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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
www.aspermont.com | ASX:ASP FRA: 00W
OPERATIONAL HIGHLIGHTS
2024
ASPERMONT
ANNUAL REPORT
FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2024
ASPERMONT LIMITED | LODGED WITH ASX UNDER LISTING RULE 4.2A.3
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MISSION
Aspermont is a global leader in business-
to-business media providing timely,
independent, and high value content.
We bring together communities to
collaborate, solve problems and find
innovative breakthroughs for many
of the pressing challenges the world
faces today.
We are proud to serve industries which
are critical both to sustain and improve
our quality of life.
2
ASX:ASP | FRA:00W | TDG:00W
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
“Enable businesses
to dig deeper and make
better decisions for
a brighter future.”
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OPERATIONAL HIGHLIGHTS
Aspermont (ASX:ASP, FRA:00W) has a 189-year publishing history with collectively 580 years of
brand heritage across our 11 primary brands.
We are the largest B2B media organisation serving the global resource sectors today and we
are supported by over 100 independent journalists and analysts worldwide.
Over the past eight years, Aspermont has undertaken a full-scale business model
transformation, resulting in 33 consecutive quarters of growth in subscriptions, our primary
revenue stream.
Over the last two years, we have been reshaping our product portfolio to maximise high-
recurring-revenue business while investing our free cash flow to build a new Data business.
The foundations are now in place to deliver sustained growth and profitability with Aspermont
now at an inflection point.
Aspermont is listed on the ASX and the Frankfurt Stock Exchange and is also quoted on other
European exchanges. Aspermont has offices in the United Kingdom, Australia, Brazil, USA,
Canada, the Philippines, and Singapore.
ABOUT ASPERMONT
OPERATIONAL HIGHLIGHTS
MISSION
2
ABOUT ASPERMONT
3
FINANCIAL HIGHLIGHTS
4
PERFORMANCE HIGHLIGHTS
5
THE BOARD
16
THE EXECUTIVE TEAM
17
FINANCIAL REPORT
DIRECTOR’S REPORT
19
REMUNERATION REPORT
23
AUDITOR’S INDEPENDENCE DECLARATION
34
FINANCIAL STATEMENTS
35
NOTES TO THE FINANCIAL STATEMENTS
39
CONSOLIDATED ENTITY DISCLOSURE STATEMENT
71
DIRECTOR’S DECLARATION
72
INDEPENDENT AUDITOR’S REPORT
73
OTHER INFORMATION
ADDITIONAL INFORMATION FOR LISTED PUBLIC COMPANIES
77
CORPORATE DIRECTORY
79
CONTENT
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YEAR ENDED 30 SEPTEMBER 2024
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FINANCIAL HIGHLIGHTS
FY 24
$m
FY 23
$m
Growth
%
Subscriptions Revenue
$9.7m
$9.5m
3%
Other Revenue
$7.8m
$8.5m
(10%)
Revenue from Continuing Operations
17.5
18.0
(3%)
Discontinued services
-
1.2
Reported Revenue
17.5
19.2
Operating, Corporate & Admin Expenses
(17.8)
(17.5)
Normalised EBITDA
(0.3)
1.7
Investments & Exceptionals
(0.8)
(1.3)
Reported EBITDA
(1.1)
0.5
Depreciation and Amortisation
(0.9)
(0.7)
EBIT
(2.1)
(0.3)
Finance Costs
-
0.1
Loss before Significant items and Tax
(2.1)
(0.2)
Significant items /
Exceptionals before Tax
(0.35)
(1.6)
Loss before Tax
(2.5)
(1.8)
Tax Expense
0.04
0.1
Net Loss after Tax
(2.4)
(1.7)
Diluted EPS
(0.08) cents
(0.07) cents
Income Statement
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OPERATIONAL HIGHLIGHTS
Consistent Subscriptions growth over 8 consecutive years
although challenging market conditions and staff shortages
impacted our first half performance. Growth rates accelerated in
the second half with rising momentum into the new financial year.
1
Other revenues, in Nexus and Events, were volatile in line
with market conditions. The junior mining sector malaise has
significantly impacted these revenues lines this year, but with an
expected cyclical rebound in the second half of 2025 Nexus and
Events should be beneficiaries.
2
Several legacy products were shut down in FY24, as we focused on
high quality revenue. We wrote off $1.2M in closing a joint venture,
a print publishing product and also one live event.
3
EBITDA performance was in line with March 2024 guidance,
and we maintained our inward investment program.
4
Our new investment areas this year, Data & Intelligence as well as
content platform enhancements, with an associated expansion in
senior management, were $1.0m and $0.3m respectively.
5
Aspermont owns on a non-dilutive basis 5% of a mining company
with a known resource set for IPO in 2025. The value of this stake
will be recognized on ASX listing.
6
PERFORMANCE
HIGHLIGHTS
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FY 24: H1 vs H2
H1 24
Change
H2 24
Total Revenue from continuing operations
$8.0m
$9.5m
+18%
Annual Recurring Revenue - Subscriptions
$10.7m
$11.3m
+6%
Normalised EBITDA
($0.6m)
$0.3m
Cash & Cash Equivalents
$1.4m
$1.4m
y
H1 revenues at $7.8M were impacted by adverse market conditions and by delays in some product schedules.
y
At the end of the first half, we told investors that “the business would return to revenue growth and profitability in the second half
and that we would balance cash reserves with an inward investment program”.
y
The directors are pleased to share with investors that we have done exactly that with revenues up 18% at $9.5M.
H1-24
$1.4
H2-24
H1-24
($0.6)
$0.3
H2-24
$1.4
H1 20
H2 20
H1 21
H2 21
H1 22
H2 22
H1 23
H2 23
H1 24
H2 24
12.0
8.0
4.0
0.0
Continuous Revenue (A’$m)
H1-24 Vs H2-24 Cash
H1-24 Vs H2-24 Normalised EBITDA
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OPERATIONAL HIGHLIGHTS
CAGR 12%
$12.0m
$10.0m
$8.0m
$6.0m
$4.0m
$2.0m
1
2
3
4
5
6
7
8
9
10
11 12 13 14 15 16 17 18 19 20
21 22
23 24 25 26 27 28 29 30
31 32 33
0
$0.0m
Jun-16
$704
Jun-17
$623
$938
Sep-19
$832
Sep-18
$1,236
Sep-21
$1,071
Sep-20
$2,027
Sep-23
$1,586
Sep-22
$2,219
Sep-24
67%
Gross Margins
improvement
from 47% to
CAGR 17%
33 consecutive quarters of scalable subscriptions growth
y
Aspermont’s business model in subscriptions has proven resilient, regardless of global resource sector cycles. We have achieved
a 17% compound growth in product prices, because our customers both extend the range of products they purchase, and they
also increase the number of members per subscription.
y
As almost all of our products are now digital, gross margins are scaling accordingly.
y
We expect further growth in average revenue per unit going forward as we launch new Data and Intelligence products.
Average Revenue Per Unit (ARPU)
Annual Recurring Revenue (ARR)
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YEAR ENDED 30 SEPTEMBER 2024
8
Total Addressable Market
80,000
5,000
~6%TAM
Current
Aspermont
Corporate
Subscriptions
Average revenue
per unit, with
significant growth
potential.
$2K+
7.34
Top 10
Subscriptions
of Total Subs
Revenue
7.34%
!"#"$"%&"' ( )"*+,--".'/012.'345
>$1K
3019
>$3K
37
>$5K
393
9
>$8K
92
2
1000
0
2000
3000
FY 24
FY 16
653
915
Annual Recurring Revenue per Account
FY25+ Forward Looking Strategies
Large audience expansion with improving profit margins
in mining corporate subscriptions alone
y
At Aspermont we have only scratched the surface of our potential market.
y
Today, our 5,000 corporate subscriptions generate $11 million in Annual Recurring Revenue. But the Total Addressable Market,
for mining corporate subscriptions alone, is potentially $180 million in ARR, and that figure assumes only constant average
revenue per unit.
y
As we have shown, our ARPU is in fact growing by nearly 20% per year, and we are not reliant on only a few large accounts. We
are delivering growth across our entire subscriber base.
y
Aspermont operates globally, across the mining, energy, and agriculture sectors, and with diverse revenues from subscriptions,
live events, advertising, and marketing services.
y
But our growth strategies focus heavily on mining corporate subscriptions.
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OPERATIONAL HIGHLIGHTS
Growth Strategies
To grow mining corporate subscriptions, we will: -
y Increase content coverage with more writers in more regions and more industry segments.
y Leverage our technology to optimise both customer acquisition and customer engagement and;
y Extend our outbound marketing campaigns to new jurisdictions.
Our number of writers and analysts has quietly grown over the last few years as we balanced cash flow with inward
investment. The ROI on new content providers is roughly six months, and as the profitability increases, so will the
number of our content providers.
We have made tremendous improvements in customer acquisition and engagement performance through our
prior technological advancements. Our Horizon platform, first released eight years ago, has enabled our current
growth path. Earlier this year, we announced that all our brands are now on Version 5 of this platform, to make an
increasing impact. Equally, the evolution of our processes benefits as we expand from the new knowledge capital
brought into the business through our recent senior leadership investments.
To date, Aspermont has done very little outbound marketing for its brands, relying instead on the existing database
to drive new business acquisitions. Going forward, we commit to significantly increase our marketing activities.
Currently, the marketing team is trialling the ROI performance on several new initiatives. By the end of the first half,
we expect these new strategies to stabilise and begin to contribute to our profits.
Content Volume
Expansion
More content producers
covering more regions,
industry segments and
specialisations.
Technological
Advancement
Personalised UX to help
optimise new customer
conversion workflows.
Increased
Outbound
Marketing
Continual testing and
optimisation of marketing
practices to both widen the
new traffic net and improve
conversion efficacy.
Growth corporate subscriptions
1
Increase account penetration to build ARPU
2
Our strategy to increase account penetration and ARPU applies Account-Based Marketing techniques to expand the
number of members per subscription. By upselling and cross-selling with contemporaeous annual rate card increases
we build the quality, depth and range of our offerings.
In 2016, only two clients paid more than $8k in subscription fees. Today, nearly 100 clients pay more than that annually.
Our highest-paying client today spends almost $200k in annual subscriptions fees.
We are making good progress.
Account Based
Marketing
Target employees of existing
corporate subscribers to
increase members per
subscription.
Upselling &
Cross-Selling
Bundle other existing
standard and premium
priced products to broaden
subscriptions.
Rate Card
Achieve annual rate
increases from improving
content value proposition.
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Increase market size
3
Our R&D and new product strategy focuses on game-changing innovations. We will target new geographies and
offer multilingual services to expand our user base with these new products. Through developing higher-value Data
and Intelligence products, we can significantly increase subscription pricing.
Our immediate focus is on the North American market, where we are developing a marketing approach to boost
penetration. We already have a well-received product portfolio in this region, and our outreach efforts should have
a positive near-term impact. From a cost perspective, we expect a three-month lag in ROI as we prioritise marketing
spends on new customer acquisitions.
We have previously informed investors about our multilingual ambitions through launching our Project Esperanto,
as only 25% of the world’s population has English as a native language. Given the rapid advancement of ChatGPT,
we have paused our efforts on Esperanto to see how we can freely leverage from such new pioneering tools.
Over the past two years, we have heavily invested in our Data and Intelligence teams, platforms, and research. Our
focus is on data ‘origination’ rather than aggregating or building competitor products from existing external data.
This approach capitalizes on our unique relationships and contact networks within the global mining industry to
open greenfield opportunities with high-value data sets that only we can produce.
If we achieve success in any one of these three areas it will drive transformative growth for Aspermont. Our ambition
is to access a far larger market through each of these three initiatives.
Targeted
Geographies
Enhance service provision
and audience development in
target markets.
New
Languages
Multi-lingual expansion of
services.
New High Value
Formats
More data & intelligence
products in risk analytis,
project ratings, ESG,
workflow data and pricing.
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OPERATIONAL HIGHLIGHTS
Key metrics for investors to track our
execution success in FY25
Annual Recurring Revenue (ARR) Growth:
10%+
Average Revenue Per Unit (ARPU) Growth:
15%+
Total Paid Members Growth:
15%+
Positive Organic Free Cashflow
1
2
3
4
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YEAR ENDED 30 SEPTEMBER 2024
12
FY25 Managing Director’s Outlook
For the first time in Aspermont’s history Subscriptions contributed over 50% of the total revenue and our subscribers maintain a near
100% net retention rate.
Powerful brands, a top-tier management team, and our recognised leadership in B2B media for the mining sector, combined, position
our company for a phase of sustained growth.
Aspermont subscriptions growth over 33 consecutive quarters sets the foundation.
After two years investing in new personnel, to enhance the data and intelligence division, Aspermont is at an inflection point. As a
series of new Data products are released our Annual Recurring Growth and Average Revenue Per Unit will step change in a positive
direction.
We informed investors at the end of the first half that we had returned to profitability, while balancing our inward investment with
our cash reserves to upgrade revenue quality.
The next few years should be an exciting time for Aspermont and our shareholders.
Sincerely,
Alex Kent
Managing Director
Aspermont Limited
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YEAR ENDED 30 SEPTEMBER 2024
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OPERATIONAL HIGHLIGHTS
Aspermont is at an
inflexion point
A 8-year-old #mediatech company with
a 189-year legacy.
1
Experienced Tier 1 management team
executing with success.
3
Multiple growth levers to maintain double
digit ARPU growth, currently 17% CAGR.
6
33 consecutive quarters of growth in
Subscriptions model at 12% CAGR.
2
Multiple growth strategies driving
improved revenues and quality of
earnings.
4
Executing new ways to monetise industry
leading content.
7
Multiple growth levers to increase, current
6%, share of total addressable market in
mining corporate subscriptions.
5
Self-funding growth investments
maintain stable cash balances.
8
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
14
APPENDIX 1
1. Normalised EBITDA
The reconciliation of statutory earnings to EBITDA is as follows:
2. FY 24 Key Exceptional Items and one-off expenses
1 Investment in data, research & intelligence
2 Investment in Skywave platform and V5 content platform upgrade
Year Ended
30 Sep 2024
$000
30 Sep 2023
$000
Reported income/(loss) from continuing operations before income tax expense
(2,480)
(1,830)
Net interest
13
(69)
Depreciation and amortisation
921
735
Other (share-based payments & provisions, foreign exchange, other income)
331
383
Investment write-offs/Dilapidation changes
159
779
Share of net loss in associate
-
458
Reported EBITDA
(1,056)
456
Exceptional one-off charges/(income)
240
172
New business establishment costs
488
1,083
Normalised EBITDA
(328)
1,711
EBITDA & Cashflow Reconciliation
Year Ended
30 Sep 2024
$000
30 Sep 2023
$000
Operating Expenses
Exceptional charges – one-off restructuring and write-offs
240
172
Opex investment in new product lines1
488
1,083
Write down of investment in JV
-
779
Total Operating Expenses
728
2,034
Capital Expenses
Additional funding in Blue Horseshoe & other related parties
-
350
Platform investments2
800
270
Total capital expenditures
800
620
Total
1,528
2,654
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YEAR ENDED 30 SEPTEMBER 2024
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OPERATIONAL HIGHLIGHTS
APPENDIX 2
Key Announcements
Financial Results
1
Q4-24 Investor Update
y Presentation
Webinar
2
Q3-24 Investor Update
y Presentation
Announcement
3
HY24 Results
y Report
Presentation
Announcement
4
Q1-24 Investor Update
y Announcement
Product & Business Announcements
7
Aspermont partners with Rick Rule
y Announcement
8
Aspermont launches creative agency, Nexus
y Announcement
9
Websites Upgrade Across All Media Brands
y Announcement
10
Successful Launch of FOM and MJS Perth
y Announcement
General Meetings
5
AGM Results
y Announcement
6
Board Changes
y Announcement
Other Announcements
11
Update on Aspermont’s Venture - Blue Horseshoe
Ventures
y Announcement
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16
BOARD OF DIRECTORS
Other current directorships
No other listed company directorships
Former directorships in last 3 years
E79 Gold Mines Limited
Special responsibilities
Chair of Audit Committee
Interest in shares and options
64,055,746 ordinary shares
Other current directorships
No other listed company directorships
Former directorships in last 3 years
No other listed company directorships
Interest in shares and options
Nil
Other current directorships
No other listed company directorships
Former directorships in last 3 years
No other listed company directorships
Special responsibilities
Managing Director
Interest in shares and options
271,357,877 ordinary shares
258,245,641 options
135,230,001 performance rights
Other current directorships
No other listed company directorships
Former directorships in last 3 years
No other listed company directorships
Interest in shares and options
411,970,603 ordinary shares
GEOFFREY DONOHUE B.COM, Grad. Dip Financial Analysis (FINSIA), CPA
Lead Independent Director
Experience and expertise
Mr Geoffrey Donohue has over 30 years’ experience at both board and senior
management level within public companies and the securities industry.
