 30 June, 2020
Balance at the beginning of year
Depreciation expense
Balance at the end of the year
4,800
-
(1,119)
3,681
5,918
(1,118)
4,800
2,225
4,479
(2,100)
4,604
3,804
(1,579)
2,225
537
-
(132)
405
2,533
(1,996)
537
7,562
4,479
(3,351)
8,690
12,255
(4,693)
7,562
Pg. 57
Notes to the Financial Statements
12 Intangible Assets
Patents, trademarks and other rights
Cost
Accumulated amortisation/impairment
Net carrying value
Licences and franchises
Accumulated amortisation/impairment
Consolidated
Year ended 30 June, 2021
Balance at the beginning of the year
Additions
Amortisation
Balance at the end of the year
Year ended 30 June, 2020
Balance at the beginning of the year
Additions
Amortisation
Balance at the end of the year
13 Other assets
Prepayments
Prepayments - Suppliers
Consolidated Group
2021
$
640,979
(256,887)
384,092
20,000
(20,000)
-
384,092
2020
$
566,950
(251,036)
315,914
20,000
(20,000)
-
315,914
Patents,
trademarks
Licences &
Franchises
Total
$
$
$
315,914
74,029
(5,851)
384,092
235,224
84,631
(3,941)
315,914
-
-
-
-
-
-
-
-
315,914
74,029
(5,851)
384,092
235,224
84,631
(3,941)
315,914
Consolidated Group
2021
$
106,163
8,673
114,836
2020
$
104,162
33,870
138,032
Pg. 58
Notes to the Financial Statements
14 Trade and other payables
Trade payables
Other payables
15 Provisions
Provision for Audit Fees
Provision for Tax Return Costs
16 Employee Benefits
Current liabilities
Provision for Holiday Pay
Provision for Holiday Pay Super
Provision for Long Service Leave - ST
Provision for long-term employee benefits
Provision for long service leave
Consolidated Group
2021
$
149,714
21,734
171,448
2020
$
166,620
100,669
267,289
Consolidated Group
2021
$
50,295
20,000
70,295
2020
$
47,900
19,000
66,900
Consolidated Group
2021
$
2020
$
122,052
11,595
130,138
263,785
11,246
122,150
11,604
121,245
254,999
9,554
Provision for employee benefits represents amounts accrued for annual leave and long service leave.
The current portion for this provision includes the total amount accrued for annual leave entitlements
and the amounts accrued for long service leave entitlements that have vested due to employees having
completed the required period of service. Based on past experience, the Group does not expect the full
amount of annual leave or long service leave balances classified as current liabilities to be settled in the
next 12 months. However, these amounts must be classified as current liabilities since the group does
not have an unconditional right to defer the settlement of these amounts in the event the employees
wish to use their leave entitlement.
The non-current portion for this provision includes amounts accrued to long service leave entitlements
that have not yet vested in relation to those employees who have not yet completed the required
period of service. In calculating the present value of future cash flows in respect of long service leave,
the probability of long service leave being taken is based on historic data.
Pg. 59
Notes to the Financial Statements
17 Reserves
Opening balance
Options reversed
Options Issued
Options lapsed/forfeited
Share option reserve
Consolidated Group
2021
$
852,188
-
89,496
(41,619)
900,065
2020
$
927,489
(49,005)
-
(26,296)
852,188
This reserve records the cumulative value of share based payments including employee service received
for the issue of share options. When the option is exercised the amount in the share option reserve is
transferred to share capital
18 Issued Capital
Consolidated Group
2021
$
2020
$
Fully paid 4,613,801,129 (2020: 3,519,612,332) Ordinary shares
Total
107,383,796
107,383,796
103,867,798
103,867,798
(a) Ordinary shares
At the beginning of the reporting period
Shares issued during the year
14 June 2021
Placement Offer
@ 0.035 cents per share
At the end of the reporting period
Consolidated Group
2021
No.
2020
No.
3,519,612,332
3,519,612,332
1,094,188,797
4,613,801,129
-
3,519,612,332
The holders of ordinary shares are entitled to participate in dividends and the proceeds on winding up
of the Company. On a show of hands at meetings of the Company, each holder of ordinary shares has
one vote in person or by proxy, and upon a poll each share is entitled to one vote.
The Company does not have authorised capital or par value in respect of its shares.
Pg. 60
Notes to the Financial Statements
(b) Options
Listed Options
Consolidated Group
2021
No.
