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2023 ReportPeers and competitors of Tempur Sealy International:
PCI-PALAnnual Report and Financial Statements 2022 Our vision We deliver impactful, sustainable digital outcomes that make a positive difference to how individuals and society experience the world. One TPXimpact REVENUE FTE ADJUSTED PROFIT AFTER TAX1 ADJ EBITDA2 £79.7m FY2021: £50.3m 607 FY2021: 495 £9.2m £12.2m FY2021: £5.2m FY2021: £7.1m 58% 22% 77% (cid:76)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329) £0.8m (FY2021: loss of £2.0m) 72% (cid:23)(cid:13)(cid:40)(cid:89)(cid:19)(cid:1)(cid:329)(cid:186)(cid:155)(cid:329)(cid:339)(cid:272)(cid:284)(cid:264)(cid:180)(cid:329)(cid:300)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264)(cid:286)(cid:329)(cid:339)(cid:264)(cid:284)(cid:272)(cid:180)(cid:301) CASH CONVERSION 95% ADJUSTED DILUTED EARNINGS PER SHARE3 10.0p £7.9m at bank (FY2021: £5.7m) FY2021: 6.2p FINAL DIVIDEND 0.6p FY2021: 0.4p tCo2e PER £1M REVENUE 34.28tCO2e FY2021: 37.32 tCo2e 61% (cid:19)(cid:161)(cid:174)(cid:214)(cid:210)(cid:143)(cid:139)(cid:329)(cid:143)(cid:121)(cid:200)(cid:181)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:197)(cid:143)(cid:200)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:186)(cid:210)(cid:121)(cid:174)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329) of 0.9p (FY2021: loss per share of 3.5p) 50% 8.1% HOURS DONATED 1,970 FY2021: 1,654 19% FEMALE REPRESENTATION 47% FY2021: 48% 1%4 NEW JOBS CREATED 63 FY2021: 55 OVERALL ETHNIC MINORITY REPRESENTATION 19% FY2021: 13% 14.5% 6%4 1. (cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:161)(cid:204)(cid:329)(cid:134)(cid:121)(cid:174)(cid:134)(cid:214)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:181)(cid:186)(cid:181)(cid:306)(cid:40)(cid:34)(cid:79)(cid:83)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:200)(cid:143)(cid:174)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329) 3. (cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:139)(cid:161)(cid:174)(cid:214)(cid:210)(cid:143)(cid:139)(cid:329)(cid:143)(cid:121)(cid:200)(cid:181)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:197)(cid:143)(cid:200)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:134)(cid:121)(cid:174)(cid:134)(cid:214)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:121)(cid:204)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:143)(cid:139)(cid:329)(cid:121)(cid:133)(cid:186)(cid:225)(cid:143)(cid:284)(cid:329) (cid:186)(cid:181)(cid:174)(cid:232)(cid:284)(cid:329)(cid:89)(cid:186)(cid:329)(cid:121)(cid:200)(cid:200)(cid:161)(cid:225)(cid:143)(cid:329)(cid:121)(cid:210)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:285)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:200)(cid:161)(cid:204)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:139)(cid:139)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329) (cid:200)(cid:143)(cid:204)(cid:210)(cid:200)(cid:214)(cid:134)(cid:210)(cid:214)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:204)(cid:210)(cid:204)(cid:329)(cid:121)(cid:204)(cid:204)(cid:186)(cid:134)(cid:161)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:14)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:76)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:204)(cid:285)(cid:329)(cid:121)(cid:180)(cid:186)(cid:200)(cid:210)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:200)(cid:143)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:139)(cid:329) (cid:161)(cid:181)(cid:210)(cid:121)(cid:181)(cid:156)(cid:161)(cid:133)(cid:174)(cid:143)(cid:204)(cid:285)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:306)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:197)(cid:121)(cid:232)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:285)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:155)(cid:121)(cid:161)(cid:200)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329) adjustments. An adjusted diluted share count is calculated by taking the weighted average basic shares and including the maximum shares to be issued in respect of contingent consideration to be paid based on performance measures met in the period, together with the maximum share options and other share awards outstanding. 2. (cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:23)(cid:13)(cid:40)(cid:89)(cid:19)(cid:1)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:181)(cid:186)(cid:181)(cid:306)(cid:40)(cid:34)(cid:79)(cid:83)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:214)(cid:204)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:197)(cid:143)(cid:200)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:204)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:143)(cid:139)(cid:329) 4. Absolute change in % representation as earnings before interest, taxation, depreciation and amortisation and after add back of costs (cid:200)(cid:143)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:285)(cid:329)(cid:200)(cid:143)(cid:204)(cid:210)(cid:200)(cid:214)(cid:134)(cid:210)(cid:214)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:14)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:76)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:329)(cid:121)(cid:181)(cid:181)(cid:186)(cid:214)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:83)(cid:143)(cid:197)(cid:210)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:329) (cid:265)(cid:263)(cid:265)(cid:264)(cid:284)(cid:329)(cid:40)(cid:210)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:121)(cid:139)(cid:139)(cid:204)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:329)(cid:139)(cid:161)(cid:204)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:155)(cid:121)(cid:161)(cid:200)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329) payment charge. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Contents Strategic Review Corporate Governance Key highlights and key takeaways IFC Board of directors Letter to shareholders Investment case TPXimpact our story Our vision for 2023 and 2025 Our values Our services Expertise across all areas Case studies Our new business model Market overview Our growth strategy and acquisitions Chairman’s statement CEO statement Financial review ESG Report: Sustainable futures Our 172 statement Risk and risk management 2 4 6 10 12 13 14 15 17 20 23 26 28 32 36 80 85 Corporate governance report Environmental, social and governance report Remuneration report Audit, risk and AIM rules compliance committee Directors’ report Financial Statements Independent auditor’s report Consolidated income statement (cid:14)(cid:186)(cid:181)(cid:204)(cid:186)(cid:174)(cid:161)(cid:139)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329) Consolidated statement of changes in equity (cid:14)(cid:186)(cid:181)(cid:204)(cid:186)(cid:174)(cid:161)(cid:139)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:204)(cid:329) (cid:14)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329) Company statement of changes in equity (cid:14)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329)(cid:329) (cid:60)(cid:186)(cid:210)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:204)(cid:186)(cid:174)(cid:161)(cid:139)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329) Directors, secretary and advisers 88 92 97 98 101 103 108 116 (cid:264)(cid:264)(cid:270) 119 (cid:264)(cid:265)(cid:263) (cid:264)(cid:265)(cid:265) 124 (cid:264)(cid:265)(cid:268) (cid:264)(cid:265)(cid:270) 188 TPXimpact Holdings Plc | 1 Letter to shareholders Neal Gandhi (cid:14)(cid:186)(cid:306)(cid:34)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200) Welcome to our annual report for the (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:306)(cid:265)(cid:265)(cid:284) (cid:40)(cid:316)(cid:180)(cid:329)(cid:200)(cid:143)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:197)(cid:174)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:200)(cid:143)(cid:204)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329) TPXimpact, showcasing our new name, our new brand, and all the exciting new opportunities that lie ahead for us as an organisation. It’s also a further chance for me to tell you about why we underwent this change. (cid:105)(cid:143)(cid:316)(cid:200)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:161)(cid:204)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:160)(cid:186)(cid:226)(cid:329) we look upon ourselves. As an ambitious, purposeful, agile organisation, always looking at the longer term, we’re prepared to make changes that many others would not consider. When we conducted our strategy review in May 2021, we realised (cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:139)(cid:143)(cid:204)(cid:197)(cid:161)(cid:210)(cid:143)(cid:329)(cid:204)(cid:210)(cid:214)(cid:181)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:204)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329) a single, integrated organisation in order to achieve our longer term goals. The Panoply was built on the idea of complementary companies working together to provide a scaled, digitally native transformation offer to our customers. We sought a middle ground between being a holding company, with different businesses working in isolation from each other, and a fully integrated model. This approach enabled us to collaborate, drawing on the expertise of different areas of the group, and providing a wealth of capabilities for our clients. However, it also (cid:134)(cid:200)(cid:143)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284) As we grew, and to facilitate our vision for future growth, uniting as one single organisation was the next logical step. We needed to create a robust organisation that wasn’t dependent on a few individuals. We needed to change our acquisition model so that we could integrate acquired companies faster. If we did not, (cid:143)(cid:225)(cid:143)(cid:181)(cid:210)(cid:214)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:226)(cid:186)(cid:214)(cid:174)(cid:139)(cid:329)(cid:133)(cid:143)(cid:156)(cid:161)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:160)(cid:186)(cid:226)(cid:285)(cid:329)(cid:197)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:214)(cid:204)(cid:329) from achieving our full potential. So, having spent summer 2021 planning our approach and designing our new identity, we publicly announced our intention to bring the group of companies within The Panoply together under one single brand — TPXimpact. We’ve built a scalable business model, combined seven of our businesses so far, and are currently ironing out the wrinkles before integrating 2 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS REVENUE £79.7m (FY2021: £50.3m) ADJUSTED EBITDA ADJUSTED DILUTED EARNINGS PER SHARE £12.2m (FY2021: £7.1m) 10.0p Diluted earnings per share from total operations of 0.9p (FY2021: loss per share of 3.5p) our most recent acquisitions. This in turn will enable us to achieve our ambitious growth goals, and achieve revenues of hundreds of millions of pounds each year in the future. Integrating ten companies into one — perhaps unsurprisingly — turned out to be harder than we thought, and I’d like to take this opportunity to thank my colleagues for their incredible hard work making this happen throughout this year. Our goal remains as it always has been, to create meaningful change, at scale, within our clients organisations. Our size and scale as TPXimpact mean we can now meet the needs of the organisations we work with in bigger and better ways, and (cid:226)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:156)(cid:214)(cid:181)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:204)(cid:329) of the Department for Education, UNICEF UK and the Welsh Ambulance Service NHS Trust. We’ve written a book, Multiplied, on the need for new approaches to digital transformation in the public sector, built a new brand, and created a new employee experience offer, making sure we’re looking after the people who make all of this possible. Throughout this time, we’ve also put our values at the core of everything we do, guided by our promise to create positive impact for people and the planet. You can read more about this on pages 36-79 in this report. As we grow, we’re also making sure we stay agile, avoiding pitfalls by giving our people the autonomy they need to do their jobs. As we wrote in Multiplied, and as this year has shown, everything can change. At TPXimpact, we’re committed to being at the forefront of that change, taking opportunities to create value for our clients every step of the way. I hope you enjoy reading this report. Best wishes, Neal Gandhi TPXimpact Holdings Plc | 3 Investment case (cid:53)(cid:214)(cid:172)(cid:143)(cid:329)(cid:59)(cid:214)(cid:200)(cid:197)(cid:160)(cid:232) Head of Investor Relations (cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:143)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:143)(cid:226)(cid:329)(cid:204)(cid:226)(cid:143)(cid:143)(cid:210)(cid:329)(cid:204)(cid:197)(cid:186)(cid:210)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:93)(cid:51)(cid:329)(cid:143)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:232)(cid:329)(cid:309)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329) 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(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:121)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:143)(cid:121)(cid:200)(cid:174)(cid:232)(cid:285)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:204)(cid:143)(cid:210)(cid:204)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:204)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:265)(cid:263)(cid:265)(cid:268)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:329)(cid:339)(cid:265)(cid:263)(cid:263)(cid:180)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:160)(cid:161)(cid:143)(cid:225)(cid:143)(cid:284)(cid:329) (cid:264)(cid:284)(cid:329)(cid:83)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:121)(cid:139)(cid:139)(cid:200)(cid:143)(cid:204)(cid:204)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:180)(cid:121)(cid:200)(cid:172)(cid:143)(cid:210) (cid:267)(cid:284)(cid:329)(cid:89)(cid:200)(cid:121)(cid:181)(cid:204)(cid:197)(cid:121)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:200)(cid:214)(cid:204)(cid:210)(cid:226)(cid:186)(cid:200)(cid:210)(cid:160)(cid:232) The market will continue to face increased client expectations for innovations, going deeper and faster in their transformations. TPXimpact is perfectly positioned to support the transition from heritage to new solutions which has accelerated since the start of the pandemic. Continuously recognised as an ESG leader by balancing (cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:197)(cid:214)(cid:200)(cid:197)(cid:186)(cid:204)(cid:143)(cid:329)(cid:121)(cid:174)(cid:186)(cid:181)(cid:156)(cid:204)(cid:161)(cid:139)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:155)(cid:214)(cid:174)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329) outcomes for our people, planet and communities. We must (cid:181)(cid:186)(cid:226)(cid:329)(cid:210)(cid:121)(cid:172)(cid:143)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:134)(cid:143)(cid:329)(cid:133)(cid:143)(cid:204)(cid:161)(cid:139)(cid:143)(cid:329)(cid:156)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329) help tackle some of society’s biggest problems. • • £60.4bn: UK Software and IT Services Market 9% CAGR to 2024: Consulting segment* (cid:265)(cid:284)(cid:329)(cid:1)(cid:210)(cid:210)(cid:200)(cid:121)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:174)(cid:143) Consistently delivering strong revenue and EBITDA (Earnings before interest, taxes, depreciation and amortisation) (cid:180)(cid:186)(cid:180)(cid:143)(cid:181)(cid:210)(cid:214)(cid:180)(cid:285)(cid:329)(cid:226)(cid:160)(cid:161)(cid:174)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:180)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:181)(cid:156)(cid:174)(cid:143)(cid:329)(cid:133)(cid:200)(cid:121)(cid:181)(cid:139)(cid:285)(cid:329) combined with our operating model, positions the business to continue to build EBITDA margin. • • • • £79.7m Revenue £12.2m Adj EBITDA EBITDA of £9.1m (FY2021: £1.9m) 15% Adj EBITDA Margin (EBITDA Margin 11.4%) (cid:266)(cid:284)(cid:329)(cid:83)(cid:210)(cid:200)(cid:186)(cid:181)(cid:156)(cid:329)(cid:155)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:156)(cid:200)(cid:186)(cid:226)(cid:210)(cid:160)(cid:329)(cid:186)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) TPXimpact is expertly positioned to achieve its future growth opportunities. Acquisitions continue to provide additional capabilities, enabling clients to look no further for suppliers. Whilst organic growth continues to build momentum in new market segments, most recently Health and Wellbeing. • • • • Divisional setup, enabling sector specialists to cross-pollinate work with their wealth of experience Over 800+ employees across the UK, Norway and Bulgaria Specialist Head of Mergers & Acquisitions driving future strategy Recurring revenue £40.5m (up from £29.7m in FY2021) * Tech Market View, Market Trends and Forecast Report, 2022 4 | • • • Best communication of ESG - IR Society Best Practice Awards 2021 ESG and Diversity & Inclusion Company of the Year - Small Cap Awards 2022 1,970 community action hours logged (cid:268)(cid:284)(cid:329)(cid:13)(cid:200)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:231)(cid:134)(cid:143)(cid:174)(cid:174)(cid:143)(cid:181)(cid:134)(cid:143) TPXimpact provides its people more room to think and (cid:161)(cid:181)(cid:181)(cid:186)(cid:225)(cid:121)(cid:210)(cid:143)(cid:285)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:186)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329) change that matters most. TPXimpact is continuously recognised as an alternative to the heritage consultancies. Candidates are attracted by the opportunity to work on truly impactful digital transformational projects, whilst being (cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:121)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:197)(cid:214)(cid:210)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:284)(cid:329) • • 63 new roles created Key partner hires from central and local government and NHSX (cid:269)(cid:284)(cid:329)(cid:53)(cid:143)(cid:121)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:329) (cid:329) transformation provider TPXimpact exists to transform the organisations, services and systems that underpin society and that drive business success. We work closely with our clients by combining our deep understanding of people and behaviours with a philosophy of putting people and communities at the heart of every transformation. With c.72% of our client base representing the public services (cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:204)(cid:210)(cid:200)(cid:143)(cid:121)(cid:180)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329) protected in times of both economic recession and upswing, (cid:121)(cid:204)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:200)(cid:143)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:204)(cid:329) to come. • Marquee clients in the public services sector include: NHS, Homes England, Rural Payments Agency, Unicef UK. (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS 240 new hires TPXimpact Holdings Plc | 5 TPXimpact our story m o v i n g f r o m 10 Bu s i n e s s e s We’ve got a long history of delivering great results for our clients. t o o n e (cid:40)(cid:181)(cid:329)(cid:50)(cid:214)(cid:174)(cid:232)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:329)(cid:226)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:139)(cid:143)(cid:134)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329) (cid:186)(cid:214)(cid:200)(cid:329)(cid:264)(cid:263)(cid:329)(cid:210)(cid:200)(cid:121)(cid:181)(cid:204)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:210)(cid:186)(cid:329) meet the growing needs of organisations in (cid:181)(cid:143)(cid:226)(cid:329)(cid:226)(cid:121)(cid:232)(cid:204)(cid:284)(cid:329) The same people, providing the same world leading services, all united within TPXimpact. We provide full end-to-end digital transformation. If IT systems are holding our customers back, if their processes are getting in the way, or if they just think things could be better but not sure how — we can help. 6 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:65)(cid:214)(cid:200)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329)(cid:180)(cid:214)(cid:174)(cid:210)(cid:161)(cid:139)(cid:161)(cid:204)(cid:134)(cid:161)(cid:197)(cid:174)(cid:161)(cid:181)(cid:121)(cid:200)(cid:232)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:204) Experience Client Services Technology Delivery (cid:105)(cid:160)(cid:232)(cid:329)(cid:226)(cid:143)(cid:316)(cid:200)(cid:143)(cid:329)(cid:160)(cid:143)(cid:200)(cid:143) We drive fundamental change in approaches to product and service development, delivery and technology. Equipping our teams to deliver quickly and decisively through an approach we call Autonomy with Responsibility. (cid:39)(cid:186)(cid:226)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172) Our agile, multidisciplinary teams work in the open, focusing time and energy where it adds the most value, and challenging you to explore new perspectives. We’ll provide a dedicated team of lead consultants, strategists, creatives and technologists to deliver for your project. (cid:13)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:329)(cid:180)(cid:121)(cid:181)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210) (cid:1)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:139)(cid:121)(cid:197)(cid:210)(cid:329)(cid:308) allows teams to agree the highest priority items for a project and to reprioritise if needed. (cid:1)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:134)(cid:121)(cid:174)(cid:143)(cid:329)(cid:308)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:174)(cid:174)(cid:186)(cid:226)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329) to be scaled as and when necessary. (cid:1)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:308) effective communication and a joint project priority list allows for multiple teams to collaborate. (cid:23)(cid:225)(cid:186)(cid:174)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:200)(cid:186)(cid:139)(cid:214)(cid:134)(cid:210)(cid:329)(cid:308) working iteratively ensures the product evolves in line with user feedback and needs. (cid:23)(cid:121)(cid:204)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:160)(cid:121)(cid:181)(cid:139)(cid:186)(cid:225)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:143)(cid:204)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:308) working as part of the team throughout ensures a smooth handover at the end of the project. TPXimpact Holdings Plc | 7 TPXimpact our story continued (cid:65)(cid:214)(cid:200)(cid:329)(cid:200)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329)(cid:161)(cid:204)(cid:329)(cid:156)(cid:200)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156) As of today, our team is made up of over 600 permanent staff and associates, over 300 of whom are based in the UK. Like many organisations, we’ve taken on a hybrid approach, using regional hubs and remote working to ensure continuity of our services for our clients and allow our staff the (cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:160)(cid:186)(cid:186)(cid:204)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:200)(cid:161)(cid:156)(cid:160)(cid:210)(cid:329)(cid:143)(cid:181)(cid:225)(cid:161)(cid:200)(cid:186)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:284)(cid:329) We have nine regional hubs across London (South & East), (cid:59)(cid:121)(cid:181)(cid:134)(cid:160)(cid:143)(cid:204)(cid:210)(cid:143)(cid:200)(cid:285)(cid:329)(cid:14)(cid:121)(cid:181)(cid:210)(cid:143)(cid:200)(cid:133)(cid:214)(cid:200)(cid:232)(cid:285)(cid:329)(cid:13)(cid:200)(cid:161)(cid:204)(cid:210)(cid:186)(cid:174)(cid:285)(cid:329)(cid:14)(cid:121)(cid:200)(cid:139)(cid:161)(cid:155)(cid:155)(cid:285)(cid:329)(cid:53)(cid:143)(cid:143)(cid:139)(cid:204)(cid:285)(cid:329)(cid:14)(cid:160)(cid:143)(cid:204)(cid:210)(cid:143)(cid:200)(cid:258)(cid:143)(cid:174)(cid:139)(cid:329) and Edinburgh, as well as additional operations in the Nordics and Bulgaria. 300+ UK based 600+ permanent staff Hub location Local presence 9 regional hubs 8 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) STRATEGIC REPORT CORPORATE GOVERNANCE CORPORATE GOVERNANCE FINANCIAL STATEMENTS FINANCIAL STATEMENTS TPXimpact Holdings Plc | 9 TPXimpact Holdings Plc | 9 Our vision for 2023 and 2025 (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265)(cid:329)(cid:197)(cid:143)(cid:200)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:121)(cid:156)(cid:121)(cid:161)(cid:181)(cid:204)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) In 2020 we laid out our 9-step Commercial & Impact, which we wanted to achieve over the three years to FY2023. Last year we implemented a new set of goals, on the basis of the progress made to date against the 2023 Vision and with our continued strong organic growth alongside our pipeline of acquisition opportunities. We took the opportunity to introduce longer-term goals to March 2025. Below is a summary of our performance against these goals. (cid:1)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181) (cid:265)(cid:263)(cid:265)(cid:266)(cid:329)(cid:104)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) (cid:265)(cid:263)(cid:265)(cid:268)(cid:329)(cid:104)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) Progress Commercial 1 2 3 4 Organic revenue growth and to become a top 20 public sector supplier Produce 10% to 15% organic revenue growth per annum Top 20 public sector supplier by 2025 (cid:35)(cid:143)(cid:181)(cid:143)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329) reserves (cid:23)(cid:181)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:134)(cid:284)(cid:270)(cid:263)(cid:366)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:139)(cid:200)(cid:186)(cid:197)(cid:204)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329) (cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329)(cid:210)(cid:186)(cid:329)(cid:156)(cid:143)(cid:181)(cid:143)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:200)(cid:143)(cid:204)(cid:143)(cid:200)(cid:225)(cid:143)(cid:204) To deliver a progressive dividend policy To deliver a dividend policy of 15% to 20% of net income (cid:300)(cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:301) To make further earnings enhancing acquisitions To make £35m of acquisitions by 2023 To make £100m of acquisitions by 2025 5 To keep leverage low Leverage (net debt) below 1x Proforma* EBITDA 6 To increase our Revenue on a run rate basis Achieve a run rate revenue of £100m by March 2023 and deliver £12 - £14m EBITDA Achieve a run rate revenue of £200m (£150m public sector, £50m commercial) by March 2025 • • • • • • • • • • • • Like for like organic revenue growth of 16%** 72% Public Services revenue 95% Cash conversion £7.9m at bank*** Final Dividend £0.6p up 50% (FY2021: £0.4p) Aggregate Dividends of £0.9p (FY2021: £0.6p) Nudge Digital & RedCortex acquired in the period Peak Indicators and Swirrl acquired post period end Net debt as at 31st March 2022 of £10.1m. (cid:83)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:174)(cid:143)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:181)(cid:329) 1x Pro Forma EBITDA. Consensus analyst revenue expectations for FY23 £97.4m Consensus analyst EBITDA expectations of £13.7m 72% Public sector Revenue 28% Commercial sector revenue 10 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:1)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181) (cid:265)(cid:263)(cid:265)(cid:266)(cid:329)(cid:104)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) (cid:265)(cid:263)(cid:265)(cid:268)(cid:329)(cid:104)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) Progress 7 Close the gaps 8 Leave no trace 9 Equip our communities with futureproof skills Impact Close the gaps that exist in our business and wider industry. Decreasing pay gaps, representation gaps and gaps in inclusivity Measuring and offsetting our historic footprint entirely and to implement science-based reduction targets Equip our communities with futureproof skills. Kick-starting 1,000 digital careers Work towards halving the 21 gaps that we (cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329) representation, pay and inclusion for employees from underrepresented backgrounds To embed science-based reduction targets Kick-starting 1,000 digital careers by 2023 and to kick-start 5,000 digital careers, reaching 5,000 (cid:214)(cid:181)(cid:161)(cid:199)(cid:214)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329) through our community action and community investment programmes by 2025*** • We made progress against 29% of our gaps this year, and have now halved or closed 6/21**** • We have hired an in- house sustainability analyst to help create and deliver our Science Based Target Initiative plan. • 686 careers kick- started in FY2022***** • We have now kickstarted 1,288 careers to date. * ** Leverage (net debt over Pro Forma EBITDA) Pro Forma EBITDA relates to the adjusted EBITDA if all (cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:160)(cid:121)(cid:139)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:214)(cid:174)(cid:174)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:181)(cid:329)(cid:121)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329) basis. (cid:174)(cid:161)(cid:172)(cid:143)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:181)(cid:186)(cid:181)(cid:306)(cid:35)(cid:1)(cid:1)(cid:76)(cid:297)(cid:40)(cid:34)(cid:79)(cid:83)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:197)(cid:200)(cid:143)(cid:204)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:186)(cid:200)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:133)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:200)(cid:143)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:160)(cid:186)(cid:226)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) unaudited numbers of the existing and acquired businesses consolidated for the same number of (cid:180)(cid:186)(cid:181)(cid:210)(cid:160)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:161)(cid:181)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265)(cid:284)(cid:329)(cid:34)(cid:186)(cid:200)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264)(cid:285)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:181)(cid:134)(cid:186)(cid:200)(cid:197)(cid:186)(cid:200)(cid:121)(cid:210)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329)(cid:197)(cid:200)(cid:143)(cid:306)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329) (cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:1)(cid:200)(cid:210)(cid:160)(cid:214)(cid:200)(cid:174)(cid:232)(cid:285)(cid:329)(cid:19)(cid:161)(cid:155)(cid:200)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329)(cid:51)(cid:143)(cid:143)(cid:197)(cid:329)(cid:40)(cid:89)(cid:329)(cid:83)(cid:161)(cid:180)(cid:197)(cid:174)(cid:143)(cid:285)(cid:329)(cid:60)(cid:214)(cid:139)(cid:156)(cid:143)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231)(cid:329)(cid:53)(cid:161)(cid:180)(cid:161)(cid:210)(cid:143)(cid:139)(cid:329)(cid:121)(cid:204)(cid:329)(cid:161)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329) been included in the Group for the same amount of time as they have been in FY2022. *** (cid:14)(cid:121)(cid:204)(cid:160)(cid:329)(cid:134)(cid:186)(cid:181)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:161)(cid:204)(cid:329)(cid:134)(cid:121)(cid:174)(cid:134)(cid:214)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:200)(cid:143)(cid:155)(cid:143)(cid:200)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:139)(cid:143)(cid:139)(cid:214)(cid:134)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:186)(cid:204)(cid:210)(cid:204)(cid:329) relating to acquisitions and restructuring **** Based on YoY progress against 19 gaps across representation, pay and inclusivity ***** (cid:264)(cid:329)(cid:134)(cid:121)(cid:200)(cid:143)(cid:143)(cid:200)(cid:329)(cid:172)(cid:161)(cid:134)(cid:172)(cid:306)(cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:346)(cid:329)(cid:264)(cid:329)(cid:214)(cid:181)(cid:161)(cid:199)(cid:214)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:232)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329) (cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:204)(cid:329)(cid:226)(cid:160)(cid:186)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:143)(cid:139)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:121)(cid:210)(cid:329)(cid:174)(cid:143)(cid:121)(cid:204)(cid:210)(cid:329)(cid:264)(cid:329)(cid:160)(cid:186)(cid:214)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:200)(cid:121)(cid:161)(cid:181)(cid:161)(cid:181)(cid:156)(cid:284)(cid:329) TPXimpact Holdings Plc | 11 Our values Our founders set out to create a better way of doing business, putting people and the planet first. (cid:1)(cid:214)(cid:210)(cid:186)(cid:181)(cid:186)(cid:180)(cid:232) We trust our teams and empower them to make their own decisions. Our positive work environment supports personal and professional growth and respects work-life balance. (cid:79)(cid:143)(cid:204)(cid:197)(cid:186)(cid:181)(cid:204)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232) (cid:105)(cid:143)(cid:329)(cid:156)(cid:161)(cid:225)(cid:143)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:329) to thrive. We are conscious of the impact of our actions and are accountable to all our stakeholders. (cid:93)(cid:204)(cid:143)(cid:200)(cid:306)(cid:134)(cid:143)(cid:181)(cid:210)(cid:200)(cid:143)(cid:139) (cid:14)(cid:186)(cid:174)(cid:174)(cid:121)(cid:133)(cid:186)(cid:200)(cid:121)(cid:210)(cid:161)(cid:225)(cid:143) We use design approaches to put people at the heart of everything we do. Our constant focus on users ensures we always meet their needs and solve their problems. We work in partnership with our clients, listening and challenging to get better outcomes. Lasting impact Positive change, for the long term. We’ll share our skills and set your teams up for sustainable success. (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181) Our people donate hundreds of hours to community action each year, and we donate 1% of our time and (cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:160)(cid:121)(cid:200)(cid:161)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284) 12 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Our services (cid:65)(cid:214)(cid:200)(cid:329)(cid:180)(cid:214)(cid:174)(cid:210)(cid:161)(cid:139)(cid:161)(cid:204)(cid:134)(cid:161)(cid:197)(cid:174)(cid:161)(cid:181)(cid:121)(cid:200)(cid:232)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:204)(cid:329)(cid:214)(cid:204)(cid:143)(cid:329) (cid:210)(cid:143)(cid:134)(cid:160)(cid:181)(cid:186)(cid:174)(cid:186)(cid:156)(cid:232)(cid:285)(cid:329)(cid:214)(cid:204)(cid:143)(cid:200)(cid:306)(cid:134)(cid:143)(cid:181)(cid:210)(cid:200)(cid:143)(cid:139)(cid:329)(cid:139)(cid:143)(cid:204)(cid:161)(cid:156)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:133)(cid:143)(cid:210)(cid:210)(cid:143)(cid:200)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:204)(cid:285)(cid:329)(cid:161)(cid:180)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329) (cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:161)(cid:181)(cid:139)(cid:161)(cid:225)(cid:161)(cid:139)(cid:214)(cid:121)(cid:174)(cid:204)(cid:285)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:285)(cid:329) (cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:186)(cid:134)(cid:161)(cid:143)(cid:210)(cid:232)(cid:284)(cid:329) (cid:65)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:139)(cid:143)(cid:204)(cid:161)(cid:156)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143) We take a design-led approach to deliver sustainable and lasting transformation, helping you to become more customer centric, adaptive, and resilient. (cid:89)(cid:143)(cid:134)(cid:160)(cid:181)(cid:186)(cid:174)(cid:186)(cid:156)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:181)(cid:156)(cid:161)(cid:181)(cid:143)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156) We integrate strategy, design, and technology to create ambitious technology roadmaps for organisations operating at scale. (cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143) Our passionate teams of strategists, creatives and technologists design and deliver meaningful, contextual, customer-centred digital experiences, from web platforms through to native mobile apps. Enterprise applications We combine our industry knowledge, vendor agnostic partnership approach, and scaled agile delivery model with the technical power of the world’s leading enterprise platforms to deliver true transformation. Data and AI We help organisations harness the power of their data assets by creating the infrastructure, culture, and technology solutions required to discover new business opportunities and enable smarter decision making Managed services As a digitally native business, we provide the skills and experience needed to manage the full lifecycle of your services from targeted on-demand cloud engineering, to legacy transformation, and mission critical support of your cloud and on premise estate 24 hours a day, 7 days a week. TPXimpact Holdings Plc | 13 Expertise across all areas (cid:105)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:155)(cid:214)(cid:174)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172) Our vision is to deliver impactful, sustainable digital outcomes that make a positive difference to how individuals and (cid:204)(cid:186)(cid:134)(cid:161)(cid:143)(cid:210)(cid:232)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:174)(cid:139)(cid:284)(cid:329)(cid:65)(cid:225)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:204)(cid:210)(cid:329)(cid:264)(cid:267)(cid:342)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:204)(cid:329)(cid:226)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:143)(cid:139)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:160)(cid:214)(cid:181)(cid:139)(cid:200)(cid:143)(cid:139)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:285)(cid:329)(cid:210)(cid:160)(cid:161)(cid:200)(cid:139)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:186)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329) organisations to support and deliver complex products, projects and programmes. This includes work across a diverse range of clients and causes, from start ups to global organisations, with a focus on the following sectors: (cid:65)(cid:214)(cid:200)(cid:329)(cid:14)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204) 8% 6% 28% 58% (cid:607)(cid:4810) (cid:597)(cid:4043) 35% 19% 17% 9% 4% 4% 5% 7% (cid:83)(cid:23)(cid:14)(cid:89)(cid:65)(cid:79)(cid:83) Commercial Government NGO Charities, Trusts & Foundations (cid:83)(cid:93)(cid:13)(cid:329)(cid:83)(cid:23)(cid:14)(cid:89)(cid:65)(cid:79)(cid:83) Central Gov Local Gov Health Tech Media Consulting Education and skills Other 14 | (cid:905) (cid:2604) (cid:463) (cid:1538) (cid:3525) (cid:3389) (cid:3115) (cid:3068) (cid:879) (cid:463) (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS Case Study: Pushing digital boundaries at Welsh Ambulance Services NHS Trust Service Enterprise applications Sector Health Client Welsh Ambulance Services NHS Trust (cid:313)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:133)(cid:143)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329)(cid:121)(cid:181)(cid:329)(cid:143)(cid:204)(cid:204)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:329) to WAST as we continue pushing digital (cid:133)(cid:186)(cid:214)(cid:181)(cid:139)(cid:121)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:200)(cid:143)(cid:121)(cid:174)(cid:329)(cid:161)(cid:180)(cid:197)(cid:200)(cid:186)(cid:225)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329) (cid:210)(cid:186)(cid:329)(cid:197)(cid:121)(cid:210)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:232)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:329) (cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:200)(cid:143)(cid:204)(cid:186)(cid:214)(cid:200)(cid:134)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:174)(cid:161)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:121)(cid:139)(cid:225)(cid:161)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329) (cid:214)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:200)(cid:186)(cid:121)(cid:139)(cid:180)(cid:121)(cid:197)(cid:329)(cid:155)(cid:186)(cid:200)(cid:226)(cid:121)(cid:200)(cid:139)(cid:284)(cid:314) Jason Killens (cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:285)(cid:329)(cid:105)(cid:143)(cid:174)(cid:204)(cid:160)(cid:329)(cid:1)(cid:180)(cid:133)(cid:214)(cid:174)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:83)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:60)(cid:39)(cid:83)(cid:329)(cid:89)(cid:200)(cid:214)(cid:204)(cid:210) Challenge The Welsh Ambulance Services NHS Trust (WAST) is one of the most clinically advanced ambulance services in the world, providing patients with high quality care. WAST serves more than three million people in Wales, across a broad and diverse geography of urban, rural and coastal landscapes. WAST’s call handlers and clinical contact centre staff deal with more than half a million calls, 24 hours a day and 365 days a year. Staff attend more than 300,000 urgent and emergency calls per year. Flexible, digital systems capable of operating at scale are therefore essential. Digitally advanced, WAST is one of several boards at the (cid:155)(cid:186)(cid:200)(cid:143)(cid:155)(cid:200)(cid:186)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:60)(cid:39)(cid:83)(cid:329)(cid:105)(cid:121)(cid:174)(cid:143)(cid:204)(cid:329)(cid:59)(cid:161)(cid:134)(cid:200)(cid:186)(cid:204)(cid:186)(cid:155)(cid:210)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:266)(cid:269)(cid:268)(cid:329)(cid:200)(cid:186)(cid:174)(cid:174)(cid:186)(cid:214)(cid:210)(cid:284)(cid:329) However, while there was a desire for a swift adoption of the 365 service, WAST recognised the need for specialist support in their internal modernisation and transformation programmes. Solution TPXimpact supported the WAST technical team with programme and project management, system design and development, change management, training, and test and release resource across a range of new technical initiatives. (cid:40)(cid:181)(cid:329)(cid:121)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:186)(cid:174)(cid:174)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:214)(cid:210)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:266)(cid:269)(cid:268)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:143)(cid:139)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) digital team in WAST to produce emergency vehicle status reports in Microsoft’s Power BI data visualisation software. Insights from these real time reports are used to deliver improvements to frontline services and have made a real difference to how operations are closely managed by WAST and associated local Health Boards Impact As part of this work, we also supported WAST in their agenda to assist users in working on a device of their preference, and from a location of their choice. We helped WAST move to Microsoft InTune as a mobile device platform, which has integrated application and device security built in. (cid:1)(cid:174)(cid:186)(cid:181)(cid:156)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:210)(cid:121)(cid:155)(cid:155)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:156)(cid:200)(cid:143)(cid:121)(cid:210)(cid:143)(cid:200)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329) also enabled the organisation to decommission existing (cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:180)(cid:186)(cid:225)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:181)(cid:156)(cid:174)(cid:143)(cid:329)(cid:214)(cid:181)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:59)(cid:161)(cid:134)(cid:200)(cid:186)(cid:204)(cid:186)(cid:155)(cid:210)(cid:329) platform, saving licensing costs and streamlining operations. We’re honoured to partner with WAST and continue to support the organisation in its digital journey. TPXimpact Holdings Plc | 15 Case Study: Introducing agile ways of working to UNICEF UK Service Digital experience Sector (cid:60)(cid:186)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210) Duration 14 weeks Client UNICEF UK (cid:313)(cid:40)(cid:210)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:121)(cid:181)(cid:329)(cid:121)(cid:133)(cid:204)(cid:186)(cid:174)(cid:214)(cid:210)(cid:143)(cid:329)(cid:197)(cid:174)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329) (cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:200)(cid:143)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:134)(cid:160)(cid:121)(cid:174)(cid:174)(cid:143)(cid:181)(cid:156)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:204)(cid:210)(cid:200)(cid:143)(cid:210)(cid:134)(cid:160)(cid:143)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:210)(cid:160)(cid:161)(cid:181)(cid:172)(cid:161)(cid:181)(cid:156)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:226)(cid:121)(cid:181)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329) (cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:161)(cid:134)(cid:161)(cid:197)(cid:121)(cid:181)(cid:210)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:139)(cid:143)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:226)(cid:121)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:285)(cid:329)(cid:200)(cid:121)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:121)(cid:181)(cid:329) (cid:161)(cid:210)(cid:329)(cid:133)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:313)(cid:139)(cid:186)(cid:181)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:314)(cid:284)(cid:329)(cid:89)(cid:160)(cid:121)(cid:181)(cid:172)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329) (cid:40)(cid:329)(cid:133)(cid:143)(cid:174)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329)(cid:226)(cid:143)(cid:329)(cid:181)(cid:121)(cid:161)(cid:174)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:174)(cid:329)(cid:210)(cid:160)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:121)(cid:232)(cid:329) (cid:161)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:121)(cid:329)(cid:200)(cid:143)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:181)(cid:161)(cid:134)(cid:143)(cid:329)(cid:133)(cid:214)(cid:181)(cid:134)(cid:160)(cid:329)(cid:186)(cid:155)(cid:329) (cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:284)(cid:314) (cid:59)(cid:161)(cid:172)(cid:143)(cid:329)(cid:34)(cid:174)(cid:232)(cid:181)(cid:181) (cid:19)(cid:143)(cid:197)(cid:214)(cid:210)(cid:232)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:306)(cid:329)(cid:76)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329)(cid:329) (cid:329) UNICEF UK Challenge UNICEF UK works with families, local communities, organisations and governments to protect and support children. Although the charity was successfully raising money, their yearly income and contribution rates weren’t increasing in line with their expectations or organisational requirements. To tackle this, they undertook an organisation wide restructure to help manage their cost to income ratio, drive (cid:133)(cid:143)(cid:210)(cid:210)(cid:143)(cid:200)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:121)(cid:139)(cid:232)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:204)(cid:143)(cid:174)(cid:225)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:155)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329) ambitions. As part of this, a newly formed Public Engagement team was created to bring together brand, communications, marketing and individual fundraising. Together, they would harness their public facing activity to create better integration and set themselves up for future growth plans. UNICEF UK partnered with TPXimpact to help co-create and design new ways of leading, planning and delivering work in the newly formed Public Engagement team. This work would help them collaborate effectively and make sure their efforts and resources were directed in the right place. Solution We began with a Discovery phase which looked at UNICEF UK’s values and principles, and their existing approaches across planning, governance, and project delivery. This helped us to identify factors limiting the team’s ability to adopt new strategies, show us where we needed to (cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:143)(cid:155)(cid:155)(cid:186)(cid:200)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:143)(cid:329)(cid:121)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:139)(cid:329)(cid:121)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329) Executive Leadership team. By holding regular meetings and design sessions with the Public Engagement team, we co-created their new strategic framework, setting out the team’s priorities and direction. We were able to augment this with additional sessions with the Executive team, wider surveys and one to one interviews with other senior stakeholders to really pinpoint UNICEF UK’s ambitions for the future and build out the structure and processes needed to get there. We have been able to test these new initiatives in a number (cid:186)(cid:155)(cid:329)(cid:226)(cid:121)(cid:232)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:155)(cid:214)(cid:200)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:143)(cid:180)(cid:133)(cid:143)(cid:139)(cid:285)(cid:329)(cid:143)(cid:225)(cid:186)(cid:174)(cid:225)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:258)(cid:181)(cid:143)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:226)(cid:121)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329) planning and working within Public Engagement. Impact The strategic framework we built with the Public Engagement team gave them a roadmap to build a relevant, innovative and compelling audience experience. The new agile ways of working mean the team can prioritise outcomes and respond more quickly to changing audience and environmental demands. This audience led approach (cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:172)(cid:143)(cid:143)(cid:197)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:285)(cid:329)(cid:143)(cid:155)(cid:155)(cid:143)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329) generating better results. Understanding the role of effective governance and leadership will also help the team (cid:210)(cid:186)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:143)(cid:180)(cid:197)(cid:186)(cid:226)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329) more effectively. Thanks to our partnership, the Public Engagement team (cid:161)(cid:204)(cid:329)(cid:143)(cid:199)(cid:214)(cid:161)(cid:197)(cid:197)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:155)(cid:214)(cid:174)(cid:258)(cid:174)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:197)(cid:214)(cid:200)(cid:197)(cid:186)(cid:204)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:161)(cid:181)(cid:204)(cid:197)(cid:161)(cid:200)(cid:143)(cid:285)(cid:329)(cid:134)(cid:186)(cid:181)(cid:181)(cid:143)(cid:134)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) empower the UK public to take action and deliver lasting (cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:180)(cid:121)(cid:172)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:174)(cid:139)(cid:329)(cid:258)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:143)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:134)(cid:160)(cid:161)(cid:174)(cid:139)(cid:284) In addition to working with this team, we’ve been able to (cid:214)(cid:204)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:329)(cid:258)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:155)(cid:232)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:186)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329) to scale this way of planning and working across the wider organisation. This will help UNICEF UK to work more (cid:143)(cid:155)(cid:155)(cid:143)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:174)(cid:232)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:155)(cid:214)(cid:174)(cid:258)(cid:174)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:121)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329) responsive as an organisation. 16 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Our new business model (cid:53)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:139)(cid:143)(cid:134)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329) to incorporate all of our operating (cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:143)(cid:204)(cid:329)(cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:181)(cid:156)(cid:174)(cid:143)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:156)(cid:200)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329) (cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:309)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:284)(cid:329)(cid:13)(cid:232)(cid:329)(cid:133)(cid:200)(cid:161)(cid:181)(cid:156)(cid:161)(cid:181)(cid:156)(cid:329) (cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:210)(cid:161)(cid:204)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) (cid:139)(cid:161)(cid:155)(cid:155)(cid:143)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:161)(cid:143)(cid:204)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329) (cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:329)(cid:121)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:204)(cid:161)(cid:180)(cid:197)(cid:174)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329) (cid:180)(cid:186)(cid:139)(cid:143)(cid:174)(cid:284)(cid:329)(cid:19)(cid:143)(cid:204)(cid:161)(cid:156)(cid:181)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:329) (cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:181)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329)(cid:226)(cid:121)(cid:232)(cid:285)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:186)(cid:214)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) (cid:200)(cid:143)(cid:139)(cid:329)(cid:210)(cid:121)(cid:197)(cid:143)(cid:285)(cid:329)(cid:133)(cid:214)(cid:200)(cid:143)(cid:121)(cid:214)(cid:134)(cid:200)(cid:121)(cid:134)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:121)(cid:197)(cid:197)(cid:200)(cid:186)(cid:225)(cid:121)(cid:174)(cid:329) (cid:156)(cid:121)(cid:210)(cid:143)(cid:226)(cid:121)(cid:232)(cid:204)(cid:329)(cid:204)(cid:143)(cid:143)(cid:181)(cid:329)(cid:121)(cid:210)(cid:329)(cid:180)(cid:121)(cid:181)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:160)(cid:143)(cid:200)(cid:161)(cid:210)(cid:121)(cid:156)(cid:143)(cid:329) (cid:134)(cid:186)(cid:181)(cid:204)(cid:214)(cid:174)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:258)(cid:200)(cid:180)(cid:204)(cid:284)(cid:329)(cid:40)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329) (cid:180)(cid:186)(cid:139)(cid:143)(cid:174)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329) (cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:225)(cid:143)(cid:329)(cid:139)(cid:161)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:226)(cid:186)(cid:329)(cid:180)(cid:121)(cid:161)(cid:181)(cid:329) (cid:186)(cid:181)(cid:143)(cid:204)(cid:329)(cid:133)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:14)(cid:186)(cid:181)(cid:204)(cid:214)(cid:174)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329) (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:300)(cid:19)(cid:110)(cid:301)(cid:329)(cid:139)(cid:161)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329) (cid:139)(cid:161)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:121)(cid:329)(cid:204)(cid:180)(cid:121)(cid:174)(cid:174)(cid:329) (cid:181)(cid:214)(cid:180)(cid:133)(cid:143)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:139)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:143)(cid:181)(cid:121)(cid:133)(cid:174)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329) (cid:210)(cid:143)(cid:121)(cid:180)(cid:204)(cid:284) Consulting Author: Matt Skinner, MD Consulting Introduction The Consulting Division brings together more than 170 employees from the previous FutureGov, Foundry4 and Difrent agencies. Combining their technology, service design, change and community organising skills, they help clients solve complex challenges and digitally transform their organisations. Working as part of multidisciplinary teams and partnering with clients, they take a design-led, agile approach to developing and implementing solutions that meet client needs. Solutions might take the form of new digital technologies, new ways of working, new operating models and structures, totally new services and client experiences or any combination of these. We are creative, entrepreneurial and user-led in our work. We advocate for end-users, ensuring that what we design and build improves the lived experience for staff and end-users. To ensure our work is sustainable, we support open source technologies and embed skills and knowledge transfer in our approach. We are deeply passionate about the impact of our work on the communities, people and planet and measure this in many ways. Consulting remit Most of our consulting clients are in the public and health sectors. We’ve worked with hundreds of clients in central, local and regional government, the NHS, and associated bodies. However, we also have a growing client base in commercial sectors, most notably in utilities. Many of our employees have a background in health and the public sector. They bring their deep expertise, knowledge and relationships to our work. They care about outcomes and are committed to improving service delivery for users and citizens. TPXimpact Holdings Plc | 17 Our new business model continued Our teams are all experienced in the Government Service standards and are dedicated to making public services more accessible to citizens. We have several long-term 3yr+ partnerships with public sector organisations supporting wholesale transformation and redesign of their technology, organisational structure and services. We also have several technology partnerships, including with the leading Cloud services providers Microsoft and Amazon. These partnerships allow us to leverage the best of these platforms to help our clients create products and digital (cid:143)(cid:181)(cid:225)(cid:161)(cid:200)(cid:186)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:258)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:265)(cid:264)(cid:204)(cid:210)(cid:329)(cid:134)(cid:143)(cid:181)(cid:210)(cid:214)(cid:200)(cid:232)(cid:284) (cid:39)(cid:161)(cid:156)(cid:160)(cid:174)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200) This year we have come together as TPXimpact, which has helped clients to access even deeper capabilities and knowledge. In the consulting division, we’ve been able to help clients with much broader end-to-end digital transformation in their organisations. For example, we’ve assisted Hackney Council in transforming end-to-end housing services for staff and residents. This work has involved quickly forming several multidisciplinary teams across technology, design and product leadership to work alongside in-house digital teams. As TPXImpact, we’ve also partnered more seamlessly with the Digital Experience (DX) division to combine our skills and knowledge to help clients. For example, in local government, we were delighted to help Northamptonshire West and Northamptonshire North to launch their new website following unitisation. This project combined consultancies’ strengths in service design, product ownership and technology strategy with the DX division’s credibility in Drupal(open-source web content management system), having the most extensive (cid:134)(cid:143)(cid:200)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:200)(cid:232)(cid:284) Bringing together the former organisations within consulting has also allowed us to make more strategic commitments. For example, we’ve launched an engineering academy helping us to recruit and progress diverse talent from seldom heard groups into the organisation. We are also in the process of planning a similar academy for our design team. We’ve also been delighted in the growth of our work in central government and health. We have long-term relationships with departments including the DFE, DLUHC, HMLR, HMRC, NHSx, NHSBSA and NHSBT. We are deploying specialist teams to help with everything from user research to user-centred design to product design, complex service and organisation redesign. 18 | (cid:65)(cid:214)(cid:210)(cid:174)(cid:186)(cid:186)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:160)(cid:143)(cid:121)(cid:139) In the year ahead, we are looking to help our clients solve (cid:143)(cid:225)(cid:143)(cid:181)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:160)(cid:121)(cid:174)(cid:174)(cid:143)(cid:181)(cid:156)(cid:143)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) communities. We are thrilled to be adding new data skills and knowledge to our capabilities as Swirrl, and Peak Indicators join the consulting division. These new capabilities will allow us to (cid:186)(cid:155)(cid:155)(cid:143)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:143)(cid:181)(cid:160)(cid:121)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:204)(cid:186)(cid:174)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284) As one of the largest in-house nationwide design teams with (cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329) help our clients take bold and challenging moves to improve services for users. This year we will continue to grow our technology team, remaining technology agnostic and agile in our approach - providing clients with even greater access to technology experts who can help them implement 21st century digital tools and techniques. As a purpose-driven team, we’ll continue focusing on making an impact through our work. We’ll be targeting winning work where we can help clients make a real difference in addressing the climate emergency. We’ll also continue to work in the open, sharing our outputs and what we are learning so others can (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:284) Digital Experience (DX) Author: Rebecca Hull, MD Digital Experience (DX) The heritage of the Digital Experience division of TPXimpact goes back as far as 2001. Coming together as more than 120 employees from three agency businesses (Deeson, Manifesto and Nudge), we share a common passion for digital and for making a difference through our work. Our purpose, our reason for being, is apparent; we believe that all organisations have a responsibility to be a force for good in the world. Continually building on a wealth of excellent skills, knowledge, culture and decades of history, we exist to create a legacy we can feel proud of, to enable better outcomes for people, the planet and the communities we serve. Our vision is to harness the best of our creative and technology capability and our values to shape a better business and industry, to (cid:180)(cid:121)(cid:172)(cid:143)(cid:329)(cid:121)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:133)(cid:232)(cid:329)(cid:134)(cid:200)(cid:143)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:214)(cid:204)(cid:210)(cid:121)(cid:161)(cid:181)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329) experiences that people use daily. