Announcement PDF Appendix 4E Preliminary final report Appendix 4E Preliminary final report 1. Company Details Name of entity ENERGY TECHNOLOGIES LIMITED ABN or equivalent company reference Financial year ended (‘current period’) 38 002 679 469 Financial year ended (‘previous period’) 30 June 2023 30 June 2022 2. Results for announcement to the market $A'000 2.1 Revenues from operating activities Up 24% to 15,535 2.2 Profit from operating activities after tax attributable to members Down 76% to (15,345) 2.3 Profit for the period attributable to members Down 76% to (15,345) 2.4 Dividends Amount per security Franked amount per security Final dividend NIL NIL Interim dividend NIL NIL 2.5 Record date for determining entitlements to the dividend Not applicable 2.6 Brief explanation of any of the figures in 2.1 to 2.4 necessary to enable the figures to be understood: Energy Technologies Limited (EGY) has reported a consolidated loss for the year after tax and minority interests of $15,344,996 (FY2022 loss of $8,731,756). The FY2023 results include a loss after tax of $14,127,919 (FY2022 loss of $7,798,291) reported by subsidiary Bambach Wires and Cables Pty Ltd (BWC). This includes $5,194,327 (FY2022 $600,000) impairment of the carrying value of intangible development assets and purchased intellectual property, now fully impaired to NIL. There will be further discussion of the result below. The June 2022 comparatives, in the Appendix 4E, have been amended to reflect the 2022 Annual Report. 30/06/2023 Appendix 4E Page 1 of 18 Appendix 4E Preliminary final report 3. Details of Individual and Total Dividends Date dividend is payable Amount per security Franked amount per security at 30% tax Amount per security of foreign source dividend Current year -¢ -¢ -¢ Previous year -¢ -¢ -¢ Interim dividend: Current year -¢ -¢ -¢ Previous year -¢ -¢ -¢ Final dividend: Total dividend per security (interim plus final) Current year Previous year Ordinary securities Preference securities -¢ -¢ -¢ -¢ 4. Dividend reinvestment plan Details of any dividend reinvestment plans in operation: N/A The last date for the receipt of an election notice for participation in any dividend or distribution reinvestment plan: N/A 5. Statement of retained earnings Current period - $A'000 Previous corresponding period - $A'000 Accumulated losses at the beginning of the financial year (31,818) (23,086) Net loss attributable to members (15,345) (8,732) Accumulated losses at the end of the financial year (47,163) (31,818) 6.1 Net Tangible Asset backing Net tangible asset* backing per ordinary security Current period Previous corresponding period $0.011 $0.036 * Net tangible assets calculations above include the right-of use assets and lease liabilities. 30/06/2023 Appendix 4E Page 2 of 18 Appendix 4E Preliminary final report 6.2 Earnings per security (EPS) Current period Basic EPS (cents) (5.2) (3.6) (15,345) (8,732) 292,875,846 243,508,091 Net loss after tax for the period attributable to members ($’000s) Weighted average number of ordinary securities Previous corresponding period 7. Details of entities over which control has been gained or lost during the period 17.1 A Name of entity No entities were acquired during the period 7.2 A Date from which control was gained 7.3 A Where material to an understanding of the report – the contribution of such entities to the reporting entity’s profit from operating activities during the period and the profit or loss of such entities during the whole of the previous corresponding period 17.1 B Name of entities 7.2 B Date from which control was gained / lost 7.3 B Where material to an understanding of the report – the contribution of such entities to the reporting entity’s profit from operating activities during the period and the profit or loss of such entities during the whole of the previous corresponding period No entities were disposed of during the period 8. Details of Associates and Joint Ventures: Name of entity Percentage holding 30 June 2023 Percentage holding 30 June 2022 N/A 8.1 Where material to an understanding of the report - aggregate share of profits (losses) of these entities, details of contributions to net profit for each of these entities, and with comparative figures for each of these disclosures for the previous corresponding period: 30/06/2023 Appendix 4E Page 3 of 18 Appendix 4E Preliminary final report 9 - Comments by directors EGY has reported a consolidated loss after tax and minorities for FY2023 of $15,344,996 (FY2022 loss after tax and minorities $8,731,756). Wholly owned subsidiary Bambach Wires and Cables Pty Ltd (Bambach) reported a loss after tax of $14,127,919 (FY2022 loss $7,798,291). This includes a one-off amount of $5,194,327 