Mr Donohue holds a Bachelor of Commerce from James Cook University of
North Queensland, Graduate Diploma in Financial Analysis from the Securities
Institute of Australia and is a Certified Practicing Accountant.
GRAEME MCCRACKEN, MA Politics & Economics
Non-Executive Director
Experience and expertise
With over 30 years’ experience in innovation and digital transformation across
the media, events, data and analytics sector, Graeme brings a wealth of
experience from across multiple global B2B markets. Graeme has held senior
leadership positions at several companies including CEO roles at Proagrica and
CMD Group. Graeme is a graduate of the University of Glasgow with a Masters
degree in Politics & Economics.
ALEX KENT BSc Economics, Accounting & Business Law
Managing Director
Experience and expertise
Since joining the company in 2007, Mr Alex Kent has worked across all divisions
of Aspermont, building an extensive knowledge of its product portfolio and
been a key driver in the overall business vision. He held executive roles in
both marketing and digital strategy prior to becoming Managing Director.
Mr Kent previously graduated through Microsoft’s Executive Academy and
with a double honours degree in Economics, Accounting and Business Law.
JOHN STARK AAICD
Alternative Director
Experience and expertise
Mr Stark is an experienced business manager with experience and interests
across various companies. Mr Stark has been a member of the Board
since 2000. Mr Stark was appointed Alternative Director to Mr Andrew Kent
on the 26th May 2018 and was appointed alternative Director to Mr Alex Kent
on 11 October 2023.
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OPERATIONAL HIGHLIGHTS
EXECUTIVE MANAGEMENT TEAM
Ajit Patel
Chief Operating Officer
Experience and expertise
Ajit has more than 35 years of experience in the media industry, working across print and digital
media, events, and market research. Before joining Aspermont in 2013, he worked for Incisive Media in
London, where he was responsible globally for infrastructure, software development, online strategy,
vendor management and large-scale systems implementation and prior to that he was the CTO for
VNU (now Nielsen). Ajit is responsible for Aspermont’s online strategy implementation alongside
managing the technology, data, content and subscriptions functions across the group. His role reflects
the Group’s priority to further strengthen its online presences and internal system.
Nishil Khimasia
Chief Financial Officer
Experience and expertise
Nishil is our Group Chief Financial Officer. He has been with the company since 2016 and oversees
the financial functions of the business. He previously held leadership positions with Equifax and was
involved in developing its European presence both organically and inorganically. Nishil is a fellow
of the Institute of Chartered Accountancy England & Wales, received his BCom from University of
Birmingham and has a Marketing Diploma from Kellogg School of Management.
Matt Smith
Chief Commercial Officer
Experience and expertise
Matt is our Chief Commercial Officer, who leads the commercial services and global events divisions.
He previously held leadership positions at IDG where he centralised and led the global data and
demand generation business, securing significant revenue and profit growth through new data driven
services over a 10-year period. Matt joined Aspermont to spearhead new revenue growth channels
through deeper market engagement and introducing a solution driven culture across our global sales
and events teams.
Josh Robertson
Chief Marketing Officer
Experience and expertise
Josh is our Chief Marketing Officer. He joined the company in 2023 and oversees the marketing,
brand, creative and communications functions. He has over 15 years’ experience at some of the largest
independent and network global agencies having previously held senior leadership positions with
Havas, Publicis, Dentsu. Most recently he was the Chief Marketing Officer at VCCP.
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FINANCIAL REPORT
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FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
DIRECTOR’S REPORT
The Directors present the consolidated financial report of Aspermont Limited and its controlled subsidiaries (the Group
or Aspermont) for the year ended 30 September 2024.
Principal activities
The Group’s principal activities during the period were to provide market specific content across the Resource sectors through
a combination of print, digital media channels and face to face networking channels.
Operating results
The consolidated loss before tax attributable to equity holders of the group was $1.9 million (2023: loss $1.7 million).
Dividends
No dividend has been declared for the period (2023: no dividend).
Review of operations
A review of the operations of the Group during the financial year has been set out in pages 4 to 15 of this report.
Significant changes in the state of affairs
The significant changes in the state of affairs of the Group during the year are outlined in the preceding review of operations.
Events subsequent to the end of the year
There were no events subsequent to the year-end that require disclosure.
Likely developments and expected results of operations
The upcoming year is expected to be focussed on growth initiatives and earnings protection given the continuing adverse market
conditions. The business intends to focus on its innovation hubs to deliver new products to market that suit the conditions whilst also
continuing developing our capability in data and analytics.
Environmental regulations
Environmental regulations do not have any impact on the Group, and the Group is not required to report under the National
Greenhouse and Energy Reporting Act 2007.
Directors
The following were directors of Aspermont Limited during the financial year and up to the date of this report:
Name
Title
Geoffrey Donohue
Lead Independent Director
Alex Kent
Managing Director
Tricia Klinger
Non-executive Director
Until 26th February 2024
Dean Felton
Non-executive Director
Until 26th February 2024
Graeme McCracken
Non-executive Director
John Stark
Alternative Director
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Director’s Meetings
The number of meetings of the Company’s Board of Directors and of each Board committee held during the year ended
30 September 2024, and the number of meetings attended by each director were:
Board
Audit & Risk Committee
Meetings Held
Meetings
Attended
Meetings Held
Meetings
Attended
A Kent
8
8
**
**
G Donohue
8
8
4
4
T Klinger
6(1)
6(1)
3
3
D Felton
6(1)
6(1)
**
**
G McCracken
8
8
4
4
J Stark
8
6
**
**
(1) Number of meetings held during the time the director held office or was a member of the committee during the year
** Not a member of the relevant committee
Company Secretary
David Straface (Company Secretary)
The Company Secretary is Mr David Straface. Mr Straface was appointed to the position of Company Secretary on 10 October 2023.
Mr Straface is a company director, advisor and lawyer with over 15 years of experience in the corporate finance industry. He is a
Fellow of the Financial Services Institute of Australasia.
Auditors declaration
The lead auditor’s independence declaration is set out on page 34 and forms part of the director’s report for the year ended 30
September 2024.
Rounding of amounts
The parent entity has applied the relief available to it under Legislative Instrument 2016/191 and accordingly, amounts in the financial
statements have been rounded off to the nearest thousand dollars, unless otherwise stated.
Shares under option
Unissued ordinary shares of Aspermont Limited under option at the date of this report are as follows:
Date of Issue
Date of Expiry
Exercise Price
Number of Options
18-Oct-16
30-Sep-25
3c
303,577,323
13-Sep-21
30-Sep-25
3c
20,000,000
Insurance of officers
During the financial year, Aspermont Limited paid a premium to insure the directors and officers of the Company and its
Australian-based controlled entities.
The liabilities insured are legal costs that may be incurred in defending civil or criminal proceedings that may be brought against the
officers in their capacity as officers of entities in the Group, and any other payments arising from liabilities incurred by the officers in
connection with such proceedings.
For personal use only
21
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
Not included are such liabilities that arise from conduct involving a wilful breach of duty by the officers or the improper use by the
officers of their position or of information to gain advantage for themselves or someone else to cause detriment to the Company.
It is not possible to apportion the premium between amounts relating to the insurance against legal costs and those relating to
other liabilities.
Indemnity of auditors
The Company has not, during or since the end of the financial year, given an indemnity or entered into an agreement to indemnify,
or paid insurance premiums in respect of the auditors of the Group.
Proceedings on behalf of the Company
No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the
Company, or to intervene in any proceedings to which the Company is a party, for the purpose of taking responsibility on behalf of
the Company for all or part of those proceedings.
No proceedings have been brought or intervened in on behalf of the Company with leave of the Court under section 237 of the
Corporations Act 2001.
Non-audit services
The Group has not engaged any non-audit services during the period.
Auditor’s independence declaration
A copy of the auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is set out on
page 34. This report of the directors incorporating the remuneration report is made in accordance with a resolution of the Board
of Directors.
Corporate Governance
The Board of Aspermont is committed to good corporate governance. The Board’s primary roles are:
The protection and enhancement of total shareholder returns, and
Fulfilling its corporate governance obligations and responsibilities in the best interests of the company, its staff and
its stakeholders.
Aspermont reports against the fourth edition of the ASX Corporate Governance Council’s Corporate Governance Principles and
Recommendations released on 27 February 2019. Corporate Governance Statements are released to ASX and are available the
Company’s website at https://www.aspermont.com/corporate-governance. Any statements of non-compliance are
considered appropriate for a company of the size and structure of Aspermont.
Diversity disclosures in the Aspermont workorce at 30 september 2024
Male
54%
Female
46%
Gender Split
Age
4%
60 - 69
15%
20 - 29
34%
30 - 39
30%
40 - 49
17%
50 - 59
For personal use only
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22
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Remuneration Report
The Remuneration Report forms part of the Directors Report.
Dated 26th November 2024
Signed in accordance with a resolution of Directors:
Alex Kent
Managing Director
Disability
3%
Yes
86% No
11%
Prefer not to say
1%
3%
8%
2
2
14%
21%
Mixed or multiple ethnic groups
Chinese
Asian or Asian British - Pakistani
Other ethnic group
Indian
Black, Black British, Caribbean or African - African
Asian or Asian British - Chinese
Asian or Asian British - Indian
Asian or Asian British - Any other Asian background
White - Any other White background
Prefer not to say
White - English, Welsh, Scottish, Northern Irish or British
White
Ethnicity
1%
1%
3%
3%
7%
3%
13%
21%
For personal use only
23
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
REMUNERATION REPORT (AUDITED)
The information provided in this remuneration report has been audited as required by section 308 (3C) of the Corporations
Act 2001.
The remuneration report is set out under the following main headings and forms part of the Directors report:
A) Principles used to determine the nature and amount of remuneration
The objective of the Group’s executive reward framework is to ensure reward for performance is competitive and appropriate for the
results delivered.
The framework aligns executive reward with achievement of strategic objectives and the creation of long-term value for shareholders
and conforms with market practice for delivery of reward.
The Board ensures that executive reward satisfies the following criteria for good reward governance practices:
y
competitiveness and reasonableness;
y
acceptability to shareholders;
y
performance linkage/ alignment of executive compensation; and
y
transparency.
Alignment to shareholders’ interests:
y
has sustainable economic profit as a core component of plan design;
y
focuses on key fundamentals for long term growth in shareholder wealth, consisting of dividends and growth in share price, and
delivering constant return on assets as well as focusing the executive on key non-financial drivers of value; and
y
attracts and retains high caliber executives.
Alignment to program participants’ interests:
y
rewards capability and experience;
y
reflects competitive reward for contribution to growth in shareholder wealth;
y
provides a clear structure for earning rewards; and
y
provides a recognition for contribution.
The Board has established a Remuneration Committee which provides advice on remuneration and incentive policies and practices,
and specific recommendations on remuneration packages and other terms of employment for executive directors, other senior
executives and non-executive directors.
Directors’ fees:
The base remuneration was reviewed in the year and the following base fees were determined:
A
Principles used to determine the nature and amount of remuneration
B
Details of remuneration
C
Service agreements
D-G
Additional information
H
Other transactions with directors and KMP
Base fees
30 September 2024
Non-Executive Directors
$45,000
Lead Independent Director
$100,000
For personal use only
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Base Pay
This is structured as a total employment cost package which may be delivered as a combination of cash and prescribed non-financial
benefits at the executives’ discretion. Executives are offered a competitive base pay that comprises the fixed component of pay and
rewards. Base pay for executives is reviewed annually. An executive’s pay is also reviewed on promotion. There are no guaranteed
base pay increases in an executive’s contract and there have been no rises in base pay for any executive over the last few years.
Benefits
Executives receive benefits including health and life insurance.
Superannuation & Pension
United Kingdom based Executives are paid a pension of up to 10% on their base salary. Executives may elect to sacrifice base pay
into superannuation at their discretion.
Short-term incentives (STI)
Short Term Incentives (STI) are an ‘at risk’ annual bonus payment for executives. The composition of STI are focused on a combination
of financial, operational and strategic priorities. Each executive STI is tailored to the achievement of objectives under that executive’s
direct sphere of influence and roughly 70% of all executive STI’s are shared team goals to encourage collective responsibility and goal
congruence throughout all divisions of the business.
STI’s are set and approved annually by the Remuneration Committee.
The payments made for this year are disclosed in the remuneration table on pages 26 and 30 showing how much each
award represented as percentage of each individual fixed remuneration.
Feature
Description
Max opportunity
MD and other executives: 50% of fixed remuneration
Performance
metrics
The STI metrics align with our strategic priorities of generating profitability so we can self-fund future growth
initiatives. They also focus on operational excellence, talent development and shareholder value.
Metric
Target
Weighting
Reason for selection
Revenue Quality,
EBITDA and net
liquidity
+15% Increase & positive
EBITDA
50%
Improved financial strength
Increase group’s
market share in
subscriptions
and new revenue
services
+12%
increase
20%
Focus of the group’s key growth
strategy for the next 5 years
Shareholder Value
Specific to
individuals
20%
Increased profitability and
share price of the company
Talent Development
Individual KPIs
set annually
10%
Talent development and retention
Delivery of STI
STI awarded is paid in cash at the end of the financial year and can be deferred at Board’s discretion and is
subject to forfeiture on resignation.
Board discretion
The Board has discretion to adjust remuneration outcomes up or down to prevent any inappropriate reward
outcomes, including reducing (down to zero, if appropriate) any deferred STI award.
Executive pay
The executive pay and reward framework have three components. The combination of these comprises an executive’s
total remuneration.
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25
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
Long-term incentives
Long-term incentives are provided to certain employees to incentivise long-term objectives and tenure via performance rights.
Performance Rights provide a non-cash incentive that aligns directors and employees interests with those of the shareholders and are
granted to motivate and retain directors and employees over a multi-year tenure.
The Company granted Performance Rights for this financial period as disclosed on page 31.
B) Details of remuneration
Amounts of remuneration
Details of the remuneration of the directors and key management personnel of the Group (as defined in AASB 124 Related Party
Disclosures) of Aspermont Limited and the Aspermont Limited Group are set out in the following tables.
The Directors and key management personnel of the Group are the following:
y
Alex Kent – Managing Director, Group
y
John Stark – Alternative Director (Appointed 11th October 2023)
y
Geoffrey Donohue – Lead Independent Director
y
Tricia Klinger – Non-Executive Director (Until 26th February 2024)
y
Dean Felton – Non-Executive Director (Until 26th February 2024)
y
Graeme McCracken – Non-Executive Director
y
Ajit Patel – Chief Operating Officer, Group
y
Nishil Khimasia – Chief Financial Officer, Group
y
Matt Smith – Chief Commercial Officer, Group
y
Josh Robertson – Chief Marketing Officer, Group
For personal use only
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26
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Details of Directors and key management personnel of the Group remuneration for the year ended 30 September 2024 are as follows:
1 Performance rights have been issued to executives for seven consecutive years. Further detail can be found in note F on page 31.