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS We build digital solutions and experiences to make people’s lives easier, better, and fairer. We support the transformation of organisations by caring about what they do, sharing how we work and pushing ourselves and our industry forward. We build long-term partnerships with our clients, resulting in expertly crafted solutions that create a true and measurable impact. DX remit (cid:65)(cid:214)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:180)(cid:121)(cid:200)(cid:161)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:285)(cid:329)(cid:160)(cid:161)(cid:156)(cid:160)(cid:143)(cid:200)(cid:329)(cid:143)(cid:139)(cid:214)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329) culture, ‘visit’, healthcare, commercial and public affairs sectors. We work with many leading charities, including 13 of YouGov’s top recognised charity brands. Long-term client relationships characterise our client roster; typically, we act as trusted digital partners, working with clients at pace and scale to understand their audience and business needs and requirements for their digital futures. The division’s work for clients focuses on supporting organisational change, digital experience delivery and technology transformation. Services provided include design and prototyping, customer engagement and acquisition, motion and immersive content, research, user experience and technology strategy. Bringing together the technology teams from the three companies means we can deliver a broad technology portfolio spanning content and experience management, system integration and bespoke development alongside marketing automation and personalisation. (cid:39)(cid:161)(cid:156)(cid:160)(cid:174)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200) (cid:40)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:186)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:76)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:13)(cid:200)(cid:143)(cid:121)(cid:204)(cid:210)(cid:329)(cid:14)(cid:121)(cid:181)(cid:134)(cid:143)(cid:200)(cid:329) continues to go from strength to strength. We are working to help unify their digital ecosystem to support their strategy that by 2050, everyone diagnosed lives and is supported to live well. This is a huge programme of change which straddles the entire organisation and our role is to help bring it all together to deliver maximum impact. Our programme team have recently started the foundations of the digital build and there is growing excitement of what’s to come next. (cid:39)(cid:161)(cid:156)(cid:160)(cid:143)(cid:200)(cid:329)(cid:23)(cid:139)(cid:214)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:306)(cid:329)(cid:105)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:258)(cid:200)(cid:180)(cid:174)(cid:232)(cid:329)(cid:143)(cid:204)(cid:210)(cid:121)(cid:133)(cid:174)(cid:161)(cid:204)(cid:160)(cid:329) ourselves as trusted advisors within the Higher Education sector. With the University of Edinburgh, we’ve completed year (cid:264)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:329)(cid:269)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:204)(cid:143)(cid:143)(cid:181)(cid:329)(cid:214)(cid:204)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:204)(cid:210)(cid:121)(cid:133)(cid:174)(cid:161)(cid:204)(cid:160)(cid:329) a complete overhaul of their sprawling digital estate. With Kingston University we have outlined a 3 year roadmap to reimagine how they engage and recruit students through the website. We have continued to strengthen our foothold in the culture and visitor attraction sector. This year we started working with major clients in the industry, including the Royal Academy of Arts, and the British Library. We also kicked off an exciting project for the Zoological Society of London (ZSL), which has been our client for a few years, and is both a major visitor attraction, and an international conservation science charity. The ZSL website is a key digital focal point for the organisation. We are currently in the process of rebuilding the website ecosystem of ZSL, to give a digital home to the two zoos which are part of ZSL (ZSL London and ZSL Whipsnade Zoos), demonstrate the impact of its science conservation work, and ultimately showcase its vision: “a world where wildlife thrives”. We have been proud to partner with UNICEF UK, following an organisational wide restructure, we worked together to co- create and design new ways of leading, planning and delivering work in the newly formed Public Engagement directorate. This work is helping them collaborate effectively as a new team and making sure their efforts and resources are directed in the right place. In the health sector, we continued our partnership with Health Education England and began a new one with NHS Digital. For both of these clients we are augmenting their in house delivery and support capabilities by providing specialist digital and (cid:210)(cid:143)(cid:134)(cid:160)(cid:181)(cid:186)(cid:174)(cid:186)(cid:156)(cid:232)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:210)(cid:161)(cid:204)(cid:143)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:329)(cid:121)(cid:204)(cid:204)(cid:161)(cid:204)(cid:210)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) Bloomreach content management system. (cid:65)(cid:214)(cid:210)(cid:174)(cid:186)(cid:186)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:160)(cid:143)(cid:121)(cid:139) During the next year we intend to build upon the division’s momentum to evolve into the next level of Digital Agency, creating a pathway that allows us to explore new opportunities in DX and as well as new sectors, focused on delivering exciting and sustainable digital outcomes. As always we will be focused on further enhancing the customer experience work we do for our clients, ascending the value chain by combining deeper strategic expertise with our native digital approach. We will continue to align with (cid:121)(cid:181)(cid:121)(cid:174)(cid:232)(cid:204)(cid:210)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:133)(cid:143)(cid:204)(cid:210)(cid:329)(cid:197)(cid:200)(cid:121)(cid:134)(cid:210)(cid:161)(cid:134)(cid:143)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:134)(cid:214)(cid:204)(cid:210)(cid:186)(cid:180)(cid:143)(cid:200)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329) management drawing upon services from across TPXimpact to deliver integrated technologies that support composition, management, delivery and optimisation of contextualised digital experiences. This will help differentiate the TPXimpact experience offer against its competitors in the traditional DX landscape. TPXimpact Holdings Plc | 19 Market overview The UK Software and IT Services Industry (cid:89)(cid:160)(cid:143)(cid:329)(cid:93)(cid:51)(cid:329)(cid:83)(cid:186)(cid:155)(cid:210)(cid:226)(cid:121)(cid:200)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:40)(cid:89)(cid:329)(cid:83)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:300)(cid:83)(cid:40)(cid:89)(cid:83)(cid:301)(cid:329) (cid:161)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:204)(cid:210)(cid:200)(cid:186)(cid:181)(cid:156)(cid:174)(cid:232)(cid:329) (cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:143)(cid:155)(cid:155)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:14)(cid:186)(cid:225)(cid:161)(cid:139)(cid:306)(cid:264)(cid:272)(cid:285)(cid:329) with spending on digital services (cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:309)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:161)(cid:134)(cid:214)(cid:174)(cid:121)(cid:200)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:329)(cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:14)(cid:143)(cid:181)(cid:210)(cid:200)(cid:121)(cid:174)(cid:329)(cid:35)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:284)(cid:329)(cid:89)(cid:160)(cid:121)(cid:210)(cid:329)(cid:204)(cid:121)(cid:161)(cid:139)(cid:285)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329) (cid:210)(cid:160)(cid:143)(cid:329)(cid:214)(cid:200)(cid:156)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:181)(cid:139)(cid:143)(cid:180)(cid:161)(cid:134)(cid:329)(cid:133)(cid:143)(cid:160)(cid:161)(cid:181)(cid:139)(cid:329)(cid:214)(cid:204)(cid:285)(cid:329) organisations are moving from tactical (cid:204)(cid:197)(cid:143)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:161)(cid:134)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329)(cid:121)(cid:204)(cid:329) (cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:143)(cid:180)(cid:133)(cid:143)(cid:139)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:200)(cid:186)(cid:121)(cid:134)(cid:160)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) (cid:174)(cid:186)(cid:181)(cid:156)(cid:329)(cid:210)(cid:143)(cid:200)(cid:180)(cid:284) (cid:89)(cid:160)(cid:143)(cid:329)(cid:226)(cid:121)(cid:200)(cid:329)(cid:161)(cid:181)(cid:329)(cid:93)(cid:172)(cid:200)(cid:121)(cid:161)(cid:181)(cid:143)(cid:329)(cid:134)(cid:121)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:214)(cid:181)(cid:134)(cid:143)(cid:200)(cid:210)(cid:121)(cid:161)(cid:181)(cid:210)(cid:232)(cid:329) (cid:155)(cid:186)(cid:200)(cid:329)(cid:180)(cid:121)(cid:181)(cid:232)(cid:329)(cid:83)(cid:186)(cid:155)(cid:210)(cid:226)(cid:121)(cid:200)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:40)(cid:89)(cid:329)(cid:83)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329) (cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:200)(cid:204)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:160)(cid:186)(cid:226)(cid:143)(cid:225)(cid:143)(cid:200)(cid:285)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:174)(cid:186)(cid:226)(cid:306) (cid:200)(cid:161)(cid:204)(cid:172)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:232)(cid:329)(cid:134)(cid:160)(cid:121)(cid:161)(cid:181)(cid:329)(cid:143)(cid:181)(cid:204)(cid:214)(cid:200)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:160)(cid:121)(cid:139)(cid:329) (cid:180)(cid:161)(cid:181)(cid:161)(cid:180)(cid:121)(cid:174)(cid:329)(cid:143)(cid:155)(cid:155)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284)(cid:329) (cid:65)(cid:214)(cid:200)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329)(cid:161)(cid:181)(cid:329)(cid:13)(cid:214)(cid:174)(cid:156)(cid:121)(cid:200)(cid:161)(cid:121)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329) (cid:210)(cid:186)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:329)(cid:93)(cid:172)(cid:200)(cid:121)(cid:161)(cid:181)(cid:161)(cid:121)(cid:181)(cid:329)(cid:200)(cid:143)(cid:155)(cid:214)(cid:156)(cid:143)(cid:143)(cid:204)(cid:285)(cid:329)(cid:200)(cid:214)(cid:181)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329) donation campaigns and relocating (cid:155)(cid:121)(cid:180)(cid:161)(cid:174)(cid:161)(cid:143)(cid:204)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:214)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329) (cid:210)(cid:160)(cid:143)(cid:180)(cid:329)(cid:139)(cid:214)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:284) Spotlight on our sectors (cid:14)(cid:143)(cid:181)(cid:210)(cid:200)(cid:121)(cid:174)(cid:329)(cid:35)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:306)(cid:329)(cid:39)(cid:186)(cid:174)(cid:174)(cid:232)(cid:329)(cid:39)(cid:121)(cid:174)(cid:174)(cid:329)(cid:39)(cid:121)(cid:200)(cid:143)(cid:306) (cid:83)(cid:134)(cid:186)(cid:210)(cid:210)(cid:285)(cid:329)(cid:76)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:329)(cid:309)(cid:329)(cid:14)(cid:143)(cid:181)(cid:210)(cid:200)(cid:121)(cid:174)(cid:329)(cid:35)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210) The effects of Covid-19 in FY21/22 further exacerbated the need for innovative and disruptive technologies to transform internal and external Civil Service processes, as well as the way the government interacts with UK citizens. This digital technology revolution is creating the greatest reform in governmental ways of working for generations. Policymakers are heavily focused on how data can drive (cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:156)(cid:121)(cid:161)(cid:181)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:161)(cid:181)(cid:204)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:285)(cid:329)(cid:180)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:226)(cid:121)(cid:232)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:174)(cid:143)(cid:156)(cid:121)(cid:134)(cid:232)(cid:329) systems and historic manual ways of working to something new. Merging the traditional ways of working for policymakers within the civil service towards an agile, data-centric movement is a steep learning curve, but one that is being readily accepted by the government. “User experience” in particular is a key buzzword — with every department wanting to create user- centric processes. We’ve seen this in our work with several organisations this year, including the Department for Education (DfE) which wanted to improve the way teachers access information to encourage and retain talent. It’s widely understood that UK citizens expect government services to be as polished as those in the private sector, something that is being championed by the Parliamentary (cid:83)(cid:143)(cid:134)(cid:200)(cid:143)(cid:210)(cid:121)(cid:200)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:14)(cid:121)(cid:133)(cid:161)(cid:181)(cid:143)(cid:210)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:285)(cid:329)(cid:39)(cid:143)(cid:121)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:105)(cid:160)(cid:143)(cid:143)(cid:174)(cid:143)(cid:200)(cid:329)(cid:59)(cid:76)(cid:285)(cid:329)(cid:226)(cid:160)(cid:186)(cid:329) has responsibility for digital governance and a desire to deliver world-class digital solutions for the UK civil service. Looking ahead, the introduction of the 2022 to 2025 Roadmap for Digital and Data sets out an ambitious transformation of digital public services. This roadmap sets a path for widespread digital adoption to enable the Civil Service to offer value to the taxpayer through smarter ways of working, delivering a better service and championing the UK as a leader in digital transformation. 20 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:53)(cid:186)(cid:134)(cid:121)(cid:174)(cid:329)(cid:35)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:306)(cid:329)(cid:50)(cid:143)(cid:181)(cid:329)(cid:13)(cid:232)(cid:200)(cid:181)(cid:143)(cid:329)(cid:306)(cid:329)(cid:14)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329) Service Director It’s been another challenging year for local government. The complexity of need that organisations deal with, and the systemic partnership approach required to tackle it, are not matched by the budgets available. The sector is still recovering (cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:160)(cid:186)(cid:134)(cid:172)(cid:329)(cid:186)(cid:155)(cid:329)(cid:14)(cid:186)(cid:225)(cid:161)(cid:139)(cid:306)(cid:264)(cid:272)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:180)(cid:186)(cid:204)(cid:210)(cid:329)(cid:200)(cid:143)(cid:134)(cid:143)(cid:181)(cid:210)(cid:329) funding settlement from central government has again only (cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:139)(cid:329)(cid:134)(cid:143)(cid:200)(cid:210)(cid:121)(cid:161)(cid:181)(cid:210)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:186)(cid:174)(cid:174)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284)(cid:329) This has done nothing to dampen the appetite for innovation (cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:285)(cid:329)(cid:160)(cid:186)(cid:226)(cid:143)(cid:225)(cid:143)(cid:200)(cid:285)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329) (cid:210)(cid:121)(cid:172)(cid:143)(cid:329)(cid:197)(cid:174)(cid:121)(cid:134)(cid:143)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:121)(cid:329)(cid:200)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:258)(cid:143)(cid:174)(cid:139)(cid:204)(cid:284)(cid:329)(cid:65)(cid:181)(cid:329)(cid:264)(cid:329)(cid:50)(cid:214)(cid:174)(cid:232)(cid:329)(cid:265)(cid:263)(cid:265)(cid:265)(cid:285)(cid:329)(cid:267)(cid:265)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:156)(cid:200)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329) care systems were established across England. This marks a (cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:156)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:155)(cid:214)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329) at a local level. Through working closely with NHS colleagues, upper-tier local authorities will play a key role in shaping the future of health and care at a local level. Through our work with North East Lincolnshire and Buckinghamshire, we have seen (cid:258)(cid:200)(cid:204)(cid:210)(cid:306)(cid:160)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:186)(cid:226)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:197)(cid:186)(cid:210)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:210)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:121)(cid:200)(cid:200)(cid:121)(cid:181)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329) could have to improve outcomes for residents. There is also a continued focus on devolution. County deals were announced earlier this year that gives nine local areas the opportunity to set up Mayoral Combined authorities that are similar to those in Greater Manchester and the West Midlands. There is a real appetite for this change at a local level, but this is balanced out by a realisation that it means changes to ways of working, partnerships, governance and place leadership which will need working through. Finally, the Levelling Up Bill brings forward changes that will touch on everything from community infrastructure, planning, and regeneration to climate and net zero. (cid:34)(cid:200)(cid:186)(cid:180)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:89)(cid:186)(cid:226)(cid:181)(cid:204)(cid:329)(cid:34)(cid:214)(cid:181)(cid:139)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:204)(cid:143)(cid:143)(cid:181)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:160)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) appetite to drive economic opportunity and improved services at a local level, and we expect there to be a continued focus on this over the coming year. (cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:121)(cid:200)(cid:143)(cid:329)(cid:306)(cid:329)(cid:40)(cid:121)(cid:161)(cid:181)(cid:329)(cid:65)(cid:316)(cid:60)(cid:143)(cid:161)(cid:174)(cid:285)(cid:329)(cid:59)(cid:121)(cid:181)(cid:121)(cid:156)(cid:161)(cid:181)(cid:156)(cid:329) (cid:76)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:329)(cid:306)(cid:329)(cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160) (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:186)(cid:133)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:174)(cid:232)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:121)(cid:181)(cid:186)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:139)(cid:161)(cid:155)(cid:258)(cid:134)(cid:214)(cid:174)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:329) and Care sector as it comes to terms with the effects of Covid on increased demand and the impact of Brexit and Covid on falling staff numbers. All of this only increases the need for the NHS and care providers to be able to unlock the power of digital transformation. (cid:89)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:204)(cid:186)(cid:180)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:180)(cid:186)(cid:225)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:121)(cid:181)(cid:139)(cid:204)(cid:134)(cid:121)(cid:197)(cid:143)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329) it is hoped will help accelerate the pace of change. This builds on the back of the behaviour change we saw throughout the pandemic that has drastically increased the number of people engaging with digital tools and virtual consultations. (cid:105)(cid:143)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:134)(cid:210)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:143)(cid:231)(cid:210)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329) particularly via the Integrated Care Systems (ICSs) created by the NHS in England. This new structure divides up the 55 million people living in England into 42 regional systems which the NHS hopes will help to join up care across settings and around a patient or service user’s needs. The ICSs will be responsible for the vast majority of spending on technology enabled transformation and have accountability to deliver population health management platforms by 2025. This is really exciting for us as we have good experience and credentials in the NHS, in social care and in the third sector — all of whom will need to come together to form new governance structures, agree new ways of working and crack the problem of data sharing and designing location agnostic user experiences. To this end we have begun working with a number (cid:186)(cid:155)(cid:329)(cid:259)(cid:143)(cid:139)(cid:156)(cid:174)(cid:161)(cid:181)(cid:156)(cid:329)(cid:40)(cid:14)(cid:83)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:171)(cid:186)(cid:214)(cid:200)(cid:181)(cid:143)(cid:232)(cid:284) The other big shifts are the changes being implemented by the Government and NHS England in order to streamline the Arms Length Body landscape, particularly around technology transformation. After almost three years, NHSx has now been dissolved and absorbed by NHS England and next year NHS Digital will go the same way — leading to more cohesive decision making in the digital space. However, as we know ourselves, changes like this require a lot of effort and attention so it is important that partners like us are able to continue to deliver the NHS’s strategic transformation aims. The desire to transform and unlock the power of digital to help tackle increasing waiting lists and growing numbers of people (cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:134)(cid:160)(cid:200)(cid:186)(cid:181)(cid:161)(cid:134)(cid:329)(cid:134)(cid:186)(cid:181)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:186)(cid:133)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:174)(cid:232)(cid:329)(cid:181)(cid:186)(cid:210)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:181)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:23)(cid:181)(cid:156)(cid:174)(cid:121)(cid:181)(cid:139)(cid:284)(cid:329) (cid:89)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:204)(cid:329)(cid:121)(cid:155)(cid:186)(cid:186)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:105)(cid:121)(cid:174)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:186)(cid:329)(cid:309)(cid:329)(cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329) we are working to support Digital Health and Care Wales to transition from a Waterfall project approach to transformation to something more Agile and product centred. We’re also working towards similar goals in Scotland where we have been supporting the Scottish public sector to build its digital skills, knowledge and experience of digital ways of working. TPXimpact Holdings Plc | 21 Market overview continued (cid:14)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:306)(cid:329)(cid:19)(cid:121)(cid:225)(cid:161)(cid:139)(cid:329)(cid:13)(cid:161)(cid:139)(cid:143)(cid:181)(cid:285)(cid:329)(cid:76)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200) FY21/22 saw some of the greatest shifts in working practices and customer behaviours for the commercial markets in decades. In Q1 and Q2 we were still living with heavy pandemic restrictions which changed the way people consumed services and purchased goods. This created a demand for digital skills like never before as organisations rapidly set up new digital channels to get their goods and services to clients over the internet or through new home delivery channels. The gradual lifting of restrictions in Q3 and Q4 enabled organisations to return to physical contact with customers as (cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:259)(cid:186)(cid:186)(cid:139)(cid:143)(cid:139)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:174)(cid:174)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:160)(cid:121)(cid:139)(cid:329)(cid:180)(cid:161)(cid:204)(cid:204)(cid:143)(cid:139)(cid:329) such as holidays, dining out and socialising. However, the majority of digital channels remained as the physical reopened. This huge increase in digital operations and in turn the ability to track and monitor customer behaviour created a tidal wave of new data for organisations, many of which are not set up to receive, analyse and act on the answers this data can provide. Consumer behaviour shifts also affected the data patterns that were used for many AI models. This disrupted the predictions these data and AI models were able to make as they were seeing drops and spikes in data (think footfall of physical stores) never seen before. These then needed to be adjusted to ensure future predictions were not skewed by what we hope is a once-in-a-lifetime anomaly. All of this led to a huge increase in demand for data analysis, scientists and engineers, at a time when the UK has a national (cid:204)(cid:160)(cid:186)(cid:200)(cid:210)(cid:121)(cid:156)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329)(cid:258)(cid:143)(cid:174)(cid:139)(cid:204)(cid:284)(cid:329)(cid:89)(cid:186)(cid:139)(cid:121)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:285)(cid:329)(cid:210)(cid:160)(cid:186)(cid:204)(cid:143)(cid:329) (cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:121)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:259)(cid:186)(cid:214)(cid:200)(cid:161)(cid:204)(cid:160)(cid:284)(cid:329) We have recently invested in setting up our technical academy to ensure we have a stable long-term talent pipeline of quality engineers and analysts. (cid:60)(cid:186)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:306)(cid:329)(cid:53)(cid:186)(cid:214)(cid:329)(cid:53)(cid:121)(cid:161)(cid:285)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:14)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:89)(cid:200)(cid:121)(cid:181)(cid:204)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200)(cid:329)(cid:306)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:329) (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:19)(cid:161)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181) The role charities have to play within society has never been (cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:225)(cid:161)(cid:210)(cid:121)(cid:174)(cid:284)(cid:329)(cid:34)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:180)(cid:121)(cid:171)(cid:186)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:285)(cid:329)(cid:59)(cid:121)(cid:200)(cid:134)(cid:160)(cid:329) 2020 marked the beginning of one of the most challenging (cid:197)(cid:143)(cid:200)(cid:161)(cid:186)(cid:139)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:143)(cid:231)(cid:161)(cid:204)(cid:210)(cid:143)(cid:181)(cid:134)(cid:143)(cid:284)(cid:329)(cid:13)(cid:232)(cid:329)(cid:50)(cid:214)(cid:181)(cid:143)(cid:329)(cid:265)(cid:263)(cid:265)(cid:263)(cid:285)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:143)(cid:181)(cid:329)(cid:93)(cid:51)(cid:329)(cid:134)(cid:160)(cid:121)(cid:200)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329) faced imminent bankruptcy, whilst the sector as a whole (cid:143)(cid:204)(cid:210)(cid:161)(cid:180)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:329)(cid:161)(cid:181)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329)(cid:204)(cid:160)(cid:186)(cid:200)(cid:210)(cid:155)(cid:121)(cid:174)(cid:174)(cid:329)(cid:186)(cid:155)(cid:329)(cid:339)(cid:264)(cid:263)(cid:133)(cid:181)(cid:329)(cid:309)(cid:329)(cid:121)(cid:329)(cid:258)(cid:155)(cid:210)(cid:160)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:186)(cid:225)(cid:143)(cid:200)(cid:121)(cid:174)(cid:174)(cid:329) annual income. As charities navigated a constantly changing landscape, they saw challenges with raising vital funds, whilst demand for services increased — causing a huge imbalance in the resources required to meet people’s needs. This continued into 2021 as we saw subsequent waves of the pandemic and an emerging cost of living crisis. For healthcare charities, for example, the acute pressures on the NHS continue to create a harmful ripple effect. People with serious health issues are getting diagnosed later and having treatment delayed either due to the backlog or continued complications from Covid. As a result, rates of serious illness and deaths are increasing. In this context charities that provide services are literally a lifeline for so many. According to the Charities Aid Foundation, the number of people giving to charity has dropped, with donation levels in 2021 below average. However, whilst some charities have struggled, others have thrived, reacting to forced changes in traditional fundraising by doubling down on digital fundraising techniques. The nature of volunteering and connecting with local groups changed during the pandemic — technology powered meaningful connections for some audiences, while digital exclusion became a potential barrier for others. Such unprecedented macro-economic pressures have driven many charities to restructure. The ability to adapt quickly — in other words, to be agile — is now a key business differentiator. As we move further into a hybrid, part-remote, part in-person industry, plenty is still set to change. We’re seeing organisations look to adapt where possible, to increase digital and technological maturity and set themselves up to be modern, responsive organisations. This way, they’ll be able to respond better to meet the needs of their audiences and users whilst navigating a fast changing external market. 22 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS Our growth strategy and acquisitions Organic Growth (cid:83)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232) (cid:40)(cid:181)(cid:329)(cid:121)(cid:181)(cid:210)(cid:161)(cid:134)(cid:161)(cid:197)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:204)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:133)(cid:200)(cid:121)(cid:181)(cid:139)(cid:329)(cid:306)(cid:329) TPXimpact began planning for how growth should be delivered began in November 2021. A small, experienced team reviewed what was needed to deliver our growth ambitions and the existing talent we had across the portfolio of group businesses. (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:181)(cid:225)(cid:186)(cid:174)(cid:225)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329)(cid:197)(cid:186)(cid:186)(cid:174)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)(cid:329)(cid:266)(cid:268)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:285)(cid:329)(cid:204)(cid:197)(cid:200)(cid:143)(cid:121)(cid:139)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:258)(cid:225)(cid:143)(cid:329) businesses. We developed a new operating model, formed of three disciplines – sales, bids & marketing. By February new (cid:210)(cid:143)(cid:121)(cid:180)(cid:204)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:197)(cid:174)(cid:121)(cid:134)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:315)(cid:121)(cid:174)(cid:174)(cid:329)(cid:160)(cid:121)(cid:181)(cid:139)(cid:204)(cid:316)(cid:329)(cid:204)(cid:143)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329) form relationships and start focusing on setting ourselves up for a successful 22/23. Sectors (cid:65)(cid:214)(cid:200)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:197)(cid:200)(cid:161)(cid:186)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:200)(cid:143)(cid:121)(cid:210)(cid:143)(cid:329)(cid:121)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:134)(cid:214)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329) (cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:161)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:143)(cid:181)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329) we had a clear plan to utilise our deep sector knowledge, our technical expertise and provide our teams with the purpose- led work that motivates them to get out of bed in the morning. Our sector teams worked with stakeholders across the company to develop growth strategies for central government, local government and health. Each strategy covers market intelligence, known and likely opportunities areas which match our skillset, target accounts (existing and new), key relationships, sales targets, account ownership and marketing plans. Services (cid:89)(cid:160)(cid:143)(cid:329)(cid:160)(cid:214)(cid:156)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:181)(cid:186)(cid:226)(cid:329)(cid:204)(cid:143)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:160)(cid:121)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329) brought together our 10 companies under one roof, we can now provide a genuinely joined up offer. Our clients don’t need to navigate separate parts of the business anymore, and we don’t have to partner with other companies to provide capabilities we’re lacking, because TPXimpact now delivers all aspects of digital transformation. The capabilities we’ve brought together under this new brand allow us to provide clients with everything they need for their digital transformation journey, from deep agile expertise, to CTO as a service, from data platforms to product leadership and from intelligent automation to user centred design – we can take them from Discovery to Live and continuous improvement, with everything in between. Partners Our focus is to continue to build our opportunities together with our partners. Since forming under one TPXimpact we are now able to offer end to end Microsoft services from cloud and software engineering through to enterprise platforms, data, and low code. The acquisitions of RedCortex and Peak Indicators have accelerated the growth of this relationship. Their Gold Partner status across multiple disciplines has further advanced our ability to perform partnership programmes with Microsoft (cid:186)(cid:155)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:284) In addition to our strong relationship with Acquia, we are currently developing a partnership with Okta for identity and exploring Drupal for local Government. Our partnerships are actively account managed with dedicated teams in regular communication, sharing ideas, and opportunities and building these relationships on a personal basis. TPXimpact Holdings Plc | 23 Our growth strategy and acquisitions continued Acquisitive growth Author: Leigh Hunter, Head of M&A Introduction I joined the TPXimpact team in September 2021 to help drive the M&A agenda to deliver the 2025 Commercial Vision - it certainly has been an exciting journey so far with 3 deals (cid:134)(cid:186)(cid:180)(cid:197)(cid:174)(cid:143)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:269)(cid:329)(cid:180)(cid:186)(cid:181)(cid:210)(cid:160)(cid:204)(cid:289)(cid:329) Prior to joining TPXimpact, I was working on various mid- market sell-side and buy side transactions across the business services sector. I have been able to bring all of this experience to TPX with the aim of enhancing our Mergers & Acquisitions programme and strategy. Since I joined the team, we have successfully completed (cid:210)(cid:160)(cid:200)(cid:143)(cid:143)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:134)(cid:143)(cid:204)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:200)(cid:143)(cid:258)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:204)(cid:329) for the integration of these businesses. I look forward to leading TPXimpact’s M&A activity forward toward our 2025 Commercial vision and am excited about what the future holds for the business. Growth through acquisition Since our IPO in December 2018, TPXimpact has completed 16 acquisitions. During FY22 we acquired two companies — Nudge Digital and RedCortex, post period we announced the acquisition of Peak Indicators and Swirrl IT, which completed in early April 2022. (cid:1)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:139)(cid:214)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329) Nudge Digital (cid:40)(cid:181)(cid:329)(cid:50)(cid:214)(cid:181)(cid:143)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:139)(cid:329)(cid:60)(cid:214)(cid:139)(cid:156)(cid:143)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:285)(cid:329)(cid:121)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329) agency which delivers strategy-led services primarily to the pharmaceutical industry and health sector. Bristol-based Nudge, provides strategic consultancy and digital execution on mission-critical services, from global pharmaceutical projects to the software underpinning social housing and social care. The acquisition was strategically important to us as it strengthened our overall position in healthcare and, importantly, provided an entry into the pharmaceutical industry at a time when the NHS is looking at precision (cid:180)(cid:143)(cid:139)(cid:161)(cid:134)(cid:161)(cid:181)(cid:143)(cid:285)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:306)(cid:139)(cid:200)(cid:161)(cid:225)(cid:143)(cid:181)(cid:329)(cid:197)(cid:143)(cid:200)(cid:204)(cid:186)(cid:181)(cid:121)(cid:174)(cid:161)(cid:204)(cid:143)(cid:139)(cid:329)(cid:134)(cid:121)(cid:200)(cid:143)(cid:329) plans for patients. The majority of the Nudge staff and projects have now been integrated into our Digital Experience division. 24 | (cid:313)(cid:1)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:133)(cid:121)(cid:133)(cid:174)(cid:232)(cid:329) had the same nervousness as others who (cid:160)(cid:121)(cid:139)(cid:329)(cid:156)(cid:186)(cid:181)(cid:143)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:134)(cid:143)(cid:204)(cid:204)(cid:285)(cid:329)(cid:121)(cid:133)(cid:186)(cid:214)(cid:210)(cid:329)(cid:226)(cid:160)(cid:121)(cid:210)(cid:329) the future held and how our organisation would integrate whilst still remaining true (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:181)(cid:134)(cid:161)(cid:197)(cid:174)(cid:143)(cid:204)(cid:329)(cid:133)(cid:143)(cid:160)(cid:161)(cid:181)(cid:139)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:186)(cid:200)(cid:161)(cid:156)(cid:161)(cid:181)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329) (cid:181)(cid:143)(cid:143)(cid:139)(cid:181)(cid:316)(cid:210)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:200)(cid:161)(cid:143)(cid:139)(cid:284)(cid:329)(cid:59)(cid:121)(cid:200)(cid:210)(cid:161)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:40)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329) found the discussions we held during (cid:210)(cid:160)(cid:143)(cid:329)(cid:59)(cid:370)(cid:1)(cid:329)(cid:197)(cid:200)(cid:186)(cid:134)(cid:143)(cid:204)(cid:204)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:155)(cid:200)(cid:214)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329) (cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:155)(cid:214)(cid:174)(cid:174)(cid:232)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) integration and have sustained our values (cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:210)(cid:232)(cid:284)(cid:313)(cid:329)(cid:329) (cid:59)(cid:121)(cid:200)(cid:210)(cid:232)(cid:181)(cid:329)(cid:59)(cid:121)(cid:210)(cid:210)(cid:160)(cid:143)(cid:226)(cid:204)(cid:285)(cid:329)(cid:14)(cid:186)(cid:306)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:285)(cid:329)(cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231) (cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231) TPXimpact acquired Cardiff-based RedCortex in December 2021. Founded in 2016, RedCortex is a leading technology services supplier to the Welsh Public Sector, particularly focused on healthcare and transport alongside Government and local authority projects in the region. Clients include NHS Wales, (see the case study on page 15), the Welsh Government and Transport for Wales. Not only has RedCortex strengthened TPXimpact’s existing foothold in the Welsh Public Sector, it continues to build on TPXimpact’s operational momentum to create regional hubs across the UK. The addition of RedCortex also extended TPXimpact’s Microsoft stack capabilities with RedCortex being a Gold Partner across multiple disciplines which further advances its ability to perform partnership programmes with (cid:59)(cid:161)(cid:134)(cid:200)(cid:186)(cid:204)(cid:186)(cid:155)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:284)(cid:329)(cid:1)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:174)(cid:232)(cid:285)(cid:329)(cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231)(cid:329)(cid:121)(cid:139)(cid:139)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:329) established apprenticeship programme to TPXimpact’s long- (cid:210)(cid:143)(cid:200)(cid:180)(cid:329)(cid:204)(cid:210)(cid:121)(cid:155)(cid:258)(cid:181)(cid:156)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232)(cid:285)(cid:329)(cid:210)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:134)(cid:160)(cid:186)(cid:186)(cid:174)(cid:329)(cid:174)(cid:143)(cid:121)(cid:225)(cid:143)(cid:200)(cid:204)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:83)(cid:186)(cid:214)(cid:210)(cid:160)(cid:329)(cid:105)(cid:121)(cid:174)(cid:143)(cid:204)(cid:329) and turning them into digital professionals. Shortly following completion of the transaction, RedCortex won a contract with Digital Health and Care Wales (DHCW) for (cid:59)(cid:161)(cid:134)(cid:200)(cid:186)(cid:204)(cid:186)(cid:155)(cid:210)(cid:329)(cid:266)(cid:269)(cid:268)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:174)(cid:186)(cid:214)(cid:139)(cid:329)(cid:83)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:285)(cid:329)(cid:121)(cid:181)(cid:329)(cid:65)(cid:50)(cid:23)(cid:93)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:174)(cid:161)(cid:121)(cid:181)(cid:210)(cid:329)(cid:210)(cid:143)(cid:181)(cid:139)(cid:143)(cid:200)(cid:285)(cid:329) (cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:143)(cid:210)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:180)(cid:121)(cid:181)(cid:232)(cid:329)(cid:174)(cid:121)(cid:200)(cid:156)(cid:143)(cid:329)(cid:40)(cid:14)(cid:89)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:156)(cid:200)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204)(cid:284)(cid:329) TPX was one of two organisations running head to head in the (cid:258)(cid:181)(cid:121)(cid:174)(cid:329)(cid:204)(cid:143)(cid:174)(cid:143)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231)(cid:316)(cid:204)(cid:329)(cid:210)(cid:200)(cid:121)(cid:134)(cid:172)(cid:329)(cid:200)(cid:143)(cid:134)(cid:186)(cid:200)(cid:139)(cid:329)(cid:186)(cid:155)(cid:329)(cid:200)(cid:143)(cid:174)(cid:161)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329) (cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:161)(cid:156)(cid:160)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:174)(cid:143)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:121)(cid:134)(cid:210)(cid:204)(cid:329)(cid:204)(cid:160)(cid:186)(cid:181)(cid:143)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:284)(cid:329) RedCortex has also increased its reach across the Health and Central Government sectors by recently winning a contract to spearhead an all-Wales infrastructure review and alignment programme. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS “The reason we started conversations with (cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:139)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:204)(cid:285)(cid:329)(cid:143)(cid:210)(cid:160)(cid:186)(cid:204)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:143)(cid:329)(cid:121)(cid:329)(cid:155)(cid:186)(cid:200)(cid:134)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329) 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(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:143)(cid:200)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329) (cid:143)(cid:231)(cid:134)(cid:143)(cid:143)(cid:139)(cid:143)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:155)(cid:186)(cid:200)(cid:143)(cid:134)(cid:121)(cid:204)(cid:210)(cid:284)(cid:314)(cid:329) (cid:1)(cid:181)(cid:139)(cid:232)(cid:329)(cid:13)(cid:121)(cid:174)(cid:174)(cid:285)(cid:329)(cid:14)(cid:186)(cid:306)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:285)(cid:329)(cid:76)(cid:143)(cid:121)(cid:172)(cid:329)(cid:40)(cid:181)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204) (cid:76)(cid:143)(cid:121)(cid:172)(cid:329)(cid:40)(cid:181)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:83)(cid:226)(cid:161)(cid:200)(cid:200)(cid:174) Prior to year end, TPXimpact announced the acquisition of (cid:14)(cid:160)(cid:143)(cid:204)(cid:210)(cid:143)(cid:200)(cid:258)(cid:143)(cid:174)(cid:139)(cid:306)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:76)(cid:143)(cid:121)(cid:172)(cid:329)(cid:40)(cid:181)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204)(cid:285)(cid:329)(cid:121)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:204)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329) and analytics consultancy, and Stirling-based Swirrl, a cloud- based open data consultancy specialist. Both acquisitions were completed in early April 2022. These acquisitions were (cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:161)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:161)(cid:180)(cid:197)(cid:186)(cid:200)(cid:210)(cid:121)(cid:181)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:89)(cid:76)(cid:110)(cid:285)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:143)(cid:231)(cid:197)(cid:121)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) (cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:316)(cid:204)(cid:329)(cid:134)(cid:121)(cid:197)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:200)(cid:210)(cid:161)(cid:258)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:174)(cid:174)(cid:161)(cid:156)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:300)(cid:1)(cid:40)(cid:301)(cid:285)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:204)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329) and analytics. Together they will form TPXimpact’s Data & Insights capability, opening a new market opportunity that the Company has so far addressed by working with associates. With 65 full-time staff members, this new capability will be positioned to assist clients across TPX’s target sectors in gaining stronger insights to aid their decision making. (cid:40)(cid:181)(cid:210)(cid:143)(cid:156)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232) We have been working on developing an integration blueprint, recognising that integration will look different for different businesses and capabilities going forward. The blueprint sets out the following priorities: • Work collaboratively with the founders to understand potential quick wins, address key risks and challenges, and identify future opportunities • • • • Ensure a balance of business-as-usual priorities in TPXimpact and the integrating business is maintained Be pragmatic in how we integrate to preserve value, client focus and team focus. Establish an operating model that minimises friction and enables strong collaboration between connected capabilities within the relevant TPX division Establish clear go-to-market approaches for new capabilities under the TPXimpact brand (cid:34)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232) (cid:59)(cid:370)(cid:1)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:174)(cid:121)(cid:232)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:200)(cid:186)(cid:174)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:160)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329) our 2025 goal of £200m run-rate revenue. Our M&A activity will focus on adding new sectors and services and bolstering the existing capability of our integrated operations. Capability focus areas will be: • • E-commerce Cyber security • Mobile app development • • • • (cid:1)(cid:200)(cid:210)(cid:161)(cid:258)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:174)(cid:174)(cid:161)(cid:156)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:180)(cid:121)(cid:134)(cid:160)(cid:161)(cid:181)(cid:143)(cid:329)(cid:174)(cid:143)(cid:121)(cid:200)(cid:181)(cid:161)(cid:181)(cid:156) Strategic consulting Devops and devsecops Automation We have a strong M&A pipeline and we anticipate that a number of earnings enhancing acquisitions will be completed in the year to balance organic growth with acquisitive growth. Our continuing success has enabled our HSBC revolving credit facility to be extended in this period from £20m to £30m, of which £11m remains undrawn leaving us in a strong position to fund future acquisitions whilst maintaining leverage at sensible levels below 1.5x EBITDA. TPXimpact Holdings Plc | 25 Chairman’s statement (cid:59)(cid:121)(cid:200)(cid:172)(cid:329)(cid:83)(cid:180)(cid:161)(cid:210)(cid:160) Chairman (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329)(cid:204)(cid:210)(cid:200)(cid:186)(cid:181)(cid:156)(cid:329) (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:197)(cid:143)(cid:200)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:226)(cid:160)(cid:161)(cid:174)(cid:143)(cid:329)(cid:180)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329) (cid:143)(cid:231)(cid:210)(cid:143)(cid:181)(cid:204)(cid:161)(cid:225)(cid:143)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:204)(cid:284)(cid:329)(cid:1)(cid:204)(cid:329)(cid:121)(cid:329) (cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:139)(cid:200)(cid:161)(cid:225)(cid:143)(cid:181)(cid:329)(cid:133)(cid:232)(cid:329)(cid:121)(cid:329)(cid:139)(cid:161)(cid:204)(cid:210)(cid:161)(cid:181)(cid:134)(cid:210)(cid:329)(cid:204)(cid:143)(cid:181)(cid:204)(cid:143)(cid:329) (cid:186)(cid:155)(cid:329)(cid:197)(cid:214)(cid:200)(cid:197)(cid:186)(cid:204)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:186)(cid:214)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329) we have continued to deliver impactful (cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:284)(cid:329) (cid:65)(cid:214)(cid:200)(cid:329)(cid:204)(cid:214)(cid:134)(cid:134)(cid:143)(cid:204)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:121)(cid:210)(cid:143)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:143)(cid:329)(cid:121)(cid:210)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:143)(cid:139)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:316)(cid:204)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329)(cid:174)(cid:143)(cid:121)(cid:139)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:285)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:161)(cid:134)(cid:329) acquisitive growth and our talented team (cid:186)(cid:155)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:226)(cid:160)(cid:186)(cid:204)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:143)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:133)(cid:186)(cid:181)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) (cid:133)(cid:143)(cid:204)(cid:210)(cid:306)(cid:161)(cid:181)(cid:306)(cid:134)(cid:174)(cid:121)(cid:204)(cid:204)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:329)(cid:186)(cid:155)(cid:155)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:284) The restructuring of the business under the single brand TPXimpact is a vital step towards achieving our strategic targets and I am proud of all our teams, particularly those closest to the project, for the hard work that has gone into progressing towards full integration so far. Complementing our organic growth, throughout this year we have successfully executed on our acquisitive strategy by welcoming Nudge Digital Ltd and RedCortex Ltd to the Group with a further two post-period acquisitions in Peak Indicators (cid:53)(cid:210)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:83)(cid:226)(cid:161)(cid:200)(cid:200)(cid:174)(cid:329)(cid:40)(cid:89)(cid:329)(cid:53)(cid:210)(cid:139)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329)(cid:121)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329) enhanced our service offering and have opened new market opportunities to us that were previously addressed by working (cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:204)(cid:204)(cid:186)(cid:134)(cid:161)(cid:121)(cid:210)(cid:143)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:204)(cid:214)(cid:134)(cid:134)(cid:143)(cid:204)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329) bolstered our competitive position in the public sector and allows us to continue delivering impactful digital change to (cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:285)(cid:329)(cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329) sectors. (cid:59)(cid:121)(cid:134)(cid:200)(cid:186)(cid:306)(cid:143)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:161)(cid:134)(cid:329)(cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204) We, in common with all businesses, are currently facing a series of macro-economic challenges we have seen develop across this year and post-period end. We are now confronting a (cid:204)(cid:143)(cid:225)(cid:143)(cid:200)(cid:143)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:259)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:200)(cid:232)(cid:329)(cid:143)(cid:181)(cid:225)(cid:161)(cid:200)(cid:186)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:285)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:329)(cid:134)(cid:186)(cid:204)(cid:210)(cid:306)(cid:186)(cid:155)(cid:306)(cid:174)(cid:161)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329) crisis amongst heightened political and economic uncertainty. However, TPXimpact is well-positioned to weather these challenges, and in many instances, to leverage opportunities that may appear amongst the disruption. Digital transformation is an enduring theme, and one where we believe all organisations will continue to invest in the coming months. As during the pandemic, it is now even more (cid:161)(cid:180)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:161)(cid:143)(cid:204)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) are best able to serve their customers. (cid:65)(cid:214)(cid:200)(cid:329)(cid:197)(cid:214)(cid:200)(cid:197)(cid:186)(cid:204)(cid:143) TPXimpact is a purpose-led Group, determined to do business that delivers positive sustainable change to wider society (cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:214)(cid:181)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:133)(cid:200)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:161)(cid:180)(cid:197)(cid:186)(cid:200)(cid:210)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329) to everyone across the business. I am proud to say that from Board level down, TPX is committed to improving people’s lives through both its day-to-day digital transformation work, and also its extensive ESG programme. In a year which has seen increasing pressure on essential public sector bodies, we are proud that our work has gone some way in allowing them to continue delivering their essential services to those most in need. TPXimpact is committed to leading by example and in doing so, we want to change the composition of the technology sector. In the past year, we have had a focus on ethnic diversity and have continued to host a number of schemes, apprenticeships and partnerships to better enable those from under-represented backgrounds to gain access to the expertise, mentorship and support needed to thrive in this area. We are pleased to say that these have been a success and through our focus on D&I, 26 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS we have increased our overall minority representation from 13% to 19%. Whilst we understand that there is some way to go, we are pleased with the progress made and will continue to make TPXimpact a diverse and inclusive workplace while reporting our progress along the way. Alongside our investment in people, we have been focused on further advancing our commitment to the other two areas of our ESG agenda, Planet and Communities. Moving forward, we will be committing to setting short and long-term Science Based Targets to align with the SBTi Net-Zero Standard. As a Group, we are also proud to report that our philanthropic donations have kept pace with our commercial growth through our 1% pledge. Over the course of the last year, we have donated over £59,000 to charities through our community investment and employee-led giving programmes. I am also pleased that we have once again delivered our Future Leaders programme which aims to create positive change in communities and in the wider industry by supporting 10 digital entrepreneurs from underrepresented backgrounds over a two-month period to build their businesses; providing the expertise, mentorship and support needed to successfully develop themselves and their companies. In addition to Future Leaders, TPXimpact supports; the Arkwright Scholarship, which sponsors diverse students looking to get into engineering; In2Science, which promotes social mobility and diversity in science, technology, engineering, and maths through work experience; and Code First Girls, which places four women or non-binary people on a Full-Stack Nanodegree. Corporate governance The Board is working to continuously improve the governance of TPXimpact. We carefully monitor the market and frequently assess the principal risks to the Group, remaining cognisant of the ongoing impact sector-wide challenges have on our end markets and stakeholders. We greatly value our shareholders, for whom we are ultimately seeking to deliver value which has been achieved with purpose. Therefore, we believe that it is a priority to keep all shareholders up-to-date and engaged and we are committed to continually increasing transparency in all our corporate communications. This year we have heightened our ESG governance and have built DEI requirements into the share award eligibility for all leaders. We want DEI to be a priority within the business and therefore we are going to use it as a metric to measure the performance of senior leaders within the Group. Performance on these metrics for leadership are now linked directly to their remuneration. People Our people are at the very centre of everything that we do and I would like to take this opportunity to sincerely thank all of them for their continued hard work and dedication. We have worked hard to create an environment which allows the diverse range of talent within TPXimpact to thrive and I believe that this plays (cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:204)(cid:214)(cid:134)(cid:134)(cid:143)(cid:204)(cid:204)(cid:284)(cid:329) We are continually investing in our people in order to retain and attract the best talent available. This year we have launched our new employee value proposition which delivers increased (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:210)(cid:121)(cid:155)(cid:155)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:266)(cid:263)(cid:329)(cid:139)(cid:121)(cid:232)(cid:204)(cid:329)(cid:160)(cid:186)(cid:174)(cid:161)(cid:139)(cid:121)(cid:232)(cid:329)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:197)(cid:329) of bank holidays, two months full sick pay for colleagues struggling with their mental or physical health, and green incentive schemes to encourage sustainable living such as an electric vehicle leasing scheme. The Board is also pleased to note the launch of Employee Resource Groups (ERGs) to help amplify the voices of under- represented employees and make sure our workplace is inclusive for everyone and a board mentoring scheme to support diverse talent within the business. (cid:65)(cid:214)(cid:210)(cid:174)(cid:186)(cid:186)(cid:172) (cid:53)(cid:186)(cid:186)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:160)(cid:143)(cid:121)(cid:139)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:134)(cid:210)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:156)(cid:200)(cid:143)(cid:121)(cid:210)(cid:174)(cid:232)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329) from its structural change, expanded service offering and extended geographic outreach as we capitalise on the market opportunity available to us. Investment in digital transformation is continuing in the public and commercial sectors and it has become clear that this is now a necessity for all modern businesses. We are also bolstered by our growing presence in (cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329)(cid:121)(cid:174)(cid:174)(cid:186)(cid:226)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:121)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) revenue streams and gives us strong foundations to navigate any headwinds in the coming period. We will also continue to look at best-in-class companies who might join TPXimpact through acquisition and strengthen our existing client offering, geographical expansion in key areas and further our purpose driven strategy to enact meaningful change in the areas we work. While we expect testing macro-economic conditions to (cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:285)(cid:329)(cid:40)(cid:329)(cid:121)(cid:180)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329) management team have the necessary skillset to capitalise on these opportunities and continue our strong momentum into FY2023. Moreover, with best-in-class expanded service offering and substantial market opportunity, we are well positioned to achieve our 2025 commercial objectives and continue delivering positive, sustainable change. (cid:59)(cid:121)(cid:200)(cid:172)(cid:329)(cid:83)(cid:180)(cid:161)(cid:210)(cid:160) Chairman 7 September 2022 TPXimpact Holdings Plc | 27 CEO statement Neal Gandhi (cid:14)(cid:186)(cid:306)(cid:34)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200) (cid:40)(cid:210)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:121)(cid:181)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:139)(cid:161)(cid:133)(cid:174)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329) (cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:156)(cid:200)(cid:143)(cid:121)(cid:210)(cid:329)(cid:204)(cid:214)(cid:134)(cid:134)(cid:143)(cid:204)(cid:204)(cid:284) We have continued to win an increasing number of new clients demonstrating our increasing ability to win and deliver more impactful projects. Alongside delivering strong organic growth, we made two acquisitions in the period, and two post-period end. Together, these new businesses (Nudge Digital, RedCortex, Peak Indicators, and Swirrl) have bolstered the Group’s capabilities, particularly around data, and helped establish our presence in new regions in the UK. (cid:35)(cid:200)(cid:186)(cid:226)(cid:210)(cid:160)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232) Since inception, our growth strategy has always been built on the idea of bringing together complementary companies in order to build a full-service digital transformation capability, able to deliver outcomes to large clients at a fraction of the cost and time of their traditional suppliers. We build the business through organic growth and acquisitions, with the aim of moving towards our commercial and impact visions. Our culture and values allow us to remain agile and entrepreneurial while we grow. The change programme the Group is undergoing, to come together as a single company, will see us streamline our service offering to clients, enabling increased organic growth in the future. The integration of our businesses will allow us to (cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329) underpin society and further our objective to maximise our impact and effect fundamental and sustainable change that shapes organisations, services and systems. We began the year trading under The Panoply Holdings plc as a collection of 12 separate businesses and have brought together (cid:264)(cid:263)(cid:329)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:214)(cid:181)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:133)(cid:200)(cid:121)(cid:181)(cid:139)(cid:286)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:284)(cid:329)(cid:14)(cid:186)(cid:180)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:161)(cid:181)(cid:329) this way necessitated a comprehensive change programme across the Group but, even whilst this progresses, our teams have continued to perform excellently, demonstrating passion and drive across their work. As a result, we’ve achieved revenue from continuing operations of £79.7m, up 58% and delivered like-for-like organic revenue growth of 16%. We have achieved (cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:214)(cid:210)(cid:186)(cid:200)(cid:232)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329) £0.8m and adjusted EBITDA of £12.2m (EBITDA of £9.1m) slightly ahead of expectations, up 72% year on year and at an improved adjusted EBITDA margin (15% Adjusted EBITDA Margin (EBITDA Margin 11.4%)). (cid:40)(cid:181)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:180)(cid:161)(cid:174)(cid:143)(cid:204)(cid:210)(cid:186)(cid:181)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:161)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:200)(cid:214)(cid:181)(cid:329)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329) revenue target of our 2023 Commercial Vision a full year ahead of schedule. However, we haven’t sat on our laurels and immediately began looking ahead to our next major set of goals: our Commercial Vision for 2025. This includes our ambition to achieve a run rate revenue of £200m, deliver 70% (cid:186)(cid:155)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:134)(cid:186)(cid:180)(cid:143)(cid:329) a top 20 public sector supplier, by March 2025. (cid:1)(cid:174)(cid:186)(cid:181)(cid:156)(cid:204)(cid:161)(cid:139)(cid:143)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:214)(cid:134)(cid:134)(cid:143)(cid:204)(cid:204)(cid:285)(cid:329)(cid:226)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329) against our overarching purpose of delivering sustainable change with a positive impact. For example, we’ve helped the Welsh Ambulance Service – NHS Trust (WAST) modernise their (cid:161)(cid:181)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:285)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:266)(cid:269)(cid:268)(cid:285)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:161)(cid:181)(cid:204)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:174)(cid:143)(cid:329) mobile solutions; we’ve helped UNICEF UK design and deliver a new way of operating to work more effectively and achieve better outcomes for children; and we partnered with the (cid:19)(cid:143)(cid:197)(cid:121)(cid:200)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:23)(cid:139)(cid:214)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:258)(cid:181)(cid:139)(cid:329)(cid:121)(cid:329)(cid:226)(cid:121)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:155)(cid:232)(cid:329)(cid:214)(cid:204)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) deliver services more effectively. 28 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:268) Last year, we set out new Commercial and Impact Visions for FY2025. Below is a summary of our performance against these goals so far. (cid:264)(cid:284)(cid:330) (cid:265)(cid:284)(cid:330) (cid:266)(cid:284)(cid:330) (cid:267)(cid:284)(cid:330) (cid:268)(cid:284)(cid:330) (cid:269)(cid:284)(cid:330) (cid:270)(cid:284)(cid:330) (cid:1)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:143)(cid:204)(cid:204) To achieve a run rate revenue of £200m (£150m public sector, £50m commercial sector) by March 2025 To deliver 10-15% organic revenue growth per annum To make further earnings enhancing acquisitions to strengthen our offer, achieve greater scale and support our overall vision Revenue FY2022 of £79.7m up 58% Consensus revenue for FY2023 of £97.4m* 16% organic revenue growth Two acquisitions completed during the period, two post- period end To become a top 20 public sector supplier by March 2025 on run rate basis Started integration to one brand to allow us to report as a single supplier To deliver 70% of operating (cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329) (cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226) To deliver progressive dividend policy at 15%-20% of net income (Adjusted (cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:301) (cid:272)(cid:268)(cid:366)(cid:329)(cid:65)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:76)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329) (cid:259)(cid:186)(cid:226) Aggregate Dividends of 0.9p To deliver improving EBITDA margins Adj EBITDA margin of 15% (up 100 bps on FY2021) *(cid:329)(cid:329) (cid:14)(cid:186)(cid:181)(cid:204)(cid:143)(cid:181)(cid:204)(cid:214)(cid:204)(cid:329)(cid:143)(cid:204)(cid:210)(cid:161)(cid:180)(cid:121)(cid:210)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:155)(cid:186)(cid:200)(cid:143)(cid:134)(cid:121)(cid:204)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:316)(cid:204)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:143)(cid:121)(cid:200)(cid:181)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) combined estimates of all equity analysts that cover the stock (cid:40)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:104)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:34)(cid:111)(cid:265)(cid:268) (cid:1)(cid:180)(cid:133)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:143)(cid:204)(cid:204) (cid:264)(cid:284)(cid:330) Work towards (cid:160)(cid:121)(cid:174)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:330)(cid:210)(cid:160)(cid:143)(cid:330)(cid:265)(cid:264)(cid:330)(cid:156)(cid:121)(cid:197)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:330)(cid:226)(cid:143)(cid:329) (cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:330)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329) representation, pay and inclusion for employees from underrepresented backgrounds. Made progress against 29% of our gaps this year, and have now halved or closed 6/21 (cid:265)(cid:284)(cid:330) (cid:266)(cid:284)(cid:330) To implement science- based reduction targets Created an in-house carbon tracker To kick-start 5,000 digital careers, reaching 5,000 (cid:214)(cid:181)(cid:161)(cid:199)(cid:214)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329) our community action and community investment programmes Kickstarted 686 careers in FY2022 adding up to over 1288 Strategic progress Brand consolidation under TPXimpact In September 2021, we announced our intention to restructure, from a collection of businesses to a single company under the name TPXimpact. By operating as one company and one team we are able to work more collaboratively, pitch for and deliver (cid:174)(cid:121)(cid:200)(cid:156)(cid:143)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:204)(cid:285)(cid:329)(cid:143)(cid:174)(cid:161)(cid:180)(cid:161)(cid:181)(cid:121)(cid:210)(cid:143)(cid:329)(cid:161)(cid:181)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:306)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:186)(cid:181)(cid:156)(cid:143)(cid:200)(cid:329)(cid:210)(cid:143)(cid:200)(cid:180)(cid:329) - build more substantial brand value. (cid:105)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:143)(cid:204)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:329) over the period. We have, for example, overhauled the operating structure of the group, creating an environment within which we have launched two divisions as of 1 April 2022 under the TPXimpact umbrella: ‘Consulting’ and ‘Digital Experience’ (‘DX’). (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:204)(cid:210)(cid:200)(cid:214)(cid:134)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:133)(cid:143)(cid:210)(cid:210)(cid:143)(cid:200)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:226)(cid:121)(cid:232)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) charge. Several of our companies are now trading solely under ‘TPXimpact’ importantly, we’ve also brought together multiple TPXimpact Holdings Plc | 29 CEO statement continued (cid:39)(cid:79)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:204)(cid:329)(cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:204)(cid:210)(cid:200)(cid:214)(cid:134)(cid:210)(cid:214)(cid:200)(cid:143)(cid:285)(cid:329)(cid:156)(cid:161)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:214)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:181)(cid:156)(cid:174)(cid:143)(cid:329) consolidated view of our people, which will enable us to focus on key productivity areas such as time to recruit, staff turnover, learning and development and of course utilisation. Post period end we continue to work on creating an improved, single operational structure, which is just beginning to deliver (cid:204)(cid:214)(cid:133)(cid:204)(cid:210)(cid:121)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:121)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:143)(cid:174)(cid:161)(cid:180)(cid:161)(cid:181)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:181)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:161)(cid:143)(cid:204)(cid:284)(cid:329)(cid:40)(cid:181)(cid:329)(cid:121)(cid:329) step-change for the Group we are creating a more professional, robust, mature business. As we reconstruct the Group, we are being careful to evaluate each process and ensure it is best- in-class, giving ourselves the strongest possible foundation on which to build. While this process is taking longer than (cid:161)(cid:181)(cid:161)(cid:210)(cid:161)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:143)(cid:181)(cid:225)(cid:161)(cid:204)(cid:121)(cid:156)(cid:143)(cid:139)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:172)(cid:181)(cid:186)(cid:226)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:161)(cid:210)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:214)(cid:204)(cid:329)(cid:143)(cid:231)(cid:197)(cid:186)(cid:181)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329) in the longer term. We therefore now anticipate the change programme continuing to run throughout the balance of FY2023, with some further one-off associated costs. As we (cid:180)(cid:186)(cid:225)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:226)(cid:121)(cid:200)(cid:139)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:200)(cid:143)(cid:180)(cid:121)(cid:161)(cid:181)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329) drive our future success. We have also started to invest in the TPXimpact brand, with a view towards creating a market leading and differentiated brand promise and then telling our target audiences about it. This new, innovative enterprise brand will enable the Group to win bigger than ever before. (cid:14)(cid:186)(cid:180)(cid:197)(cid:174)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:121)(cid:200)(cid:232)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204) We have retained our core focus on acquiring complementary acquisitions to bolster our capabilities and enhance our go- to-market proposition. During the period, we acquired two companies: • • Nudge Digital Ltd, a Bristol-based digital services agency which delivers strategy-led services and has a good pipeline of pharmaceutical customers RedCortex Ltd, a Cardiff-based digital and cloud-based transformation Microsoft focused consultancy And two more post-period end: • • (cid:76)(cid:143)(cid:121)(cid:172)(cid:329)(cid:40)(cid:181)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:53)(cid:210)(cid:139)(cid:285)(cid:329)(cid:121)(cid:329)(cid:14)(cid:160)(cid:143)(cid:204)(cid:210)(cid:143)(cid:200)(cid:258)(cid:143)(cid:174)(cid:139)(cid:306)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:285)(cid:329)(cid:174)(cid:143)(cid:121)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329) science services and analytics consultancy Swirrl IT Ltd, a Stirling-based, open data consultancy specialist with a focus on data integration and dissemination in public sector organisations (cid:1)(cid:329)(cid:172)(cid:143)(cid:232)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:186)(cid:174)(cid:204)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) Group’s position in Wales and Scotland. As a result, we have (cid:226)(cid:186)(cid:181)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:121)(cid:134)(cid:210)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329) countries, for example with Digital Health and Care Wales, Transport for Wales and the Scottish Government. In line with our commercial vision we remain focused on adding further earnings enhancing acquisitions in the current year. (cid:40)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:133)(cid:121)(cid:181)(cid:172)(cid:329)(cid:155)(cid:121)(cid:134)(cid:161)(cid:174)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) Post-period end we have also renewed and extended our existing banking facilities with HSBC in order to provide access to further capital. We now have an extended revolving credit facility (RCF facility) with HSBC (which has an initial term of three years and may be extended by a further year by mutual agreement) from £20.0m to £30.0m (of which £11m is undrawn) with a £15m accordion. The extended facility has the same (cid:204)(cid:143)(cid:134)(cid:214)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:197)(cid:121)(cid:134)(cid:172)(cid:121)(cid:156)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:181)(cid:181)(cid:186)(cid:214)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:264)(cid:265)(cid:329)(cid:50)(cid:214)(cid:181)(cid:143)(cid:329)(cid:265)(cid:263)(cid:264)(cid:272)(cid:285)(cid:329)(cid:181)(cid:121)(cid:180)(cid:143)(cid:174)(cid:232)(cid:329) that HSBC has taken security over TPX and all of the Group’s material subsidiaries and their assets in connection with the RCF Facility. The RCF Facility contains customary terms and (cid:134)(cid:186)(cid:225)(cid:143)(cid:181)(cid:121)(cid:181)(cid:210)(cid:204)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:134)(cid:186)(cid:225)(cid:143)(cid:181)(cid:121)(cid:181)(cid:210)(cid:204)(cid:284)(cid:329)(cid:39)(cid:186)(cid:226)(cid:143)(cid:225)(cid:143)(cid:200)(cid:285)(cid:329)(cid:139)(cid:143)(cid:204)(cid:197)(cid:161)(cid:210)(cid:143)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329) increased facility, we reiterate our commitment to net debt being no more than 1.5x adjusted EBITDA. (cid:23)(cid:204)(cid:210)(cid:121)(cid:133)(cid:174)(cid:161)(cid:204)(cid:160)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:329)(cid:204)(cid:210)(cid:200)(cid:186)(cid:181)(cid:156)(cid:329)(cid:155)(cid:186)(cid:186)(cid:210)(cid:160)(cid:186)(cid:174)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:160)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:134)(cid:121)(cid:200)(cid:143) Through complementary acquisitions, new contract wins and further embedding with existing clients we have maintained our public sector presence further during the year, with this market now representing c.72% of Group revenue (FY2021: 71%). 