Q4 2026 Mach7 Technologies Ltd Bussiness Update Call

August 27, 2026

Francoise Dixon: I am Head of Investor Relations for Mach7. Today, our CEO, Teri Thomas, and Interim CFO, Shawni Hadfield, will provide an overview of our FY26 result. We will then open it up for questions. If you have a question, please submit it via the Q&A text box at the bottom of the screen. I will now hand over to Teri.

Françoise Dixon: I am Head of Investor Relations for Mach7. Today, our CEO, Teri Thomas, and Interim CFO, Shawni Hadfield, will provide an overview of our FY26 result. We will then open it up for questions. If you have a question, please submit it via the Q&A text box at the bottom of the screen. I will now hand over to Teri.

Speaker #2: And I'm here from Investor Relations for Mach7. Today, our CEO, Terry Thomas, and Interim CFO, Shawnee Hadfield, will provide an overview of our FY26 results.

Speaker #2: We will then open it up for questions. If you have a question, please submit it via the Q&A text box at the bottom of the screen.

Speaker #2: I'll now hand over to Terry.

Speaker #3: Thank you, François, and hello, everybody. Now, before I start, a few comments. A year ago, at my first full-year presentation as CEO of Mach7, I was asked a simple question: why had growth slowed?

Teri Thomas: Thank you, Francoise, and hello, everybody. Before I start, a few comments. A year ago, at my first full-year presentation as CEO of Mach7, I was asked a simple question: Why had growth slowed? My answer was a bit uncomfortable. I shared that I thought somewhere along the way, Mach7 had lost some of its connection with its customers. It was a hard thing to acknowledge, but I also believe if you do not diagnose the problem, you do not have a good chance of fixing it. This past year has been about fixing it, fixing many things. Front and center really has been reconnecting deeply with our customers. I am speaking to you today from the United States. I have spent a lot of time on the ground with our US customers this year.

Teri Thomas: Thank you, Françoise, and hello, everybody. Before I start, a few comments. A year ago, at my first full-year presentation as CEO of Mach7, I was asked a simple question: Why had growth slowed? My answer was a bit uncomfortable. I shared that I thought somewhere along the way, Mach7 had lost some of its connection with its customers. It was a hard thing to acknowledge, but I also believe if you do not diagnose the problem, you do not have a good chance of fixing it. This past year has been about fixing it, fixing many things. Front and center really has been reconnecting deeply with our customers. I am speaking to you today from the United States. I have spent a lot of time on the ground with our US customers this year.

Speaker #3: And my answer was a bit uncomfortable. I shared that I thought somewhere along the way, Mach7 had lost some of its connection with its customers.

Speaker #3: And it was a hard thing to acknowledge, but I also believe that if you don't diagnose the problem, you don't have a good chance of fixing it.

Speaker #3: So this past year has been about fixing it, fixing many things. And front and center really has been reconnecting deeply with our customers. I'm speaking to you today from the United States.

Speaker #3: I've spent a lot of time on the ground with our U.S. customers this year. One of my goals was personally visiting at least 10 customers over the course of the year, and I've surpassed that goal, including four in the last month with another three coming up in the next couple of weeks.

Teri Thomas: One of my goals was personally visiting at least 10 customers over the course of the year, and I have surpassed that goal, including four in the last month, with another three coming up in the next couple of weeks. I have learned a lot in those meetings, and that has shaped our strategy. The strategic phrase on this slide, from archive to architecture, comes from those meetings. I also like architecture, and I like building, and that is the other big shift underway at Mach7. We are building. We are building new modules, we are expanding, and we are building an architecture that helps healthcare organizations move and access medical images, which becomes increasingly valuable as AI creates more demand for well-organized imaging data. Today I will show you what changed, what we are beginning to see as a result, and what we can now build on.

Speaker #3: I've learned a lot in those meetings, and that has shaped our strategy. So, the strategic phrase on this slide—'from archive to architecture'—comes from those meetings.

Speaker #3: I also like architecture, and I like building. And that's the other big shift underway at Mach7: we are building. We're building new modules; we're expanding.

Speaker #3: And we're building an architecture that helps healthcare organizations move and access medical images, which becomes increasingly valuable as AI creates more demand for well-organized imaging data.

Speaker #3: So today, I'll show you what changed, what we're beginning to see as a result, and what we can now build on. And before I talk about the future, though, I do have to give you the standard disclaimer.

Teri Thomas: Before I talk about the future, though, I do have to give you the standard disclaimer. I will give you a second to read all that fine print. I am sure you got that. Next slide. Before Shawni and I address the financial results, here is what we actually do. Ultimately, Mach7 is about patients. Healthcare is a mission and a responsibility, including the technology. I describe Mach7 as a company that simply completes the patient's picture with the patient's pictures. If you consider how much of medicine is visual, not just X-rays or CT scans, but also ultrasounds, mammograms, the pictures the eye doctor takes of your eye, the snap you take of a festering cut trying to determine if it is getting better or if it is getting worse, surgical videos.

Speaker #3: I'll give you a second to read all that fine print. I'm sure you got that. Next slide. So, before Shawnee and I address the financial results, here's what we actually do.

Speaker #3: Ultimately, Mach7 is about patience. Healthcare is a mission and a responsibility, including the technology. I describe Mach7 as a company that simply completes the patient's picture with the patient's pictures.

Speaker #3: If you consider how much of medicine is visual—not just X-rays or CT scans, but also ultrasounds, mammograms, the pictures the eye doctor takes of your eye, or the snap you take of a festering cut to determine if it's getting better or if it's getting worse.

Speaker #3: Surgical videos. Right now, most of these images still live in different systems—different departments, different formats. Some in the cloud, some in a closet on-prem, some even locked into a device.

Teri Thomas: Right now, most of these images still live in different systems, different departments, different formats, some in the cloud, some in a closet on-prem, some even locked into a device, and our job is to extract and organize them. Our vendor-neutral archive gives healthcare organizations one place to manage the imaging information while keeping control of its own data. eUnity serves those images right back up through a zero-footprint diagnostic viewer, including inside the clinical record where the doctor or the nurse is already working. When we say from pixel to point of care, that is what we mean. If it is in pixel or image form, it is fair game for us. We get the right image and the combination of images organized properly to the person who needs it when they are caring for a patient.

Speaker #3: And our job is to extract and organize them. Our vendor-neutral archive gives healthcare organizations one place to manage the imaging information while keeping control of their own data.

Speaker #3: And e-Unity serves those images right back up through a zero-footprint diagnostic viewer, including inside the clinical record where the doctor or the nurse is already working.

Speaker #3: So when we say, "From pixel to point of care," that's what we mean. If it's in pixel or image form, it's fair game for us.

Speaker #3: So we get the right image and the combination of images organized properly to the person who needs it when they're caring for a patient.

Speaker #3: Now, a lot of us at Mach7 came into healthcare technology because we care about healthcare. And I still think a bit like a nurse.

Teri Thomas: A lot of us at Mach7 came into healthcare technology because we care about healthcare, and I still think a bit like a nurse. However financial and technical this presentation gets, there is a patient at the end of everything that we do. Our name is Mach7. That is seven times the speed of sound, roughly 8,600 kilometers an hour. It is a reasonably ambitious name for us to live up to, and it is also an advantage as a smaller company. Not having more people, not having more money, and certainly it is not having more meetings. Our advantage is velocity of learning. The organizations that win over the next few years will learn quickly, change quickly, and turn what they learn into something useful. AI is dramatically accelerating us. We are embracing a startup pace but with an established customer base.

Teri Thomas: A lot of us at Mach7 came into healthcare technology because we care about healthcare, and I still think a bit like a nurse. However financial and technical this presentation gets, there is a patient at the end of everything that we do. Our name is Mach7. That is seven times the speed of sound, roughly 8,600km/h. It is a reasonably ambitious name for us to live up to, and it is also an advantage as a smaller company. Not having more people, not having more money, and certainly it is not having more meetings. Our advantage is velocity of learning. The organizations that win over the next few years will learn quickly, change quickly, and turn what they learn into something useful. AI is dramatically accelerating us. We are embracing a startup pace but with an established customer base.

Speaker #3: However, financial and technical—this presentation gets there is a patient at the end of everything that we do. Our name is Mach7. That is seven times the speed of sound, roughly 8,600 kilometers an hour.

Speaker #3: It's a reasonably ambitious name for us to live up to, and it's also an advantage as a smaller company. Not having more people, not having more money, and certainly it isn't having more meetings—our advantage is velocity of learning.