2 Executive remuneration, contracted in British Pounds, has been converted to Australian Dollars at the average exchange rate for the year ended 30 September.
3 Left on 26th February 2024.
4 Executive remuneration, contracted in Singapore Dollars, has been converted to Australian Dollars at the average exchange rate for the year ended 30 September.
5 Directors and KMP took a pay cut during the year. These payments will be deferred to a future period and the amount $190,608 was accrued in FY24.
2024
Short-term employee benefits
Share based
payments
Long term
employee
benefits
Post-
employment
benefits
Name
Salary
or fees (5)
STI related
payments
Non-
monetary
benefits
Performance
rights (1)
Long
service
leave
Superannuation/
Pension
Total
Executive directors
A Kent (2)
488,827
-
58,848
207,572
-
-
755,246
Sub-total
488,827
-
58,848
207,572
-
-
755,246
Non-executive directors
J Stark
-
-
-
-
-
-
-
G Donohue
100,000
-
-
-
-
-
100,000
T Klinger (3)
22,917
-
-
-
-
2,521
25,438
D Felton (3)
17,045
-
-
-
-
1,875
18,920
G McCracken
46,642
-
-
-
-
1,558
48,200
Sub-total
186,604
-
-
-
-
5,954
192,558
Other key management
personnel
A Patel (2)
340,239
-
31,707
59,836
-
34,024
465,806
N Khimasia (2)
332,549
-
7,492
59,836
-
32,871
432,748
M Smith (2)
311,405
-
5,871
59,836
-
31,141
408,253
J Robertson (4)
313,833
-
1,864
14,094
-
-
329,791
Sub-total
1,298,026
-
46,934
193,602
-
98,036
1,636,598
Total (Group)
1,973,457
-
105,702
401,174
-
103,990
2,584,402
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27
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
Key management personnel of the Group and other executives of the Company and the Group (continued):
1 Performance rights have been issued to executives for four consecutive years. Further detail can be found in note F on page 31.
2 Executive remuneration, contracted in British Pounds, has been converted to Australian Dollars at the average exchange rate for the year ended 30 September.
3 Joined on 13th March 2023.
4 Mr Andrew Kent sadly passed away on 10 September 2023 having joined the Board in 1998 and was CEO of the Company from 2000 to 2005.
5 Joined on 20th March 2023.
6 Executive remuneration, contracted in Singapore Dollars, has been converted to Australian Dollars at the average exchange rate for the year ended 30 September.
2023
Short-term employee benefits
Share based
payments
Long term
employee
benefits
Post-
employment
benefits
Name
Salary
or fees
STI related
payments
Non-
monetary
benefits
Performance
rights (1)
Long
service
leave
Superannuation/
Pension
Total
Executive directors
A Kent (6)
493,339
77,777
45,202
204,164
-
-
820,482
Sub-total
493,339
77,777
45,202
204,164
-
-
820,482
Non-executive directors
A.L Kent (Chairman) (4)
192,181
-
-
-
-
8,866
201,027
G Donohue
100,000
-
-
-
-
-
100,000
T Klinger
48,696
-
-
-
-
5,188
53,884
D Felton
40,909
-
-
-
-
4,347
45,256
G McCracken (3)
27,416
-
-
-
-
488
27,904
Sub-total
409,182
-
-
-
-
18,889
428,071
Other key management
personnel
A Patel (2)
321,833
60,140
27,810
62,708
-
32,183
504,674
N Khimasia (2)
315,387
68,560
6,545
62,708
-
31,170
484,370
M Smith (2)
296,510
51,812
5,006
62,708
-
29,651
445,687
J Robertson (5)(6)
165,255
77,045
762
4,836
-
-
247,898
Sub-total
1,098,985
257,557
40,123
192,960
-
93,004
1,682,629
Total (Group)
2,001,506
335,334
85,325
397,124
-
111,893
2,931,182
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28
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
The relative proportions of remuneration that are linked to performance (variable component) and those that are fixed are as follows:
The following table demonstrates the Group’s performance over shareholder value during the last five years:
The table below illustrates the link between the Group’s earnings performance and the incentive compensation amounts (including
the value of share options in long term incentives) for the key management personnel and further demonstrates wider strategic focus
from incentive compensation that is not directly linked to just earnings.
2020
2021
2022
2023
2024
(500)
-
500
1000
1500
2000
2500
3000
2020
2021
2022
2023
2024
Profit attributable to
owners of the company
(970,000)
115,000
(429,000)
(1,703,000)
(1,871,000)
Dividends paid
-
-
-
-
-
Share price at 30 Sept
$0.007
$0.025
$0.025
$0.010
$0.006
Return on capital employed
(11.4%)
1.0%
(3.8%)
(15.0%)
(15.9%)
Name
Fixed remuneration
2024
At risk –
STI 2024 (1)
At risk –
LTI 2024
Executive directors
A Kent
73%
-
27%
Non-Executive directors
J Stark
100%
-
-
G Donohue
100%
-
-
T Klinger
100%
-
-
D Felton
100%
-
-
G McCracken
100%
-
-
Other key management personnel
A Patel
86%
-
14%
N Khimasia
87%
-
13%
M Smith
85%
-
15%
J Robertson
96%
-
4%
Normalised EBITDA (000’s)
Long term incentive amount (000’s)
Short term incentive bonus amount (000’s)
(1) STI were not earned or paid out in 2024
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29
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
C) Service agreements
On appointment to the Board, all 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 compensation, relevant to the office of the director.
Remuneration and other terms of employment for the Managing Director and other key management personnel are formalised and
reviewed by the Remuneration Committee. Each of these agreements provides for the provision of performance-related cash & share
based bonuses, other benefits including certain expenses and allowances. Other major provisions of the agreements relating to
remuneration are set out below.
All contracts with executives may be terminated early by either party subject to termination payments as detailed below:
A Kent - Managing Director, Group
y
Term of agreement – updated commencing 1 July 2016.
y
Base compensation, STI and benefits for the year ended 30 September 2024 is SGD 484,269 (AUD $547,675).
y
Payment of a benefit on early termination by the Company, other than for gross misconduct, equal to 12 months’ base salary.
y
Notice period: 12 months
A Patel - Chief Operating Officer, Group
y
Term of agreement – ongoing commencing 23 January 2013.
y
Base compensation, inclusive of salary, STI, pension contribution and benefits, for the year ended 30 September 2024
is GBP 211,195 (AUD $405,970).
y
Payment of a benefit on early termination by the Company, other than for gross misconduct, equal to 6 months’ base salary.
y
Notice period: 6 months
N Khimasia - Chief Financial Officer, Group
y
Term of agreement – ongoing, commencing November 2015.
y
Base compensation, inclusive of salary, STI, pension contribution and benefits for year ended 30 September 2024 of
GBP 193,998 (AUD $ 372,912).
y
Payment of a benefit on early termination by the Company, other than for gross misconduct, equal to 6 months’ base salary.
y
Notice period: 6 months
M Smith - Chief Commercial Officer, Group
y
Term of agreement – ongoing, commencing August 2018.
y
Base compensation, inclusive of salary, STI, pension contribution and benefits for the year period ended 30 September 2024
of GBP 181,254 (AUD $348,417).
y
Payment of a benefit on early termination by the Company, other than for gross misconduct, equal to 6 months’ base salary.
y
Notice period: 6 months
J Robertson - Chief Marketing Officer, Group
y
Term of agreement – ongoing, commencing March 2023.
y
Base compensation, inclusive of salary, STI, pension contribution and benefits for year ended 30 September 2024 of
SGD 279,148 (AUD 315,697).
y
Payment of a benefit on early termination by the Company, other than for gross misconduct, equal to 6 months’ base salary.
y
Notice period: 6 months
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30
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
The numbers of options over ordinary shares in the Company held during the year by each director and other key management
personnel, including their personally related parties, are set out below. All outstanding options were fully vested on the date of grant.
No other director options were exercised or lapsed in Aspermont Limited in 2024.
E) Number of shares held by directors and key management personnel (KMP)
The number of shares in the Company held during the financial year by each director and other key management personnel,
including their personally related parties, are set out below. There were no shares issued during the year for the exercise of options.
No other shares were issued to key management personnel and other executives of the Company and the Group during 2024.
Balance
1 October 2023
Received as part of
convertible note issue
Exercised
Forfeited
Balance 30
September 2024
Directors
A Kent and beneficial interests
258,245,641
-
-
-
258,245,641
Balance
1 October 2023
Disposed
Acquired(1)
Balance at resignation
/ appointment
Balance 30
September 2024
Directors
J Stark and beneficial interests
411,970,603
-
-
-
411,970,603
A Kent and beneficial interests
271,357,877
-
-
-
271,357,877
G Donohue and beneficial interests
64,055,746
-
-
-
64,055,746
T Klinger and beneficial interests
1,403,038
-
-
1,403,038
-
D Felton and beneficial interests
-
-
-
-
-
G McCracken and beneficial interests
-
-
-
-
-
Other KMP
N Khimasia and beneficial interests
34,595,963
23,478,575
24,089,344
-
35,206,732
A Patel and beneficial interests
16,061,233
-
-
-
16,061,233
M Smith
6,525,792
3,700,000
21,000,000
-
23,825,792
J Robertson
300,000
-
-
-
300,000
(1) This represents shares acquired either on the market or via exercise of performance rights.
D) Options held by directors and key management personnel
For personal use only
FINANCIAL REPORT
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31
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
Issue Year
Rights Outstanding at
Start of the Year
(no.)
Share Rights
Granted in Year
(no.)
Award Date
Fair Value per
Right at award date
$
Vesting Date
Veste
d(no.)
Exercised
(no.)
Forfeited
(no.)
Rights
Outstanding at
End of the Year
(no.)
Managing Director
FY 18
FY 18
FY 19
FY 19
FY 20
FY 20
FY 21
FY 22
FY 23
FY 24
FY 24
13,500,000(1)
12,150,000(2)
10,500,000(1)
10,500,000(2)
10,080,000(1)
10,500,000(2)
21,000,000(3)
15,666,667(3)
15,666,667(3)
-
-
-
-
-
-
-
-
-
-
11,750,001(4)
3,916,667(4)
01-Feb-18
01-Feb-18
24-May-19
24-May-19
05-Feb-20
05-Feb-20
15-Jul-21
09-Mar-22
04-May-23
14-Jun-24
$0.009000
$0.007096
$0.011000
$0.009308
$0.009000
$0.007800
$0.017200
$0.010700
$0.008890
$0.005900
$0.005900
01-Feb-21
01-Feb-21
25-May-22
25-May-22
05-Feb-23
05-Feb-23
15-Jul-24
09-Mar-25
04-May-26
14-Jun-27
13,500,000
12,150,000
10,500,000
10,500,000
10,080,000
10,500,000
21,000,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
13,500,000
12,150,000
10,500,000
10,500,000
10,080,000
10,500,000
21,000,000
15,666,667
15,666,667
11,750,001
3,916,667
KMPs
FY 18
FY 19
FY 20
FY 20
FY 21
FY 22
FY 23
FY 24
9,000,000(3)
14,000,000(3)
3,500,000(3)
10,500,000(3)
21,000,000(3)
11,750,001(3)
15,666,668(3)
-
-
-
-
-
-
-
-
15,666,667(4)
01-Feb-18
05-Feb-20
17-Jul-24
05-Feb-20
15-Jul-21
09-Mar-22
04-May-23
14-Jun-24
$0.009000
$0.011000
$0.009000
$0.007800
$0.017200
$0.010700
$0.008890
$0.005900
01-Feb-21
25-May-22
05-Feb-23
05-Feb-23
15-Jul-24
09-Mar-25
04-May-26
14-Jun-27
17-Jul-27
9,000,000
14,000,000
3,500,000
10,500,000
21,000,000
-
-
-
-
7,000,000
-
7,000,000
14,000,000
-
-
-
-
-
-
-
-
-
-
9,000,000
7,000,000
3,500,000
3,500,000
7,000,000
11,750,001
15,666,667
15,666,667
Employees(5)
FY 19
FY 20
FY 21
FY 22
FY 23
FY 24
250,000
139,293
1,326,701
1,249,521
1,413,046
-
-
-
-
-
-
4,716,986(3)
30-Nov-18
15-Nov-19
25-Jun-21
15-Dec-21
06-Dec-22
12-Feb-24
$0.010300
$0.010351
$0.010050
$0.026010
$0.023000
$0.010600
30-Nov 18/19/20
15-Nov 19/20/21
25-Jun 21/22/23
15-Dec 21/22/23
06-Dec 22/23/24
12-Feb-27
250,000
139,293
1,326,701
1,249,521
942,031
-
-
139,293
1,326,701
1,057,287
724,639
-
250,000
-
-
192,234
289,857
-
-
-
-
-
398,550
4,716,986
Total Rights in Issue
209,358,564
36,050,321
149,195,515
31,247,920
732,091
213,428,874
F) Employee Performance Rights
Under the executive long-term incentive plan, Performance Rights (“Rights”) have been granted to executives and other senior management who will have an impact on the Group’s performance. On
satisfaction of any vesting conditions, each Right will convert to a share on a one-for-one basis. The Company issued 36,050,321 Performance Rights during the reporting year to a director and employees
pursuant to the Aspermont Performance Rights Plan (“The Plan”).
The value and number of Performance Rights that have vested or were exercised during the year is included in the table below.
At 30 September 2024, the Company had the following unlisted Performance Rights in issue:
01-Feb-18
24-May-19
-
-
-
-
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32
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
The Plan was approved by the shareholders at the February 2018 annual general meeting. The scheme is designed to provide
long-term incentives to the executive management team (including executive Directors) to deliver long-term shareholder returns.
Under the Plan, participants are granted Performance Rights to receive ordinary shares which only vest if certain performance
conditions are met. Participation in the Plan is at the Board’s discretion and no individual has a contractual right to participate in the
Plan or to receive any guaranteed benefits. The Board can amend vesting conditions on issued Performance Rights. Any change to
vesting conditions which affects a related party requires shareholder approval.
Performance Rights have the following performance conditions:
Managing Director
1. FY18, FY19 and FY20:
(1) Fifty percent of grant vests if the Company’s returns on equity over a three-year period are within 50-75% range of all companies
in the S&P ASX 300.
(2) Fifty percent of grant vests if the Company’s total shareholder return (TSR) over a three-year period is within 50-75% range of all
companies in the S&P ASX 300.
2. FY21, FY22 and FY23:
(3) Time based and will be eligible to vest from the third anniversary from the grant dates.
3. FY24:
(4) Grant vests if the Company’s total shareholder return (TSR) over a three-year period is within 50-75% range of all companies in
the S&P ASX 300.
KMPs:
(3) Time based and will be eligible to vest from the third anniversary from the grant dates.
(4) Grant vests if the Company’s total shareholder return (TSR) over a three-year period is within 50-75% range of all companies in
the S&P ASX 300.
Employees:
(3) FY 24 - time based and will be eligible to vest from the third anniversary from the grant dates.
(5) FY 18-22 - time based over a three year period, 33.3% of the total performance rights will vest per annum with the first tranche
eligible for vest upon issue of the Performance Rights.
Once vested, the Performance Rights remain exercisable for a period of four years. Performance Rights Shares are granted under
the Plan for no consideration and carry no voting rights during the vesting period. The Performance Rights have an implied service
condition meaning the Directors and Employees must remain employed for the entire period.
Performance Rights issued in FY24 were valued for a total of $234,867 being expensed over the vesting period, with $29,621
charged to the Consolidated Income Statement for this reporting period. This is reflected in the share-based payment expense
at 30 September 2024.