30 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS One sector within the public sector which is increasingly (cid:133)(cid:143)(cid:134)(cid:186)(cid:180)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:329)(cid:172)(cid:143)(cid:232)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:160)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:134)(cid:121)(cid:200)(cid:143)(cid:284)(cid:329)(cid:40)(cid:181)(cid:329)(cid:50)(cid:214)(cid:174)(cid:232)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:285)(cid:329)(cid:121)(cid:204)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) strategy to expand our presence in the sector, we announced the appointment of Noel Gordon as Senior Advisor to the Group. Noel has experience in public healthcare and the (cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:197)(cid:200)(cid:143)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:329)(cid:200)(cid:186)(cid:174)(cid:143)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:14)(cid:160)(cid:121)(cid:161)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329) NHS Digital and Chair of Healthcare UK’s advisory board. His leadership, together with some fantastic case studies in this area from recent acquisitions, have enabled us to build an exciting pipeline of healthcare projects and we look forward to growing our presence in the sector going forward. Continued strong performance in Commercial For FY2022, 28% of Group revenue came from the commercial sector, and it remains a key focus area for the business as maintaining a healthy balance of Commercial business (cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:200)(cid:143)(cid:204)(cid:161)(cid:174)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:284) In the period we strengthened our presence in utilities and pharmaceutical in particular. Acquisitions made during the year have also bolstered TPXimpact’s commercial sector portfolio, including contracts with two major multinational (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:161)(cid:143)(cid:204)(cid:329)(cid:133)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) acquisition of Peak Indicators. (cid:14)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:204)(cid:210)(cid:200)(cid:143)(cid:181)(cid:156)(cid:210)(cid:160)(cid:329)(cid:186)(cid:155)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:210)(cid:200)(cid:121)(cid:181)(cid:204)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:180)(cid:121)(cid:200)(cid:172)(cid:143)(cid:210) Digital transformation continues to be high on the agenda for organisations across the public and commercial sectors, with data from PWC revealing 60% of executives believe that digital transformation will be their most critical growth driver in 2022. The UK Government announced a new Digital Strategy in (cid:50)(cid:214)(cid:181)(cid:143)(cid:329)(cid:265)(cid:263)(cid:265)(cid:265)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:181)(cid:329)(cid:315)(cid:161)(cid:180)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:316)(cid:329) that commits to publishing a cross-Government digital and data strategy later in 2022, setting out a vision for how the Government will improve the use of digital, data and technology across all public services. While the challenging broader macro-economic circumstances make operating in (cid:180)(cid:121)(cid:181)(cid:232)(cid:329)(cid:204)(cid:197)(cid:160)(cid:143)(cid:200)(cid:143)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:139)(cid:161)(cid:155)(cid:258)(cid:134)(cid:214)(cid:174)(cid:210)(cid:285)(cid:329)(cid:155)(cid:121)(cid:134)(cid:210)(cid:204)(cid:329)(cid:204)(cid:214)(cid:134)(cid:160)(cid:329)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:204)(cid:143)(cid:329) (cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:197)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:180)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:155)(cid:186)(cid:200)(cid:226)(cid:121)(cid:200)(cid:139)(cid:284)(cid:329)(cid:329) (cid:14)(cid:214)(cid:200)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:200)(cid:121)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:210)(cid:174)(cid:186)(cid:186)(cid:172) We are pleased to report over £20m of business won in Q1 FY2023. As part of this, we have made good strides in the commercial sector with at least three commercial clients expected to generate more than £3m revenue in the coming year. Alongside this, our latest acquisitions are performing well, with us already beginning to see substantial opportunities in Microsoft and data-based projects unlocking, thanks to the additional capabilities they brought the Group. Overall, we observe healthy market conditions and a continued high demand for our digital transformation services. (cid:105)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:143)(cid:204)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:329) to move from a collection of businesses to a single company with unitary processes under the name TPXimpact, a process that has required a considerable investment of time and resource. This continued into the current year with investments being made in marketing our new brand, bringing in a number of (cid:204)(cid:143)(cid:181)(cid:161)(cid:186)(cid:200)(cid:329)(cid:160)(cid:161)(cid:200)(cid:143)(cid:204)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329)(cid:134)(cid:143)(cid:181)(cid:210)(cid:200)(cid:121)(cid:174)(cid:161)(cid:204)(cid:143)(cid:139)(cid:329)(cid:39)(cid:79)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329) teams and in improving our operational software. Inevitably this had meant a period of substantial change in work processes and an internal focus which has, in the short term, impacted both top line growth and staff utilisation. This had a temporary impact on revenues and Adjusted EBITDA for April and May which subsequently returned to more normalised (cid:174)(cid:143)(cid:225)(cid:143)(cid:174)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:50)(cid:214)(cid:181)(cid:143)(cid:284)(cid:329)(cid:1)(cid:204)(cid:329)(cid:121)(cid:329)(cid:134)(cid:186)(cid:181)(cid:204)(cid:143)(cid:199)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:181)(cid:210)(cid:161)(cid:134)(cid:161)(cid:197)(cid:121)(cid:210)(cid:143)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:266)(cid:329) to be a little more second half weighted than usual and have (cid:143)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:180)(cid:143)(cid:143)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:266)(cid:329)(cid:180)(cid:121)(cid:200)(cid:172)(cid:143)(cid:210)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:134)(cid:210)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329) revenues of £97.4m and Adjusted EBITDA of £13.7m. Neil Gandhi CEO 7 September 2022 TPXimpact Holdings Plc | 31 Financial review (cid:65)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:79)(cid:161)(cid:156)(cid:133)(cid:232) (cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:34)(cid:161)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200) We continued to see a large amount of repeat business from customers, with 67% of customers billed in FY2022 also billed in FY2021, FY2020 or FY2019. Most excitingly we have seen an increase in the scale of the contracts we are now winning as a result of the combined services of the Group including seven deals over £3m up from just four in the prior year. (cid:35)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:59)(cid:121)(cid:200)(cid:156)(cid:161)(cid:181)(cid:204)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329)(cid:259)(cid:121)(cid:210)(cid:329)(cid:121)(cid:210)(cid:329)(cid:266)(cid:264)(cid:366)(cid:329)(cid:121)(cid:156)(cid:121)(cid:161)(cid:181)(cid:204)(cid:210)(cid:329)(cid:266)(cid:264)(cid:366)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:186)(cid:200)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284)(cid:329) We are targeting an improvement to our Gross Margin going forward and the strategy of moving to one brand and integrating operations is being implemented to achieve this. Multiple brands with separate operating models meant that hiring decisions were being made on an individual company rather than group wide basis. This has meant that our contractor to permanent staff ratio is higher than we would like which has had a negative impact on margins given the higher relative cost of contractors. Adjusted EBITDA was £12.2m up from £7.1m in FY2021 representing an increase of 72%. EBITDA was £9.1m, up from £1.9m in FY2021 representing an increase of 378%. Adjusted EBITDA margin was 15% up from 14% in the prior year. Margin grew as a result of management costs not growing in line with revenue growth offset by an increase in post-Covid travel and entertaining related spend. (cid:89)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:200)(cid:143)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:214)(cid:210)(cid:186)(cid:200)(cid:232)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329) continuing activities of £0.8m (FY2021: loss of £2.0m). The (cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:133)(cid:143)(cid:174)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:121)(cid:181)(cid:329)(cid:315)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:133)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:316)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329) is more representative of the underlying performance of the Group. To arrive at adjusted results, adjustments made include acquisition and change related expenses, amortisation related to acquired intangibles and share-based payments and the impact of fair value adjustments along with the corresponding tax impact of the adjustments. (cid:40)(cid:181)(cid:329)(cid:121)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:285)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:214)(cid:200)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:197)(cid:214)(cid:174)(cid:174)(cid:143)(cid:139)(cid:329)(cid:186)(cid:214)(cid:210)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:329) costs relating to the integration of group companies and rebrand to TPXimpact. (cid:89)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:210)(cid:186)(cid:329)(cid:266)(cid:264)(cid:329)(cid:59)(cid:121)(cid:200)(cid:134)(cid:160)(cid:329)(cid:265)(cid:263)(cid:265)(cid:265)(cid:329)(cid:204)(cid:121)(cid:226)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329) further growth in the Group with (cid:204)(cid:210)(cid:121)(cid:210)(cid:214)(cid:210)(cid:186)(cid:200)(cid:232)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:214)(cid:197)(cid:329)(cid:339)(cid:265)(cid:272)(cid:284)(cid:267)(cid:180)(cid:329)(cid:186)(cid:200)(cid:329)(cid:268)(cid:271)(cid:366)(cid:329)(cid:210)(cid:186)(cid:329) (cid:339)(cid:270)(cid:272)(cid:284)(cid:270)(cid:180)(cid:329)(cid:300)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264)(cid:286)(cid:329)(cid:339)(cid:268)(cid:263)(cid:284)(cid:266)(cid:180)(cid:301)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329) (cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:139)(cid:200)(cid:161)(cid:225)(cid:143)(cid:181)(cid:329)(cid:133)(cid:232)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329) (cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:134)(cid:329)(cid:156)(cid:200)(cid:186)(cid:226)(cid:210)(cid:160)(cid:329)(cid:186)(cid:155)(cid:329)(cid:264)(cid:269)(cid:366)(cid:329)(cid:121)(cid:204)(cid:329)(cid:226)(cid:143)(cid:174)(cid:174)(cid:329)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:214)(cid:174)(cid:174)(cid:329) (cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:60)(cid:214)(cid:139)(cid:156)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:50)(cid:214)(cid:181)(cid:143)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:79)(cid:143)(cid:139)(cid:14)(cid:186)(cid:200)(cid:210)(cid:143)(cid:231)(cid:329)(cid:161)(cid:181)(cid:329)(cid:19)(cid:143)(cid:134)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:284)(cid:329)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329) (cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:180)(cid:161)(cid:231)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329) (cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329)(cid:121)(cid:134)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:143)(cid:139)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:270)(cid:265)(cid:366)(cid:329) (cid:186)(cid:155)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:285)(cid:329)(cid:204)(cid:174)(cid:161)(cid:156)(cid:160)(cid:210)(cid:174)(cid:232)(cid:329)(cid:214)(cid:197)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:181)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329) (cid:270)(cid:264)(cid:366)(cid:329)(cid:161)(cid:181)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:284)(cid:329)(cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:134)(cid:121)(cid:200)(cid:143)(cid:329)(cid:200)(cid:143)(cid:180)(cid:121)(cid:161)(cid:181)(cid:143)(cid:139)(cid:329)(cid:121)(cid:210)(cid:329)(cid:272)(cid:366)(cid:329)(cid:186)(cid:155)(cid:329) (cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:285)(cid:329)(cid:156)(cid:200)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:181)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:339)(cid:267)(cid:284)(cid:269)(cid:180)(cid:329) (cid:161)(cid:181)(cid:329)(cid:265)(cid:263)(cid:265)(cid:264)(cid:329)(cid:210)(cid:186)(cid:329)(cid:339)(cid:270)(cid:284)(cid:265)(cid:180)(cid:329)(cid:161)(cid:181)(cid:329)(cid:265)(cid:263)(cid:265)(cid:265)(cid:284) 32 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS The following table summarises the adjustments: (cid:265)(cid:263)(cid:265)(cid:265) (cid:339)(cid:316)(cid:263)(cid:263)(cid:263)(cid:204) (cid:265)(cid:263)(cid:265)(cid:264)(cid:329) Restated* (cid:339)(cid:316)(cid:263)(cid:263)(cid:263) (cid:83)(cid:210)(cid:121)(cid:210)(cid:214)(cid:210)(cid:186)(cid:200)(cid:232)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:297)(cid:329)(cid:300)(cid:174)(cid:186)(cid:204)(cid:204)(cid:301)(cid:329)(cid:133)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329) continuing operations (cid:265)(cid:285)(cid:268)(cid:265)(cid:269) (cid:300)(cid:264)(cid:285)(cid:269)(cid:268)(cid:269)(cid:301) Amortisation of intangible assets relating to acquisitions (Gain) / loss from fair value movement in contingent consideration Share-based Payments Costs relating to acquisition and restructuring Costs relating to the change programme (cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:133)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329) continuing operations Tax (including impact of amortisation and costs relating to acquisition and restructuring adjustments) 5,347 2,458 (152) 427 4,260 294 1,018 746 1,764 – (cid:264)(cid:263)(cid:285)(cid:272)(cid:266)(cid:263) (cid:269)(cid:285)(cid:264)(cid:263)(cid:265) As a result of the acquisitive nature of the Group and its use of shares as consideration, the Directors believe that an adjusted share count for the purposes of calculating earnings per share is required. As such the Directors calculate an adjusted diluted share number by taking the weighted average basic shares and including the maximum shares to be issued in respect of contingent consideration to be paid, together with the maximum share options outstanding. The following table summarises the adjustments: Weighted average basic shares (excluding contingent shares) Shares relating to future contingent consideration Shares relating to share-based payments Total (cid:265)(cid:263)(cid:265)(cid:265) (cid:263)(cid:263)(cid:263)(cid:204) (cid:265)(cid:263)(cid:265)(cid:264) (cid:263)(cid:263)(cid:263)(cid:204) 84,583 63,784 4,051 13,728 3,732 (cid:272)(cid:265)(cid:285)(cid:266)(cid:269)(cid:269) 4,436 (cid:271)(cid:264)(cid:285)(cid:272)(cid:267)(cid:271) (1,706) (898) Earnings per share from continuing operations, basic 1.0p (3.5p) (cid:1)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329) operations (cid:272)(cid:285)(cid:265)(cid:265)(cid:267) (cid:268)(cid:285)(cid:265)(cid:263)(cid:267) Adjusted diluted earnings per share 10.0p 6.4p * Please refer to note 1 which explains the restatement Based on these alternative non-IFRS measures the Group (cid:121)(cid:134)(cid:160)(cid:161)(cid:143)(cid:225)(cid:143)(cid:139)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:186)(cid:181)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329) £9.2m (FY2021: £5.2m) resulting in adjusted diluted earnings per share of 10.0p (FY2021: 6.4p). The basic earnings per share for the period was 1.0p (FY2021: 3.5p loss). (cid:264)(cid:329) (cid:76)(cid:200)(cid:161)(cid:186)(cid:200)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:258)(cid:156)(cid:214)(cid:200)(cid:143)(cid:204)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:200)(cid:143)(cid:306)(cid:197)(cid:200)(cid:143)(cid:204)(cid:143)(cid:181)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:134)(cid:134)(cid:186)(cid:200)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:40)(cid:34)(cid:79)(cid:83)(cid:329)(cid:268)(cid:329) (cid:60)(cid:186)(cid:181)(cid:306)(cid:134)(cid:214)(cid:200)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:1)(cid:204)(cid:204)(cid:143)(cid:210)(cid:204)(cid:329)(cid:39)(cid:143)(cid:174)(cid:139)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:83)(cid:121)(cid:174)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:19)(cid:161)(cid:204)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:65)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:285)(cid:329)(cid:121)(cid:204)(cid:329) described in the accounting policies. TPXimpact Holdings Plc | 33 Financial review continued (cid:14)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:134)(cid:186)(cid:181)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:186)(cid:181) Net cash generated from operations before tax increased to £8.1m from £5.8m last year. Cash conversion, calculated by (cid:200)(cid:143)(cid:155)(cid:143)(cid:200)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:133)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:133)(cid:214)(cid:210)(cid:329)(cid:121)(cid:155)(cid:210)(cid:143)(cid:200)(cid:329)(cid:139)(cid:143)(cid:139)(cid:214)(cid:134)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329) costs relating to acquisition and restructuring was 95%. In total, cash increased in the year from £5.7m to £7.9m but net debt increased from £7.3m to £10.1m (excluding leases) as a result of payments made for acquisitions completed in the period. Cash consideration for acquisitions was £6.8m (net of cash acquired), with £5.0m funded through a drawdown from our revolving credit facility with HSBC and the remainder from cash reserves. The net debt position at the year end was (cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:133)(cid:143)(cid:174)(cid:186)(cid:226)(cid:329)(cid:264)(cid:231)(cid:329)(cid:76)(cid:200)(cid:186)(cid:329)(cid:34)(cid:186)(cid:200)(cid:180)(cid:121)(cid:329)(cid:23)(cid:13)(cid:40)(cid:89)(cid:19)(cid:1)(cid:284)(cid:329) Post period end HSBC have extended their revolving credit facility with the Group to £30m with a £15m accordion. The new facility is a sustainability-linked revolving credit facility that incorporates targets which align with our long-term ESG objectives. £19m has been drawn down in total for acquisitions leaving the Group at the year end with a further £11m to draw (cid:139)(cid:186)(cid:226)(cid:181)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:155)(cid:214)(cid:200)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:210)(cid:186)(cid:156)(cid:143)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329) generated from operations provides a strong basis to continue our acquisitive growth into FY2023 although we remain committed to maintaining net debt to EBITDA below 1.5x. Balance sheet Goodwill and Intangible assets in aggregate have increased (cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329) completed. Total deferred consideration at 31 March 2022 was £3.4m. (cid:105)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:181)(cid:186)(cid:210)(cid:143)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:174)(cid:161)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:133)(cid:143)(cid:329)(cid:204)(cid:121)(cid:210)(cid:161)(cid:204)(cid:258)(cid:143)(cid:139)(cid:329) through the issue of shares and not through cash. Once this is removed, the Group’s current ratio at the year end was 1.6 (FY2021: 1.6) providing solid liquidity. Dividend (cid:89)(cid:160)(cid:143)(cid:329)(cid:13)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:174)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:181)(cid:181)(cid:186)(cid:214)(cid:181)(cid:134)(cid:143)(cid:329)(cid:121)(cid:329)(cid:258)(cid:181)(cid:121)(cid:174)(cid:329)(cid:139)(cid:161)(cid:225)(cid:161)(cid:139)(cid:143)(cid:181)(cid:139)(cid:329)(cid:186)(cid:155)(cid:329)(cid:263)(cid:284)(cid:269)(cid:197)(cid:329) per share subject to approval at the AGM. The proposed (cid:258)(cid:181)(cid:121)(cid:174)(cid:329)(cid:139)(cid:161)(cid:225)(cid:161)(cid:139)(cid:143)(cid:181)(cid:139)(cid:285)(cid:329)(cid:161)(cid:155)(cid:329)(cid:121)(cid:197)(cid:197)(cid:200)(cid:186)(cid:225)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:160)(cid:186)(cid:174)(cid:139)(cid:143)(cid:200)(cid:204)(cid:285)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:133)(cid:143)(cid:329)(cid:197)(cid:121)(cid:161)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:264)(cid:267)(cid:329) October 2022 to shareholders on the register at the close of business on 7 October 2022. This will take the total dividend paid to shareholders in respect of FY2022 to 0.9p per share up 50% year on year in line with the Board’s progressive dividend policy. 34 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS Additional consideration As at 31 March 2022, the total value of consideration that is payable is £3.6m, resulting in maximum further shares to be issued totalling 4.5m which reduces to 2.4m based on the (cid:134)(cid:174)(cid:186)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:134)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:210)(cid:329)(cid:264)(cid:268)(cid:329)(cid:50)(cid:214)(cid:174)(cid:232)(cid:329)(cid:265)(cid:263)(cid:265)(cid:265)(cid:284)(cid:329)(cid:1)(cid:329)(cid:134)(cid:174)(cid:121)(cid:226)(cid:306)(cid:133)(cid:121)(cid:134)(cid:172)(cid:329)(cid:186)(cid:155)(cid:329)(cid:339)(cid:263)(cid:284)(cid:268)(cid:180)(cid:329) is due to the Group on publication of the Group’s FY2022 (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:329)(cid:134)(cid:174)(cid:121)(cid:226)(cid:133)(cid:121)(cid:134)(cid:172)(cid:329)(cid:186)(cid:155)(cid:329)(cid:263)(cid:284)(cid:267)(cid:180)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:204)(cid:284)(cid:329) (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:200)(cid:143)(cid:139)(cid:214)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:181)(cid:329)(cid:197)(cid:200)(cid:161)(cid:186)(cid:200)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) Board’s switch to non-earn-out based acquisitions. Value (cid:339)(cid:316)(cid:263)(cid:263)(cid:263)(cid:204) Minimum share price (cid:59)(cid:121)(cid:231)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329) issued (cid:263)(cid:263)(cid:263)(cid:204) 961 1,587 119 898 (500) (cid:266)(cid:285)(cid:263)(cid:269)(cid:268) 0.740 0.820 0.825 0.831 1.225 1,299 1,935 144 1,081 (408) (cid:267)(cid:285)(cid:263)(cid:268)(cid:264) (cid:65)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:79)(cid:161)(cid:156)(cid:133)(cid:232) (cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:34)(cid:161)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200) 7 September 2022 TPXimpact Holdings Plc | 35 Sustainable futures Environmental, social & governance report 36 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:13)(cid:200)(cid:232)(cid:186)(cid:181)(cid:232)(cid:329)(cid:105)(cid:161)(cid:174)(cid:139)(cid:143) Purpose Director As our companies came together this (cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:210)(cid:186)(cid:329)(cid:155)(cid:186)(cid:200)(cid:180)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:160)(cid:121)(cid:139)(cid:329) (cid:121)(cid:329)(cid:214)(cid:181)(cid:161)(cid:199)(cid:214)(cid:143)(cid:329)(cid:186)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:143)(cid:180)(cid:133)(cid:143)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) (cid:143)(cid:181)(cid:225)(cid:161)(cid:200)(cid:186)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:121)(cid:174)(cid:285)(cid:329)(cid:204)(cid:186)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:156)(cid:186)(cid:225)(cid:143)(cid:200)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329) goals into the foundations of the new (cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:284)(cid:329) We have been able to take a step back and examine whether our systems, processes and behaviours are helping to set us apart as a purpose led business that is truly delivering value to all of our stakeholders. Our response has been to double down on our commitment to our people, planet and community. You can see this through our new industry-leading employee value proposition, our submission to become (cid:121)(cid:329)(cid:134)(cid:143)(cid:200)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:13)(cid:329)(cid:14)(cid:186)(cid:200)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:155)(cid:214)(cid:200)(cid:210)(cid:160)(cid:143)(cid:200)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) measurement and reduction of our emissions. As we grow, we have greater leverage and more opportunities to create social impact. However, the scale of responsibility to ensure that our operations are being run in a way that is net positive to our people, environment and communities also increases exponentially. TPXimpact Holdings Plc | 37 ESG report Sustainable futures (cid:105)(cid:143)(cid:316)(cid:200)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:121)(cid:139)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:210)(cid:200)(cid:121)(cid:181)(cid:204)(cid:197)(cid:121)(cid:200)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329) (cid:226)(cid:160)(cid:143)(cid:181)(cid:329)(cid:161)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:23)(cid:83)(cid:35)(cid:329)(cid:200)(cid:143)(cid:197)(cid:186)(cid:200)(cid:210)(cid:161)(cid:181)(cid:156)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329) (cid:226)(cid:121)(cid:181)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:174)(cid:143)(cid:121)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:226)(cid:121)(cid:232)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:143)(cid:200)(cid:180)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) (cid:199)(cid:214)(cid:121)(cid:181)(cid:210)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:155)(cid:200)(cid:143)(cid:199)(cid:214)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) (cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:284)(cid:329)(cid:65)(cid:214)(cid:200)(cid:329)(cid:181)(cid:186)(cid:181)(cid:306)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:51)(cid:76)(cid:40)(cid:204)(cid:329) (cid:210)(cid:200)(cid:121)(cid:134)(cid:172)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:143)(cid:204)(cid:204)(cid:329)(cid:226)(cid:143)(cid:316)(cid:200)(cid:143)(cid:329)(cid:180)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329) (cid:204)(cid:214)(cid:204)(cid:210)(cid:121)(cid:161)(cid:181)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:155)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:285)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:284)(cid:329)(cid:329) We align our sustainable futures strategy with the UN Sustainable Development Goals. We focus on SDG8 ‘Decent (cid:105)(cid:186)(cid:200)(cid:172)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:23)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:161)(cid:134)(cid:329)(cid:35)(cid:200)(cid:186)(cid:226)(cid:210)(cid:160)(cid:316)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:204)(cid:329)(cid:271)(cid:284)(cid:264)(cid:285)(cid:329) 8.4, 8.5 and 8.6 as priorities. We use the World Economic Forum’s (WEF) standard for consistent ESG reporting to identify the recommended metrics aligned with these targets. The WEF released a white paper in September 2020 to develop a core set of common metrics (cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:161)(cid:204)(cid:134)(cid:174)(cid:186)(cid:204)(cid:214)(cid:200)(cid:143)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:181)(cid:186)(cid:181)(cid:306)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:161)(cid:181)(cid:139)(cid:161)(cid:134)(cid:121)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) other stakeholders. This framework incorporates all of the major existing ESG standards and splits the metrics into four pillars; principles of governance, people, planet and prosperity. (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:204)(cid:160)(cid:186)(cid:226)(cid:204)(cid:329)(cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:232)(cid:186)(cid:214)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:258)(cid:181)(cid:139)(cid:329)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329)(cid:180)(cid:143)(cid:210)(cid:200)(cid:161)(cid:134)(cid:285)(cid:329)(cid:121)(cid:204)(cid:329)(cid:139)(cid:143)(cid:204)(cid:134)(cid:200)(cid:161)(cid:133)(cid:143)(cid:139)(cid:329) in the WEF framework within the ESG report. It also shows which SDG each metric relates to and which standard we have used to capture the data. Theme Metric Reporting standard SDG Target (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265) See page Dignity and equality Dignity and equality Ethnicity pay gap (mean) Ethnicity pay gap (median) Dignity and equality People Gender pay gap (mean) GRI 102-38 Dignity and equality Dignity and equality Gender pay gap (median) Inclusion gap - Disability GRI 405-1b Dignity and equality Inclusion gap - Gender GRI 405-1b Dignity and equality Inclusion gap - LGBTQI GRI 405-1b Dignity and equality Inclusion gap - Minority ethnic GRI 405-1b Dignity and equality Inclusion gap - SEB GRI 405-1b Dignity and equality Inclusion score - Overall GRI 405-1b (cid:76)(cid:23)(cid:65)(cid:76)(cid:53)(cid:23) GRI 102-38 8.5 4% GRI 102-38 8.5 8.5 0% 16% GRI 102-38 8.5 19% 20% 12% 15% 19% 12% 5% 0% 9% 7% 76% - 52 52 52 52 51 51 51 51 51 51 53 8.5 8.5 8.5 8.5 8.5 8.5 3% 0.00% 0% 13% 1% 85% Dignity and equality Modern slavery statement 8.7 - 38 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Theme Metric Reporting standard SDG Target (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265) See page Dignity and equality Overall representation - Black GRI 405-1b 8.5 3% Dignity and equality Overall representation - Disability GRI 405-1b 8.5 6% Dignity and equality Overall representation - Female GRI 405-1b 8.5 48% Dignity and equality Overall representation - LGBTQI GRI 405-1b 8.5 12% Dignity and equality Overall representation - Minority ethnic GRI 405-1b 8.5 13% Dignity and equality Risk of incidents of child and forced labour GRI 408-1b, GRI 409-1 8.7 0 Dignity and equality Senior representation - Black GRI 405-1b 8.5 0% Dignity and equality Senior representation - Disability GRI 405-1b 8.5 6% 6% 7% 47% 16% 19% 0 0% 4% Dignity and equality Senior representation - Female GRI 405-1b 8.5 36% 34% Dignity and equality Senior representation - LGBTQI GRI 405-1b 8.5 13% Dignity and equality Senior representation - Minority ethnic GRI 405-1b 8.5 9% 13% 8% Dignity and equality Wage level % (CEO:Median) GRI 202-1, Adapted from DoddFrank Act, US SEC Regulations 8.5 4.7:1 4.9:1 Health and wellbeing % employees participating in well- being programmes Adapted from GRI:2016 403-2a 8.8 80% 68% Health and wellbeing Employee satisfaction score Health and wellbeing Employee wellbeing score 8.5 7.6 8.5 7.4 Health and wellbeing Injuries and Fatalities GRI:2018 403-9a&b, GRI:2018 403-6a 8.8 0 7.1 6.8 0 50 50 50 50 50 53 50 50 50 50 50 76 47 46 46 46 TPXimpact Holdings Plc | 39 ESG report Sustainable futures continued Theme Metric Reporting standard SDG Target (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265) See page 57 57 57 57 57 57 Climate Change Carbon offset total PLANET GRI 305:1-3, TCFD, GHG Protocol 8.4 1,915 tCO2e 2,742 tCO2e Climate Change Reduction of energy consumption GRI 305:1-3, TCFD, GHG Protocol 8.4 29.9 tCO2e 39.88 tCO2e Climate Change Energy Intensity ratio (per £1m revenue) GRI 305:1-3, TCFD, GHG Protocol 8.4 37.32 tCO2e 34.28 tCO2e Climate Change Energy Intensity ratio (per FTE) GRI 305:1-3, TCFD, GHG Protocol 8.4 4.3 tCO2e 5.01 tCO2e Climate Change Scope 1 emissions Climate Change Scope 2 emissions Climate Change Scope 3 emissions GRI 305:1-3, TCFD, GHG Protocol GRI 305:1-3, TCFD, GHG Protocol GRI 305:1-3, TCFD, GHG Protocol 8.4 6.41 tCO2e 3.84 tCO2e 8.4 23.5 tCO2e 36.04 tCO2e 8.4 1,885 tCO2e 2,702.22 tCO2e 57 Freshwater availability Water consumption SASB CG-HP140a.1, WRI Aqueduct water risk atlas too 8.4 - Nature loss Land use and ecological sensitivity GRI 304-1 8.4 (cid:76)(cid:79)(cid:40)(cid:60)(cid:14)(cid:40)(cid:76)(cid:53)(cid:23)(cid:83)(cid:329)(cid:65)(cid:34)(cid:329)(cid:35)(cid:65)(cid:104)(cid:23)(cid:79)(cid:60)(cid:1)(cid:60)(cid:14)(cid:23) Governing purpose Stated purpose Protected ethics advice and reporting mechanisms Protected ethics advice and reporting mechanisms Quality of governing body Governance body composition Risk and opportunity oversight Disclosure of risks Stakeholder engagement Material issues impacting stakeholders - - - - 8.1 8.8 8.5 8.8 8.8 - - - - - - 60 60 26 53 88 55 80 40 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Theme Metric Reporting standard SDG Target (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265) See page (cid:76)(cid:79)(cid:65)(cid:83)(cid:76)(cid:23)(cid:79)(cid:40)(cid:89)(cid:111) Community and social vitality Community and social vitality Careers kickstarted 8.6 602 686 Charities Supported 8.6 50 114 Community and social vitality Community Investment total GRI 201-1, 8.1 £36,960 £59,368 Community and social vitality Community Action hours 8.6 1,654 1,970 Community and social vitality Tax paid Adapted from GRI 201-1 8.1 £341,928 £1,739,983 Community and social vitality Unique volunteers 8.6 72 119 65 65 65 65 117 71 Employment and wealth generation CapEx 8.1 £716,819 £1,590,394 121 As referenced in IAS 7 and US GAAP ASC 230 As referenced in IAS 7 and US GAAP ASC 230 Employment and wealth generation Employment and wealth generation Dividends paid Employee turnover GRI 401-1a&b Employment and wealth generation Employee wages and (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204) GRI 201-1, Employment and wealth generation Employment and wealth generation Employment and wealth generation Employment and wealth generation Employment and wealth generation New hires (FTE) GRI 401-1a&b New jobs GRI 401-1a&b Operating costs GRI 201-1, Revenue GRI 201-1, Workforce Growth GRI 401-1a&b Innovation of better products and services % revenue from controversial clients 8.1 8.1 8.1 8.1 8.1 8.1 8.1 8.1 £138,445 £652,000 18.46% 30.6% 34 46 £24,171,021 £30,692,000 76 192 55 240 63 £44,084,331 £68,146,681 £51,145,880 £79,708,628 53% 22% 46 76 117 117 46 79 8.1 1.9% 3.10% TPXimpact Holdings Plc | 41 ESG report Sustainable futures continued Sustainable futures for our people. Sustainable futures for our planet. What We are closing the gaps that exist in our business and wider industry. How Decreasing pay gaps, representation gaps and gaps in inclusivity. (cid:13)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:83)(cid:19)(cid:35) 8.5 - Decent, equal work opportunities for all. What We are leaving no trace. How Measuring, reducing and offsetting our footprint. (cid:13)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:83)(cid:19)(cid:35) 8.4 Decoupling economic growth from environmental degradation. (cid:13)(cid:232)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181) (cid:13)(cid:232)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181) (cid:83)(cid:121)(cid:210)(cid:161)(cid:204)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:160)(cid:121)(cid:197)(cid:197)(cid:232)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204) (cid:35)(cid:200)(cid:143)(cid:143)(cid:181)(cid:143)(cid:200)(cid:329)(cid:174)(cid:161)(cid:155)(cid:143)(cid:204)(cid:210)(cid:232)(cid:174)(cid:143)(cid:204) (cid:83)(cid:186)(cid:134)(cid:161)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:200)(cid:143)(cid:204)(cid:197)(cid:186)(cid:181)(cid:204)(cid:161)(cid:133)(cid:174)(cid:143)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204) Reduced emissions Diverse talent pipelines Collective climate action (cid:89)(cid:186)(cid:197)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:121)(cid:174)(cid:143)(cid:181)(cid:210)(cid:329) (cid:83)(cid:214)(cid:204)(cid:210)(cid:121)(cid:161)(cid:181)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:232)(cid:329) Our people (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180) Our planet (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180) Our communities (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180) Our clients (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180) 42 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Sustainable futures for our communities. Sustainable futures through prosperity. What We are equipping our communities with future-proof skills. How Kickstarting 5,000 digital careers. (cid:13)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:83)(cid:19)(cid:35) 8.6 - Youth education and training. What We are delivering impactful work. How Making a positive difference to how individuals and society experience the world. (cid:13)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:83)(cid:19)(cid:35) 8.1 - Sustainable economic growth. (cid:13)(cid:232)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181) (cid:13)(cid:232)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181) (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:143)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329) (cid:59)(cid:143)(cid:121)(cid:181)(cid:161)(cid:181)(cid:156)(cid:155)(cid:214)(cid:174)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172) Climate action Green service offering (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210) (cid:1)(cid:181)(cid:329)(cid:143)(cid:210)(cid:160)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204) (cid:76)(cid:200)(cid:186)(cid:329)(cid:133)(cid:186)(cid:181)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172) (cid:79)(cid:143)(cid:197)(cid:214)(cid:210)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:204)(cid:121)(cid:155)(cid:143)(cid:210)(cid:232) TPXimpact Holdings Plc | 43 ESG report People People Closing the gaps that exist in our business and wider industry We’re working to ensure sustainable futures for all of our people through a focus on employee wellbeing & satisfaction and workforce diversity, inclusion & equity. As a professional services organisation, we don’t underestimate the importance of the health, wellbeing and satisfaction of our workforce. We’re creating an environment that helps diverse talent to thrive. We are a high growth, high impact business that relies on competent, committed and high performing employees. In return, we foster a positive work environment that supports personal and professional growth and respects work-life balance. 44 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS GENDER (cid:267)(cid:270)(cid:366) of our workforce are women (cid:23)(cid:89)(cid:39)(cid:60)(cid:40)(cid:14)(cid:40)(cid:89)(cid:111) (cid:266)(cid:271)(cid:366) Increased minority ethnic representation by 38% (13% to 19%) BENEFITS (cid:266)(cid:263) Increased holiday to 30 days + bank holidays. (cid:35)(cid:79)(cid:65)(cid:105)(cid:89)(cid:39) Our workforce grew by* (cid:265)(cid:265)(cid:366) *Based on FTE (cid:267)(cid:270)(cid:366) women (cid:268)(cid:266)(cid:366) men (cid:269)(cid:263)(cid:270) (cid:267)(cid:272)(cid:271) (cid:265)(cid:263)(cid:265)(cid:264) (cid:265)(cid:263)(cid:265)(cid:265) TPXimpact Holdings Plc | 45 ESG report People continued (cid:313)(cid:83)(cid:186)(cid:329)(cid:160)(cid:121)(cid:197)(cid:197)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:204)(cid:214)(cid:134)(cid:160)(cid:329)(cid:156)(cid:200)(cid:143)(cid:121)(cid:210)(cid:329) (cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:200)(cid:143)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:121)(cid:197)(cid:197)(cid:121)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:174)(cid:174)(cid:329) (cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:143)(cid:134)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:139)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:204)(cid:160)(cid:186)(cid:214)(cid:174)(cid:139)(cid:329)(cid:133)(cid:143)(cid:329) (cid:197)(cid:200)(cid:186)(cid:214)(cid:139)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:285)(cid:329)(cid:197)(cid:214)(cid:210)(cid:204)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:121)(cid:210)(cid:329) (cid:210)(cid:160)(cid:143)(cid:329)(cid:160)(cid:143)(cid:121)(cid:200)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:143)(cid:225)(cid:143)(cid:200)(cid:232)(cid:210)(cid:160)(cid:161)(cid:181)(cid:156)(cid:284)(cid:314) Anonymous, from our Diversity & Inclusion survey (cid:23)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:226)(cid:143)(cid:174)(cid:174)(cid:133)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:370)(cid:329)(cid:204)(cid:121)(cid:210)(cid:161)(cid:204)(cid:155)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181) This year has come with a lot of change for our employees. We have brought together multiple different cultures and ways of working and asked a lot from our people. Within that time, we have continued to grow and have welcomed 240 new starters into the new company. Our employee turnover stood higher that we would have liked at 30.6% but we expect to see this settle as the new business and culture establishes itself. • • • • at least two paid days off a year to volunteer and a further two for professional development a focus on health and wellbeing through our EAP, health plan and generous sick leave policy green incentive schemes to encourage sustainable living such as an electric vehicle leasing scheme shares in the business for all employees through a joining (cid:133)(cid:186)(cid:181)(cid:214)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:121)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:181)(cid:134)(cid:143)(cid:181)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:284) This year, employees scored their satisfaction as 7.1 out of 10 on average (down from 7.6) and their wellbeing as 6.8 out of 10 (down from 7.4). We know it will take some time for teams to feel as comfortable within their new teams and with the new ways of working as they were within their smaller agencies, highlighting how important employee engagement is for us. (cid:65)(cid:214)(cid:200)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:197)(cid:186)(cid:204)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181) We recently launched our new employee value proposition which is designed to give responsible, autonomous employees (cid:210)(cid:160)(cid:143)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:200)(cid:161)(cid:225)(cid:143)(cid:284)(cid:329)(cid:329)(cid:105)(cid:143)(cid:329)(cid:133)(cid:143)(cid:174)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329) that this proposition sets us apart from our competitors as an employer of choice. Some highlights are: • • • 30 days holiday each year on top of bank holidays to allow our people to reset, recharge and do the things that they love. (cid:121)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:174)(cid:143)(cid:329)(cid:121)(cid:197)(cid:197)(cid:200)(cid:186)(cid:121)(cid:134)(cid:160)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:160)(cid:186)(cid:186)(cid:204)(cid:143)(cid:329)(cid:226)(cid:160)(cid:143)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) where they work. better support for new parents with six months full pay for maternity, adoption and surrogacy leave and three months full pay for paternity 46 | We are a low risk business in terms of occupational health and safety issues and had no serious injuries or fatalities at work last year. (cid:23)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:1)(cid:204)(cid:204)(cid:161)(cid:204)(cid:210)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:76)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:204) TPXimpact provides free access to an Employee Assistance Programme (EAP) for all UK employees. We provide the EAP as a (cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:200)(cid:143)(cid:204)(cid:186)(cid:214)(cid:200)(cid:134)(cid:143)(cid:329)(cid:139)(cid:143)(cid:204)(cid:161)(cid:156)(cid:181)(cid:143)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:121)(cid:174)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329) personal and professional problems that could be affecting their home life or work life, health or general wellbeing. As part of this service, every employee is entitled to four free counselling sessions each year. This year the service received 56 calls and delivered 18 counselling sessions for our people. Fitness challenge Our annual steps challenge aims to boost employees’ physical activity after the Christmas holidays. This year, the company clocked up more than 14 million steps and covered 6,717km over the course of three weeks. Their efforts helped to raise £5,200 which the winning team donated to the Ukrainian charity “Voices of Children”, supporting young people affected by the war. (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:105)(cid:143)(cid:174)(cid:174)(cid:133)(cid:143)(cid:161)(cid:181)(cid:156) We continued the Wellness Wednesday initiative which (cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:139)(cid:214)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:174)(cid:186)(cid:134)(cid:172)(cid:139)(cid:186)(cid:226)(cid:181)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:226)(cid:143)(cid:133)(cid:161)(cid:181)(cid:121)(cid:200)(cid:204)(cid:329)(cid:160)(cid:186)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329) by external experts on educational topics like nutrition for gut health, breathing techniques for building resilience and energy management during the menstrual cycle. Overall 68% of our employees engaged in our wellbeing activities this year. (cid:19)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:199)(cid:214)(cid:161)(cid:210)(cid:232) The work that we are doing is helping to shape how societies experience the world, from their digital experiences, to how they access and navigate local services. We do not underestimate how important it is therefore to have a workforce that is representative of the communities that they are serving so that we can ensure our solutions work for everybody. We are proud that our UK business is representative of the population when it comes to gender, ethnicity, sexual orientation and neurodiversity. We have had a real focus on ethnic diversity this year, through our recruitment, the launch of our Origins employee resource group and running a Future (cid:53)(cid:143)(cid:121)(cid:139)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:134)(cid:134)(cid:143)(cid:174)(cid:143)(cid:200)(cid:121)(cid:210)(cid:186)(cid:200)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:232)(cid:186)(cid:214)(cid:181)(cid:156)(cid:329)(cid:13)(cid:174)(cid:121)(cid:134)(cid:172)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329) resulted in us doubling our Black representation and increasing our overall minority representation from 13% to 19%. We will continue to ensure that the quantity, quality and frequency of our DEI reporting is best in class and be totally transparent about our results and our progress. We truly believe that this is the most valuable thing that we can do, not only to hold ourselves to account but also to encourage our peers to acknowledge and address the issues that exist within our industry. TPXimpact is working hard to intentionally build a culture that is inclusive of the diversity of talent that we want to attract. We intend to help change the composition of the tech sector by continuing to raise the standards of our DEI initiatives, raising awareness of issues and investing in a pipeline of diverse talent. Here are some of the things we have been working on this year; We set up ERGs We set up the Employee Resource Groups (ERGs) to help amplify the voices of underrepresented employees and make sure our workplace is inclusive for everyone. We kicked off with three groups; Women, Origins and LGBTQI+. Some highlights (cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:121)(cid:200)(cid:143)(cid:286)(cid:329) • monthly ‘Coffee and Current Affairs’ sessions have become a popular drop-in session to talk about issues affecting women, with everything from Britney Spears’ conservatorship to the drinks spiking epidemic being discussed • • • • the Origins committee hosted a series of insightful lunch and learns over Black History Month and for Diwali exploring and celebrating these cultures women shared their experiences within the workplace and the ERG produced a report with recommendations and an accompanying video a series of meet-ups took place for LGBTQI+ employees and allies a new allyship channel was set up for those interested in (cid:174)(cid:143)(cid:121)(cid:200)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:23)(cid:79)(cid:35)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:210)(cid:226)(cid:186)(cid:329)(cid:143)(cid:225)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:186)(cid:172)(cid:329)(cid:197)(cid:174)(cid:121)(cid:134)(cid:143)(cid:329) this year TPXimpact Holdings Plc | 47 ESG report People continued As the new organisation is taking shape, we will work to make sure that the ERGs are properly represented in the governance structure and there are clear links of escalation and accountability for issues or ideas that are raised by those communities. (cid:105)(cid:143)(cid:329)(cid:174)(cid:121)(cid:214)(cid:181)(cid:134)(cid:160)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:180)(cid:143)(cid:181)(cid:210)(cid:186)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143) We launched a board mentoring programme to champion and support diverse talent within the business. In our pilot year, (cid:226)(cid:143)(cid:329)(cid:197)(cid:121)(cid:161)(cid:200)(cid:143)(cid:139)(cid:329)(cid:258)(cid:225)(cid:143)(cid:329)(cid:23)(cid:79)(cid:35)(cid:329)(cid:134)(cid:160)(cid:121)(cid:161)(cid:200)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329) board, helping them to navigate the role of committee chair and supporting them more broadly in their career development. This programme has served to: • • • reward employees who have volunteered their time to help us achieve our DEI targets raise aspirations, particularly around securing a board level position in the future develop skills, through mentorship and guidance (cid:105)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:174)(cid:143)(cid:121)(cid:139)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:134)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143) We have built DEI requirements into the share award eligibility for all leaders. We want DEI to be a priority and therefore we are going to use it as a metric to measure the performance of senior leaders within the business. Performance on these metrics for leadership are now linked directly to their remuneration. (cid:105)(cid:143)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329)(cid:133)(cid:214)(cid:232)(cid:161)(cid:181)(cid:156)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:161)(cid:143)(cid:204)(cid:329) We built DEI requirements into our mergers and acquisitions (M&A) process at the end of 2021. We request DEI data when we (cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:329)(cid:204)(cid:197)(cid:143)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:186)(cid:210)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:204)(cid:329)(cid:204)(cid:186)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329) (cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:197)(cid:200)(cid:186)(cid:134)(cid:143)(cid:204)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) belief that good DEI practice does not only limit risk but adds value to the bottom line. (cid:1)(cid:174)(cid:186)(cid:181)(cid:156)(cid:204)(cid:161)(cid:139)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:143)(cid:200)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:180)(cid:143)(cid:210)(cid:200)(cid:161)(cid:134)(cid:204)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:181)(cid:186)(cid:226)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:329) valuations on diversity and equity data, community investment and engagement and the environmental impact of potential acquisitions. Not only will this help us to achieve our own DEI targets, it should have a wider effect in recognising and encouraging positive behaviours for small business owners. (cid:105)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:143)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:156)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)(cid:204) We take a long-term view in investing in diverse talent pipelines. Our community investment strategy is based around equipping young people from diverse backgrounds with future-proof skills. You can read more about what we have been doing in that space on page 67. This year, we launched a partnership with Code First Girls to place four women or non-binary people on a Full-Stack Nanodegree. After training, the successful candidates will join TPXimpact as full time Associate Engineers. The organisation is dedicated to helping more women & non-binary people break into and excel in the tech industry. We will focus on people from underrepresented communities, beginners to tech, those who identify as neurodiverse and those who grew up with no (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:139)(cid:225)(cid:121)(cid:181)(cid:210)(cid:121)(cid:156)(cid:143)(cid:284)(cid:329) 48 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:39)(cid:186)(cid:226)(cid:329)(cid:139)(cid:186)(cid:329)(cid:226)(cid:143)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:199)(cid:214)(cid:161)(cid:210)(cid:232)(cid:291) We have developed a methodology that we call ‘Gap Reporting’ for measuring our diversity, inclusion and equity performance. Diversity can be complex. We are measuring lots of different and overlapping characteristics and the goalposts move all the time. That’s why we use Gap Reporting — so we can easily identify how much work we have to do in each of the areas we report on. (cid:105)(cid:160)(cid:121)(cid:210)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:19)(cid:23)(cid:40)(cid:329)(cid:156)(cid:186)(cid:121)(cid:174)(cid:204)(cid:291)(cid:329) (cid:105)(cid:143)(cid:329)(cid:134)(cid:214)(cid:200)(cid:200)(cid:143)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:210)(cid:200)(cid:121)(cid:134)(cid:172)(cid:329)(cid:186)(cid:225)(cid:143)(cid:200)(cid:329)(cid:265)(cid:268)(cid:329)(cid:156)(cid:121)(cid:197)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329) representation, pay and inclusion. We appreciate that diversity is about far more than just gender and skin colour and therefore try to be as thorough and expansive in our reporting as possible to get a full picture of the workforce and identify what the contributing factors might be for those who feel more or less included in the workplace. Our end goal is that we have no gaps. No pay gaps, no difference in how included employees feel and no gap between our workforce and community diversity. We know we have a lot of work to do to get there but have put in place an ambitious target in the meantime to half all gaps from our benchmark year in FY2021 by 2025. (cid:65)(cid:214)(cid:200)(cid:329)(cid:200)(cid:143)(cid:204)(cid:214)(cid:174)(cid:210)(cid:204) (cid:60)(cid:186)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:89)(cid:121)(cid:172)(cid:143)(cid:121)(cid:226)(cid:121)(cid:232)(cid:204) Overall, we are a more diverse organisation than we were last year, particularly in terms of ethnicity. We continue to measure, track and disclose more DEI data than any of our competitors. We have really strong LGBTQI+ and neurodiversity representation at 16% and 14%, more than the general population. We are a multicultural organisation, with over 20% of employees being foreign nationals. We have not made the progress we would have liked in terms of senior representation. Employees felt less of a sense of inclusion and belonging across all community groups. TPXimpact Holdings Plc | 49 ESG report People continued (cid:19)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:210)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210) Senior Leadership Women (cid:266)(cid:267)(cid:366) (FY2021: 36%)** (cid:59)(cid:161)(cid:181)(cid:186)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:23)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)* (cid:271)(cid:366) (FY2021: 9%)** (cid:13)(cid:174)(cid:121)(cid:134)(cid:172)* (cid:263)(cid:366) (FY2021: 0%)** (cid:19)(cid:161)(cid:204)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232) (cid:267)(cid:366) (FY2021: 6%)** (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:268)(cid:263)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:267)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:269)(cid:366) LGBTQI+ (cid:264)(cid:266)(cid:366) (FY2021: 13%)** Neurodiverse (cid:264)(cid:268)(cid:366) (cid:53)(cid:186)(cid:226)(cid:143)(cid:200)(cid:329)(cid:83)(cid:186)(cid:134)(cid:161)(cid:186)(cid:329)(cid:23)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:161)(cid:134)(cid:329)(cid:13)(cid:121)(cid:134)(cid:172)(cid:156)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)* Foreign Nationals (cid:266)(cid:263)(cid:366) (FY2021: 26%)** (cid:265)(cid:268)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:267)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:272)(cid:366) (cid:65)(cid:225)(cid:143)(cid:200)(cid:121)(cid:174)(cid:174) Women (cid:267)(cid:270)(cid:366) (FY2021: 48%) (cid:59)(cid:161)(cid:181)(cid:186)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:23)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)* (cid:264)(cid:272)(cid:366) (FY2021: 13%) (cid:13)(cid:174)(cid:121)(cid:134)(cid:172)* (cid:269)(cid:366) (FY2021: 3%) (cid:19)(cid:161)(cid:204)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232) (cid:270)(cid:366) (FY2021: 6%) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:268)(cid:263)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:267)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:269)(cid:366) LGBTQI+ (cid:264)(cid:269)(cid:366) (FY2021: 12%) Neurodiverse (cid:264)(cid:267)(cid:366) (cid:53)(cid:186)(cid:226)(cid:143)(cid:200)(cid:329)(cid:83)(cid:186)(cid:134)(cid:161)(cid:186)(cid:329)(cid:23)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:161)(cid:134)(cid:329)(cid:13)(cid:121)(cid:134)(cid:172)(cid:156)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)* (cid:265)(cid:271)(cid:366) (FY2021: 23%) Foreign Nationals (cid:265)(cid:265)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:366) (cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:264)(cid:267)(cid:366) (cid:93)(cid:51)(cid:329)(cid:76)(cid:186)(cid:197)(cid:214)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:266)(cid:272)(cid:366) (cid:295)(cid:329)(cid:329) (cid:155)(cid:186)(cid:200)(cid:329)(cid:143)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:186)(cid:134)(cid:161)(cid:186)(cid:306)(cid:143)(cid:134)(cid:186)(cid:181)(cid:186)(cid:180)(cid:161)(cid:134)(cid:329)(cid:133)(cid:121)(cid:134)(cid:172)(cid:156)(cid:200)(cid:186)(cid:214)(cid:181)(cid:139)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:171)(cid:214)(cid:204)(cid:210)(cid:329)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:93)(cid:51)(cid:329)(cid:139)(cid:143)(cid:180)(cid:186)(cid:156)(cid:200)(cid:121)(cid:197)(cid:160)(cid:161)(cid:134)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:143)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:93)(cid:51)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204) (cid:295)(cid:295)(cid:329)(cid:329) (cid:174)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:143)(cid:329)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:186)(cid:197)(cid:329)(cid:197)(cid:121)(cid:232)(cid:329)(cid:199)(cid:214)(cid:121)(cid:200)(cid:210)(cid:161)(cid:174)(cid:143)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:156)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:210)(cid:186)(cid:329)(cid:156)(cid:143)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:204)(cid:143)(cid:181)(cid:161)(cid:186)(cid:200)(cid:329)(cid:200)(cid:143)(cid:197)(cid:200)(cid:143)(cid:204)(cid:143)(cid:181)(cid:210)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:181)(cid:214)(cid:180)(cid:133)(cid:143)(cid:200)(cid:284)(cid:329)(cid:83)(cid:161)(cid:181)(cid:134)(cid:143)(cid:329)(cid:180)(cid:143)(cid:200)(cid:156)(cid:161)(cid:181)(cid:156)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:181)(cid:186)(cid:226)(cid:329)(cid:186)(cid:181)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:197)(cid:121)(cid:232)(cid:200)(cid:186)(cid:174)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:200)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329) used the top pay quartile of the combined payroll. In order to show progress we have adjusted FY21 numbers as if we were operating one payroll 50 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:270)(cid:264)(cid:366) of people agreed or strongly agreed with the comment (cid:40)(cid:329)(cid:155)(cid:143)(cid:143)(cid:174)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329)(cid:40)(cid:329)(cid:133)(cid:143)(cid:174)(cid:186)(cid:181)(cid:156)(cid:329)(cid:121)(cid:210)(cid:329) (cid:180)(cid:232)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232) (cid:270)(cid:266)(cid:366) of people agreed or strongly agreed with the comment (cid:40)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:180)(cid:232)(cid:329) (cid:121)(cid:214)(cid:210)(cid:160)(cid:143)(cid:181)(cid:210)(cid:161)(cid:134)(cid:329)(cid:204)(cid:143)(cid:174)(cid:155)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329) (cid:226)(cid:161)(cid:210)(cid:160)(cid:186)(cid:214)(cid:210)(cid:329)(cid:226)(cid:186)(cid:200)(cid:200)(cid:232)(cid:161)(cid:181)(cid:156)(cid:329) (cid:121)(cid:133)(cid:186)(cid:214)(cid:210)(cid:329)(cid:200)(cid:143)(cid:197)(cid:143)(cid:200)(cid:134)(cid:214)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204) (cid:269)(cid:264)(cid:366) of people agreed or strongly agreed with the comment (cid:40)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:225)(cid:186)(cid:161)(cid:134)(cid:143)(cid:329)(cid:121)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:121)(cid:200)(cid:232)(cid:329) opinion without fear of negative consequences (cid:268)(cid:271)(cid:366) of people agreed or strongly agreed with the comment (cid:76)(cid:143)(cid:200)(cid:204)(cid:197)(cid:143)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:204)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329) mine are included in (cid:139)(cid:143)(cid:134)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)(cid:180)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156) Down from 87% Down from 87% Down from 82% Down from 73% (cid:19)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232) We measure overall representation and senior representation (top pay quartile) for employees from underrepresented communities. We have increased the number of communities that we measure this year to include neurodiverse employees and foreign nationals. Our overall representation improved this year across most categories, most notably our ethnic diversity has improved with the percentage of Black employees doubling from 3% to 6% and minority ethnic employees as a whole increasing from 13% to 19%. We made less progress in diversifying the senior leadership team. This is in part due to the leadership teams that have been acquired throughout the year. Inclusion We work out inclusivity scores based on the average responses from inclusivity questions asked in the annual DEI survey. These questions and the methodology are based broadly on Kantar’s inclusivity index. Overall inclusion scores went down for all groups this year. Inclusion scores are based on questions around belonging at work and we therefore expected to see a bit of a dip in sentiment at this stage of such a large change programme as we moved people into new teams and asked them to build new relationships. Despite this, we managed to make progress in closing half of the gaps in how included employees feel based on their background/characteristics, particularly for minority ethnic groups. Disclosure 75% of our employees participated in our 2022 DEI Survey, up from 73% last year. For pay gap analysis we now have 100% of gender information and 93% of employees have disclosed their ethnicity. This increase (from 92% and 82% last year) is largely due to the implementation of our new HR system. (cid:265)(cid:263)(cid:265)(cid:265)(cid:329)(cid:40)(cid:181)(cid:134)(cid:174)(cid:214)(cid:204)(cid:161)(cid:225)(cid:161)(cid:210)(cid:232)(cid:329)(cid:83)(cid:134)(cid:186)(cid:200)(cid:143)(cid:204) (cid:270)(cid:284)(cid:269)(cid:297)(cid:264)(cid:263) (FY2021: 8.5/100, FY2020: 8.5/100) Inclusion Gaps 35% 30% 25% 20% 15% 10% 5% 0% LGBTQI/ Heterosexual Foreign National/ British Non English/ English Women/ Men Low SEB/ Middle, upper SEB Neurodivergent/ Neurotypical Minority Ethnic/ White Mixed/ White Black/ White Asian/ White Disability/ No disability This chart shows the percentage difference in inclusivity scores for the communities below over the last three years. The arrows show whether the gap in inclusivity scores has increased or decreased year on year. 2020 2021 2022 TPXimpact Holdings Plc | 51 ESG report People continued (cid:76)(cid:121)(cid:232)(cid:329)(cid:139)(cid:161)(cid:204)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:133)(cid:232)(cid:329)(cid:156)(cid:143)(cid:181)(cid:139)(cid:143)(cid:200) (cid:76)(cid:121)(cid:232)(cid:329)(cid:139)(cid:161)(cid:204)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:133)(cid:232)(cid:329)(cid:143)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232) Upper Upper Middle Lower Middle Lower Upper Upper Middle Lower Middle Lower 0% 25% 50% 75% 100% Male Female 0% 25% 50% 75% 100% White Asian Black Mixed Other Undisclosed (cid:23)(cid:199)(cid:214)(cid:161)(cid:210)(cid:232)(cid:329) This year we continued to produce quarterly pay gap reports for both gender and ethnicity across the business. Our gender pay gap has grown over the last 12 months. This is in part due to higher disclosure of gender, particularly for those in the top pay quartile, due to our new HR system. It is also due to a lack of female leadership in the new acquisitions. Our ethnic pay gap also grew fairly substantially. We have seen higher levels of representation but mainly within the bottom two pay quartiles. This is likely due to our focus on recruitment but also due to increased disclosure of ethnicity (within the bottom two pay quartiles) following the launch of the Origins ERG and the new HR system. (cid:59)(cid:143)(cid:121)(cid:181)(cid:329)(cid:35)(cid:143)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:76)(cid:121)(cid:232)(cid:329)(cid:35)(cid:121)(cid:197) (cid:264)(cid:272)(cid:366) 2021: 16%, 2020: 16% (cid:59)(cid:143)(cid:121)(cid:181)(cid:329)(cid:23)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232)(cid:329)(cid:76)(cid:121)(cid:232)(cid:329)(cid:35)(cid:121)(cid:197) (cid:264)(cid:265)(cid:366) 2021: 4% (cid:59)(cid:143)(cid:139)(cid:161)(cid:121)(cid:181)(cid:329)(cid:35)(cid:143)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:76)(cid:121)(cid:232)(cid:329)(cid:35)(cid:121)(cid:197) (cid:59)(cid:143)(cid:139)(cid:161)(cid:121)(cid:181)(cid:329)(cid:23)(cid:210)(cid:160)(cid:181)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232)(cid:329)(cid:76)(cid:121)(cid:232)(cid:329)(cid:35)(cid:121)(cid:197) (cid:265)(cid:263)(cid:366) 2021: 19%, 2020: 17% (cid:264)(cid:268)(cid:366) 2021: 0% 52 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:105)(cid:160)(cid:121)(cid:210)(cid:316)(cid:204)(cid:329)(cid:181)(cid:143)(cid:231)(cid:210)(cid:291)(cid:329) 1. Formalise the role of the Employee Resource Groups and help to amplify the voices of underrepresented communities 2. (cid:34)(cid:186)(cid:134)(cid:214)(cid:204)(cid:329)(cid:186)(cid:181)(cid:329)(cid:258)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:285)(cid:329)(cid:200)(cid:143)(cid:134)(cid:200)(cid:214)(cid:161)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:210)(cid:121)(cid:161)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:139)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:143)(cid:329)(cid:329) senior people 3. Equipping leaders with the right tools they need to create a culture of inclusion, psychological safety and empathy at TPXimpact (cid:313)(cid:40)(cid:329)(cid:210)(cid:160)(cid:161)(cid:181)(cid:172)(cid:329)(cid:89)(cid:76)(cid:110)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:133)(cid:143)(cid:143)(cid:181)(cid:329)(cid:155)(cid:121)(cid:181)(cid:210)(cid:121)(cid:204)(cid:210)(cid:161)(cid:134)(cid:329)(cid:121)(cid:210)(cid:329) fostering an environment where (cid:133)(cid:143)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:329)(cid:133)(cid:200)(cid:186)(cid:226)(cid:181)(cid:329)(cid:226)(cid:186)(cid:180)(cid:121)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:121)(cid:329)(cid:197)(cid:121)(cid:200)(cid:143)(cid:181)(cid:210)(cid:329) (cid:40)(cid:329)(cid:155)(cid:143)(cid:143)(cid:174)(cid:329)(cid:134)(cid:186)(cid:180)(cid:155)(cid:186)(cid:200)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329) (cid:180)(cid:232)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:121)(cid:174)(cid:174)(cid:186)(cid:226)(cid:204)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329) (cid:121)(cid:214)(cid:210)(cid:186)(cid:181)(cid:186)(cid:180)(cid:186)(cid:214)(cid:204)(cid:174)(cid:232)(cid:284)(cid:329)(cid:40)(cid:329)(cid:155)(cid:143)(cid:143)(cid:174)(cid:329)(cid:197)(cid:200)(cid:186)(cid:214)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:329) (cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:204)(cid:186)(cid:329)(cid:210)(cid:160)(cid:121)(cid:181)(cid:172)(cid:329)(cid:232)(cid:186)(cid:214)(cid:284)(cid:314) (cid:1)(cid:181)(cid:186)(cid:181)(cid:232)(cid:180)(cid:186)(cid:214)(cid:204)(cid:285)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:19)(cid:23)(cid:40)(cid:329)(cid:83)(cid:214)(cid:200)(cid:225)(cid:143)(cid:232) Human rights TPXimpact is fully committed to preventing modern slavery (cid:121)(cid:181)(cid:139)(cid:329)(cid:160)(cid:214)(cid:180)(cid:121)(cid:181)(cid:329)(cid:210)(cid:200)(cid:121)(cid:155)(cid:258)(cid:134)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:232)(cid:329)(cid:134)(cid:160)(cid:121)(cid:161)(cid:181)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329) do not tolerate modern slavery in any of its forms and have taken concrete steps to tackle and prevent modern slavery as stated in our Modern Slavery Statement statement. In the past year, we conducted a risk assessment of the capacity of the organisation to manage and prevent the risks of modern slavery based on the Global Slavery Index and the UK Government’s Modern Slavery Assessment Tool (MSAT) framework. As part of the assessment, we mapped of our supply chain by taking into account: • • (cid:89)(cid:160)(cid:143)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:174)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:181)(cid:139)(cid:161)(cid:225)(cid:161)(cid:139)(cid:214)(cid:121)(cid:174)(cid:329)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:174)(cid:186)(cid:133)(cid:121)(cid:174)(cid:329) Slavery Index The business services rendered by the suppliers falling under high risk services (e.g. cleaning service suppliers within personnel services) • The presence of vulnerable demographic groups In addition to this, TPXimpact includes Modern Slavery Training as part of the onboarding material for any new member of staff as well as existing and have a Whistleblowing Policy that encourages all employees, customers and suppliers to report (cid:121)(cid:181)(cid:232)(cid:329)(cid:204)(cid:214)(cid:204)(cid:197)(cid:161)(cid:134)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:174)(cid:121)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:186)(cid:200)(cid:329)(cid:160)(cid:214)(cid:180)(cid:121)(cid:181)(cid:329)(cid:210)(cid:200)(cid:121)(cid:155)(cid:258)(cid:134)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:186)(cid:214)(cid:210)(cid:329)(cid:155)(cid:143)(cid:121)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329) retaliation. TPXimpact Holdings Plc | 53 ESG report Planet Planet Leaving no trace We understand the enormous threat that business as usual poses to our planet, our people and our communities. As we set the foundations for TPXimpact, (cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:139)(cid:186)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:186)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:172)(cid:181)(cid:186)(cid:226)(cid:174)(cid:143)(cid:139)(cid:156)(cid:143)(cid:329) that our planet is a crucial stakeholder. We are working hard to ensure that our operations are doing no harm and that our work is contributing to a more sustainable society. We are working to decouple our economic growth from environmental degradation by measuring, reducing and offsetting our impact on the planet. We are funding and supporting climate action, removing barriers for our employees and raising awareness of the climate emergency. 