Janison calling for break even over the 2023 financial year and announcing new projects with Oxford University Press… bullish

 ASX Announcement 28 April 2023

Janison awarded global agreement with Oxford University Press, and reaffirms FY’23 guidance

Janison Education Group Limited (ASX:JAN) (“Janison” or the “Company”) is pleased to announce it will provide its digital assessment technology and event support services to enable Oxford University Press (“OUP”) to develop and deliver a range of new and existing assessment products globally.

This represents another exciting advancement in Janison’s international expansion plans that follows the recent announcement of Janison’s new global partnership with Cambridge University Press & Assessment and cements Janison’s place as a strategic partner in two of the three largest higher education institutions globally (World University Rankings – Times Higher Education).

OUP is the education publishing arm of Oxford University, one of the largest and most prestigious providers of learning and assessment content today. This strategic partnership between Janison and OUP will accelerate the implementation of OUP’s digital strategy, and supports their objective to maximise the opportunities for students and teachers to access OUP content.

Signed by OUP’s global headquarters in the UK, the three-year umbrella agreement worth approximately AUD$1m TCV based on minimum assessment volumes will see Janison and OUP add further digital assessments over the next few years. The first new products are expected to be launched in the UK and Europe in 2H FY24. In addition to these, the partnership will see additional new products developed across OUP’s primary, secondary and international education markets, with the potential to position OUP as one of Janison’s largest enterprise customers globally.

Janison will assist OUP with a number of new digital products across a range of tests and markets, initially focusing on:

- Phase 1 - for Years 6 and 9 – 10,000 tests p.a. from 2024 with growth to 50,000 by 2027

- Phase 2 – roll-out from 2025 with estimate of 100,000 tests p.a. by 2028

- Phase 3 - for years 5-8 in India and Pakistan – roll out from 2025 with estimate of 500,000 tests p.a. by 2028.

 Janison will implement its standardised digital assessment platform, Janison Insights, and leverage its Microsoft Azure UK cloud deployment to support this new growth phase and enable OUP to take its assessment products to market, quickly and easily in a secure and reliable manner.

Janison is pleased to have achieved this milestone in its strategy to partner with large global enterprise, government and education institutions globally. Janison’s UK-based Chief Operating Officer, Derek Welsh, will lead the expansion of Janison’s UK-based teams to support this growth. These teams will support our existing UK and European partnerships, such as the OECD, Cambridge University Press & Assessment and now Oxford University Press.

About Oxford University Press (OUP)

Oxford University Press is the world’s largest university press with offices in 50 countries. It publishes print and digital texts in more than 40 languages.

OUP’s mission is to further Oxford University's objectives of excellence in research, scholarship, and education by publishing worldwide. OUP creates and distributes learning and assessment products to over 180 countries spanning across primary, secondary, higher education and English language sectors which are multidisciplinary in nature.

OUP has over 7,500 employees globally. OUP’s learning and assessment IP contains more than 32,000 educational titles published across digital and print medium. OUP’s digital platform ‘Oxford Owl’ attracts over 2 million users per month to access personalised learning and assessment journeys. In English Language Testing, the Oxford Placement Test attracts over 600,000 users p.a. across 94 countries.

FY23 Outlook

With a quarter of FY23 to go, Janison reiterates previous guidance of revenue ($41-43m) and EBITDA ($4-5m) with ongoing disciplined cost control. Larger cash receipts in 2H23 from ICAS in Q4 are expected to see the business finish break-even for total cashflow on a full year basis – a significant improvement over FY22.

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This release has been approved by the board. For further enquiries, please contact Stuart Halls

at: IR@janison.com Visit janison.com

  2

positive as irl holder!

ASX Announcement 7 July 2022

Janison Preliminary FY22 Trading Update and Outlook

Janison Education Group Limited (ASX:JAN) (“Janison” or the “Company”), is pleased to release an unaudited draft financial summary for the financial year ending 30 June 2022 (“FY22”) and trading update.