Speaker #3: The organizations that win over the next few years will learn quickly, change quickly, and turn what they learn into something useful. AI is dramatically accelerating us.

Speaker #3: We are embracing a startup pace, but with an established customer base. We can now get from an idea to a working prototype in days—when historically, we might have spent months on specifications alone.

Teri Thomas: We can now get from an idea to a working prototype in days when historically we might have spent months on specifications alone. The important part is the sentence at the bottom of this slide. Speed only counts with direction. You can drive very quickly in completely the wrong direction, and our direction comes from our customers. We are bringing customers into development from the start. Our leaders and our developers watch how they work, ask what makes their lives difficult, and then we are shortening the gap between learning something and doing something about it. That combination, listening to customers, learning quickly, and moving fast, is now how we operate at Mach7. I have organized this update into three parts. First, action. Fiscal year 2026 was a reset year. What did we actually change, and what did that produce?

Speaker #3: And the important part is the sentence at the bottom of this slide: Speed only counts with direction. You can drive very quickly in completely the wrong direction.

Speaker #3: And our direction comes from our customers. We are bringing customers into development from the start. Our leaders and our developers watch how they work, ask what makes their lives difficult, and then we're shortening the gap between learning something and doing something about it.

Speaker #3: That combination—listening to customers, learning quickly, and moving fast—is now how we operate at Mach7. I've organized this update into three parts. First, action.

Speaker #3: Fiscal Year '26 was a reset year. What did we actually change, and what did that produce? Then, Shawnee, I'll take you through the financial results.

Teri Thomas: Then Shawni will take you through the financial results. Then we will move second to the engine. Where does our growth come from now? Then finally, the horizon. What are we building toward? What should you watch? Today's presentation is not where I am spending an hour telling you everything is fantastic. It is not yet. We still have a lot of work to do. Mach7 today is materially better positioned than it was a year ago, and I would love to show you why. I have called fiscal year 2026 a reset year pretty consistently, and resets are not glamorous. We have changed a lot. How we work with customers, leadership, our cost structure, even where we sit. Some of these changes had a cost, but I think not changing would have cost us more. There were four big areas of change. The first, and the one closest to my heart, is customers.

Speaker #3: And then we'll move, second, to the engine—where does our growth come from now? And then finally, the horizon—what are we building toward?

Speaker #3: What should you watch? Today's presentation is not where I'm spending an hour telling you everything's fantastic. It isn't yet. We still have a lot of work to do.

Speaker #3: But Mach7 today is materially better positioned than it was a year ago, and I'd love to show you why. I've called fiscal year '26 a reset year pretty consistently.

Speaker #3: And resets are not glamorous. We’ve changed a lot—how we work with customers, leadership, our cost structure, even where we sit. Some of these changes had a cost, but I think not changing would have cost us more.

Speaker #3: There were four big areas of change. The first, and the one closest to my heart, is customers. My goal is that Mach7 becomes our customers' best vendor experience.

Teri Thomas: My goal is that Mach7 becomes our customers' best vendor experience. Not their best imaging vendor, their best vendor. I actually end my customer meetings with the question, "What is the best vendor experience you have ever had? Tell me why." I want us as a company learning from whatever excellence looks like to them. A year ago, Mach7 was rarely the answer to that question. Now, increasingly we are, but still not quite often enough. More. We have created designated teams who get to know and care about our customers. We have put executive sponsorship around important accounts. We have changed the roles, the technology, and our accountability models. We also rebuilt a substantial part of our leadership team. We pulled what had been overlapping product strategies into one customer-driven roadmap and one technical organization who leverages AI to execute at Mach speed.

Speaker #3: Not their best imaging vendor—their best vendor. I actually end my customer meetings with the question, "What's the best vendor experience you've ever had?"

Speaker #3: And tell me why. I want us as a company learning from whatever excellence looks like to them. A year ago, Mach7 was rarely the answer to that question.

Speaker #3: But now, increasingly, we are. But still not quite often enough—but more. We've created designated teams who get to know and care about our customers.

Speaker #3: We've put executive sponsorship around important accounts. We've changed the roles, the technology, and our accountability models. We also rebuilt a substantial part of our leadership team. We pulled what had been overlapping product strategies into one customer-driven roadmap.

Speaker #3: And one technical organization will leverage AI to execute at Mach speed. And fourth, we reset our cost base and became much more deliberate about how and where we spend our money.

Teri Thomas: Fourth, we reset our cost base and became much more deliberate about how and where we spend our money. None of these things by itself is growth, but they are the conditions that allow growth to happen without the wheels falling off somewhere else. I mentioned leadership. Transformation requires the right team. The leadership team today is substantially different from a year ago with more of the skills, energy, and experience that we need for this next phase. New members to the team include Brian, who has lit a real AI fire within engineering.

Speaker #3: And none of these things, by itself, is growth. But they are the conditions that allow growth to happen without the wheels falling off somewhere else.

Speaker #3: Now, I mentioned leadership. Transformation requires the right team. The leadership team today is substantially different from a year ago, with more of the skills, energy, and experience that we need for this next phase.

Speaker #3: New members to the team include Brian, who's led a real AI fire within Engineering. He's combined some enthusiasm with a much faster execution model using small focus teams and actively bringing customers into the process.

Teri Thomas: He has combined some enthusiasm with a much faster execution model using small focused teams and actively bringing customers into the process. Shawni, she brings financial discipline, but also she knows our customers, our contracts, our renewals from having led commercial excellence and customer success before moving into her interim CFO role, and you will hear from her in a minute. Todd brings experienced commercial leadership across sales, customer success, and partnerships. Mike Moore has brought a completely different energy to marketing and demand generation, and he is also one of the people delivering most on practical use of AI across our business. Mike Peterson is a high-energy executor, getting from ideas to working software quickly. Trinity, she brings deep imaging experience and growth, but also a customer-first mindset together with the attention to detail and the questioning that keeps our enthusiasm from getting us into trouble.

Speaker #3: And Shawnee, she brings financial discipline, but also she knows our customers, our contracts, our renewals from having led Commercial Excellence and Customer Success before moving into her interim CFO role.

Speaker #3: And you'll hear from her in a minute. Todd brings experienced commercial leadership across sales, customer success, and partnerships. And Mike Moore has brought a completely different energy to marketing and demand generation.

Speaker #3: And he's also one of the people delivering most on practical use of AI across our business. Mike Peterson is a high-energy executor, getting from ideas to working software quickly.

Speaker #3: And Trinity, she brings deep imaging experience and growth, but also a customer-first mindset, together with the attention to detail and the questioning that keeps our enthusiasm from getting us into trouble.

Speaker #3: And then, of course, speaking of keeping out of trouble, bringing in-house legal has strengthened our discipline around contracts and operating as a public company.

Teri Thomas: And then, of course, speaking of keeping out of trouble, bringing in house legal has strengthened our discipline around contracts and operating as a public company. This is a team of builders. They care about customers, they have energy, and they are good people. That is the culture I want leadership modeling all the way across Mach7. Customers are at the top of our culture code, and we focus heavily on them. KLAS is one of the most respected independent measures of customer experience in healthcare technology. A year ago, someone asked me what I thought of our KLAS scores, and I am happy to say, improved. eUnity is 86.6 above the market average with a very strong buy again sentiment, and our VNA score has moved from 68.7 to 73.6. I am pleased with the movement, but our expectation is to keep improving.

Speaker #3: This is a team of builders. They care about customers. They have energy, and they're good people. That is the culture I want leadership modeling all the way across Mach7.

Speaker #3: Now, customers are at the top of our culture code, and we focus heavily on them. KLAS is one of the most respected independent measures of customer experience in healthcare technology.

Speaker #3: A year ago, someone asked me what I thought of our class scores. And I'm happy to say: improved. E-Unity is 86.6 above the market average.

Speaker #3: With a very strong buy-again sentiment, and our V&A score has moved from 68.7 to 73.6. I am pleased with the movement, but our expectation is to keep improving.

Speaker #3: We are not there yet. Class has shared with me that it typically takes 9 to 12 months for operational changes to show up in customer scores.

Teri Thomas: We are not there yet. KLAS has shared with me that it typically takes 9 to 12 months for operational changes to show up in customer scores, as they only call specific individuals once per year. We are only now beginning to see the effect of some of what we have changed last year. I do love the quotes, and I read every single comment that comes in through KLAS, as well as our own customer sentiment tracking. They tell me how we are doing in our goal to be the customer's very best vendor experience. We have started winning new customers again. UnityPoint, our first Flamingo module customer, went live in under half the time of a typical implementation, and AMRADNET went from initial contact to deployment in under 6 months. That is fast. That is very fast.