2020
No.
At the beginning of the reporting period
Options issued during the year exercise @ 0.05 cents expire 18th June 2023
14 June 2021
Placement Offer
-
18 June 2021
Grant
At the end of the reporting period
1,094,188,797
75,000,000
1,169,188,797
-
-
-
-
(i)
For information relating to the Analytica Limited employee option plan, including details of options
issued, exercised and lapsed during the year and the options outstanding at year-end, refer to
Note 22 Share-based payments.
(ii)
For information relating to share options issued to key management personnel during the year,
refer to Note 23.
(c) Capital Management
Management controls the capital of Analytica Limited in order to ensure the entity continues as a going
concern as well as to maintain optimal returns to shareholders and benefits for other stakeholders.
Capital consists of share capital, reserves and retained profit.
There are no externally imposed capital requirements.
The Group monitors capital through the gearing ratio, which is calculated as net debt divided by total
capital. Net debt is calculated as total borrowings less cash and cash equivalents. Total capital is defined
as equity per the consolidated statement of financial position plus net debt.
The target for Analytica Limited's gearing ratio is between 0% and 50%. The gearing ratios at the current
and prior years are shown below:
Debt to equity gearing ratio for 2021 is 0% (2020: 0.65%).
There have been no changes in the strategy adopted by management during the year.
19 Contingencies
In the opinion of the Directors, the Company did not have any contingencies at 30 June 2021 (30 June
2020: None).
Pg. 61
Notes to the Financial Statements
20 Operating Segments
Segment information
Identification of reportable segments
The Group has identified its operating segments based on the internal reports that are reviewed and
used by the Board of Directors (chief operating decision makers) in assessing performance and
determining the allocation of resources.
The Group is managed primarily on the basis of product category and service offerings as the
diversification of the group's operations inherently have notably different risk profiles and performance
assessment criteria. Operating segments are therefore determined on the same basis.
Reportable segments disclosed are based on aggregating operating segments where the segments are
considered to have similar economic characteristics and are also similar with respect to the following:
•
•
•
•
•
the products sold and/or services provided by the segment;
the manufacturing process;
the type or class of customer for the products or services;
the distribution method; and
any external regulatory requirements.
Performance is measured based on segment profit before income tax as included in the internal
financial reports.
Types of products and services by reportable segment
(i) Medical Devices
• AutoStart Burette
•
PeriCoach (Perineometer)
Analytica's lead product is the Perineometer device branded PeriCoach, to assist women and their
clinicians in treatment of Stress Urinary Incontinence. The PeriCoach entered controlled market release
in June 2014, with clinical trials undertaken in November 2014, with its public release in Australia and
United Kingdom January 2015 and release in the United States in June 2015. The PeriCoach V3 was
released in May 2017. The PeriCoach has a TGA ARTG entry, CE-marking, and USFDA 510(k) 'approval'.
Pg. 62
Notes to the Financial Statements
Analytica is also commercialising the AutoStart Burette infusion system. The AutoStart Burette set
automatically restarts the delivery of intravenous fluid once the burette has dispensed its
predetermined amount of liquid or drug. Automatic restart of the IV fluid, once the drug is dispensed
can provide enormous savings in nursing time during and following a medication event, and reduces
the risk of blood clots forming that may obstruct the intravenous cannula.
Analytica has licensed the AutoStart Burette and other burette intellectual property to ICU Australia
(Formerly Medical Australia) for distribution in the Australian Market. The AutoStart Burette has a TGA
ARTG entry and USFDA 510(k) clearance.
(ii) Corporate
The corporate segment includes all other operations including the administration, and associated listed
public company expenditure.
Basis of accounting for purposes of reporting by operating segments
(a) Accounting policies adopted
Unless stated below, all amounts reported to the Board of Directors, being the chief operating decision
maker with respect to operating segments, are determined in accordance with accounting policies that
are consistent to those adopted in the annual financial statements of the Group.
Income tax expense
Income tax expense is calculated based on the segment operating net profit using a notional charge of
27.5%. The effect of taxable or deductible temporary difference is not included for internal reporting
purposes.
(b) Segment assets
Where an asset is used across multiple segments, the asset is allocated to the segment that receives
the majority of economic value from the asset. In the majority of instances, segment assets are clearly
identifiable on the basis of their nature and physical location.
