TOUCHCORP 1H2015

RESULTS PRESENTATION DATED: THURSDAY, 27TH AUGUST 2015

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The material in this presentation has been prepared by Touchcorp Limited

ARBN 603 731 184 (Touchcorp) and is general background information

about Touchcorp’s activities current at the date of this presentation.

The information is given in summary form and does not purport to be

complete. Information in this presentation, including forecast financial

information should not be considered as advice or a recommendation to

investors or potential investors and does not take into account investment

objectives, financial situation or needs of any particular investor. These

should be considered, with or without professional advice when deciding if

an investment is appropriate. Persons needing advice should consult their

stockbroker, solicitor, accountant or other independent financial advisor.

The release, publication or distribution of this presentation in certain

jurisdictions may be restricted by law and therefore persons in such

jurisdictions into which this presentation is released, published or

distributed should inform themselves about and observe such restrictions.

This presentation does not constitute, or form part of, an offer to sell or

the solicitation of an offer to subscribe for or buy any securities, nor the

solicitation of any vote or approval in any jurisdiction, nor shall there be any

sale, issue or transfer of the securities referred to in this presentation in any

jurisdiction in contravention of applicable law.

This presentation may contain forward looking statements regarding the

intentions or performance of Touchcorp, and these will be affected by

many other factors beyond the control of Touchcorp. Such statements

involve risks and uncertainties and no assurance can be given that actual

results will be consistent with these forward-looking statements. The

forward looking statements made in this presentation relate only to events

as Touchcorp the date on which the statements are made. Touchcorp will

not undertake any obligation to release publicly any revisions or updates

to these forward-looking statements to reflect events, circumstances or

unanticipated events occurring after the date of this presentation except as

required by law or by any appropriate regulatory authority. Percentages and

figures in this document may include rounding differences.

DISCLAIMER

TOUCHCORP 1H2015 01

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- TOUCHCORP OVERVIEW

- THE HALF YEAR IN REVIEW

- FINANCIAL PERFORMANCE AND POSITION

- KEY CUSTOMERS UPDATE

- STRATEGY UPDATE

- SUMMARY AND OUTLOOK

AGENDA

TOUCHCORP 1H2015 02

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– The Touch System, developed by

Touchcorp, is used by blue-chip

corporates in the convenience

retail, healthcare, government and

telecommunications sectors.

– Touchcorp is a technology-driven

business with a strong focus on

research and development.

– The Touch System provides an

integrated, cloud-based, end-to-end

electronic product delivery and

payment platform that communicates

across various interfaces, self-service

channels and payment systems.

TOUCHCORP OVERVIEW

TOUCHCORP 1H2015 03

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– Productive 1H2015

– IPO successfully completed and on track to meet Prospectus Forecast for FY2015

– AfterPay capital raising is complete

– Additional business development staff employed to service emerging opportunities

– eServices Platform (ESP) delivered

– Reitan Norway pilot complete, rollout underway in Denmark, Sweden and Norway

THE HALF YEAR IN REVIEW

TOUCHCORP 1H2015 04

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1 Pro forma NPAT, EBITDA and EBIT follow the pro forma basis as set out in the prospectus and therefore exclude capital raising expenses and government grant income

FINANCIAL PERFORMANCE

TOUCHCORP 1H2015 05

$ MILLION PRO FORMA PERCENTAGE

1H2015 1H2014 CHANGE

Services revenue 18.4 10.9 69%

Cost of sales (3.2) (2.3) 41%

Gross Profit 15.2 8.6 76%

EBITDA1 4.6 2.7 73%

EBIT1 4.2 2.3 82%

Profit before tax 4.2 2.3 85%

Income tax expense - -

Pro forma NPAT1 4.2 2.3 85%

Capital raising expenses (3.6) -

Government grant 0.1 1.7

Statutory NPAT 0.8 3.9

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– Significant growth in Gross Profit of 76%, resulting in EBITDA growth of 73%

– Offset by the factors identified in the prospectus:

– Customer development costs ($2.8m)

– Conversion of government grants ($1.7m) from cash to carry forward tax benefit

– Capitalised R&D in 1st half lower than forecast but expected to reach the forecast number ($5.5m) by year end due to nature of the work density required by projects

EBITDA 1H 2014

EBITDA 1H 2015*

REVENUEIMPACT

COST OFSALES

CUSTOMERDEVELOPMENT

EXPENSE

EMPLOYEEBENEFITS

OTHEREXPENSES

FINANCIAL PERFORMANCE

TOUCHCORP 1H2015 06

2.7

7.5

(0.9)