54 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:65)(cid:265)(cid:329)(cid:23)(cid:59)(cid:40)(cid:83)(cid:83)(cid:40)(cid:65)(cid:60)(cid:83) (cid:265)(cid:285)(cid:270)(cid:267)(cid:265)(cid:329)tonnes Total CO2e emissions (cid:83)(cid:14)(cid:65)(cid:76)(cid:23)(cid:329)(cid:264) (cid:267)(cid:263)(cid:366) Absolute reduction in our Scope 1 emissions (cid:79)(cid:23)(cid:60)(cid:23)(cid:105)(cid:1)(cid:13)(cid:53)(cid:23)(cid:329)(cid:23)(cid:60)(cid:23)(cid:79)(cid:35)(cid:111) (cid:271)(cid:265)(cid:366) Of our UK electricity is from renewable energy suppliers (cid:23)(cid:59)(cid:40)(cid:83)(cid:83)(cid:40)(cid:65)(cid:60)(cid:83)(cid:329)(cid:13)(cid:111)(cid:329)(cid:79)(cid:23)(cid:104)(cid:23)(cid:60)(cid:93)(cid:23) (cid:271)(cid:366) reduction in CO2 emissions per £1m revenue revenue (cid:14)(cid:65)(cid:265) TPXimpact Holdings Plc | 55 ESG report Planet continued (cid:65)(cid:214)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232) We understand that our impact on the planet includes more than just our emissions. The climate and ecological emergency needs an enormous number of solutions, ranging from regenerative and restorative programmes, big shifts in behaviour as well as commitments to reducing our footprint. We look to make a positive impact (cid:200)(cid:161)(cid:156)(cid:160)(cid:210)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:204)(cid:197)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:287)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:226)(cid:160)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329)(cid:210)(cid:186)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) industry peers, to those organisations we work for and those who supply us. We have therefore looked at our environmental impact as; company impact, collective action and client and partners. 56 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:13)(cid:200)(cid:143)(cid:121)(cid:172)(cid:139)(cid:186)(cid:226)(cid:181)(cid:329)(cid:186)(cid:155)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:133)(cid:232)(cid:329)(cid:134)(cid:121)(cid:210)(cid:143)(cid:156)(cid:186)(cid:200)(cid:232) Purchased goods and services (cid:271)(cid:269)(cid:366) Remote working (cid:264)(cid:263)(cid:366) Business travel (cid:265)(cid:366) Electricity and district heating (cid:264)(cid:366) Employee commuting (cid:263)(cid:284)(cid:269)(cid:366) Other (cid:263)(cid:284)(cid:266)(cid:366) Gas (cid:263)(cid:284)(cid:264)(cid:366) (cid:14)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329) (cid:89)(cid:160)(cid:143)(cid:329)(cid:180)(cid:186)(cid:204)(cid:210)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:76)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:83)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232)(cid:329)(cid:161)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:139)(cid:214)(cid:134)(cid:143)(cid:329)(cid:329) the carbon emissions contributing to the climate emergency. There are three stages to this; measure our carbon footprint, actively reduce emissions wherever possible, and offset any residual emissions. (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:160)(cid:161)(cid:200)(cid:139)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:155)(cid:214)(cid:174)(cid:174)(cid:232)(cid:329)(cid:180)(cid:143)(cid:121)(cid:204)(cid:214)(cid:200)(cid:143)(cid:139)(cid:329) emissions across all categories of Scope 1, 2 and 3. This has helped enormously with our collective knowledge. Our carbon accounting approach is as extensive as it is possible to have. We have shown our commitment to this by hiring an in-house Sustainability Analyst to work full-time on carbon footprinting and planet-related initiatives, alongside our existing Planet (cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:121)(cid:174)(cid:174)(cid:186)(cid:226)(cid:329)(cid:214)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:204)(cid:210)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:155)(cid:186)(cid:186)(cid:210)(cid:197)(cid:200)(cid:161)(cid:181)(cid:210)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329) deeply as well as report with more regularity, accuracy and reach in the future. As a result of this we can see what impact our activities are having on our carbon footprint on a monthly or quarterly basis and can act to reduce these impacts faster. (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:264)(cid:329)(cid:300)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) UK Norway Bulgaria (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:265) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:264) (cid:34)(cid:111)(cid:265)(cid:263)(cid:265)(cid:263) (cid:266)(cid:284)(cid:271)(cid:267) 3.84 0 0 6.41 6.41 0 0 3.55 - - - (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:265)(cid:329)(cid:300)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) (cid:266)(cid:269)(cid:284)(cid:263)(cid:267) 23.49 43.85 UK Norway Bulgaria 11.52 5.70 18.82 4.79 4.87 13.83 - - - (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:266)(cid:329)(cid:300)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) (cid:265)(cid:285)(cid:270)(cid:263)(cid:265)(cid:284)(cid:265)(cid:265) 1,867.69 1472.38 Purchased Goods & Services 2,344.99 1,662.63 1,210.59 Employee Commuting (and Remote Working) Business Travel Fuel and Energy Related Services Upstream transportation and distribution (cid:89)(cid:186)(cid:210)(cid:121)(cid:174)(cid:329)(cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:264)(cid:285)(cid:329)(cid:265)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:266)(cid:329) (cid:300)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) 285.74 64.21 180.57 10.90 60.61 184.59 7.17 0.11 13.59 15.45 0.27 1.14 (cid:265)(cid:285)(cid:270)(cid:267)(cid:265)(cid:284)(cid:263)(cid:263) 1,915.00 1,531.00 tCO2e per £1m Revenue 34.28 37.32 48.61 tCO2e per Full Time Employee (FTE) Percentage of Renewable Scope 2 Energy (UK) Percentage of Renewable Scope 2 Energy (Global) 5.01 4.30 4.05 81.9% 29.4% – – – – TPXimpact Holdings Plc | 57 ESG report Planet continued (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:264)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:265)(cid:329)(cid:23)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:300)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) FY2022: 39.88 S1: 3.84 S2: 36.04 FY2021: 29.90 S1: 6.41 S2: 23.49 FY2020: 47.40 S1: 3.55 S2: 43.85 (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:264)(cid:329)(cid:306)(cid:329)(cid:139)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204) We have achieved an absolute reduction in scope 1 emissions, in FY21 we had scope 1 emissions of 6.4 tCO2e which has been reduced to 3.8 tCO2e in FY22 representing a 40% decrease. This is due to our long-term strategy of moving away from (cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:156)(cid:121)(cid:204)(cid:329)(cid:214)(cid:204)(cid:121)(cid:156)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329)(cid:161)(cid:210)(cid:329)(cid:161)(cid:204)(cid:329)(cid:181)(cid:186)(cid:210)(cid:329)(cid:121)(cid:329)(cid:200)(cid:143)(cid:181)(cid:143)(cid:226)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:204)(cid:186)(cid:214)(cid:200)(cid:134)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:143)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232)(cid:284)(cid:329) (cid:65)(cid:181)(cid:174)(cid:232)(cid:329)(cid:210)(cid:160)(cid:200)(cid:143)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:204)(cid:143)(cid:225)(cid:143)(cid:181)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:204)(cid:329)(cid:214)(cid:204)(cid:143)(cid:329)(cid:156)(cid:121)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:143)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329) and we do not exercise operation control over the building in these leases. Therefore, under the GHG protocol this could be classed as indirect energy emissions (scope 2) but we have decided to still report them as direct scope 1 emissions to allow easier comparison to previous years. We are looking to eliminate scope 1 emissions entirely in the future. (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:265)(cid:329)(cid:306)(cid:329)(cid:161)(cid:181)(cid:139)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:329)(cid:143)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204) Scope 2 has seen increases across the board for all three countries we are based in. Total scope 2 emissions have increased from 23.5 tCO2e in FY21 to 36.0 tCO2e in FY22 but they are still down on FY20’s pre-covid levels of 43.0 tCO2e. (cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:143)(cid:329)(cid:143)(cid:231)(cid:197)(cid:174)(cid:121)(cid:161)(cid:181)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:210)(cid:226)(cid:186)(cid:329)(cid:155)(cid:121)(cid:134)(cid:210)(cid:186)(cid:200)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:143)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329) (cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:160)(cid:143)(cid:121)(cid:225)(cid:161)(cid:174)(cid:232)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:181)(cid:139)(cid:143)(cid:180)(cid:161)(cid:134)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:204)(cid:329) saw much less footfall and therefore drew less electricity from the grid which led to lower scope 2 emissions. As a result of us (cid:180)(cid:186)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:226)(cid:121)(cid:232)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:156)(cid:121)(cid:204)(cid:329)(cid:160)(cid:143)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:204)(cid:285)(cid:329)(cid:143)(cid:174)(cid:143)(cid:134)(cid:210)(cid:200)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232)(cid:329)(cid:180)(cid:214)(cid:204)(cid:210)(cid:329)(cid:133)(cid:143)(cid:329) used to heat them instead, which in turn also increases scope 2 emissions. However, electricity is becoming increasingly decarbonised and is much more manageable as a source of sustainable energy than gas. 58 | (cid:93)(cid:51)(cid:329)(cid:204)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:265)(cid:329)(cid:143)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329) (cid:200)(cid:143)(cid:181)(cid:143)(cid:226)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:161)(cid:143)(cid:200)(cid:204) (cid:35)(cid:174)(cid:186)(cid:133)(cid:121)(cid:174)(cid:329)(cid:204)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:265)(cid:329)(cid:143)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232)(cid:329) (cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:200)(cid:143)(cid:181)(cid:143)(cid:226)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:161)(cid:143)(cid:200)(cid:204) 18% (cid:535)(cid:461) 82% Renewable Energy suppliers 29% (cid:610)(cid:461) Other suppliers 71% (cid:89)(cid:160)(cid:200)(cid:143)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:225)(cid:143)(cid:329)(cid:93)(cid:51)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:204)(cid:329)(cid:214)(cid:204)(cid:143)(cid:329)(cid:200)(cid:143)(cid:181)(cid:143)(cid:226)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:143)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:161)(cid:143)(cid:200)(cid:204)(cid:285)(cid:329) meaning 82% of our UK electricity usage, and 29% of our global usage, is from renewable energy suppliers. However, we report the headline numbers using a location-based approach based (cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:121)(cid:200)(cid:133)(cid:186)(cid:181)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:181)(cid:204)(cid:161)(cid:210)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:143)(cid:174)(cid:143)(cid:134)(cid:210)(cid:200)(cid:161)(cid:134)(cid:161)(cid:210)(cid:232)(cid:329)(cid:156)(cid:200)(cid:161)(cid:139)(cid:329)(cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329) is located. Total Scope 1 and 2 emissions (39.9 tCO2e) are up on the (cid:197)(cid:200)(cid:143)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:300)(cid:265)(cid:272)(cid:284)(cid:272)(cid:329)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301)(cid:329)(cid:133)(cid:214)(cid:210)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:204)(cid:210)(cid:161)(cid:174)(cid:174)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:174)(cid:186)(cid:226)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:121)(cid:181)(cid:329) pre-covid FY20 (47.4 tCO2e) numbers despite the large growth of the company’s revenue and an 86% increase in FTEs over the past 2 years. (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:266)(cid:329)(cid:306)(cid:329)(cid:197)(cid:214)(cid:200)(cid:134)(cid:160)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:156)(cid:186)(cid:186)(cid:139)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204) Purchased goods and services remain the large bulk of our total emissions. They account for 86% of our total emissions. A steady growth in absolute emissions is due to the growth of the business. The 41% increase in purchased goods and services emissions from 1,662 tCO2e to 2,345 tCO2e is smaller than the (cid:938) (cid:461) (cid:463) (cid:5056) (cid:461) (cid:463) STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:1)(cid:225)(cid:143)(cid:200)(cid:121)(cid:156)(cid:143)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:139)(cid:121)(cid:232)(cid:329) (cid:197)(cid:143)(cid:200)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:300)(cid:172)(cid:156)(cid:14)(cid:65)(cid:265)(cid:143)(cid:301) Remote Working: (cid:265)(cid:284)(cid:263)(cid:269) (cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:105)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:286)(cid:329) (cid:267)(cid:284)(cid:269)(cid:263) 58% increase in revenue over the same period, and although we are working to decrease the annual growth in purchased goods and services emissions we can see the continuation of the decoupling of economic growth and increase in carbon emissions. We are also beginning to ask suppliers directly for their real emissions data and taking a longer-term view on decarbonising our supply chain. By moving away from being heavily dependent on spend-based estimates, we can directly compare suppliers in the same industry and make sensible procurement decisions for the good of the planet. (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:266)(cid:329)(cid:306)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:300)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:180)(cid:186)(cid:210)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:301) Employee commuting emissions also include emissions associated with remote working. As part of our methodology this year we have decided to count contractors working on behalf of TPXimpact as employees for emissions purposes. In previous years they had been listed as suppliers in purchased goods and services and assigned a spend-based emissions factor which did not give a representative amount of emissions per contractor. This year we counted their home working and commuting emissions as if they were employees. The total commuting/homeworking emissions this year is 286 tCO2e, a (cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:264)(cid:271)(cid:263)(cid:329)(cid:210)(cid:14)(cid:65)(cid:265)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:143)(cid:225)(cid:161)(cid:186)(cid:214)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284)(cid:329) There are three factors explaining this: • • • the inclusion of contractor’s emissions the growth in the number of FTEs (22%) a 59% increase in employee commuting from the previous year which was heavily affected by the pandemic. In FY21 the average commuting/remote working emissions per employee was 0.45 v 0.41 tCO2e in FY20. This slight increase is mainly due to more commuting taking place as more (cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:155)(cid:186)(cid:174)(cid:174)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:121)(cid:200)(cid:156)(cid:143)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:204)(cid:329) (cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:181)(cid:139)(cid:143)(cid:180)(cid:161)(cid:134)(cid:329)(cid:186)(cid:181)(cid:329)(cid:34)(cid:111)(cid:265)(cid:264)(cid:284)(cid:329)(cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329) intensive than working from home in most cases so it increases the amount of emissions per employee for FY22. (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:266)(cid:329)(cid:306)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:210)(cid:200)(cid:121)(cid:225)(cid:143)(cid:174) Business travel has increased from 11 tCO2e in FY21 to 64 tCO2e (cid:161)(cid:181)(cid:329)(cid:34)(cid:111)(cid:265)(cid:265)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:204)(cid:210)(cid:161)(cid:174)(cid:174)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:174)(cid:186)(cid:226)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:121)(cid:181)(cid:329)(cid:197)(cid:200)(cid:143)(cid:306)(cid:14)(cid:186)(cid:225)(cid:161)(cid:139)(cid:306)(cid:264)(cid:272)(cid:329)(cid:174)(cid:143)(cid:225)(cid:143)(cid:174)(cid:204)(cid:329) of 185 tCO2e in FY20. The increase from the previous year is due to the return of regular business travel following the easing of restrictions. Despite large growth in the business we have still reduced business travel emissions from 2 years ago and are attempting to keep them as low as possible by changing the way we work. Teleworking and videoconferencing is always the priority, and if employees must travel then they are urged (cid:210)(cid:186)(cid:329)(cid:214)(cid:204)(cid:143)(cid:329)(cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:329)(cid:210)(cid:200)(cid:121)(cid:181)(cid:204)(cid:197)(cid:186)(cid:200)(cid:210)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:180)(cid:197)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:139)(cid:214)(cid:134)(cid:143)(cid:329)(cid:259)(cid:161)(cid:156)(cid:160)(cid:210)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329) much as possible and they should only be taken in business critical situations. (cid:83)(cid:214)(cid:180)(cid:180)(cid:121)(cid:200)(cid:232) (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:264) 0.14% (cid:83)(cid:134)(cid:186)(cid:197)(cid:143)(cid:329)(cid:265) 1.31% Scope 3 98.55% Overall our emissions have increased by 43% compared to a 58% increase in revenue. Scope 3 still remains the overwhelming majority of our emissions which is to be expected for a largely remote professional services business. The vast majority of scope 3 emissions come from the purchased goods and services category. Within this category the most common supplier types are IT, consultancy and (cid:200)(cid:143)(cid:134)(cid:200)(cid:214)(cid:161)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:258)(cid:200)(cid:180)(cid:204)(cid:284)(cid:329)(cid:1)(cid:174)(cid:210)(cid:160)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:226)(cid:143)(cid:329)(cid:133)(cid:143)(cid:156)(cid:121)(cid:181)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:139)(cid:171)(cid:214)(cid:204)(cid:210)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:143)(cid:204)(cid:210)(cid:161)(cid:180)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329) of contractors emissions this year, we believe many more suppliers within those categories are also contractors. Going TPXimpact Holdings Plc | 59 ESG report Planet continued forward we will be looking to reclassify more suppliers as employees if the activity is only that of a contractor working on behalf of TPXimpact so we can continue to make our emissions estimates more accurate. Our economic intensity dropped for another consecutive year going from 37.32 to 34.28 tCO2e/£1m revenue, a drop of 8%. The decoupling of economic growth with carbon emissions is a key goal for us, and we will be looking to repeat this decrease in future years to bring our economic intensity down to levels (cid:121)(cid:174)(cid:161)(cid:156)(cid:181)(cid:161)(cid:181)(cid:156)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:264)(cid:284)(cid:268)(cid:407)(cid:14)(cid:329)(cid:76)(cid:121)(cid:200)(cid:161)(cid:204)(cid:329)(cid:1)(cid:156)(cid:200)(cid:143)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:204)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:284)(cid:329) Ecological impact As a digital native professional service company, we don’t manufacture or sell physical products that negatively impact nature, land use, ecological sensitivity, freshwater availability or water consumption. However, we accept that in order to operate we need buildings and infrastructure, which will negatively impact those things. We therefore donate time and money to organisations who are tackling the ecological emergency to try to ensure that we are having a positive impact. We have continued to support Rewilding Britain this year, contributing towards many different direct rewilding projects as well as research, education and (cid:197)(cid:186)(cid:174)(cid:161)(cid:134)(cid:232)(cid:329)(cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:161)(cid:181)(cid:156)(cid:284)(cid:329) (cid:65)(cid:214)(cid:200)(cid:329)(cid:186)(cid:155)(cid:155)(cid:204)(cid:143)(cid:210)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:197)(cid:197)(cid:200)(cid:186)(cid:121)(cid:134)(cid:160) We have continued to offset our annual emissions using Verra (cid:225)(cid:143)(cid:200)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:155)(cid:155)(cid:204)(cid:143)(cid:210)(cid:329)(cid:265)(cid:285)(cid:270)(cid:267)(cid:265)(cid:329)(cid:210)(cid:186)(cid:181)(cid:181)(cid:143)(cid:204)(cid:285)(cid:329)(cid:143)(cid:199)(cid:214)(cid:161)(cid:225)(cid:121)(cid:174)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:210)(cid:186)(cid:210)(cid:121)(cid:174)(cid:329) emissions. This year we will settle our historic footprint offset bill, taking into account all acquired businesses from the date of incorporation, not the date of acquisition. Collective action There are approximately 29 million payrolled employees within the UK. We believe that there is a huge amount of collective power that could be leveraged if employers properly encourage and incentivise climate action and behaviour change amongst their workforce. We don’t think that businesses should expect employees to carry the burden of solving the climate and ecological emergencies on their own. Therefore, we have been delivering the following initiatives to facilitate positive environmental impact through the power of our employees: • Our (cid:65)(cid:134)(cid:210)(cid:186)(cid:197)(cid:214)(cid:204)(cid:329)(cid:23)(cid:174)(cid:143)(cid:134)(cid:210)(cid:200)(cid:161)(cid:134)(cid:329)(cid:104)(cid:143)(cid:160)(cid:161)(cid:134)(cid:174)(cid:143)(cid:329)(cid:300)(cid:23)(cid:104)(cid:301)(cid:329)(cid:174)(cid:143)(cid:121)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:134)(cid:160)(cid:143)(cid:180)(cid:143) opens up the possibility of EV ownership to a wider range of (cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:121)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:204)(cid:121)(cid:174)(cid:121)(cid:200)(cid:232)(cid:329)(cid:204)(cid:121)(cid:134)(cid:200)(cid:161)(cid:258)(cid:134)(cid:143)(cid:329)(cid:204)(cid:134)(cid:160)(cid:143)(cid:180)(cid:143)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329) year, 12 people signed up. Given that lifetime emissions from an EV is over two thirds lower than a vehicle with a combustion engine, these 12 cars are contributing to the decarbonisation of the transport industry. • Our (cid:14)(cid:232)(cid:134)(cid:174)(cid:143)(cid:329)(cid:83)(cid:134)(cid:160)(cid:143)(cid:180)(cid:143) remains well used with an upper limit (cid:186)(cid:155)(cid:329)(cid:339)(cid:264)(cid:263)(cid:285)(cid:263)(cid:263)(cid:263)(cid:329)(cid:197)(cid:143)(cid:200)(cid:329)(cid:197)(cid:143)(cid:200)(cid:204)(cid:186)(cid:181)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:264)(cid:263)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:329) have made use of the scheme helping to decarbonise employee travel. • We launched a dedicated (cid:76)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:23)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:79)(cid:143)(cid:204)(cid:186)(cid:214)(cid:200)(cid:134)(cid:143)(cid:329) Group (ERG) as a community for climate activists to advocate on behalf of the planet. The ERG rolled out its (cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:134)(cid:121)(cid:180)(cid:197)(cid:121)(cid:161)(cid:156)(cid:181)(cid:285)(cid:329)(cid:210)(cid:121)(cid:172)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:204)(cid:214)(cid:133)(cid:171)(cid:143)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:155)(cid:121)(cid:204)(cid:160)(cid:161)(cid:186)(cid:181)(cid:284)(cid:329)(cid:89)(cid:161)(cid:197)(cid:204)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329) shared around how to reduce the impact of your wardrobe on the planet, culminating in a clothes swap in one of our London hubs. 60 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS • We organised a (cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:197)(cid:160)(cid:161)(cid:174)(cid:121)(cid:181)(cid:210)(cid:160)(cid:200)(cid:186)(cid:197)(cid:232)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:204)(cid:160)(cid:186)(cid:197) with Some examples of work from this year; Impatience Earth attended by over 100 employees. This helped highlight the importance of donating money (cid:210)(cid:186)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:174)(cid:174)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) aspects related to climate and ecological emergencies. This resulted in £13,000 donated to planet related organisations such as Rewilding Britain, WWF, Sheldrick Wildlife Trust and Wiltshire Wildlife Trust. • Over 140 (cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181) hours (14% of the total) were donated to planet related projects or organisations this year including lake and river clean ups, preparing logs and planting trees in Vitosha mountain. • We have continued to encourage the use of Ecosia throughout our business as a search engine and have our own dedicated sign up link to track the number of trees planted as a result of the actions of our employees. As of the end of FY2022, 67,236 searches by TPXimpact (cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:155)(cid:329)(cid:264)(cid:285)(cid:265)(cid:264)(cid:265)(cid:329)(cid:210)(cid:200)(cid:143)(cid:143)(cid:204)(cid:284) (cid:14)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:40)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:232) (cid:76)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:204) We are growing our portfolio of planet focused client projects both in terms of revenue and impact. • Client work with a direct planet focus and work for (cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:285)(cid:329)(cid:180)(cid:121)(cid:139)(cid:143)(cid:329)(cid:214)(cid:197)(cid:329)(cid:264)(cid:366)(cid:329)(cid:186)(cid:155)(cid:329) our overall revenue this year and our total income from this (cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:268)(cid:263)(cid:366)(cid:329)(cid:204)(cid:161)(cid:181)(cid:134)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:265)(cid:263)(cid:297)(cid:265)(cid:264)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329) (cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:160)(cid:121)(cid:204)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:174)(cid:232)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:143)(cid:139)(cid:284)(cid:329)(cid:105)(cid:143)(cid:316)(cid:200)(cid:143)(cid:329) involved directly with the research, recommendations and implementations that will help our clients address the climate and ecological emergencies. We intend to increase the percentage of our revenue that comes from planet focused projects and clients this year and improve our reputation as the go-to professional services company for clients concerned about their environmental impact. • We have concluded our work with Innovate UK and (cid:23)(cid:180)(cid:143)(cid:200)(cid:156)(cid:143)(cid:181)(cid:210)(cid:329)(cid:23)(cid:181)(cid:143)(cid:200)(cid:156)(cid:232) which helped identify previously unknown insights into smart local energy systems, from the perspective of local authorities, landlords and residents. Particularly pertinent was the work to design the future customer experience journey with layers of support to help residents manage their budget and household energy use. • We worked with Open Innovations Leeds on a project sponsored by (cid:14)(cid:186)(cid:181)(cid:181)(cid:143)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:76)(cid:174)(cid:121)(cid:134)(cid:143)(cid:204)(cid:329)(cid:14)(cid:121)(cid:210)(cid:121)(cid:197)(cid:214)(cid:174)(cid:210)(cid:329)(cid:300)(cid:14)(cid:76)(cid:14)(cid:301), the UK’s innovation accelerator for cities, transport, and places. We designed prototypes showing how data and technology can promote collaboration, enable coordination and (cid:214)(cid:181)(cid:174)(cid:186)(cid:134)(cid:172)(cid:329)(cid:181)(cid:143)(cid:210)(cid:329)(cid:238)(cid:143)(cid:200)(cid:186)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:161)(cid:181)(cid:329)(cid:200)(cid:143)(cid:156)(cid:121)(cid:200)(cid:139)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:210)(cid:200)(cid:186)(cid:258)(cid:210)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:160)(cid:186)(cid:180)(cid:143)(cid:204)(cid:329) and bulk EV charging points. The bulk EV charging points (cid:139)(cid:121)(cid:210)(cid:121)(cid:329)(cid:210)(cid:186)(cid:186)(cid:174)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:204)(cid:210)(cid:329)(cid:174)(cid:186)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:200)(cid:186)(cid:174)(cid:174)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:214)(cid:210)(cid:329)(cid:133)(cid:214)(cid:174)(cid:172)(cid:329) (cid:134)(cid:160)(cid:121)(cid:200)(cid:156)(cid:161)(cid:181)(cid:156)(cid:329)(cid:161)(cid:181)(cid:155)(cid:200)(cid:121)(cid:204)(cid:210)(cid:200)(cid:214)(cid:134)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:259)(cid:143)(cid:143)(cid:210)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:225)(cid:143)(cid:160)(cid:161)(cid:134)(cid:174)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:161)(cid:204)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329) (cid:197)(cid:174)(cid:121)(cid:181)(cid:181)(cid:143)(cid:200)(cid:204)(cid:329)(cid:204)(cid:143)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:134)(cid:186)(cid:174)(cid:174)(cid:143)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:174)(cid:232)(cid:329)(cid:134)(cid:186)(cid:181)(cid:204)(cid:161)(cid:139)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329) from local authorities, the energy sector and net zero commitments. For NHS Digital, we analysed the rapidly growing digital sustainability market. The digital industry is now responsible for more emissions than the airline industry, (cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:60)(cid:39)(cid:83)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:225)(cid:143)(cid:200)(cid:232)(cid:329)(cid:161)(cid:180)(cid:197)(cid:186)(cid:200)(cid:210)(cid:121)(cid:181)(cid:210)(cid:329)(cid:161)(cid:204)(cid:204)(cid:214)(cid:143)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:139)(cid:143)(cid:258)(cid:181)(cid:143)(cid:139)(cid:329) the culture, approach and tooling needed to make the planet a stakeholder and sustainability a non-functional requirement throughout the delivery of their digital estate. Having been given a BIMA 10 Award for our groundbreaking work with reducing the emissions from The Climate Group website, this is an area we will continue to lead on. TPXimpact Holdings Plc | 61 ESG report Planet continued • Wild Ingleborough is a partnership project partnership between (cid:111)(cid:186)(cid:200)(cid:172)(cid:204)(cid:160)(cid:161)(cid:200)(cid:143)(cid:329)(cid:105)(cid:161)(cid:174)(cid:139)(cid:174)(cid:161)(cid:155)(cid:143)(cid:329)(cid:89)(cid:200)(cid:214)(cid:204)(cid:210)(cid:285)(cid:329)(cid:105)(cid:105)(cid:34)(cid:306)(cid:93)(cid:51)(cid:285)(cid:329)(cid:60)(cid:121)(cid:210)(cid:214)(cid:200)(cid:121)(cid:174)(cid:329) (cid:23)(cid:181)(cid:156)(cid:174)(cid:121)(cid:181)(cid:139)(cid:285)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:93)(cid:181)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:53)(cid:143)(cid:143)(cid:139)(cid:204)(cid:285)(cid:329)(cid:93)(cid:181)(cid:161)(cid:210)(cid:143)(cid:139)(cid:329)(cid:13)(cid:121)(cid:181)(cid:172)(cid:329)(cid:186)(cid:155)(cid:329)(cid:14)(cid:121)(cid:200)(cid:133)(cid:186)(cid:181)(cid:329) and The Woodland Trust. It is an ambitious, landscape- scale project working with the community to bring about nature’s recovery in an area of the Yorkshire Dales. We enabled local people to help develop a community vision and co-design the project ensuring Wild Ingleborough (cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:204)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:174)(cid:186)(cid:134)(cid:121)(cid:174)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:285)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) businesses, whilst welcoming more diverse groups of visitors to enjoy the area. • In partnership with (cid:51)(cid:181)(cid:186)(cid:226)(cid:174)(cid:143)(cid:139)(cid:156)(cid:143)(cid:329)(cid:60)(cid:143)(cid:210)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:186)(cid:181)(cid:329)(cid:14)(cid:174)(cid:161)(cid:180)(cid:121)(cid:210)(cid:143)(cid:329) (cid:1)(cid:204)(cid:204)(cid:143)(cid:180)(cid:133)(cid:174)(cid:161)(cid:143)(cid:204) (cid:300)(cid:51)(cid:60)(cid:65)(cid:14)(cid:1)(cid:301) we have developed practical (cid:156)(cid:214)(cid:161)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:186)(cid:174)(cid:161)(cid:134)(cid:232)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:161)(cid:121)(cid:174)(cid:204)(cid:329)(cid:226)(cid:160)(cid:186)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:134)(cid:174)(cid:161)(cid:180)(cid:121)(cid:210)(cid:143)(cid:329) assemblies. The focus is on ensuring the process results in positive policy changes, with guidance across how to set up, facilitate and action an effective climate assembly. (cid:40)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:232)(cid:329)(cid:134)(cid:186)(cid:174)(cid:174)(cid:121)(cid:133)(cid:186)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181) As for our wider industry, we’re playing leading roles at the BIMA Sustainability Council and the Sustainable Digital Infrastructure Alliance (SDIA). The BIMA Sustainability Council is helping BIMA member organisations (UK based advertising, digital and technology agencies) measure, understand and reduce their carbon footprint as well as understand and take action on the emissions caused by the digital products they build. We’re actively partnering with the SDIA to release a tool that will measure the emissions caused by software running in data centres. The student-led research projects we set for groups of Masters students at Loughborough University London highlighted that the impact on the planet caused by the digital industry is not taught in university education. This is especially worrying given 62 | the subjects being studied by the people taking part in the research were engineering, marketing and general business. These are our next generation of leaders, coming into the world of work with no appreciation of how to discuss, measure or reduce the carbon footprint of the digital industry. In the summer and autumn of 2022 we will be working with a Masters student who will focus her dissertation on this problem. (cid:105)(cid:160)(cid:121)(cid:210)(cid:316)(cid:204)(cid:329)(cid:181)(cid:143)(cid:231)(cid:210)(cid:291) • (cid:83)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:133)(cid:121)(cid:204)(cid:143)(cid:139)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:204)(cid:329)(cid:306)(cid:329)We will be committing to setting short and long-term Science Based Targets to align with the Science Based Targets Initiative Net-Zero Standard. Therefore, we will be committing to: • • • An absolute reduction in our Scope 1 emissions Using 100% renewable electricity Reducing the economic intensity of our scope 3 emissions • • (cid:60)(cid:143)(cid:226)(cid:329)(cid:155)(cid:214)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:180)(cid:186)(cid:139)(cid:143)(cid:174)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232)(cid:329)(cid:306) To ensure that our investment in measuring, reducing and offsetting our impact on the planet keeps pace with our commercial (cid:156)(cid:200)(cid:186)(cid:226)(cid:210)(cid:160)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:133)(cid:143)(cid:329)(cid:200)(cid:161)(cid:181)(cid:156)(cid:155)(cid:143)(cid:181)(cid:134)(cid:161)(cid:181)(cid:156)(cid:329)(cid:263)(cid:284)(cid:268)(cid:366)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:200)(cid:143)(cid:306)(cid:210)(cid:121)(cid:231)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:204)(cid:329) each year going forwards. (cid:39)(cid:161)(cid:204)(cid:210)(cid:186)(cid:200)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:155)(cid:155)(cid:204)(cid:143)(cid:210)(cid:329)(cid:306) In our FY2021 annual report, we committed to offset all of the historical scope 1, 2 and 3 emissions of the various companies that came together to form TPXimpact. Given recent acquisitions, we now have more historical emissions to offset. We have done the calculations and our offsets will be purchased later in 2022. Emissions are a debt to the planet that we will pay back. (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) STRATEGIC REPORT CORPORATE GOVERNANCE CORPORATE GOVERNANCE CORPORATE GOVERNANCE FINANCIAL STATEMENTS FINANCIAL STATEMENTS FINANCIAL STATEMENTS TPXimpact Holdings Plc | 63 TPXimpact Holdings Plc | 63 TPXimpact | 63 ESG report Community (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232) Equipping our communities with future-proof skills We have kickstarted over one thousand careers, investing both our time and money in activities which are equipping our communities with the skills they need to contribute to, (cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:285)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:186)(cid:214)(cid:200)(cid:210)(cid:160)(cid:329) industrial revolution. We believe that everyone should have equal opportunities to participate in the world that we’re helping to create. The tech sector is growing at an exciting pace and we need to make sure that we are making opportunities accessible to talent from all backgrounds. That is why we donate (cid:264)(cid:366)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:264)(cid:366)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329) invest in our local communities. 64 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:39)(cid:1)(cid:79)(cid:40)(cid:89)(cid:40)(cid:23)(cid:83)(cid:329)(cid:83)(cid:93)(cid:76)(cid:76)(cid:65)(cid:79)(cid:89)(cid:23)(cid:19) (cid:264)(cid:264)(cid:267) charities (cid:268)(cid:263) (cid:265)(cid:263)(cid:265)(cid:264) SKILLS (cid:269)(cid:271)(cid:269) careers kickstarted with future-proof skills (cid:264)(cid:285)(cid:265)(cid:271)(cid:271) (cid:265)(cid:263)(cid:265)(cid:263) (cid:265)(cid:263)(cid:265)(cid:265) (cid:269)(cid:263)(cid:264) (cid:265)(cid:263)(cid:265)(cid:264) (cid:39)(cid:65)(cid:93)(cid:79)(cid:83)(cid:329)(cid:19)(cid:65)(cid:60)(cid:1)(cid:89)(cid:23)(cid:19) (cid:264)(cid:285)(cid:272)(cid:270)(cid:263) hours donated to community action this year (cid:34)(cid:93)(cid:89)(cid:93)(cid:79)(cid:23)(cid:329)(cid:53)(cid:23)(cid:1)(cid:19)(cid:23)(cid:79)(cid:83)(cid:329)(cid:76)(cid:79)(cid:65)(cid:35)(cid:79)(cid:1)(cid:59)(cid:59)(cid:23) (cid:264)(cid:263) entrepreneurs supported through our Future Leaders programme TPXimpact Holdings Plc | 65 ESG report Community continued (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210) Our philanthropic giving keeps pace with our commercial growth through our 1% pledge. This year, we donated £59,368 to charities through our community investment and employee-led giving programmes. We understand that a large part of the value that we can offer to (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:134)(cid:186)(cid:180)(cid:143)(cid:204)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:210)(cid:161)(cid:204)(cid:143)(cid:285)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:285)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329) is why we try to leverage all of our investments with additional (cid:181)(cid:186)(cid:181)(cid:306)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:284)(cid:329)(cid:89)(cid:160)(cid:161)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:214)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329) 114 charities. Our key community investment partnerships year include; (cid:1)(cid:139)(cid:121)(cid:329)(cid:14)(cid:186)(cid:174)(cid:174)(cid:143)(cid:156)(cid:143)(cid:329)(cid:306) This year we ran not one but two Future Leaders programmes in partnership with ADA College, supporting 10 digital entrepreneurs from underrepresented backgrounds. You can read more about Future Leaders on page 68. (cid:1)(cid:200)(cid:172)(cid:226)(cid:200)(cid:161)(cid:156)(cid:160)(cid:210)(cid:329)(cid:83)(cid:134)(cid:160)(cid:186)(cid:174)(cid:121)(cid:200)(cid:204)(cid:329)(cid:306) We continued our partnership with Arkwright Scholars to sponsor diverse students looking to get into engineering. We currently fund two scholarships and complement the grants with work experience and mentoring. (cid:40)(cid:181)(cid:265)(cid:83)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:306)(cid:329)(cid:105)(cid:143)(cid:329)(cid:204)(cid:197)(cid:186)(cid:181)(cid:204)(cid:186)(cid:200)(cid:143)(cid:139)(cid:329)(cid:40)(cid:181)(cid:265)(cid:83)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284)(cid:329) They work to promote social mobility and diversity in science, (cid:210)(cid:143)(cid:134)(cid:160)(cid:181)(cid:186)(cid:174)(cid:186)(cid:156)(cid:232)(cid:285)(cid:329)(cid:143)(cid:181)(cid:156)(cid:161)(cid:181)(cid:143)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:180)(cid:121)(cid:210)(cid:160)(cid:204)(cid:284)(cid:329)(cid:83)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:226)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329) cohort of students through a work experience programme in the summer and hosted a Robotic Process Automation workshop that was attended and viewed by over 200 young people. (cid:89)(cid:143)(cid:174)(cid:143)(cid:200)(cid:161)(cid:172)(cid:329)(cid:83)(cid:134)(cid:160)(cid:186)(cid:186)(cid:174)(cid:329)(cid:1)(cid:134)(cid:121)(cid:139)(cid:143)(cid:180)(cid:232)(cid:329)(cid:306) Telerik School Academy is the largest free IT education initiative for children in Bulgaria. We are delighted to have sponsored the educational activities for 1 academy for the 2021/2022 school year and supported the digital education of more than 20 children in the small town of Montana. 66 | We have supported (cid:264)(cid:263)(cid:329)(cid:19)igital entrepreneurs from underrepresented backgrounds We have donated (cid:339)(cid:268)(cid:272)(cid:285)(cid:266)(cid:269)(cid:271) to charity this year Sponsored the Digital Education of (cid:265)(cid:263)(cid:329)(cid:14)hildren in the small town of Montana (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:121)(cid:200)(cid:143)(cid:143)(cid:200)(cid:204)(cid:329)(cid:51)(cid:161)(cid:134)(cid:172)(cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:143)(cid:139) Some companies excuse poor diversity on a lack of representation in the wider market. We don’t. We recognise and embrace our responsibility to help diversify talent pipelines much earlier on. That is why we are committed to kickstarting 5,000 digital careers by 2025. We do this through a range of interventions that focus on both scale and depth of impact; from long-term transformative programmes to light-touch educational events that might just inspire somebody to get started in STEM. Our programme of activities touches young people between the ages of 11 to 30 and we break them down into Inspire, Upskill, Experience and Accelerate. This year, we kick-started 686 careers, taking our total (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:121)(cid:210)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:264)(cid:285)(cid:265)(cid:271)(cid:271)(cid:284) Diverse Talent Pipelines (cid:13)(cid:200)(cid:161)(cid:143)(cid:155)(cid:329)(cid:133)(cid:214)(cid:210)(cid:329)(cid:197)(cid:186)(cid:226)(cid:143)(cid:200)(cid:155)(cid:214)(cid:174)(cid:329)(cid:143)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329) to whet the appetite of potential (cid:155)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:174)(cid:143)(cid:181)(cid:210)(cid:284) (cid:23)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:329)(cid:1)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) Careers talks, workshops, panel discussions. (cid:65)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:143)(cid:231)(cid:197)(cid:174)(cid:186)(cid:200)(cid:143)(cid:329)(cid:210)(cid:143)(cid:134)(cid:160)(cid:181)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:143)(cid:181)(cid:156)(cid:161)(cid:181)(cid:143)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) (cid:143)(cid:181)(cid:210)(cid:200)(cid:143)(cid:197)(cid:200)(cid:143)(cid:181)(cid:143)(cid:214)(cid:200)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:284) (cid:23)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:329)(cid:1)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) Coding clubs, bootcamps. (cid:79)(cid:143)(cid:121)(cid:174)(cid:329)(cid:174)(cid:161)(cid:155)(cid:143)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329) (cid:156)(cid:161)(cid:225)(cid:143)(cid:204)(cid:329)(cid:121)(cid:329)(cid:210)(cid:121)(cid:204)(cid:210)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:226)(cid:160)(cid:121)(cid:210)(cid:329)(cid:174)(cid:161)(cid:155)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329) (cid:226)(cid:161)(cid:210)(cid:160)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:143)(cid:134)(cid:160)(cid:329)(cid:161)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:232)(cid:284) (cid:23)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:329)(cid:1)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) Placements, live briefs. (cid:13)(cid:143)(cid:204)(cid:197)(cid:186)(cid:172)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:204)(cid:214)(cid:133)(cid:204)(cid:210)(cid:121)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329) to champion high potential (cid:214)(cid:197)(cid:134)(cid:186)(cid:180)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:121)(cid:174)(cid:143)(cid:181)(cid:210)(cid:284) (cid:23)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:329)(cid:1)(cid:134)(cid:210)(cid:161)(cid:225)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204) Accelerators, grants, board mentoring programmes. Inspire Future First, Founders for Schools Upskill BIMA Digital Day, FutureCoders Experience Accelerate Future Leaders, Board mentoring (cid:295)(cid:264)(cid:329)(cid:134)(cid:121)(cid:200)(cid:143)(cid:143)(cid:200)(cid:329)(cid:172)(cid:161)(cid:134)(cid:172)(cid:204)(cid:210)(cid:121)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:346)(cid:329)(cid:264)(cid:329)(cid:214)(cid:181)(cid:161)(cid:199)(cid:214)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:134)(cid:161)(cid:121)(cid:200)(cid:232)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329) action or community investment programmes who has (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:143)(cid:139)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:121)(cid:210)(cid:329)(cid:174)(cid:143)(cid:121)(cid:204)(cid:210)(cid:329)(cid:264)(cid:329)(cid:160)(cid:186)(cid:214)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:200)(cid:121)(cid:161)(cid:181)(cid:161)(cid:181)(cid:156)(cid:284)(cid:329) TPXimpact Holdings Plc | 67 ESG report Community continued 68 | (cid:313)(cid:89)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:121)(cid:329)(cid:160)(cid:214)(cid:156)(cid:143)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:204)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:329) (cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:133)(cid:143)(cid:134)(cid:121)(cid:214)(cid:204)(cid:143)(cid:329)(cid:161)(cid:210)(cid:329)(cid:200)(cid:143)(cid:121)(cid:134)(cid:160)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:121)(cid:200)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329) (cid:143)(cid:181)(cid:210)(cid:200)(cid:143)(cid:197)(cid:200)(cid:143)(cid:181)(cid:143)(cid:214)(cid:200)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:171)(cid:214)(cid:204)(cid:210)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:156)(cid:214)(cid:161)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:121)(cid:172)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:181)(cid:143)(cid:231)(cid:210)(cid:329) (cid:174)(cid:143)(cid:225)(cid:143)(cid:174)(cid:329)(cid:306)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:133)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:186)(cid:200)(cid:329)(cid:161)(cid:181)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:329)(cid:232)(cid:186)(cid:214)(cid:181)(cid:156)(cid:329) (cid:197)(cid:143)(cid:200)(cid:204)(cid:186)(cid:181)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:329)(cid:172)(cid:181)(cid:186)(cid:226)(cid:174)(cid:143)(cid:139)(cid:156)(cid:143)(cid:329)(cid:121)(cid:133)(cid:186)(cid:214)(cid:210)(cid:329)(cid:160)(cid:186)(cid:226)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329) (cid:156)(cid:186)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:160)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:156)(cid:186)(cid:121)(cid:174)(cid:204)(cid:284)(cid:329)(cid:314)(cid:329) (cid:19)(cid:121)(cid:181)(cid:161)(cid:143)(cid:174)(cid:285)(cid:329)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:89)(cid:121)(cid:174)(cid:172)(cid:265)(cid:19)(cid:121)(cid:181) Future leaders (cid:34)(cid:214)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:53)(cid:143)(cid:121)(cid:139)(cid:143)(cid:200)(cid:204)(cid:329)(cid:161)(cid:204)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:316)(cid:204)(cid:329)(cid:259)(cid:121)(cid:156)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:197)(cid:200)(cid:186)(cid:156)(cid:200)(cid:121)(cid:180)(cid:180)(cid:143)(cid:329) supporting young entrepreneurs from underrepresented backgrounds through funding, coaching, professional development training and networking. In 2021 we delivered our third and fourth programme with a new charity partner - Ada National College for Digital Skills. This year, we ran an open programme for all (cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:200)(cid:143)(cid:197)(cid:200)(cid:143)(cid:204)(cid:143)(cid:181)(cid:210)(cid:143)(cid:139)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:13)(cid:174)(cid:121)(cid:134)(cid:172)(cid:329) entrepreneurs to acknowledge the unique challenges that they face when starting out. Between the two programmes we received 107 applications. Of those who disclosed 95% were from minority ethnic, 74% were from low income backgrounds and 33% had a disability. (cid:89)(cid:186)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:161)(cid:181)(cid:156)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:143)(cid:231)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:174)(cid:121)(cid:204)(cid:210)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:200)(cid:121)(cid:181)(cid:329) one programme fully remote and another as a hybrid. The programme is largely delivered by experts within the business with 56 volunteers donating a total of 285 hours to support the entrepreneurs last year. We continue to improve the programme every time we deliver it and are attracting a high calibre of applicants that have real potential to diversify boardrooms of the future. As we come together as TPXimpact we will continue to deliver the Future Leaders programme, and invest more in championing our brilliant entrepreneurs and our alumni. 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(cid:23)(cid:121)(cid:134)(cid:160)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:200)(cid:143)(cid:204)(cid:143)(cid:200)(cid:225)(cid:143)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:121)(cid:180)(cid:186)(cid:214)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329) investment budget for employee-led giving. This is through our headline campaigns such as our community action grants and annual Christmas Give, and also through smaller challenges and prizes throughout the year. The reason we do this is because we believe in the power of people to transform their communities. TPXimpact is made up of people who want to make a difference. They have different passions and priorities, but they all care deeply about improving the world around them. We encourage and empower our people to be change makers through our employee led giving programmes and also through our community action policy. Christmas Give Every December, TPXimpact makes a donation on behalf of each employee to a charity of their choice. Last year the initiative raised £12,350 which we donated to charities close to where our employees live and work. The Christmas Give helps to ensure that our community investment funds are being directed towards charities and causes that our people really care about. 70 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181) As part of our 1% pledge, we target every employee to donate 1% of their time each year to community action, helping to build sustainable futures for people in the areas in which they live and work. As the world has started to open up again, we have seen our employees quickly return to face-to-face volunteering. Together, 115 unique volunteers donated 1,970 hours to 63 unique causes. Case studies (cid:13)(cid:40)(cid:59)(cid:1)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:139)(cid:121)(cid:232) In October, volunteers spent the whole day at Ark Burlington Danes Academy giving year 9 students an insight into the digital industry and the amazing roles and careers available. With the help of the volunteers, the students worked on an exciting brief from WWF to create breakthrough digital ideas to measure and reduce the UK’s carbon footprint. They were encouraged to think about how they can use technology and digital solutions to make it easier for people to understand the true environmental footprint of products and services, allowing households, schools, universities and businesses to make choices that are good for the planet. Blood drive In October we started an awareness campaign on the importance of regular blood donation due to lack of resources in the NHS and their need to increase the number of donors in order to meet the growing demand for better-matched blood. Collectively, we donated 9,400 ml of blood from 19 volunteers, which could save up to 60 lives. (cid:53)(cid:161)(cid:156)(cid:160)(cid:210)(cid:160)(cid:186)(cid:214)(cid:204)(cid:143)(cid:329)(cid:134)(cid:160)(cid:161)(cid:174)(cid:139)(cid:200)(cid:143)(cid:181)(cid:316)(cid:204)(cid:329)(cid:160)(cid:186)(cid:180)(cid:143) In November a couple of volunteers took the opportunity to go and help the Light House Children’s Home, a charity that is rethinking the way children’s housing is provided. They believe that children in care have the right to the same opportunities as everyone else – at home, school and in their communities. (cid:89)(cid:160)(cid:143)(cid:329)(cid:225)(cid:186)(cid:174)(cid:214)(cid:181)(cid:210)(cid:143)(cid:143)(cid:200)(cid:204)(cid:329)(cid:160)(cid:143)(cid:174)(cid:197)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329)(cid:200)(cid:143)(cid:181)(cid:186)(cid:225)(cid:121)(cid:210)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:134)(cid:160)(cid:161)(cid:174)(cid:139)(cid:200)(cid:143)(cid:181)(cid:316)(cid:204)(cid:329)(cid:160)(cid:186)(cid:180)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:83)(cid:214)(cid:210)(cid:210)(cid:186)(cid:181)(cid:285)(cid:329)(cid:53)(cid:186)(cid:181)(cid:139)(cid:186)(cid:181)(cid:284)(cid:329)(cid:76)(cid:214)(cid:210)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329) together furniture for some of the carers and children’s rooms. (cid:93)(cid:172)(cid:200)(cid:121)(cid:161)(cid:181)(cid:161)(cid:121)(cid:181)(cid:329)(cid:200)(cid:143)(cid:155)(cid:214)(cid:156)(cid:143)(cid:143)(cid:329)(cid:134)(cid:143)(cid:181)(cid:210)(cid:200)(cid:143)(cid:329)(cid:104)(cid:121)(cid:200)(cid:181)(cid:121) (cid:89)(cid:76)(cid:110)(cid:199)(cid:214)(cid:143)(cid:204)(cid:210)(cid:143)(cid:200)(cid:204)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329)(cid:156)(cid:186)(cid:186)(cid:139)(cid:204)(cid:329)(cid:134)(cid:186)(cid:174)(cid:174)(cid:143)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:134)(cid:121)(cid:180)(cid:197)(cid:121)(cid:161)(cid:156)(cid:181)(cid:329)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:161)(cid:181)(cid:329)(cid:83)(cid:186)(cid:258)(cid:121)(cid:285)(cid:329)(cid:13)(cid:214)(cid:174)(cid:156)(cid:121)(cid:200)(cid:161)(cid:121)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) Ukrainian Refugee Centre in Varna. Together with the biggest volunteering platform in Bulgaria - (cid:89)(cid:161)(cid:180)(cid:143)(cid:160)(cid:143)(cid:200)(cid:186)(cid:143)(cid:204)(cid:285)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:210)(cid:214)(cid:200)(cid:181)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:155)(cid:258)(cid:134)(cid:143)(cid:329)(cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:121)(cid:329)(cid:139)(cid:186)(cid:181)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:204)(cid:210)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:121)(cid:329)(cid:139)(cid:121)(cid:232)(cid:329)(cid:370)(cid:329)(cid:134)(cid:186)(cid:174)(cid:174)(cid:143)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:139)(cid:186)(cid:181)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) refugee centre in Northern Bulgaria that was running out of supplies. They managed to collect about 700 kilograms of food, clothes, medicines, baby products & other necessities donated by 200+ people which were then carefully sorted & packed by 50+ volunteers (TPXquesters staff, ex-staff members & external people). The donations were transported to Varna and were distributed to the refugees in need. TPXimpact Holdings Plc | 71 Your generosity makes such a difference to an organisation like ours. Thanks to your support, we will continue working on the frontline across England and Wales to do everything we can to support people facing huge challenges, which have been made more acute in the wake of the Covid-19 Pandemic as living costs spiral. This generous donation will help us to support even more young men to build stable, rewarding lives that they can be proud of. We are immensely grateful for your support which will help us restore nature. It is very valuable for us, especially at a time when we have additional financial difficulties for even basic needs. 