to fully impair the FY2023 carrying value of intangible development assets and purchased intellectual property to NIL. In addition, the result includes an inventory write down of $798,286 (2022: $484,338) as a result of a detailed review of inventory items by location and including slow moving stock. During the period, the company experienced further issues with utilisation rates at the factory due to the lasting effects of COVID. Pleasingly, these reduced greatly in October as normal staffing levels resumed and from November provided for an increase in productivity which allowed the company to take advantage of the higherthan-normal order book. This resulted in a 24% increase in sales compared to the previous corresponding period and continues to underpin the opportunities that the company has going forward. During April, the company entered a restructuring of the factory to move to 24-hour operations which resulted in a restructuring of staffing levels. While largely done, they are still being finalised to ensure that the new work arrangements have the necessary number of staff to support this increase in factory utilisation. The Board has determined to impair both intangible assets and inventory to prepare the business for its fresh start in operations under this increase in utilisation. The FY2023 loss of $15.3m, when taking in to account the impairment of intangible assets ($5.2m), the higher impairment of inventory ($0.3m) and the higher finance cost ($1m) was largely in line with the FY2022 result (down by $0.08m) due to the similar utilisation rates of the factory. Sales still remain strong, with the company having a healthy order book in place, as underpinned by it announcing its first project win in excess of $1m, on 28 July 2023. 30/06/2023 Appendix 4E Page 4 of 18 Appendix 4E Preliminary final report 10. This report is based on accounts to which one of the following applies.  The accounts have been audited.  The accounts have been subject to review. The accounts are in the process of being audited or subject to review.  The accounts have not yet been audited or reviewed. 11. Description of likely dispute or qualification if the accounts have not yet been audited or subject to review or are in the process of being audited or subjected to review: The Preliminary Financial Report is based on the Group’s 2023 annual financial report, the accounts of which are in the process of being audited. No matters have arisen thus far which would result in a dispute or qualification in the current year. 12. Description of dispute or qualification if the accounts have been audited or subject to review: N/A Sign here: Print name: Matthew Driscoll Director Date: 31 August 2023 30/06/2023 Appendix 4E Page 5 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED CONSOLIDATED INCOME STATEMENT For the year ended 30 June 2023 Notes CONTINUING OPERATIONS CONSOLIDATED 2023 2022 $’000 $’000 Sale of goods Cost of sales Gross (loss) / profit 2a 3 15,535 (15,766) (231) 12,519 (11,447) 1,072 Other revenue Marketing expenses Occupancy expenses Administrative expenses Finance costs Depreciation and amortisation expenses Impairment of plant & equipment Impairment of intangible assets Other expenses LOSS FOR THE YEAR BEFORE INCOME TAX Income tax credit (expense) LOSS FOR THE YEAR AFTER INCOME TAX 2b 65 (8) (104) (5,108) (2,094) (2,482) (5,194) (231) (15,387) 43 (15,344) 341 (22) (138) (4,991) (1,069) (2,795) (316) (600) (153) (8,671) (55) (8,726) (PROFIT) ATTRIBUTABLE TO MINORITY INTEREST (1) (6) LOSS ATTRIBUTABLE TO MEMBERS OF ENERGY TECHNOLOGIES LIMITED (15,345) (8,732) 3 3 3 The accompanying notes form part of these financial statements. 30/06/2023 Appendix 4E Page 6 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME For the year ended 30 June 2023 CONSOLIDATED 2022 $’000 2023 $’000 (15,344) (8,726) Movement in foreign exchange relating to translation of controlled foreign entities (4) (8) Exchange difference on foreign exchange relating to minorities (4) (8) TOTAL OTHER COMPREHENSIVE (LOSS) / INCOME (8) (16) TOTAL COMPREHENSIVE LOSS FOR THE PERIOD (15,352) (8,742) (15,349) (8,740) (3) (2) (15,352) (8,742)  Basic loss per ordinary share (cents) (5.2) (3.6)  Diluted loss per ordinary share (cents) (5.2) (3.6) LOSS FOR THE YEAR OTHER COMPREHENSIVE INCOME FOR THE PERIOD AFTER TAX: Items that will be reclassified subsequently to profit or loss when specific conditions are met: TOTAL COMPREHENSIVE LOSS ATTRIBUTABLE TO: Members of the parent entity Minority equity interest Earnings per Share From continuing operations: The accompanying notes form part of these financial statements. 