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ParagonCare 1300 369 559 info@paragoncare.com.au paragoncare.com.au ASX ANNOUNCEMENT 23rd February 2021 Australian Securities Exchange Company Announcements Office STREAMLINED OPERATIONS DRIVING IMPROVED PROFITABILITY AND CASHFLOW Paragon Care Limited ( ASX : PGC ) ( " PGC " or the " Company " ) , a leading provider of medical equipment , devices , and consumables to the healthcare markets in Australia and New Zealand , is pleased to report its financial results for the first half of FY21 . Key highlights from the results include : • • • • • Streamlined operations driving improved profitability : Delivered over $ 7m in annualised savings with EBITDA up 63 % on pcp to $ 14.7m . Improved working capital cycle increased operating cashflow : Operating cashflow during the period increased by $ 24.1m due to significant reduction in working capital cycle and improved operating performance . Vendor earnout payments substantially completed during the first half : $ 14.3 million vendor earnout payments were made during the period , the remaining $ 1 million will be paid before March 2021 . Diversified portfolio generated revenue stability : Revenue down by only 5 % on pcp to $ 115m despite COVID disrupted healthcare market due to diversified product and geographic offering . Decreased net debt : Over the past year , net debt decreased by 4 % from $ 79.4m in 1H FY20 to $ 76.3m in 1H FY21 , due to increased cash balance and deferment of repayments . Growth strategy to leverage cross - sell capabilities : Customer demand for best - in - breed solutions across a range of healthcare products is driving opportunities for growth through internal cross - selling and expanded market share . 1H FY21 Financial Results - Highlights 1H FY21 1H FY20 Δ Revenue $ 115m $ 120.6m 5 % EBITDA $ 14.7m $ 9.1m ↑ 63 % NPAT $ 5.2m $ 1.4m Working Capital Cycle 133 days 161 days Operating Cashflow $ 15.5m Net debt EPS $ 76.3m 1.54 cps $ ( 8.6 ) m $ 79.4m 0.41 cps 271 % 28 days $ 24.1m 4 % ↑ 276 % ParagonCare Paragon Care Limited ASX : PGC ABN 76 064 551 426 REGISTERED OFFICE Level 4 , 96-100 Albert Road South Melbourne VIC 3205 Australia