(2.8)

(1.3)

4.6

(0.5)

*EBITDA bridge above is based on pro forma statement of financial position

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– Revenue run rate to increase through the remainder of the year

– Pilot approval for EU slower, but now gathering pace

– Expect full year revenue result to be in-line with the Prospectus

REVENUE

TOUCHCORP 1H2015 07

$ MILLION PRO FORMA PERCENTAGE

1H2015 1H2014 CHANGE

Services revenue

Australia and Pacific revenue

Retail Service 8.5 4.3 99%

Health and Government 1.1 0.8 41%

Mobility Services 7.6 4.7 63%

Total Australia and Pacific revenue 17.2 9.7 77%

International revenue

Retail Services 1.3 1.2 4%

Total International revenue 1.3 1.2 4%

Total services revenue 18.4 10.9 69%

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– Debt free

– Strong cash position following the IPO with no expectation of significant cash

requirements in the near term

– Increase in debtors due to AfterPay and generally increased revenue run rate

– Significant reduction (circa $5.0m) in unearned income liability

FINANCIAL POSITION

TOUCHCORP 1H2015 08

$ MILLION STATUTORY

1H2015 1H2014

Cash and cash equivalents 10.4 2.7

Receivables 13.9 9.7

Other assets 24.8 19.4

Total assets 49.1 31.7

Payables 12.6 17.3

Other liabilities 1.1 0.9

Total liabilities 13.7 18.2

Net Assets 35.4 13.5

Shareholders Equity 35.4 13.5

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Operating cashflow affected by:

– Differences in timing of revenue recognition and cash receipts, such as 7-Eleven ESP fee

($2.5m) and AfterPay development fee ($3.0m)

– Prepayment of customer development expenses and security bonds with suppliers

– Lower capitalisation of R&D expenses for 1H2015

CASHFLOW

TOUCHCORP 1H2015 09

$ MILLION STATUTORY

1H2015 1H2014

Operating cashflow (7.3) 2.2

Capitalised R&D Expenses (1.6) (1.3)

Fixed assets purchases (0.9) (0.9)

Total investing cashflow (2.5) (2.2)

Proceeds from issue of shares 20.0 -

Capital raising expenses (3.6) -

Proceeds from exercise of shares options 1.0 -

Financing cashflow 17.5 -

Net cashflow 7.7 (0.0)

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CUSTOMER STATUS

AUSTRALIA & PACIFIC

RETAIL

– 7-Eleven ESP Delivered

Expanded responsibility in payments both

in-store and on mobile devices

HEALTH & GOVERNMENT SERVICES

– NAB HICAPS Growing strongly

MOBILITY

– Optus Continuing to expand services/volumes

– Telstra December 2014 Agreement implementation

discussions progressing

INTERNATIONAL

RETAIL

– Reitan Norwegian pilot successful with deployments underway

in Norway Sweden and Denmark

– Valora Deployment underway in Germany

KEY CUSTOMER UPDATE

TOUCHCORP 1H2015 10

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– Capital raising of $8m completed at $1 per share

resulting in valuation of $28m post raising

– Development fee of $3.0m recognised by Touchcorp,

with $1.5m received in July 2015 and the balance in

December 2015

– AfterPay product gaining acceptance in the Australian

market place

– Now available through more than 20 merchant sites

– Sales growing strongly

– 10 million AfterPay shares to Touchcorp expected to

be issued by the end of August, resulting in Touchcorp

owning 35.7% of AfterPay

KEY CUSTOMER UPDATE - AFTERPAY

TOUCHCORP 1H2015 11

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– Company continues to focus on:

> Expanded roles with existing customers

> Broadened service offering (new Service Modules)

> Engagement with new customers

– Mobility broadening: now targeting utilities, toll road operators and retail services

– Retail: in discussions with additional major retailers both in Australia and internationally

– Malaysian and Singaporean subsidiaries established

STRATEGY UPDATE

TOUCHCORP 1H2015 12

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– Successful 1H2015, including IPO