Teri Thomas: We are not there yet. KLAS has shared with me that it typically takes 9-12 months for operational changes to show up in customer scores, as they only call specific individuals once per year. We are only now beginning to see the effect of some of what we have changed last year. I do love the quotes, and I read every single comment that comes in through KLAS, as well as our own customer sentiment tracking. They tell me how we are doing in our goal to be the customer's very best vendor experience. We have started winning new customers again. UnityPoint, our first Flamingo module customer, went live in under half the time of a typical implementation, and AMRADNET went from initial contact to deployment in under six months. That is fast. That is very fast.

Speaker #3: As they only call specific individuals once per year, we're only now beginning to see the effect of some of what we've changed last year.

Speaker #3: But I do love the quotes. And I read every single comment that comes in through class, as well as our own customer sentiment tracking.

Speaker #3: They tell me how we're doing and our goal to be the customer's very best vendor experience. We've started winning new customers again. UnityPoint, our first Flamingo module customer, went live in under half the time of a typical implementation.

Speaker #3: And AmRadnet went from initial contact to deployment in under six months. That is fast. That's very fast. It wasn't our largest contract, but I talked about it in our last quarterly because it showed us living up to our name, Mach7: speed, less bureaucracy, more urgency.

Teri Thomas: It was not our largest contract, but I talked about it in our last quarterly because it showed us living to our name, Mach7. Speed, less bureaucracy, more urgency. From an investor standpoint, implementation speed is important. A customer getting value sooner also means contracted revenue becomes recognized revenue sooner. It is a win-win. Another change is our revenue model. Historically, we have had a lot of large capital license transactions. While everyone loves a big capital sale, when it lands, it is a bit of a sugar hit, and lumpiness is what we see in that kind of revenue, so we are increasingly moving customers towards subscription. That can make a transition year look worse. You replace a big piece of upfront revenue with smaller recurring payments, but you end up with a much better, healthier business, more predictable, one that grows as customers expand.

Speaker #3: And from an investor standpoint, implementation speed is important. A customer getting value sooner also means contracted revenue becomes recognized revenue sooner. It's a win-win.

Speaker #3: Another change is our revenue model. Historically, we've had a lot of large capital license transactions. While everyone loves a big capital sale, when it lands, it's a bit of a sugar hit.

Speaker #3: And lumpiness is what we see in that kind of revenue. So, we're increasingly moving customers towards subscription. Now, that can make a transition year look worse.

Speaker #3: You replace a big piece of upfront revenue with smaller recurring payments, but you end up with a much better, healthier business—more predictable, and one that grows as customers expand.

Speaker #3: And we executed an important conversion like that with a large academic health system this year, and have started with others. Predictable revenue, durable customer relationships, and evergreen contracts are a much healthier foundation than waking up on the 1st of July every year needing to rebuild our revenue base.

Teri Thomas: We executed an important conversion like that with a large academic health system this year and have started with others. Predictable revenue, durable customer relationships, and evergreen contracts are a much healthier foundation than waking up on 1 July every year needing to rebuild our revenue base. With that, I am going to hand it over to Shawni to take you through the actual numbers underneath our reset. Shawni?

Speaker #3: So with that, I'm going to hand it over to Shawnee to take you through the actual numbers underneath our reset. Shawnee?

Speaker #2: Thank you, Terri. Good morning, everyone. Since stepping into the CFO role in May, this is my first full-year result with Mach7. I want to take you through what the 12 months to 30 June 2026 delivered.

Shawni Hadfield: Thank you, Terri. Good morning, everyone. Since stepping into the CFO role in May, this is my first full year result of Mach7, and I want to take you through what the 12 months to 30 June 2026 delivered. In short, FY26 closed with a predominantly recurring revenue base, a substantially lower cost base, now materially covered by quality recurring revenue, and a balance sheet that funds where we go next. Both revenue and operating costs were in line with 2026 guidance. That guidance was revised during the year to reflect geopolitical conditions in our Asia Pacific region, impacting capital deals together with stronger cost discipline. FY26 was a year of two halves, a harder H1 and a stronger H2, despite adverse currency movements. You will see that pattern repeat through the numbers I will show you on the following slides.

Shawni Hadfield: Thank you, Teri. Good morning, everyone. Since stepping into the CFO role in May, this is my first full year result of Mach7, and I want to take you through what the 12 months to 30 June 2026 delivered. In short, FY26 closed with a predominantly recurring revenue base, a substantially lower cost base, now materially covered by quality recurring revenue, and a balance sheet that funds where we go next. Both revenue and operating costs were in line with 2026 guidance. That guidance was revised during the year to reflect geopolitical conditions in our Asia Pacific region, impacting capital deals together with stronger cost discipline. FY26 was a year of two halves, a harder H1 and a stronger H2, despite adverse currency movements. You will see that pattern repeat through the numbers I will show you on the following slides.

Speaker #2: In short, FY26 closed with a predominantly recurring revenue base, a substantially lower cost base—now materially covered by quality recurring revenue—and a balance sheet that funds where we go next.

Speaker #2: Both revenue and operating costs were in line with FY26 guidance. That guidance was revised during the year to reflect geopolitical conditions in our Asia-Pacific region impacting capital deals, together with stronger cost discipline.

Speaker #2: FY26 was a year of two halves: a harder first half and a stronger second half, despite adverse currency movements. You'll see that pattern repeat through the numbers.

Speaker #2: I'll show you on the following slides. Let me put the full scorecard in front of you, and then I'll come back and unpack revenue, earnings, cash flow, and the two halves of the year in more detail on the next three slides.

Shawni Hadfield: Let me put the full scorecard in front of you, then I will come back and unpack revenue, earnings, cash flow, and the two halves of the year in more detail on the next three slides. Total revenue for the year was AUD 27.9 million, of which AUD 23.4 million was recurring revenue. Our CARR, contracted annual recurring revenue, was AUD 25.5 million at 30 June 2026, and our ARR run rate was AUD 23.5 million. Operating expenses were AUD 26.7 million. Adjusted EBITDA was a loss of AUD 0.9 million. Net profit after tax, but before amortization of acquired intangibles, was a loss of AUD 2.9 million, and net profit after tax was a loss of AUD 8.9 million. We closed the year with AUD 19.9 million in cash and no debt.

Speaker #2: Total revenue for the year was $27.9 million, of which $23.4 million was recurring revenue. Our contracted annual recurring revenue, or CAR, was $25.5 million as at 30 June 2026.

Speaker #2: And our ARR run rate was $23.5 million. Operating expenses were $26.7 million. Adjusted EBITDA was a loss of $0.9 million. Net profit after tax, but before amortization of acquired intangibles, was a loss of $2.9 million.

Speaker #2: And net profit after tax was a loss of $8.9 million. We closed the year with $19.9 million in cash and no debt. Total revenue ended the year 17% down on last year's revenue, largely driven by lower capital license revenue and softer professional services.

Shawni Hadfield: Total revenue ended the year 17% down on last year's revenue, largely driven by lower capital license revenue and softer professional services. Capital license revenue is our most volatile revenue line and was down 17% in FY26 to AUD 1.5 million. That is revenue recognized at a single point in time, tied to the timing of scheduled capital term renewals and expansions. There were fewer renewals this year, and expansion volume was lower, partly because of timing, and in part because we are actively converting capital expansion into subscriptions where we can, consistent with what Terri described earlier. Recurring revenue was down 8% on prior year. Growth from new and existing customers, including the UnityPoint go live in May, was offset by adverse currency movements and non-renewals such as Trinity Health and the Veterans Health Administration, the VHA.

Shawni Hadfield: Total revenue ended the year 17% down on last year's revenue, largely driven by lower capital license revenue and softer professional services. Capital license revenue is our most volatile revenue line and was down 17% in FY26 to AUD 1.5 million. That is revenue recognized at a single point in time, tied to the timing of scheduled capital term renewals and expansions. There were fewer renewals this year, and expansion volume was lower, partly because of timing, and in part because we are actively converting capital expansion into subscriptions where we can, consistent with what Teri described earlier. Recurring revenue was down 8% on prior year. Growth from new and existing customers, including the UnityPoint go live in May, was offset by adverse currency movements and non-renewals such as Trinity Health and the Veterans Health Administration, the VHA.

