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INMACH7 ASX Announcement Second Quarter FY21 Business Update Highlights : ♦ Record Q2 cash receipts $ 4.25M ◆ Operating synergies from the Client Outlook acquisition beginning to be realised ◆ Cash flow from operations - $ 0.3M Strong financial position with $ 14.4M cash on hand and no debt ◆ Q2 sales orders $ 7.6M ◆ 4 significant and successful software deployments completed across the USA For personal use only Melbourne , Australia ; 21 January 2021 : Mach7 Technologies Limited ( “ Mach7 ” or the " Company " ) ( ASX : M7T ) is pleased to provide this quarterly update in conjunction with the release of the Appendix 4C - Quarterly Cash Flow Report . Cashflows for Q2 FY21 The Company recorded $ 4.25 million ( Q1 FY21 : $ 3.76M ) of cash receipts from customers this quarter , the highest Q2 cash receipts collection on record . In addition , the Company expects to receive cash from its larger new customers in Q3 , boding well for continued healthy cash flow from operations . Operating payments ( net of interest received and government rebates ) for the quarter reduced to $ 4.57 million ( Q1 FY21 : $ 5.58M ) , resulting in operating cash outflows of $ 0.32 million . Cash payments for general operating expenses are expected to continue to fall as the full effect of operating synergies from the recent acquisition of Client Outlook Inc. are recognised . During the quarter Mach7 paid the sellers of Client Outlook Inc. $ 2.7 million for working capital remaining in the business at acquisition date . This completes the payments from Mach7 to the sellers required to be made pursuant to the share sale agreement . Mach7 has ended the quarter in a strong financial position with $ 14.4 million cash on hand and no debt . Sales Growth Mach7 achieved 130 % growth in sales orders on Q1 FY21 . Sales orders for $ 7.6 million in new contracts ( total contract value ) were generated . Of this , $ 0.6 million will recur annually over the life of the contracts . This quarter includes 6 new customers and 14 expansion and / or renewals from existing customers . Sales orders for the half year are $ 10.9 million , compared to $ 9.4 million for H1 2020 , representing 17 % growth for the half year . Mach7 Technologies Limited ABN 26 007 817 192 ASX : M7T MACH7T.COM