(c) Segment liabilities
Liabilities are allocated to segments where there is direct nexus between the incurrence of the liability
and the operations of the segment. Borrowings and tax liabilities are generally considered to relate to
the Group as a whole and are not allocated. Segment liabilities include trade and other payables and
certain direct borrowings.
Pg. 63
Notes to the Financial Statements
Medical Devices
Corporate
2021
$
2020
$
2021
$
2020
$
Total
2021
$
Total
2020
$
-
-
7,244
5,996
-
-
13,240
(5,851)
(3,495)
-
(184,331)
(23,148)
-
(1,091,471)
(1,308,296)
(1,295,056)
-
-
11,367
12,091
-
-
23,458
(3,941)
(16,795)
-
(131,640)
(27,779)
-
(1,471,647)
(1,651,802)
(1,628,344)
656,895
131,300
-
-
212
-
788,407
(3,351)
-
(58,497)
-
-
(938,909)
-
(1,000,757)
(212,350)
708,447
74,000
-
-
4,014
-
786,461
(4,693)
-
(227)
-
-
(773,353)
-
(778,273)
8,188
656,895
131,300
7,244
5,996
212
-
801,647
(9,202)
(3,495)
(58,497)
(184,331)
(23,148)
(938,909)
(1,091,471)
(2,309,053)
(1,507,406)
708,447
74,000
11,367
12,091
4,014
-
809,919
(8,634)
(16,795)
(227)
(131,640)
(27,779)
(773,353)
(1,471,647)
(2,430,075)
(1,620,156)
580,828
447,815
2,014,209
211,809
2,595,037
659,624
REVENUE
Grant revenue
Government assistance
Sales revenue
Royalty revenue
Interest revenue
Loss sale of equipment
Total segment revenue
Depreciation/amortisation
Cost of sales
Interest expense
Marketing
Patent Maintenance
Other expense
Research & development
Total segment expense
Segment profit (loss)
(e) Segment assets
Segment assets
Financial assets at fair value through profit and loss
(f) Segment liabilities
Segment liabilities
-
-
-
-
Geographical information
13,581
8,028
13,581
8,028
516,774
673,896
516,774
673,896
In presenting information on the basis of geographical segments, segment revenue is based on the
geographical location of customers whereas segment assets are based on the location of the assets.
Australia
China
Middle East
United Kingdom
United States
2021
Revenue
798,277
774
2,596
-
-
2020
Revenue
802,351
-
-
754
6,814
Pg. 64
Notes to the Financial Statements
21 Cash Flow Information
Consolidated Group
2021
$
2020
$
(1,507,406)
Loss for the year
Cash flows excluded from profit attributable to operating activities
Non-cash flows in profit:
- amortisation
- depreciation
- interest on directors loan
- fair value adjustment Invion Limited
- share options adjusted
Changes in assets and liabilities, net of the effects of purchase and disposal of subsidiaries:
Directors Loan
- (increase)/decrease in trade and other receivables
- (increase)/decrease in prepayments
- (increase)/decrease in inventories
- increase/(decrease) in trade and other payables
- increase/(decrease) in provisions
- increase/(decrease) in employee benefits
Cashflow from operations
-
1,389
23,196
(66,224)
(95,841)
3,395
10,478
(1,537,868)
5,851
3,351
-
(5,553)
89,496
(1,620,156)
3,941
4,693
154
7,643
(49,005)
1,221
(70,419)
6,535
(2,744)
1,200
28,795
(1,688,142)
22 Share-based Payments
Grant
Date
Unlisted
Options
Date of
Expiry
Exercise
Price
Start of Year
Granted
during the
year
26-11-15
10-12-20
0.0162
14,000,000
24-11-16
22-12-21
0.0130
70,000,000
9-06-17
8-06-22
0.0130
41,000,000
9-06-17
8-06-22
0.0104
33,350,000
28-06-17
22-12-21
0.0130
2,500,000
30-11-17
30-11-22
0.0130
20,000,000
180,850,000
-
-
-
-
-
-
-
Grant
Date
Listed
Options
Date of
Expiry
Exercise
Price
Start of Year
Granted
during the
year
18-06-21
18-06-23
0.0035
- 75,000,000
- 75,000,000
g
n
i
r
u
d
d
e
s
i
c
r
e
x
E
r
a
e
y
e
h
t
-
-
-
-
-
-
-
g
n
i
r
u
d
d
e
s
i
c
r
e
x
E
r
a
e
y
e
h
t
-
-
Forfeited
during the
year
Balance at
the end of
the year
Vested &
exercisable
end of year
(14,000,000)
-
-
-
-
-
-
-
-
70,000,000
41,000,000
41,000,000
33,350,000
33,350,000
2,500,000
2,500,000
20,000,000
-
(14,000,000) 166,850,000
76,850,000
Forfeited
during the
year
Balance at
the end of
the year
Vested &
exercisable
end of year
-
-
75,000,000
75,000,000
75,000,000
75,000,000
Pg. 65
Notes to the Financial Statements
23 Related Parties
The Group's main related parties are as follows:
(i) Key management personnel:
Any person(s) having authority and responsibility for planning, directing and controlling the activities of
the entity, directly or indirectly, including any director (whether executive or otherwise) of that entity
are considered key management personnel.