30/06/2023 Appendix 4E Page 7 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at 30 June 2023 Notes CONSOLIDATED 2023 2022 $’000 $’000 CURRENT ASSETS Cash and cash equivalents Trade and other receivables Inventories Other current assets TOTAL CURRENT ASSETS 49 2,791 5,279 252 8,371 82 3,230 5,096 406 8,814 9,805 2,782 12 206 101 12,906 21,277 10,152 3,249 5,978 162 131 19,672 28,486 2,326 10,228 859 820 14,233 2,262 6,740 824 692 10,518 1,469 1,824 25 3,318 17,551 3,726 2,154 22 2,176 12,694 15,792 45,239 5,778 496 (47,163) 4,350 (624) 3,726 41,769 5,782 680 (31,818) 16,413 (621) 15,792 NON-CURRENT ASSETS Property, plant and equipment Right of use assets Intangibles Deferred tax assets Other receivables TOTAL NON-CURRENT ASSETS TOTAL ASSETS 5 CURRENT LIABILITIES Trade and other payables Borrowings Short-term provisions Lease liabilities TOTAL CURRENT LIABILITIES 6 5 NON-CURRENT LIABILITIES Borrowings Lease liabilities Long-term provisions TOTAL NON-CURRENT LIABILITIES TOTAL LIABILITIES NET ASSETS 6 5 EQUITY Issued capital Reserves Share based payment reserve Accumulated losses Parent interest Minority interest TOTAL EQUITY 7 The accompanying notes form part of these financial statements 30/06/2023 Appendix 4E Page 8 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY As at 30 June 2023 Issued Reserves Share Based Accumulated Capital $’000 Balance at 1 July 2021 Payment Reserve $’000 $’000 Minority Losses Interest $’000 $’000 Total $’000 31,484 5,790 366 (23,086) (619) 13,935 - - - (8,732) 6 (8,726) - (8) - - (8) (16) - (8) - (8,732) (2) (8,742) 10,484 - - - - 10,484 - - 115 - - 115 (199) - 199 - - - 10,285 - 314 - - 10,599 41,769 5,782 680 (31,818) (621) 15,792 - - - (15,345) 1 (15,344) - (4) - - (4) (8) - (4) - (15,345) (3) (15,352) 3,250 - - - - 3,250 - - 36 - - 36 220 - (220) - - - 3,470 - (184) - - 3,286 45,239 5,778 496 (47,163) (624) 3,726 Comprehensive income (Loss) for the year Other comprehensive loss for the year Total comprehensive loss for the year Transactions with owners, in their capacity as owners, and other transfers Contributions of equity Unlisted share options Share-based-payment – issue costs Total transaction with owners, in their capacity as owners, and other transfers Balance at 30 June 2022 Comprehensive income (Loss) for the year Other comprehensive loss for the year Total comprehensive loss for the year Transactions with owners, in their capacity as owners, and other transfers Contributions of equity - net of capital raising costs Unlisted share options Unlisted share options – expired Total transaction with owners, in their capacity as owners, and other transfers Balance at 30 June 2023 The accompanying notes form part of these financial statements. 30/06/2023 Appendix 4E Page 9 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED CONSOLIDATED STATEMENT OF CASH FLOWS For the year ended 30 June 2023 CONSOLIDATED Notes 2023 2022 $’000 $’000 CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers Receipts from Government Grants - R & D grant Receipts from Government Grants – wages subsidies Interest Received Payments to suppliers and employees Finance costs NET CASH (OUTFLOW) FROM OPERATING ACTIVITIES 16,591 1,122 21 1 (22,783) (1,948) (6,996) 14,412 1,801 2 (21,067) (786) (5,638) Proceeds from sale of property, plant and equipment Purchases of property, plant and equipment Purchases of intangible development assets Proceeds from government grants NET CASH (OUTFLOW) FROM INVESTING ACTIVITIES (1,094) 432 (662) 21 (1,287) (2,107) 385 (2,988) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issue of shares Less outflows of raising capital Proceeds from Convertible Notes Proceeds from borrowings Repayment of borrowings Repayment of lease liabilities Repayment of loan from director Proceeds of loan from director NET CASH INFLOW FROM FINANCING ACTIVITIES 3,400 (151) 4,600 8,354 (7,268) (795) (515) 7,625 11,000 (516) 3,094 (3,899) (1,019) (575) 500 8,585 (33) 82 49 (41) 123 82 4 CASH FLOWS FROM INVESTING ACTIVITIES NET INCREASE (DECREASE) IN CASH HELD Add: Opening cash brought forward CLOSING CASH AT THE END OF THE YEAR The accompanying notes form part of these financial statements. 