72 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:14)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:156)(cid:200)(cid:121)(cid:181)(cid:210)(cid:204) This year Neal Gandhi, CEO of TPXimpact, pledged £100,000 to support our employee’s community action activities. He did this because he wanted to make clear to our employees that we are serious about investing in our communities and wanted people to (cid:214)(cid:210)(cid:161)(cid:174)(cid:161)(cid:204)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:197)(cid:121)(cid:161)(cid:139)(cid:329)(cid:225)(cid:186)(cid:174)(cid:214)(cid:181)(cid:210)(cid:143)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:160)(cid:186)(cid:214)(cid:200)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:264)(cid:263)(cid:263)(cid:329)(cid:225)(cid:186)(cid:174)(cid:214)(cid:181)(cid:210)(cid:143)(cid:143)(cid:200)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:174)(cid:143)(cid:210)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:210)(cid:121)(cid:200)(cid:156)(cid:143)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:264)(cid:269)(cid:329)(cid:160)(cid:186)(cid:214)(cid:200)(cid:204)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:134)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:226)(cid:143)(cid:200)(cid:143)(cid:329)(cid:156)(cid:161)(cid:225)(cid:143)(cid:181)(cid:329)(cid:121)(cid:329) £1,000 grant to donate to a charity of their choice. We distributed 51 of those grants last year, supporting 48 unique charities in the UK, Bulgaria and Norway, in areas like diversity and inclusion, education, health, environmental sustainability, animals and more. (cid:83)(cid:186)(cid:180)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:197)(cid:200)(cid:186)(cid:214)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:143)(cid:139)(cid:329)(cid:210)(cid:160)(cid:161)(cid:204)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:284) TPXimpact Holdings Plc | 73 ESG report Prosperity (cid:76)(cid:200)(cid:186)(cid:204)(cid:197)(cid:143)(cid:200)(cid:161)(cid:210)(cid:232) Delivering impactful work Our people are delivering impactful digital transformation everyday, making a positive difference to how individuals and society experience the world. We know that our biggest impact comes from the work that we do with our clients and in turn, generating economic growth which is providing sustainable livelihoods built on decent employment. 74 | (cid:83)(cid:89)(cid:79)(cid:1)(cid:89)(cid:23)(cid:35)(cid:40)(cid:14)(cid:329)(cid:79)(cid:23)(cid:76)(cid:65)(cid:79)(cid:89) CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:23)(cid:59)(cid:76)(cid:53)(cid:65)(cid:111)(cid:23)(cid:23)(cid:329)(cid:40)(cid:60)(cid:104)(cid:23)(cid:83)(cid:89)(cid:59)(cid:23)(cid:60)(cid:89) (cid:339)(cid:266)(cid:263)m+ (cid:40)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:143)(cid:181)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:370)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204) (cid:50)(cid:65)(cid:13)(cid:83)(cid:329)(cid:14)(cid:79)(cid:23)(cid:1)(cid:89)(cid:23)(cid:19) (cid:269)(cid:266)(cid:329)(cid:171)(cid:186)(cid:133)(cid:204) (cid:79)(cid:23)(cid:104)(cid:23)(cid:60)(cid:93)(cid:23)(cid:329)(cid:34)(cid:79)(cid:65)(cid:59)(cid:329)(cid:76)(cid:93)(cid:13)(cid:53)(cid:40)(cid:14)(cid:329)(cid:83)(cid:23)(cid:79)(cid:104)(cid:40)(cid:14)(cid:23)(cid:83) (cid:270)(cid:265)(cid:366) Of our revenue is from public services BENEFITS (cid:266)(cid:272)(cid:366) 63 Of our eligible workforce is enrolled in the in the share award plan TPXimpact Holdings Plc | 75 ESG report Prosperity continued (cid:23)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:370)(cid:329)(cid:226)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:329)(cid:156)(cid:143)(cid:181)(cid:143)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181) The business has continued to grow and we continue to provide more well paid, decent jobs for our communities. This (cid:161)(cid:204)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:143)(cid:181)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:197)(cid:121)(cid:134)(cid:172)(cid:121)(cid:156)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329) package that was announced this year, you can read more about this on page 46. Our FTE workforce grew by 22% this year and we created 63 brand new jobs excluding acquisitions. Our median UK salary is 2.7x higher than the Real living wage at £26.69 per hour — slightly lower than last year due to the acquisition of businesses with existing apprenticeship programmes. Our CEO: Median wage ratio remains low at 4.9:1 and we invested over (cid:339)(cid:266)(cid:265)(cid:180)(cid:329)(cid:161)(cid:181)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:143)(cid:181)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:284)(cid:329) (cid:23)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:329)(cid:186)(cid:226)(cid:181)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197) TPXimpact supports the principle of wider share ownership amongst our employee base to achieve shared prosperity and equitable growth. This year, to celebrate the businesses coming together as TPXimpact we will gift all employees with £500 worth of share options following the publication of the Annual Report. We have committed to giving all new employees, whether through recruitment or acquisition, an initial gift of £500 share options redeemable after three years. (cid:1)(cid:174)(cid:174)(cid:329)(cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:134)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:204)(cid:329) through our Share Incentive Plan (SIP). The SIP was designed to enable employees to contribute up to £1,800 per year through (cid:204)(cid:121)(cid:174)(cid:121)(cid:200)(cid:232)(cid:329)(cid:204)(cid:121)(cid:134)(cid:200)(cid:161)(cid:258)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:214)(cid:200)(cid:134)(cid:160)(cid:121)(cid:204)(cid:143)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:284)(cid:329)(cid:89)(cid:186)(cid:329)(cid:200)(cid:143)(cid:226)(cid:121)(cid:200)(cid:139)(cid:329) (cid:143)(cid:180)(cid:197)(cid:174)(cid:186)(cid:232)(cid:143)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:329)(cid:121)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:285)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:180)(cid:121)(cid:210)(cid:134)(cid:160)(cid:143)(cid:204)(cid:329) the purchase to these shares on a 1 for 1 basis. As of 31 March 2022, we had 222 employees contributing to the scheme. (cid:34)(cid:121)(cid:161)(cid:200)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:197)(cid:186)(cid:174)(cid:161)(cid:134)(cid:232) This year we published our Fair Tax policy to articulate TPXimpact’s position. We believe that paying fair taxes should be a basic requirement for all businesses. A lack of honest and transparent behaviour would undermine all the work that the business does to contribute to a better society. Our approach is as follows; TPXimpact will; • • • • • • behave responsibly and act in a way that protects the interests of all of our stakeholders (including our people, planet and communities) whilst, maintaining shareholder value ensure the correct amount of tax is paid comply with all applicable tax laws, rules and regulations, without exception (cid:181)(cid:143)(cid:225)(cid:143)(cid:200)(cid:329)(cid:143)(cid:181)(cid:210)(cid:143)(cid:200)(cid:329)(cid:161)(cid:181)(cid:210)(cid:186)(cid:329)(cid:121)(cid:200)(cid:210)(cid:161)(cid:258)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:200)(cid:200)(cid:121)(cid:181)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:200)(cid:139)(cid:143)(cid:200)(cid:329)(cid:210)(cid:186)(cid:329)(cid:121)(cid:225)(cid:186)(cid:161)(cid:139)(cid:329) taxation or to defeat the stated purpose of the tax legislation, or undertake aggressive tax planning operate with transparency including accurate disclosures to revenue authorities and maintaining an open and cooperative relationship with revenue authorities (cid:186)(cid:197)(cid:143)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329)(cid:121)(cid:329)(cid:180)(cid:186)(cid:139)(cid:143)(cid:174)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:204)(cid:329)(cid:210)(cid:121)(cid:231)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:121)(cid:200)(cid:161)(cid:204)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) provides for escalation of tax risks to the Audit & Risk Committee and; • maintain the integrity and reputation of TPXimpact at all times 76 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Client disclosure We’re a purpose driven business and want to ensure the work that we do is helping us to contribute to both our commercial and impact ambitions. (cid:105)(cid:143)(cid:316)(cid:225)(cid:143)(cid:329)(cid:161)(cid:181)(cid:210)(cid:200)(cid:186)(cid:139)(cid:214)(cid:134)(cid:143)(cid:139)(cid:329)(cid:121)(cid:329)(cid:155)(cid:200)(cid:121)(cid:180)(cid:143)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:160)(cid:121)(cid:181)(cid:139)(cid:174)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:204)(cid:329)(cid:226)(cid:160)(cid:161)(cid:134)(cid:160)(cid:329)(cid:180)(cid:121)(cid:232)(cid:329)(cid:133)(cid:143)(cid:329)(cid:204)(cid:143)(cid:143)(cid:181)(cid:329)(cid:121)(cid:204)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:186)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:121)(cid:174)(cid:329)(cid:204)(cid:186)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:226)(cid:143)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329)(cid:133)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:226)(cid:143)(cid:329) work with are aligned with our values. To ensure that we are accountable and responsible for the work that we do, we publish any revenue from controversial sectors each year in our client disclosure report. We use the Creatives for Climate template which was originally published by Futerra to show a full picture of where our income comes from. Income by sector Charities, Trusts & Foundations 6% Commercial Government NGO 28% 58% 8% Income by Public subsector Central Government 35% Local Government Health Tech Media Finance Education & Skills Other 17% 9% 7% 5% 4% 4% 19% TPXimpact Holdings Plc | 77 (cid:366)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329) (cid:197)(cid:186)(cid:210)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329) controversial sectors This list of potentially controversial sectors is taken from the International Finance (cid:14)(cid:186)(cid:200)(cid:197)(cid:186)(cid:200)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:210)(cid:160)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:134)(cid:200)(cid:161)(cid:210)(cid:143)(cid:200)(cid:161)(cid:121)(cid:284) (cid:366)(cid:329)(cid:200)(cid:143)(cid:225)(cid:143)(cid:181)(cid:214)(cid:143)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:160)(cid:161)(cid:156)(cid:160)(cid:329) (cid:134)(cid:121)(cid:200)(cid:133)(cid:186)(cid:181)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204) (cid:39)(cid:161)(cid:156)(cid:160)(cid:329)(cid:134)(cid:121)(cid:200)(cid:133)(cid:186)(cid:181)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:161)(cid:181)(cid:329)(cid:161)(cid:181)(cid:139)(cid:214)(cid:204)(cid:210)(cid:200)(cid:161)(cid:143)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:160)(cid:161)(cid:156)(cid:160)(cid:329)(cid:134)(cid:121)(cid:200)(cid:133)(cid:186)(cid:181)(cid:329)(cid:143)(cid:180)(cid:161)(cid:204)(cid:204)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329) by the International Energy Agency (IEA) and the Environmental Protection Agency (EPA). (cid:263)(cid:366) Aviation (cid:263)(cid:366) Concrete & cement (cid:264)(cid:284)(cid:271)(cid:366) Coal, oil & natural gas (cid:263)(cid:284)(cid:269)(cid:366) Meat & Dairy (cid:263)(cid:366) Plastics (cid:263)(cid:366) Private Cars (cid:264)(cid:284)(cid:265)(cid:366) Timber, Pulp & Paper (cid:263)(cid:284)(cid:266)(cid:366) Trucking & Shipping (cid:263)(cid:366) Chemicals & petrochemicals (cid:263)(cid:284)(cid:266)(cid:366) Iron, Aluminium and Steel Manufacture (cid:263)(cid:366) Arms (cid:263)(cid:366) Politics (cid:263)(cid:366) Tobacco (cid:263)(cid:366) Religion (cid:263)(cid:366) Gambling (cid:263)(cid:366) Pornography (cid:263)(cid:284)(cid:266)(cid:366) Alcohol 78 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Our top 10 clients by income (cid:263)(cid:264) (cid:263)(cid:265) (cid:263)(cid:266) (cid:263)(cid:267) (cid:263)(cid:268) (cid:263)(cid:269) (cid:263)(cid:270) (cid:263)(cid:271) (cid:263)(cid:272) (cid:264)(cid:263) (cid:13)(cid:214)(cid:161)(cid:174)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:181)(cid:161)(cid:180)(cid:121)(cid:174)(cid:329)(cid:160)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:285)(cid:329)(cid:134)(cid:160)(cid:143)(cid:180)(cid:161)(cid:134)(cid:121)(cid:174)(cid:204)(cid:285)(cid:329)(cid:197)(cid:143)(cid:204)(cid:210)(cid:161)(cid:134)(cid:161)(cid:139)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:258)(cid:204)(cid:160)(cid:329)(cid:143)(cid:231)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:200)(cid:143)(cid:197)(cid:174)(cid:121)(cid:134)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:204)(cid:143)(cid:200)(cid:225)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:160)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:285)(cid:329)(cid:329) (cid:134)(cid:143)(cid:200)(cid:210)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:180)(cid:186)(cid:225)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:93)(cid:51)(cid:329)(cid:133)(cid:186)(cid:200)(cid:139)(cid:143)(cid:200)(cid:204). Designing, building and implementing a householder appeals service in partnership with a government department as well as releasing a beta applications service. Setting up and co-managing a nearshore tech team to look after key parts of the (cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:143)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:186)(cid:155)(cid:329)(cid:121)(cid:329)(cid:180)(cid:121)(cid:171)(cid:186)(cid:200)(cid:329)(cid:13)(cid:200)(cid:161)(cid:210)(cid:161)(cid:204)(cid:160)(cid:329)(cid:181)(cid:143)(cid:226)(cid:204)(cid:197)(cid:121)(cid:197)(cid:143)(cid:200) and other media products. Integrating, testing and delivering a (cid:83)(cid:214)(cid:204)(cid:210)(cid:121)(cid:161)(cid:181)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:34)(cid:121)(cid:200)(cid:180)(cid:161)(cid:181)(cid:156)(cid:329)(cid:40)(cid:181)(cid:134)(cid:143)(cid:181)(cid:210)(cid:161)(cid:225)(cid:143) public beta solution which passed GDS assessments. Performing a successful disaster/recovery test between data centres. Prototyping, designing and implementing service delivery changes to a (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:160)(cid:186)(cid:214)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:181)(cid:143)(cid:143)(cid:139)(cid:204) service for a local council, developing new modern tools to replace legacy systems. Partnering with a central government department as their user-centred design & research capability partner. Working together to elevate the role of design and research across a range of internal and customer-facing (cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:210)(cid:200)(cid:121)(cid:181)(cid:204)(cid:155)(cid:186)(cid:200)(cid:180)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:204). Supporting a local authority to enable the implementation of a (cid:134)(cid:186)(cid:180)(cid:197)(cid:174)(cid:143)(cid:231)(cid:329)(cid:181)(cid:143)(cid:226)(cid:329)(cid:23)(cid:79)(cid:76)(cid:329)(cid:204)(cid:186)(cid:174)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181) (Unit4) as a shared deployment between two councils. Building and co-managing a (cid:210)(cid:143)(cid:134)(cid:160)(cid:181)(cid:161)(cid:134)(cid:121)(cid:174)(cid:329)(cid:134)(cid:121)(cid:197)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:143)(cid:121)(cid:180)(cid:329)for a major US client. Working with a major gas network operator, delivering a transformation project which included an IT operating model(cid:285)(cid:329)(cid:1)(cid:238)(cid:214)(cid:200)(cid:143)(cid:329)(cid:134)(cid:174)(cid:186)(cid:214)(cid:139)(cid:329)(cid:200)(cid:143)(cid:306)(cid:197)(cid:174)(cid:121)(cid:210)(cid:155)(cid:186)(cid:200)(cid:180)(cid:161)(cid:181)(cid:156)(cid:285)(cid:329)(cid:180)(cid:186)(cid:133)(cid:161)(cid:174)(cid:143)(cid:329)(cid:258)(cid:143)(cid:174)(cid:139)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:143)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:210)(cid:155)(cid:186)(cid:200)(cid:180)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:186)(cid:181)(cid:156)(cid:186)(cid:161)(cid:181)(cid:156)(cid:329) infrastructure and application support for critical services. Partnering with multiple divisions within a world leading biotech business on (cid:226)(cid:143)(cid:133)(cid:204)(cid:161)(cid:210)(cid:143)(cid:329)(cid:133)(cid:214)(cid:161)(cid:174)(cid:139)(cid:204)(cid:285)(cid:329)(cid:329) (cid:204)(cid:186)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:180)(cid:143)(cid:139)(cid:161)(cid:121)(cid:285)(cid:329)(cid:134)(cid:121)(cid:180)(cid:197)(cid:121)(cid:161)(cid:156)(cid:181)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:285)(cid:329)(cid:197)(cid:186)(cid:174)(cid:161)(cid:134)(cid:232)(cid:329)(cid:204)(cid:160)(cid:121)(cid:197)(cid:161)(cid:181)(cid:156)(cid:329)(cid:143)(cid:231)(cid:143)(cid:200)(cid:134)(cid:161)(cid:204)(cid:143)(cid:204) and strategic insights. (cid:329) TPXimpact Holdings Plc | 79 Our 172 statement continued The directors of TPXimpact must act in accordance with a set of general duties. Section 172 of the Companies Act requires Directors to take into consideration the interests of stakeholders in their decision making and is summarised as follows: “A Director of a company must act in a way they consider, in good faith, would be most likely to promote the success of the (cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:160)(cid:186)(cid:174)(cid:139)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:226)(cid:160)(cid:186)(cid:174)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:285)(cid:329)(cid:161)(cid:181)(cid:329) doing so have regard (amongst other matters) to: The likely consequences of any decisions in the long-term The interests of the company’s employees The need to foster the company’s business relationships with suppliers, customers and others The impact of the company’s operations on the community and environment The desirability of the company maintaining a reputation for the high standards of business conduct, and • • • • • • The Directors are fully aware of their responsibilities to promote the success of the Company in accordance with Section 172 of the Act. Our intention is to behave responsibly and ensure that management operates the business in a responsible manner, operating within the high standards of business conduct and good governance expected of us. (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:204)(cid:210)(cid:121)(cid:172)(cid:143)(cid:160)(cid:186)(cid:174)(cid:139)(cid:143)(cid:200)(cid:204) We understand that the success of our business is intrinsically linked to the impact we have on our people, planet and the communities we work with and for. From our clients, our suppliers, our people, our shareholders and our planet, building strong effective relationships and engaging regularly is imperative to our continued success and impact. Effective stakeholder engagement builds trust, strengthens our legitimacy as a socially responsible business and supports our efforts to develop and implement effective solutions to build sustainable futures for our people, planet and communities. The need to act fairly between shareholders of the company (cid:65)(cid:214)(cid:200)(cid:329)(cid:134)(cid:174)(cid:161)(cid:143)(cid:181)(cid:210)(cid:204) This section serves as our Section 172 statement. The Board considers, both individually and together, that they have acted in the way they consider, in good faith, would be most likely to promote the success of the Company for the (cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:186)(cid:226)(cid:181)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:226)(cid:160)(cid:186)(cid:174)(cid:143)(cid:329)(cid:300)(cid:160)(cid:121)(cid:225)(cid:161)(cid:181)(cid:156)(cid:329)(cid:200)(cid:143)(cid:156)(cid:121)(cid:200)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) stakeholders and matters set out in Section 172(i)(a-f) of the Act in the decisions taken during the year ending 31 March 2022). (cid:65)(cid:214)(cid:200)(cid:329)(cid:225)(cid:161)(cid:204)(cid:161)(cid:186)(cid:181)(cid:329)is to deliver impactful, sustainable digital outcomes that make a positive difference to how individuals and society experience the world. The Board recognises that engagement with the Company’s stakeholders is critical to the success of the business in realising this vision. The Directors continue to have regards to the interest of our people and the Company’s other stakeholders, including the impact of its activities on the community, the environment and the Company’s reputation when making decisions. We recognise that promoting the long- term sustainability and success of the Company is intertwined with creating value for, and engagement with, our stakeholders. It should therefore be at the core of our business. Engagement with stakeholders is not new and has been a part of the business since its inception, but the obligation to include the Section 172 statement presents an opportunity to illustrate to you how your Board engages with stakeholders and how this has impacted on your Company’s decisions and strategies. We were there for our clients during one of the most challenging years businesses have ever seen, and we continue to be there for them as they emerge from this pandemic, trying to restore some sense of normality. The relationships our teams have built with our clients during the pandemic have enabled them to develop systems and processes that deliver truly tangible outcomes. By adopting an agile framework we focus on working with the customer to give them as much value as possible, as quickly as possible. The original product or service is then enhanced through subsequent iterations with features that provide even more value with each new release. As customer behaviours and preferences change, we will know about it sooner and will be able to react more quickly. How we engage with our clients: • We constantly seek to introduce positive change at every opportunity. TPX looks to continually improve products, services and campaigns, as well as ways of working. • (cid:13)(cid:232)(cid:329)(cid:155)(cid:186)(cid:174)(cid:174)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:156)(cid:161)(cid:174)(cid:143)(cid:329)(cid:155)(cid:200)(cid:121)(cid:180)(cid:143)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:226)(cid:143)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:285)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) approach known as ‘kaizen’, which rests on the three pillars (cid:186)(cid:155)(cid:329)(cid:155)(cid:143)(cid:143)(cid:139)(cid:133)(cid:121)(cid:134)(cid:172)(cid:285)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:225)(cid:186)(cid:174)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:284)(cid:329)(cid:1)(cid:329)(cid:134)(cid:186)(cid:200)(cid:143)(cid:329)(cid:155)(cid:143)(cid:121)(cid:210)(cid:214)(cid:200)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329) Agile methods is regularly taking the time, as a team, to (cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:329)(cid:186)(cid:181)(cid:329)(cid:226)(cid:121)(cid:232)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:161)(cid:181)(cid:156)(cid:285)(cid:329)(cid:204)(cid:186)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:161)(cid:181)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:210)(cid:329)(cid:197)(cid:200)(cid:121)(cid:134)(cid:210)(cid:161)(cid:134)(cid:143)(cid:204)(cid:329)(cid:134)(cid:121)(cid:181)(cid:329) (cid:133)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:174)(cid:161)(cid:180)(cid:161)(cid:181)(cid:121)(cid:210)(cid:143)(cid:139)(cid:284) 80 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Research (cid:65)(cid:197)timise Anal(cid:232)(cid:204)e F(cid:143)(cid:143)(cid:139)(cid:133)(cid:121)(cid:134)(cid:172) Implement (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) At UNICEF UK they’ve been on a journey of change as they’ve restructured their organisation to achieve their future ambitions. With this came an opportunity to rethink ways of working, and the cultural and strategic shifts that might be needed to realise their new ambition and vision. We brought together a panel from across UNICEF UK and TPXimpact to share their journey of co-creating new ways of leading, planning and ways of working in the newly formed Public Engagement directorate. By taking an agile approach, the teams were able to ensure staff were consulted and listened to, this process of feedback and evolution delivered faster and better outcomes for the UNICEF team. (cid:65)(cid:214)(cid:200)(cid:329)(cid:204)(cid:160)(cid:121)(cid:200)(cid:143)(cid:160)(cid:186)(cid:174)(cid:139)(cid:143)(cid:200)(cid:204) Our focus is to ensure that all of our shareholders are treated (cid:143)(cid:199)(cid:214)(cid:121)(cid:174)(cid:174)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:155)(cid:121)(cid:161)(cid:200)(cid:174)(cid:232)(cid:285)(cid:329)(cid:204)(cid:186)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:232)(cid:329)(cid:180)(cid:121)(cid:232)(cid:329)(cid:155)(cid:214)(cid:174)(cid:174)(cid:232)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) continued successful execution against both our impact and commercial vision. We believe it is important that our shareholders understand and support what we are trying to (cid:121)(cid:134)(cid:160)(cid:161)(cid:143)(cid:225)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329)(cid:226)(cid:143)(cid:329)(cid:200)(cid:143)(cid:174)(cid:232)(cid:329)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329) our growth activities. How we engage with our shareholders • Emerging from the pandemic has enabled us to meet in person again. Over the past 2 years, we have built our relationships with shareholders virtually, thankfully now we have been able to cement these relationships in real life. Whilst our engagement continues to operate in both a virtual and IRL basis, we believe that this will be the environment for many years to come. The balance enables management to meet with much more of our investment community in a shorter space of time, without the need for lengthy travel arrangements. Additionally, in support of our ‘net zero’ strategy we can keep corporate travel to a minimum while ensuring engagement with our shareholders. This year we engaged with our shareholders through various channels, mainly: Investor roadshows AGM, which the Chairman, Non-Executive and Executive Directors attend to ensure engagement with a broad range of shareholders Stock exchange announcements The annual report Retail investor events, including Mello and PI World • • • • • The Directors have regular contact with existing shareholders and potential investors in TPXimpact. Neal Gandhi and Oliver Rigby communicate via email, calls and face-to-face meetings with shareholders. (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) In October 2021 the company successfully completed a secondary sale of 8,230,142 existing ordinary shares in the Company. The Shares represented approximately 9.7% of the Company’s issued share capital at the time. (cid:65)(cid:214)(cid:200)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:161)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:204) We rely on our suppliers and business partners to deliver our services to our customers and to maintain our productivity. They have regard to several factors when considering a business relationship with TPXimpact, including; the success of our business, developing long term relationships, trust and credibility, ethics (Including anti-corruption and bribery, human rights and modern slavery). (cid:39)(cid:186)(cid:226)(cid:329)(cid:226)(cid:143)(cid:329)(cid:143)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:174)(cid:161)(cid:143)(cid:200)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:204) We are committed to building strong working relationships with our suppliers and business partners. It is the responsibility of all our employees to engage directly with our suppliers and business partners to ensure we are aligned on quality, ethics, innovation and delivery. We partner with the world’s leading technology providers, Microsoft, Amazon Web Services (AWS) and Google (GCP). Our relationships with these key technology partners are built on trust. Our partners look to us for the depth of our sector knowledge and technical expertise and credentials, our diverse range of capabilities, excellent service and deep relationships with our clients. TPXimpact Holdings Plc | 81 Our 172 statement continuedcontinued (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) Through our partner engagement programme we have been able to build strong relationships, which have enabled us (cid:210)(cid:186)(cid:329)(cid:133)(cid:143)(cid:210)(cid:210)(cid:143)(cid:200)(cid:329)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:204)(cid:210)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:121)(cid:200)(cid:210)(cid:181)(cid:143)(cid:200)(cid:316)(cid:204)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:329)(cid:200)(cid:143)(cid:199)(cid:214)(cid:161)(cid:200)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:285)(cid:329) identifying how we can help through our customer relationships, and capabilities. Through the acquisition of RedCortex, we have been able to extend our Microsoft stack capabilities. With RedCortex being a Gold Partner across multiple disciplines, we have been able to further advance our ability to perform partnership programmes (cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:59)(cid:161)(cid:134)(cid:200)(cid:186)(cid:204)(cid:186)(cid:155)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:225)(cid:121)(cid:174)(cid:214)(cid:143)(cid:284) (cid:65)(cid:214)(cid:200)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:286)(cid:329) At TPXimpact we provide a place for our people to belong. To join people who care about the world and the work they do. When you work with us, you’ll have more room to think and (cid:161)(cid:181)(cid:181)(cid:186)(cid:225)(cid:121)(cid:210)(cid:143)(cid:285)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:259)(cid:143)(cid:231)(cid:161)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:180)(cid:186)(cid:200)(cid:143)(cid:329)(cid:186)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) change that matters most. Our people are fundamental in offering our partners and clients the knowledge, deep expertise and creativity they are seeking enabling them to deliver the outcomes required. A great business is supported by a diverse range of people, thoughts, ideas and solutions. We ensure we recruit the very best person (cid:155)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:200)(cid:186)(cid:174)(cid:143)(cid:285)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:180)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:285)(cid:329)(cid:204)(cid:121)(cid:174)(cid:121)(cid:200)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:161)(cid:180)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329) deliver their best work. How we engage with our people We are working to ensure sustainable futures for all of our people through a focus on employee wellbeing & satisfaction and workforce diversity, inclusion & equality. We do not underestimate the importance of our people, their health and wellbeing, ensuring we are communicating and engaging with them at all levels of the business. As we become one TPXimpact we have been able to implement whole company programmes, developing a sense of community and building our new culture together. These engagements include: • Quarterly all company town halls • • • Employee resource groups Employee assistance programme (cid:1)(cid:181)(cid:181)(cid:214)(cid:121)(cid:174)(cid:329)(cid:258)(cid:210)(cid:181)(cid:143)(cid:204)(cid:204)(cid:329)(cid:134)(cid:160)(cid:121)(cid:174)(cid:174)(cid:143)(cid:181)(cid:156)(cid:143) (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) Details on the engagement with our people can be found in our dedicated people section, please see pages 44 to 53. 82 | (cid:65)(cid:214)(cid:200)(cid:329)(cid:197)(cid:174)(cid:121)(cid:181)(cid:143)(cid:210)(cid:286) We are working to decouple our economic growth from environmental degradation by measuring, reducing and offsetting our impact on the planet. We are funding and supporting climate action, removing barriers for our employees and raising awareness of the climate emergency. We understand the enormous threat that ‘business as usual’ poses to our planet, our people and our communities. As we (cid:204)(cid:143)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329)(cid:226)(cid:143)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329)(cid:139)(cid:186)(cid:161)(cid:181)(cid:156)(cid:329) so with the knowledge that our planet is a crucial stakeholder. We are working hard to ensure that our operations are doing no harm and that our work is contributing to a more sustainable society. How we engage with our planet We believe there is a huge amount of collective power that could be leveraged if employers properly encourage and incentivise climate action and behaviour change amongst their employees. Therefore, we have been delivering multiple initiatives to facilitate positive environmental impact through the power of our employees as well as the business as a whole; • • Appointment of Sustainability Analyst, Tanreece Chalal Partnerships with NGOs including Ecologi Gold Standard Projects to offset 2,735 tonnes and Rewilding Britain • Membership of Sustainable Digital Infrastructure Alliance • Membership of BIMA Sustainability Council • Launched a dedicated Planet Employee Resource Group (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) We understand that our impact on the planet includes more than just our emissions. The climate and ecological emergency needs an enormous number of solutions, ranging from regenerative and restorative programmes, big shifts in behaviour as well as commitments to reducing our footprint. We look to make a positive impact right across our sphere (cid:186)(cid:155)(cid:329)(cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:287)(cid:329)(cid:155)(cid:200)(cid:186)(cid:180)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:197)(cid:143)(cid:186)(cid:197)(cid:174)(cid:143)(cid:329)(cid:226)(cid:160)(cid:186)(cid:329)(cid:226)(cid:186)(cid:200)(cid:172)(cid:329)(cid:155)(cid:186)(cid:200)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:285)(cid:329)(cid:210)(cid:186)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329) industry peers, to those organisations we work for and those who supply us. Details on the engagement with our planet can be found in our dedicated planet section, please see pages 54 to 62. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (cid:65)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:286) We believe that everyone should have equal opportunities to participate in the world that we’re helping to create. The tech sector is growing at an exciting pace and we need to make sure that we are making opportunities accessible to talent from all backgrounds. That is why we donate 1% of our time and 1% of (cid:186)(cid:214)(cid:200)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:204)(cid:329)(cid:210)(cid:186)(cid:329)(cid:161)(cid:181)(cid:225)(cid:143)(cid:204)(cid:210)(cid:329)(cid:161)(cid:181)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:174)(cid:186)(cid:134)(cid:121)(cid:174)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:161)(cid:143)(cid:204)(cid:284)(cid:329)(cid:65)(cid:214)(cid:200)(cid:329)(cid:134)(cid:186)(cid:180)(cid:180)(cid:214)(cid:181)(cid:161)(cid:210)(cid:232)(cid:329) investment work is focused on empowering vulnerable communities through technology and providing access to employment for diverse talent. How we engage with our communities: • • • • Partnership with ADA National College for Digital Skills Two Future Leaders programmes, supporting 10 entrepreneurs from underrepresented backgrounds. Kick-started over one thousand careers Sponsored In2Science and Telerik School Academy in Bulgaria Purposefully investing time and energy and empowering the communities in which we live and work is at the very heart of what we do. As part of our 1% time pledge, every employee can spend 2 days each year participating in community action in the form of voluntary and pro-bono work for charities or charitable (cid:186)(cid:200)(cid:156)(cid:121)(cid:181)(cid:161)(cid:204)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:186)(cid:200)(cid:329)(cid:186)(cid:181)(cid:329)(cid:121)(cid:329)(cid:197)(cid:200)(cid:186)(cid:171)(cid:143)(cid:134)(cid:210)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:121)(cid:329)(cid:204)(cid:197)(cid:143)(cid:134)(cid:161)(cid:258)(cid:134)(cid:329)(cid:134)(cid:160)(cid:121)(cid:200)(cid:161)(cid:210)(cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:121)(cid:161)(cid:180)(cid:285)(cid:329) either organised by the company or employee. As the world has started to open up again, we have seen our employees quickly return to face-to-face volunteering. Together, we donated 1970 hours to 63 unique causes with engagement from 119 unique volunteers. (cid:23)(cid:181)(cid:156)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:134)(cid:186)(cid:180)(cid:143)(cid:286)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:204) Details on the engagement with our communities can be found in our dedicated communities’ section, please see pages 64 to 73. TPXimpact Holdings Plc | 83 Governance Underpinning everything with strong principles of governance We are committed to operating proper standards of good corporate governance and have established a corporate governance model based on the key principles of the Quoted Companies Alliance Corporate Governance Code (“QCA Code”). TPXimpact operates a business model and growth strategy that promotes the generation of shareholder value through its growth. The company promotes professionalism, openness, honesty and integrity between its customers, staff, shareholders and suppliers 84 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Risk and risk management The success of TPXimpact depends on the proper management of risk. TPXimpact has a governance structure to identify and (cid:180)(cid:186)(cid:181)(cid:161)(cid:210)(cid:186)(cid:200)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:329)(cid:121)(cid:210)(cid:329)(cid:121)(cid:174)(cid:174)(cid:329)(cid:174)(cid:143)(cid:225)(cid:143)(cid:174)(cid:204)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:284)(cid:329)(cid:89)(cid:160)(cid:143)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:200)(cid:121)(cid:181)(cid:172)(cid:143)(cid:139)(cid:329)(cid:133)(cid:232)(cid:329)(cid:174)(cid:161)(cid:172)(cid:143)(cid:174)(cid:161)(cid:160)(cid:186)(cid:186)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:197)(cid:186)(cid:210)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:210)(cid:160)(cid:143)(cid:181)(cid:329)(cid:210)(cid:200)(cid:121)(cid:134)(cid:172)(cid:143)(cid:139)(cid:329) (cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:180)(cid:186)(cid:181)(cid:210)(cid:160)(cid:174)(cid:232)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:180)(cid:143)(cid:143)(cid:210)(cid:161)(cid:181)(cid:156)(cid:204)(cid:284)(cid:329)(cid:65)(cid:181)(cid:134)(cid:143)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:285)(cid:329)(cid:180)(cid:121)(cid:181)(cid:121)(cid:156)(cid:143)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:155)(cid:186)(cid:200)(cid:180)(cid:214)(cid:174)(cid:121)(cid:210)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:143)(cid:197)(cid:174)(cid:186)(cid:232)(cid:329)(cid:180)(cid:161)(cid:210)(cid:161)(cid:156)(cid:121)(cid:210)(cid:161)(cid:181)(cid:156)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:161)(cid:143)(cid:204)(cid:284) (cid:89)(cid:160)(cid:143)(cid:329)(cid:197)(cid:200)(cid:161)(cid:181)(cid:134)(cid:161)(cid:197)(cid:121)(cid:174)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:214)(cid:181)(cid:134)(cid:143)(cid:200)(cid:210)(cid:121)(cid:161)(cid:181)(cid:210)(cid:161)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:13)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:133)(cid:143)(cid:174)(cid:161)(cid:143)(cid:225)(cid:143)(cid:139)(cid:329)(cid:134)(cid:186)(cid:214)(cid:174)(cid:139)(cid:329)(cid:160)(cid:121)(cid:225)(cid:143)(cid:329)(cid:121)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:121)(cid:139)(cid:225)(cid:143)(cid:200)(cid:204)(cid:143)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:181)(cid:329)(cid:89)(cid:76)(cid:110)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:204)(cid:143)(cid:210)(cid:329)(cid:186)(cid:214)(cid:210)(cid:329) below. The table is not intended to be exhaustive and the principal risks are not listed in order of seriousness or potential impact. There may also be risks that are not currently considered to be serious or which are currently unknown and risks that are outside of the business’s control. Where reasonably possible, TPX has taken steps to manage or mitigate the risks, or potential risks, but it cannot entirely safeguard against all of them. (cid:79)(cid:161)(cid:204)(cid:172) Impact Mitigation Impact of recession Recession could impact the digital transformation spend of our customers and impact the revenue of the Group. (cid:40)(cid:181)(cid:259)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181) (cid:40)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:181)(cid:329)(cid:161)(cid:181)(cid:259)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329)(cid:161)(cid:181)(cid:134)(cid:200)(cid:143)(cid:121)(cid:204)(cid:161)(cid:181)(cid:156)(cid:329)(cid:134)(cid:186)(cid:204)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329) workforce (employees as well as contractors) putting pressure on margin. Brand changes There is a risk that through brand changes we impact our ability to win new work. Our revenue is heavily weighted towards public sector spend and this should mitigate the risk of recession impacting revenue as we anticipate that government will continue to invest. Digital transformation is often a route to create (cid:156)(cid:200)(cid:143)(cid:121)(cid:210)(cid:143)(cid:200)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:204)(cid:210)(cid:329)(cid:204)(cid:121)(cid:225)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:161)(cid:181)(cid:329)(cid:121)(cid:329) business or government department. In the commercial sector failing to invest in digital transformation could negatively impact its ability to compete. (cid:105)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:197)(cid:200)(cid:186)(cid:225)(cid:161)(cid:139)(cid:143)(cid:329)(cid:156)(cid:186)(cid:186)(cid:139)(cid:329)(cid:197)(cid:121)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:143)(cid:181)(cid:143)(cid:258)(cid:210)(cid:204)(cid:329) to our employees and have provided increases (cid:121)(cid:134)(cid:200)(cid:186)(cid:204)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:259)(cid:143)(cid:134)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329) (cid:161)(cid:181)(cid:259)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:284)(cid:329)(cid:105)(cid:143)(cid:329)(cid:226)(cid:161)(cid:174)(cid:174)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:161)(cid:181)(cid:214)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:180)(cid:186)(cid:181)(cid:161)(cid:210)(cid:186)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329) market. We believe that in the current year we will be (cid:121)(cid:133)(cid:174)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329)(cid:180)(cid:121)(cid:161)(cid:181)(cid:210)(cid:121)(cid:161)(cid:181)(cid:329)(cid:180)(cid:121)(cid:200)(cid:156)(cid:161)(cid:181)(cid:204)(cid:329)(cid:210)(cid:160)(cid:200)(cid:186)(cid:214)(cid:156)(cid:160)(cid:329)(cid:143)(cid:155)(cid:258)(cid:134)(cid:161)(cid:143)(cid:181)(cid:134)(cid:232)(cid:329) gains from the integration of businesses and a professionalisation of the organisation. We are investing heavily in our new brand over the course of FY2023. Changing the brand provides us with a good opportunity to go and speak to our customers about the wider group offering. Our services can be more clearly articulated under one brand rather than several. TPXimpact Holdings Plc | 85 Risk and risk management continued (cid:79)(cid:161)(cid:204)(cid:172) Impact Mitigation (cid:40)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:134)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:329) and integration of investment opportunities The Group’s strategy is to grow both organically and through acquisitions. There is a risk that failure to complete on transactions will leave the Group with substantial unrecovered costs; or that a company that has been successfully acquired does not integrate effectively leading to the loss of synergies and disillusionment of our people. The Group has a comprehensive M&A process to ensure that companies who join the Group aligns with the Groups’ purpose, values and vision; adds strategic value to the Group and strengthens our proposition adding greater depth or breadth and has leaders who can work collaboratively. Once companies are part of the Group, the Group integrates the newly-merged company into its standard monthly reporting cycle (cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:300)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:301)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172)(cid:204)(cid:285)(cid:329)(cid:161)(cid:155)(cid:329)(cid:121)(cid:181)(cid:232)(cid:285)(cid:329)(cid:121)(cid:200)(cid:143)(cid:329)(cid:161)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:258)(cid:143)(cid:139)(cid:284) (cid:40)(cid:181)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:210)(cid:186)(cid:329)(cid:200)(cid:143)(cid:134)(cid:200)(cid:214)(cid:161)(cid:210)(cid:329) and retain a diverse (cid:226)(cid:186)(cid:200)(cid:172)(cid:155)(cid:186)(cid:200)(cid:134)(cid:143) The quality of the services provided by the Group’s businesses are fundamentally derived from the quality of the Group’s people. The Group’s performance could therefore be adversely affected if it is not able to recruit, train and retain key talent in the Group’s businesses and at the Group level. Our goal is to have a diverse workforce that replicates the diversity of where we operate. The Group puts culture and purpose in the forefront of what we do to become an employer of choice for employees. We actively set our KPIs to focus on the diversity of our workforce and managed the KPIs with the same (cid:197)(cid:200)(cid:186)(cid:180)(cid:161)(cid:181)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:121)(cid:204)(cid:329)(cid:186)(cid:214)(cid:200)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:51)(cid:76)(cid:40)(cid:204)(cid:284) (cid:13)(cid:200)(cid:143)(cid:121)(cid:134)(cid:160)(cid:329)(cid:186)(cid:155)(cid:329)(cid:174)(cid:143)(cid:156)(cid:121)(cid:174)(cid:285)(cid:329) (cid:200)(cid:143)(cid:156)(cid:214)(cid:174)(cid:121)(cid:210)(cid:186)(cid:200)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329) contractual information (cid:204)(cid:143)(cid:134)(cid:214)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:139)(cid:121)(cid:210)(cid:121)(cid:329) (cid:197)(cid:200)(cid:161)(cid:225)(cid:121)(cid:134)(cid:232)(cid:329)(cid:174)(cid:143)(cid:156)(cid:161)(cid:204)(cid:174)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181) (cid:14)(cid:232)(cid:133)(cid:143)(cid:200)(cid:329)(cid:204)(cid:143)(cid:134)(cid:214)(cid:200)(cid:161)(cid:210)(cid:232)(cid:329)(cid:200)(cid:161)(cid:204)(cid:172) Non-compliance could expose the Group to (cid:174)(cid:161)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:258)(cid:181)(cid:143)(cid:204)(cid:329)(cid:300)(cid:155)(cid:186)(cid:200)(cid:329)(cid:143)(cid:231)(cid:121)(cid:180)(cid:197)(cid:174)(cid:143)(cid:329)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:35)(cid:19)(cid:76)(cid:79)(cid:301)(cid:285)(cid:329) (cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:143)(cid:156)(cid:121)(cid:210)(cid:161)(cid:225)(cid:143)(cid:174)(cid:232)(cid:329)(cid:161)(cid:180)(cid:197)(cid:121)(cid:134)(cid:210)(cid:329)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:121)(cid:204)(cid:160)(cid:329)(cid:259)(cid:186)(cid:226)(cid:329)(cid:161)(cid:181)(cid:329) the short term, cause reputational damage and damage customer relationships and credibility in the market. The Group reviews the impact of new information security and data privacy regulations and legislation on the Group and its customers. The output of these reviews (cid:161)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:134)(cid:143)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:316)(cid:204)(cid:329)(cid:161)(cid:181)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:186)(cid:174)(cid:204)(cid:329) and processes and the design of products, solutions and working practices. Cyber security threats are monitored by each individual company and any risks of cyber security are communicated throughout the whole group on a timely basis. (cid:89)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:200)(cid:143)(cid:174)(cid:161)(cid:143)(cid:204)(cid:329)(cid:214)(cid:197)(cid:186)(cid:181)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:134)(cid:186)(cid:181)(cid:258)(cid:139)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:161)(cid:210)(cid:232)(cid:285)(cid:329) integrity and availability of its IT systems internally and as part of its service offerings to customers. Cyber security events are occurring more frequently, and attacks are designed with greater complexity. A major cyber security event causing loss of availability or loss of customer data could limit the Groups’ operations, expose the Group (cid:210)(cid:186)(cid:329)(cid:258)(cid:181)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:121)(cid:214)(cid:204)(cid:143)(cid:329)(cid:200)(cid:143)(cid:197)(cid:214)(cid:210)(cid:121)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:139)(cid:121)(cid:180)(cid:121)(cid:156)(cid:143)(cid:285)(cid:329) and damage customer relationships due to reduced credibility in the market. Competitors (cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:133)(cid:161)(cid:174)(cid:161)(cid:210)(cid:232)(cid:329) to undercut our (cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:143)(cid:204) The Group’s competitors include large consultancies and technology companies, as well as smaller niche companies. (cid:89)(cid:160)(cid:143)(cid:329)(cid:35)(cid:200)(cid:186)(cid:214)(cid:197)(cid:329)(cid:161)(cid:204)(cid:329)(cid:155)(cid:186)(cid:134)(cid:214)(cid:204)(cid:143)(cid:139)(cid:329)(cid:186)(cid:181)(cid:329)(cid:139)(cid:143)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:161)(cid:181)(cid:156)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:134)(cid:174)(cid:121)(cid:204)(cid:204)(cid:329) services to clients and working hand-in-hand with clients to meet their needs. It is part of the Group’s strategy to exploit the current disruption of the digital transformation services industry and to focus on working with clients to meet their needs. We believe that the way we provide services sets us apart from competitors so that our clients can see the value of the work that we perform. We continue to monitor the bid to win ratios to identify potential risks. 86 | Corporate Governance TPXimpact Holdings Plc | 87 Board of directors 88 | Mark William Smith (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:269)(cid:270)(cid:285)(cid:329)(cid:60)(cid:186)(cid:181)(cid:306)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:14)(cid:160)(cid:121)(cid:161)(cid:200)(cid:180)(cid:121)(cid:181)(cid:329)(cid:370)(cid:329)(cid:329) (cid:83)(cid:143)(cid:181)(cid:161)(cid:186)(cid:200)(cid:329)(cid:40)(cid:181)(cid:139)(cid:143)(cid:197)(cid:143)(cid:181)(cid:139)(cid:143)(cid:181)(cid:210)(cid:329)(cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:329) Appointed Date: December 2018 (cid:329) (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) Mark has held several senior roles in creative and innovative communication businesses. He began his career as a chartered accountant at Touche Ross & Co. (Deloitte). He then spent 30 years at Chime Communications, which was acquired by Providence Private Equity in 2015. Mark is currently Non-Executive Chairman of Holiday Extras, a market leader in the provision of online ancillary travel services, where he has been Chairman for 5 years and Non- Executive Director for 18. He is also Chairman of Merit Group Plc (Previously The Dods Group), an AIM-listed intelligence, media, training and events company, operating in over 50 countries. Mark is also Chairman and Non-Executive Director of The Unlimited marketing Group a private equity-owned marketing services group and Non-Executive Chairman of Cognito Europe Limited having been appointed in April this year. They are a private consultancy specialising in marketing for Finance, Technology and Professional Services. Mark is also a Non- Executive Chairman of Mokum Communications, a private marketing services group. (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) Non-Executive Chairman of Holiday Extras, Non-Executive Chairman of Merit Group, Senior Adviser to the Sanctuary Counsel, Chairman of the Employee Ownership Trust at BritianThinks, Chairman and Non-Executive Director at Unlimited Group and Non-Executive Chairman of Cognito Europe Limited, Non-Executive Chairman of Mokum Communications. (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) Remuneration Committee, 12/12 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Neal Narendra Gandhi (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:268)(cid:267)(cid:285)(cid:329)(cid:14)(cid:186)(cid:306)(cid:34)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200)(cid:329) Oliver James Rigby (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:267)(cid:264)(cid:285)(cid:329)(cid:14)(cid:186)(cid:306)(cid:34)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:34)(cid:161)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200)(cid:329) Appointed Date: December 2018 Appointed Date: December 2018 (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) Neal is a serial tech entrepreneur having co-founded four companies that exited successfully with a combined value of (cid:339)(cid:264)(cid:264)(cid:270)(cid:180)(cid:284)(cid:329)(cid:39)(cid:143)(cid:329)(cid:134)(cid:186)(cid:306)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:139)(cid:329)(cid:160)(cid:161)(cid:204)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:121)(cid:156)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:265)(cid:264)(cid:329)(cid:121)(cid:181)(cid:139)(cid:285)(cid:329) (cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:200)(cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:121)(cid:180)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:50)(cid:214)(cid:181)(cid:156)(cid:174)(cid:143)(cid:284)(cid:134)(cid:186)(cid:180)(cid:285)(cid:329)(cid:210)(cid:160)(cid:121)(cid:210)(cid:329)(cid:134)(cid:186)(cid:180)(cid:197)(cid:121)(cid:181)(cid:232)(cid:329)(cid:226)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:181)(cid:329) to be sold to GUS for £37m. In 1996 he co-founded Xplora and sold it to Nasdaq-listed USWeb in 1998. Neal then co-founded Attenda, a managed services consultancy that went on to be sold for £72m; one part to Telecity Plc and the other to Darwin Private Equity. In 2006 he founded QuickStart Global, an offshore IT service provider, which grew rapidly, and in 2010 was listed in the Sunday Times Tech-Track 100 at number 3, his second company in that list with Attenda having been listed at number 2 in 2001. (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) None (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) 10/12 (cid:65)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:181)(cid:329)(cid:121)(cid:134)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:121)(cid:181)(cid:210)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:59)(cid:79)(cid:40)(cid:329)(cid:59)(cid:186)(cid:186)(cid:200)(cid:143)(cid:204)(cid:329)(cid:79)(cid:186)(cid:226)(cid:174)(cid:121)(cid:181)(cid:139)(cid:329)(cid:53)(cid:53)(cid:76)(cid:329) in 2006 before spending six years as an adviser in corporate (cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:19)(cid:121)(cid:181)(cid:161)(cid:143)(cid:174)(cid:329)(cid:83)(cid:210)(cid:143)(cid:226)(cid:121)(cid:200)(cid:210)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:19)(cid:143)(cid:174)(cid:186)(cid:161)(cid:210)(cid:210)(cid:143)(cid:284)(cid:329)(cid:65)(cid:174)(cid:161)(cid:225)(cid:143)(cid:200)(cid:329)(cid:121)(cid:134)(cid:210)(cid:143)(cid:139)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329) Nominated Adviser to the AIM Market of the London Stock (cid:23)(cid:231)(cid:134)(cid:160)(cid:121)(cid:181)(cid:156)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:186)(cid:181)(cid:143)(cid:329)(cid:186)(cid:155)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:232)(cid:186)(cid:214)(cid:181)(cid:156)(cid:143)(cid:204)(cid:210)(cid:329)(cid:78)(cid:214)(cid:121)(cid:174)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:204)(cid:284)(cid:329) Prior to co-founding The Panoply, Oliver set up Growth Company FD Limited in 2012 to provide part-time CFO and (cid:134)(cid:186)(cid:200)(cid:197)(cid:186)(cid:200)(cid:121)(cid:210)(cid:143)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:143)(cid:329)(cid:204)(cid:214)(cid:197)(cid:197)(cid:186)(cid:200)(cid:210)(cid:329)(cid:210)(cid:186)(cid:329)(cid:156)(cid:200)(cid:186)(cid:226)(cid:161)(cid:181)(cid:156)(cid:329)(cid:133)(cid:214)(cid:204)(cid:161)(cid:181)(cid:143)(cid:204)(cid:204)(cid:143)(cid:204)(cid:284)(cid:329) (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) Director at Growth Company FD Limited (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) Company Secretary, 12/12 TPXimpact Holdings Plc | 89 Board of directors continued Christopher Paul Sweetland (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:269)(cid:270)(cid:285)(cid:329)(cid:60)(cid:186)(cid:181)(cid:306)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200) Isabel Jane Kelly (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:268)(cid:269)(cid:285)(cid:329)(cid:60)(cid:186)(cid:181)(cid:306)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200) Appointed Date: December 2018 Appointed Date: December 2018 (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) (cid:14)(cid:160)(cid:200)(cid:161)(cid:204)(cid:329)(cid:199)(cid:214)(cid:121)(cid:174)(cid:161)(cid:258)(cid:143)(cid:139)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:134)(cid:160)(cid:121)(cid:200)(cid:210)(cid:143)(cid:200)(cid:143)(cid:139)(cid:329)(cid:121)(cid:134)(cid:134)(cid:186)(cid:214)(cid:181)(cid:210)(cid:121)(cid:181)(cid:210)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:51)(cid:76)(cid:59)(cid:35)(cid:329)(cid:133)(cid:143)(cid:155)(cid:186)(cid:200)(cid:143)(cid:329) (cid:204)(cid:197)(cid:143)(cid:181)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:272)(cid:329)(cid:232)(cid:143)(cid:121)(cid:200)(cid:204)(cid:329)(cid:186)(cid:225)(cid:143)(cid:200)(cid:204)(cid:143)(cid:121)(cid:204)(cid:329)(cid:161)(cid:181)(cid:329)(cid:121)(cid:329)(cid:225)(cid:121)(cid:200)(cid:161)(cid:143)(cid:210)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:258)(cid:181)(cid:121)(cid:181)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:200)(cid:186)(cid:174)(cid:143)(cid:204)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329) PepsiCo Inc. In 1989 when he was CFO for the Central Europe Beverages division, he was recruited by WPP to be part of their small central team. Chris retired from his role as WPP’s Deputy Group Finance Director in 2016, having been involved in all aspects of operations, investor relations and the many acquisitions that built that group. Chris also represented WPP on the overseas boards of a number of companies both in the UK and overseas. Since his retirement, Chris has taken on a number of Non- Executive Director roles, including TPXimpact Chris is also a Non-Executive Director and Chair of the Audit Committee at Unlimited Marketing Group, a private equity-owned marketing services group. (cid:40)(cid:204)(cid:121)(cid:133)(cid:143)(cid:174)(cid:329)(cid:161)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329)(cid:186)(cid:155)(cid:329)(cid:76)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:226)(cid:161)(cid:210)(cid:160)(cid:329)(cid:76)(cid:214)(cid:200)(cid:197)(cid:186)(cid:204)(cid:143)(cid:285)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:306)(cid:155)(cid:186)(cid:214)(cid:181)(cid:139)(cid:143)(cid:200)(cid:329) of ESG-Experts, both provide consultancy to companies on (cid:155)(cid:214)(cid:174)(cid:258)(cid:174)(cid:174)(cid:161)(cid:181)(cid:156)(cid:329)(cid:210)(cid:160)(cid:143)(cid:161)(cid:200)(cid:329)(cid:204)(cid:186)(cid:134)(cid:161)(cid:121)(cid:174)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:143)(cid:181)(cid:225)(cid:161)(cid:200)(cid:186)(cid:181)(cid:180)(cid:143)(cid:181)(cid:210)(cid:121)(cid:174)(cid:329)(cid:186)(cid:133)(cid:171)(cid:143)(cid:134)(cid:210)(cid:161)(cid:225)(cid:143)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:200)(cid:143)(cid:174)(cid:121)(cid:210)(cid:143)(cid:139)(cid:329) legal requirements. She is an Industry Careers Advisor for MBA students at the Saïd Business School, Oxford University, and sits on the Board of Big Give, the UK’s largest match- funding charity. In 2002 Marc Benioff, CEO of Salesforce.com, hired Isabel to establish the Salesforce Foundation internationally (now Salesforce.org). For 12 years she grew and led an international team delivering technology, grants and programmes in 110 countries, as well as generating annual revenue of $12m to fund the work. Isabel worked at Oxfam and Amnesty International for 12 years prior to joining Salesforce. (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) Director at Unlimited Group (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) Trustee of Big Give, Fellow of the RSA. (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) Chairman of the Audit, Risk and AIM Rules and Compliance Committee, Member of the ESG Committee, 12/12 Chair of the ESG Committee and Remuneration Committee, 12/12 90 | STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Rachel Cecilia Neaman (cid:121)(cid:156)(cid:143)(cid:139)(cid:329)(cid:268)(cid:269)(cid:285)(cid:329)(cid:60)(cid:186)(cid:181)(cid:306)(cid:23)(cid:231)(cid:143)(cid:134)(cid:214)(cid:210)(cid:161)(cid:225)(cid:143)(cid:329)(cid:19)(cid:161)(cid:200)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200) Appointed Date: October 2020 (cid:23)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:285)(cid:329)(cid:200)(cid:143)(cid:174)(cid:143)(cid:225)(cid:121)(cid:181)(cid:210)(cid:329)(cid:204)(cid:172)(cid:161)(cid:174)(cid:174)(cid:204)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:186)(cid:181)(cid:210)(cid:200)(cid:161)(cid:133)(cid:214)(cid:210)(cid:161)(cid:186)(cid:181)(cid:204)(cid:329)(cid:329) (cid:210)(cid:186)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:286) (cid:329) Rachel has extensive experience in digital leadership and transformation, having held several senior positions in the (cid:197)(cid:214)(cid:133)(cid:174)(cid:161)(cid:134)(cid:285)(cid:329)(cid:197)(cid:200)(cid:161)(cid:225)(cid:121)(cid:210)(cid:143)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:181)(cid:186)(cid:210)(cid:306)(cid:155)(cid:186)(cid:200)(cid:306)(cid:197)(cid:200)(cid:186)(cid:258)(cid:210)(cid:329)(cid:204)(cid:143)(cid:134)(cid:210)(cid:186)(cid:200)(cid:204)(cid:285)(cid:329)(cid:161)(cid:181)(cid:134)(cid:174)(cid:214)(cid:139)(cid:161)(cid:181)(cid:156)(cid:329)(cid:121)(cid:204)(cid:329)(cid:121)(cid:329)(cid:14)(cid:23)(cid:65)(cid:284)(cid:329) (cid:83)(cid:160)(cid:143)(cid:329)(cid:226)(cid:121)(cid:204)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:14)(cid:160)(cid:161)(cid:143)(cid:155)(cid:329)(cid:19)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:65)(cid:155)(cid:258)(cid:134)(cid:143)(cid:200)(cid:329)(cid:121)(cid:210)(cid:329)(cid:210)(cid:160)(cid:143)(cid:329)(cid:93)(cid:51)(cid:329)(cid:19)(cid:143)(cid:197)(cid:121)(cid:200)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:329)(cid:186)(cid:155)(cid:329) (cid:39)(cid:143)(cid:121)(cid:174)(cid:210)(cid:160)(cid:329)(cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:204)(cid:160)(cid:143)(cid:329)(cid:139)(cid:143)(cid:225)(cid:143)(cid:174)(cid:186)(cid:197)(cid:143)(cid:139)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329)(cid:139)(cid:161)(cid:156)(cid:161)(cid:210)(cid:121)(cid:174)(cid:329)(cid:204)(cid:210)(cid:200)(cid:121)(cid:210)(cid:143)(cid:156)(cid:232)(cid:284)(cid:329)(cid:83)(cid:160)(cid:143)(cid:329)(cid:161)(cid:204)(cid:329)(cid:181)(cid:186)(cid:226)(cid:329) a business advisor, executive coach and mentor and runs her own consultancy providing advice and coaching on strategy, leadership and digital transformation to executives and Boards. She is also a lecturer and start-up mentor for PUBLIC’s Gov Start programme and Percy Hobart Fellowship. (cid:79)(cid:121)(cid:134)(cid:160)(cid:143)(cid:174)(cid:329)(cid:121)(cid:174)(cid:204)(cid:186)(cid:329)(cid:133)(cid:200)(cid:161)(cid:181)(cid:156)(cid:204)(cid:329)(cid:204)(cid:161)(cid:156)(cid:181)(cid:161)(cid:258)(cid:134)(cid:121)(cid:181)(cid:210)(cid:329)(cid:121)(cid:139)(cid:139)(cid:161)(cid:210)(cid:161)(cid:186)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:139)(cid:225)(cid:161)(cid:204)(cid:186)(cid:200)(cid:232)(cid:329)(cid:143)(cid:231)(cid:197)(cid:143)(cid:200)(cid:161)(cid:143)(cid:181)(cid:134)(cid:143)(cid:329)(cid:210)(cid:186)(cid:329) the Board. She is an independent Governor of Birkbeck College, (cid:93)(cid:181)(cid:161)(cid:225)(cid:143)(cid:200)(cid:204)(cid:161)(cid:210)(cid:232)(cid:329)(cid:186)(cid:155)(cid:329)(cid:53)(cid:186)(cid:181)(cid:139)(cid:186)(cid:181)(cid:285)(cid:329)(cid:226)(cid:160)(cid:143)(cid:200)(cid:143)(cid:329)(cid:204)(cid:160)(cid:143)(cid:329)(cid:143)(cid:204)(cid:210)(cid:121)(cid:133)(cid:174)(cid:161)(cid:204)(cid:160)(cid:143)(cid:139)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:134)(cid:160)(cid:121)(cid:161)(cid:200)(cid:204)(cid:329)(cid:161)(cid:210)(cid:204)(cid:329)(cid:258)(cid:200)(cid:204)(cid:210)(cid:329) Digital Committee, a member of the Board of the Campaign for Social Science, part of the Academy of Social Sciences, and a member of the Advisory Board of Digital Health.London. For ten years she was on the Board of Digital Leaders of which she is a former Chair. She has been featured in (cid:14)(cid:186)(cid:180)(cid:197)(cid:214)(cid:210)(cid:143)(cid:200)(cid:329)(cid:105)(cid:143)(cid:143)(cid:172)(cid:174)(cid:232)(cid:316)(cid:204) list (cid:186)(cid:155)(cid:329)(cid:59)(cid:186)(cid:204)(cid:210)(cid:329)(cid:40)(cid:181)(cid:259)(cid:214)(cid:143)(cid:181)(cid:210)(cid:161)(cid:121)(cid:174)(cid:329)(cid:105)(cid:186)(cid:180)(cid:143)(cid:181)(cid:329)(cid:161)(cid:181)(cid:329)(cid:40)(cid:89)(cid:329)(cid:204)(cid:161)(cid:181)(cid:134)(cid:143)(cid:329)(cid:265)(cid:263)(cid:264)(cid:269)(cid:284) (cid:23)(cid:231)(cid:210)(cid:143)(cid:200)(cid:181)(cid:121)(cid:174)(cid:329)(cid:121)(cid:197)(cid:197)(cid:186)(cid:161)(cid:181)(cid:210)(cid:180)(cid:143)(cid:181)(cid:210)(cid:204)(cid:286) Partner at Strengths Unleashed, Faculty Member at the Public School of Technology, Director of Neaman Consulting, Governor of Birkbeck College University of London, Non-Executive Board Member at the Academy of Social Science, Advisory Board Member of DigitalHealth.London, Fellow of the RSA. (cid:14)(cid:186)(cid:180)(cid:180)(cid:161)(cid:210)(cid:210)(cid:143)(cid:143)(cid:329)(cid:180)(cid:143)(cid:180)(cid:133)(cid:143)(cid:200)(cid:204)(cid:160)(cid:161)(cid:197)(cid:329)(cid:121)(cid:181)(cid:139)(cid:329)(cid:133)(cid:186)(cid:121)(cid:200)(cid:139)(cid:329)(cid:121)(cid:210)(cid:210)(cid:143)(cid:181)(cid:139)(cid:121)(cid:181)(cid:134)(cid:143) Member of the ESG Committee, 10/12 TPXimpact Holdings Plc | 91 Corporate governance report TPXimpact is committed to operating proper standards of good corporate governance and has established a corporate governance model based on the key principles of the Quoted Companies Alliance Corporate Governance Code (“QCA Code”). The following outlines how the Company addresses the ten broad governing principles defined in the QCA Code. The Non-Executive Chairman is responsible for corporate governance and the overall leadership of the Board and ensuring its effectiveness. TPXimpact operates a business model and growth strategy that promotes the generation of shareholder value through growth. The company promotes professionalism, openness, honesty and integrity between its customers, staff, shareholders and suppliers. Principle 1 – Establish a strategy and business model which promote long-term value for shareholders. TPXimpact exists to transform the organisations, services and systems that underpin society and that drive business success. It applies strategic and creative thinking, technology, innovative design and user-centred approaches to bring about numerous improvements which together multiply the impact of change. The Company works closely with its clients in agile, multidisciplinary teams that span organisational design, technology, and digital experiences. It shares a deep understanding of people and behaviours and a philosophy of putting people and communities at the heart of every transformation. The business is being increasingly recognised as a leading alternative digital transformation provider to the UK public services sector, with c.72% of its client base representing the public sector and c.28% representing the commercial sector. Since its inception, TPXimpact has identified and met numerous potential target companies and has completed sixteen acquisitions. Unlike many buy and build models that have preceded TPXimpact, the Directors are focused on creating a business where employees join a culture of purpose, collaboration and innovation that delivers impactful work, profitable organic growth and agility at scale. The Directors believe that our flexible operating model, our trusted, multidisciplinary teams of experts, and our commitment to making a difference meant we were perfectly placed to deliver long term value for shareholders. TPXimpact has developed an efficient, formulaic approach for acquiring companies. With an extensive acquisition pipeline, the Directors intend to continue to supplement the organic 92 growth of the business through the addition of complementary companies. Key Strengths The Directors believe that the business’s key strengths include: • • • • • Significant market opportunity – Tech Market View estimates the UK Software and IT Services (SITS) market is worth an estimated £60.4b in 2021, growing to £72b. The public sector (comprising c.70% of the group’s revenue is worth an estimated £14.bn (2021) of this total. Further details regarding market outlook can be found on pages 18 to 19. Alignment of interests – TPXimpact’s acquisition model involves a significant proportion of the consideration for an acquisition being issued in Ordinary Shares thereby ensuring alignment of interests with existing shareholders. Profitable and cash-generative – the business is profitable, cash generative and only intends to make accretive acquisitions going forward. Focused growth strategy – The acquisition model is designed to attract ambitious companies, confident in their ability to grow profitably and rewards collaboration; – Management has an extensive network to help identify, attract and execute future acquisitions. Experienced management and Board with a proven track record – TPXimpact is managed by highly experienced executive and non-executive directors combining strong sector, public company and international mergers and acquisitions expertise with a track record of building, growing and exiting services companies. Principle 2 – Seek to understand and meet shareholder needs and expectations. TPX proactively engages with its shareholders and potential shareholders alike. This is through a series of mechanisms: • • Formal announcements – as a London Stock Exchange (LSE) AIM-listed company, we make all statutory announcements through the LSE’s regulatory news service (RNS). A feed is maintained on our investor area. TPXimpact reports formally to shareholders by the publication of its annual and half-yearly financial statements. Analyst and investor presentations – the Executive Directors present the half-yearly and annual results to institutional investors, analysts and the media. The presentations are available on the investor section of the website. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS • • • • • • AGM – Notification of the date of the AGM is sent to shareholders at least 21 working days in advance of the meeting. Details are set out in the Notice of Meeting. The Directors (and the external auditor) are available at the AGM to answer questions, both meeting, and informally afterwards. All details can be found on the Investor Announcements Section of the website. News releases – in addition to statutory announcements, we use RNS Reach to present regular business news and updates to shareholders. We also have a full news service available on The Panoply website. Interactive sessions – TPXimpact Executive Directors arrange regular (twice yearly) face to face sessions with any interested shareholders or potential shareholders, and are also available for updates at any point in the year. See contact details below. Investor focused website – we maintain a full section on the main TPXimpact website for investors. This includes real-time RNS announcements; the latest Investor Documents, presentations and reports; share information and share dealing interactive feeds; this corporate governance statement; a full list of investor-related contacts. LSE Profile – we also maintain a profile on the London Stock Exchange Issuer services website. Investor email – we also manage an investor email account for any direct queries – investors@tpximpact.com. Contact with major shareholders is principally maintained by the Executive Directors, who ensure that their views are communicated to the Board as a whole. The Chair is also available to discuss governance and other matters directly with major shareholders. At every Board meeting, the Board is provided with the latest brokers’ reports and a summary of the contents of any meetings with shareholders. The Board considers that the provision of these documents is a practical and efficient way for both the Chair and Senior Independent Director to be informed of major shareholders’ opinions on governance and strategy and to understand any shareholder issues and concerns. If you would like to know more about TPXimpact as a shareholder, or potential shareholder, please contact us through our investor’s email address and we will put you in touch with one of our Executive Directors. Principle 3 – Take into account wider stakeholder and social responsibilities and their implications for long-term success. Please see further details in the ESG Section of our Annual Report (Pages 36 to 76) and Financial Statements (Pages 115 to 187). Principle 4 – Embed effective risk management, considering both opportunities and threats, throughout the organisation. Risk management activity is overseen by the Chief Executive Officer, Chief Financial Officer and Chief of Staff, with the support of the Executive Management Team. Our framework enables us to remain vigilant to all known and emerging risks and opportunities. Effective risk management supports informed decision making; enables us to minimise impact from unforeseen internal or external events; and allows us to fully exploit emerging opportunities. Our objectives for risk management are to: • • • • • • Identify, measure, control and report on the business risk that may undermine the achievement of objectives, both strategically and operationally, through appropriate analysis and assessment criteria Effectively allocate effort and resources for the management of key and emerging risks Build an accurate picture at the highest level of the key risks facing our business, and use this information to drive business improvements in a considered and coordinated way Support and develop our reputation as a well-governed and trusted organisation Minimise costs and drive efficiencies in the way that pervasive risk is controlled across the business Identify weaknesses in, and opportunities to improve, our business processes Risk registers At the operational level, a risk register is maintained within every department. Risks are recorded and managed as required and are reviewed regularly by the management of each business. At a Plc level, there is a single risk register for the business Significant risks, which records the top risks to the business. Risk registers are reviewed on a quarterly basis which supports the escalation of any risks with a high residual impact, or potentially pervasive risks, to a higher level risk register as appropriate. Risk appetite The Board determines the amount and type of risk that TPXimpact is willing to take on in pursuit of its strategic objectives. The Board’s appetite for risk is influenced by various key factors including (but not limited to) the overall economic, regulatory and operational landscape in which we operate. TPXimpact Holdings Plc 93 Corporate governance report continued The Executive Management Team advises the Board of these key influences which enables the Board to adjust the amount of risk that TPXimpact takes on. Risk tolerance may, by business choice, differ in different parts of the company. The Directors have established three committees of its Board, namely the Audit, Risk and AIM Rules Compliance Committee, the Remuneration Committee and the Environmental, Social and Governance Committee (ESG Committee). Review and assurance Risk registers are updated as and when required. A full review is undertaken quarterly. The highest rated risks are presented to the Board every quarter by the CEO. Every six months the Board is presented with the detailed risk registers for each line of business. Further details can be found in our Risk Section of the Annual Report and Financial Accounts on pages 85-86 and 108-111. Principle 5 – Maintain the Board as a well- functioning, balanced team led by the Chair. The PLC Board (“the Board”) is responsible for the Company’s corporate governance systems and processes that support good decision making. The Non-Executive Directors, Mark Smith (Chair), Isabel Kelly, Rachel Neaman and Chris Sweetland are considered independent of management and free from any business or other relationships that could materially interfere with the exercise of their independent judgement. Both Mark Smith, Chris Sweetland and Rachel Neaman own shares in TPXimpact and all four Non-Executive Directors hold options, however, this is not considered to alter their independent status. Director’s commitment to TPXimpact The Directors acknowledge the importance of the principles set out in the QCA Code. Our Non-executive Directors have committed in their letters of appointment to attend all reasonable board and committee meetings in addition to being reasonably available at other times for TPXimpact business. Our Executive Directors have entered into employment contracts which require them to attend all board and committee (of which they are a member) meetings. The Non-Executive Directors meet at least once a year without the Executive Directors present. All Directors submit to re-election each year at the Annual General Meeting (“AGM”) of the Company. The Board meets at least four times each year with additional meetings when circumstances and urgent business dictate. At each meeting, the Board reviews a schedule of reserved matters including trading performance, financial strength, strategy (including investment and acquisition opportunities), risk management, controls, compliance, reports to shareholders and succession management. 94 The Audit, Risk and AIM Rules Compliance Committee is chaired by Chris Sweetland and has primary responsibility for monitoring the quality of internal controls, ensuring that the financial performance of the Company is properly measured and reported on and reviewing reports from the Company’s auditors relating to the Enlarged Group’s accounting and internal controls, in all cases having due regard to the interests of Shareholders. The Audit, Risk and AIM Rules Compliance Committee meets at least twice a year. Mark Smith is the other member of the Audit, Risk and AIM Rules Compliance Committee. Oliver Rigby, CFO, attends Audit, Risk and AIM Rules Compliance Committee meetings by invitation. The Remuneration Committee is chaired by Isabel Kelly, and reviews the performance of the Executive Directors and determines their terms and conditions of service, including their remuneration and the grant of options, having due regard to the interests of Shareholders. The Remuneration Committee meet at least once a year. Mark Smith is the other member of the Remuneration Committee. The Remuneration Committee also considers Board policy in relation to the remuneration of the Chairman of the Board. Non-Executive Director remuneration is a matter for the Chairman and the executive members of the Board. No Director is involved in any decisions as to their own remuneration or benefits. The Environmental, Social and Governance Committee (ESG Committee) is chaired by Isabel Kelly, and has the primary responsibility to assist Executive Management in setting the Company’s general strategy with respect to ESG matters and to consider and recommend policies, practices, and disclosures that conform with the strategy. The ESG Committee meets at least twice a year. Christopher Sweetland and Rachel Neaman are the other members of the ESG Committee. Principle 6 – Ensure that between them the Directors have the necessary up-to- date experience, skills and capabilities. The Board members and their relevant experience and skills are detailed on pages 88 to 91. The Non-Executive Chairman believes that, as a whole, the Board has a suitable mix of skills and competencies covering all essential disciplines bringing a balanced perspective that is beneficial both strategically and operationally and will enable the Company to deliver its strategy. The Board consists of two executive directors and four non-executive directors, all of whom are independent. The STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS nature of the Company’s business requires the Directors to keep their skillset up to date. Updates to the Board on regulatory matters are given by Company’s professional advisers when appropriate. In addition to the support provided by the Company’s retained professional advisers (Nominated Adviser, lawyers, auditor and M&A adviser), external consultants have been engaged to advise on a number of matters including tax planning and market research. External advisers attend Board meetings or committee meetings as invited by the Non-Executive Chairman to report and/or discuss specific matters relevant to the Company. Principle 7 – Evaluate Board performance based on clear and relevant objectives, seeking continuous improvement. Board performance effectiveness process The Chairman is responsible for the regular evaluation of the Board’s performance and that of its committees and individual Directors. Last year the Group undertook a board review, which focused on assessing the board’s effectiveness and governance. Some of the actions coming out of the review included the following: • • More in-person meetings and dedicated strategy away-day once Covid restrictions are lifted Further integration of financial and non-financial reporting Following the lifting of Covid restrictions all board meetings have returned to in-person and a strategy day was carried out on the 27th January 2022. Integration of financial and non-financial reporting has filtered throughout the business, with divisions reporting these through their monthly management accounts. Succession planning and Board appointments The Remuneration Committee meets as and when necessary to consider the appointment of new executive and non-executive directors, although the Board as a whole take responsibility for succession planning. Board members all have appropriate notice periods so that if a Board member indicates his/her intention to step down, there would be sufficient time to appoint a replacement, whether internal or external. The Company’s Articles of Association require that one-third of the Directors must stand for re-election by shareholders annually in rotation and that any new Directors appointed by the Board during the relevant year must stand for election at the annual general meeting immediately following their appointment. Any Directors who are not employed by the Company or holding executive office who have served on the Board for at least nine years will be subject to annual re-election. Board appointments are made after consultation with advisers including the Nominated Adviser who undertakes due diligence on all new potential Board candidates. Principle 8 – Promote a corporate culture that is based on ethical values and behaviours. It all started with the belief that organisations should make a positive difference to people’s lives. That small, talented teams organised in the right ways, with ambitious approaches to technology, design and data can deliver better results. We’ve got a long history of delivering great results for our clients. In 2021, transformation specialists Deeson, Difrent, Foundry4, FutureGov, Keep IT Simple, Manifesto, and Nudge Digital decided to come together, to meet the growing needs of organisations in new ways. The same people, providing the same world leading services, all united within TPXimpact. We drive fundamental change in approaches to product and service development, delivery and technology. Equipping our teams to deliver quickly and decisively through an approach we call Autonomy with Responsibility. Our founders set out to create a better way of doing business, putting people and the planet first. Autonomy We trust our teams and empower them to make their own decisions. Our positive work environment supports personal and professional growth and respects work-life balance. Responsibility We give people the flexibility and support they need to thrive. We are conscious of the impact of our actions and are accountable to all our stakeholders. User-centred We use design approaches to put people at the heart of everything we do. Our constant focus on users ensures we always meet their needs and solve their problems. Collaborative We work in partnership with our clients, listening and challenging, to get better outcomes. Lasting impact Positive change, for the long term. We’ll share our skills and set your teams up for sustainable success. TPXimpact Holdings Plc 95 Corporate governance report continued and terms of engagement. Prior to the commencement of each annual or interim audit, the Audit Committee will discuss and agree the nature and scope of the audit with the External Auditors and in discussion with them, will monitor the integrity of the financial statements of the Group and approve any formal announcements relating to the Company’s financial performance. The Audit Committee develops and implements policies on the engagement of the External Auditors to supply non-audit services and will report to the Directors, identifying any matters where the Audit Committee considers that action or improvement is needed, making recommendations as to the steps to be taken. The Audit Committee is authorised by the Board to investigate any activity within its terms of reference and may seek information it requires from any employee of the Company. The Audit Committee may seek outside professional advice at the cost of the Company, in order to secure any relevant experience or expertise it considers necessary to fulfil its duties. The Audit Committee report can be found on pages 101 and 102 with the Independent Auditors report found on pages 107 to 114. The Remuneration Committee report can be found on pages 98 to 100. The ESG Committee report can be found on pages 36 to 76. Community action Our people donate hundreds of hours to community action each year, and we donate 1% of our time and profits to charitable organisations. Further details on our culture and four themes can be found on page 38-41. Principle 9 – Maintain governance structures and processes that are fit for purpose and support good decision- making by the Board. On behalf of the Board, the CEO has overall responsibility for managing the day to day operations and the Board as a whole is responsible for monitoring performance against the businesses goals and objectives. The individual Board members’ specific responsibilities, contributions and skills are set out on pages 94 and 106. The Board has established three standing Committees, the Audit, Risk and AIM Rules and Compliance Committee (Audit Committee), the Remuneration Committee, and the Environmental, Social and Governance Committee (ESG Committee). Membership of the Audit Committee, the Remuneration Committee and the ESG Committee during the year under review was exclusively Non-Executive. Principle 10 – Communicate how the Company is governed and is performing by maintaining a dialogue with shareholders and other relevant stakeholders. The Company maintains a regular dialogue with key stakeholders including shareholders to enable interested parties to make informed decisions about the Business and its performance. Further details regarding the Directors’ engagement with stakeholders can be found in Section 172 on pages 80 to83. Historical annual reports and notices of general meetings can be found in the Financial Reports section of the Group’s website. The Board discloses the results of Annual General Meetings and these can be found in the Regulatory News section of the website. The Audit Committee meets at least twice a year, although the Company’s Auditors or any member of the Audit Committee may request a meeting at any time, should they consider that one is necessary. The role of the Audit Committee is to make recommendations to the directors and shareholders, in relation to the appointment, re-appointment and removal of the Company’s External Auditors and to approve their remuneration 96 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Environmental, Social and Governance Report During the year the ESG Committee (“the Committee”) comprised Isabel Kelly, Rachel Neaman and Christoper Sweetland, these members are independent Non-Executive Directors and details of their skills, experience and qualifications is set out on pages 88 to 91. • • To advise Executive Management on stockholder proposals and other significant stakeholder concerns relating to ESG Matters. To assess and advise on the impact of existing ESG strategy and metrics for M&A Matters. The committee also comprises the following members of the executive; Summary of activities in FY2022 • • • Bryony Wilde, Purpose Director Luke Murphy, Head of Investor Relations Ching Chong, Group Financial Controller and Committee Secretary James Herbert CEO of Foundry4 left the business during the year and therefore stepped down from the Committee. The Committee is in the process of undertaking an evaluation to find a suitable replacement. The Committee will also invite divisional leaders and specialists relevant to the Committee’s agenda, and Employee Resource Group (ERG) Leaders on a regular basis as appropriate. Main responsibilities The main responsibilities of the Committee are summarised below: • • • • • Assist Executive Management in setting the Company’s general strategy with respect to ESG Matters, and to consider and recommend policies, practices, and disclosures that conform with the strategy. To oversee the Company’s reporting and disclosure with respect to ESG Matters made in compliance with existing and future legislation set by the Financial Conduct Authority and standards on environmental, social impact D&I related legislation. To assist the Executive Management in overseeing internal and external communications regarding the Company’s position or approach to ESG Matters. To consider and bring to the attention of Executive Management and Board, as appropriate, current and emerging ESG Matters that may affect the business, operations, performance or public image of the Company or are otherwise pertinent to the Company and its stakeholders, and to make recommendations on how the Company’s policies, practices and disclosures can adjust to or address current trends. To discuss and decide upon the procedure of controversial clients and their bearing against the controversial clients framework and to make recommendations on how the Company proceeds. In FY2022, the Committee was established with the core purpose of supporting the Company’s ongoing commitment to people, planet and community matters relevant to the Company. The Committee’s core work programme focused on delivering against the WEF reporting framework and the specific targets and KPI’s relevant to this framework. The Committee also supported the Executive Management on the application of the B-Corp certification, on which the company is awaiting auditing and accreditation. There were six meetings held in the year from 1st April 2021 to 31st March 2022. ESG reporting The Committee reviewed and evaluated the appropriateness of the annual ESG report with management, including: 1. 2. 3. 4. 5. the clarity of disclosures and compliance with the World Economic Forum (WEF) Disclosure standards, Sustainable Development Goals (SDGs), Streamlined Energy and Carbon Reporting (SECR) and relevant financial and governance legislation. Ensuring that the methodologies used to collect and aggregate data were fair and that the proxies and assumptions made to benchmark our data were reasonable. The Committee is able to question management at both Group and business unit levels to gain further insight into the issues addressed in these reports. The outputs of the reporting and disclosures help the Group identify their progress towards their 2023 and 2025 impact vision as set out on pages 10-11. The key significant ESG reporting sections and outputs are further explained on pages 36 to 76 under the Sustainable Future section. Isabel Kelly Chairman of the Environmental Social and Governance Committee 7 September 2022 TPXimpact Holdings Plc 97 Remuneration report Remuneration committee The Remuneration committee determines, on behalf of the Board, the Group’s policy for executive remuneration and the individual remuneration packages for the Executive Directors. In setting the Group’s remuneration policy, the Remuneration committee considers a number of factors, including the following: • • • salaries and benefits available to Executive Directors of comparable companies; the need to attract and retain Executives of an appropriate calibre; and the need to ensure continued commitment of Executives to the Group’s success through appropriate incentive schemes. The Committee meets at least once a year. Remuneration of Executive Directors The remuneration packages comprise the following components: • • • • Base salary The Remuneration Committee sets the base salary by reference to responsibilities and the skills, knowledge and experience of the individual. Bonus scheme and other benefits There is no annual bonus scheme or other benefits in place currently. Share Incentive Schemes An unapproved option scheme was implemented in the prior period. Other benefits Private medical and life cover for employees including the Directors have been provided in the current year. Remuneration of Non-Executive Directors The fees paid to the Non-Executive Directors are determined by the Board. They are not entitled to receive any bonus or other benefits but did receive unapproved share options at the time of their appointment. Non-Executive Directors’ letters of appointment are on a three-month rolling basis. 98 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Directors’ remuneration Details of individual Directors’ emoluments for the year (excluding employer’s National Insurance contributions) are as follows: Salary including taxes £’000 Pension £’000 Share Option £’000 Other benefits £’000 2022 total £’000 2021 total £’000 2020 total £’000 2019 total £’000 Non-Executive Mark Smith (appointed 18 October 2018) Christopher Sweetland (appointed 18 October 2018) Isabel Kelly (appointed 18 October 2018) Rachel Neaman (appointed 19 October 2020) Executive Neal Gandhi (appointed 20 December 2016) Oliver Rigby (appointed 20 December 2016) Total 50 35 35 35 275 190 620 – – – – 14 10 24 4 3 3 – 18 18 46 – – – – 4 2 6 54 38 38 35 57 39 39 16 311 320 220 696 210 681 54 38 32 – 295 180 599 21 14 12 – 148 150 345 Directors’ interests in shares The interests of the Directors in the Ordinary Shares of the Company at 31 March 2022. Name of Director Christopher Paul Sweetland Isabel Kelly Mark William Smith Rachel Neaman Neal Gandhi Oliver Rigby 31-Mar 2022 Number 31-Mar 2021 Number 31-Mar 2020 Number 31-Mar 2019 Number 80,000 80,000 30,000 30,000 – – – – 122,000 122,000 122,000 122,000 1,765 1,765 – – 8,793,828 10,061,000 9,306,885 9,786,884 4,226,515 5,097,781 5,066,107 5,124,930 13,224,108 15,362,546 14,524,992 15,063,814 TPXimpact Holdings Plc 99 Remuneration report continued Directors’ interests in share options The directors have been granted options over the shares of the Company as follows: Granted in 2019 Lapsed during Type the year 31-Mar-21 & 31-Mar-22 Exercise price Date when Exercisable 20,300 20,300 20,302 20,300 20,300 20,302 33,834 33,834 33,836 135,338 135,338 135,340 135,338 135,338 135,340 – – – – – – – – – – – – – – – Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme Unapproved scheme EMI scheme EMI scheme EMI scheme EMI scheme EMI scheme EMI scheme 20,300 20,300 20,302 20,300 20,300 20,302 33,834 33,834 33,836 135,338 135,338 135,340 135,338 135,338 135.340 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 74p 31/03/21 31/03/22 31/03/23 31/03/21 31/03/22 31/03/23 31/03/21 31/03/22 31/03/23 31/03/21 31/03/22 31/03/23 31/03/21 31/03/22 31/03/23 Christopher Paul Sweetland Christopher Paul Sweetland Christopher Paul Sweetland Isabel Jane Kelly Isabel Jane Kelly Isabel Jane Kelly Mark William Smith Mark William Smith Mark William Smith Neal Gandhi Neal Gandhi Neal Gandhi Oliver Rigby Oliver Rigby Oliver Rigby By order of the Board Isabel Kelly Chairman, Remuneration Committee 7 September 2022 100 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Audit, risk and AIM rules compliance committee During the year The Audit, Risk and AIM Rules Compliance Committee (“the Committee”) comprised Christopher Sweetland and Mark Smith. Both members are independent Non-Executive Directors and details of their skills, experience and qualifications set out on pages 88 to 91. The Chief Financial Officer and the Group Financial Director attend the meetings. The Committee will also invite specialists relevant and external auditors to the Committee’s agenda if appropriate. b) c) Main responsibilities The terms of reference for the Committee are based on the Guidance on Audit Committees issued by the Financial Reporting Council. The main responsibilities of the Committee are summarised below: • • • • • Review the integrity of the financial statements of the Group and any formal announcements relating to the Group’s financial performance Review the Group’s internal controls established to identify, assess, manage and monitor risks, and receive reports from management on the effectiveness of the systems it has established, and the conclusions of any testing performed by internal audit and the external auditor Make recommendations to the Board in relation to the appointment of the external auditor and approve the remuneration and terms of engagement of the external auditor Assess the independence, objectivity and effectiveness of the external auditor and develop and implement policy on the engagement of the external auditor to supply non- audit services Review the integrity of the statement in the Annual Report on being fair, balanced and understandable, as required under the Companies Act 2006 Summary of activities in 2022 In 2022, the Committee’s core work programme focused on a number of significant issues and other accounting judgements where the Committee believed the highest level of judgement was required and with the highest potential impact on the Group’s financial statements. There were four meetings held in the year from 1 April 2021 to 31 March 2022. Financial reporting The Committee reviewed and evaluated the appropriateness of the interim and annual financial statements (including the announcements thereof to the London Stock Exchange) with both management and the external auditor, including: a) At the Board’s request, whether the Annual Report and Financial Statements, taken as a whole, is fair, balanced and understandable and provides the information necessary for shareholders to assess the Group’s position and performance, business model and strategy The clarity of disclosures and compliance with financial reporting standards and relevant financial and governance Discussing the critical accounting policies and use of assumptions and estimates, as noted on pages 127 to 187 of this Annual Report and Financial Statements, and concluding that the estimates, judgements and assumptions used were reasonable based on the information available and had been used appropriately in applying the Group’s accounting policies d) Reviewing the going concern and viability of the Group over the longer term as part of its assessment of the Group’s risks The Committee is able to question management at both Group and business unit levels to gain further insight into the issues addressed in these reports. The key significant financial reporting issues and other accounting judgements are set below and further explained on pages 136 to 137 under section critical accounting judgements and key sources of estimation uncertainty. Significant accounting judgements • Revenue and margin recognition The Committee from time to time discusses revenue recognition within the Group and whether they are aligned to IFRS 15. This includes assessing any challenges that subsidiaries may face in implementing IFRS 15 in their finance framework and accounts and considering new acquisitions and revenue recognition policies. • Carrying value of goodwill and other intangibles The judgement largely relates to the assumptions underlying the value in use of the cash-generating units, primarily the macroeconomic assumptions (such as discount rates) underpinning the valuation process. The Committee received reports from management who prepared reports setting out the allocation of the purchase price between goodwill and other intangibles. The Committee also received reports from management outlining the impairment model and the assumptions used. • Carrying value of investments The judgement largely relates to the assumptions underlying the value of investments held by the parent company. The Committee received reports from management indicating their assessment of the potential impairment of investments including consideration of triggering events, the calculation of value in use and discount rates and sensitivity analysis. TPXimpact Holdings Plc 101 Audit, risk and AIM rules compliance committee continued • Fair value of contingent and deferred consideration The Committee has reviewed the assumptions used to calculate the fair value of contingent consideration and deferred consideration. This primarily includes a review and challenge of any EBITDA adjustments used in the calculation of valuations. • Going concern In order to satisfy itself that the Group has adequate resources to continue in operation for the foreseeable future and that there are no material uncertainties that could lead to significant doubt as to the Group’s ability to continue as a going concern, the Committee considered the Group’s budgets and forecasts, cash position (both existing and projected), bank facilities and covenants. External auditor independence and effectiveness The Committee will carry out a formal review each year, to assess the independence and effectiveness of the external auditor, CLA Evelyn Partners Limited (Formerly known as Nexia Smith and Williamson Audit Limited ) The Committee has satisfied itself as to CLA Evelyn Partners Limited independence. Christopher Sweetland Chairman of the Audit, Risk and AIM Rules and Compliance Committee 7 September 2022 102 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Director’s report The Directors present their Annual Report on the affairs of the Business, together with the Financial Statements and Auditor’s report, for the year ending 31 March 2022. Principal activities TPXimpact exists to transform the organisations, services and systems that underpin society and that drive business success. It applies strategic and creative thinking, technology, innovative design and user-centred approaches to bring about numerous improvements which together multiply the impact of change. The Company works closely with its clients in agile, multidisciplinary teams that span organisational design, technology, and digital experiences. It shares a deep understanding of people and behaviours and a philosophy of putting people and communities at the heart of every transformation. The business is being increasingly recognised as a leading alternative digital transformation provider to the UK public services sector, with c.72% of its client base representing the public sector and c.28% representing the commercial sector. Further information can be found in the Strategic Report on pages 4 to 11. General information TPXimpact Holdings Plc (Formerly know as The Panoply Holdings Plc, changed its name on 1 October 2021) is a public limited company listed on the AIM market of the London Stock Exchange on 4 December 2018 and is incorporated and domiciled in the UK. The Company’s registered number is 10533096. The Articles of Association for TPXimpact can be accessed on the website at www.tpximpact.com/investor-relations/ An updated version of our major shareholders table is available on our website. Corporate governance The statement on corporate governance on pages 88 to 106 is included in the Directors’ Report by way of reference. Results and dividends Adjusted profit after tax was £9.2m (2021: £5.2m) (Statutory profit after tax on continuing operations of £0.8m ( FY2021 : loss of £2.0m)) The audited financial statements of the Group are set out on pages 116 to 126. An interim dividend of 0.3 pence per share was declared for H1 2022, which was paid on 28 January 2022. The Directors propose a dividend of 0.6p per share for the year ended 31 March 2022 (2021: 0.4p). Strategic review The information satisfying the strategic review requirements is set out in this report on pages 2 to 85. Going concern TPXimpact business activities, together with the factors likely to affect its future development, performance and position are set out on pages 4 to 11. The financial position of the Business, its billings, gross profit and profitability are described on pages 116 to 121. Details of the key risks and uncertainties in the business, along with the mitigation has been presented in the risks and uncertainties is presented on pages 85 to86. Having considered the Company’s cash flows, liquidity position and borrowing facilities, and after reviewing the budgets and cash projections for the next twelve months and beyond, the Directors believe that the Company has adequate resources to continue operations for the foreseeable future and for this reason they continue to adopt the going concern basis in preparing the financial statements. Directors The present membership of the Board is as follows: • • • • • • Mark Smith, Non-Executive Chairman, Chris Sweetland, Non-Executive Director, Isabel Kelly, Non-Executive Director, Rachel Neaman, Non-Executive Director, Oliver Rigby, Chief Financial Officer, Neal Gandhi, Chief Executive Officer. The names and biographical details of the current Directors of the Company are given on pages 88 to 91. During the year under review, all Non-Executive Directors were independent of management and any business or other relationships which could interfere with the exercise of their independent judgement. Details of Directors’ interests in the Company’s shares, service contracts and remuneration are set out in the Directors’ Remuneration Report on pages 98 to 100. Post-balance sheet events Details of post-balance sheet events are given in Note 30. Political donations The Group has not made any political donations during the year. (2021: £nil) TPXimpact Holdings Plc 103 Director’s report continued Energy and Carbon Reporting We are committed to reducing any negative impact we have on the planet and have invested significantly in expertise and technology to identify our greenhouse gas emissions. This is the second year we have reported our emissions formally in-line with the UK Government’s Streamlined Energy and Carbon Reporting (SECR) requirement. More in depth data, analysis and commentary on our environmental impact are included in the ESG section of this annual report and we will look to continually improve our environmental reporting as our processes evolve. Energy and Carbon breakdown from 1st April 2021 to 31st March 2022 FY 21-22 FY 20-21 Global UK (excluding UK) Global UK (excluding UK) Emissions from activities 3.84 0 6.41 0 for which the company own or control including combustion of fuel & operation of facilities (Scope 1)/tCO2e Emissions from purchase 11.52 24.52 4.79 18.70 of electricity, heat, steam and cooling purchased for own use (Scope 2, location based)/tCO2e Total gross Scope 1 & 15.36 24.52 11.20 18.70 Scope 2 emissions/tCO2e Energy consumption 75,238.85 96,899.25 – – used to calculate above emissions:/kWh Intensity ratio: tCO2e 0.19 0.31 0.22 0.37 4.94 2.23 – – (gross Scope 1 + 2)/£1,000,000 revenue Emissions from transmission and distribution and Well-to- Tank for fuel used in Scope 1 and 2 (Scope 3 category 3)/tCO2e 104 Reducing our impact In the reporting period, we have carried out several actions to help us understand and reduce our greenhouse gas emissions. More details of these can be found in the ESG section of this report, however highlights include: • • • • We have shown our commitment to accurate carbon footprinting by hiring an in-house Sustainability Analyst to work alongside our Planet Officer on all issues related to the planet Continuing to invest in Gold Standard carbon offsets such as renewable energy projects as part of our policy to offset emissions Provided lower cost access to electric vehicles for employees using an EV salary sacrifice scheme We launched a dedicated Planet Employee Resource Group (ERG) as a community for climate activists to advocate on behalf of the planet Methodology To quantify the greenhouse gas emissions of our activities, we have followed the 2019 HM Government Environmental Reporting Guidelines and the Greenhouse Gas Protocol – Corporate Standard. For natural gas (scope 1), emissions factors from the 2021 UK Government’s Conversion Factors for Company Reporting (BAIS, 2021) were used. For global emissions, ecoinvent emissions factors were used. For offices where utilities are shared with other companies, we calculated the proportion which was allocable to our usage but using floorspace percentage. For purchased electricity (scope 2), the location-based calculation approach of the GHG Protocol – Corporate Standard was followed, with emission factors from the 2021 UK Government’s Conversion Factors for Company Reporting used. For global emissions, ecoinvent emissions factors were used. For offices where utilities are shared with other companies, we calculated the proportion which was allocable to our usage but using floorspace percentage. For transmission and distribution and well-to-tank emissions (scope 3), emissions factors from the 2021 UK Government’s Conversion Factors for Company Reporting were used. Anti Corruption There were no known incidents of corruption in the year. Share Capital As at 31st March 2022, TPXimpact had 87,386,595 Ordinary Shares (£0.01) in issue, listed on AIM. These shares hold the right to vote at a general meeting. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The Company has not purchased any of its own shares during the year. Details of the number of share options held under the employee scheme are available in note 5.5 to the financial statements Shares to be issued The Company is required to issue further shares as contingent consideration for their acquisitions. A maximum of 4,051,000 shares remain to be issued under this obligation. Further details of the remaining shares to be issued are provided in note 5.5 of the financial statements Financial risk management and objectives Details of financial risk management and objectives are contained in Note 25 to the Consolidated Financial Statements. Awareness of relevant audit information Each of the Directors who held office at the date of approval of this Directors’ Report confirms that, so far as they are aware: • • there is no relevant audit information of which the Auditor is unaware; and the Directors have taken all the steps they ought to have taken to make themselves aware of any relevant audit information and to establish that the Auditor is aware of that information. Annual General Meeting The Annual General Meeting will be held in London on 30th September 2022- at 11 am. Notice of the Annual General Meeting will be sent to shareholders on 7 September 2022. Independent Auditor CLA Evelyn Partners Limited (Formerly know as Nexia Smith & Williamson Audit Limited) was appointed as Auditor to the Group on 12 September 2018. There are no contractual obligations in place that restrict our choice of statutory Auditor. By order of the Board Oliver Rigby Company Secretary 7 September 2022 TPXimpact Holdings Plc 105 Statement of Directors Responsibilities The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website. Legislation in the United Kingdom governing the preparation and dissemination of the financial accounts. The Directors are responsible for preparing the Annual Report and the Financial Statements in accordance with applicable law and regulations. Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to prepare the Group and Company financial statements in accordance with applicable law and International Financial Reporting Standards (IFRSs) as adopted by the UK and, as regards the Company financial statements, as applied in accordance with the provisions of the Companies Act 2006. Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the Group and of the profit or loss of the Group for that period. In preparing these financial statements, the Directors are required to: (i) select suitable accounting policies and then apply them consistently; (ii) make judgements and accounting estimates that are reasonable and prudent; (iii) state whether applicable IFRSs accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and (iv) prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business. The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Group’s transactions, disclose with reasonable accuracy at any time the financial position of the Company and the Group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Directors are responsible for ensuring that the Directors’ Report and the Strategic Report, in addition to any other information included in the Annual Report and Financial Statements, is prepared in accordance with United Kingdom company law. They are also responsible for ensuring that the Annual Report & Financial Statements include information required by the AIM Rules. 106 Financial Statements Independent Auditor’s Report to the Members of TPXimpact Holdings PLC Three of the components subject to audit for group reporting purposes were based in Norway and Bulgaria respectively and their audits were carried out by component auditors based in Norway and Bulgaria. We held video and telephone conference meetings with the component auditors in Norway and Bulgaria as part of our audit approach, and reviewed their audit working papers. At these meetings, the group audit team discussed the component auditors’ risk assessments and planned audit approach. Once the audit work was completed, the findings reported to the group audit team were discussed in more detail, and any further work required by the group audit team was then performed by the component auditor. In addition to these planned visits and meetings, the group audit team sent detailed instructions to the component audit teams and reviewed their audit working papers. Key audit matters Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period, and include the most significant assessed risks of material misstatement (whether or not due to fraud) we identified, including those which had the greatest effect on: the overall audit strategy; the allocation of resources in the audit; and directing the efforts of the engagement team. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Opinion We have audited the financial statements of TPXimpact Holdings Plc (the ‘parent company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2022 which comprise the Consolidated Income Statement, the Consolidated and Company Statements of Financial Position, the Consolidated and Company Statements of Changes in Equity, the Consolidated Statement of Cash Flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and UK-adopted international accounting standards. In our opinion, the financial statements: • • • give a true and fair view of the state of the group’s and of the parent company’s affairs as at 31 March 2022 and of the group’s profit for the year then ended; have been properly prepared in accordance with UK- adopted international accounting standards; and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard as applied to listed entities, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Our approach to the audit Of the group’s 23 reporting components, we subjected 12 to audits for group reporting purposes and 11 to specific audit procedures where the extent of our audit work was based on our assessment of the risk of material misstatement and of the materiality of that component. The latter were not individually significant enough to require an audit for group reporting purposes but were still material to the group. The components within the scope of audit work covered 86% of group revenue, 86% of group profit before tax, and 86% of group net assets. For the remaining 11 components, we performed analysis at a group level to re-examine our assessment that there were no significant risks of material misstatement within these. 108 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Key audit matter Description of risk Business combinations accounting – Group (See Note 8) The Group has a business model based on acquiring businesses’ and during the year, two acquisitions have taken place. There are significant judgements and assumptions involved to perform valuations of separately identifiable intangible assets arising from the acquisition of a business. There is a risk that the values and allocations of intangible assets and goodwill recognised are not in accordance with International Financial Reporting Standard (IFRS) 3 ‘Business combinations’. How the matter was addressed in the audit We focused on this area due to the high level of judgements and assumptions necessary to perform valuations of separately identifiable intangible assets arising from the acquisition of a business. We challenged management on the identification of intangible assets and the inputs and assumptions used in the purchase price allocation (‘PPA’) to determine the value of the identifiable assets and liabilities: As part of our procedures we: • • • • • • • • Reviewed the Share Purchase Allocation’s (‘SPAs’) for each entity acquired during the period. Obtained the PPA report prepared internally, together with the business combination calculations for each acquisition and checked the mathematical accuracy of these. Confirmed the basis of support for judgements used by management. Used our internal valuations team to assess the valuation model prepared in respect of each acquisition, including the basis and methodology adopted for identifying separate intangibles distinct from goodwill and the fair value of the consideration recognised Checked the appropriateness of discount factors applied Considered the overall valuation of intangible assets identified relative to similar companies in the industry Agreed the calculation of residual goodwill based on the consideration payable and identifiable assets and liabilities. Reviewed acquisition costs to ensure these have been expensed within the Income Statement in line with IFRS3. Reviewed the appropriateness of the of the useful lives applied to the intangible assets identified. TPXimpact Holdings Plc 109 Independent Auditor’s Report to the Members of TPXimpact Holdings PLC continued Key audit matter Description of risk Fair Value of contingent consideration – Group and Company (See Note 20) The Share Purchase Agreements (SPAs) contain clauses for contingent consideration and clawback provisions based on the acquired entities’ performance over the first two to four years following acquisition. Management are required to apply judgement to determine the fair value of the consideration payable, in accordance with IFRS 3. Revenue – Group (See Note 3) The Group’s activities include the provision of business IT management, design, implementation and support services. These services have multiple deliverables and can be a fixed or variable price. A number of contracts are expected to span the year end and the acquisition dates. Judgement will be involved in determining the levels of revenue to be recognised in line with IFRS 15 ‘Revenue recognition’, particularly for contracts which span the year end and acquisition dates. 110 How the matter was addressed in the audit We challenged the inputs and assumptions used to determine the fair value of the contingent consideration payable at acquisition and subsequently at the reporting date. As part of our procedures we: • • • • • Reviewed the SPAs to obtain an understanding of consideration payable. Reviewed and challenged management’s forecasts of future results which underpins how the contingent consideration is calculated. Compared historical forecasts against actual results and corroborated management’s assertions where reasonably practicable. Checked the appropriateness of discount factors applied. Assessed if any of the contingent consideration should be treated as employee benefits given that some of the vendors have been retained in the business. As part of our procedures we: • • • • Gained an understanding of the design and implementation of controls over revenue recognition which have been designed by the Group to prevent and detect fraud and errors in revenue recognition. Reviewed terms of major customer contracts and assessed the accounting for each revenue stream for compliance with IFRS 15. Performed tests of details on the different revenue streams starting tests from invoice and separately from contracts. Performed cut off testing around the subsidiary acquisition dates and the year-end to determine if revenue is recognised in the correct period. STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Key audit matter Description of risk Carrying value of goodwill – Group (See Note 9) The Group has a significant carrying value of goodwill arising on the acquisition of businesses in the prior year and current year. An annual impairment review is required to assess the carrying value of goodwill for each cash generating unit (CGU). Management uses a discounted cash flow model and compares the resulting valuation to the carrying value of goodwill for each CGU to assess if any impairment is required. There are significant judgements and assumptions, such as growth rates and discount factors, used by management in determining the valuation. How the matter was addressed in the audit We reviewed management’s assessment of impairment of goodwill. We challenged assumptions and assertions made by management in their assessment and considered whether the presence of impairment indicators should result in an impairment charge. As part of our audit procedures we: • • • • • Obtained the discounted cash flow models and the underlying valuations for each cash generating unit and checked the mathematical accuracy of these. Confirm the basis of support for judgements and assumptions used by management. Reviewed and challenged management’s forecasts of future results which underpins how the valuations are calculated. Compared historical forecasts against actual results and corroborate management’s assertions where reasonably practicable. Used our internal valuations team to assess the valuation models and the appropriateness of the discount rates applied. Performed sensitivity analysis on key assumptions used in the calculations. TPXimpact Holdings Plc 111 Independent Auditor’s Report to the Members of TPXimpact Holdings PLC continued Key audit matter Description of risk Carrying value of investments in subsidiaries – Company (See Note 11) The Company has significant balances relating to investments in subsidiaries. The investments relate to the acquisition of subsidiaries in prior year and current year. The carrying value of the investments in subsidiaries is also underpinned by the future financial viability of the subsidiaries. How the matter was addressed in the audit We reviewed management’s assessment of impairment of the carrying value of investments in subsidiaries. We challenged assumptions and assertions made by management in their assessment and considered whether the presence of impairment indicators should result in an impairment charge. As part of our audit procedures we: • • • • • • Challenged assumptions and assertions made by management in their assessment of the investment balances and considered whether the presence of impairment indicators should result in an impairment charge Reviewed the forecasted results of the subsidiaries and corroborated management’s assertions where reasonably practical Discussed with management the underlying future and planned activities of the subsidiaries. Reviewed any third party reports such as investor analysis Obtained the discounted cash flow models and assessed the mathematical accuracy of each valuation Considered the market capitalisation value of the group as at 31 March 2022 112 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Our application of materiality The materiality for the group financial statements as a whole (“group FS materiality”) was set at £1,434,000. This has been determined with reference to the benchmark of the group’s revenue, which we consider to be one of the principal considerations for members of the company in assessing the group’s performance. Group FS materiality represents 1.75% of the group’s revenue and as presented on the face of the consolidated income statement. The materiality for the parent company financial statements as a whole (“parent FS materiality”) was set at £932,000. This has been determined with reference to the benchmark of the parent company’s assets as it exists only as a holding company for the group and carries on no trade in its own right. Parent FS materiality represents 1.14% of the parent company’s assets as presented on the face of the parent company statement of financial position. Performance materiality for the group financial statements was set at £932,000, being 65% of group FS materiality, for purposes of assessing the risks of material misstatement and determining the nature, timing and extent of further audit procedures. We have set it at this amount to reduce to an appropriately low level the probability that the aggregate of uncorrected and undetected misstatements exceeds group FS materiality. We judged this level to be appropriate based on our understanding of the group and its financial statements, as updated by our risk assessment procedures and our expectation regarding current period misstatements including considering experience from previous audits. Performance materiality for the parent company financial statements was set at £606,000, being 65% of parent FS materiality. We have set it at this amount to reduce to an appropriately low level the probability that the aggregate of uncorrected and undetected misstatements exceeds parent FS materiality. We judged this level to be appropriate based on our understanding of the parent and its financial statements, as updated by our risk assessment procedures and our expectation regarding current period misstatements including considering experience from previous audits. Conclusions relating to going concern In auditing the financial statements, we have concluded that the directors’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our evaluation of the directors’ assessment of the group and parent company’s ability to continue to adopt the going concern basis of accounting included: • • • • • • • Challenging the assumptions used in the detailed budgets and forecasts prepared by management for the financial years ending 31 March 2023 and 31 March 2024; Assessing the mathematical accuracy of the detailed budgets and forecasts provided by management; Challenging the assumptions used by management in their forecasts and budgets, corroborating their judgements to supporting documentation; Comparing forecasts with actuals in the year and post year-end, to consider management’s forecasting ability; Considering the sensitivity of the assumptions and re-assessing headroom after sensitivity; Considering the group’s funding position and reviewing the group’s new funding arrangements; and Reviewing and challenging management’s calculations suggesting the Group is able to comply with all loan facility covenants in the 12 months from approval of the financial statements. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group and parent company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. Other information The other information comprises the information included in Annual Report and Financial Statements, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a TPXimpact Holdings Plc 113 Independent Auditor’s Report to the Members of TPXimpact Holdings PLC continued material misstatement of this other information, we are required to report that fact. liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: • • the information given in the strategic report and the directors’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and the strategic report and the directors’ report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: • • • • adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or the parent company financial statements are not in agreement with the accounting records and returns; or certain disclosures of directors’ remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit. Responsibilities of directors As explained more fully in the directors’ responsibilities statement set out on page 106, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the group’s and the parent company’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 114 Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are 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 ISAs (UK) 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 these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. We obtained an understanding of the legal and regulatory framework applicable to the group as well as the laws and regulations applicable, and considered these throughout our testing. We obtained an understanding of the entity’s policies and procedures by discussions with management. We also drew on our existing understanding of the group’s industry and regulation. We understand the company complies with requirements of these frameworks through: • • The Executive Directors updating operating procedures, manuals and internal controls as legal and regulatory requirements change. The Executive Directors’ close involvement in the running of the business and internal reporting at Board meetings meaning that any litigation or claims would come to their attention directly. In the context of the audit, we considered those laws and regulations: which determine the form and content of the financial statements; which are central to the group’s ability to conduct business; and where failure to comply could result in material penalties. We have identified the following laws and regulations as being of significance in the context of the group: • • • The Companies Act 2006 and IFRS in respect of the preparation and presentation of the financial statements; British, Norwegian and Bulgarian tax legislation; and AIM regulations and Market Abuse Regulations STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Stephen Drew Senior Statutory Auditor, for and on behalf of CLA Evelyn Partners Limited Statutory Auditor Chartered Accountants 45 Gresham Street London EC2V 7BG 7 September 2022 We performed the following specific procedures to gain evidence about compliance with the significant laws and regulations above; • • • Made enquiries with management as to any legal or regulatory issues during the year We have reviewed Board minutes for evidence of non compliance We have obtained representation from management that they have disclosed to us all known instances of non- compliance or suspected non-compliance with laws and regulations The senior statutory auditor led a discussion with senior members of the engagement team regarding the susceptibility of the entity’s financial statements to material misstatement, including how fraud might occur. The key areas identified as part of the discussion were with regard to the manipulation of the financial statements through manual journals and inflation of investment values. This was communicated to the other members of the engagement team who were not present at the discussion. The procedures carried out to gain evidence in the above areas included; • • Testing of the high and critical risk balances as explained in the Key Audit Matters section; and Testing of manual journal entries, selected based on specific risk assessments applied based on the company’s processes and controls surrounding manual journals. The senior statutory auditor was satisfied that the engagement team collectively had the appropriate competence and capabilities to identify or recognise irregularities. In particular, both the senior statutory auditor and the audit manager have a number of years’ experience in dealing with companies subject to AIM Regulation. A further description of our responsibilities is available on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. Use of our report This report is made solely to the parent company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the parent company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the parent company and the parent company’s members as a body, for our audit work, for this report, or for the opinions we have formed. TPXimpact Holdings Plc 115 Consolidated Income Statement Revenue Cost of Sales Gross Profit Administrative expenses Other income Operating profit/(loss) Finance income Finance costs Net finance expense Profit/(loss) before taxation Taxation Profit/(loss) for the period from continuing operations Loss after tax on discontinued operations Profit/(loss) for the period Other comprehensive income for the year Exchange differences on translation of foreign operations Total comprehensive loss for the period Earnings per share from continuing and discontinued operations Basic (p) Fully diluted (p) Earnings per share from continuing operations Basic (p) Fully diluted (p) 2022 £’000 Restated* 2021 £’000 Note 3 79,709 50,315 (55,341) (34,479) 24,368 15,836 (21,738) (17,586) 4 4 4 6 27 27 27 7 579 3,209 – (683) (683) 2,526 (1,706) 820 (723) 394 (1,356) 3 (303) (300) (1,656) (384) (2,040) (189) 97 (2,229) (226) (129) 0.2p 0.1p 1.0p 0.9p 68 (2,161) (3.5p) (3.5p) (3.5p) (3.5p) * 2021 was restated due to discontinued activities and the results of those activities has been disclosed separately for the current and prior period consolidated income statement. The accompanying accounting policies and notes on pages 127 to 187 are an integral part of these Consolidated Financial Statements. 