For details of remuneration disclosures relating to key management personnel, refer to Note 4: Key
Management Personnel (KMP) options and rights holdings and the remuneration report in the
Directors' Report.
Other transactions with KMP and their related entities are shown below.
Loan facility to the company up to $400,000 provided by Dr Monsour.
Funds have been drawn-down as at reporting date of nil. (2020: $75,154). Interest rate of 8.51% is
applicable on this loan.
(ii) Subsidiaries:
The consolidated financial statements include the financial statements of Analytica Limited and the
following subsidiaries:
Name of subsidiary
% ownership interest
% ownership interest
PeriCoach Pty Ltd
Analytica Operations Pty Ltd
Analytica Export ME Pty Ltd
Transactions with related parties
2021
100
100
100
2020
100
100
100
Transactions between related parties are on normal commercial terms and conditions no more
favourable than those available to other parties unless otherwise stated.
Pg. 66
Notes to the Financial Statements
24 Financial Risk Management
The Company is exposed to a variety of financial risks through its use of financial instruments.
This note discloses the Company‘s objectives, policies and processes for managing and measuring these
risks.
The Company‘s overall risk management plan seeks to minimise potential adverse effects due to the
unpredictability of financial markets.
The Company does not speculate in financial assets.
The most significant financial risks to which the Company is exposed to are described below:
Specific risks
• Market risk - currency risk, cash flow interest rate risk and price risk
•
•
Credit risk
Liquidity risk
Financial instruments used
The principal categories of financial instrument used by the Company are:
•
•
Trade receivables
Cash at bank
• Bank overdraft
•
•
Investments in listed shares
Trade and other payables
Objectives, policies and processes
The CFO has primary responsibility for the development of relevant policies and procedures to mitigate
the risk exposure of the Company, these policies and procedures are tabled at the board meeting
following their approval.
Reports are presented at each Board meeting regarding the implementation of these policies and any
risk exposure which the CEO or CFO believes the Board should be aware of.
Specific information regarding the mitigation of each financial risk to which Company is exposed is
provided below.
Liquidity risk
Liquidity risk arises from the Company’s management of working capital and the finance charges and
principal repayments on its debt instruments. It is the risk that the Company will encounter difficulty in
meeting its financial obligations as they fall due.
Pg. 67
Notes to the Financial Statements
The Company’s policy is to ensure that it will always have sufficient cash to allow it to meet its liabilities
when they become due. The Company maintains cash and marketable securities to meet its liquidity
requirements for up to 30-day periods. Funding for long-term liquidity needs is additionally secured by
an adequate amount of committed credit facilities and the ability to sell long-term financial assets.
The Company manages its liquidity needs by carefully monitoring scheduled debt servicing payments
for long-term financial liabilities as well as cash-outflows due in day-to-day business.
Liquidity needs are monitored in various time bands, on a day-to-day and week-to-week basis, as well
as on the basis of a rolling 30-day projection. Long-term liquidity needs for a 180-day and a 360-day
period are identified monthly.
At the reporting date, these reports indicate that the Company expected to have sufficient liquid
resources to meet its obligations under all reasonably expected circumstances and will not need to
draw down any of the financing facilities.
The Company‘s liabilities have contractual maturities which are summarised below
Not later than 1 month
Trade payables
Other payables
Market risk
2021
$
149,714
21,734
171,448
2020
$
166,620
100,669
267,289
(i) Foreign currency sensitivity
Most of the Company transactions are carried out in Australian Dollars. Exposures to currency exchange
rates arise from the Company's overseas sales and purchases, which are primarily denominated in USD
and CHF.