Fair values were determined as follows:
The fair value at grant date for Managing Director and KMP Performance Rights were based on an independent valuation performed
by Moore. The Key Variables used in this model are as follows:
Variable
Input
Valuation Date
14 June 2024
Spot Price ($)
$0.01
Exercise Price ($)
$0.00
Issue Date
14 June 2024
Expiry date
14 June 2031
Expected future volatility (%)
100%
Risk free rate (%)
3.92%
Dividend yield (%)
0.00%
Vesting Date
14 June 2027
Provision for Employee Exit (%)
16%
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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G) Other transactions with directors and key management personnel
A former director, or their related parties, hold positions in other entities that result in them having control or joint control over the
financial or operating policies of those entities.
These entities transacted with the Group during the year. The terms and conditions of the transactions with directors and their
related parties were no more favourable than those available, or which might reasonably be expected to be available, on similar
transactionsto non-key management personnel related entities on an arm’s length basis.
Liabilities to former director Mr A.L Kent (Deceased Sept 2023) and entities related to them are set out below:
The Group previously leased its principal office facility from Ileveter Pty Ltd, a company associated with former director, Mr A.L Kent,
until 31 January 2024 The rent paid was at market rates at the time of lease inception and amounted to $91,667 for the current year
(2023: $250,000).
The Company is owed $243,714 for various expenses paid on behalf of Ileveter Pty Ltd, a Company associated with former director,
Mr A.L. Kent. Mr A.L. Kent was in the process of making these repayments prior to the year end until his sudden demise in September
2023. The Company is in communication with the Executors of Mr A.L. Kent’s estate to agree a repayment plan.
At 30 September 2024, the Company owed $25,000 (2023: $25,000) in unpaid Director Fees to current Non-Executive Directors of the
Company. At the AGM, 100% of votes received were in favour of adoption of the remuneration report. Votes received represented
3.2% of the full registry.
As at 30 September 2024, Mr Alex Kent (Director) resident in Singapore, held a non-controlling interest in Aspermont Global Pty Ltd, a
wholly owned Singapore resident subsidiary of Aspermont Limited. Loss attributable to the non-controlling interest was reported as
$561,080 (2023: not significant)
This is the end of the Audited Remuneration Report.
2024
2023
Andrew L. Kent (former director) and related entities
Beginning of year
245,256
101,396
Loan Repayments / (advances)
4,880
143,860
End of year/period – owed
250,136
245,256
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34
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
AUDITOR’S INDEPENDENCE DECLARATION
Auditor's Independence Declaration
To those charged with Governance of Aspermont Limited.
As auditor for the audit of Aspermont Limited for the year ended 30 September 2024, I declare that, to the best
of my knowledge and belief, there have been no contraventions of:
•
the independence requirements of the Corporations Act 2001 in relation to the audit; and
•
any applicable code of professional conduct in relation to the audit.
This declaration is in respect of Aspermont Limited and the entities it controlled during the year.
Elderton Audit Pty Ltd
Sajjad Cheema
Director
Perth
26 November 2024
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35
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
FINANCIAL STATEMENTS
Consolidated Statement of Comprehensive Income
The accompanying notes form part of these consolidated financial statements.
Note
2024
$000
2023
$000
Continuing Operations
Revenue
4
17,486
19,248
Cost of sales
(8,384)
(8,183)
Gross Profit
9,102
11,065
Marketing and distribution expenses
(5,585)
(5,348)
Corporate and administration
(4,295)
(5,226)
Depreciation and amortisation
(922)
(735)
Share based payments
12b
(419)
(445)
Share of net loss in associate
19
-
(458)
Operating Profit/(Loss)
(2,119)
(1,147)
Finance income/(costs)
(13)
69
Other gains/(losses) and significant exceptional
5b
(348)
(752)
Profit/(loss) before income tax
(2,480)
(1,830)
Income tax benefit/(expense)
6
43
130
Net profit/(loss) after tax
(2,437)
(1,700)
Other Comprehensive Income
Foreign currency translation differences for foreign operations
379
(3)
Total comprehensive income/(loss)
(2,058)
(1,703)
Profit/(Loss) for the Year is attributable to:
Non-controlling interest
(566)
-
Owners of Aspermont Ltd
(1,871)
(1,700)
Total Comprehensive income/(loss)
Non-controlling interest
(571)
-
Owners of Aspermont Ltd
(1,487)
(1,703)
Earnings per share for loss attributable to the owners of Aspermont Ltd:
Cents
Cents
Basic earnings per share
18
(0.076)
(0.070)
Diluted Earnings per share
18
(0.076)
(0.070)
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36
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Consolidated Statement of Financial Position
Note
2024
$000
2023
$000
CURRENT ASSETS
Cash and cash equivalents
14
1,393
4,044
Trade and other receivables
7
1,158
1,729
TOTAL CURRENT ASSETS
2,551
5,773
NON-CURRENT ASSETS
Financial assets
275
275
Property, plant and equipment
8
253
495
Deferred tax assets
6
1,563
1,550
Intangible assets
9
9,542
9,219
TOTAL NON-CURRENT ASSETS
11,633
11,539
TOTAL ASSETS
14,184
17,312
CURRENT LIABILITIES
Trade and other payables
10
3,070
3,662
Income in advance
11
6,149
6,812
Borrowings
35
35
Lease Liabilities
8b
228
267
Provisions
69
51
TOTAL CURRENT LIABILITIES
9,551
10,827
NON-CURRENT LIABILITIES
Deferred tax liabilities
6
1,563
1,550
Lease payables
8b
-
194
Provisions
56
80
TOTAL NON-CURRENT LIABILITIES
1,619
1,824
TOTAL LIABILITIES
11,170
12,651
NET ASSETS
3,016
4,661
EQUITY
Issued capital
12
11,760
11,364
Reserves
348
(54)
Accumulated losses
(8,280)
(6,649)
Equity attributable to owners of Aspermont Limited
(3,826)
4,661
Non-controlling interest
(810)
-
TOTAL EQUITY
3,016
4,661
The accompanying notes form part of these consolidated financial statements.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
Consolidated Statement of Changes in Equity
Issued
Capital
$000
Accumulated
Losses
$000
Reserves
$000
Total
$000
Non-
Controlling
Interests
$000
Total
Equity
$000
Balance at 1 October 2022
11,265
(4,949)
(401)
5,915
-
5,915
Other comprehensive (loss)
-
(1,700)
(3)
(1,703)
-
(1,703)
Shares issued
99
-
-
99
-
99
Issue of option / performance rights
-
-
350
350
-
350
Balance at 30 September
2023
11,364
(6,649)
(54)
4,661
-
4,661
Balance at 1 October 2023
11,364
(6,649)
(54)
4,661
-
4,661
Prior year adjustment (1)
-
239
-
239
(239)
-
Loss for the year
-
(1,871)
-
(1,871)
(566)
(2,437)
Other comprehensive income /(loss)
-
-
379
379
(5)
374
Shares issued
396
-
-
396
-
396
Issue of option / performance rights
-
-
23
23
-
23
Balance at 30 September
2024
11,760
(8,280)
348
3,826
(810)
3,016
(1) the prior year losses attributable to non-controlling interests was not recognised in prior year or restated but adjusted to the current year movements due to its
immateriality
The accompanying notes form part of these consolidated financial statements.
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38
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Consolidated Statement of Cash Flows
Note
2024
$000
2023
$000
Cash flows from operating activities
Cash receipts from customers
16,581
18,188
Cash payments to suppliers and employees
(18,232)
(18,875)
Interest and other costs of finance paid
(38)
(13)
Interest received
41
110
Net cash (used in)/ from operating activities
14(b)
(1,648)
(590)
Cash flows from investing activities
Payments for plant and equipment
(11)
(20)
Payment for intangible assets
(801)
(1,032)
Payment for investments
-
(695)
Interest on lease liabilities
(17)
(28)
Net cash (used in)/from investing activities
(829)
(1,775)
Cash flows from financing activities
Share issue transaction costs
(3)
(3)
Repayment of lease liabilities
(171)
(222)
Net cash from financing activities
(174)
(225)
Net increase/(decrease) in cash held
(2,651)
(2,590)
Cash at the beginning of the year
4,044
6,634
Cash at the end of the year
1,393
4,044
The accompanying notes form part of these consolidated financial statements.
For personal use only
39
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
1. General information
Aspermont Limited (the “Company”) is a company limited by shares incorporated in Australia whose shares are publicly traded on
the Australian Stock Exchange. The consolidated financial statements of Aspermont Limited and it’s controlled entities (the “Group”)
comprises the Company and its subsidiaries and the consolidated entity’s interests in associates and jointly controlled entities.
These financial statements were approved for issue by the Board of Directors on 26 November 2024.
Aspermont Limited’s registered office and its principal place of business are as follows:
2. Significant accounting policies
Statement of compliance
These financial statements are general purpose financial statements that have been prepared in accordance with Australian
Accounting Standards, including Australian Accounting Interpretations, other authoritative pronouncements of the Australian
Accounting Standards Board and the Corporations Act 2001. The Group is a for-profit entity for the purposes of preparing the
financial statements.
The financial report covers the consolidated group of Aspermont Limited and controlled entities. Separate financial statements of
Aspermont Limited, as an individual entity, are no longer presented as a consequence of a change to the Corporations Act 2001.
Financial information for Aspermont Limited as an individual entity is included in note 3.
The financial report of Aspermont Limited and controlled entities complies with all International Financial Reporting Standards (IFRS)
as issued by the International Accounting Standards Board (IASB).
Basis of preparation
The financial report has been prepared on an accruals basis and is based on historical costs modified by the revaluation of selected
financial assets for which the fair value basis of accounting has been applied.
The accounting policies set out below have been consistently applied to all years presented, unless otherwise stated.
Restatement of Comparatives
During the year ended 30 September 2023 there was an error discovered in Income in Advance balances relating to brought
forward figures in 2017 where revenue had been incorrectly recognised as Income in Advance instead of being released in the profit
and loss in the year and a correction in the classification of capital reduction from foreign exchange reserves to retained earnings.
This has in the change in opening retained earnings brought forward in 2022 and is in accordance with treatment for historical
period errors as prescribed in AASB 108.
New Accounting Standards Issued but not yet Applied
Certain new accounting standards and interpretations have been published that are not mandatory for the 30 September 2024
reporting period.
Rounding of Amounts
The Company is of a kind referred to in Legislative Instrument 2016/191 and in accordance with the Legislative Instrument, amounts
in the consolidated financial statements have been rounded off to the nearest thousand dollars, unless otherwise stated.
Principal place of business and registered office
Principal place of business United Kingdom
613-619 Wellington Street
PERTH WA 6000
WeWork
1 Poultry
London, UK EC2R 8EJ
Tel: +61 8 6263 9100
Tel: +44 (0) 208 187 2330
For personal use only
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40
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
2. Significant accounting policies (continued)
Going concern
The financial statements have been prepared on the basis that the entity is a going concern, which contemplates the continuity of
normal business activity, realization of assets and settlement of liabilities in the normal course of business.
For the year ended 30 September 2024 the entity recorded a loss after tax for the year of $2.4m a net cash outflow from operating
activities of $1.6 m and net working capital deficit excluding deferred revenue of $0.9m.
The financial statements have been prepared on the basis that the entity is a going concern, which contemplates the continuity of
normal business activity, realisation of assets and settlement of liabilities in the normal course of business.
The Director’s believe there are reasonable grounds that the going concern basis is appropriate for the following reasons:
1. Market conditions affecting the Mining Finance sector should improve over the next 12 months.
2. The Group is forecasting improved operational cashflows in the next 12 months through an increase in revenue in subscription,
marketing and data services with increasing levels of pipeline activity with cost-cutting initiatives being implemented.
3. There are opportunities to realise non-core assets and investments.
4. The Directors are confident that the Group has the ability to raise further funds through capital raisings as and when required to
satisfy its operational expenditure commitments and has done so successfully in the past.
In the unlikely event, the Group is not successful in all of these factors and a material uncertainty arises on its ability to operate as
a going concern, it may be required to realise its assets at amounts different to those currently recognised, settle liabilities other
than in normal course of business and make provisions for other costs that may arise as a result of curtailment of normal business
operations. The financial report does not include any adjustments relating to recoverability and classification of recorded assets or to
the amounts and classification of liabilities that might be necessary should the Group not continue as going concern.
(a) Basis of consolidation
The consolidated accounts comprise the accounts of Aspermont Limited and all of its controlled entities, the “Group”. A controlled
entity is any entity that Aspermont is exposed to, or has the rights to, variable returns from its involvement with the entity and has
the ability to affect those returns through its power over the entity. The financial statements of controlled entities are included in the
consolidated accounts from the date on which control commences until the date on which control ceases.
A list of controlled entities is contained in note 13 to the financial statements.
All inter-company balances and transactions between entities in the consolidated group, including any unrealised profits or losses,
have been eliminated on consolidation.
Where controlled entities have entered or left the economic entity during the year, their operating results have been included from
the date control was obtained or until the date control ceased.
Non-controlling interests in the equity and results of the entities that are controlled are shown as a separate item in the consolidated
financial report.
In the parent entity the investments in the subsidiaries are carried at cost, less impairment.
Changes in ownership interests
The Group treats transactions with non-controlling interests that do not result in a loss of control as transactions with equity owners
of the Group. A change in ownership interest results in an adjustment between the carrying amounts of the controlling and
non-controlling interests to reflect their relative interests in the subsidiary. Any difference between the amount of the adjustment
to non-controlling interests and any consideration paid or received is recognised in a separate reserve within equity attributable to
owners of Aspermont Limited.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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2. Significant accounting policies (continued)
When the Group ceases to have control, joint control or significant influence, any retained interest in the entity is remeasured to its
fair value with the change in carrying amount recognised in the Statement of Profit or Loss and Other Comprehensive Income.
The fair value is the initial carrying amount for the purposes of subsequently accounting for the retained interest as an associate,
jointly controlled entity or financial asset. Any amounts previously recognised in other comprehensive income in respect of that
entity are accounted for as if the Group had directly disposed of the related assets or liabilities. This may mean that amounts
previously recognised in other comprehensive income are reclassified to profit or loss.
If the ownership interest in a jointly controlled entity or an associate is reduced but joint control or significant influence is retained,
only a proportionate share of the amounts previously recognised in other comprehensive income are reclassified to the Statement of
Profit or Loss and Other Comprehensive Income where appropriate.
(b) Cash and cash equivalents
For the purpose of the statement of cash flows, cash includes:
i. Cash on hand and at call deposits with banks or financial institutions, net of bank overdrafts; and
ii. Investments in money market instruments with less than 14 days to maturity.
(c) Plant and equipment
Each class of plant and equipment is carried at cost less accumulated depreciation and impairment.
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. An asset’s carrying amount is written down immediately to its recoverable amount if the carrying amount is greater
than the estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses are included
in the Statement of Profit or Loss and Other Comprehensive Income. When revalued assets are sold, amounts included in the
revaluation reserve relating to that asset are transferred to retained earnings.
The depreciable amounts of all plant and equipment are depreciated on a diminishing value basis over their useful lives to the
economic entity commencing from the time an asset is held ready for use.
The depreciation rates used for depreciable assets are:
(d) Employee benefits
Provision is made for the Group’s liability for employee entitlements arising from services rendered by employees to reporting date.
Employee entitlements expected to be settled within one year together with entitlements arising from wages and annual leave,
which will be settled after one year, have been measured at their nominal amount. Other employee entitlements payable later than
one year has been measured at the present value of the estimated future cash outflows to be made for those entitlements.
Contributions are made by the Group to employee superannuation funds and are charged as expenses when incurred.
Class of Fixed Asset
Depreciation Rate
Plant and equipment
13.5% - 40%
Right-of-use asset
Range remaining lease term: 1-2 years
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42
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
2. Significant accounting policies (continued)
(e) Financial instruments
Recognition
The Group recognises receivables on the date that they are originated. All other financial assets are recognised initially on the trade
date at which the Group becomes a party to the contractual provisions of the instrument.