FY22 Financial Highlights

• +20% growth in reported revenue on prior year, PCP1 (+$6m growth)

• +8 percentage points improvement in gross margin to 64% (PCP 55%)

• Positive EBITDA

• Material improvement in cost base for FY23 and streamlined operations

• Strong cash balance at 30 June

FY22 Trading & Operational Highlights

• Growth across all strategic business units (Janison Assessments, Janison Solutions & PBTS)

• Acquisition and integration of AAS and QATs

• Domestic launch of new school parent SaaS product (“RiSE+”)

• Annual record, delivered 9m tests on Janison’s assessment platform (1m in one day)

• NAPLAN now fully online and school tech capability uplifted nationally

• New logo wins for Janison Solutions on the assessment platform

• Streamlined operating model with material cost-out starting 1 July 2022

FY23+ Outlook

• Group will continue to grow and expected to be cash flow positive in FY23

• Robust pipeline of new logo Janison Solutions assessment platform clients

• New PBTS IPP countries expected in 1H23. New PBTS NSP school signings subdued in 1H23 while

main PISA International runs until December 22 but 2H23 resurgence expected

• Integrating recent acquisitions within Janison Assessments portfolio for schools’ growth

 1 PCP = Prior Corresponding Period, the 12 months to 30 June 2021

 FY22 Financial Summary (Draft Unaudited)

Revenue by Business Unit

Gross Profit & Margin

Janison Solutions Janison Assessments Other

$36M

FY22

FY20

22 11.4 10.5

13

1.3 7.2 4.5

46% 2.5 11 $0.33 5.5m

Gross Profit

Gross Profit Margin

64% 55%

 $6M

$12M

$18M

 $7M

$7M

$16M

$23M

$22M

$30M

FY21

46%

$11M

$1M $10M

$11M

$2M

$8M

FY19 FY20

FY19 FY20 FY21 FY22

Full year ending 30 June ($ million)

Group Full Year Revenue Group Half Year Revenue (1H, 2H)

Annualised Recurring Revenue

- Janison Assessments ARR2 - Janison Solutions ARR

- Other ARR

Gross Profit Margin EBITDA

Cash on Hand Closing Share Price Total Tests Delivered

FY21 FY22

30 36 15.9 14.3 19.5 16.6

23 25

7.1 8.9 11.3 12.6 4.2 3.6

55% 64% 3.0 1.5 23 123 $0.89 $0.43 6.5m 8.7m

FY22 Growth

35%

$8M

$10M

$17M

$23M

   +6 1H +23%

+2

+1.8 +1.3 -1.4

+20% 2H +16%

+9%

+25% +12% -14%

   +8pps

-1.5 -50%

+2.2m +34%

             Management believes $3-4 million of high margin revenue from ICAS and PBTS was foregone in FY22 and delayed until FY23/24 due to the ongoing impacts of COVID, and Pro Forma revenue for FY22 is $1.8m higher when accounting for a full year of revenue from businesses acquired in Q2 FY22 (AAS and QATs).

2 ARR = Annualised Recurring Revenue

3 During FY22 $7m cash was paid for the acquisitions of AAS and QATs during FY22

 2

 Trading Summary

Janison Solutions (B2B Enterprise Clients)

• New logo wins; Cambridge Box Hill and the Australian Children’s Education & Care Quality Authority (ACECQA)

• Share of wallet expansion for all major existing accounts (NSW DoE, NAPLAN, RMS)

• Continued gross margin expansion

• Largest year for NSW DoE Check-In assessments

• Contract extension for NAPLAN Online

Janison was awarded the contract to provide its digital assessment technology for English language testing for healthcare workers by Cambridge Assessment Box-Hill Institute (“Occupational English Testing”). The initial deal is a three-year contract with a TCV of approximately $0.5m and based on customer volumes currently experienced and variable test pricing, Janison predicts this deal should deliver platform licence revenue of approximately $1 million p.a.

During FY22, ACECQA awarded Janison the contract to deliver an online knowledge assessment platform to accredit childhood education and care service providers. The product is in proof-of- concept mode and will begin to generate revenue in FY23. Furthermore, the recent change in federal government means there is now greater support for childcare services. Management believes this will lead to increased demand and usage of Janison’s assessment platform for childcare workers in the medium term. Initial contract is a 2-year term with TCV of approximately $0.3m.

  3

 Janison Assessments (School & Parent Assessment Products) ICAS

• +50% ICAS sales growth (before refunds)

• 100,000 parent contacts captured (up +40,000 on PCP)

FY22 began with state-wide school closures across NSW and Victoria in Q1 during the peak selling and sitting window for Janison’s flagship school competition, ICAS. A curtailed sales campaign and abnormally high rate of refunds in FY22 saw Janison forego approximately $1-2m of high-margin revenue from the sale of ICAS.