The Company did not actively reduce exposure of foreign currency risk by utilising forward exchange
contracts for non-Australian Dollar cash flows during the 2021 or 2020 year.
Foreign currency denominated assets translated into Australian Dollars at the closing rate are included
in the inventory balance of $177,802 (2020: $111,578). Net currency losses of $8,458 (2020: $11,327)
are disclosed in the statement of profit or loss and other comprehensive income. Any increase or
decrease in exchange rates would not significantly impact users of the financial statements, as such no
sensitivity analysis is disclosed.
Pg. 68
Notes to the Financial Statements
(ii) Cash flow interest rate sensitivity
The Company is exposed to interest rate risk as funds are borrowed at floating and fixed rates.
Borrowings issued at fixed rates expose the Group to fair value interest rate risk.
The Company's policy is to minimise interest rate cash flow risk exposures on long-term financing.
The following table illustrates the sensitivity of the net result for the year and equity to a reasonably
possible change in interest rates of +2.00% and -2.00% (2020: +2.00%/-2.00%), with effect from the
beginning of the year. These changes are considered to be reasonably possible based on observation of
current market conditions.
The calculations are based on the financial instruments held at each reporting date. All other variables
are held constant.
Cash and cash equivalents
Net results
Equity
(iii) Other price risk
2021
2020
2.00%
$
(2.00%)
$
2.00%
$
(2.00%)
$
37,814
37,814
(37,814)
(37,814)
(179)
(179)
179
179
The Company are exposed to equity securities price risk. This arises from listed and unlisted investments
held by the Company and classified as available-for-sale on the consolidated statement of financial
position.
Equity instruments are held for strategic rather than trading purposes and the Company does not
actively trade these investments.
The Company is not exposed to commodity price risk.
There is no profit impact, except for investments held at fair value through profit or loss. Equity would
increase / decrease as a result of fair value movements through the investment reserve.
Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a
financial loss to the Company.
Credit risk arises from cash and cash equivalents, derivative financial instruments and deposits with
banks and financial institutions, as well as credit exposure to wholesale and retail customers, including
outstanding receivables and committed transactions.
The Company has adopted a policy of only dealing with creditworthy counterparties as a means of
mitigating the risk of financial loss from defaults. The utilisation of credit limits by customers is regularly
monitored by line management. Customers who subsequently
Pg. 69
Notes to the Financial Statements
fail to meet their credit terms are required to make purchases on a prepayment basis until
creditworthiness can be re-established.
Trade receivables consist of a number of customers, spread across diverse industries and geographical
areas. Ongoing credit evaluation is performed on the financial condition of accounts receivable.
The Board receives monthly reports summarising the turnover, trade receivables balance and aging
profile of each of the key customers individually and the Company's other customers analysed by
industry sector as well as a list of customers currently transacting on a prepayment basis or who have
balances in excess of their credit limits.
Management considers that all the financial assets that are not impaired for each of the reporting dates
under review are of good credit quality, including those that are past due.
The credit risk for liquid funds and other short-term financial assets is considered negligible, since the
counterparties are reputable banks with high quality external credit ratings.
25 Fair Value Measurement
The Group measures the following assets and liabilities at fair value on a recurring basis
Financial assets
AASB 13 Fair Value Measurement requires all assets and liabilities measured at fair value to be
assigned to a level in the fair value hierarchy as follows:
Level 1
Unadjusted quoted prices in active markets for identical assets or liabilities that the entity
can access at the measurement date.
Level 2
Inputs other than quoted prices included within Level 1 that are observable for the asset
or liability, either directly or indirectly.
Level 3
Unobservable inputs for the asset or liability.
The table below shows the assigned level for each asset and liability held at fair value by the Group:
Fair value hierarchy
2021
Recurring fair value measurements
Listed shares
2020
Recurring fair value measurements
Listed shares
Level 1
$
Level 2
$
Level 3
$
Total
$
13,581
Level 1
$
Level 2
$
8,028
-
-
-
13,581
Level 3
$
Total
$
-
8,028
Pg. 70
Notes to the Financial Statements
26 Events Occurring After the Reporting Date
No matters or circumstances have arisen since the end of the year which significantly affected or could
significantly affect the operations of the Group, the results of those operations, or the state of affairs
of the Group in future financial years.