Financial assets are classified based on the objective of the Group’s business model for managing the financial assets and the
characteristics of the contractual cash flows.
The Group derecognises a financial asset when the contractual cash flows from the asset expires, or it transfers the rights to receive
the contractual cash flows such that substantially all the risks and rewards of ownership of the financial asset are transferred.
Financial assets at fair value
Financial assets at fair value are non-derivative financial assets.
Financial assets at fair value are measured initially at fair value which includes transaction costs directly attributable to the acquisition
of the financial asset. They are measured subsequently at fair value with movements in fair value being recognised in the profit or
loss, unless:
y
The financial asset is an equity investment, and
y
The Group has made an irrevocable election to present gains and losses on the financial asset in other comprehensive income.
This election has been made on an individual equity basis.
Dividends from equity investments are included in the profit or loss regardless of whether the election has been made to recognise
movements in fair value in other comprehensive income.
Profit or loss arising on the sale of equity investments is recognised in the profit or loss unless the election has been made to
recognise fair value movements in other comprehensive income.
Financial assets at amortised cost
Financial assets held at amortised cost are non-derivative finance assets with fixed or determinable payments not quoted in an active
market. If the financial assets are expected in one year or less they are classified as current assets. If not, they are presented as
non-current assets.
Impairment
Impairment losses on financial assets at fair value are recognised in profit or loss, unless the election has been made to recognise
movements in fair value in other comprehensive income, in which case impairment losses are recognised in other comprehensive
income.
(f) Income tax
The charge for current income tax expense is based on the profit for the year adjusted for any non-assessable or disallowed items.
It is calculated using the tax rates that have been enacted or are substantially enacted by the statement of financial position date.
Deferred tax is accounted for using the balance sheet liability method in respect of temporary differences arising between the tax
bases of assets and liabilities and their carrying amounts in the financial statements. No deferred income tax will be recognised from
the initial recognition of an asset or liability, excluding a business combination, where there is no effect on accounting or taxable
profit or loss. Deferred tax is calculated at the tax rates that are expected to apply to the year when the asset is realised or liability
is settled.
Deferred tax is credited in the statement of profit or loss and other comprehensive income except where it relates to items that
may be credited directly to equity, in which case the deferred tax is adjusted directly against equity. Deferred income tax assets are
recognised to the extent that it is probable that future tax profits will be available against which deductible temporary differences
can be utilised.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
2. Significant accounting policies (continued)
The amount of benefits brought to account or which may be realised in the future is based on the assumption that no adverse
change will occur in income taxation legislation and the anticipation that the economic entity will derive sufficient future assessable
income to enable the benefit to be realised and comply with the conditions of deductibility imposed by the law.
The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the end of the reporting
period in the countries where the company’s subsidiaries and associates operate and generate taxable income. Management
periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to
interpretation. It establishes provisions where appropriate on the basis of amounts expected to be paid to the tax authorities.
Deferred tax liabilities and assets are not recognised for temporary differences between the carrying amount and tax bases of
investments in controlled entities where the parent entity is able to control the timing of the reversal of the temporary differences
and it is probable that the differences will not reverse in the foreseeable future.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and liabilities and
when the deferred tax balances relate to the same taxation authority. Current tax assets and tax liabilities are offset where the
entity has a legally enforceable right to offset and intends either to settle on a net basis, or to realise the asset and settle the liability
simultaneously.
Current and deferred tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive
income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in equity, respectively.
Aspermont Limited and its wholly owned Australian subsidiaries have formed an income tax consolidated group under the Tax
Consolidation System. Aspermont Limited is responsible for recognising the current and deferred tax assets and liabilities for the tax
consolidated group. The Group notified the ATO in April 2004 that it had formed an income tax consolidated group to apply from July
2002.
Tax consolidation
Aspermont and its wholly owned Australian subsidiaries are a tax consolidated group. As a consequence, as the head entity in the tax
consolidated group, Aspermont will recognise current and deferred tax amounts relating to transactions, events and balances of the
wholly owned Australian controlled entities in the Group in future financial statements as if those transactions, events and balances
were its own, in addition to the current and deferred tax balances arising in relation to its own transactions, events and balances.
These tax amounts are measured as if each entity in the tax consolidated group continues to be a standalone taxpayer in its
own right.
(g) Foreign currency
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
and presentation currency.
Transaction 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 the Statement of Profit or Loss or Other
Comprehensive Income, except where deferred in equity as a qualifying cash flow or net investment hedge, in which case they are
included in other comprehensive income.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
2. Significant accounting policies (continued)
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:
y
Assets and liabilities are translated at year-end exchange rates at that reporting date.
y
Income and expenses are translated at average exchange rates for the period.
y
All resulting exchange differences arising on translation of foreign operations are transferred directly to the Group’s foreign
currency translation reserve in the statement of financial position through other comprehensive income.
On consolidation, exchange differences arising from the translation of any net investment in foreign entities, are recognised in other
comprehensive income. When a foreign operation is sold or any borrowings forming part of the net investment are repaid, the
associated exchange differences are reclassified to profit or loss, as part of the gain or loss on sale.
Goodwill and fair value adjustments arising on the acquisition of a foreign operation are treated as assets and liabilities of the foreign
operation and translated at the closing rate.
(h) Intangible assets
Goodwill
Goodwill and goodwill on consolidation are initially recorded at the amount by which the purchase price for a business exceeds
the fair value attributed to its net assets at date of acquisition. Goodwill is tested annually for impairment and carried at cost less
accumulated impairment losses. Goodwill on acquisitions of subsidiaries is included in intangible assets. Goodwill on acquisition of
associates is included in investments in associates.
Mastheads and Tradenames
Mastheads and Tradenames acquired separately are capitalised at cost and from a business combination are capitalised at fair value
as at the date of acquisition. Following initial recognition, the cost model is applied to the class of intangible assets.
Mastheads and Tradenames are tested for impairment where an indicator of impairment exists, and the carrying amount is reviewed
annually by the directors to ensure that it is not in excess of the recoverable amount.
IT development and software
Costs incurred in developing products or systems and costs incurred in acquiring software and licenses that will contribute to future
period financial benefits through revenue generation and/or cost reduction are capitalised to software and systems. Costs capitalised
include direct payroll and payroll related costs of employees’ time spent on the project. Amortisation is calculated on a straight-line
basis over periods generally ranging from 2 to 5 years.
IT development costs include only those costs directly attributable to the development phase and are only recognised following
completion of technical feasibility and where the Group has an intention and ability to use the asset.
Intangible assets acquired as part of an acquisition
Intangible assets acquired as part of an acquisition of a business are capitalised separately from goodwill if the asset is separable or
arises from contractual or legal rights, and the fair value can be measured reliably on initial recognition. Purchased intangible assets
are initially recorded at cost and finite life intangible assets are amortised over their useful economic lives on a straight-line basis.
Where amortisation is calculated on a straight-line basis, the following useful lives have been determined for classes of
intangible assets:
Trademarks:
10 years
Customer & subscription contracts/relationships:
5 years
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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2. Significant accounting policies (continued)
(i) Revenue
Recognition and Measurement
Revenues are recognised at fair value of the consideration received or receivable net of the amount GST or relevant sales tax payable
to the relevant taxation authority.
Performance obligations and timing of revenue recognition
The majority of the Group’s revenue is derived from selling services with revenue recognised at a point in time when service has been
delivered or consumed by the customer and control has transferred to the customer. This is generally when the services are delivered
to or consumed by the customer. There is limited judgement needed in identifying the point control passes.
Advertising and Sponsorship Revenues:
Revenue for advertising and sponsorship activities are recognised when the advertisement has been broadcast/displayed or the
sponsorship service has been performed.
Subscriptions Revenues:
Subscriptions are received in advance for the subscription period applied for. Subscriptions received during the financial year for
content to be published or accessed online after reporting date have been deferred and will be recognised in the accounting period
in which the respective content services subscribed for are made available.
Event and Delegate Revenues:
Event revenue whether for sponsorship, exhibition stand or delegate tickets for attending the event is recognised in the accounting
period in which the respective event occurs.
Determining the transaction price
Most of the Group’s revenue is derived from fixed price contracts and therefore the amount of revenue to be earned from each
contract is determined by reference to those fixed prices.
Allocating amounts to performance obligations
For most contracts, there is a fixed unit price for each product sold, with discounts sometimes given for orders placed at a specific
time. Therefore, there is no judgement involved in allocating the contract price to each product ordered in such contracts. Where
a customer orders more than one product line, the Group is able to determine the split of the total contract price between each
product line by reference to each product’s standalone selling prices (all product lines are capable of being, and are, sold separately).
Costs of fulfilling contracts
No judgement is needed to measure the amount of costs of obtaining contracts – it is the commission paid.
Transition
The Group adopted AASB 15 on the required effective date using the modified retrospective method. Thus, the Group will not apply
AASB 15 requirements to the comparative period presented. The Group’s revenue recognition policies prior to AASB 15 were in line
with the requisites of the new standard and the impact if any would be immaterial.
(j) Other income
Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial assets.
Grants from the government are recognised as other income when they are received by the Group and all attached conditions have
been fulfilled.
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46
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
2. Significant accounting policies (continued)
(k) Impairment of assets
At each reporting date, the Group reviews the carrying values of its tangible and intangible assets to determine whether there is any
indication that those assets have been impaired. If such an indication exists, the recoverable amount of the asset, being the higher
of the asset’s fair value less costs to sell and value in use, is compared to the asset’s carrying value. Any excess of the asset’s carrying
value over its recoverable amount is expensed to the Statement of Profit or Loss.
Impairment testing is performed annually for goodwill and intangible assets with indefinite lives. 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.
(l) Rounding of amounts
The parent entity has applied the relief available to it under Legislative Instrument 2016/191 and accordingly, amounts in the financial
statements have been rounded off to the nearest thousand dollars, unless otherwise stated.
(m) 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 Tax Office. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of
an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST.
(n) Share-based payment transactions
The Group in some instances has settled services received through issue of shares or share options. The costs of these transactions are
measured by reference to the fair value at the date at which they are granted. Where options are issued, the fair value at grant date
is determined using a combination of trinomial and Monte Carlo option pricing models which require estimated variable inputs. In
particular, the expected share price volatility is estimated using the historic volatility (using the expected life of the option), adjusted
for any expected changes to future volatility. The cost is recognised together with a corresponding increase in equity over the period
in which the performance conditions are fulfilled. Information relating to share based payments is set out in note 12.
(o) Critical accounting estimates and judgments
The Directors evaluate estimates and judgments incorporated into the financial report 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 each reporting date by evaluating conditions specific to the Group that may lead to impairment of
assets. Where an impairment trigger exists, the recoverable amount of the asset is determined. Value-in-use calculations performed
in assessing recoverable amounts incorporate a number of key estimates. Key assumptions used for value-in-use calculations are
disclosed in note 9(b).
Key Estimates — Useful lives
The Group assesses the useful lives at each reporting date in respect of assets within indefinite useful lives such as the Mastheads
and Tradenames. The assets are assessed utilising conditions specific to the Group. This requires judgement and consideration of the
assets utilisation and continued use within the Group.
Key Estimates — Income tax
The Aspermont Group operates in multiple jurisdictions which have applicable taxation laws. During any given year Aspermont seeks
independent taxation advice and records the impact of that advice and any tax applicable. Should there be a change to the taxation
position as a result of past transactions this may give rise to an income tax liability or asset.
Key Estimates — Shared Based Payments
The Group in some instances has settled services received through issue of shares or share options. The costs of these transactions are
measured by reference to the fair value at the date at which they are granted. Where options are issued, the fair value at grant date
is determined using a combination of trinomial and monte carlo option pricing models which require estimated variable inputs. In
particular, the expected share price volatility is estimated using the historic volatility (using the expected life of the option), adjusted
for any expected changes to future volatility. Information relating to share based payments is set out in note 12.
The cost is recognised together with a corresponding increase in equity over the period in which the performance conditions are
fulfilled.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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2. Significant accounting policies (continued)
(p) Earnings per share
(i) Basic earnings per share
Basic earnings per share is calculated by dividing:
y
the profit attributable to owners of the Group, excluding any costs of servicing equity other than ordinary shares
y
by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus entitlements in
ordinary shares issued during the year and excluding treasury shares.
(ii) Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account:
y
the after income tax effect of interest and other financing costs associated with dilutive potential ordinary shares, and
y
the weighted average number of additional ordinary shares that would have been outstanding assuming the conversion of all
dilutive potential ordinary shares.
(q) Trade receivables
Trade receivables are recognised at fair value, being the original invoice value any credit loss allowance. They are non-interest
bearing and generally on 30 day credit terms from date of invoice.
The loss allowance is based on a simplified model of recognising lifetime expected credit losses immediately upon recognition.
Where a debt is known to be uncollectable, it is considered a bad debt and written off.
(r) Trade and other payables
These amounts represent liabilities for goods and services provided to the Group prior to the end of financial year which are unpaid.
The amounts are unsecured and are usually paid within 30 days of recognition.
(s) Contributed equity
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or options are shown in
equity as a deduction, net of tax, from the proceeds. Incremental costs directly attributable to the issue of new shares or options for
the acquisition of a business are not included in the cost of the acquisition as part of the purchase consideration.
(t) Accounting standards adopted
The Group has adopted the following new accounting standards that have previously been assessed for their impact on the Group’s
financial report. There have been no changes in the previous assessment of their impact which is not material to the Group:
(u) Segment reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision
maker. The chief operating decision maker, who is responsible for allocating resources and assessing performance of the operating
segments, has been identified as the Chief Executive Officer who makes strategic decisions.
AASB 2012-3
Amendments to Australian Accounting Standards – Offsetting Financial Assets and Financial Liabilities
AASB 2013-3
Amendments to AASB 136 – Recoverable Disclosures for Non-Financial Assets
AASB 2014-1
Amendments to Australian Accounting Standards (Parts A to C)
AASB 15
Revenues from contracts with Customers
AASB 9
Financial Instruments
AASB 16
Leases
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
3. Parent entity information
2024
$000
2023
$000
Current assets
814
3,768
Non-current assets
4,470
8,133
Total assets
5,284
11,901
Current liabilities
648
5,435
Non-current liabilities
1,619
1,805
Total liabilities
2,267
7,240
Contributed equity
11,981
11,584
Accumulated losses
(10,472)
(8,410)
Reserves:
Share based payment reserve
2,767
2,747
Financial asset reserves
(276)
(276)
Other Reserves
(638)
(639)
Currency Translation Reserve
(345)
(345)
Total Equity
3,017
4,661
Profit/(Loss) for the year
905
(1,046)
Other comprehensive loss for the year
374
(3)
Total Comprehensive income/(loss) for the year
1,279
(1,049)
The following details relate to the parent entity only, Aspermont Limited, at 30 September 2024. The information presented here has
been prepared using consistent accounting policies as presented in note 2.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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4. Revenue
Amounts contained within other income are income generated through non-core activities.
Discontinued low revenue products have been separated out for comparative purposes.