30/06/2023 Appendix 4E Page 10 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 1. BASIS OF PREPARATION a) Basis of preparation The preliminary final report does not include all the notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the consolidated entity as the full financial report. The preliminary final report should be read in conjunction with the half-year financial report of Energy Technologies Limited as at 31 December 2022. It is also recommended that the financial report be considered together with any public announcements made by Energy Technologies Limited and its controlled entities during the year ended 30 June 2023 in accordance with the continuous disclosure requirements arising under the Corporations Act 2001. This preliminary final report has been prepared in accordance with the requirements of the Australian Securities Exchange listing rules. This preliminary final report does not constitute the full financial report for the year ended 30 June 2023 b) Going Concern. The consolidated entity made a FY2023 loss after tax attributable to members of $15,344,996 (2022: loss of $8,731,756). During the period, notwithstanding an increase in group operating revenue of 24%, the group generated negative cash flows from operations of $6,996,441 for the year ended 30 June 2023 (2022: negative $5,638,088). This loss includes a $5,194,327 impairment of intangible development assets and previously acquired/purchased intellectual property following the board, together with the audit and risk committee, decision to fully impair these assets. In addition, included in Cost of Goods Sold is an inventory write down of $798,286 following a detailed review of inventory including slow-moving stock. At 30 June 2023 the consolidated entity had net assets of $3,726,282 (June 2022: $15,791,292) including the recognition of a deferred tax asset of $205,515. The June 2022 net assets included intangible assets of $5,977,837 of which $12,498 software assets remains in the balance sheet at 30 June 2023. The consolidated current liabilities exceeds current assets by $5,861,503, however the consolidated current liabilities include convertible notes of $4,600,000 which mature twelve months from the issue date or such later date as is agreed in writing between the parties. These conditions give rise to a material uncertainty that may cast significant doubt upon the Consolidated Entity’s ability to continue as a going concern. The Directors believe, notwithstanding the above financial performance, position and operating cash outflows, that along with the post period end funding raised (refer to note 9 on subsequent events), as well as its consistent track record of raising capital, indications are that the group can continue to operate as a going concern. The results to 30 June 2023 remain in part affected by the impact of Covid-19, and by continuing transitional issues in the relocation, expansion and then fully commissioning of the new manufacturing facility in Rosedale, Victoria, in particular the new silicone line shed which is due to be completed FY 2024. Notwithstanding the loss for the year and the consolidated entity’s deficiency in net current assets, the financial report has been prepared on the going concern basis. The Directors’ reach this conclusion on the following basis:  Revenue is growing with 24.5% increase on the previous financial year and 54.8% increase on the previous corresponding quarter ending 30 June 2023. Based on this and a current order book that is materially higher than the prior year, expectations are that revenues will continue to improve;  A capital raising of $3.4m by way of a placement of new shares during the period (refer note 7);  Further working capital has been provided by way of unsecured loan of $820,000 received post balance date (refer note 9);  A further capital raising by way of convertible notes of $2.0m post balance date (refer note 9);  The potential to raise additional capital (as and when required);  The potential to renegotiate and or extend debt facilities including but not limited to the maturing convertible notes of $4.6m in October 2023 (refer note 9);  On 5 October 2022 the directors agreed to extend the maturity date of $200,000 in loans, from CEO Alfred Chown, to April 2024 (at the date of this report Alfred Chown has been appointed as an interim director); 30/06/2023 Appendix 4E Page 11 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 b) Going Concern (continued).  The Group has completed a review of the operational structure of the business and has identified and is implementing significant operating cost savings;  The Rosedale main factory facility is close to fully operational, although yet to reach targeted achievable capacity;  During the 2023 financial year, the company has begun to exit the issues resulting from COVID that has greatly affected the company for the last two years; and  The Group has maintained ongoing support from its financiers and shareholders throughout 2023 and in the period subsequent to the date of this report.  