Speaker #2: Capital license revenue is our most volatile revenue line and was down 70% in FY26 to $1.5 million. That revenue is recognized at a single point in time, tied to the timing of scheduled capital term renewals and expansions.

Speaker #2: There were fewer renewals this year, and expansion volume was lower—partly because of timing, and in part because we're actively converting capital expansion into subscriptions where we can, consistent with what Terri described earlier.

Speaker #2: Recurring revenue was down 8% on the prior year. Growth from new and existing customers, including the UnityPoint go-live in May, was offset by adverse currency movements and non-renewals such as Trinity Health and the Veterans Health Administration, the VHA.

Speaker #2: Within the year, revenue improved in the second half, reflecting growth in subscription and professional services revenue as we embedded and executed on strategic priorities.

Shawni Hadfield: Within the year, revenue improved in the H2, reflecting growth in subscription and professional services revenue as we embedded and executed on strategic priorities. CARR was down 9% on a constant currency basis. The main driver here was the VHA contract. A significant part of that contract sat in backlog, not in recognized revenue yet, so its discontinuation reduced CARR disproportionately without reducing recurring revenue to the same degree. Our ARR run rate, the annualized value of our subscription and support and maintenance book at 30 June, was up 7.6% year-on-year on a constant currency basis, with growth from new and existing customers more than offsetting non-renewals. One clarification on comparisons. Recurring revenue and total revenue are shown on an as reported basis, so they include the impact of adverse currency movements.

Speaker #2: Car was down 9% on a constant currency basis. The main driver here was the VHA contract. A significant part of that contract sat in backlog, not in recognized revenue yet.

Speaker #2: So its discontinuation reduced CAR disproportionately, without reducing recurring revenue to the same degree. Our ARR run rate—the annualized value of our subscription, support, and maintenance book at 30 June—was up 7.6% year on year on a constant currency basis, with growth from new and existing customers more than offsetting non-renewals.

Speaker #2: One clarification on comparisons: recurring revenue and total revenue are shown on an as-reported basis, so they include the impact of adverse currency movements. When we compare CAR and ARR run rate to the prior year, these are done on a constant currency basis—specifically to strip that out.

Shawni Hadfield: When we compare CARR and ARR run rate to prior year, these are done on a constant currency basis, specifically to strip that out and evidence the growth in our underlying customer base. I will talk more to currency effects later on. Now to what we did about it. Gross margin held at 93%. Cost of sales was broadly flat for FY2026, and the platform continues to scale the way we would expect. Operating expenses decreased AUD 5.1 million or 16% in FY2026 on a restructure of the cost base. We reshaped the workforce, exited long-term leases that no longer match the size of the business, moved customer support and services into a new Flight Crew model, and held the line on discretionary spend elsewhere. This reset establishes a leaner and more efficient cost base from which the group can scale, supporting improved operating leverage as revenue grows in future periods.

Speaker #2: And evidence the growth in our underlying customer base. I'll talk more about currency effects later on. Now, to what we did about it. Gross margin held at 93%.

Speaker #2: Cost of sales was broadly flat for FY26, and so the platform continues to scale the way we'd expect. Operating expenses decreased by $5.1 million, or 16%, in FY26 on a restructure of the cost base.

Speaker #2: We reshaped the workforce, exited long-term leases that no longer matched the size of the business, moved customer support and services into a new flight crew model, and held the line on discretionary spend elsewhere.

Speaker #2: This reset establishes a leaner and more efficient cost base from which the group can scale, supporting improved operating leverage as revenue grows in future periods.

Speaker #2: Adjusted EBITDA loss widened by $0.6 million in FY26. This relatively modest increase in loss, against a backdrop of significantly lower revenue for the year, reflects the extent to which the cost base helped to reduce the impact of lower revenue.

Shawni Hadfield: Adjusted EBITDA loss widened by AUD 0.6 million in FY2026. This relatively modest increase in loss, against the backdrop of significantly lower revenue for the year, reflects the extent to which the cost base helped to reduce the impact of lower revenue. That wider net loss after tax reflects two items that sit outside our ongoing operating performance. Restructuring costs of AUD 1.9 million and a deferred tax asset write-off of approximately AUD 1 million relating to our Canadian entity. These are one-off or non-cash items, and none of them reflect a change in how the underlying business is trading. Cash receipts was AUD 28 million for the year, down on prior year, in line with the lower revenue base. Net operating cash flow was negative for the full year, reflecting a difficult H1 of lost revenue, followed by a positive H2 as we rebuilt momentum.

Speaker #2: That wider net loss after tax reflects two items that sit outside our ongoing operating performance: restructuring costs of $1.9 million, and a deferred tax asset write-off of approximately $1 million relating to our Canadian entity. These are one-off or non-cash items, and none of them reflect a change in how the underlying business is trading.

Speaker #2: Cash receipts were $28 million for the year, down on the prior year in line with the lower revenue base. Net operating cash flow was negative for the full year, reflecting a difficult first half of lost revenue, followed by a positive second half as we rebuilt momentum.

Speaker #2: We delivered positive operating cash flow for three of the four quarters this year. This slide brings the second half reset into one picture across sales, revenue, and cost.

Shawni Hadfield: We delivered positive operating cash flow for three of the four quarters this year. This slide brings the H2 reset into one picture across sales, revenue, and cost. We sold more in the H2. Sales orders on a total contract value basis were up 80% on the H1, and that growth was high quality. 86% of FY2026 sales orders were ARR type sales, consistent with building the recurring revenue base. 40% of the year's order volume was secured in the Q4 alone. We ended the year with the pipeline still building rather than winding down. 21% of FY2026 sales orders came from new customers, including two new logos that Teri mentioned earlier, with the remainder coming from growth in our existing install base as our new Flight Crew and Advocates for Customer Experience sales model took hold.

Speaker #2: We sold more in the second half. Sales orders, on a total contract value basis, were up 80% on the first half, and that growth was high quality.

Speaker #2: Eighty-six percent of FY26 sales orders were ARR-type sales, consistent with building the recurring revenue base. Forty percent of the year's order volume was secured in the fourth quarter alone, so we ended the year with the pipeline still building rather than winding down.

Speaker #2: Twenty-one percent of FY26 sales orders came from new customers, including two new logos that Terri mentioned earlier, with the remainder coming from growth in our existing install base as our new Flight Crew and Advocates for Customer Success, or ACEs, sales model took hold.

Speaker #2: That sales order growth began to show through in revenue in the second half. On a constant currency basis, which strips out the Australian dollar's movement against the US dollar, second-half revenue was $15.6 million, up 15% on first-half $13.5 million.

Shawni Hadfield: That sales order growth began to show through in revenue in the H2. On a constant currency basis, which strips out the Australian dollar's movement against the US dollar, H2 revenue was AUD 15.6 million, up 15% on H1 AUD 13.5 million. I highlight the constant currency view here because the currency movement was working against us within the half as well as across the full year. The AUD/USD rate appreciated about 4% through the H2 from 67 US cents in December 2025 to 70 US cents in June 2026. The restructuring I described earlier continued in earnest through the H2. Operating expenses came down from AUD 14.1 million in the H1 to AUD 12.6 million in the H2, an 11% reduction half on half.

Speaker #2: I highlight the constant currency view here because the currency movement was working against us within the half, as well as across the full year.

Speaker #2: The AUD/USD rate appreciated about 4% through the second half, from 67 US cents in December 2025 to 70 US cents in June 2026. The restructuring I described earlier continued in earnest through the second half.

Speaker #2: Operating expenses came down from $14.1 million in the first half to $12.6 million in the second half, an 11% reduction, half on half. Taken together, this is a business that has reset, reestablished its commercial momentum, grown its existing customer base, and done it all on a smaller, leaner cost base.

Shawni Hadfield: Taken together, this is a business that has reset, reestablished its commercial momentum, grown its existing customer base, and done it all on a smaller, leaner cost base. With that, I will hand back to Teri.

Speaker #2: And with that, I'll hand back to Terri.

Speaker #1: Thank you, Shani. The combination of financial discipline without starving growth is so critical. And Shani knows we need both: discipline everywhere, and also intelligent investment where we can generate clear returns.