27 Company Details
The registered office of the company is:
Share Registry:
Analytica Limited
Link Market Services
c/o Avance Chartered Accountants
Level 15, 324 Queen Street
222 Bazaar Street,
Brisbane, Queensland 4000
Maryborough Qld 4655
Telephone: +61 1300 554 474
Telephone: (07) 3278 1950
Email: registrars@linkmarketservices.com.au
The postal address for the registered
office of the company is:
The principal place of business is:
Analytica Limited
PO Box 438
320 Adelaide Street
Brisbane Qld 4000
Maryborough Qld 4650
Telephone: (07) 3278 1950
INDEPENDENT AUDITOR’S REPORT
TO THE MEMBERS OF ANALYTICA LIMITED
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Analytica Limited (The Company and its subsidiaries, together, the
“Group”), which comprises the consolidated statement of financial position as at 30 June 2021 and the
consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes
in equity and the consolidated statement of cash flows for the year then ended, notes comprising a summary of
significant accounting policies and other explanatory information, and the director’s declaration.
In our opinion the consolidated financial report of the Group is in accordance with the Corporations Act 2001,
including:
(i) giving a true and fair view of the Group’s financial position as at 30 June 2021 and of its performance
for the year then ended; and
(ii) complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of
our report. We are independent of the Group in accordance with the auditor independence requirements of the
Corporations Act 2001 and the ethical requirements of the Australian Professional and Ethical Standards
Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the
financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Material Uncertainty Related to Going Concern
Without modifying our opinion, we draw attention to Note 1(v) in the financial report, which indicates the
company has sufficient cash at 30 June 2021 but will be required to raise additional funds to meet forecast cash
needs beyond the next 12 months. These conditions, along with other matters as set forth in Note 1(v), indicate
the existence of a material uncertainty that may cast significant doubt about the ability to continue as a going
concern and therefore, the company may be unable to realise its assets and discharge its liabilities in the normal
course of business.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit
of the financial report of the current period. These matters were addressed in the context of our audit of the
financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters. In addition to the matter described in the ‘Material Uncertainty Relating to Going Concern’
section, we have determined the matters described below to be the key audit matters to be communicated in
our report.
INDEPENDENT AUDITOR’S REPORT
TO THE MEMBERS OF ANALYTICA LIMITED (Continued)
Key Audit Matter
How Our Audit Addressed the Key Audit Matter
Accounting For and Disclosure of Options
We focused on this area as a key audit
matter due to:
• Options, including the movements in
option holdings, option expenditure and
option reserves are material in nature
and can have a material dollar value
impact on the financial report.
The inherent complexity and level of
judgment involved in correctly valuing
and accounting for options, especially in
regard to unlisted options.
•
•
Our procedures included, amongst others:
•
•
Verifying the completeness of options on issue with
reference to ASX announcements and other third
party supporting information.
Testing the valuation of options by agreeing to
valuation reports completed by independent valuers,
and confirming assumptions used were appropriate.
• Checking vesting calculations and correct accounting
for options in accordance with AASB 2 Share-based
Payment.
The
for
importance and requirement
adequate and appropriate disclosure of
options in the financial report and the
remuneration report.
•
Ensuring the disclosure of options in the financial
report was adequate and appropriate, verifying
movements
relevant supporting
information.
in options
to
Existence and Valuation of Inventory
We focused on this area as a key audit
matter due to:
•
•
•
inventory
is a material
Analytica’s
balance on the statement of financial
position, and is at high risk of impairment
due to technological obsolescence.
In recent years Analytica has impaired
the overall inventory balance by material
amounts as a result of
impairment
reviews
by Analytica’s
management and Audit.
conducted
A significant amount of Analytica’s
inventory is held by third parties.
Our procedures included, amongst others:
•
•
•
Verifying the existence of inventory by agreeing the
client’s year end balances and records to third party
confirmations from those entities that hold inventory
on Analytica’s behalf. Those entities performed
stocktakes at 30 June 2021, and we obtained copies
of these stocktake reports.
Testing the adequacy of the provision for impairment
and write offs recorded during the year, based on our
knowledge of the client and the specific inventory
items at risk of obsolescence. Where impairment
indicators were noted, further enquiries were made
with management and recalculation of potential
impairment was compared to the provision in the
financial report.
Ensuring the accuracy of the Analytica’s inventory
records by checking that the correct cost per unit was
applied to inventory on hand at year end. Given there
has been minimal purchases in recent times, the
applied cost per unit was compared to the rates
applied in the prior year.