As is prudent for a Group of this size, and consistent with the factors noted in the points in para 1(b) above, the directors continue to manage the working capital and capital expenditure requirements in the best interests of shareholders. This includes the preparation, and review of cash flow forecasts and other longer term projections which in the view of the Directors align with the strategy of the Group to achieve growth predominantly through the Rosedale facility operating at higher production capacity levels. In the event that the consolidated entity is unable to achieve the matters detailed above, it may not be able to continue as a going concern and therefore the consolidated entity may not be able to realise its assets and extinguish its liabilities in the ordinary course of operations and at the amounts stated in the financial statements. No adjustments have been made to the recoverability and classification of recorded asset values and the amount and classification of liabilities that might be necessary should the consolidated entity and company not continue as going concerns. CONSOLIDATED 2022 $’000 2023 $’000 2. REVENUES FROM CONTINUING OPERATIONS a) Revenue from continuing operations Sale of goods transferred at a point in time 15,535 12,519 15,535 12,519 - 205 1 64 65 15,600 2 134 341 12,860 b) Other revenues from continuing operations R&D Grant Finance revenue Other income Total revenue and other revenue from continuing operations 30/06/2023 Appendix 4E Page 12 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 CONSOLIDATED 2023 $’000 2022 $’000 3. EXPENSES Included in the determination of net profit / (loss) before tax from continuing operations are the following expenses. Cost of Sales: Cost of Goods Sold less: Capitalised to intangible assets via R&D activities 10,411 10,411 2,999 761 1,595 15,766 9,682 (1,823) 7,859 2,153 640 795 11,447 8.8% 0.4% 904 48 37 9 8 771 705 2,482 1,062 53 15 5 18 859 783 2,795 Borrowing expense Interest expense Lease finance charges 1,261 689 144 2,094 680 221 168 1,069 Superannuation contributions Impairment of plant & equipment Impairment of intangible assets 599 5,194 550 316 600 107 131 Factory direct expenses less recovery Freight Inventory write down and manufacturing variances Gross Profit % - pre inventory write down & capitalisation adjustments Depreciation and amortisation of non-current assets: Plant and equipment Building and leasehold improvements Furniture, fixtures and fittings Motor vehicles Computer equipment Intangibles amortisation Right of use asset depreciation Total depreciation and amortisation of non-current assets Borrowing costs expensed: Operating lease rental expense: Minimum lease payments – short term leases 30/06/2023 Appendix 4E Page 13 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 CONSOLIDATED 2022 $’000 2023 $’000 4. STATEMENT OF CASH FLOWS Reconciliation of the net loss after tax to the net cash flows from operating activities Loss after income tax (15,344) (8,726) 1,006 771 705 (8) 5,194 (4) 1,153 859 783 (16) 79 316 600 - 2 36 3 145 10 115 2 168 439 (183) 64 (44) 154 30 38 (6,996) 1,990 (1,127) (1,871) 54 140 149 (316) (5,638) Add/(less) non-cash items Depreciation of non-current assets Amortisation of intangible assets Depreciation of right of use assets Unrealised foreign exchange movements Amortisation of other loan interest charges Impairment of plant & equipment Impairment of intangible assets Hire Purchase loan write back Non-operating cash flow cash items Net loss on disposal of property, plant and equipment Share-based payment Hire purchase interest charges Lease liability interest charges Changes in assets and liabilities (Increase) / decrease in trade and other receivables (Increase) / decrease in inventories (Decrease) / Increase in payables and accruals (Increase) / decrease in deferred tax asset (Increase) / decrease in other-current assets (Increase) / decrease in other-non-current receivables Net movement in provisions for employee entitlements Net cash (outflow) from operating activities 30/06/2023 Appendix 4E Page 14 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 CONSOLIDATED 2022 $’000 2023 $’000 5. NON CURRENT ASSETS – RIGHT OF USE ASSETS AND LEASE LIABILITIES Right of Use Assets Office and Factory Premises 4,059 4,351 Less: Accumulated depreciation (1,962) (1,839) 2,097 2,512 Property Plant and Equipment 964 964 Less: Accumulated depreciation (279) (227) 685 737 2,782 3,249 The consolidated entity has leased office premises under operating leases with various expiry dates, some with options to extend. The leases have various escalation clauses. On renewal, the terms of the leases are renegotiated. Reconciliations Reconciliations of the written down values at the beginning and end of the current financial year are set out below: Office Plant and Total premises, equipment factory and 2023 warehouse $’000 Balance at the beginning of the financial year $’000 $’000 2,512 737 3,249 Additions 238 - 238 Depreciation expense (653) (52) (705) Balance at the end of the financial year 2,097 685 2,782 30/06/2023 Appendix 4E Page 15 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 CONSOLIDATED 2023 2022 $’000 $’000 5. NON CURRENT ASSETS – RIGHT OF USE ASSETS AND LEASE LIABILITIES (Cont’d) Lease Liabilities CURRENT Lease liabilities Hire purchase agreements* NON CURRENT Lease liabilities Hire purchase agreements* 699 121 820 616 76 692 1,716 108 1,824 2,644 2,135 19 2,154 2,846 *Lease liabilities on Hire purchase agreements are secured by the underlying financed assets 6. BORROWINGS CURRENT Secured Borrowings Debtor Finance Facility Trade Finance Facility Equipment finance loan Convertible Notes Executive and director loan (d) (e) (f) (g) (b) 1,626 3,510 302 4,600 190 10,228 766 4,751 204 5,721 Unsecured Borrowings Director and executive loan Other loan (a) (c) 10,228 515 504 1,019 6,740 (f) 1,469 1,469 11,697 6,740 NON-CURRENT Secured Borrowings Equipment finance loan Total Non-Current Borrowings Total Borrowings 30/06/2023 Appendix 4E Page 16 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 6. BORROWINGS (Cont’d) a) Unsecured loan from director for $500,000 was repaid during the period. The repayment included accrued interest of $31,506, of which $15,480 was accrued at 30 June 2022. b) Secured loan from director of subsidiary Bambach Wires and Cables Pty Ltd for $190,000. An amount of $10,000 was repaid during the period. Interest rate 10.00% per annum. Maturity Date is 11th April 2024. c) Unsecured loan from shareholder for $500,000 was repaid during the period. The repayment included accrued interest of $17,945, of which $3,013 was accrued at 30 June 2022. d) Secured Debtor Finance Facility. Interest is charged on the facility at rate of the base rate, currently 10.75% and margin rate is 1.85%. No maturity date. e) Secured Trade Finance Facility. Term Charges 5.76% per 120 days. No maturity date. f) Secured equipment finance loan. Interest rate 13.29% per annum. Maturity date August 2027 g) Convertible Notes issued of $4,600,000 to noteholders. These notes have a face value of $1.00, attract a coupon rate of 10% and are convertible at a share price of $0.08 per note. These notes mature twelve months from the issue date or such later date as is agreed in writing between the parties (refer note 9). 7. CONTRIBUTED EQUITY CONSOLIDATED $ 2022 $ 45,239,039 41,768,876 2023 Issued capital 337,659,830 (272,275,214 – 2022) ordinary shares fully paid 2022 Number 172,275,214 $ $ At the beginning of reporting period 2023 Number 272,275,214 41,768,876 31,483,891 14/10/2021 issued at $0.11 08/03/2023 issued at $0.052 Capital Transaction Costs Unlisted share options – expired At reporting date 65,384,616 337,659,830 100,000,000 272,275,214 3,400,000 (150,080) 220,243 45,239,039 11,000,000 (715,015) 41,768,876 Ordinary Shares On 8 March 2023 EGY issued 65,384,616 shares through a share placement. The issue price was $0.052 per share. Shares issued under the non-renounceable rights issue 14 October 2021 had 25,000,058 attaching listed options expiring 31 October 2024. The offer price for these options was $NIL and the options have an exercise price of $0.20. 30/06/2023 Appendix 4E Page 17 of 18 Appendix 4E Preliminary final report ENERGY TECHNOLOGIES LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2023 8. SEGMENT REPORTING Primary reporting - Business segments The Group’s primary business segment is Specialist and Industrial Cables. Therefore, the segment details are fully reflected in the results and balances reported in the Statement of Profit and Loss and Statement of Financial Position. Management currently identifies the Group as one operating segment being Specialist and Industrial Cables. This segment is monitored by the Group’s chief operating decision makers and strategic decisions are made on the basis of this segment result only. 9. SUBSEQUENT EVENTS The following matters have occurred post reporting date:  Convertibles notes of $2,000,000 are committed to be drawn down as needed. Of this $0.5m has been drawn down post the reporting date. These notes have a face value of $1.00, attract a 10% coupon rate and are convertible at $0.08;  Convertibles notes of $1,000,000 which matured on 25 August 2023 have been extended until 27 November 2023. The terms of the notes remain unchanged;  Unsecured loans issued of $820,000 post the reporting date. These loans incur 10% per annum interest. Other than this there has not arisen since the end of the financial period any other matter of circumstance which, in the opinion of the directors of the Company, significantly affects the operations of the Company, the results of those operations, or the state of affairs of the Company in subsequent