Page 1

nanosonics Infection Prevention . For Life . 24 February 2021 Company Announcements Office Australian Securities Exchange Nanosonics 2021 half - year financial results This announcement discusses Nanosonics ' FY21 half year financial results and contains a comparison of those results with the prior corresponding period . The Company experienced a return in the underlying growth momentum of the installed base , capital revenue and consumables / service revenue during the half and to illustrate this , the half year results are also reviewed in the context of the following periods : • Q1 FY211 , when market conditions started to improve , compared with Q4 FY20 when the most significant impacts of COVID - 19 were experienced to date ; and Q2 FY21 is compared with Q1 FY21 , when the recovery continued and many aspects of the business and market moved closer to conditions prior to the impacts of COVID - 19 . HIGHLIGHTS • • • • Global installed base up 12 % in last 12 months and up 6 % in last 6 months to 25,100 units . Importantly , the number of new units installed in Q2 FY21 was up 38 % compared with Q1 FY21 . Half year revenue of $ 43.1 million , down 11 % compared with prior corresponding period . ○ The lower revenue was primarily driven by the foreshadowed reduction in purchases by GE Healthcare as a result of the impacts of COVID - 19 on its inventory at 30 June 2020 as well as the impact of a stronger Australian dollar . ○ ○ Global revenue recovered strongly in Q2 FY21 , up 48 % compared with Q1 FY21 . This growth resulted from stronger installed base growth across all regions , GE Healthcare resuming purchases of capital equipment in Q2 FY21 as well as an increase in consumables and service revenue . All revenue associated with I - MED's upgrade of its 200+ trophonⓇEPR fleet , announced in November 2020 , is expected to be recognised in H2 FY21 as new trophon2 systems are installed across their network . Half year consumables and service revenue of $ 33.7 million , down 1 % compared with prior corresponding period . ○ Revenue from consumables and service in Q2 FY21 was up 29 % compared with Q1 FY21 . This growth reflects the recovery in ultrasound procedure volumes experienced in the half leading to increased purchases by GE Healthcare , along with the growing installed base . Q2 FY21 consumables and service revenue in constant currency² terms represented the Company's highest quarter on record . Half year capital revenue of $ 9.4 million , down 35 % compared with prior corresponding period . о Capital revenue was impacted by the foreshadowed reduction in trophon unit sales to GE Healthcare as a consequence of COVID - 19 . This impact was primarily experienced in Q1 FY21 with GE resuming purchases of capital in Q2 FY21 . Continued investment in the Company's growth strategy with first half operating expenses of $ 33.0 million , up 8 % on prior corresponding period . Nanosonics Limited ABN 11 095 076 896 14 Mars Road , Lane Cove NSW 2066 Australia Tel : +61 2 8063 1600 Fax : +61 2 8063 1600 Email : info@nanosonics.com.au w : www.nanosonics.com.au