INDEPENDENT AUDITOR’S REPORT
TO THE MEMBERS OF ANALYTICA LIMITED (Continued)
Existence and Valuation of Intangibles – Patents and Trademarks
We focused on this area as a key audit
matter due to:
Our procedures included, amongst others:
•
•
•
Intangibles being material in nature and
having a material dollar value impact on
the financial report.
The inherent complexity and level of
judgment
correctly
accounting for intangibles like patents
and trademarks.
involved
in
•
•
Verifying on a substantive basis the existence and
cost of eligible expenditure on patents and
trademarks.
and
Verifying that the capitalisation of costs in relation to
in
trademarks was
patents
accordance
and
relevant
measurement requirements of Australian accounting
standards.
recognition
completed
with
The potential risk of impairment, given
the intangibles relate to hi-tech products.
• Challenging management’s impairment review and
overall assessment of the fair value of intangibles
recognised at year end.
Information Other than the Financial Report and Auditor's Report Thereon
The directors are responsible for the other information. The other information comprises the information included
in the Group’s annual report for the year ended 30 June 2021, but does not include the financial report and our
auditor's report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and, in
doing so, consider whether the other information is materially inconsistent with the financial report or our
knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Group are responsible for the preparation of the financial report that gives a true and fair
view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal
control as the directors determine is necessary to enable the preparation of the financial report that gives a true
and fair view and is free from material misstatement, whether due to fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the Group to continue
as a going concern, disclosing, as applicable, matters related to going concern and using the going concern
basis of accounting unless the directors either intend to liquidate the Group or to cease operations, or have no
realistic alternative but to do so.
INDEPENDENT AUDITOR’S REPORT
TO THE MEMBERS OF ANALYTICA LIMITED (Continued)
Auditor’s Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.
As part of an audit in accordance with Australian Auditing Standards, we exercise professional judgement and
maintain professional scepticism throughout the audit. We also:
•
Identify and assess the risks of material misstatement of the financial report, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Group’s internal control.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors.
• Conclude on the appropriateness of the directors' use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the Group’s ability to continue as a going concern. If we
conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to
the related disclosures in the financial report or, if such disclosures are inadequate, to modify our
opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report.
However, future events or conditions may cause the Group to cease to continue as a going concern.
•
Evaluate the overall presentation, structure and content of the financial report, including the disclosures,
and whether the financial report represents the underlying transactions and events in a manner that
achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the financial report. We are responsible
for the direction, supervision and performance of the Group audit. We remain solely responsible for our
audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of the audit
and significant audit findings, including any significant deficiencies in internal control that we identify during our
audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may reasonably
be thought to bear on our independence, and where applicable, related safeguards.
INDEPENDENT AUDITOR’S REPORT
TO THE MEMBERS OF ANALYTICA LIMITED (Continued)
From the matters communicated with the directors, we determine those matters that were of most significance
in the audit of the financial report of the current period and are therefore the key audit matters. We describe
these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or
when, in extremely rare circumstances, we determine that a matter should not be communicated in our report
because the adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included in pages 15 to 24 of the directors' report for the year ended
30 June 2021.
In our opinion, the Remuneration Report of Analytica Limited, for the year ended 30 June 2021, complies with
section 300A of the Corporations Act 2001.
Responsibilities
The directors of Analytica Limited are responsible for the preparation and presentation of the Remuneration
Report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion
on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
Bentleys Brisbane Partnership
Chartered Accountants
Ashley Carle
Partner
Brisbane
30 September 2021
Pg. 77
ASX Additional Information
ASX Additional Information
Additional information required by the ASX Listing Rules and not disclosed elsewhere in this report is
set out below. This information is effective as at 24 September, 2021.