Teri Thomas: Thank you, Shawni. The combination of financial discipline without starving growth is so critical, and Shawni knows we need both discipline everywhere and also intelligent investment where we can generate clear returns. Let's shift to closing the book. Some of the changes are visible, some are harder to see. Before we leave fiscal year 2026 behind us, let me put the year in some context. There were three distinct things that affected our numbers. First, we cycled through a couple of sizable customer losses and a large project that we delivered on, but the overall initiative was halted. Second, we deliberately cleaned up a few legacy arrangements that either did not make much money or did not make strategic sense. There is not much virtue in keeping around bad revenue. Then currency. I am going to hand it back to Shawni for a minute to just explain that a little more.

Speaker #1: So let's shift to closing the book. Some of the changes are visible; some are harder to see. Before we leave fiscal year '26 behind us, let me put the year in some context.

Speaker #1: There were three distinct things that affected our numbers. First, we cycled through a couple of sizable customer losses and a large project that we delivered on, but the overall initiative was halted.

Speaker #1: Second, we deliberately cleaned up a few legacy arrangements that either didn't make much money or didn't make strategic sense. There's not much virtue in keeping around bad revenue.

Speaker #1: And then currency. I'm going to hand it back to Shani for a minute to just explain that a little more.

Speaker #2: Thank you, Terri. Most of our business operates in North America. One hundred percent of our car and around seventy percent of our cost base is not denominated in Australian dollars.

Shawni Hadfield: Thank you, Teri. Most of our business operates in North America. 100% of our CARR and around 70% of our cost base is not denominated in Australian dollars, but we report in Australian dollars. This is a presentation issue that can make the underlying business movement look worse or better, depending on what currencies are doing. What matters most is that the underlying customer base continued to expand despite these challenges that Teri mentioned. Look at the operating cash flow progression along the bottom. We started with -3.7 million in Q1, then essentially break even in Q2, then +1.2 million, then +1.1 million.

Speaker #2: But we report in Australian dollars. This is a presentation issue that can make the underlying business movement look worse or better, depending on what currencies are doing.

Speaker #2: What matters most is that the underlying customer base continues to expand despite these challenges that Terri mentioned. And look at the operating cash flow progression along the bottom.

Speaker #2: We started with negative $3.7 million in Q1, then essentially broke even in Q2, then positive $1.2 million, and then positive $1.1 million.

Speaker #1: That is what stabilization looks like. It doesn't look spectacular yet, but it is more dependable. And dependable is a really good place from which we can grow.

Teri Thomas: That is what stabilization looks like. It does not look spectacular yet, but it is more dependable, and dependable is a really good place from which we can grow. Let's talk about growth, the engine. Where does it come from for Mach7? I see three main places. It is new customer relationships, it is a larger and happier install base, and it is partners that can widen our pipeline and sales reach without us having to build expensive sales organizations all around the world. Of course, underneath all three is the innovative and growing product architecture. Time with customers this year has directly shaped our strategy. I started off with that, but I am going to give you a little bit more color. One of our customers told me they found 18 copies of a single specific image in their system. Eighteen.

Speaker #1: So let's talk about growth, the engine. Where does it come from for Mach7? I see three main places—it's new customer relationships, and it's a larger and happier install base.

Speaker #1: And it's partners that can widen our pipeline and sales reach without us having to build expensive sales organizations all around the world. And, of course, underneath all three, is the innovative and growing product architecture.

Speaker #1: Time with customers this year has directly shaped our strategy. I started off with that, but I'm going to give you a little bit more color.

Speaker #1: One of our customers told me they found 18 copies of a single specific image in their system—eighteen. At that point, you don't have redundancy.

Teri Thomas: At that point, you do not have redundancy, you have an image breeding program. This is not unusual in healthcare. Systems get added, PACS gets replaced, cloud applications show up, AI applications show up. Somebody spins up another backup or a departmental repository just in case. Pretty soon you have what one customer described to me as imaging spaghetti, that is expensive. The real cost is actually clinical. Doctors, technologists digging through that complexity to find the image that they actually need in the way that they need it. This is the problem that Mach7 solves. We do not ask a hospital to rip out what they already own. We organize and connect what is there, and we give them the freedom to switch if a piece of equipment or a system somewhere else has an edge. There is one more wrinkle coming. Image exchange between organizations is very good for patients.

Speaker #1: You have an image breeding program. This isn't unusual in health care. Systems get added, PACS get replaced, cloud applications show up, AI applications show up.

Speaker #1: Somebody spins up another backup or a departmental repository just in case, and pretty soon, you've got what one customer described to me as imaging spaghetti.

Speaker #1: And that's expensive. But the real cost is actually clinical: doctors, technologists, digging through that complexity to find the image that they actually need, in the way that they need it.

Speaker #1: This is the problem that Mach7 solves. We don't ask a hospital to rip out what they already own. We organize and connect what's there.

Speaker #1: And we give them the freedom to switch if a piece of equipment or a system somewhere else has an edge. And there's one more wrinkle coming.

Speaker #1: Image exchange between organizations is very good for patients. It cuts down on repeat scans, but it also multiplies copies of the same image across systems that don't talk to each other.

Teri Thomas: It cuts down on repeat scans, but it also multiplies copies of the same image across systems that do not talk to each other. Epic announced a release of a diagnostic image exchange in August this month, and this creates duplicate images. It is the right thing for patients, and it is an opportunity for us. You also layer on AI, adding more connections and more demands on the data, and you see a number of elements happening in our industry that makes what Mach7 offers so much more strategic. The more the imaging spreads, the more our customers need an independent layer that can organize it and make it usable. The market is large. The total market across our primary region is expected to grow, and the part that is most relevant to what we sell, estimated at around AUD 2.7 billion, but the key is it is growing, and that is plenty.

Speaker #1: Epic announced a release of a diagnostic image exchange in August this month. And this creates duplicate images. It's the right thing for patients, and it's an opportunity for us.

Speaker #1: But then you also layer on AI, adding more connections and more demands on the data. And you see a number of elements happening in our industry that make what Mach7 offers so much more strategic.

Speaker #1: The more that imaging spreads, the more our customers need an independent layer that can organize it and make it usable. The market is large. The total market across our primary region is expected to grow, and the part that is most relevant to what we sell is estimated at around $2.7 billion.

Speaker #1: But the key is it’s growing. And that’s plenty. Our scope is pretty broad—even to the growing use case of patients. My son broke his arm, and he loved to show off his X-rays.

Teri Thomas: Our scope is pretty broad, even to the growing use case of patients. My son broke his arm and he loved to show off his X-rays. In the United States, this is becoming an expectation. A key viewer for patients, eUnity. The fastest growing layer of all, though, is imaging intelligence AI. Our approach is not to build our own diagnostic algorithms, but it is to provide the architecture underneath it. Which brings me to the next slide. Software is changing. Historically, somebody built software and then taught you how to use it. Now, software will learn how you work, understand the context, and anticipate what you need, and then surface the information before you think to go looking for it. That only works well if you have organized data underneath that is accessible and trustworthy.

Speaker #1: And in the United States, this is becoming an expectation. And a key viewer for patients: eUnity. The fastest-growing layer of all, though, is imaging intelligence AI.

Speaker #1: And our approach isn't to build our own diagnostic algorithms, but rather to provide the architecture underneath them. Which brings me to the next slide.

Speaker #1: Software is changing, and historically, somebody built software and then taught you how to use it. Now, software will learn how you work, understand the context, and anticipate what you need.

Speaker #1: And then surface the information before you think to go looking for it. But that only works well if you've got organized data underneath that is accessible and trustworthy.

Teri Thomas: There are plenty of smart companies building diagnostic AI, and we can partner with them. We can serve it up, but we do not have to be one. Our opportunity is to help those tools get access to the right imaging data and then bring those results back into the clinician's workflow at the right time. We can also help customers use their own data to create their own foundation models to test AI, to evaluate AI. So the value of the Mach7 platform moves beyond storing an image. It is what is it? Who needs it? Where should it go? What should happen next? That is orchestration, and that is where Flamingo takes us beyond being an archive company. This is probably the easiest way to understand our architecture. The VNA manages the data, eUnity lets people see it, and Flamingo orchestrates what happens to it.

Speaker #1: There are plenty of smart companies building diagnostic AI, and we can partner with them. We can serve it up, but we don't have to be one.

Speaker #1: Our opportunity is to help those tools get access to the right imaging data, and then bring those results back into the clinician's workflow at the right time.

Speaker #1: We can also help customers use their own data to create their own foundation models to test AI, to evaluate AI. So, the value of the Mach7 platform moves beyond storing an image.