5. Expenses
2024
$000
2023
$000
Continuing operations:
Subscription revenues
9,731
9,488
Other revenues
7,755
8,561
Discontinued Services
-
1,199
17,486
19,248
Other income:
Interest
41
110
Other income
5
17
46
127
2024
$000
2023
$000
(a) Operating Expenses:
Bad debts written off
30
(8)
Consulting and accounting services
77
75
Depreciation and amortisation of plant, equip and intangible assets
921
735
Directors fees
192
410
Employee benefits expense
8,965
8,443
Foreign exchange gains/(losses)
58
70
Finance costs
43
41
Legal costs
38
37
Rental expense on operating lease
290
323
10,614
10,126
(b) Other (Gains)/Losses and significant exceptional
Loss on write down of dormant subsidiaries
159
-
Impairment of other receivables in joint venture Note 7/19b
-
779
Grants
(2)
(27)
Othe fair value adjustments
191
-
348
752
(c) Remuneration of auditors of the parent entity for:
Auditing or reviewing the accounts
77
75
Profit/ (loss) before income tax includes the following specific expenses:
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
6. Taxation
2024
$000
2023
$000
(a) Income tax expense/(benefit)
The components of tax expense/ (revenue) comprise:
Current tax
-
-
Deferred tax
(43)
(130)
(43)
(130)
The prima facie tax on profit/ (loss) before tax is reconciled to the income tax
as follows:
Profit/(loss) from operations
(2,480)
(1,830)
Income tax calculated at 25%
(620)
(458)
Tax effect of permanent differences:
Increase in income tax expense due to:
Non-deductible expenditure
844
891
Movement in unrecognised temporary differences
(44)
-
Decrease in income tax expense due to:
Non-assessable income
(54)
(61)
Tax losses recouped not previously recognised
(169)
(44)
Effect of different tax rates of foreign operations
-
(458)
Income tax expense/(benefit) attributable to profit from ordinary activities
(43)
(130)
Effective tax rate
2%
7%
(b) Deferred Tax
Deferred income tax at 30 September relates to the following:
Liabilities
Intangible assets in relation to business combinations
1,479
1,436
Other
84
114
Total
1,563
1,550
Assets
Provisions
239
180
Future benefit of carried forward losses
1,267
1,255
Other
57
115
1,563
1,550
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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The movement in deferred tax assets for each temporary difference during the year is as follows:
6. Taxation (continued)
Intangible assets relating to
business combinations
$000
Balance at 1 October 2021
1,423
Credited/(charged):
- to profit or loss
(118)
- to equity
-
Currency movements
-
Balance at 30 September 2022
1,305
Credited/(charged):
- to profit or loss
131
- to equity
-
Currency movements
-
Balance at 30 September 2023
1,436
Credited/(charged):
- to profit or loss
-
- to equity
43
Currency movements
-
Balance at 30 September 2024
1,479
Provisions
$000
Future benefit of
carried forward
losses
$000
ROU assets
$000
Leases
$000
Total
$000
Balance at 1 October 2021
485
938
-
-
1,423
Credited/(charged):
- to profit or loss
(232)
114
-
-
(118)
- to equity
-
-
-
-
-
Currency movements
-
-
-
-
-
Balance at 30 September 2022
253
1,052
-
-
1,305
Credited/(charged):
- to profit or loss
(73)
203
115
(114)
(131)
- to equity
-
-
-
-
-
Currency movements
-
-
-
-
-
Balance at 30 September 2023
180
1,255
115
(114)
1,436
Credited/(charged):
- to profit or loss
57
14
(58)
30
43
- to equity
-
-
-
-
-
Currency movements
-
-
-
-
-
Balance at 30 September 2024
237
1,269
57
(84)
1,479
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
6. Taxation (continued)
Note 1 - Deferred tax assets and liabilities are required to be measured at the tax rate that is expected to apply in the future income year when the asset is realised
or the liability is settled. The Directors have determined that the deferred tax balances be measured at the tax rates stated.
Tax consolidation
Aspermont and its wholly owned Australian subsidiaries are a tax consolidated group. The accounting policy in relation to this
legislation is set out in note 2 (f).
On adoption of the tax consolidation legislation, the entities in the tax consolidated group entered into a tax sharing agreement
which limits the joint and several liability of the wholly owned entities in the case of a default by the head entity, Aspermont Limited.
7. Trade and other receivables
The consolidated entity has recognised a loss of $221,312 (2023: gain of $8,231) in profit or loss in respect of the expected credit
losses for the year ended 30 September 2024. In respect of probability adjusted credit losses and provisions for doubtful aged debts.
The total provision for probability adjusted ECL allowance is $31,536 as detailed below with balance being a general doubtful debt
provision.
The ageing of the receivables and allowance for expected credit losses provided for above are as follows:
2024
$000
2023
$000
Amounts recognised directly in equity
43
130
Aggregate current and deferred tax arising in the reporting period and not recognised in the
statement of comprehensive income but directly debited or credited to equity:
Net deferred tax – credited directly to equity
Tax expense/(income) relating to items of other comprehensive income
-
-
Financial assets reserve
-
-
2024
$000
2023
$000
Current
Trade receivables
1,066
802
Allowance for expected credit loss
Note 7(a)
(282)
(71)
Other receivables
124
1,532
Related party receivables
Note 15(b)
250
245
Impairment of Other Receivable in Joint Venture
Note 19(b)
-
(779)
Total current trade and other receivables
1,158
1,729
Non-current
-
-
Total non-current trade and other receivables
-
-
Consolidated
Expected ECL
%
Carrying amount
$
Allowance for ECL
$
Not overdue
2.03%
820,247
16,615
0-30 days overdue
3.13%
81,051
2,541
30-60 days overdue
4.44%
1,095
49
60+ days overdue
12.66%
97,397
12,331
999,790
31,536
Information about the Group’s exposure to interest rate risk and credit risk is provided in note 16.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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7. Trade and other receivables (continued)
(a) Allowance for expected credit loss (“ECL”)
As at 30 September 2024 current trade receivables of the Group with a nominal value of $0.1m were provided against (2023 – $0.1m).
The ageing of these receivables is as follows:
Movements in the allowance for the impairment of receivables are as follows:
The creation and release of the allowance for impaired receivables has been included in “other expenses” in the Statement of Profit or
Loss. Amounts charged to the provision are generally written off when there is no expectation of recovering additional cash.
(b) Past due but not impaired
As at 30 September 2024, trade receivables of $0.2m (2023: $0.2m) were past due but not impaired. These are not considered
impaired due to the geographical location resulting in a delay in receiving payment. Trade receivables include revenues deferred.
The ageing analysis of these trade debtors is as follows:
2024
$000
2023
$000
1 to 3 months
-
-
Over 3 months
282
71
282
71
2024
$000
2023
$000
At 1 October
71
75
Allowance for impairment
210
(3)
Foreign exchange movement
22
20
Receivables written off
(21)
(21)
282
71
2024
$000
2023
$000
1 to 3 months
141
190
Over 3 months
74
-
215
190
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
7. Trade and other receivables (continued)
The other classes within trade and other receivables do not contain impaired assets and are not past due. Based on the credit history
of these other classes, it is expected that these amounts will be received when due. The Group does not hold any collateral in relation
to these receivables.
Information about the Group’s exposure to foreign currency risk and interest rate risk in relation to trade and other receivables is
provided in note 16.
Due to the short term nature of these receivables, their carrying amount is assumed to approximate their fair value. The maximum
exposure to credit risk at the end of the reporting period is the carrying amount of each class of receivable mentioned above.
8. Property, Plant and Equipment
Property, Plant and Equipment comprise owned and leased assets that do not meet the definition of investment property.
Consolidated
2024
$000
2023
$000
Property, Plant and Equipment – at cost
1,963
1,949
Accumulated depreciation
(1,938)
(1,910)
Owned Property, Plant & Equipment
25
39
Right-of-use assets – at cost
684
2,502
Accumulated depreciation
(456)
(2,406)
Right-of-use assets – at 30 September
228
456
Total Property, Plant and Equipment
253
495
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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8. Property, Plant and Equipment (continued)
(a) Movements in carrying amounts
Property, Plant
and Equipment
$000
Leases and
Right-of-use Assets(b)
$000
Total
$000
Gross carrying amount
Balance at 1 October 2022
1,904
1,818
3,722
Additions
20
684
704
Currency movements
25
-
25
Disposals
-
-
-
Balance at 30 September 2023
1,949
2,502
4,451
Additions
11
-
11
Currency movements
6
-
6
Disposals
(3)
-
(3)
Balance at 30 September 2024
1,963
2,502
4,465
Accumulated Depreciation
Balance at 1 October 2022
(1,869)
(1,818)
(3,687)
Depreciation expense
(33)
(228)
(261)
Currency movements
(9)
-
(9)
Disposals
-
-
-
Balance at 30 September 2023
(1,910)
(2,046)
(3,956)
Depreciation expense
(23)
(228)
(251)
Currency movements
(7)
-
(7)
Disposals
3
-
3
Balance at 30 September 2024
(1,938)
(2,274)
(4,212)
Net Book Value
As at 30 September 2023
39
456
495
As at 30 September 2024
25
228
253
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
8. Property, Plant and Equipment (continued)
(b) Lease liability
The Company leases its office building under a lease agreement on a three-year term with one year remaining. It adopted AASB 16
and recognises this lease as a right-of-use asset and a lease liability.
Lease payments not recognised as a liability
The Group has elected not to recognise a lease liability for short term leases (leases of expected term of 12 months or less) or leases of
low value assets. Payments made under such leases are expensed on a straight-line basis. The Group does not have any lease liability
exceeding 12 months.
2024
$000
2023
$000
Maturity Analysis – contractual undiscounted cashflows
Less than one year
228
267
One to five years
-
194
More than five years
-
-
Total Undiscounted Lease Liabilities at 30 September
228
461
Lease liabilities included in the statement of financial position
at 30 September
Current
228
267
Non-current
-
194
228
461
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YEAR ENDED 30 SEPTEMBER 2024
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www.aspermont.com | ASX:ASP FRA: 00W
9. Intangible assets
The Group has allocated goodwill, software, purchased Mastheads and Tradenames and other acquired assets to the Publishing cash
generating units (“CGU”).
Consolidated
Goodwill
$000
Software
$000
Purchased
Mastheads and
Trade Names
$000
Other
acquired
assets
$000
Total
$000
Gross carrying amount
Balance at 1 October 2022
13,181
5,929
10,209
162
29,481
Additions
-
1,032
-
-
1,032
Currency movements
1,529
248
791
-
2,568
Balance at 30 September 2023
14,710
7,209
11,000
162
33,081
Additions
-
801
-
-
801
Currency movements
507
106
261
-
874
Balance at 30 September 2024
15,217
8,116
11,261
162
34,756
Accumulated Amortisation
Balance at 1 October 2022
(13,181)
(5,349)
(2,665)
(162)
(21,357)
Amortisation expense
-
(586)
-
-
(586)
Currency movements
(1,529)
(225)
(267)
-
(2,021)
Disposal
-
102
-
-
102
Balance at 30 September 2023
(14,710)
(6,058)
(2,932)
(162)
(23,862)
Amortisation expense
-
(670)
-
-
670
Currency movements
(507)
(85)
(90)
-
(683)
Disposal
-
-
-
-
-
Balance at 30 September 2024
(15,517)
(6,813)
(3,022)
(162)
(25,214)
Net Book Value
As at 30 September 2023
-
1,151
8,068
-
9,219
As at 30 September 2024
-
1,303
8,239
-
9,542
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58
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
9. Intangible assets (continued)
a) Determination of recoverable amounts
The recoverable amount of the CGUs, which are classified within Level 3 of the fair value hierarchy, is determined based on value
in use using discounted cash flow projections based on financial forecasts covering a five-year period with a terminal growth rate
applied thereafter. The Group determined that each of the components of Publishing (Print, Online and Events) to be a CGU.
The Group performed its annual impairment test in September 2024.
The cash flow projections which are used in determining any impairment require management to make significant estimates
and judgements (key assumptions in preparing projections are set out below). Each of the assumptions is subject to significant
judgement about future economic conditions and the ongoing structure of the publishing and digital industries. Management has
applied their best estimates to each of these variables but cannot warrant their outcome. Management has determined that there is
no impairment as at 30 September 2024. In determining that no impairment was required at 30 September 2024, Management also
took into consideration that the market capitalisation of the Group was above the book value of its equity
b) Impairment losses recognized
As a result of the analysis performed, there is headroom in the Group’s CGU (the recoverable value exceeded the carrying amount)
and management did not identify an impairment charge (2023: nil).
c) Key assumptions
The key assumptions on which management has based its cash flow projections when determining the fair value less cost of disposal
calculations are set out below. These assumptions are consistent with industry market participant expectations.
Cash flow forecasts were used based on the EBITDA for the CGU for the Group’s latest five-year business plan approved by the
board on the following basis:
Year 1 cash flows: Based on current forecast in line with Board approved budgets.
Year 2-5 cash flows:
y
Average EBITDA growth of 30% as a result of the following underlying assumptions:
y
Average revenue growth of 4% is assumed for media services including live events, 12% for Nexus and 26% for data services
related activity on market maturity of established products, continued roll-out, introduction of new products and services,
product extensions and continued channel development.
y
Revenue growth of 12% in subscriptions – these assumptions are in line with current performance, industry trends and
management’s expectation of market development.
y
Investment expense for new initiatives on new products and services.
y
Expenses expected to grow in line with business expansion.
y
Terminal perpetuity growth rate of 2% (30 September 2023: 2%) based on accepted principles of a mature business operating in
a stable environment for the foreseeable future.
y
The pre-tax discount rate applied to the cash flow projections was 15% (2023: 13%) which reflects management’s best estimate
of the time value of money, changes in market risk free rates, the risks specific to media and events market not already reflected
in the cash flows and the capital structure of the Group with zero debt.
d) Sensitivity
The calculations are sensitive to changes in key assumptions as set out below:
The recoverable amount of the CGU would equal the carrying amount if the key assumptions were to change as follows:
y
Discount rate – increase from 15% to 22%,
y
Terminal growth rate – decrease from 2% to -12%
y
Year 1 to 5 cash flow forecasts – reduction of 49% EBITDA year on year
The Mastheads and Tradenames support the brand acquired which has been publishing for a significant period of time (circa 100
years) and although content is distributed both in print and digital format, both content is driven off the mastheads which have not
changed and the same brand content is marketed. There is no reason that these Mastheads and Tradenames are not used indefinitely
given the brand recognition and market position.
For personal use only
59
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
10. Trade and other payables
Trade and other payables are carried at amortised cost. Liabilities are brought to account for amounts payable in relation to goods
received and services rendered, whether or not billed to the Group at reporting date. The Group operates in a number of diverse
markets, and accordingly the terms of trade vary by business. Terms of trade in relation to trade payables are, on average, 30 to 60
days from the date of invoice.
Information about the Groups’ exposure to risk is provided in note 16.
Due to the short-term nature of these payables, their carrying value is assumed to approximate their fair value.
11. Income in advance
Current income in advance relates to subscription, advertising and event revenue received prior to services rendered.
12. Issued capital
2024
$000
2023
$000
Current – unsecured
Trade payables
1,298
1,623
Sundry creditors and accrued expenses
1,293
1,416
Annual leave and long service leave provision
479
623
3,070
3,662
2024
$000
2023
$000
Current
Opening balance
6,812
6,511
Net movement during the year
(663)
(433)
Historic Period adjustment (note 2)
-
734
6,149
6,812
2024
#
2023
#
2024
$000
2023
$000
Fully paid ordinary shares
2,470,011,614
2,438,763,694
11,760
11,364
Ordinary shares
At the beginning of the reporting period
2,438,763,694
2,429,192,981
11,364
11,265
Shares issued during the year:
Rights issue
-
-
-
-
Share issue costs
-
-
(3)
(1)
Employee share issue
31,247,920
9,570,713
399
100
At Reporting date
2,470,011,614
2,438,763,694
11,760
11,364
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60
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Ordinary shares participate in dividends and the proceeds on winding up of the parent entity in proportion to the number of shares
held. At shareholders’ meetings, each ordinary share is entitled to one vote when a poll is called, otherwise each shareholder has one
vote on a show of hands.
Issued capital at 30 September 2024 amounted to $11.76m (2,470,011,614 ordinary shares).