Substantial shareholders
The number of substantial shareholders and their associates are set out below:
HALONNA PTY LTD
INOV8 LLC
Distribution of equity security holders
Range
100,001 and Over
50,001 to 100,000
10,001 to 50,000
5,001 to 10,000
1,001 to 5,000
1 to 1,000
Total
Securities
% No. of holders
%
4,572,754,796
99.11
1,297
22,955,949
16,140,484
951,053
639,211
359,636
0.50
0.35
0.02
0.01
0.01
298
586
111
236
777
39.24
9.02
17.73
3.36
7.14
23.51
4,613,801,129
100.00
3,305
100.00
Twenty largest share holders
Top holders
Top 20 holders
Balance Of Register
Total Issued Capital
Rank Name
Securities
%
2,660,720,303
1,953,080,826
57.67
42.33
4,613,801,129
100.00
1
2
3
4
5
6
7
8
9
HALONNA PTY LTD
INOV8 LLC
M P A M M PTY LTD
MS CHUNYAN NIU
M P MONSOUR MEDICAL PRACTICE PTY LTD
IGNATIUS LIP PTY LTD
1215 CAPITAL PTY LTD
DR TERESA MARGARET MULLINS & DR PETER JAMES MULLINS
MR MARK ARUNDEL & MRS SIGRID ARUNDEL
10
VAN AM MARKETING PTY LTD
24 Sep 2021
%IC
636,734,354
13.80
360,790,157
233,042,390
213,571,429
156,379,178
151,073,534
134,385,213
117,062,340
80,000,000
68,375,148
7.82
5.05
4.63
3.39
3.27
2.91
2.54
1.73
1.48
Pg. 78
ASX Additional Information
11
12
13
14
15
16
17
18
19
20
DR KELVIN RICHARDS KHONG
HALONNA PTY LIMITED
YUCAJA PTY LTD
WINS ASSET MANAGEMENT PTY LTD
TAMBIEN PTY LTD
FITZWILL SUPERANNUATION PTY LTD
CMONSUPER PTY LTD
MR RICHARD THOMAS HAYWARD DALY & MRS SARAH KAY
DALY
NEATFORD PTY LTD
62,464,171
60,156,250
55,785,714
52,000,000
51,633,561
50,000,000
49,632,352
49,453,538
40,009,545
MRS SABINA LIP
Total
Balance of register
Grand total
38,171,429
2,660,720,303
1,953,080,826
4,613,801,129
1.35
1.30
1.21
1.13
1.12
1.08
1.08
1.07
0.87
0.83
57.67
42.33
100.00
Voting rights
Ordinary Shares
On a show of hands, every member present at a meeting in person or by proxy shall have one vote
and upon a poll each share shall have one vote.
Options
Top holders
Top 20 holders
Balance Of Register
Total Issued Capital
Range
100,001 and Over
50,001 to 100,000
10,001 to 50,000
5,001 to 10,000
1,001 to 5,000
1 to 1,000
Total
Securities
%
994,205,749
174,983,048
85.03
14.97
1,169,188,797
100.00
Securities
%
1,169,188,797
100.00
0
0
0
0
0
0.00
0.00
0.00
0.00
0.00
1,169,188,797
100.00
Pg. 79
ASX Additional Information
Rank Name
1
2
3
4
5
6
7
8
8
9
10
11
12
12
13
14
15
16
16
16
17
18
18
19
20
20
20
MS CHUNYAN NIU
HALONNA PTY LTD
YUCAJA PTY LTD
TAMBIEN PTY LTD
HIRSCH FINANCIAL PTY LTD
DR KELVIN RICHARDS KHONG
MR KEVIN DANIEL LEARY & MRS HELEN PATRICIA LEARY
SPICEME CAPITAL PTY LTD
180 MARKETS PTY LTD
1215 CAPITAL PTY LTD
CERTANE CT PTY LTD
MR RABI ABU ABAREH
MR STACEY HUBERT CARTER
GREGORY DENISE PTY LTD
MR JIAMING QI
MR KALPESH VARSANI & MRS RITA VARSANI
DRAGONBACK CAPITAL PTY LTD
MR MARK ANDREW TKOCZ
DR TERESA MARGARET MULLINS & DR PETER JAMES MULLINS
RIYA INVESTMENTS PTY LTD
MR ROBERT REVIS
SARISAN CONSULTANTS PTY LTD
MR GEOFFREY LEIGH SAFFER & MRS RACHEL SAFFER
MRS SABINA LIP
MS CAROLINE LIP
BLUE BLITZ INVESTMENTS PTY LTD
MAYHEW CAPITAL PTY LTD
24 Sep
2021
228,571,429
214,285,714
94,285,714
50,000,000
42,857,142
31,000,000
28,000,000
25,000,000
25,000,000
24,434,326
21,142,857
19,428,571
17,142,857
17,142,857
16,971,428
16,071,428
14,300,000
14,285,714
14,285,714
14,285,714
11,428,571
10,000,000
10,000,000
8,571,429
8,571,428
8,571,428
Total
Balance of register
8,571,428
994,205,749
174,983,048