Speaker #1: It's "What is it? Who needs it? Where should it go? What should happen next?" That's orchestration, and that's where Flamingo takes us beyond being an archive company.

Speaker #1: Now, this is probably the easiest way to understand our architecture: the VNA manages the data, eUnity lets people see it, and Flamingo orchestrates what happens to it.

Speaker #1: Customers can buy those capabilities together, or they can take one piece at a time. They can solve one problem first, keep systems that are working well, and add more as they see value.

Teri Thomas: Customers can buy those capabilities together, or they can take one piece at a time. They can solve one problem first, keep systems that are working well, and add more as they see value. That is deliberate. A number of enterprise technology vendors still ask a customer to make a huge replacement decision before they can get any benefit. We are coming in with a lower risk way in. We will prove ourselves and expand from there. Which again brings me to Flamingo. I suspect some of you might be slightly bemused that we named a serious healthcare infrastructure after a pink or white or orange bird, and I do not apologize. Flamingos are actually really remarkable. They adapt to extreme environments. They are surprisingly tough. They have a huge wingspan, and they are difficult to confuse with anyone else. There is some useful product strategy thought in Flamingo.

Speaker #1: That is deliberate. A number of enterprise technology vendors still ask a customer to make a huge replacement decision before they can get any benefit.

Speaker #1: And so we're coming in with a lower-risk way in. We will prove ourselves and expand from there. Which, again, brings me to Flamingo.

Speaker #1: I suspect some of you might be slightly bemused that we named a serious healthcare infrastructure after a pink, white, or orange bird.

Speaker #1: And I don't apologize. Flamingos are actually really remarkable. They adapt to extreme environments, they're surprisingly tough, and they have a huge wingspan. They're difficult to confuse with anything else.

Speaker #1: There is some useful product strategy thought in Flamingo. Flamingo is how we're modernizing the platform from within: containerized architecture, modern database options, new capabilities delivered as modules.

Teri Thomas: Flamingo is how we are modernizing the platform from within. Containerized architecture, modern database options, new capabilities delivered as modules. At RSNA, our planned next set includes modernized foundation storage, new work lists, and a next generation of flow orchestration. Our customers do not need to take a huge traumatic shift and the risks associated with it in order to modernize. We can give them new capabilities and save them money while protecting what already works. That is important in healthcare right now, where customers tell us their budgets are tight and margins are slim. eUnity is a strong product and is well-loved by our customers. Full diagnostic fidelity, zero footprint, runs in the browser, advanced visualization. The thing I care about more is where the image appears. Clinicians should not have to leave the clinical workflow and go hunting for images.

Speaker #1: And at RSNA, our planned next set includes modernized foundation storage, new worklists, worklists, and a next generation of flow orchestration. Our customers do not need to take a huge, traumatic shift and the risks associated with it in order to modernize.

Speaker #1: We can give them new capabilities and save them money, while protecting what already works. And that's important in health care right now, where customers tell us their budgets are tight and margins are slim.

Speaker #1: eUnity is a strong product, and it is well-loved by our customers. Full diagnostic fidelity, zero footprint, runs in the browser, advanced visualization. But the thing I care about more is where the image appears.

Speaker #1: Clinicians should not have to leave the clinical workflow and go hunting for images. And if they're in the electronic health record, the image should be there.

Teri Thomas: If they are in the electronic health record, the image should be there. If a patient is in the patient portal, their images also should be available, usable, easy to understand, and quick to access. We have made some great progress this year with major electronic medical record workflows. Our viewer is now published in the Connection Hub of Epic, which is the largest EHR ecosystem in our core US market and growing internationally. We also have additional integration work shipping ahead of schedule with Epic, as well as integration work with Oracle and others. We are also engaged around image exchange and how healthcare organizations can avoid creating even more copies and costs as those networks grow. Our direction comes from listening to our customers. The clinical record owns the workflow, and Mach7 makes the imaging inside of it complete. Here is where it gets interesting.

Speaker #1: And if a patient is in the patient portal, their images also should be available, usable, easy to understand, and quick to access. So, we've made some great progress this year with major electronic medical record workflows.

Speaker #1: Our viewer is now published in the Connection Hub of Epic, which is the largest EHR ecosystem in our core US market and is growing internationally.

Speaker #1: And we also have additional integration work shipping ahead of schedule with Epic, as well as integration work with Oracle and others. We're also engaged around image exchange and how healthcare organizations can avoid creating even more copies and cost as those networks grow.

Speaker #1: Our direction comes from listening to our customers. The clinical record owns the workflow, and Mach7 makes the imaging inside of it complete. So, here's where it gets interesting.

Speaker #1: It's eye images, teeth, wounds, scopes, pathology, ultrasound, surgery videos. If somebody takes a clinically relevant picture of a patient, my view is it ought to become part of the patient's record.

Teri Thomas: It is eye images, teeth, wounds, scopes, pathology, ultrasound, surgery videos. If somebody takes a clinically relevant picture of a patient, my view is it ought to become part of the patient's record. Today, far too often it does not. It can sit on a departmental server or in a camera or on a phone, a specialized application today that nobody can reach. It is not just a technology problem. It is a clinical workflow problem, and it even is a billing problem. It gives us a department-by-department growth opportunity inside customers that already know us. We have already started conversations around areas like dental, point of care ultrasound, non-DICOM imaging. This is creating differentiators that will drive new sales. This is what completing the patient's picture means commercially, and it is also genuinely useful to healthcare.

Speaker #1: And today, far too often, it doesn't. It can sit on a departmental server, or in a camera, or on an application today that nobody can reach.

Speaker #1: And it's not just a technology problem; it's a clinical workflow problem, and it even is a billing problem. It gives us a department-by-department growth opportunity inside customers that already know us.

Speaker #1: We've already started conversations around areas like dental, point-of-care ultrasound, and non-DICOM imaging. This is creating differentiators that will drive new sales. And this is what completing the patient's picture means commercially, and it's also genuinely useful to healthcare.

Speaker #1: Now, this is the Mach 7 loop, and I do believe in it even more now than I did when I introduced it last year.

Teri Thomas: Now, this is the Mach7 loop, and I do believe in it even more now than I did when I introduced it last year. It starts with delighting the customer, not satisfying them, not closing a ticket, delighting them. It's a small industry. Customers talk. They advocate for you. They speak at events. They take reference calls and KLAS scores improve. Selling gets easier. That gives us more capacity to invest in the products and improvements that customers are asking for, and the loop turns again. There's nothing that revolutionary about it. Some of the very best companies in tech have been doing this for decades. We are happy to steal good ideas that work. What encourages me is getting this loop turning. More often when I ask, "Who is your best vendor experience?" I hear the answer I'm hoping for, which is Mach7.

Speaker #1: It starts with delighting the customer—not just satisfying them, not just closing a ticket, but delighting them. It's a small industry. Customers talk. They advocate for you, they speak at events, they take reference calls, and class scores improve. Selling gets easier.

Speaker #1: That gives us more capacity to invest in the products and improvements that customers are asking for. And the loop turns again. And there's nothing that revolutionary about it.

Speaker #1: Some of the very best companies in tech have been doing this for decades. We are happy to steal good ideas that work. But what encourages me is getting this loop turning.

Speaker #1: And more often, when I ask, "Who is your best vendor experience?" I hear the answer I'm hoping for, which is Mach7. Partnerships are another area where we've changed.

Teri Thomas: Partnerships are another area where we've changed. We used to have quite a lot of partner logos, and partner logos are much easier to collect than revenue. We are concentrating on fewer, deeper relationships that have a reason to exist. That includes cloud and infrastructure partners that can help us co-sell and make procurements easier. It includes the clinical record ecosystem because our types of decisions sit with enterprise CIOs often well outside of radiology. That lines up well with our strategy to bring in more types of imaging into the patient record. In markets where it doesn't make sense for Mach7 to build a large direct sales organization, we're using selected regional partners who already have people and relationships on the ground, like in the Middle East. We're taking the same approach to adjacent products like reporting. Partners are still early for us.

Speaker #1: We used to have quite a lot of partner logos, and partner logos are much easier to collect than revenue. So we are concentrating on fewer, deeper relationships that have a reason to exist.

Speaker #1: That includes cloud and infrastructure partners that can help us co-sell and make procurements easier. It includes the clinical record ecosystem, because our types of decisions sit with enterprise CIOs, often well outside of radiology.

Speaker #1: And that lines up well with our strategy to bring in more types of imaging into the patient record. In markets where it doesn't make sense for Mach7 to build a large direct sales organization, we're using selected regional partners who already have people and relationships on the ground, like in the Middle East.