116 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Consolidated Statement of Financial Position for the year ended 31 March 2022 Non-current assets Goodwill Intangible assets Property, plant and equipment Right of use assets Deferred tax assets Total non-current assets Current assets Trade and other receivables Contract assets Other taxes and social security costs Cash and cash equivalents Total current assets Assets held for sale Total assets Current liabilities Trade and other payables Other taxes and social security costs Corporate tax liability Deferred and contingent consideration Lease liabilities Borrowings Contract liabilities Total current liabilities Liabilities directly associated with assets held for sale Note 2022 £’000 2021 £’000 9 10 12 13 22 14 18 19 15 27 16 19 20 13 17 18 27 66,157 28,493 297 1,293 47 53,323 29,370 292 445 15 96,287 83,445 16,853 3,840 71 7,914 28,678 708 14,014 1,144 137 5,734 21,029 – 125,673 104,474 (7,718) (5,681) (4,160) (3,887) (1,214) (3,173) (416) (20) (4,536) (1,439) (8,478) (336) (55) (1,941) (21,237) (21,817) (103) – TPXimpact Holdings Plc 117 Consolidated Statement of Financial Position continued for the year ended 31 March 2022 Non-current liabilities Deferred tax liabilities Deferred and contingent consideration Borrowings Provisions – dilapidations Lease liabilities Total non-current liabilities Total liabilities Net assets Equity Share capital Own shares Share premium Merger reserve Capital redemption reserve Other reserves Retained earnings Total equity Note 2022 £’000 2021 £’000 22 20 17 29 13 21 21 21 21 21 21 (6,696) (198) (5,133) (3,741) (18,000) (13,000) – (878) (76) (53) (25,772) (22,003) (47,112) (43,820) 78,561 60,654 874 (356) 6,449 804 – 5,691 78,705 60,926 15 997 5 796 (8,123) (7,568) 78,561 60,654 These financial statements were approved and authorised for issue by the Board of Directors on 7 September 2022. Signed on behalf of the Board of Directors by Oliver Rigby Director Oliver Rigby Neal Gandhi Director Neal Gandhi The accompanying accounting policies and notes on pages 127 to 187 form an integral part of these financial statements. 118 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Consolidated Statement of Changes in Equity for the year ended 31 March 2022 Share capital £’000 Share premium £’000 Capital Merger Redemption Reserve reserve £’000 £’000 Foreign exchange reserve £’000 Share Option Reserve £’000 Retained earnings £’000 Total £’000 At 1 April 2020 551 5,673 25,804 Loss for the period Exchange differences on translation of foreign operations Transactions with owners Shares issued Dividends paid Share-based payments – – 253 – – – – 18 – – – – 35,122 – – Equity at 31 March 2021 804 5,691 60,926 5 – – – – – 5 66 – 68 – – – 134 368 (5,201) 27,266 – – – – 294 662 (2,229) (2,229) – – (138) – 68 35,393 (138) 294 (7,568) 60,654 Share Share Merger capital premium reserve £’000 £’000 £’000 Capital Redemption Reserve £’000 Foreign Own exchange reserve £’000 shares £’000 Share Option Retained earnings Reserve £’000 £’000 Total £’000 At 1 April 2021 804 5,691 60,926 Profit for the period Exchange differences on translation of foreign operations Transactions with owners Shares issued Share cancellations Dividends paid Other adjustment Share-based payments Share options exercised Own shares purchased by EBT – – 80 (10) – – – – – – – – – 257 17,779 – – – – 501 – – – – – – – 5 – – – 10 – – – – – – – – (257) – – – – – (99) 134 – (226) – – – – – – – 662 (7,568) 60,654 – – – – – – 427 – – 97 97 – – – (226) 17,859 – (603) (603) (49) (49) – – – 427 501 (99) Equity at 31 March 2022 874 6,449 78,705 15 (356) (92) 1,089 (8,123) 78,561 The accompanying accounting policies and notes on pages 127 to 187 form an integral part of these financial statements. TPXimpact Holdings Plc 119 Consolidated Statement of Cash Flows for the year ended 31 March 2022 Cash flows from operating activities: Profit/(loss) before taxation Adjustments for: Depreciation Amortisation Share-based payments Foreign exchange (gains)/losses Finance expense Finance income Movement in fair value of contingent consideration Profit on disposal of property, plant and equipment Working capital adjustments: Increase in trade and other receivables Increase in trade and other payables Net cash generated from operations Tax paid Net cash generated from continuing operating activities Net cash (used in)/generated from discontinued operating activities Net operating cash flows Cash flows from investing activities: Net cash paid on acquisition of subsidiaries Deferred consideration payment Purchase of property, plant and equipment Additions to intangibles Proceeds from sale of property, plant and equipment Interest received Net cash used in investing activities from continuing operations Net cash used in investing in discontinued activities Net cash used in investing activities for total activities 120 Note 2022 £’000 2021 £’000 12, 13 10 5 4 4, 27 20 8 20 12 10 4, 27 1,764 (1,845) 584 5,347 427 (292) 683 – (152) 4 835 2,509 294 (5) 303 (1) 4,260 – (3,754) (1,032) 3,488 8,099 (921) 7,178 (563) 6,615 483 5,801 (159) 5,642 – 5,642 (6,840) (10,813) (467) (249) (292) 6 – (259) (137) (321) – 1 (7,842) (11,529) (165) – (8,007) (11,529) STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Consolidated Statement of Cash Flows continued for the year ended 31 March 2022 Cash flows from financing activities: New borrowings Proceeds from exercise of share options Purchase of own shares Payment of lease liabilities Finance costs Dividends paid Net cash generated from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of the period Effect of exchange rate fluctuations on cash held Cash from discontinued operations Cash and cash equivalents at end of the period Comprising: Cash at bank and in hand Cash held by trust Cash and cash equivalents at the end of the reporting period Note 2022 £’000 Restated 2021 £’000 26 5,000 8,000 501 (99) (362) (683) (603) 3,754 2,362 5,734 (148) (34) 7,914 7,864 50 7,914 – – (610) (331) (138) 6,921 1,034 4,614 86 – 5,734 5,734 – 5,734 13 15 15 The accompanying accounting policies and notes on pages 127 to 187 are an integral part of these Consolidated Financial Statements. TPXimpact Holdings Plc 121 Company Statement of Financial Position for the year ended 31 March 2022 Note 2022 £’000 2021 £’000 11 10 12 14 23 15 16 19 20 23 20 17 117,759 98,478 394 4 – 4 118,157 98,482 272 2,948 514 3,734 298 901 344 1,543 121,891 100,025 (1,269) (115) (561) (53) (3,173) (8,478) (396) (5,040) (4,953) (14,132) (198) (3,741) (18,000) (13,000) (18,198) (16,741) (23,151) (30,873) 98,740 69,152 Non-current assets Investments Intangible assets Property, plant and equipment Total non-current assets Current assets Trade and other receivables Amounts owed by Group undertakings Cash and cash equivalents Total current assets Total assets Current liabilities Trade and other payables Other taxes and social security costs Deferred and contingent consideration Amounts owed to Group undertakings Total current liabilities Non-current liabilities Deferred and contingent consideration Borrowings Total non-current liabilities Total liabilities Net assets 122 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Company Statement of Financial Position continued for the year ended 31 March 2022 EQUITY Share capital Own shares Share premium Merger reserve Capital redemption reserve Other reserves Retained earnings Total equity Note 2022 £’000 2021 £’000 21 21 21 21 21 21 874 (257) 6,449 804 – 5,691 78,705 60,926 15 1,089 11,865 98,740 5 662 1,064 69,152 TPXimpact Holdings Plc has elected to take the exemption under section 408 of the Companies Act 2006 from presenting the company profit and loss account. The Company’s profit for the year ended 31 March 2022 was £11.4m (2021: £2.4m). The financial statements were approved by the Board of Directors on 7 September 2022 and were signed on its behalf by: Oliver Rigby Director Oliver Rigby Neal Gandhi Director Neal Gandhi The accompanying accounting policies and notes on pages 127 to 187 form an integral part of these financial statements. TPXimpact Holdings Plc 123 Company Statement of Changes in Equity for the year ended 31 March 2022 Share capital £’000 Share premium £’000 Merger reserve £’000 Capital Own redemption reserve £’000 shares £’000 Share option reserve £’000 Retained earnings £’000 Total £’000 At 1 April 2020 551 5,673 25,804 Profit and total comprehensive income for the period Shares issued Share-based payments Dividends paid – 253 – – – 18 – – – 35,122 – – Equity at 31 March 2021 804 5,691 60,926 – – – – – 5 – – – – 5 368 (1,204) 31,197 – – 294 – 662 2,406 2,406 – – (138) 35,393 294 (138) 1,064 69,152 Share capital £’000 Share premium £’000 Merger reserve £’000 Capital Own redemption reserve £’000 Shares £’000 Share option reserve £’000 Retained earnings £’000 Total £’000 At 1 April 2021 804 5,691 60,926 Profit and total comprehensive income for the period Shares issued Share cancellations Share-based payments Dividends paid Share options exercised – 80 (10) – – – – – – 257 – 501 – 17,779 – – – – – – (257) – – Equity at 31 March 2022 874 6,449 78,705 (257) 5 – – 10 – – – 15 662 1,064 69,152 – – – 427 – – 11,404 – – – 11,404 17,859 – 427 (603) (603) – 501 1,089 11,865 98,740 The accompanying accounting policies and notes on pages 127 to 187 form an integral part of these financial statements. 124 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Company Statement of Cash Flow for the year ended 31 March 2022 Cash flows from operating activities: Profit/(loss) before taxation Adjustments for: Depreciation Amortisation Impairment of intercompany balances Impairment of investments Dividends received Share-based payments Foreign exchange losses Finance expense Movement in fair value contingent consideration Working capital adjustments: Increase in trade and other receivables Increase/(decrease) in trade and other payables Net cash used in operations Cash flows from investing activities: Acquisition of subsidiaries (paid) Deferred consideration payment Balances repaid from/(provided to) subsidiary companies Purchase of property, plant and equipment Purchase of intangible assets Dividends received Net cash generated/used in investing activities Note 2022 £’000 2021 £’000 12 10 11 5 20 8 20 12 10 11,404 2,424 3 8 914 510 1 – 886 100 (16,065) (9,358) 427 (5) 679 (152) 294 – 256 4,260 (4,989) 873 (774) (72) (6,392) (1,983) (8,105) (11,675) (467) – – (404) 11,142 2,166 (121) 303 (4) – 6,131 (5,366) TPXimpact Holdings Plc 125 Company Statement of Cash Flow continued for the year ended 31 March 2022 Cash flows from financing activities: New borrowings Finance costs Costs relating to issue of new borrowings Proceeds from exercise of share options Dividends paid Net cash generated from financing activities Net increase in cash and cash equivalents Cash and cash equivalents at beginning of the period Cash and cash equivalents at end of the period Comprising: Cash and cash equivalents at the end of the reporting period Note 2022 £’000 2021 £’000 26 5,000 8,000 (502) – 501 (603) 4,396 170 344 514 (221) (95) – (138) 7,546 197 147 344 514 344 15 15 The accompanying accounting policies and notes on pages 127 to 187 form an integral part of these financial statements. 126 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Notes to the Consolidated Financial Statements 1. General information TPXimpact Holdings plc is a public limited company incorporated in England and Wales under the Companies Act 2006 with registered number 10533096. The Company’s shares are publicly traded on the AIM as part of the London Stock Exchange. The address of the registered office is 7 Savoy Court, London, England, WC2R 0EX. The principal activity of the Group is the provision of digitally native technology services to clients within the commercial, government and non-government organisation (NGO) sectors. The following subsidiaries included in the consolidated financial statements of TPXimpact Holdings plc have taken advantage of the exemption from audit conferred by s479A of the Companies Act 2006: • • • • • • • • • • • • • • • • • Manifesto Digital Limited (Registered number 07885631) Foundry 4 Consulting Limited (Previously Not Binary Limited) (Registered number 10686321) iDisrupted Limited (Registered number 09496322) Human Plus Limited (Registered number 11771564) Questers Global Group Limited (Registered number 08116392) Questers Resourcing Limited (Registered number 05640907) Deeson Group Holdings Limited (Registered number 11418077) Deeson Group Limited (Registered number 01073356) Greenshoot Labs Limited (Registered number 10967409) TPXimpact Limited (previously FutureGov Limited) (Registered number 06472420) US-Creates Limited (Registered number 05938821) Ameo Professional Services Limited (Registered number 09786677) Arthurly Limited (Registered number 11560054) Difrent Limited (Registered number 09227500) Keep IT Simple Limited (Registered number 10443621) Nudge Digital Limited (Registered number 05805455) RedCortex Limited – (Registered number 10335104) 1.1 Basis of preparation The consolidated financial statements have been prepared in accordance with applicable UK Adopted International Financial Reporting Standards (IFRSs), with the Companies Act 2006 and the AIM rules for Companies. The measurement bases and principal accounting policies of the Group are set out below. These policies have been consistently applied to all years presented unless otherwise stated. The financial statements include the financial results of the subsidiaries listed in Note 11 for the full year with the exception of the following subsidiaries/controlled entities from the date of acquisition. All subsidiaries are incorporated in the UK unless otherwise stated: • • Nudge Digital Limited – acquired on 30 June 2021 RedCortex Limited – acquired on 6 December 2021 Further details of the above acquisitions can be found in Note 8 Business Combination. Employee Benefit Trusts (‘EBTs’) are accounted for under IFRS 10 and are consolidated on the basis that the parent has control, thus the assets and liabilities of the EBT are included on the consolidated and parent balance sheets and shares held by the EBT in the TPXimpact Holdings Plc 127 Notes to the Consolidated Financial Statements continued Company are presented as a deduction from equity in the consolidated and parent balance sheets. TPXimpact Holdings Plc Employee Benefit Trust was Formed 6 September 2021 and is consolidated in the group financial statements. 1.2 Going concern As detailed further in the Directors’ report, after reviewing the budgets and cash projections for the next twelve months and beyond, the Directors believe that the Group and the Company have adequate resources to continue operations for the foreseeable future and for this reason they have adopted a going concern basis in preparing these financial statements. In considering the business activities for the forthcoming 12 months, the directors have assessed the impact of principal risks and uncertainties through scenario modelling. This includes an assessment of the ongoing impact of inflation on our services, sector, customers and through looking at trends in the digital transformation sector. At year end, the Group has a rolling credit facility with HSBC of £20m of which £18m has been drawn down. Of the £20m, the £2m is available as a working capital facility. This facility with HSBC, together with strong cash reserves within the Group provide comfort over the viability of the Group to prepare the financial statements on a going concern basis. Post period end HSBC have extended their revolving credit facility with the Group to £30m with a £15m accordion. The new facility is a sustainability-linked revolving credit facility that incorporates targets which align with our long-term ESG objectives. The impact on going concern of the extension of the facility is that the repayment date has been extended so the loan is no longer due for repayment until 2025. This improves the cash flow position of the business. After performing all the above assessments and through modelling scenarios, it is concluded that we would maintain sufficient undrawn capacity and satisfy all borrowing facility covenants in the next 12 months. New IFRS accounting standards adopted in the year Developments adopted by the Group in 2022 with no material impact on the Group’s financial statements There were no new IFRSs, endorsed standards and amendments, improvements and interpretations of published standards applicable for accounting periods beginning 1 April 2021. Developments expected in future periods of which the impact on the Group’s financial statements is still being assessed There are new IFRS accounting standards and amendments to existing accounting standards not yet effective in the current year, but none of these are expected to have a material impact on the Group in the following financial period, these are as follows: • • Amendments to IAS 37 Provisions, Contingent Liabilities, Contingent Assets Onerous Contracts – Cost of Fulfilling a Contract Amendments to IAS 16 Property, Plant and Equipment – Proceeds before Intended Use 2. Principal accounting policies a) Basis of consolidation The Group financial statements consolidate those of the Company and all of its subsidiary undertakings drawn up to 31 March 2022. A subsidiary is an entity controlled by the Company. Control is achieved where the Company has existing rights that give it the current ability to direct the activities that affect the Company’s returns and exposure or rights to variable returns from the entity. The results of subsidiaries acquired or disposed of during the year are included in the consolidated income statement from the effective date of acquisition or up to the effective date of disposal, as appropriate. Unrealised gains on transactions between the Group and its subsidiaries are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Amounts reported in the financial statements of subsidiaries have been adjusted where necessary to ensure consistency with the accounting policies adopted by the Group. Acquisitions of subsidiaries are dealt with using the purchase method. The purchase method involves the recognition at fair value of all identifiable assets and liabilities, including contingent liabilities of the subsidiary, at the acquisition date, regardless of whether or not they were recorded in the financial statements of the subsidiary prior to acquisition. On initial recognition, the assets and liabilities of the subsidiary are included in the Consolidated Statement of Financial Position at their fair values, which are also used as the cost bases for subsequent measurement in accordance with the Group accounting policies. 128 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The consideration transferred in the acquisition is measured at fair value, as are the identifiable net assets acquired. Any goodwill that arises is tested annually for impairment. Any gain on a bargain purchase is recognised in the profit or loss immediately. Transaction costs are expensed as incurred, except if related to the issue of debt or equity securities. The consideration transferred does not include amounts related to the settlement of pre-existing relationships. Such amounts, to the extent that they exceed the settlement amounts, are generally recognised in the profit or loss. Any deferred contingent consideration payable is measured at fair value at the acquisition date. If an obligation to pay contingent consideration that meets the definition of a financial instrument is classified as equity, then it is not remeasured, and settlement is accounted for within equity. Otherwise, other contingent consideration is remeasured at fair value at each reporting date and subsequent changes in the fair value of the contingent consideration are recognised in profit or loss. Goodwill is stated after separating out identifiable intangible assets. Goodwill represents the excess of consideration payable over the fair value of the Group’s share of the identifiable net assets of the acquired subsidiary at the date of acquisition. The Group disposed of its subsidiary Greenshoot Labs Limited (‘GSL’) on 24 May 2022. The operations of GSL is therefore presented as discontinued operations. Note 26 sets out the details and impact of discontinued operations b) Segment reporting Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker as required by IFRS 8 “Operating Segments”. The chief operating decision-maker, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Board of Directors. The accounting policies of the reportable segments are consistent with the accounting policies of the Group as a whole. Segment adjusted EBITDA represents earnings before interest, tax, depreciation, amortisation, share-based payments and fair value of contingent consideration. This is the measure of profit that is reported to the Board of Directors for the purpose of resource allocation and the assessment of segment performance. When assessing segment performance and considering the allocation of resources, the Board of Directors review information about segment assets and liabilities. For this purpose, all assets and liabilities are allocated to reportable segments with the exception of borrowings. During the year, there was a change in operating segments due to an internal restructure. Management’s view is that the new structure better aligns with the entities’ operations mainly as it relates to its revenue-generating activities and how the entities are managed and reported internally for decision making purposes. There were 9 segments in prior year and 5 in the current year. Where numbers for each segment has been disclosed for the current year, the prior year comparatives have been restated. The Group is organised into, and managed through, the following operating segments, which are based on service and supported by central functions: • • • • • Consulting Digital experience Bene Agere Questers RedCortex In addition, management reviews revenue disaggregated by the following sectors to understand our customer base. • • • Government – Sectors that are run by both local and central government Non-Government organisations (NGOs) – Organisations such as charities, cultural, housing associations etc that provide public services but are not run by Governments Commercial – Commercial clients that do not fall into the two categories above Government and NGOs are classified as public services for reporting purposes. TPXimpact Holdings Plc 129 Notes to the Consolidated Financial Statements continued c) Goodwill The Group measures goodwill at the acquisition date as: • • • the fair value of the consideration transferred; plus the recognised amount of any non-controlling interests in the acquiree; plus, if the business combination is achieved in stages, the fair value of the existing equity interest in the acquiree; less the net recognised amount of the identifiable assets acquired, and liabilities assumed. When the excess is negative, a bargain purchase gain is recognised immediately in profit or loss. The consideration transferred does not include amounts related to the settlement of pre-existing relationships. Such amounts are generally recognised in profit or loss. Costs related to acquisition, other than those associated with the issue of debt or equity securities that the Group incurs in connection with a business combination, are expensed as incurred. Goodwill is carried at cost less accumulated impairment losses. Impairment review is carried out annually. If there is an impairment, the cost is reduced by the accumulated impairment amount. d) Revenue and revenue recognition Revenue consists of the value of work delivered to clients during the year exclusive of VAT and is recognised as performance obligations are met in accordance with the terms of the contract which are primarily on a time and materials basis. Revenue is wholly attributable to the principal activities of the Group. The Group adopt IFRS 15 principles in recognising the revenue. Revenue recognised in excess of invoices raised is included within contract asset. Where amounts have been invoiced in excess of revenue recognised, the excess is included within contract liability. The majority of the services are provided on a time and material basis where clients are billed monthly for the time spent on a project which corresponds directly with the value to the customer of the entity’s performance completed to date and accordingly revenue is recognised at the amount billed. For fixed-price contracts where criteria to recognise performance obligations over time have been met, revenue is recognised based on the actual service provided to the end of the reporting period as a proportion of the total services to be provided. This is determined by actual labour hours and cost incurred relative to the total expected labour hours and cost. The use of labour hours and costs is a faithful depiction of the transfer of services as it directly relates to the effort required to satisfy the performance obligation. Only inputs relating directly to the performance in transferring the services are included when measuring progress to date. Due to changing circumstances, extent of progress and completion may be revised which may affect revenue and costs. Any resulting increases or decreases in estimated revenues or costs are reflected in profit or loss in the period in which the circumstances that give rise to the revision become known by management. The majority of the contracts are one single performance obligation. However, some contracts include multiple deliverables. In most cases, the deliverable is separately identifiable from other promises in the contract; therefore, it is accounted for as a separate performance obligation. In this case, the transaction price will be allocated to each performance obligation based on the stand-alone selling prices. Standard terms of payment within 30 or 60 days are typically adopted. There is therefore no financing component. Revenue is recognised when the Group satisfies the performance obligations, the timing of which is set out in Note 3.2. For the majority, contracts are for performance obligations that are satisfied over time. However, there are some contracts which contain performance obligations that are only satisfied at a point in time. The revenue for these contracts is recognised when the performance obligation has been satisfied, for project development work this occurs when the customer accepts the final output. When the customer has a right to return the product within a given period, the entity is obliged to refund the purchase price. For instance, if potential candidates put forward are considered unsuitable by the client and no one is recruited. The contract stipulates reimbursement of 50% – 100% of the fee, under the agreed terms of contract. Under IFRS 15, revenue is only recognised to the extent it is highly probable there will not be a significant reversal of revenue in a future period and is usually therefore recognised only when a successful candidate is recruited. A small number of contracts have variable consideration associated with it, whereby a bonus is paid if certain cost savings are made by the client. These are recognised using the ‘most likely amount method’ once it has been identified that a significant reversal in the amount of cumulative revenue will not occur. 130 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS e) Foreign currencies Functional and presentation currency Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (‘the functional currency’). The Consolidated Financial Statements are presented in pounds sterling and rounded to the nearest £’000, which is the Company’s functional and presentation currency and the Group’s presentation currency. Transactions and balances Transactions in foreign currencies are translated at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities in foreign currencies are translated at the rates of exchange ruling at the Statement of Financial Position date. All exchange differences are recognised in the Consolidated Income Statement. As at the reporting date, the assets and liabilities of overseas subsidiaries are translated into pounds Sterling at the rate of exchange applicable at the reporting date and their Income Statements are translated at the average exchange rates for the period. The exchange differences arising from the retranslation of foreign operations are taken directly to foreign exchange reserve. Translation differences on non-monetary financial assets and liabilities are reported as part of the fair value gain or loss. Translation differences on goodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the rates of exchange at the reporting date. Currency translation differences arising are transferred to the Group’s foreign exchange reserve and are recognised in the Income Statement on disposal of the underlying investment f) Property, plant and equipment Property, plant and equipment are stated at cost, net of depreciation and any provision for impairment. The gain or loss arising on the disposal of an asset is determined as the difference between the disposal proceeds and the carrying amount of the asset and is recognised in the Consolidated Income Statement. Depreciation is calculated on a straight-line basis so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows: Leasehold improvements 3 – 10 years (depending on the length of the lease) Fixtures and fittings Computer equipment 4 – 5 years 3 – 5 years Useful economic lives and estimated residual values are reviewed annually and adjusted as appropriate. g) Intangible assets acquired as part of a business combination and amortisation In accordance with IFRS 3 “Business Combinations”, an intangible asset acquired in a business combination is recognised at fair value at the acquisition date. A fair value calculation is carried out based on evaluating the net recurring income stream from each type of intangible asset. Intangibles are initially recognised at fair value, and are subsequently carried at this fair value, less accumulated amortisation and impairment. The following items were identified as part of the acquisitions of entities by the Group and were still owned at 31 March 2022: • • • • • brand amortised over 2 – 5 years; customer lists amortised over 3 – 8 years; database over 5 years; Software Intellectual property over 3 – 10 years; and Software over 2 – 3 years. The allocation of fair values to the tangible assets and the identification and valuation of intangible assets affect the calculation of goodwill recognised in respect of an acquisition and as such represent a key source of estimation uncertainty. TPXimpact Holdings Plc 131 Notes to the Consolidated Financial Statements continued h) Other intangible assets Costs associated with maintaining computer software programmes are recognised as an expense as incurred. Development costs that are directly attributable to the design and testing of identifiable software products controlled by the Group are recognised as intangible assets when the following criteria are met: • • • • • • It is technically feasible to complete the software product so that it will be available for use; Management intends to complete the software product and use or sell it; There is an ability to use or sell the software product; It can be demonstrated how the software product will generate probable future economic benefits; Adequate technical, financial and other resources to complete the development and to use or sell the software product is available; and The expenditure attributable to the software product during its development can be reliably measured. Directly attributable costs that are capitalised as part of the software product include the software development employee costs and an appropriate portion or relevant overheads. Other development expenditures that do not meet these criteria are recognised as an expense as incurred. Development costs previously recognised as an expense are not recognised as an asset in subsequent periods. Computer software development costs recognised as assets are amortised over their estimated useful lives, which does not exceed 3 years. i) Impairment testing of goodwill Impairment reviews are tested at cash generating unit (“CGU”) level. Goodwill is allocated to those CGUs that are expected to benefit from synergies of the related business combination. Nudge integrated into the Experience CGU while RedCortex formed its own CGU. Impairment reviews are carried out using multi-year cash flow projections from the approved budgets of the Group. These are discounted using a weighted average cost of capital (“WACC”) specific to each CGU. The internal rate of return for each CGU reflects the time value of money and the nature and risks of the CGU. Cash flows are estimated over a maximum of five years and a terminal value. An impairment loss is recognised for the amount by which the carrying amount exceeds its recoverable amount. The recoverable amount is the higher of fair value, reflecting market conditions less costs to sell, and value in use based on an internal discounted cash flow evaluation. Impairment losses are credited to the carrying amount of the relevant goodwill. j) Investment in subsidiaries and impairment The investment in the Company’s subsidiaries is recorded at cost less provisions for impairment. Carrying values are reviewed for impairment annually to determine if there is any indication that any of the investments might be impaired. The Company uses forecast cash flow information and estimates of future growth to assess whether investments are impaired. If the results of operations in a future period are adverse to the estimates used for impairment testing, an impairment may be triggered at that point. k) Taxation Current tax is the tax currently payable based on taxable profit for the year. Deferred tax is generally provided on the difference between the carrying amounts of assets and liabilities and their tax bases. However, deferred tax is not provided on the initial recognition of goodwill, nor on the initial recognition of an asset or liability unless the related transaction is a business combination or affects tax or accounting profit. Changes in deferred tax assets or liabilities are recognised as a component of tax expense in the Consolidated Income Statement, except where they relate to items that are charged or credited directly to equity, in which case the related deferred tax is also charged or credited directly to equity. 132 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS l) Financial instruments Financial assets and financial liabilities are recognised in the Statement of Financial Position when the Group and Company becomes a party to the contractual provisions of the instrument. Financial assets The Group classifies its financial assets as follows: Amortised cost These assets arise principally from the provision of services to customers (e.g. trade receivables), but also incorporate other types of financial assets where the objective is to hold these assets in order to collect contractual cash flows and the contractual cash flows are solely payments of principal and interest. They are initially recognised at the transaction price that is directly attributable to their acquisition or issue and are subsequently carried at amortised cost using the effective interest rate method, less provision for impairment. Impairment provisions for trade receivables and contract assets are recognised based on the simplified approach within IFRS 9 using the lifetime expected credit losses. During this process the probability of the non-payment of the trade receivables and contract assets is assessed. This probability is then multiplied by the amount of the expected loss arising from default to determine the lifetime expected credit loss for the trade receivables. For trade receivables, which are reported net, such provisions are recorded in a separate provision account with the loss being recognised within administration expenses in the Consolidated Income Statement. On confirmation that the trade receivable and contract assets will not be collectable, the gross carrying value of the asset is written off against the associated provision. Impairment provisions for loans to related parties are recognised based on a forward-looking expected credit loss model. The methodology used to determine the amount of the provision is based on whether there has been a significant increase in credit risk since initial recognition of the financial asset. For those where the credit risk has not increased significantly since initial recognition of the financial asset, twelve month expected credit losses along with gross interest income are recognised. For those for which credit risk has increased significantly, lifetime expected credit losses along with the gross interest income are recognised. For those that are determined to be credit impaired, lifetime expected credit losses along with interest income on a net basis are recognised. Cash and cash equivalents include cash in hand, deposits held at call with banks and other short term highly liquid investments with original maturities of three months or less. Financial liabilities and equity Financial liabilities and equity instruments issued by the Group and Company are classified in accordance with the substance of the contractual arrangements entered and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the Group and Company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Bank borrowings are initially recognised at fair value net of any transaction costs directly attributable to the issue of the instrument. Such interest-bearing liabilities are subsequently measured at amortised cost using the effective interest rate method, which ensures that any interest expense over the period to repayment is at a constant rate on the balance of the liability carried in the Consolidated and Company Statement of Financial Position. For the purposes of each financial liability, interest expense includes initial transaction costs and any premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding. Trade payables and other short-term monetary liabilities, which are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method. The effective interest rate method is a method of calculating the amortised cost of a financial asset or liability and allocating interest income or expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash flows through the expected life of the financial asset or liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition. Fair value on contingent consideration Contingent consideration is classified either as equity or as a financial liability. Amounts classified as a financial liability are subsequently remeasured to fair value, with changes in fair value recognised through profit or loss. TPXimpact Holdings Plc 133 Notes to the Consolidated Financial Statements continued If the business combination is achieved in stages, the acquisition date carrying value of the acquirer’s previously held equity interest in the acquiree is remeasured to fair value at the acquisition date. Any gains or losses arising from such remeasurement are recognised in profit or loss. m) Employee benefits Share-based payments – equity-settled All share-based payment arrangements are recognised in the financial statements. All goods and services received in exchange for the grant of any share-based remuneration are measured at their fair values. Fair values of employee services are indirectly determined by reference to the fair value of the share-based payments awarded. Their value is appraised at the grant date and excludes the impact of non-market vesting conditions (for example, profitability and sales growth targets). All share-based remuneration is ultimately recognised as an expense in the Consolidated Income Statement with a corresponding credit to “share option reserve”. If vesting periods or other non-market vesting conditions apply, the expense is allocated over the vesting period, based on the best available estimate of the number of share- based payments expected to vest. Estimates are subsequently revised if there is any indication that the number of share-based payments expected to vest differs from previous estimates. Any cumulative adjustment prior to vesting is recognised in the current period. No adjustment is made to any expense recognised in prior periods if share-based payments ultimately exercised are different to that estimated on vesting. Upon exercise of share-based payments, the proceeds received, net of attributable transaction costs, are credited to share capital and share premium. The fair value for the share-based payment is measured using the binomial model for share-based payments with no market performance conditions and the monte carlo method for options with market performance conditions. n) Pensions Contributions to defined contribution schemes are charged to the Consolidated Income Statement as they accrue in accordance with the rules of the scheme. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the Consolidated Statement of Financial Position. o) Presentation of results In some instances, Alternative Performance Measures (APMs) such as adjusted EBITDA (refer to Financial Review on page 28) are used by the Group to provide ‘adjusted’ results. This is because Management are of the view that these APMs provide a more appropriate basis on which to analyse business performance and is consistent with the way that financial performance is measured by Management and reported to the Board. Adjusted EBITDA is a non-IFRS measure, defined as the Group’s operating profit before expensing depreciation of tangible fixed assets, amortisation, acquisitions and restructuring, impairment, change programme costs, gain or loss on fair value movement contingent consideration and share-based payments. There are further APMs discussed within the Annual Report. See note 28 for further details. p) Leases Right-of-use assets The Group recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for annual lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received. The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The estimated useful economic lives of the right-of- use assets are determined on the same basis as those of property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability. 134 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Group’s incremental borrowing rate. Generally, the Group uses its incremental borrowing rate as the discount rate. Lease payments included in the measurement of the lease liabilities comprise the following: • • • • Fixed payments, including in-substance fixed payments Variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date Amounts expected to be payable under a residual value guarantee; and The exercise price under a purchase option that the Group is reasonably certain to exercise, lease payments in an optional renewal period if the Group is reasonable certain to exercise an extension option, and penalties for early termination of a lease unless the Group is reasonably certain not to terminate early. The lease liability is measured at amortised cost using the effective interest method. It is remeasured when there is a change in future lease payments arising for a change in an index or rate, if there is a change in the Group’s estimate of the amount expected to be payable under a residual value guarantee, or if the Group changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is recorded in the profit and loss If the carrying amount of the right-of-use asset has been reduced to zero. Short-term leases and leases of low-value assets The Group has elected not to recognise right-of-use assets and lease liabilities for short-term leases of machinery that have a lease term of 12 months or less and leases of low value assets including IT equipment. Assets with a value less than £5,000 are considered low value. The Group recognises the lease payments associated with these leases as an expense on a straight-line basis over the lease term. The Group has applied Amendment to IFRS 16: COVID-19 Related Rent Concessions. The Group applies the practical expedient allowing it not to assess whether eligible rent concessions that are a direct consequence of the COVID-19 pandemic are lease modifications. The Group applies the practical expedient consistently to contracts with similar characteristics and in similar circumstances. For rent concessions in leases to which the Group chooses not to apply the practical expedient, the Group assesses whether there is a lease modification. The Group has not received any material rent concessions during the current or prior year. q) Grant income Government grants are not recognised until there is reasonable assurance that the Group will comply with the conditions attaching to them and that the grants will be received. Government grants are generally recognised in the Consolidated Income Statement on a systematic basis over the periods in which the Group recognises as expenses the related costs for which the grants are intended to compensate. Judgement is applied in assessing when there is reasonable assurance the grant conditions have been complied with and that the grant money will be received. r) Research and development Research and development expenditure is recognised in the Consolidated Income Statement as an expense until it can be demonstrated that the conditions for capitalisation under IAS 38 ‘Intangible Assets’ apply. The criteria for capitalisation include demonstration that the project is technically and commercially feasible, the Group has sufficient resources to complete development and the asset will generate probable future economic benefit. During the year, research and development costs are within administrative expenses and are not identifiable with its own subheading. The allocation of the administrative costs that relates to research and development for the Group is carried out annually at the point of assessing for R&D tax credit relief as part of the tax work. The Group benefits from both small, medium enterprises for R&D tax credits and research and development credits (RDEC). TPXimpact Holdings Plc 135 Notes to the Consolidated Financial Statements continued RDEC research and development credits are accounted for as having the substance of a government grant and recognised in other income. The grants are recognised on the basis of the fair value of claims made. A corresponding other receivable is recognised at the time the claims are accepted and will subsequently be offset against tax payable. s) Equity Financial instruments issued by the Group are treated as equity only to the extent that they do not meet the definition of a financial liability. The Group’s Ordinary Share capital is classified as equity instruments. Incremental costs directly attributable to the issue of new shares are shown in equity as a deduction, net of tax, from the proceeds. Further details of the categories of share capital and reserves and disclosed in Note 21. t) Critical accounting judgements and key sources of estimation uncertainty In preparing these financial statements, management is required to make estimates and assumptions that affect the reported amount of revenues, expenses, assets, liabilities and the disclosure of contingent liabilities. The resulting accounting estimates, which are based on management’s best judgment at the date of these financial statements, will seldom equal the subsequent actual amounts. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are summarised below. Critical judgements: 1. Revenue recognition The main judgements are: • • • Deciding what are the performance obligations in a contract Deciding whether the contract should be measured over time or at a point in time The cost to complete contracts to determine the percentage completion Under IFRS 15, measurement and recognition of revenue required the Group to make judgements and estimates. In particular, there are a large number of contracts within the business which may require significant contract interpretation to determine the appropriate accounts such as whether promised goods and services specified in an arrangement are distinct performance obligations and based on the contract terms, whether the performance obligation should be recognised at a point in time or over time (refer to Note 3.2). 2. Cash generating units (CGUs) IFRS 3 Business combination requires the management to assess the Cash Generating Unit (CGU) as part of purchase price allocation process. The Board uses their judgement in deciding the number of CGU per entity acquired during the year. CGU is defined as the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. During the year, there was a change in cash generating units due to an internal restructure. Management’s view is that the new CGU structure better aligns with the entities’ operations mainly as it relates to its revenue-generating activities and how the entities are managed and reported internally for decision making purposes. There were 9 CGUs in the prior year and 5 in the current year. The cash generating units in the prior year were as follows: Foundry4, Human Plus and Arthurly Bene Agere Questers TPXimpact and Ameo Manifesto – – – – Deeson Greenshoot Labs Difrent Keep IT Simple • • • • • 136 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS For the current year, there are five CGUs within the group, with the two main ones being Consulting and Digital Experience. The current year cash generating units are as follows: • • • • • Consulting – Consulting includes Foundry4, Human Plus, Arthurly, TPXimpact, Ameo, Difrent and Keep IT Simple Digital experiences (DX) – This includes Deeson, Manifesto and Nudge Bene Agere Questers RedCortex Where numbers for each CGU have been disclosed for the current year, prior year comparatives have been restated. 3. Intangible assets from acquisition Acquiring a business entity would include purchasing its intangible assets even when there were no intangible assets on its Statement of Financial Position. The board uses judgement in identifying the types of intangible assets as a result of business combination. During the year the board identified several intangibles such as customer list, brand, client database and software. Details of intangible assets identified on acquisitions are in notes 8 and 10. Key source of estimation uncertainty: 1. Impairment of goodwill (Group) Impairment of goodwill is subject to an annual review. The key estimate for the carrying value of CGU is the cash flows associated with the CGU and the WACC. Each of the CGU held by the Group is measured regularly to ensure that they generate sufficient positive cash flows to justify no impairment. The Group performs an impairment review of CGUs on at least an annual basis. This requires an estimation of the ‘value in use’ of the cash-generating units to which the intangible value is allocated. Estimating a value in use amount requires management to make an estimate of the expected future cash flows from the cash-generating unit and also to choose a suitable discount rate in order to calculate the present value of those cash flows. Where there is indication of impairment, the goodwill is impaired by a charge to the Consolidated Income Statement. The key area of uncertainty is the projected revenue growth. Management perform sensitivity analysis to ascertain the level of growth rate that will start to impair the goodwill on a yearly basis. Further explanation is included in Note 9 – Goodwill and impairment. 2. Impairment of investments (Company) An assessment of impairment of investments is performed if there is an indicator of impairment. The key estimate for the carrying value of the investment is the cash flows associated with the investment and the WACC. Each investment is reviewed regularly to ensure that they generate discounted positive cash flows. The same principles used in the assessment of impairment of goodwill are used for estimating the ‘value in use’ of the cash flows of the investment. Where there is an indication of impairment, the investment is impaired by a charge to the company income statement. The key area of uncertainty is the projected revenue growth. Management perform sensitivity analysis to ascertain the level of growth rate that will start to impair the investment on a yearly basis. 3. Measuring the fair value of contingent consideration (Group and Company) The fair value of contingent deferred consideration is determined by reference to the future EBITDA of the acquired business and applying the contingent deferred consideration formula as specified in the asset or share purchase agreement and discounting the net present value of the future cash flows. The total fair value of consideration for the businesses acquired during the year was £20m (2021: £43m) and the goodwill was calculated as £13m (2021: £18m). Further details are included in Note 8. 4. Impairment of inter-group balances (Company) An assessment of the recoverability of intercompany balances is performed by reviewing the future cash flows of the subsidiary. Where there is an indication of impairment, a provision for doubtful debt is recorded by a charge to the Company income statement. TPXimpact Holdings Plc 137 Notes to the Consolidated Financial Statements continued u) Non-current assets held for sale and discontinued operations Under IFRS 5 Non-current Assets Held for Sale and Discontinued Operations, where certain conditions are met, an asset or disposal group that is for sale is recognised as “held for sale”. The Group has classified a disposal group as held for sale if the carrying amount will be recovered principally through a sale transaction rather than through continuing use. For this to be the case, the disposal group must be available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets and its sale must be highly probable. Such assets are measured at the lower of carrying amount and fair value less costs to sell, and are not depreciated or amortised, excluding certain assets that are carried at fair value under IFRS 5. 3. Segment reporting The Group has identified its operating segments based on the internal reports reviewed and used by the Chief Operating Decision Maker (CODM), being the Board of Directors, in assessing the Group’s performance and in determining the allocation of resources. The Board has concluded that it monitors the Group’s performance and makes business decisions around investments, resource allocation and acquisitions based on the Group’s services. These services are noted below and consist of 5 reportable segments (3 in the previous financial year). Comparatives have been restated to present information under the new reporting segments. • • • • • Consulting Digital experience Bene Agere Questers RedCortex The Board of Directors primarily uses a measure of revenue and adjusted EBITDA which is taken as earnings before interest, tax, depreciation, amortisation, costs relating to business acquisitions and restructuring, costs relating to share- based payments and fair value movement in contingent consideration to assess the performance of the operating segments. Information about segment revenue is disclosed in the tables below. 3.1.1 Revenue i) Revenue by service Included in revenues arising from ‘Consulting’ services are revenues of £10.9m (2021: £3.2m) which arose from the Group’s largest customer and represents 14% of the Group’s total revenue. Consulting Experience Bene Agere Questers RedCortex Intersegment eliminations Total revenue 138 2022 £’000 Restated 2021 £’000 57,781 35,442 16,090 1,633 10,645 2,067 9,210 1,750 8,487 – (8,507) (4,574) 79,709 50,315 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS ii) Revenue by geography United Kingdom Norway Switzerland EU USA Malaysia Other Total Revenue 3.1.2 Adjusted EBITDA by service Consulting Experience Bene Agere Questers RedCortex Central services Total adjusted EBITDA Finance costs Finance income Depreciation and amortisation Costs relating to business restructuring Costs directly attributable to business combinations Fair value moment in contingent consideration Share-based payments Other gains and losses Profit/(loss) before tax 2022 £’000 Restated 2021 £’000 70,942 42,143 1,633 2,641 662 3,389 270 172 1,750 1,080 806 4,160 – 376 79,709 50,315 2022 £’000 6,868 5,106 699 1,184 303 Restated 2021 £’000 6,261 2,094 (6) 1,004 – (1,963) (2,252) 12,197 (683) – 7,101 (303) 3 (5,931) (3,344) (1,769) (1,013) 152 (427) – (250) (496) (4,260) (294) 187 2,526 (1,656) TPXimpact Holdings Plc 139 Notes to the Consolidated Financial Statements continued 3.1.3 Segment assets Segment assets are measured in the same way as in the financial statements. These assets are allocated based on the operations of the segment and the physical location of the asset. Consulting Experience Bene Agere Questers RedCortex Total segment assets from continuing operations Assets held by discontinued operations Total segment assets Intersegment eliminations Unallocated: Central services Total assets per the Statement of Financial Position 2022 £’000 82,017 17,907 2,618 6,645 16,745 Restated 2021 £’000 89,856 12,203 2,551 5,805 – 125,932 110,415 708 503 126,640 110,918 (6,456) (8,818) 5,489 2,374 125,673 104,474 140 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 3.1.4 Segment liabilities Segment liabilities are measured in the same way as in the financial statements. These assets are allocated based on the operations of the segment and the physical location of the liability. The Group’s borrowings are not considered to be segment liabilities, but are managed by the Group finance function. Consulting Experience Bene Agere Questers RedCortex Total segment liabilities from continuing operations Liabilities of discontinued operations Total segment liabilities Intersegment eliminations Unallocated: Central services Total liabilities per the Statement of Financial Position 2022 £’000 Restated 2021 £’000 16,406 23,659 3,231 757 2,050 3,765 26,209 103 4,364 709 4,019 – 32,751 1,197 26,312 33,948 (6,456) (8,818) 27,256 18,690 47,112 43,820 3.2 Disaggregation of revenue from contracts with customers The Group derives revenue from the transfer of services over time and at a point in time in the following service line: Consulting Experience £’000 £’000 Bene Agere £’000 50,797 15,399 1,633 691 – Other & Questers RedCortex Eliminations £’000 £’000 £’000 Total £’000 9,813 832 2,067 – 79,709 – (8,507) – Year ended 31 March 2022 External revenue Inter-segment revenue Total revenue Recognised at a point in time Recognised over time Total revenue 6,984 57,781 – 57,781 57,781 16,090 1,633 10,645 2,067 (8,507) 79,709 – – 10,164 – 833 10,997 16,090 16,090 1,633 1,633 481 10,645 2,067 2,067 (9,340) 68,712 (8,507) 79,709 TPXimpact Holdings Plc 141 Notes to the Consolidated Financial Statements continued Year ended 31 March 2021 External revenue Inter-segment revenue Total revenue Recognised at a point in time Recognised over time Total revenue Consulting Experience £’000 £’000 Bene Agere £’000 Other & Questers RedCortex Eliminations £’000 £’000 £’000 Restated Total £’000 31,833 3,609 35,442 88 35,354 35,442 8,639 571 9,210 – 9,210 9,210 1,750 8,093 – 1,750 – 1,750 1,750 394 8,487 8,481 6 8,487 – – – – – – – 50,315 (4,574) – (4,574) 50,315 – 8,569 (4,574) 41,746 (4,574) 50,315 • Inter-segment revenues are eliminated on consolidation and reflected in the adjustments and eliminations column. 4. Operating profit/(loss) Operating profit/(loss) is stated after charging/(crediting): Depreciation of property, plant & equipment (see note 12) Depreciation of right-of-use assets (see note 13) Amortisation of intangible assets (see note 10) Employee costs (see note 5.2) Costs directly attributable to business combinations Costs relating to restructuring and change programme* Disposal of fixed assets (Gain)/loss on fair value movement contingent consideration (see note 20) Share-based payments (see note 5.5) Short-term leases (see note 13) Net foreign exchange losses 2022 £’000 Restated 2021 £’000 178 406 175 660 5,347 2,509 33,874 24,485 1,013 1,769 (4) (152) 427 425 99 496 250 – 4,260 294 341 5 * Business restructuring costs were incurred in the year relating to the restructuring of personnel and aggregation of activities to a divisional structure. In the prior year, restructuring related mainly to the restructuring of personnel. 142 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 4.1 Auditors remuneration Fees payable to the Company’s auditors and its associates for the audit of parent company and consolidated financial statements Fees payable to Company’s auditors and its associates for the audit of Company’s subsidiaries Fees payable to Company’s auditors and its associates for other services: Audit-related assurance services 4.2 Finance income and costs Finance income Interest income from financial assets held for cash management purposes Finance income Finance costs Interest payable on bank loan and overdrafts Interest and finance charges paid/payable for lease liabilities and financial liabilities not at fair value through profit or loss Finance costs expensed Net finance costs 5. Employee costs 5.1 Directors and employees The average number of staff employed by the Group during the financial year is 548 (2021: 495) as follows: Consultant** Administrative staff*** Management Total 2022 £’000 Restated 2021 £’000 223 29 9 261 189 26 9 224 2022 £’000 Restated 2021 £’000 – – 669 14 683 683 2022 444 64 40 548 3 3 279 24 303 300 2021 380 72 43 495 ** Consultant includes 194 consultants employed by Questers solely for clients’ projects, where they provide highly skilled IT teams to clients. *** Administrative staff also participate in income generating activities, sales and marketing. Employee numbers are stated including Directors. TPXimpact Holdings Plc 143 Notes to the Consolidated Financial Statements continued 5.2 Employee remuneration Wages and salaries Pension contributions Share-based payments Social security costs Other benefits Total 5.3 Key management personnel head count Number of key personnel for the parent company Number of key personnel for the Group Group key personnel comprises of Directors of the parent company. 5.4 Key management emoluments Emoluments for the key management personnel for the parent company. Wages and salaries Pension contributions Share-based payments Social security costs Other benefits Total 144 2022 £’000 28,999 746 427 3,182 520 2021 £’000 21,053 595 294 2,261 282 33,874 24,485 2022 6 2022 24 2022 £’000 620 24 46 75 6 771 2021 6 2021 30 2021 £’000 569 37 69 68 6 749 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The total emoluments for the Group’s key personnel for the year: Wages and salaries Pension contributions Share-based payments Social security costs Other benefits Total 2022 £’000 2,653 115 66 247 22 2021 £’000 2,729 138 127 256 13 3,103 3,263 The aggregate remuneration of the highest paid director of the Company was £311k (2021: £320k). The amount of pension contribution paid into the defined contribution scheme for the highest paid director totaled £14k (2021: £14k) in the year. A full breakdown of other benefits is detailed in the remuneration report. Details of individual Directors’ emoluments for the year (including employer’s National Insurance (“NI”) contributions) are as follows: Fees and Salaries Employer’s NI Other benefits (refer to remuneration report) Total 2022 £’000 2021 £’000 2022 £’000 2021 £’000 2022 £’000 2021 £’000 2022 £’000 2021 £’000 Non-Executive Chris Sweetland Mark Smith Isabel Kelly Rachel Neaman Executive Neal Gandhi Oliver Rigby Total 35 50 35 35 275 190 620 35 50 35 16 275 158 569 4 6 4 4 35 22 75 4 6 3 2 35 18 68 3 4 3 – 36 30 76 4 7 4 – 45 52 112 42 60 42 39 346 242 771 43 63 42 18 355 228 749 5.5 Share-based payments The Group has the following equity-settled share plans: Enterprise Management Incentive Scheme ‘EMI’ Share options were granted to employees as determined by key management personnel and the Remuneration Committee at IPO of the company. No further EMI options can be granted by the Group. The options cannot be exercised within two years unless specific criterias are met and have a maximum life of 10 years. Exercise of the options will be settled by the issue of shares and there are no cash alternatives. Options ordinarily are forfeited if the employee leaves the Group before the options vest. Company Share Option Plan ‘CSOP’ Share options are granted to employees as determined by key management personnel and the Remuneration Committee. The CSOP permits the Company to grant CSOP options which have tax advantages pursuant to the provisions of Schedule 4 to the Income Tax (Earnings & Pensions) Act 2003 (“Schedule 4”). The options cannot be exercised within one year unless specific criteria are met and have a maximum life of 10 years. Exercise of the options will be settled by the issue of shares and there are no cash alternatives. Options ordinarily are forfeited if the employee leaves the Group before the options vest. TPXimpact Holdings Plc 145 Notes to the Consolidated Financial Statements continued Unapproved Share Option Plan ‘Unapproved scheme’ Unapproved share options are typically granted to employees based outside of the UK as determined by key management personnel and the Remuneration Committee. The options cannot be exercised within two years unless specific criteria are met and have a maximum life of 10 years. Exercise of the options will be settled by the issue of shares and there are no cash alternatives. Options ordinarily are forfeited if the employee leaves the Group before the options vest. UK Share Incentive Plan (SIP) The Group has established a Share Incentive Plan for UK employees in the current year. Under this scheme all eligible employees are able to purchase ordinary shares ‘Partnership shares’ through tax-efficient salary sacrifice. Each Partnership share offers a free matching award of ordinary shares on a one-to-one basis. ‘Matching Share’. The shares are held in trust by Cytec Solutions Corporate Trustees who also administer the scheme. A minimum period of three years is imposed before the employee can withdraw. (i) Total share-based payments The number of outstanding options under each valuation method has been disclosed in the table below. Binomial Monte Carlo model Model Total Number of outstanding options as at 31 March 2022 1,101,912 2,232,834 3,334,746 The following table lists the key inputs to the model used for the grant of share options in 2021. There was no grant of share options made in 2022. Expected volatility was determined by calculating the historical volatility of the Group’s share price over the expected term. Exercise price Share price at grant date Expected volatility1 Expected dividend yield Risk free interest rate Contractual life of option (years) May 2020 Grant Dec 2020 Grant 82p 48p 184.5p 184.5p 38.40% 35.00% 1% 0% 0.06% 0.00% 10 10 1 The expected price volatility is based on the historical volatility (based on the remaining life of the options), adjusted for any expected changes to future volatility due to publicly available information The total share-based payments expense included in the Consolidated Income Statement is: Share-based payments to employees Total 2022 £’000 427 427 2021 £’000 294 294 The total share-based payments expense relating to Directors of the Company is £46k (2021: £69k). The total share-based payments expense relating to key management personnel of the Group is £66k (2021: £127k). The Group currently does not have tax liability in respect of the share options which have been issued to date as at 31 March 2022. 146 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 6. Taxation Current tax UK corporation tax for the period at 19% (2021: 19%) Adjustments in respect of prior period provisions Adjustments in respect of prior period R&D credits Overseas current tax charge on income for the year Total current tax Deferred tax Current year Change in deferred tax rate Adjustments in respect of prior periods Total deferred tax Total tax credit/(charge) 2022 £’000 Restated 2021 £’000 (1,566) (888) 575 – (56) (69) 172 (53) (1,047) (838) 1,012 (1,372) (339) (699) (1,746) 439 – 15 454 (384) The total tax charge for the year is £1,746k of which £1,706k is attributable to continuing operations and £40k is attributable to discontinued operations. During 2022 a deferred tax credit of £724k (2021: £454k) was attributable to deferred tax on intangible assets acquired as part of business combinations. For further deferred tax information – see Note 22. TPXimpact Holdings Plc 147 Notes to the Consolidated Financial Statements continued The relationship between expected tax expense based on the effective tax rate of the Group of 99% (2021: 21%) and the tax expense recognised in the Consolidated Income Statement can be reconciled as follows: Profit/(loss) for the year before tax from total operations: Tax rate Expected tax (charge)/credit Principal differences due to: Expenses not deductible for tax purposes Non taxable income Foreign tax suffered Other timing differences leading to increase/decrease Adjustments in respect of prior period provisions Adjustments in respect of prior period R&D credits Adjustments in respect of prior period deferred tax Difference in overseas tax rates Movement in deferred tax rates Deferred tax asset not recognised 2022 £’000 1,764 19% (335) 2021 £’000 (1,845) 19% 351 (306) (907) 19 35 (27) 575 – (339) – (1,372) 4 (2) – – (69) 172 15 14 – 42 (1,746) (384) Earnings per share 7. Basic earnings per share are calculated by dividing the profit attributable to ordinary shareholders by the weighted average number of ordinary shares in issue during the period. The weighted average number of shares excludes shares held by an Employee Benefit Trust (see Note 21) and has been adjusted for the issue/purchase of shares during the period. For diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all dilutive potential ordinary shares. These represent share-based payments (see note 5) granted to employees where the exercise price is less than the average market price of the Company’s ordinary shares and share purchase agreements (see note 8) where the terms and conditions could affect the measurement of basic and diluted earnings per share during the year ended 31 March 2022. A number of shares that were issued during the period are contingent on certain conditions being met and therefore these have been excluded from the calculation of the weighted average number of Ordinary Shares in issue. 