In the lead up to school closures, demand for ICAS was very strong year-on-year with consistent daily growth of 50% on PCP. Approximately 20% of this sales growth came from an increased average price point and the remaining 30% from additional volumes. In recent years, the sales process has shifted from a direct-to-schools approach to one of direct-to-parent. Sales in FY22 demonstrate the inelasticity of demand for the ICAS product.

AAS

• Successful acquisition of Academic Assessment Services in November 2021

• Premium assessment content developer and branded assessment products for K-12

• Annualised revenue of approximately $5m of Services revenue currently (non ARR)

• Integration process complete and delivering immediate synergy cost benefits in FY23

• Development of digital assessments including PSAM, an ATAR indication tool

QATs

• Successful acquisition of Quality Assessment Tasks in October 2021

• Year 11 and 12 end-of-school practice assessments with very high market share across Australia

• Annualised revenue of approximately $1m of Platform revenue (ARR) in FY22

• Integration complete and delivering synergy cost benefit in FY23

• Reviewing plans to support the digitisation of HSCs and VCEs in the next 3-5 years

   4

 PISA for Schools

• +47% growth in FY22 vs. PCP

• 2 new IPP4 countries added, and two-year renewals signed with all existing IPP countries

• 160 new NSP5 schools added

Growth of the PISA for Schools assessment continued at a high rate in FY22 with the signing of 2 new countries and 160 new schools. COVID effects of school closures slowed the rate of signing new PISA- for-Schools IPP countries and NSP schools in 2H FY22.

Janison Assessments - New Product Development

RiSE Plus (www.riseplus.education)

In Q4 FY22, Janison launched its first new product developed solely for students, marketed to parents, with the introduction of “RiSE+”, an online platform containing the highest-quality predeveloped test content. RiSE+ is a practice assessment tool which delivers a range of tests and subjects. Using the platform, students can prepare for a variety of well-known K-12 school-run assessments, experiencing the same digital interface and online environment that they would in the actual school-run test on exam day. Parents receive valuable insights in real time, providing granular information on their child’s strengths and development needs.

The RiSE+ platform enables parents, tutors and teachers to develop interventions which support children to reach their full potential. The platform leverages Janison’s existing library of 40,000 digital test questions and as children progress through each school year they access the next year’s material – avoiding the need for Janison to continually invest in developing new test content.

  4 IPP = International Platform Provider, where Janison is the technology platform provider only for PISA for Schools

5 NSP = National Service Provider, where Janison provides the full-service delivery of PISA for Schools – the technology platform and managing the onboarding, event management and support

 5

  Janison Exam Management (JEM)

Janison is now leveraging its national network of exam invigilation staff and on-demand testing centres in major cities across Australia to allow children to sit the ICAS competition remotely off school premises. This is an important milestone because it removes the school from the sales process, simplifying the sales cycle and relieving the administrative burden on schools to deliver and supervise the ICAS assessment event. In FY22 JEM assets also enabled digital remote delivery of online exams for the NSW Opportunity Class placement tests and for Chartered Accountants, supporting the Janison Solutions and Janison Assessments business units.

Higher education institutions have signalled a return to end-of-semester exams outsourced and operated by Janison (JEM) however post COVID take-up has seen lower volumes than expected.

 6

 Cash and Profit Focus

Several improvement programs have been completed during FY22 including the acceleration of the acquisition integration plans and consolidation of legacy bespoke assessment platforms. Through carefully managed attrition and discretionary spending reductions, the Company has now materially reset its cost base and operating structure. Management believes it will enter FY23 with a nimbler organisation and expects to be cashflow positive for the year.

Janison expects to finish FY22 with $11.7m of cash on hand at 30 June 2022. During the year, the Company acquired two businesses with a cash component totalling $7m.

Outlook

Management remains confident in the medium-long term outlook for digital assessments (products and solutions) and the Company’s leading position in the market for powering high volume, highly secure and scalable assessments for schools and accreditation customers. The impact of COVID over the past two years has increased the market size and rate of digital adoption but has pushed out the timing of customers’ willingness to commit to large-scale transformations or deployments due to the extent of disruption in the market and resourcing constraints.

Release of Annual Report

Janison will be publishing its Annual Report on Monday 22 August 2022. A webinar will be held on the morning of release for investors to listen to a live update from management and with an opportunity for questions. Further details and a link to the webinar will be released in the next few days.

***

This release has been approved by the board.

For further enquiries, please contact Stuart Halls at: IR@janison.com