Speaker #1: And we're taking the same approach to adjacent products like reporting. Now, partners are still early for us—they're not yet a large revenue stream, but we've established the programs.

Teri Thomas: They're not yet a large revenue stream, but we've established the programs, and we now judge partnerships by outcomes, not by how many logos we can fit on our PowerPoint slide. That's the engine. Where are we going? I think about our reset in three distinct phases, and the first was to stabilize. You see that we've reset our cost base, protecting the recurring business, strengthening our team, repairing customer relationships, and building a coherent and visionary product strategy. That phase is largely behind us. Not perfectly, not 100%, but largely. We are now entering phase 2: prove the growth engine. Can we sell the new modules? Can we add new customers and continue expanding the customers we already have? Can our strategic partnerships start contributing revenue, and can we demonstrate operating leverage as we grow? That's the work in front of us.

Teri Thomas: They're not yet a large revenue stream, but we've established the programs, and we now judge partnerships by outcomes, not by how many logos we can fit on our PowerPoint slide. That's the engine. Where are we going? I think about our reset in three distinct phases, and the first was to stabilize. You see that we've reset our cost base, protecting the recurring business, strengthening our team, repairing customer relationships, and building a coherent and visionary product strategy. That phase is largely behind us. Not perfectly, not 100%, but largely. We are now entering Phase 2: prove the growth engine. Can we sell the new modules? Can we add new customers and continue expanding the customers we already have? Can our strategic partnerships start contributing revenue, and can we demonstrate operating leverage as we grow? That's the work in front of us.

Speaker #1: And we now judge partnerships by outcomes, not by how many logos we can fit on our PowerPoint slide. So that's the engine. Now, where are we going?

Speaker #1: I think about our reset in three distinct phases. The first was to stabilize. We see that we've reset our cost base, protected the recurring business, strengthened our team, repaired customer relationships, and built a coherent and visionary product strategy.

Speaker #1: And that phase is largely behind us—not perfectly, not 100%, but largely. And so we are now entering phase two: prove the growth engine. Can we sell the new modules? Can we add new customers, and continue expanding the customers we already have?

Speaker #1: Can our strategic partnerships start contributing revenue, and can we demonstrate operating leverage as we grow? That's the work in front of us. Then, as we execute well, the business has the opportunity to compound.

Teri Thomas: As we execute well, the business has the opportunity to compound. More customers, more modules per customer, more types of imaging, more value in that data layer. The third column on this slide is our ambition. It's not yet a forecast. We know we have to earn our way there. This is how I see a healthy software company and what we think about. Good quality recurring revenue, operating discipline, disciplined growth, and a strategic position that gets stronger over time. Our recurring revenue mix has improved. Gross margins remain strong. We reset the cost base. We have cash, no debt, and we're being selective about where we invest. I do love the Gretzky quote addressing the importance of getting to where the hockey puck is going, not where it is.

Speaker #1: More customers, more modules per customer, more types of imaging, more value in that data layer. So the third column on this slide is—it's our ambition.

Speaker #1: It's not yet a forecast. We know we have to earn our way there, but this is how I see a healthy software company and what we think about.

Speaker #1: Good quality recurring revenue, operating discipline, disciplined growth, and a strategic position that gets stronger over time. Our recurring revenue mix has improved. Gross margins remain strong.

Speaker #1: We reset the cost base. We have cash, no debt, and we're being selective about where we invest. I do love the Gretzky quote addressing the importance of getting to where the hockey puck is going, not where it is.

Speaker #1: And in imaging, what interests me most is what happens as the imaging environment gets more complicated through image exchanges, AI, and the growth of imaging overall.

Teri Thomas: In imaging, what interests me most is what happens as the imaging environment gets more complicated through image exchanges, AI, and the growth of imaging overall. Every image we manage, every system we connect, and every AI tool that needs access to imaging increases the usefulness of an independent, well-organized data layer. At the same time, healthcare organizations are beginning to revisit imaging infrastructure that, in some cases, has been in place for decades. We don't need to be the biggest company in the market. We need to be a credible, flexible, and economic choice when those customers decide they want something different. So here are the measures that we're going to hold ourselves to in FY27: ARR growth, new customers, Flamingo adoption, and OPEX discipline. I chose the image of this woman deliberately. Healthcare is extraordinarily visual.

Speaker #1: Every image we manage, every system we connect, and every AI tool that needs access to imaging increases the usefulness of an independent, well-organized data layer.

Speaker #1: At the same time, healthcare organizations are beginning to revisit imaging infrastructure that, in some cases, has been in place for decades. We don't need to be the biggest company in the market.

Speaker #1: We need to be a credible, flexible, and economic choice when those customers decide they want something different. So, here are the measures that we're going to hold ourselves to in fiscal year '27.

Speaker #1: ARR growth, new customers, Flamingo adoption, and OpEx discipline. And I chose the image of this woman deliberately. Healthcare is extraordinarily visual. Before we even enter the world, images can tell clinicians something about us that words cannot.

Teri Thomas: Before we even enter the world, images can tell clinicians something about us that words cannot. It also captures where Mach7 is today. There is real potential here. We have strengthened the company, rebuilt customer relationships, and created an architecture designed for where healthcare imaging is going. Now, I tell my staff regularly, "Do not confuse activity with outcomes." I recognize to you all that potential is not performance. FY27 is about turning that potential into evidence. Recurring revenue growth, customers choose us, new modules being adopted, and operating leverage emerging. A year ago, our job was to fix the business, and this year our job is to prove that a better business can grow. So I'm quite excited about where this business is going, and I'm really looking forward to showing you this year what this transformed team and company can do.

Speaker #1: It also captures where Mach7 is today. There is real potential here. We have strengthened the company, rebuilt customer relationships, and created an architecture designed for where healthcare imaging is going.

Speaker #1: Now, I tell my staff regularly: do not confuse activity without comps. And I recognize to you all that potential is not performance. Fiscal year '27 is about turning that potential into evidence.

Speaker #1: Recurring revenue growth, customers choose us, new modules being adopted, and operating leverage emerging. A year ago, our job was to fix the business, and this year, our job is to prove that a better business can grow.

Speaker #1: So, I'm quite excited about where this business is going, and I'm really looking forward to showing you this year what this transformed team and company can do.

Speaker #1: And now I'm ready for questions.

Teri Thomas: Now I'm ready for questions.

Speaker #2: Thank you, Terry. Just a reminder to everyone: if you'd like to ask a question, please submit it via the Q&A text box at the bottom of the screen.

Francoise Dixon: Thank you, Teri. Just a reminder to everyone, if you'd like to ask a question, please submit it via the Q&A text box at the bottom of the screen. We did receive a couple of questions via email this morning, and they came from Craig Stevens. The first question, Teri, was: what are your plans for RSNA?

Françoise Dixon: Thank you, Teri. Just a reminder to everyone, if you'd like to ask a question, please submit it via the Q&A text box at the bottom of the screen. We did receive a couple of questions via email this morning, and they came from Craig Stevens. The first question, Teri, was: what are your plans for RSNA?

Speaker #2: We did receive a couple of questions via email this morning, and they came from Craig Stevens. The first question, Terry, was: What are your plans for RS&A?

Teri Thomas: RSNA is kind of going to be a coming-out party for some of our new, where I said we're building the development we've been doing. New Flamingo modules. We can showcase the Epic Connection Hub and engage with some Epic sites about our increased interoperability going live. We also have some new partnerships in the works. We're looking a lot at the reporting side as we expect this is an area that will get a lot of RSNA attention. We're quite excited to show off our new team, our new innovation, and show the market everything that we're building. We've also organized our approach to leverage more partnerships, get more attention leading up to RSNA, and even a new interactive website with a cute AI agent named ACE to direct inquiries in a fun way. It's a Flamingo.

Speaker #1: RS&A is kind of going to be a coming-out party for some of our new—I said we're building—the development we've been doing, new Flamingo modules.

Speaker #1: We can showcase the Epic Connection Hub and engage with some Epic sites about our increased interoperability going live. We also have some new partnerships in the works.

Speaker #1: We're looking a lot at the reporting side as of RS&A attention. We're quite excited to show off our new team, our new innovation, and show the market everything that we are building.

Speaker #1: We've also organized our approach to leverage more partnerships, get more attention leading up to RS&A, and even a new interactive website with a cute AI agent named Ace to direct inquiries in a fun way.