(a) Options
The establishment of the Executive Option Plan was approved by the directors in April 2000. The Executive Option Plan is designed to
retain and attract skilled and experienced board members and executives and provide them with the motivation to make the Group
successful. Participation in the plan is at the Board’s discretion.
The exercise price of options issued will be not less than the greater of the minimum value set by the ASX Listing Rules and the
weighted average closing sale price of the Company’s shares on the ASX over the five days immediately preceding the day of the
grant, plus a premium determined by the directors.
When shares are issued pursuant to the exercise of options, the shares will rank equally with all other ordinary shares of the Company.
No Options were issued during the year (2023: No Options were issued during the year).
The table below summarises options in issue for the Consolidated and parent entity:
Of the above options 323,577,323 expire 30 September 2025.
The weighted average share price during the financial year was 3.00 cents (2023: 3.00 cents).
The weighted average remaining contractual life of options outstanding at the end of the financial year was 1.00 year (2023: 2.00
years).
(b) Employee performance rights
Under the executive long-term incentive plan, Performance Rights (“Rights”) have been granted to executives and other senior
management who will have an impact on the Group’s performance. On satisfaction of any vesting conditions, each Right will convert
to a share on a one-for-one basis. Details of the plan are included in the Remuneration Report pages 23 to 33.
The total expense recognised for share-based payments during the financial year for the Group was $419,364 (2023:$444,818).
In addition to the normal issue of performance rights, there was an issue of options included in this expense.
Valuation details for the rights granted in the year is included in remuneration report on page 31 of this report.
Share based reserve
The share-based payments reserve is used to recognise the grant date fair value of options issued to employees but not yet exercised.
12. Issued capital (continued)
Balance at the
start of the
year Number
Granted
during the
year Number
Exercised
during the
year Number
Lapsed
during the
year Number
Balance at
end of the
year Number
Vested and
exercisable
at end of the
year Number
Weighted
Average
Exercise Price
2024
323,577,323
-
-
-
323,577,323
323,577,323
3c
2023
583,577,323
-
-
(260,000,000)
323,577,323
323,577,323
3c
2024
Number
2023
Number
Outstanding at 1 October
209,358,564
191,135,091
Granted during the year
36,050,321
32,963,772
Forfeited during the year
(732,091)
-
Exercised
(31,247,920)
(9,570,713)
Lapsed during the year
-
(5,169,586)
Outstanding at 30 September
213,428,874
209,358,564
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
12. Issued capital (continued)
Currency translation reserve
Exchange differences arising on translation of the foreign controlled entity are taken to the currency translation reserve, as described
in note 2. The reserve is recognised in profit or loss when the net investment is disposed of.
(c) Capital risk management
The Group’s objectives when managing capital are to safeguard their ability to continue as a going concern, so that they can continue
to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the
cost of capital.
In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return
capital to shareholders, issue new shares or sell assets to reduce debt.
The Group monitors capital on the basis of regularly reviewing working capital requirements and projected cashflow needs of the
business. Further information regarding the liquidity and capital risk maintained by the Group is disclosed in Note 16 (c).
The gearing ratios at 30 September 2024 and 30 September 2023 were as follows:
Name of Entity
Place of Incorp.
Class of share
Economic Entity Interest
2024
%
2023
%
Parent entity:
Aspermont Limited
NSW
Controlled Entities:
Resourceful Events Pty Ltd 1
NSW
Ord
0
100
Corporate Intelligence & Communications
Pty Ltd 1
WA
Ord
0
100
Kondinin Information services Pty Ltd
WA
Ord
100
100
Aspermont Media Limited
UK
Ord
100
100
Aspermont (Hong Kong) Ltd 2
HKG
Ord
0
100
Aspermont Brazil Ltd
Brazil
Ord
100
100
E-Farming 1
NSW
Ord
0
100
Aspermont Global Pte. Ltd.
Singapore
Ord
70
70
1 Deregistered 17 July 2024
2 Deregistered 23 February 2024
13. Particulars in relation to controlled entities
2024
$000
2023
$000
Total Borrowings
35
35
Less: cash and cash equivalents
(1,393)
(4,044)
Net debt
(1,358)
(4,009)
Total equity
3,017
5,445
Total capital
1,659
1,436
Gearing ratio
(82)%
(279)%
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62
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
14. Cash flow information
2024
$000
2023
$000
(a) Reconciliation of cash and cash equivalents
Cash at the financial year as shown in the statement of Cash Flows is reconciled to items in
Statement of financial Position as follows:
Cash at bank and on deposit
1,393
4,044
1,393
4,044
(b) Reconciliation of operating profit/ (loss) after tax to net cash from operating activities
Loss after income tax
(2,437)
(1,700)
Non-cash flows in profit/ (loss)
Depreciation and amortisation
922
735
Impairment of loan receivable
30
898
Loss on Investment
159
-
Finance cost
-
28
Non-cash income tax expense
(43)
(130)
Share based payments
419
445
Non-cash items
-
(440)
Exchange Rate Movement
(5)
6
Change in assets and liabilities:
(Increase)/Decrease in receivables
362
(342)
(Increase)/Decrease in right of use assets
228
(456)
Increase/(Decrease) in creditors and accruals
(592)
336
Increase/(Decrease) in unearned revenue
(663)
(440)
(Decrease) in provisions
(6)
15
(Increase)/Decrease in doubtful debts
211
(6)
(Decrease)/Increase in finance lease
(233)
461
Net cash used in operating activities
(1,648)
(590)
For personal use only
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
15. Key management personnel and related party disclosures
(a) Key management personnel compensation
Detailed remuneration disclosures are provided in the audited remuneration report on pages 23 to 33 of the Directors’ Report.
(b) Liabilities and loans from director related entities
Detailed loan movements are disclosed in the audited remuneration report on pages pages 23 to 33 of the Directors’ Report.
The Company is owed $243,714 for various expenses paid on behalf of Ileveter Pty Ltd, a Company associated with a former director,
Mr A.L. Kent. Mr A.L. Kent was in the process of making these repayments prior to the year end until his sudden demise in September
2023. The Company is in communication with the Executors of Mr A.L. Kent’s estate to agree a repayment plan.
(c) Other transactions with key management personnel and director related entities
Transactions between key management personnel are on normal commercial terms and conditions no more favourable than those
available to other parties unless otherwise stated. The Group leases its principal office facility from Ileveter Pty Ltd, until 31 January
2024, a company associated with former director, Mr A.L. Kent. The rent paid was at market rates at the time of lease inception. The
lease agreement has a term of one year expiring 30 October 2024 which can be renewed with mutual agreement
At 30 September 2024 the Company owed $25,000 (2023: $25,000) in unpaid Director Fees to current Directors of the Company.
As at 30 September 2024, Mr Alex Kent (Director) resident in Singapore, held a non-controlling interest in Aspermont Global Pty Ltd, a
wholly owned Singapore resident subsidiary of Aspermont Limited. Loss attributable to the non-controlling interest was reported as
$561,080 (2023: not significant).
2024
$000
2023
$000
Short-term employee benefits
2,079
2,422
Post-employment benefits
104
112
Share based payments
401
397
2,584
2,931
2024
$000
2023
$000
Unsecured loans
Beginning of year
(245)
(101)
Loan advances
5
264
Loan repayments
-
(120)
End of year
(250)
(245)
2024
$000
2023
$000
Rental expense for principal offices
92
250
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64
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
16. Financial risk management
In the normal course of its operations, the consolidated entity is exposed to a variety of financial risks, including market risk, credit
risk and liquidity risk.
The consolidated entity’s overall risk management focuses on the unpredictability of financial markets and seeks to minimise
potential adverse effects on the financial performance of the business. The consolidated entity does not use derivative financial
instruments such as foreign exchange contracts to hedge certain risk exposures. The consolidated entity uses different methods to
measure different types of risk to which it is exposed. These methods include sensitivity analysis in the case of interest rate, foreign
exchange and other price risks and ageing analysis for credit risk.
Risk management is carried out by the management team within the parameters thought prudent by the Audit & Risk Committee of
the Board.
(a) Market risk
(i) Foreign exchange risk
The consolidated entity operates internationally and is exposed to foreign exchange risk arising from various currency exposures,
primarily with respect to the United Kingdom pound and US dollar and to a lesser extent the Euro.
Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities that are denominated in
a currency that is not the consolidated entity’s functional currency. The risk is measured using sensitivity analysis and cash flow
forecasting.
Management has instituted a policy requiring group companies to manage their foreign exchange risk against their functional
currency. The group companies are required to bring significant foreign currency transactions to the attention of the central finance
function for evaluation, if they occur.
A 10% strengthening/weakening of the Australian dollar against the following currencies at 30 September 2024 and 30 September
2023 would have increased/(decreased) profit or loss by the amounts shown in the following table. The analysis assumes that all other
variable, in particular interest rate remains constant.
The consolidated entity has revenues and resulting trade and other receivables in non-functional currencies as follows:
Based on the financial instruments held by the consolidated entity as at the reporting date, the sensitivity of the consolidated entity’s
profit/(loss) after tax for the year and equity at the reporting date to movements in the Australian dollar to US dollar and Australian
dollar to Euro exchange rates was:
y
Had the Australian dollar weakened/strengthened by 5% against the US dollar with all other variables remaining constant, the
consolidated entity’s profit after tax would have been $23,450 lower/higher (2023: $5,540 lower/higher).
y
Had the Australian dollar weakened/strengthened by 5% against the Euro with all other variables remaining constant, the
consolidated entity’s profit after tax would have been $1,300 lower/higher (2023: $800 lower/higher).
2024
$000
2023
$000
GBP
(102)
(92)
Total
(102)
(92)
USD
EUR
USD
EUR
2024
2023
$000
$000
$000
$000
Financial assets
Trade and other receivables
469
26
109
16
Non-current receivables
-
-
-
-
Total
469
26
109
16
For personal use only
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
16. Financial risk management (continued)
(b) Credit risk
Credit risk is the risk that counterparty will not complete its obligations under a financial instrument resulting in a financial loss
for the consolidated entity. Credit risk is managed co-operatively by the finance function and operations for customers, including
receivables and committed transactions and at the consolidated entity level for credit risk arising from cash and cash equivalents,
deposits with banks and financial institutions.
The consolidated entity does not generally obtain collateral or other security to support financial instruments subject to credit risk.
As the profile of the revenue comprises a very large number of small customers, the Group accepts some amount of credit risk but
has historically experienced no significant loss.
All cash balances are on deposit with banks that have S&P Long Term credit ratings of A in the UK and AA in Australia.
The consolidated entity’s total capital is defined as the shareholders’ net equity plus net borrowings, which amounted to $3.0m at
30 September 2024 (2023: $4.6m). The objectives when managing the economic entity’s capital is to safeguard the business as a
going concern, to maximise returns to shareholders and to maintain an optimal capital structure in order to reduce the cost of capital.
(c) Liquidity and capital risk
The consolidated entity does not have a target debt/equity ratio but has a policy of maintaining a flexible financing structure so as to
be able to take advantage of investment opportunities when they arise.
The consolidated entity’s liquidity position is managed to ensure sufficient liquid funds are available to meet its financial obligations
in a timely manner. The consolidated entity manages liquidity risk by continuously monitoring forecast and actual cash flows and
ensuring that the consolidated entity has the ability to access required funding. The consolidated entity has historically maintained
backup liquidity for its operations and currently maturing debts through its financial asset portfolio.
The following tables analyse the consolidated entity’s financial liabilities into maturity groupings based on the remaining period
from the reporting date to the contractual maturity date. As amounts disclosed in the table are the contractual undiscounted cash
flows including future interest payments, these balances will not necessarily agree with the amounts disclosed on the statement of
financial position.
Consolidated entity as at 30 September 2024:
Less than 6
months
6-12
months
Between
1 and 2
years
Between
2 and 5
years
Total
contractual
Cashflows
Carrying
Amount
$000
$000
$000
$000
$000
$000
Non-derivatives
Trade and other payables
1,147
-
-
-
1,147
1,147
Borrowings
35
-
-
-
35
35
1,182
-
-
-
1,182
1,182
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
16. Financial risk management (continued)
Consolidated entity as at 30 September 2023:
(d) Financial assets and liabilities by category
The financial instruments consist mainly of deposits with banks, accounts receivable and payable, bank loans, related party loans and
leases. Investments accounted for using the equity method are excluded from the information provided below:
The fair value of cash and cash equivalents, trade and other receivables and trade and other payables is considered to be a reasonable
approximation of their fair value due to their short-term nature. The fair value of borrowings as at the reporting date is considered to
be a reasonable approximation of their fair value. Refer to note 2 for the method used to fair value the non-current receivable.
Less than 6
months
6-12
months
Between
1 and 2
years
Between
2 and 5
years
Total
contractual
Cashflows
Carrying
Amount
$000
$000
$000
$000
$000
$000
Non-derivatives
Trade and other payables
1,602
-
-
-
1,602
1,602
Borrowings
35
-
-
-
35
35
1,637
-
-
-
1,637
1,637
Weighted average
interest rate
Balance
Weighted average
interest rate
Balance
2024
2023
$000
$000
Financial assets
Cash and cash equivalents
0.00%
1,393
0.00%
4,044
Trade and other receivable
-
1,158
-
1,729
Financial Liabilities
Trade and other payables
-
1,299
-
1,623
Related party borrowings
9.5%
35
9.50%
35
For personal use only
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
17. Segment information
The economic entity primarily operates in the media publishing industry as well as in conferencing and investments, within Australia
and in the United Kingdom.
Segment Reporting:
2024
$000
2023
$000
Subscriptions Revenue
Other Revenues
9,731
9,488
Other Revenues
7,755
8,561
Discontinued Services
-
1,199
Total segment revenue
17,486
19,248
Revenue by Geography
APAC
10,797
12,369
EMEA
2,280
2,391
Americas
3,914
4,095
Other
495
393
Total revenue
17,486
19,248
Result
Segment result
2,342
4,445
Unallocated items:
Corporate overheads and provisions
(3,070)
(4,561)
Depreciation & Amortisation
(921)
(735)
Other income
-
27
Share based payments
(419)
(445)
Finance costs
(13)
69
Share of Loss in Associate Gain on Invesment
-
(458)
Loss on Investment
(159)
-
Exceptional & Impairment of receivables
(240)
(172)
Loss for year before income tax
(2,480)
(1,830)
Segment assets
11,231
11,719
Unallocated assets:
Cash
1,392
4,044
Deferred tax asset
1,563
1,550
Other assets
-
-
Total assets
14,186
17,313
Segment liabilities
9,571
11,066
Unallocated liabilities:
Provision for income tax
-
-
Deferred tax liabilities
1,563
1,550
Borrowings
34
35
Total liabilities
11,169
12,651
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68
ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
17. Segment information (continued)
Reconciliation of reportable segment profit or loss:
Description of segments:
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker.
The chief operating decision maker has been identified as the Managing Director who makes strategic decisions.
In line with the ongoing development and strategy of the Group’s trading business, the reporting segments have in the current
reporting period has been amended ‘to separately show: subscription services (previously Audience services) and other services
(previously Client services) - combination of the advertising marketing,events, and data services.
The segments derive revenue from the following products and services:
The Group derives subscription, advertising and sponsorship revenues from print and online publications as well as from running live
events in various locations across a number of trade sectors including the mining, agriculture, energy and technology sector. It also
derives revenue from curated content and B2B lead generation activity.
Segment revenue and expenses:
Segment revenue and expenses are accounted for separately and are directly attributable to the segments.