– Major customers providing additional opportunities

– New services have been delivered and more are scheduled for delivery in 2H2015

– Management expects that the Company will report full year pro forma net profit after

tax in line with the Prospectus Forecast of $7.4m

– New and expanded business opportunities have been identified

– Accelerated and focused program of business and product development activities to

aid in the achievement of growth expected in FY2016

– Increased global presence over the next several years

SUMMARY AND OUTLOOK

TOUCHCORP 1H2015 13

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GLOSSARY

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GLOSSARY

1H or 1H2014 the six months ending 30 June 2014

1H or 1H2015 the six months ending 30 June 2015

2H or 2H2015 the six months ending 31 December 2015

AfterPay AfterPay Pty Ltd (ACN 169 342 947)

B2B Business-to-business

EBITDA earnings before interest, tax, depreciation and amortisation

EBIT earnings before interest and tax

Electronic Product non-physical products, services and entitlements

eServices Platform or ESP a B2B technology platform to support the Retail Services, and Health and Government Services business units

FY2015 the financial year ending 31 December 2015

FY2016 the financial year ending 31 December 2016

Gross Profit Gross Profit is calculated as services revenue less cost of sales

Health and Government Services the health and government business unit that enables processing and payment of health insurance claims by Consumers

IPO Touchcorp’s initial public offering of shares under the Prospectus

Mobility Services the mobility services business unit that enables the acceptance of payments and service requests from consumers by MNOs and MVNOs, and purchases of Electronic Products by consumers

MNO Mobile network operator that owns and operates its own network

MVNO Mobile virtual network operator that rents the network of a MNO to provide its services

NPAT net profit after tax

POS Device point-of-sale device

POS-ECR point-of-sale electronic cash register

PMS Infrastructure payment terminals or practice management systems used by Practitioners

Practitioner medical or allied health practitioner that receive payments from Medicare Australia or private health funds for providing services

Prospectus Forecast forecast financial information of Touchcorp, set out in section 4 of the Prospectus

Prospectus Touchcorp’s replacement prospectus dated 20 March 2015

R&D research and development

Retail Services The retail services business unit that enables point-of-sale devices in retail premises to sell Electronic Products

Service Module a service provided by Touchcorp to its customers

Touch System Touchcorp’s software and hardware network that includes the TouchPoint Technology, the ESP, the Mobility Platform, any associated hardware and the range of network capabilities

TouchPoint Technology the suite of software technology developed by Touchcorp, through which Touchcorp integrates with existing POS Devices or PMS Infrastructure

Touchcorp or the Company Touchcorp Limited ARBN 603 731 184

Retail Services The retail services business unit that enables point-of-sale devices in retail premises to sell Electronic Products

TERM MEANING

TOUCHCORP 1H2015 15

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APPENDIX: SHORT OVERVIEW O F TO U C H C O R P

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Touchcorp has designed, built

owns and operates the Touch

System - a scalable software

platform - that enables the

electronic delivery of non-

physical products, services

and entitlements to their

end-users through multiple

consumer service points,

whether in-store or through

self service methods.

TOUCHCORP OVERVIEW

TOUCHCORP 1H2015 17

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– Facilitates the sale of Electronic

Products (in-store or via self-service)

– Integrates with merchants and suppliers

to link their systems

– Provides other value added services

including inventory management,

transaction reporting, transaction

integrity, transaction invoicing and data

analysis (each a Service Module)

– Touchcorp generates revenue from

transaction and integration fees

– The Touch System owns develops

and operates a scalable and globally

accessible software platform

> Broad range of services

> Compatible with a broad range of

interfaces, devices and payment

interfaces

> Protected intellectual property

MERCHANT INTERFACES

SELF-SERVICE INTERFACES/DEVICES

PAYMENT INTERFACES

WELL ESTABLISHED SOFTWARE BUSINESS

TERMINAL

KIOSK MOBILE ATM

POS-ECRIVRMOBILE

INTERNET TABLET

Examples of Electronic Products

Agnostic across interfaces, devices and payment systems

TOUCHCORP 1H2015 18

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SCALABLE AND FLEXIBLE TECHNOLOGY

Integration Platform

PaymentTerminal

KioskPOS-ECR IVRInternet

Merchant

Touch data centres

MerchantMerchant SelfService

SelfService

Supplier Supplier Supplier SupplierSupplier

eServices Platform Mobility Platform

TOUCH POINT

– Small part of platform

– Unique integration for each customer

– Cloud updates

TOUCH SYSTEM

– Majority of platform

– Common across Customers

– Customers choose and use modules

– Highly scalable

– Cloud updates

TOUCH POINT

– Small part of platform

– Unique integration for each customer

– Cloud updates

FUNCTIONS

Inventory

Accounting

Transaction integrity

Invoicing

Reporting

TOUCHCORP 1H2015 19

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