Speaker #1: It's a flamingo. We expect more inbounds, a very organized, strong showing, and a very unique Mach7 booth. Can't wait to show it to you all after RS&A.

Teri Thomas: We expect more inbounds, a very organized, strong showing, and a very unique Mach7 booth. Can't wait to show it to you all after RSNA.

Speaker #2: Thanks, Terry. Next question is about currency, and Craig asked, "How did currency affect this result?"

Francoise Dixon: Thanks, Teri. Our next question is about currency. Craig asks, how did currency affect this result?

Françoise Dixon: Thanks, Teri. Our next question is about currency. Craig asks, how did currency affect this result?

Teri Thomas: Well, currency was a headwind for us because most of our business operates in North America. Shoni shared a bit about this. I'm going to turn it over to you, Shoni Moore, because you're an expert in analyzing our numbers.

Teri Thomas: Well, currency was a headwind for us because most of our business operates in North America. Shawni shared a bit about this. I'm going to turn it over to you, Shawni, because you're an expert in analyzing our numbers.

Speaker #1: Oh, yeah. Currency was a headwind for us because most of our business operates in North America. But Shawnee shared a bit about this. I'm going to turn it over to you, Shawnee, more because you're an expert in analyzing our numbers.

Speaker #3: Thank you, Terry. Yes, as Terry mentioned, most of our business operates in North America. While we report in Australian dollars, and that's why we've been deliberate about showing you our ARR and CAR numbers on a constant currency basis.

Shawni Hadfield: Thank you, Terri. Yes, as Terri mentioned, most of our business operates in North America while we report in Australian dollars. That is why we have been deliberate about showing you our ARR and CARR numbers on a constant currency basis so that you can see what is happening in the underlying business rather than confusing operating performance with exchange rate movement. Our main currency issue, as I mentioned, is a presentation issue, and it results from reporting to the ASX in Australian dollars when our functional currency is largely the US dollar. The Australian dollar and US dollar exchange rate ended the year approximately 8% higher than where it started, and average exchange rates for the year increased 4% over the year. On a constant currency basis, assuming FY26 exchange rates, our FY26 revenue would have been closer to a 14% decrease on prior year.

Shawni Hadfield: Thank you, Teri. Yes, as Teri mentioned, most of our business operates in North America while we report in Australian dollars. That is why we have been deliberate about showing you our ARR and CARR numbers on a constant currency basis so that you can see what is happening in the underlying business rather than confusing operating performance with exchange rate movement. Our main currency issue, as I mentioned, is a presentation issue, and it results from reporting to the ASX in Australian dollars when our functional currency is largely the US dollar. The Australian dollar and US dollar exchange rate ended the year approximately 8% higher than where it started, and average exchange rates for the year increased 4% over the year. On a constant currency basis, assuming FY26 exchange rates, our FY26 revenue would have been closer to a 14% decrease on prior year.

Speaker #3: So that you can see what's happening in the underlying business, rather than confusing operating performance with exchange rate movements. Our main currency issue, as I mentioned, is a presentation issue.

Speaker #3: And its results are from reporting to the ASX in Australian dollars, when our functional currency is largely the US dollar. The Australian dollar and US dollar exchange rate ended the year approximately 8% higher than where it started.

Speaker #3: An average exchange rate for the year increased 4% over the year. On a constant currency basis, assuming if Y26 exchange rates, if Y26 revenue would have been closer to a 14% decrease on prior year.

Speaker #3: And our OPEX, excluding restructuring expenses, would have been closer to a 5% decrease on FY25. All of our contracts, bar five, are in USD.

Shawni Hadfield: Our OPEX, excluding restructuring expenses, would have been closer to a 5% decrease on FY25. All of our contracts, bar five, are in USD, and 60% of our cost base is in USD, so we have a natural hedge. The remaining non-USD costs are fortunately covered by a stronger revenue currency. Should this structure change materially in the future, we may consider hedging our non-US costs. For now, the natural hedge in place is sufficient and we see no need for a formal hedging program.

Speaker #3: And 60% of our cost base is in USD, so we have a natural hedge. The remaining non-USD costs are, fortunately, covered by a stronger revenue currency.

Speaker #3: Should this structure change materially in the future, we may consider hedging our non-US costs. But for now, the natural hedge in place is sufficient.

Speaker #3: And we see no need for a formal hedging program.

Speaker #2: Thanks very much, Shawnee, for that very thorough answer. That was great. Our next question comes from the live chat, and it's from Youssef Alamadin.

Francoise Dixon: Thanks very much, Shawni, for that very thorough answer. That was great. Our next question comes from the live chat, and it is from Yusef Alahmadin. He asks, "There is AUD 9.9 million cash and no debt. Has inorganic growth been considered, and which markets would be of interest?

Françoise Dixon: Thanks very much, Shawni, for that very thorough answer. That was great. Our next question comes from the live chat, and it is from Yusef Alahmadin. He asks, "There is AUD 9.9 million cash and no debt. Has inorganic growth been considered, and which markets would be of interest?

Speaker #2: And he asks, there is $9.9 million cash and no debt. Has inorganic growth been considered? And which markets would be of interest?

Speaker #1: While we are always scanning for any accretive opportunities that could be substantial for the growth of our business, it is important given that the majority of our customers and prospective customers—and the biggest global healthcare IT market—is the United States.

Teri Thomas: While we always are scanning for any accretive opportunities that could be substantial for the growth of our business, it is important given that the majority of our customers and prospective customers, and the biggest global healthcare IT market is the United States, that we demonstrate that we have got a healthy bank account as a sign of stability. It is something that a lot of our prospective and current customers care about. At this point, we are not proceeding with any opportunities, again, although we will always opportunistically evaluate options.

Speaker #1: That we demonstrate that we've got a healthy bank account as a sign of stability. It is something that a lot of our prospective and current customers care about.

Speaker #1: So at this point, we're not proceeding with any opportunities. Again, although we'll always opportunistically evaluate options.

Speaker #2: Thanks, Terry. Just a reminder, if anyone wants to ask a question via the live chat, please submit your questions now. I'll just give it a minute or so before handing back to Terry.

Francoise Dixon: Thanks, Terri. Just a reminder, if anyone wants to ask a question via the live chat, please submit your questions now. I will just give it a minute or so before handing back to Terri. We have no more questions coming through the chat, Terri, so I will hand back to you for closing remarks.

Françoise Dixon: Thanks, Teri. Just a reminder, if anyone wants to ask a question via the live chat, please submit your questions now. I will just give it a minute or so before handing back to Teri. We have no more questions coming through the chat, Teri, so I will hand back to you for closing remarks.

Speaker #2: We have no more questions coming through the chat, Terry, so I'll hand back to you for closing remarks.

Speaker #1: All right. Thank you so much. I'm going to leave with one thought, and that is that turnarounds can look like spreadsheets from the outside.

Teri Thomas: All right. Thank you so much. I am going to leave with one thought, and that is that turnarounds can look like spreadsheets from the outside. You see costs come down, you see revenue lines move around, but companies are people, and our staff came through a year of enormous change while continuing to care for our customers. And those customers are caring for patients who depend on having the right information at the right time. And that is why I care so deeply about getting this right and helping Mach7 become all it can be. I am proud of how far we have come, and I am very aware that we still have work ahead. But I want to message to our Mach7 team, thank you for your resilience and your energy and keeping customers at the center.

Speaker #1: You see costs come down, you see revenue lines move around, but companies are people. And our staff came through a year of enormous change while continuing to care for our customers.

Speaker #1: And those customers are caring for patients who depend on having the right information at the right time. That's why I care so deeply about getting this right and helping Mach7 become all it can be.

Speaker #1: I'm proud of how far we've come, and I'm very aware that we still have work ahead. But I want to message to our Mach7 team: thank you for your resilience and your energy, and for keeping customers at the center.

Speaker #1: And to our customers, if any of you see this, thank you for pushing us, engaging with us, and increasingly advocating for us. And finally, to our shareholders, thank you so much for your patience and support through a challenging reset year.

Teri Thomas: To our customers, if any of you see this, thank you for pushing us and engaging with us and increasingly advocating for us. Finally, to our shareholders, thank you so much for your patience and for your support through a challenging reset year. We do intend to use your support well. So thank you so much.

Speaker #1: We do intend to use your support well. So thank you so much.

Operator: Goodbye

Operator: Goodbye.

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Q4 2026 Mach7 Technologies Ltd Bussiness Update Call

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