148 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The Group has also chosen to present an alternative earnings per share measure, adjusted earnings per share, with profit adjusted for non-underlying items because it better reflects the Group’s underlying performance. This measure is defined on note 27. For the year Weighted average number of shares in issue, basic Contingent consideration where all conditions are met Less: Shares held by the Employee Benefit Trust (weighted average) Less: Shares held by the SIP (weighted average) Weighted average number of shares for calculating basic earnings per share Weighted average number of dilutive shares 2022 2021 Number of Number of shares 000 shares 000 84,583 63,783 1,698 (3) (67) 86,211 1,768 – – – 63,783 – Weighted average number of shares for calculating diluted earnings per share 87,979 63,783 For the year Profit/(Loss) after tax on continuing operations Loss after tax on discontinued operations Profit/(Loss) after tax on total operations Earning per share is calculated as follows: For the year Basic earnings per share on continuing operations Basic earnings per share on discontinued operations Basic earnings per share on total operations For the year Diluted earnings per share on continuing operations Diluted earnings per share on discontinued operations Diluted earnings per share on total operations 2022 £’000 820 (723) 2021 £’000 (2,040) (189) 97 (2,229) 2022 2021 1.0p (0.8)p 0.2p (3.5)p – (3.5)p 2022 2021 0.9p (0.8)p 0.1p (3.5)p – (3.5)p TPXimpact Holdings Plc 149 Notes to the Consolidated Financial Statements continued 8. Business combinations During the year the Company completed the acquisitions of Nudge Digital Limited and RedCortex Limited. A summary of the acquisitions is shown below. Summary Business combination summary as at 31 March 2022 Date of acquisition Consideration payable % acquired Acquisition related costs Intangible assets acquired on acquisition Net assets/(liabilities) Total identifiable net assets acquired at fair value Cash Shares (including deferred consideration) Total fair value consideration Goodwill Cash flow Nudge £’000 RedCortex £’000 Total £’000 30 Jun 2021 6 Dec 2021 Cash and Shares Cash and Shares 100% 170 2,059 1,963 4,022 3,805 2,808 6,613 2,591 100% 210 2,418 375 2,793 380 4,477 2,338 6,815 6,355 10,160 6,812 9,620 13,167 19,780 10,374 12,965 Total cash consideration less cash acquired 1,397 5,443 6,840 All acquisition-related costs which were not directly attributable to the issue of shares are included in administrative expenses in the Consolidated Income Statement and in operating cash flows in the Statement of Cash Flows. Having joined the Group, Nudge will sit within the Experience CGU and RedCortex will form its own CGU. 150 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS (I) Revenue and profit/(loss) if acquired from 1 April 2021 The consolidated pro-forma revenue and profit/(loss) for the year ended 31 March 2022, had the acquisitions occurred on 1 April 2021 are shown below. These amounts have been calculated using the subsidiary’s results adjusted for: • • differences in the accounting policies between the Group and the subsidiary; and the additional depreciation and amortisation that would have been charged, assuming the fair value adjustments to property, plant and equipment and intangible assets had applied from 1 April 2021, together with the consequential tax effects. Revenue Nudge RedCortex Profit before tax Nudge RedCortex Revenue Entire group including Nudge and RedCortex Total Profit before tax Entire group including Nudge and RedCortex Total (ii) Cashflows from investing activities – acquisition of subsidiaries The cash paid for acquiring the companies and the cash acquired are summarised as follows: Entity Nudge RedCortex Total From Acquisition date to 31 March 2022 £’000 12 months to 31 March 2022 £’000 2,053 1,124 3,177 3,011 4,769 7,780 From Acquisition date to 31 March 2022 £’000 12 months to 31 March 2022 £’000 1,005 39 1,044 1,327 803 2,130 12 months to 31 March 2022 £’000 84,311 84,311 £’000 5,469 5,469 Cash paid for acquisition £’000 Cash obtained in acquisition £’000 3,804 6,355 10,159 2,408 912 3,320 TPXimpact Holdings Plc 151 Notes to the Consolidated Financial Statements continued The cash paid by the parent company only is as follows Entity Nudge RedCortex Total Cash paid for acquisition of subsidiaries £’000 1,750 6,355 8,105 Goodwill comprises the value of expected synergies arising from combining the operations of the acquiree and acquirer, customer relationships and brand which has been recognised as intangible assets. None of the goodwill recognised is expected to be deductible for income tax purposes. Business combination explained by entity a. Nudge Digital Limited On 30 June 2021, TPXimpact Holdings plc acquired the entire issued share capital of Nudge Digital Limited, a digital services agency which delivers strategy-led services primarily to the pharmaceutical industry, health sector and, more recently, to local authorities, with a particular focus around care pathways. Nudge Digital Limited, company registration number 05805455 is incorporated in England and Wales. Its registered office is 7 Savoy Court, London, England, WC2R 0EX. Bristol-based Nudge, provides strategic consultancy and digital execution on mission-critical services, from global pharmaceutical projects to the software underpinning social housing and social care. The acquisition was strategically important to us as it strengthened our overall position in healthcare and, importantly, provided an entry into the pharmaceutical industry at a time when the NHS is looking at precision medicine, risk stratification and data-driven personalised care plans for patients. The majority of the Nudge staff and projects have now been integrated into our Digital Experience division. 152 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The consideration for the acquisition was £6.6m, satisfied through the payment of £3.8m cash and the issue of 1,190,476 new ordinary shares in TPXimpact Holdings plc. Nudge Intangibles Brand Customer lists Tangible assets Property, plant and equipment Current assets Trade and other receivables Cash and cash equivalents Current liabilities Trade and other liabilities Tax liability Non-current liabilities Deferred tax Net assets Cash Shares issued (Non contingent equity) Fair value of total consideration Goodwill Fair value Book cost adjustments £’000 £’000 Fair value £’000 – – 7 935 2,408 (658) (339) – 2,353 124 1,935 – – – – – (390) 1,669 124 1,935 7 935 2,408 (658) (339) (390) 4,022 3,805 2,808 6,613 2,591 The trade and other receivables are all considered recoverable. Cash consideration of £3.8m includes £1.75m paid by the parent company, TPXimpact Holdings plc. b. RedCortex Limited On 8 December 2021, TPXimpact Holdings plc acquired the entire issued share capital of RedCortex Limited which is a Microsoft Gold Partner providing cloud transformation, architecture and programme management services mainly to the NHS, Welsh Government and Rail sectors. RedCortex, company registration number 10335104 is incorporated in England and Wales. Its registered office is 5th Floor, Trafalgar House, Fitzalan Place, Cardiff, Wales, CF24 0ED. Not only has RedCortex strengthened TPXimpact’s existing foothold in the Welsh Public Sector, it continues to build on TPXimpact’s operational momentum to create regional hubs across the UK. The addition of RedCortex also extended TPXimpact’s Microsoft stack capabilities with RedCortex being a Gold Partner across multiple disciplines which further advances its ability to perform partnership programmes with Microsoft of significant value. Additionally, RedCortex added an established apprenticeship programme to TPXimpact’s long-term staffing strategy, taking school leavers from South Wales and turning them into digital professionals. The consideration for the acquisition was £13.2m, satisfied through the payment of £6.4m cash and the issue of 2,645,302 new ordinary shares in TPXimpact Holdings plc. TPXimpact Holdings Plc 153 Notes to the Consolidated Financial Statements continued RedCortex Intangibles Brand Customer lists Property, plant and equipment Current assets Trade and other receivables Cash and cash equivalents Current liabilities Trade and other liabilities Taxes and social security costs Non-current liabilities Deferred tax Net assets Cash Share issued (Non contingent equity) Fair value of total consideration Goodwill Fair value Book cost adjustments £’000 £’000 Fair value £’000 – – 19 924 912 (1,016) (3) – 836 228 2,190 – – – – – (461) 1,957 228 2,190 19 924 912 (1,016) (3) (461) 2,793 6,355 6,812 13,167 10,374 The trade and other receivables are all considered recoverable. 8.1 Acquisitions post year end On 6 April 2022, TPXimpact Holdings plc acquired the entire issued share capital of Swirrl IT Limited, a software and services business. The core operations of the business are to help government organisations to disseminate and manage their data enabled decisions. Swirrl IT Limited, company registration number SC337356 is incorporated in Scotland. Its registered office is Macfarlane Gray House Castlecraig Business Park, Springbank Road, Stirling, Stirlingshire, FK7 7WT. The consideration for the acquisition was £3.2m, satisfied through the payment of £1.2m cash and the issue of 888,888 new ordinary shares in TPXimpact Holdings plc. The acquisition related costs for Swirrl were £0.2m. On 7 April 2022, TPXimpact Holdings plc acquired the entire issued share capital of Peak Indicators Limited, a visionary data science and analytics consultancy offering services such as analytics, Data engineering and Data science. Peak Indicators Limited, company registration number 06704556 is incorporated in England and Wales. Its registered office is 7 Savoy Court, London, United Kingdom, WC2R 0EX. The consideration for the acquisition was £3.5m, satisfied through the payment of £1.4m cash and the issue of 938,888 new ordinary shares in TPXimpact Holdings plc. The acquisition related costs for Peak were £0.2m. 154 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The Group is currently performing a fair value review of Peak Indicators Limited and Swirrl IT Limited’s assets and liabilities and will report these within its next published financial statements. These acquisitions were strategically important to TPX, significantly expanding the Group’s capabilities in artificial intelligence (AI), data science and analytics. Together they will form TPXimpact’s Data & Insights capability, opening a new market opportunity that the Company has so far addressed by working with associates. This new capability will be positioned to assist clients across TPX’s target sectors in gaining stronger insights to aid their decision making. 9. Goodwill and impairment As at 1 April 2020 On acquisitions As at 31 March 2021 On acquisitions Assets held for sale As at 31 March 2022 Accumulated impairment losses £’000 Carrying amount £’000 35,672 17,651 53,323 12,965 (131) 66,157 – – – – – – Cost £’000 35,672 17,651 53,323 12,965 (131) 66,157 The acquisitions during the year were Nudge and RedCortex. Management have concluded that Nudge is a part of the Experience cash generating unit and RedCortex is a separate cash generating unit. In the year ended 31 March 2022, there is a total of five cash generating units (CGU). Impairment tests for goodwill The value of CGUs is assessed according to the projected performance of the relevant businesses. This is performed by calculating the recoverable amount of all CGUs based on value-in-use calculations. These calculations use a post-tax cash flow projection based on latest forecasts by each CGU which are extrapolated to cover a 5 year period. The forecasts used are the latest forecasts. A risk-free discount rate is based on WACC using the CAPM model. As the WACC used in the value-in- use calculation is the post- tax WACC, the implied pre-tax WACC has been subsequently calculated and disclosed below. Each reporting period, management compares the resulting cash flow projections by CGU to the carrying value of goodwill. Any material variance in this calculation results in an impairment charge to the Consolidated Income Statement. The following table sets out the key assumptions for those CGUs that have significant goodwill allocated to them. The growth rate used varies between years, with the maximum growth rate shown in the table below. As well as the following assumptions, EBITDA margin based on historic and latest forecasts have been used for each CGU and ranges from 9% to 24%. A long-term growth rate of 2.2% based on CPI as at 31 March 2022 was used to extrapolate cash flows beyond the budget period. TPXimpact Holdings Plc 155 Notes to the Consolidated Financial Statements continued CGU Consulting Digital Experience Bene Agere Questers RedCortex Carrying value 31 March 2022 £’000 Annual revenue growth rate % Pre-tax discount rate % 41,029 9,920 1,844 2,992 10,372 13% 10% 10% 13% 10% 16.6 16.6 12.0 18.4 16.6 Based on the impairment review carried out at the end of 31 March 2022, management believes that the projection of cash flows from the CGUs exceeds the carrying value of the goodwill. Sensitivity analysis: Management concluded that the key factor for sensitivity analysis is the revenue growth rate from FY2023 onward. The discount factor is assumed to be easily determined by way of the known risk of the market and the cost of debt which is based on the credit facility from HSBC at 2.5% plus SONIA. If the forecasted annual revenue for each CGU falls by the following rate shown in the table below, goodwill impairment would be required. Annual revenue reduction rate % 69% 56% 15% 75% 51% CGU Consulting Digital experience Bene Agere Questers RedCortex 156 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Intangible assets 10. Intangible assets are non-physical assets which have been obtained as part of an acquisition or research and development activities, such as innovations, introduction and improvement of products and procedures to improve existing or new products. All intangible assets have an identifiable future economic benefit to the Group at the point the costs are incurred. Customer lists and brands are amortised over a maximum period of six years from the date of acquisition. Group Intangible assets Cost As at 1 April 2020 Additions Acquired on acquisition As at 31 March 2021 Additions Acquired on acquisition Assets Held for Sale As at 31 March 2022 Amortisation As at 1 April 2020 Charge for the year As at 31 March 2021 Charge for the year Assets Held for Sale As at 31 March 2022 Net book value As at 31 March 2022 At 31 March 2021 As at 1 April 2020 Brand £’000 Customer List £’000 Database Software (IP) £’000 £’000 Software £’000 Total £’000 1,577 – 1,038 2,615 – 352 – 8,638 – 21,788 30,426 – 4,125 (64) 2,967 34,487 392 409 801 554 – 1,355 1,612 1,814 1,185 1,487 2,031 3,518 4,719 (27) 8,210 26,277 26,908 7,151 50 – – 50 – – – 50 12 10 22 10 – 32 18 28 38 50 – 141 191 – – (50) 141 6 9 15 47 (11) 51 90 176 44 198 321 – 519 829 – (836) 512 25 50 75 197 (256) 16 496 444 173 10,513 321 22,967 33,801 829 4,477 (950) 38,157 1,922 2,509 4,431 5,527 (294) 9,664 28,493 29,370 8,591 TPXimpact Holdings Plc 157 Notes to the Consolidated Financial Statements continued Software £’000 Total £’000 – – – – 402 402 – – – 8 8 – – – – 402 402 – – – 8 8 394 – 394 – Company Intangible assets Cost As at 1 April 2020 Additions Acquired on acquisition As at 31 March 2021 Additions As at 31 March 2022 Amortisation As at 1 April 2020 Charge for the year As at 31 March 2021 Charge for the year As at 31 March 2022 Net book value As at 31 March 2022 At 31 March 2021 158 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Investment in subsidiaries 11. Investment in subsidiaries Cost As at 1 April 2020 Additions As at 31 March 2021 Additions As at 31 March 2022 Accumulated impairment As at 1 April 2020 and 1 April 2021 Impairment in the year As at 31 March 2022 Net book value As at 31 March 2022 As at 31 March 2021 As at 1 April 2021 Total £’000 54,952 43,626 98,578 19,791 118,369 Total 100 510 610 117,759 98,478 54,952 Investments in Group undertakings are recorded at cost, which is the fair value of the consideration paid plus the fair value of contingent consideration determined at the acquisition date. Investments include £249k for Greenshoot Labs Limited which was classified as held for sale as at 31 March 2022 and was sold subsequent to the end of the financial year. TPXimpact Holdings Plc 159 Notes to the Consolidated Financial Statements continued At 31 March 2022, the Company had the following subsidiaries: Registered address Principal activity Shareholding Companies Foundry4 Limited (previously Not Binary Limited) Country of incorporation England & Wales Human Plus Limited England & Wales iDisrupted Limited England & Wales Manifesto Digital Limited England & Wales Questers Global Group Limited England & Wales Questers Resourcing Limited England & Wales 7 Savoy Court, London, WC2R 0EX Digital service consultancy, software development, data and automation 7 Savoy Court, London, WC2R 0EX IT focus on Robotic Process automation (RPA) 7 Savoy Court, London, WC2R 0EX 7 Savoy Court, London, WC2R 0EX 7 Savoy Court, London, WC2R 0EX 7 Savoy Court, London, WC2R 0EX Ceased trading in the year Digital experience agency Holding company Provides dedicated highly skilled talent pool to businesses from Sofia, Bulgaria Arthurly Limited England & Wales 7 Savoy Court, London, WC2R 0EX Capabilities in hyperscale cloud projects Difrent Limited England & Wales 7 Savoy Court, London, WC2R 0EX Digital transformation consultancy Keep IT Simple Limited England & Wales Questers Bulgaria EOOD Bulgaria Deeson Group Holdings Limited England & Wales Deeson Group Limited England & Wales 7 Savoy Court, London, WC2R 0EX Sofia, 17 H. Ibsen Str.,fl.5 BG175406553 7 Savoy Court, London, WC2R 0EX 7 Savoy Court, London, WC2R 0EX Delivers managed services with expertise in service integration & management Provides dedicated highly skilled talent pool to businesses from Sofia, Bulgaria Holding company Digital experience agency Greenshoot Labs Limited England & Wales 7 Savoy Court, London, WC2R 0EX IT development mainly in conversational interfaces and AI Bene Agere Norden AS Norway TPXimpact Limited (previously FutureGov Limited) England & Wales Postboks 573 Sentrum O105 Oslo Strategic and management digital transformation Runway East (Second Floor) 20 St. Thomas Street, London, SE1 9RG Digital and service design consultancy 160 100% 100%1 100% 100% 100%2 100% 100% 100% 100% 100% 100% 100%3 100% 100% 100%4 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Companies Country of incorporation Us-Creates Limited England & Wales Ameo Professional Services Limited England & Wales FutureGov Australia Pty Limited Australia Nudge Digital Limited England & Wales RedCortex Limited England & Wales Registered address Principal activity Shareholding Runway East (Second Floor) 20 St. Thomas Street, London, SE1 9RG Dormant Runway East (Second Floor) 20 St. Thomas Street, London, SE1 9RGL Strategic and management consultancy focusing on digital transformation Level 4, 29 Kiora Road, Miranda NSW 2228 7 Savoy Court, London, WC2R 0EX Dormant Digital experience agency 5th Floor, Trafalgar House, Fitzalan Place, Cardiff, Wales, CF24 0ED Cloud transformation, architecture and programme management 100% 100% 100% 100% 100% 1 Foundry4 Limited (previously Not Binary Limited) owns 100% of Human Plus Limited 2 Questers Global Group Limited fully own Questers Resourcing Limited and Questers Bulgaria 3 Deeson Group Holdings Limited owns 100% of Deeson Group Limited 4 TPXimpact Limited owns 100% of FutureGov Australia Pty Limited and US Creates Limited TPXimpact Holdings Plc 161 Notes to the Consolidated Financial Statements continued 12. Property, plant and equipment Group Cost of assets At 1 April 2020 Acquisition of subsidiaries Additions Disposals At 31 March 2021 Depreciation At 1 April 2021 Charge for the year Disposals At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 IT equipment £’000 Fixtures & Fittings £’000 Leasehold Improvements £’000 Total £’000 200 37 133 (73) 297 84 94 (64) 114 183 116 104 12 4 (11) 109 24 13 (11) 26 83 80 185 – – – 185 91 68 – 159 26 94 489 49 137 (84) 591 199 175 (75) 299 292 290 162 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS IT equipment £’000 Fixtures & Fittings £’000 Leasehold Improvements £’000 Total £’000 297 23 173 (27) (3) 463 114 155 (40) (3) 226 237 183 109 3 – (25) – 87 26 17 (16) – 27 60 83 185 – – 591 26 173 (185) (237) – – 159 6 (3) 550 299 178 (165) (220) – – – 26 (3) 253 297 292 IT equipment £’000 Total £’000 1 4 5 – 1 1 4 1 1 4 5 – 1 1 4 1 TPXimpact Holdings Plc 163 Group Cost At 1 April 2021 Acquisition of subsidiaries Additions Disposals Assets held for sale At 31 March 2022 Depreciation At 1 April 2021 Charge for the year Disposals Assets held for sale At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 Company Cost of assets At 1 April 2020 Additions At 31 March 2021 Depreciation At 1 April 2020 Charge for the year At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 Notes to the Consolidated Financial Statements continued Company Cost of assets At 1 April 2021 Additions At 31 March 2022 Depreciation At 1 April 2021 Charge for the year At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 IT equipment £’000 Total £’000 5 3 8 1 3 4 4 4 5 3 8 1 3 4 4 4 13. Right of use assets/Lease liabilities The Group leases various offices and office equipment. Rental contracts vary from rolling 3 month contracts to fixed contracts up to several years. Contracts may contain both lease and non-lease components. The Group allocates the consideration in the contract to the lease and non-lease components based on their relative stand-alone prices. However, for leases of real estate for which the Group is a lessee, it has elected not to separate lease and non-lease components and instead accounts for these as a single lease component. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose any covenants other than the security interests in the leased assets that are held by the lessor. Leased assets may not be used as security for borrowing purposes. The lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be readily determined, which is generally the case for leases in the Group, the lessee’s incremental borrowing rate is used, being the rate that the individual lessee would have to pay to borrow the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment with similar terms, security and conditions. To determine the incremental borrowing rate, the Group uses recent third-party financing received by the individual lessee as a starting point, adjusted to reflect changes in financing conditions since third party financing was received. 164 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Amounts recognised in the Statement of Financial Position Right-of-use assets relate to property rentals where the lease term is greater than 12 months in duration. Items that do not meet the criteria of a right-of-use asset have been recorded in the income statement and are summarised below. The Statement of Financial Position shows the following amounts relating to leases: Right-of-use assets Leased buildings Lease liabilities Current Non-current The maturity profile of the Group’s lease liabilities is as follows: Within one year In more than one year but less than two years In more than two years but less than three years Effect of discounting Lease liability 2022 £’000 1,293 1,293 416 878 1,294 2021 £’000 445 445 336 53 389 £’000 £’000 415 409 523 1,347 (53) 1,294 341 74 – 415 (26) 389 TPXimpact Holdings Plc 165 Notes to the Consolidated Financial Statements continued Right-of-use assets Cost of assets 1 April 2021 Additions At 31 March 2022 Depreciation 1 April 2021 Charge for the year At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 The income statement shows the following amounts relating to leases: Interest on lease liabilities Expenses relates to short term leases Expenses relating to leases of low-value assets, excluding short term leases of low-value assets Amounts recognised in the Consolidated Statement of Cash Flows Total cash outflow for leases Leased buildings £’000 Total £’000 1,688 1,253 2,942 1,243 406 1,649 1,293 445 1,688 1,253 2,942 1,243 406 1,649 1,293 445 2022 £’000 2021 £’000 13 425 21 459 2022 £’000 341 24 341 1 366 2021 £’000 610 166 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 14. Trade and other receivables Group Trade receivables Prepayments Other receivables Trade and other receivables 2022 £’000 15,924 559 370 2021 £’000 12,963 470 581 16,853 14,014 Trade receivables at the reporting date comprise amounts receivable from the provision of the Group’s products and services. The average credit period taken on the provision of these services is 73 days (2021: 93 days). A breakdown of trade receivables by currency is provided in Note 25. Trade receivables are non-interest bearing and generally have a 30 to 60 day payment term. The age of trade receivables before impairment is as follows: Not yet due Past due 1-30 days Past due 31–60 days Past due 61–90 days Past due 91–120 days Past due 121+ days Trade receivables before impairment Provision for bad debt Trade receivables as at 31 March 2022 £’000 10,632 3,117 1,183 951 49 59 15,991 2021 £’000 7,971 3,348 1,510 80 45 204 13,158 (67) (195) 15,924 12,963 Loss rates are calculated based on actual credit losses over the past three years and adjusted to reflect differences between the historical credit losses and the Group’s view of the economic conditions over the expected lives of the receivables. The Group’s provision for the loss allowance is £67k (2021: £195k). Company Other receivables Trade and other receivables 2022 £’000 272 272 2021 £’000 298 298 TPXimpact Holdings Plc 167 Notes to the Consolidated Financial Statements continued 15. Cash and cash equivalents Group Cash at bank and in hand Cash held by trust Total cash and cash equivalents 2022 £’000 7,864 50 7,914 2021 £’000 5,734 – 5,734 Cash balances are held with a small number of counterparties, with high credit ratings. Borrowings were taken out during the year. These are discussed in note 17. Company Cash at bank and in hand Total cash and cash equivalents 2022 £’000 514 514 2021 £’000 344 344 The Directors consider that the carrying amount of these assets is a reasonable approximation of their fair value. The credit risk on liquid funds is limited because the counterparty is a bank with high credit ratings. 2022 £’000 5,236 2,482 7,718 2022 £’000 607 662 1,269 2021 £’000 3,996 1,685 5,681 2021 £’000 202 359 561 16 Trade and other payables 16.1 Current Group Trade payables Accruals and other payables Trade and other payables Company Trade payables Accruals and other payables Trade and other payables 168 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 17. Borrowings The Group entered into a three year £5m revolving credit facility (“RCF”) with HSBC UK Bank Plc (“HSBC”) on 11 June 2019. The RCF was amended to £7m in September 2020 and £2m was drawn down for the acquisition of Difrent. In February 2021, the RCF was further extended to £20m and £6m was drawn-down for the acquisition of Keep IT Simple. In the year ended 31 March 2022, a further drawdown of £5m was made for the purchase of Nudge and RedCortex. Of the total facility, £18m has been drawn down and £2m was undrawn as at the year end. Post period end the facility with HSBC was renewed and extended in order to provide access to further capital. The revolving credit facility with HSBC was extended (which has an initial term of three years and may be extended by a further year by mutual agreement) from £20.0m to £30.0m (of which £11m is undrawn) with a £15m accordion. The extended facility has the same security package as announced on 12 June 2019, namely that HSBC has taken security over TPX and all of the Group’s material subsidiaries and their assets in connection with the RCF Facility. As at 31 March 2022 the Group can draw-down up to £5m for working capital purposes with the remainder set aside for acquisitions. Prior to the post period end renewal and extension and as at 31 March 2022, interest is payable on a monthly basis at an average margin of 2.5% plus SONIA. The RCF reaches maturity in June 2023 and under the terms of the RCF facility, the Group is required to comply with the following financial covenants: • • the adjusted leverage (based on net debt over adjusted EBITDA) should be less than 1.75 and the interest cover taken as adjusted EBITDA over net finance costs must be more than 4. Adjusted EBITDA is taken on a proforma basis, assuming that all companies have been part of the Group for 12 months. The Group has complied with these covenants throughout the reporting period. As at 31 March 2022, the adjusted leverage was 0.7 and the interest cover was 38.1. All the financial assets of the company and its material subsidiaries are secured against the loan. Group secured Bank loans Total secured borrowings Group unsecured Credit cards & unsecured borrowings Total unsecured borrowings Total borrowings Company secured Bank loans Total secured borrowings Total borrowings 2022 £’000 18,000 18,000 20 20 2021 £’000 13,000 13,000 55 55 18,020 13,055 2022 £’000 18,000 18,000 2021 £’000 13,000 13,000 18,000 13,000 TPXimpact Holdings Plc 169 Notes to the Consolidated Financial Statements continued 18. Assets and liabilities related to contracts with customers All revenue relates to contracts with customers. The Group have a number of contracts where it receives payments from customers based on a billing schedule. Revenue recognised in excess of invoices raised is included within contract assets. Where amounts have been invoiced in excess of revenue recognised, the excess is included within contract liabilities. Group Current contract assets Loss allowance Total contract assets Contract liabilities Total contract liabilities 2022 £’000 3,840 – 3,840 4,536 4,536 2021 £’000 1,144 – 1,144 1,941 1,941 There was an increase due to entities acquired part way in the previous financial year now having a full year of activity and also, activity from new entities acquired during the current financial year. Contract liabilities have increased due to overall contract activity where customers are paying in advance for performance obligations that have yet to be satisfied. Revenue recognised in relation to contract liabilities The following table shows how much of the revenue recognised in the current reporting period relates to carried- forward contract liabilities and how much relates to performance obligations that were satisfied in a prior year: Group Revenue recognised that was included in the contract liability taken over on acquisition Revenue recognised that was included in the contract liability balance at the beginning of the period Revenue recognised from performance obligations satisfied in previous periods Unsatisfied long-term contracts 2022 £’000 598 1,144 478 2021 £’000 144 1,454 – The majority of customer contracts for the Group as at 31 March 2022 are 12 months or less. Long term contracts with unsatisfied performance obligations as at 31 March 2022 are £nil (2021: £nil). 170 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 19. Other taxes and social security costs Group Current liability VAT Other taxes and social security costs Total Current Asset Corporation tax VAT Total Company Current Liability VAT Other taxes and social security costs Total 2022 £’000 2,435 1,725 4,160 2021 £’000 2,423 1,464 3,887 2022 £’000 2021 £’000 – 71 71 22 115 137 2022 £’000 2021 £’000 27 88 115 12 41 53 TPXimpact Holdings Plc 171 Notes to the Consolidated Financial Statements continued 20. Deferred and contingent consideration The consideration payment for the acquired businesses includes deferred consideration, in the form of equity payment, contingent upon certain results being achieved over relevant periods. Group Opening fair value at 1 April Initial fair value for deferred contingent consideration on acquisitions in the year Settlement of deferred consideration (shares) Settlement of deferred consideration (cash) Movement on fair value contingent consideration Fair value at 31 March Deferred consideration measured at amortised cost Acquired as part of business combination Settlement in the year (cash) Amortised cost at 31 March Total Deferred and contingent consideration as at 31 March: Deferred and contingent consideration due less than one year Deferred and contingent consideration due more than one year As at 31 March Company Fair value at 1 April Initial fair value for deferred contingent consideration on acquisitions in the year Settlement of deferred consideration (shares) Settlement of deferred consideration (cash) Movement on fair value contingent consideration Fair value at 31 March 172 2022 £’000 11,752 – 2021 £’000 16,545 2,093 (8,229) (11,025) (467) (152) 2,904 467 – – 467 3,371 3,173 198 3,371 2022 £’000 11,752 – (121) 4,260 11,752 138 467 (138) 467 12,219 8,478 3,741 12,219 2021 £’000 16,545 2,093 (8,229) (11,025) (467) (152) 2,904 (121) 4,260 11,752 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Company Deferred consideration measured at amortised cost Deferred consideration on acquisitions in the year Settlement in the year Amortised cost at 31 March Total Deferred and contingent consideration as at 31 March: Deferred and contingent consideration due less than one year Deferred and contingent consideration due more than one year As at 31 March 2022 £’000 467 – – 467 3,371 3,173 198 3,371 2021 £’000 – 467 – 467 12,219 8,478 3,741 12,219 The contingent consideration is due from 1 April 2022 to 30 September 2023. The fair value movement of £(152)k in the year (2021: £4,260k) resulted from the unwinding of the discount and changes in the value of contingent consideration based on latest forecasts. 21. Share capital and reserves Share capital and reserves comprise of the following categories: • • • • • • • • Share capital: The nominal value of shares in issue. Share premium: The excess of the value received for shares issued over their nominal value less transaction costs and amounts used to fund bonus issues. Merger reserve – Under section 612 of the Companies Act 2006, where a company issues equity shares in consideration for shares in another company and secures at least 90% equity holding in another company, then the excess consideration over the nominal value of the shares issued should be recorded as a merger relief reserve. Capital redemption reserve: The nominal value of shares cancelled. Foreign exchange reserve: Cumulative gains or losses recognised on retranslation of overseas operations. Share option reserve: The cumulative charge recognised under international financial reporting standards less amounts exercised. Retained earnings: Cumulative gains or losses not recognised elsewhere, less amounts distributed to shareholders. In the current year, an interim dividend of £603k was made by the Company. Own shares: the value of shares held by the Employee Benefit Trust and the Employee Share Incentive Plan. TPXimpact Holdings Plc 173 Notes to the Consolidated Financial Statements continued Shares issued and fully paid Beginning of year Issued during year/share options exercised Share cancellations Shares issued and fully paid 2022 £’000 2021 £’000 804 80 (10) 874 551 253 – 804 Share capital allotted, called up and fully paid 2022 2021 Ordinary shares of £0.01 each At 31 March Movement in ordinary shares At 1 April 2020 Acquisition of subsidiaries Settlement of contingent consideration Shares issued to SIP scheme Number of shares £‘000 Par value £’000 55,052 14,562 10,805 9 551 146 107 – Share premium £’000 Merger reserve £’000 5,673 25,804 – – 18 24,225 10,897 – As at 31 March 2021 80,428 804 5,691 60,926 Acquisition of subsidiaries Settlement of contingent consideration Cancellation of shares Exercise share options Shares issued to SIP scheme 3,836 3,309 (972) 688 98 38 35 (10) 7 – - – - 501 257 9,581 8,198 – – – As at 31 March 2022 87,387 874 6,449 78,705 The share price with reference to the acquisitions in the year ranged from 264.6p to 273.0p. 87,386,595 80,428,360 Own Shares £’000 - - – – – - - – – 99 99 Total £’000 32,028 24,371 11,004 18 67,421 9,619 8,233 (10) 508 356 86,127 174 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Own Shares Holding of own shares are stated at cost and represent shares purchased by TPXImpact Holdings plc Employee Benefit Trust (EBT) in the Company for the purpose of funding the Group’s share-based incentive plans. In addition, own shares also include shares held by the Share incentive plan (SIP) on behalf of employees until vesting conditions have been met. Details of these arrangements are disclosed in note 5.5 on pages 145 to 146. The trustees of the EBT purchase the Company’s ordinary shares in the open market using funds provided by the Company. The Company has provided a loan facility to the EBT which is drawn down monthly by the Trust to enable it to meet its administrative costs. As part of the SIP scheme the company gives 1 free ‘Matching Share’ for every 1 Partnership Share purchased by the employee. Details of the number and value of shares has been disclosed below: Number of shares Market value of shares 22. Deferred tax Deferred tax liability Accelerated capital allowances and intangible assets arising from acquisition of subsidiaries: As at 1 April Deferred tax arising from acquisition of subsidiaries Movement in income statement for the year As at 31 March EBT SIP Scheme 51k £99k 107k £257k 2022 £’000 5,133 851 712 6,696 2021 £’000 1,623 3,964 (454) 5,133 The Government had announced an increase in corporation tax rate to 25% which becomes effective 1 April 2023. As at the balance sheet date, this was enacted and therefore has been reflected in current year’s trading results. Deferred tax asset Tax losses: Unused tax losses for which no deferred tax asset has been recognised Potential tax benefit available for offset against future profits in the jurisdiction in which the loss arises Accelerated capital allowances As at 1 April Movement in income statement for the year As at 31 March 2022 £’000 2021 £’000 19 5 44 8 2022 £’000 2021 £’000 15 32 47 – 15 15 TPXimpact Holdings Plc 175 Notes to the Consolidated Financial Statements continued 23. Ultimate controlling party and related party transactions In the opinion of the Directors there is no ultimate controlling party. All other transactions and balances with related parties, which are presented for the Group and the Company, are detailed below. Transactions with subsidiaries (i) Transaction Company (to and from) subsidiaries: Transactions with subsidiaries comprise sale and purchase of services in the ordinary course of business at normal commercial terms. Total income accrued in the Company as a result of management fees was £2.5m (2021: £1.4m). During the year the Company received £16.1m (2021: £9.4m) dividends from its subsidiaries (refer to Company Statement of Cash Flow). There were also purchases totalling £0.4m (2021: £0.1m). Intercompany loans to and from subsidiaries for the year are noted in the table below. Balances outstanding at 31 March 2022 and 2021 in respect of the transactions between Company and its subsidiaries are shown below: Outstanding balances between Company and subsidiaries Other receivables from Group undertakings Intercompany loans to Group undertakings* Intercompany loans from Group undertakings Total 2022 £’000 1,997 951 (396) 2,552 2021 £’000 797 104 (5,040) (4,139) * Intercompany loans to Group undertakings are interest-bearing at a market rate of 3% and are repayable on demand. As at 31 March 2022, the balance was £1.9m (2021: £1.1m) with a provision of £0.9m (2021: £1.0m). Other receivables from Group undertakings relate to management fees due to the Company from its subsidiaries. As at 31 March 2022, the balance was £1.2m (2021: £1.2m), with a provision of £0.4m (2021: £0.4m). In addition, the Company owed £232k (2021: £2k) to subsidiaries which is included within trade payables. The expected credit loss on intercompany receivables and loans is £2.2m based on actual credit losses over the past three years and adjusted to reflect differences between the historical credit losses and the Company’s view of the economic conditions over the expected lives of the receivables. The Company’s provision for the loss allowance as at 31 March 2022 was £2.2m (2021: £1.3m). (ii) Transaction amongst subsidiaries: Transactions with subsidiaries comprise sale and purchase of services in the ordinary course of business at normal commercial terms. Total intercompany sales revenue was £2.1m (2021: £0.4m). Transactions with Directors Details of Directors’ interests in the Company’s shares, service contracts and remuneration are set out in the report of the Remuneration Committee to members on pages 92 and 93. The director’s loan provided to Neal Gandhi of £50k in the year ending 31 March 2019 from its subsidiary, Questers Resourcing Limited remains outstanding as at 31 March 2022. This is interest free and repayable on demand. In December 2018, the Group acquired Questers Global Group Limited. Neal Gandhi owned shares in Questers Global Group Limited totalling 58.5 per cent. The fair value of contingent consideration shares due to him in the coming FY2023 is £434k and nil thereafter. Total dividends paid to directors during the year was £7k (2021: £30k). 176 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 24. Financial instruments In common with other businesses, the Group is exposed to risks that arise from its use of financial instruments. This note describes the Group’s objectives, policies and processes for managing those risks and the methods used to measure them. The significant accounting policies regarding financial instruments are disclosed in Note 2. Principal financial instruments The principal financial instruments used by the Group, from which financial instrument risk arises, are as follows: • • • • • • • Trade and other receivables Cash and cash equivalents Trade and other payables Contract Assets Deferred and contingent consideration Lease liabilities Borrowings Financial assets and liabilities measured at amortised cost The book values of the financial instruments (excluding equity shares) used by the Group, from which financial risk arises, are as follows (note prepayments and other receivables are not financial assets under IFRS 9 but are disclosed for ease of reconciliation): Group Financial assets at amortised cost* Trade receivables Other receivables Contract assets Cash and cash equivalents As at 31 March 2022 £’000 15,924 370 3,840 7,914 28,048 2021 £’000 12,963 581 1,144 5,734 20,422 * The fair value of financial assets carried at amortised cost approximates to the carrying amounts because of the short maturity of these instruments. Financial assets at amortised cost include the following debt investments which are included within ‘Other receivables’: Loans to related parties As at 31 March 2022 £’000 2021 £’000 50 50 50 50 TPXimpact Holdings Plc 177 Notes to the Consolidated Financial Statements continued Financial liabilities at amortised cost less than one year Trade payables Other payables Accruals Borrowings Deferred and contingent consideration Lease liabilities As at 31 March Financial liabilities at amortised cost greater than one year Borrowings Lease liabilities As at 31 March 2022 £’000 5,236 719 1,763 20 467 416 2021 £’000 3,996 263 1,422 55 467 336 8,621 6,539 2022 £’000 2021 £’000 18,000 13,000 878 18,878 53 13,053 At a Company level, the principal financial instruments used from which financial instrument risk arises, are as follows: • • • • • • Intercompany loans and other receivables due from Group undertakings Cash and cash equivalents Trade and other payables Deferred and contingent consideration Borrowings Intercompany loans due to Group undertakings Company Financial assets at amortised cost Other receivables Other receivables from Group undertakings Intercompany loans to Group undertakings Cash and Cash equivalents As at 31 March 2022 £’000 2021 £’000 181 1,997 951 514 298 797 104 344 3,643 1,543 * The fair value of financial assets carried at amortised cost approximates to the carrying amounts because of the short maturity of these instruments 178 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS Financial liabilities at amortised cost due on demand or within one year Trade payables Accruals and other payables Deferred consideration Amounts owed to Group undertakings As at 31 March Financial liabilities at amortised cost due greater than one year Borrowings As at 31 March Fair value measurement 2022 £’000 2021 £’000 607 662 – 396 1,665 2022 £’000 18,000 18,000 202 359 467 5,040 6,068 2021 £’000 13,000 13,000 Financial instruments in the category “fair value through profit or loss” are measured in the Consolidated Statement of Financial Position at fair value. In determining fair value, the group has classified its financial instruments into three levels of fair value measurement hierarchy: • • • Level 1 – Quoted prices (unadjusted) in an active market for identical assets or liabilities Level 2 – Inputs other than quoted prices included within Level 1 that are observable for assets or liability, either directly (that is, as prices) or indirectly (that is, derived from prices) Level 3 – Inputs for asset or liability that are not based on observable market data (that is unobservable inputs) The following table presents the Group’s and Company’s assets and liabilities that are measured at fair value at 31 March 2022: Contingent consideration (see below) – – 2,904 – – 11,752 Level 1 £’000 Level 2 £’000 2022 Level 3 £’000 Level 1 £’000 Level 2 £’000 2021 Level 3 £’000 Reconciliation for level 3 is shown below: Opening balance Additions Settlements Fair value movement deferred contingent consideration (reflected in Consolidated Income Statement) Deferred contingent consideration (See Note 20) Fair value gains and losses have been recognised in administrative expenses. 2022 £’000 11,752 – 2021 £’000 16,545 2,093 (8,696) (11,146) (152) 2,904 4,260 11,752 TPXimpact Holdings Plc 179 Notes to the Consolidated Financial Statements continued 25. Risk management The Group finances its activities through equity and bank financing. No speculative treasury transactions are undertaken, and no derivative contracts were entered into. Financial assets and liabilities include those assets and liabilities of a financial nature, namely cash and borrowings. The Group is exposed to a variety of financial risks arising from its operating activities, which are monitored by the Directors and are reported in the Risk and Risk Management section on pages 85 to86. 25.1 Cash and liquidity risk The Group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. The Group policy throughout the year has been to ensure continuity of funding by a combination of available bank facilities and the issue of equity. The following table shows the contractual maturities of financial liabilities measured at amortised cost: Contractual maturities of financial liabilities at 31 March 2022: Group Company Less than 1 year £’000 1 to Effect of 2 to 2 years 5 years discounting £’000 £’000 £’000 Less than 1 year £’000 Total £’000 1 to Effect of 2 to 2 years 5 years discounting £’000 £’000 £’000 Total £’000 – – – Trade and other payables (Note 16) 7,718 – Borrowings (Note 17) 486 18,956 – 7,718 1,269 – (1,422) 18,020 486 18,956 Deferred consideration (Note 20) Lease Liabilities (Note 13) Amount owed to Group undertakings (Note 23) 467 415 – – 467 409 523 (53) 1,294 – – – – – – – 396 9,086 19,365 523 (1,475) 27,499 2,151 18,956 Contractual maturities of financial liabilities at 31 March 2021 – – – – – – – 1,269 (1,422) 18,020 – – - – – 396 (1,422) 19,685 – – – Group Company Less than 1 year £’000 1 to Effect of 2 to 2 years 5 years discounting £’000 £’000 £’000 Total £’000 Less than 1 year £’000 1 to Effect of 2 to 2 years 5 years discounting £’000 £’000 £’000 Total £’000 Trade and other payables (Note 16) 5,681 – Borrowings (Note 17) 554 13,148 Deferred consideration (Note 20) Lease Liabilities (Note 13) Amount owed to Group undertakings (Note 23) 467 341 – – 74 – 7,043 13,222 – – – – – – – 5,681 (647) 13,055 – (26) 467 389 561 499 – – – – 5,040 – 13,148 – – – (673) 19,592 6,100 13,148 – – – – – – – 561 (647) 13,000 – – – – – 5,040 (647) 18,601 180 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 25.2 Capital risk management Factors affecting the economy The macro-economic impact of the Covid-19 pandemic and the conflict in Ukraine is uncertain. It is reflected by a rapidly increasing inflation rate and a high cost of living. This continues to evolve, with potential disruption to financial markets including currencies, interest rates, borrowing costs and the availability of debt financing. However, the Group’s financial risk management strategies seek to reduce our potential exposure in relation to these risks. The Group has a combined cash and cash equivalent of £7.9m, providing significant headroom over short term liquidity requirements. The Group’s operating activities result in customer credit risk, for which provisions for expected credit losses are recognised. This customer related credit risk is generally short term in duration and while Covid-19 and other macroeconomic conditions impacts on our customers it had no material impact on credit loss provisioning at 31 March 2021 and remains a risk in relation to this matter for the year ending 31 March 2022. The Group’s policy on capital structure is to maintain a level of gross cash available, which the Board considers to be adequate to fund a range of potential EBITDA movements, taken from a series of business projections and scenarios. Based on these business projections which takes into account the impact of Covid-19 the Board believes it has sufficient cash resources at its disposal to pursue its chosen strategy of maximising shareholder returns from its customer base. The Group manages its capital to ensure that trading entities in the Group will be able to continue as going concerns, while maximising the returns to shareholders through the efficient use of cash and equity. The capital structure of the Group consists of cash at bank and in hand and equity attributable to equity holders of the parent, comprising issued share capital, reserves and retained earnings as disclosed in the Consolidated Statement of Changes in Equity on page 119. The Directors seek to promote recurring revenues to a wide range of business customers, to reduce the risks associated with fluctuations in the UK economy and to increase the long-term value to customers and shareholders. The declaration and payment by the Group of any future dividends on the Ordinary Shares and the amount will depend on the results of the Group’s operations, its financial condition, cash requirements, future prospects, profits available for distribution and other factors deemed to be relevant at the time. In order to maintain or adjust the capital structure, the Group may adjust the amount of any pay-outs to the shareholders, return capital to the shareholders, issue new shares and make borrowings or sell assets to reduce debt. 25.3 Credit risk The Group’s policy is to monitor trade and other receivables and avoid significant concentrations of credit risk. The principal credit risk arises from trade receivables. Aged receivables reports are reviewed monthly as a minimum. The credit control function follows a policy of sending reminder letters that start once an invoice is over 30 days overdue. These culminate in a legal letter with the threat of legal action. In a limited number of cases, legal action has been pursued. An aged analysis of receivables is shown in Note 14 to the financial statements. In line with IFRS 9, the Group assesses the credit risk balances at each reporting date, to assess whether the credit risk on a financial instrument has increased significantly since initial recognition. The simplified approach has been applied to trade debtors to measure the loss allowance at an amount equal to the lifetime expected credit loss (ECL) at initial recognition and throughout its life. The credit risk is assessed by reviewing the contract income amount compared to the amount subsequently recovered. The Group does not identify specific concentrations of credit risk with regards to trade and other receivables, as the amounts recognised represent a large number of receivables from various customers, including some government authorities. Assessment of the average expected credit loss across the Group is deemed to be low over a period of 36 months to 31 March 2022 with the exception of Bene Agere in 2021. The bad debt provision as at 31 March 2022 was assessed to be £67k (2021: £195k). Trade receivables are stated net of an impairment for estimated irrecoverable amounts to £16m (2021: £13m). This impairment has been determined by reference to known issues. The Group was not adversely affected by the impact of Covid-19 on the expected credit loss assessment. Write-offs are made when the irrecoverable amount becomes certain. During the year £67k of bad debt was written off against the provision which primarily relates to Difrent. The Group’s main risk relates to trade receivables which are stated net of the provisions above. No collateral is held as security against these debtors and the carrying value represents the fair value. TPXimpact Holdings Plc 181 Notes to the Consolidated Financial Statements continued The expected loss rates are based on the payment profiles of sales over a period of 36 months before 31 March 2022 and the corresponding historical credit losses experienced within this period. The historical loss rates are adjusted to reflect current and forward- looking information on macroeconomic factors affecting the ability of the customers to settle the receivables. The group has identified that the GDP and the unemployment rate of the countries in which it sells its goods and services are the most relevant factors, and accordingly adjusts the historical loss rates based on expected changes in these factors. 25.4 Foreign currency risk The Group’s main foreign currency risk is the short-term risk associated with accounts receivable and payable denominated in currencies that are not the subsidiaries’ functional currency. The risk arises on the difference in the exchange rate between the time invoices are raised/received and the time invoices are settled/paid. For sales denominated in foreign currencies the Group will try to ensure that the purchases associated with the sale will be in the same currency. Most monetary assets and liabilities of the Group were denominated in pound sterling except for the following currency in the table below, and which are included in the financial statements at the sterling value based on the exchange rate ruling at the Statement of Financial Position date. Sensitivity analysis in foreign exchange rates shows an increase or decrease by 10% in exchange rates against GBP, with all other variables held constant, would increase or decrease net assets attributable to shareholders by approximately £294k (2021: £234k). The maximum exposure to foreign currency risk for the Group trade receivables at the reporting date was: Norwegian Krone (NOK) European Union currency (EUR) United States of America Dollar (USD) As at 31 March 2022 £’000 2021 £’000 252 99 – 351 168 57 615 840 The maximum exposure to foreign currency risk for Group cash and cash equivalents at the reporting date by was: European Union currency (EUR) Norwegian Krone (NOK) Australian Dollar (AUD) Bulgarian Lev (BGN) United States of America Dollar (USD) As at 31 March 2022 £’000 2021 £’000 126 444 – 89 21 680 127 352 2 43 166 690 The maximum exposure to foreign currency risk for the Group trade and other payables at the reporting date was: USD EUR NOK BGN As at 31 March 182 2022 £’000 2021 £’000 11 – 208 100 319 5 – 265 78 348 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 25.5 Interest rate risk In the year ended 31 March 2022, the Group has an RCF facility balance of £18m denominated in GBP. The facility has been taken out on a floating rate basis (SONIA) for a period of 3 years up to June 2023. Interest rate risk arises on the change in SONIA which affects the interest payable by the Group. Sensitivity analysis in interest rates show that with an increase in 100 basis points, with all other variables held constant, the net assets attributable to shareholders would increase or decrease by approximately £202k. Management periodically reviews the interest rates with lenders to manage the interest rate risk associated with the loans. 26. Non-cash investing and financing activities Non-cash investing and financing activities disclosed in other notes are: • • Partial settlement of a business combination through the issue of shares (see note 8) Acquisition of right-of-use assets (see note 13) Net debt reconciliation This section sets out an analysis of net debt and the movements in net debt for each of the periods presented. Group Net (debt)/cash at 1 April 2020 New borrowings Loans acquired on acquisition Cash flows Net (debt)/cash as at 31 March 2021 New borrowings Loans acquired on acquisitions New leases Cash flows Liabilities from financing activities Borrowings £’000 Leases £’000 Sub-total £’000 Cash/bank overdraft £’000 Total £’000 (5,000) (8,000) (55) – (13,055) (5,000) (20) – 55 (999) (5,999) 4,614 (1,385) (8,000) 8,000 – – 610 – – (55) 610 (20) (389) (13,444) 5,734 (7,710) (6,880) (6,270) (5,000) 5,000 – (55) – (20) (1,267) – – – (1,267) (1,267) 362 417 (2,820) (2,403) Net (debt)/cash at 31 March 2022 (18,020) (1,294) (19,314) 7,914 (11,400) Net cash increase in the year due to an increase in trading and cash acquired on acquisition offset by a cash outflow for acquisitions completed in the year. TPXimpact Holdings Plc 183 Notes to the Consolidated Financial Statements continued Company Net cash at 1 April 2020 New borrowings New borrowings – non cash items Cash flows Liabilites from financing activities Borrowings £’000 Intercompany loans £’000 Sub-total £’000 Cash/bank overdraft £’000 Total £’000 (5,000) (3,227) (8,227) 147 (8,080) (8,000) – (8,000) – – (1,813) (1,813) – – – – 197 344 – – 220 564 (8,000) (1,813) 197 (17,696) (5,000) (416) 220 (22,892) Net (debt)/cash as at 31 March 2021 (13,000) (5,040) (18,040) New borrowings New borrowings – non cash items Cash flows (5,000) – (5,000) (20) – (396) – (416) – Net (debt)/cash at 31 March 2022 (18,020) (5,436) (23,456) Net cash increase in the year due to increase borrowings offset by a cash outflow for acquisitions completed in the year. 27. Discontinued operations On 1 December 2021 the group announced its intention to dispose of Greenshoot Labs Limited, “GSL”, a wholly owned subsidiary. The Board considers that GSL has a great product, however it would require significant investment to develop the right sales and marketing functions required to gain commercial traction in an Enterprise software market. As the entity operates within a non-core sector for the group, the directors made the decision to dispose of the entity. The total consideration for the sale was £2.2m. The sale of the subsidiary was completed post year end on 24 May 2022 and as such is reported in the current period as a discontinued operation. The associated assets and liabilities were consequently presented as held for sale in the 2022 consolidated statement of financial position. The results of the entity was presented as discontinued operations in the current year consolidated statement of comprehensive income. The prior year statement of comprehensive income was also restated to show the results of the discontinued operation. Financial information relating to the discontinued operation for the group is set out below. Revenue Cost of Sales Gross (loss)/Profit Administrative expenses Other income Operating profit/(loss) Finance income Finance costs Profit/(Loss) before tax from discontinued operations Taxation Profit/(Loss) for the year from discontinued operations 184 2022 £’000 2021 £’000 93 (439) (346) (427) 16 (758) – (4) (762) 39 (723) 782 (489) 293 (499) 19 (187) – (2) (189) – (189) STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS The major classes of assets and liabilities of Greenshoot Labs Limited classified as held for sale as at 31 March 2022 are, as follows: Assets Intangible assets Property, plant and equipment Trade and other receivables Contract assets Other tax and other statutory assets Cash and cash equivalents Assets held for sale Liabilities Trade and other payables Other tax and other statutory liabilities Liabilities directly associated with assets held for sale Net assets directly associated with disposal group 2022 £’000 579 8 19 13 55 34 708 (86) (17) (103) 605 Immediately before the classification of Greenshoot Labs Limited as discontinued operations, the recoverable amount was estimated for the assets of the entity and no impairment loss was identified. As at 31 March 2022, there was no further write-down as the carrying amount of the disposal group did not fall below its fair value less costs to sell. The cash flows of discontinued operations are immaterial to the Consolidated Statement of Cash Flows and so have not been presented separately for the previous financial year. TPXimpact Holdings Plc 185 Notes to the Consolidated Financial Statements continued Income statement reconciliation: Revenue Cost of Sales Gross Profit Administrative expenses Other income Operating profit/(loss) Finance income Finance costs Profit/(Loss) before tax Taxation Profit/(Loss) after tax for the year Continuing Discontinued operations operations 2022 2022 £’000 £’000 Total 2022 £’000 Continuing Discontinued operations operations 2021 2021 £’000 £’000 Total 2021 £’000 79,709 (55,341) 24,368 (21,738) 579 3,209 – (683) 2,526 (1,706) 820 93 79,802 50,315 782 51,097 (439) (55,780) (34,479) (489) (34,968) (346) (427) 16 (758) – (4) (762) 39 (723) 24,022 15,836 293 16,129 (22,165) (17,586) (499) (18,085) 595 2,451 – (687) 1,764 (1,667) 394 19 413 (1,356) (187) (1,543) 3 (303) (1,656) (384) – (2) 3 (305) (189) (1,845) – (384) 97 (2,040) (189) (2,229) 28. Alternative performance measures Our consolidated financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”). In measuring our performance, the financial measures that we use include those which have been derived from our reported results in order to eliminate factors which distort period-on-period comparisons. These are considered non-GAAP financial measures, and include measures such as like-for-like revenue, adjusted EBITDA and net debt. We believe this information, along with comparable GAAP measurements, is useful to shareholders and analysts in providing a basis for measuring our financial performance. The adjusted EBITDA is based on the results of continuing operations. Operating profit/(loss) Amortisation of intangible assets Depreciation Gain/(Loss) on fair value movement contingent consideration Share based payments Costs directly attributable to business combinations Costs relating to the change programme Costs relating to business restructuring Adjusted EBITDA 186 2022 £’000 3,209 5,347 584 (152) 427 1,013 1,764 5 12,197 2021 £’000 (1,543) 2,509 835 4,260 294 496 – 250 7,101 STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS 29. Provisions As at 1 April 2020 Charge during the year As at 31 March 2021 Utilised during the year As at 31 March 2022 Total £’000 23 53 76 (76) – 30. Post-balance sheet events On 6 April 2022, TPXimpact Holdings plc acquired the entire issued share capital of Swirrl IT Limited, a software and services business. The core operations of the business are to help government organisations to disseminate and manage their data enabled decisions. Swirrl IT Limited, company registration number SC337356 is incorporated in Scotland. Its registered office is Macfarlane Gray House Castlecraig Business Park, Springbank Road, Stirling, Stirlingshire, FK7 7WT. The consideration for the acquisition was £3.2m, satisfied through the payment of £1.2m cash and the issue of 888,888 new ordinary shares in TPXimpact Holdings plc. The ordinary shares in TPXimpact was issued at a price of 225 pence per share (the “Swirrl Consideration Shares”). The Swirrl Consideration Shares will be subject to lock-in and orderly market arrangements until 1 April 2024. The orderly market provisions will apply to all of the Consideration Shares until 1 April 2025. On 7 April 2022, TPXimpact Holdings plc acquired the entire issued share capital of Peak Indicators Limited, a visionary data science and analytics consultancy offering services such as analytics, Data engineering and Data science. Peak Indicators Limited, company registration number 06704556 is incorporated in England. Its registered office is 7 Savoy Court, London, United Kingdom, WC2R 0EX. The consideration for the acquisition was £3.5m, satisfied through the payment of £1.4m cash and the issue of 938,888 new ordinary shares in TPXimpact Holdings plc. The ordinary shares in TPXimpact was issued at a price of 225 pence per share, (the “Peak Indicators Consideration Shares”). The Peak Indicators Consideration Shares will be subject to lock-in and orderly market arrangements with one-third of the Peak Indicators Consideration Shares being released on each of the first three anniversaries of completion of the acquisition. The orderly market provisions will apply to all of the Peak Indicators Consideration Shares until the fourth anniversary of completion. The Group is currently performing a fair value review of Peak Indicators Limited and Swirrl IT Limited’s assets and liabilities and will report these within its next published financial statements. Post period end HSBC have extended their revolving credit facility with the Group to £30m with a £15m accordion. The new facility is a sustainability-linked revolving credit facility that incorporates targets which align with our long-term ESG objectives. TPXimpact Holdings Plc (TPXH) disposed of its subsidiary Greenshoot Labs Limited post year end to OpenDialog AI Limited (ODAL). The sale of the subsidiary was completed on 24 May 2022 for a total aggregate price of £2,187,500. The price was satisfied on completion of the transaction by the allotment and issue by ODAL to TPXH of 800,000 ordinary shares of £0.00001 each in the capital of the Buyer, such Consideration Shares having an aggregate value of at least £2,187,500 and being equal to at least 17.5% of the fully diluted share capital of ODAL. GSL was classified as asset held for sale and discontinued operation as at the year end and financial information relating to the entity is set out in note 26. TPXimpact Holdings Plc 187 Directors, Secretary and Advisers Registered Auditor CLA Evelyn Partners Limited (formerly Nexia Smith & Williamson Audit Limited) 45 Gresham Street, London EC2V 7BG Bankers HSBC UK Bank plc 4th Floor, 3 Temple Quay, Bristol BS1 6DZ Registrars Neville Registrars Neville House, Steelpark Road, Halesowen B62 8HD Directors Mark Smith Non-Executive Chairman Chris Sweetland Non-Executive Director Isabel Kelly Non-Executive Director Rachel Neaman Non-Executive Director Neal Gandhi Chief Executive Officer Oliver Rigby Chief Financial Officer Secretary Oliver Rigby Company number 10533096 Registered office 7 Savoy Court, London WC2R 0EX Nominated adviser and Joint broker Stifel Nicolaus Europe Ltd 150 Cheapside, 7th Floor, London EC2V 6ET Joint broker Dowgate Capital Limited 15 Fetter Lane, London EC4A 1BW Solicitors Harbottle & Lewis LLP 14 Hanover Square, London W1S 1HP Financial statements and other information included in annual reports may differ from legislation in other jurisdictions. 188 Designed and Printed by: sterlingfp.com TPXimpact Ltd, 7 Savoy Ct, London WC2R 0EX @TPXimpact hello@TPXimpact.com tpximpact.com
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