Page 1

4DS memory ASX RELEASE 31 October 2021 4DS Memory Limited | ABN 43 145 590 110 Level 2 , 50 Kings Park Road , West Perth WA 6005 PO Box 271 , West Perth WA 6872 +61 8 6377 8043 | david@4dsmemory.com | www.4dsmemory.com QUARTERLY ACTIVITY REPORT AND APPENDIX 4C 4DS Memory Limited ( ASX : 4DS ) ( 4DS ) ( the Company ) , is pleased to provide its Quarterly Activity Report and Appendix 4C for the Quarter ended 30 September 2021 . Quarterly Update During the quarter the Company announced the results of the analysis of the Third Non - Platform Lot and the Second Platform Lot on 17 August 2021. Please refer to the announcement for the details of that 4DS Technical Update . Ⓒ Review of the Company's US patent portfolio During the quarter the Company was granted its 32nd USA patent and after a careful review of its patent portfolio , the Company has decided to abandon four ( 4 ) of its older patents . These patents have no bearing on 4DS's current business and were deemed to have no commercial value . COVID - 19 Update Currently , there are no COVID related restrictions significantly affecting the Company's operations in the USA or Belgium . All COVID - 19 restrictions in the Silicon Valley officially ended on 15 June 2021 and all 4DS based employees are fully vaccinated . For personal uny Financial Review As at 30 September 2021 , the Company held cash of $ 2.86 million , compared with $ 4.3 million as at 30 June 2021 . Net cash of $ 1.254 million was used in operating activities during the quarter , compared to $ 1.271 million in the June quarter . The main variances when compared to the previous quarter were a reduction in staff costs by $ 99k and an increase in administration and corporate costs were higher by $ 95k , bringing them in line with historical expenditure after allowing for timing differences in the June quarter . The Company received $ 81k during the quarter from the proceeds of the exercise of options . Listing Rule 4.7.C In item 6 of the Appendix 4C cash flow report for the quarter , payments to related parties of approximately $ 153k represents salaries paid to the CEO and Executive Director , the payment of Director's fees to Non - Executive Directors and superannuation ( where applicable ) . Authorised for release by the Board . Contact information Investors : David McAuliffe 4DS Memory +61 408 994 313 david@4dsmemory.com ENDS Page 1 of 1