18. Earnings/ (loss) per share (EPS)
2024
$000
2023
$000
(a) Basic loss per share (cents per share)
(0.076)
(0.070)
(b) Diluted loss per share (cents per share)
(0.076)
(0.070)
(c) Loss used in calculating earnings per share
Loss attributable to the ordinary equity holders of the company used in calculating
basic and diluted loss per share
(1,871)
(1,700)
(d) Weighted average number of shares used as the denominator
Weighted average number of ordinary shares outstanding during the year used in
calculating basic earnings per share
2,452,395,122
2,425,884,942
Options
323,577,323
323,577,323
Weighted average number of ordinary shares outstanding during the year used in
calculating diluted earnings per share
2,452,395,122
2,425,884,942
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FINANCIAL REPORT
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19. Investment in Associate
(a) Investment in Associate
2024
$000
2023
$000
Opening Balance
-
458
Add: Shares issued
-
-
Less: Share of Associate’s loss
-
(458)
Closing Balance
-
-
(b) Investment in Associate
(c) Statement of Financial Position
1Based on unaudited management accounts
2024
$000
2023
$000
Current
Working Capital Loan
-
779
Impairment of working capital loan
-
(779)
-
-
2024
$000
2023
$000
Carrying Value of Investment
Current Assets
-
265
Non-Current Assets
-
-
Current Liabilities
-
(2,425)
Net Assets
-
(2,160)
Carrying Amount of the Group’s Investment
-
-
Group’s Share of Profit/(Loss) for the Year
Revenue
-
148
Expenses
-
(1,676)
Net Profit/(Loss) After Tax
-
(1,824)
Group's Share of Profit/(Loss) for the Year
-
(458)
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
19. Investment in Associate (continued)
(d) Additional Information
The Group has a 0% (2023: 58%) ownership in Blue Horseshoe Ventures Pty Ltd. (BHV) and has recognised its share of BHV’s results
since its incorporation in April 2021.
Associates are those entities over which the Group is able to exert significant influence, but which are not subsidiaries. A joint venture
is an arrangement that the Group controls jointly with one or more other investors, and over which the Group has rights to a share of
the arrangement’s net assets rather than direct rights to underlying assets and obligations for underlying liabilities.
Investments in associates and joint ventures are accounted for using the equity method.
Any goodwill or fair value adjustment attributable to the Group’s share in the associate or joint venture is not recognised separately
and is included in the amount recognised as investment.
The carrying amount of the investment in associates and joint ventures is increased or decreased to recognise the Group’s share
of the profit or loss and other comprehensive income of the associate and joint venture, adjusted where necessary to ensure
consistency with the accounting policies of the Group.
BHV entered into voluntary administration on 17th August 2023, following the appointment of Mr. Kimberley Stuart Wallman and
Mr. Gregory Paul Quin, Registered Liquidators, Chartered Accountants and Partners of HLB Mann Judd Insolvency WA, as joint &
several Administrators of the Company pursuant to section 436A of the Corporations Act 2001.
The appointed administrators resolved that the Deed of Company Arrangement as announced on 21 November 2023 following
an interest in acquiring the business was not achieved. As a result on 11 December 2023, they moved to administer the voluntary
winding up of the business. (Announcement)
As a result, The Group has fully impaired its other receivables from the Joint venture resulting in a charge of $779k being taken into
the profit and loss account.
20. Events subsequent to the year end
There were no events subsequent to the end of the year end that require disclosure.
21. Contingent Liabilities
The Group is not aware of any other contingent liabilities and unrecorded commitments at the date of this report that would
significantly affect the operations of the Group.
a)
complying with Australian Accounting Standards, the Corporations Regulation 2001 and other mandatory professional
reporting requirements; and
b)
giving a true and fair view of the consolidated entity’s financial position as at 30 September 2024 and of its performance for
the financial year ended on that date; and consistency with the accounting policies of the Group.
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YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
www.aspermont.com | ASX:ASP FRA: 00W
Entity name
Entity Type
Body Corporates
Place formed or
incorporated
% of share
capital held
Aspermont Limited
Body Corporate
Australia
100
100
100
100
70
Australia
England & Wales
Brazil
Singapore
Tax residency
Australian
or foreign
Foreign
jurisdiction
Australian
N/A
N/A
UK
Brazil
Singapore
Australian
Foreign
Foreign
Foreign
Body Corporate
Body Corporate
Body Corporate
Body Corporate
Kondinin Information Services Pty Ltd
Aspermont Media Limited
Aspermont Brazil Ltd
Aspermont Global Pte Ltd
CONSOLIDATED ENTITY
DISCLOSURE STATEMENT
Basis of preparation
The consolidated entity disclosure statement has been prepared in accordance with subsection 295(3A)(a) of the Corporations Act
2001 (Cth). The entities listed in the statement are Aspermont Limited and all the entities it controls in accordance with AASB 10
Consolidated Financial Statements.
The percentage of share capital disclosed for bodies corporate included in the statement represents the economic interest
consolidated in the consolidated financial statement. In developing the disclosures in the statement, the directors have relied on the
advice provided by management.
The Group’s consolidated entity disclosure statement at 30 September 2024 is set out below:
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
DIRECTOR’S DECLARATION
In the directors’ opinion:
1. the financial statements and notes set out on pages 35 to 71 are in accordance with the Corporations Act 2001, including:
a) complying with Australian Accounting Standards, the Corporations Regulation 2001 and other mandatory professional
reporting requirements; and
b) giving a true and fair view of the consolidated entity’s financial position as at 30 September 2024 and of its performance for
the financial year ended on that date; and
2. there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and pay
able; and
3. the consolidated entity disclosure statement required by section 295(3A) of the Corporations Act is true and correct; and
Note 2 - confirms that the financial statements also comply with International Financial Reporting Standards as issued by the International Accounting Standards Board.
The directors have been given the declarations by the chief executive officer and chief financial officer required by section 295A of
the Corporations Act 2001.
This declaration is made in accordance with a resolution of the Directors.
A. Kent
Director
Perth
26th November 2024
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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INDEPENDENT AUDITOR’S REPORT
Independent Auditor’s Report to the Members of Aspermont Limited
Report on the Audit of the Financial Report
Opinion
We have audited the financial report of Aspermont Limited (the Company) and its subsidiaries (collectively referred to as the
Group), which comprises the consolidated statement of financial position as at 30 September 2024, the consolidated
statement of profit or loss and other comprehensive income, the consolidated statement of changes in equity and the
consolidated statement of cash flows for the year then ended, the consolidated entity disclosure statement and
accompanying basis of preparation as at 30 September 2024, and notes to the financial statements, including a summary of
significant accounting policies, and the directors' declaration.
In our opinion, the accompanying 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 September 2024 and of its financial 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 as 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 Accounting 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 confirm that the independence declaration required by the Corporations Act 2001, which has been given to the directors
of the Company, would be in the same terms if given to the directors as at the time of this auditor's report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Materiality Uncertainty Related to Going Concern
We draw attention to Note 2 of the financial statements, which outlines that for the year ended 30 September 2024, the
Group incurred a loss of $2.4 million, a net cash outflow from operating activities of $1.6 million, and a net working capital
deficit (excluding deferred revenue) of $0.8 million. The Group’s ability to meet its debts as and when they fall due is
contingent upon generating positive net cash flows from operations and securing additional funding in a timely manner to
support its ongoing activities. These conditions represent a material uncertainty that may cast significant doubt on the
Group’s ability to continue as a going concern, and, consequently, the Group may be unable to realise its assets and settle
its liabilities in the normal course of business. Our opinion is not modified in respect of this matter.
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. We have determined the matters
described below to be key audit matters to be communicated in our report.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Independent Auditor’s Report (continued)
Intangible Assets
Refer to Note 9, Intangible Assets ($9.54 Million) and accounting policy Notes 2(h).
Key Audit Matter
How our audit addressed the matter
The Group has a significant amount of
Intangible assets.
Australian Accounting Standard (AASB) 136
Impairment of Assets, requires an annual
impairment test for intangible assets with
indefinite useful lives.
The impairment assessment involves
significant judgements and estimation from
management.
Due to these facts, the assessment of carrying
value of the intangible assets is considered to
be a key audit matter.
Our audit work included, but was not restricted to, the following:
• Assessing the impairment assessment methodology adopted
by management which is disclosed in Note 9 to the
consolidated financial statements;
• Assessing the assumptions and methodologies used by the
management in the preparation of the discounted cash flow
models;
• Enquired management and held discussion about their future
plan and revenue forecast;
• Challenging the key assumptions utilized in the discounted
cash flow model including the revenue and expense growth
rates, the terminal growth rate and discount rate by comparing
them to historical results, economic and other forecasts;
• Recalculating the mathematical accuracy of the discounted
cash flow model, agreeing budgeted cash flows to the latest
budget
and
assessing
the
performance
against
budget/forecasts in prior periods;
• Performed sensitivity analysis around the key assumptions
including the revenue and expense growth rates and discount
rate applied;
• Assessed impairment assessment by using alternative
method to implying revenue multiples. Conducted research to
conclude on suitable revenue multiple for the Group in the
context of its performance in the current year;
• Reviewed Board minutes to ensure that management has
discussed, assessed and approved impairment;
• Verified IT costs capitalised during the period with supporting
documents;
• Obtained details of on-going IT projects and enquired
management about their nature and stage of completion; and
• Evaluating the adequacy of the related disclosures.
Revenue Recognition
Refer to Note 4, 11 and accounting policy Notes 2(i).
Key Audit Matter
How our audit addressed the matter
The Group has recognized revenue of $17.49
Million and income in advance of $6.2 Million.
The
application
of
revenue
recognition
accounting standards is complex and involves a
number of key judgements and estimates.
There is also a risk around the timing of revenue
recognition,
particularly
focused
on
the
contractual terms of delivery and location of the
customers.
Our audit work included, but was not restricted to, the following:
• considering the appropriateness of the revenue recognition
accounting policies.
• understanding the significant revenue processes including
performance of an end to end walkthrough of the revenue
assurance process and identifying the relevant controls.
• testing the design and operating effectiveness of the relevant
controls.
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YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
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Independent Auditor’s Report (continued)
Based on these factors, we have identified
revenue recognition as a key risk for our audit.
• performing cut off procedures by selecting a sample of
transactions close to the year-end and testing whether revenue
related to next financial year has been reported as income in
advance.
• assessing the timing of revenue recognition based on transfer
of control to the customer by reviewing contracts and other
supporting documentation.
• verifying a sample of transactions with supporting documents.
• assessing the adequacy of the Group’s revenue disclosures
using our understanding obtained during the testing against the
requirements of AASB 15.
Other Information
The directors are responsible for the other information. The other information comprises the information in the Group’s annual
report for the year ended 30 September 2024, 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 on the other information obtained prior to the date of this auditor's report, 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 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 Group’s ability 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.
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 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 the financial report.
As part of an audit in accordance with the 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.
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
FINANCIAL REPORT
Independent Auditor’s Report (continued)
•
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.
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.
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 on page 23 to page 33 of the directors' report for the year ended 30
September 2024.
In our opinion, the Remuneration Report of the Group, for the year ended 30 September 2024, complies with section 300A
of the Corporations Act 2001.
Responsibilities
The directors of the Group 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.
Elderton Audit Pty Ltd
Sajjad Cheema
Director
Perth
26 November 2024
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
OTHER INFORMATION
www.aspermont.com | ASX:ASP FRA: 00W
The following additional information is required by the Australian Securities Exchange Limited in respect of listed companies:
a) Shareholding
Ordinary share capital
2,470,011,615 (2023: 2,438,763,694) shares are held by 402 (2023: 432) individual holders All issued ordinary shares carry one vote per
share.
The number of shareholdings held with less than marketable parcel is 140 (2023:64).
b) Share options (Unquoted)
c) Unlisted performance rights
d) Stock exchange listing
Quotation has been granted for all of the ordinary shares of the Company on all Member Exchanges of the Australian Securities
Exchange Limited under the symbol ASP. It also maintains a secondary listing on the German Frankfurt Stock Exchange under the
symbol 00W as well as the Tradegate Exchange under the symbol 00W.
Number of Rights
Number of Holders
213,428,874
15
ADDITIONAL INFORMATION
FOR LISTED PUBLIC COMPANIES
Distribution of Shareholders Number
Category (size of holding)
Ordinary shares
2024
2023
1 – 1,000
25
27
1,001 – 5,000
5
5
5,001 – 10,000
11
13
10,001 – 100,000
116
121
100,001 – and over
245
266
402
432
Number of Options
Number of Holders
Exercise Price
Date of Expiry
323,577,323
9
3c
30 September 2025
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
OTHER INFORMATION
www.aspermont.com | ASX:ASP FRA: 00W
e) Substantial shareholders
f) 20 Largest Shareholders – Ordinary shares
Name
Number of Ordinary
fully paid shares held
% Held of Issued
Ordinary Capital
1
Mr. Andrew Kent and beneficial interests
578,306,495
23.71%
2
Mr. John Stark and beneficial interests
411,970,603
16.89%
3
Mr. Alex Kent and beneficial interests
271,357,877
11.13%
4
T Klinger and beneficial interests
142,537,973
5.85%
Position
Holder Name
Holding
%
1
BNP PARIBAS NOMINEES PTY LTD
299,984,749
12.15%
2
DRYSDALE INVESTMENTS LIMITED
289,996,116
11.74%
3
WHITE RABBIT VENTURES
270,681,877
10.96%
4
ALLANDALE HOLDINGS PTY LTD
240,698,661
9.74%
5
ILEVETER PTY LTD
171,183,375
6.93%
6
HSBC CUSTODY NOMINEES
123,965,465
6.93%
7
ALLAN DALE REAL ESTATE PTY LTD
108,048,870
4.37%
8
BLUE SEA INVESTMENT HOLDINGS PTY LTD
87,276,787
3.53%
9
GINGA PTY LTD
67,919,452
2.75%
10
RIMWAGE PTY LIMITED
56,111,050
2.27%
11
MR JOHN STARK &
MRS JULIE STARK
54,357,000
2.20%
12
GINGA PTY LTD
49,111,076
1.99%
13
BNP PARIBAS NOM PTY LYD
42,384,777
1.72%
14
CITICORP NOMINEES PTY LIMITED
35,162,276
1.42%
15
RIBO TRUST
28,000,000
1.13%
16
MR MATTHEW SMITH
23,825,792
0.96%
17
B F A PTY LTD
22,614,545
0.92%
18
MR HUGO STRATTON-KENT
20,000,000
0.81%
19
THIRTY SIXTH VILMAR PTY LTD
18,980,029
0.77%
20
BLACKCOURT (NSW) PTY LIMITED
18,298,542
0.74%
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
CORPORATE DIRECTORY
www.aspermont.com | ASX:ASP FRA: 00W
CORPORATE DIRECTORY
Directors
John Stark - Alternate Director to Andrew Kent
Alex Kent - Managing Director
Geoffrey Donohue - Lead Independent Director
Graeme McCracken - Non-Executive Director
Company Secretary
David Straface
Other Key Management Personnel
Nishil Khimasia – Chief Financial Officer, Group
Ajit Patel – Chief Operating Officer, Group
Matt Smith – Chief Commercial Officer, Group
Josh Robertson – Chief Marketing Officer, Group
Registered Office
613-619 Wellington St
Perth WA 6000
Telephone: (08) 6263 9100
Facsimile: (08) 6263 9148
Postal Address
PO Box 78
Leederville WA 6902
Solicitors
Ian B. Mitchell & Associates
19-29 Martin Place
Sydney NSW 2000
Steinepreis Paganin
The Read Buildings, 16 Milligan Street
Perth WA 6000
Auditors
Elderton Audit Pty Ltd
Level 2, 267 St Georges Terrace
Perth WA 6000
Share Registry
Automic Registry Services
Level 2 / 267 St Georges Terrace
Perth WA 6000
Bankers
National Australia Bank Group
197 St Georges Terrace
Perth WA 6000
Australian Stock Exchange Limited
ASX: ASP
FRA: 00W
Website
www.aspermont.com
For personal use only
OPERATIONAL HIGHLIGHTS
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ASPERMONT ANNUAL REPORT
YEAR ENDED 30 SEPTEMBER 2024
80
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