Only $92K receipts for the quarter and a burn of $1.16M. $100K cash left and a $680K finance facility. Another CR coming and SP of 1.4c. Unless they can pull a big contract out it is not looking good.

Global Social Media Platform Company new contract for US$1.2M will be invoiced monthly. Payment for the invoice issued in December of US$120K was received in in January 2024.

Invoiced year to date is USD $1.7M, invoicing USD $188K in the fourth quarter. • USD $292K in receivables as of 31 December 2023.

Award expected no later than 1st qtr. 2024 for U.S. Department of Homeland Security, Cybersecurity and Critical Infrastructure Agency (CISA) ACTS 5YR Contract which Peraton responded to as Prime Contractor for all DHS cybersecurity capabilities. Contract scope is USD $2.4B per YR with teaming agreement for WhiteHawk, as a sub-contractor for Cyber Technology Insertion and Cyber Supply Chain Risk Management (CSCRM) capabilities.

WhiteHawk continues to manage expenses within planned budget, expending US$255K on average per month in total operating expenses over the last two quarters of 2023 prior to recent cost reductions

The Company is seeking shareholder approval at the General Meeting of the Company on 20 February 2024 to raise up to A$2,500,000 for future working capital

Company has access to additional A$1m from Lind Partners, which will be considered if and when appropriate. 

Held in RL value $500 time to take losses?

Contracts have not appeared and with cash running low WHK announced a non-renounceable Rights Issue. Could still turn around for the year but potential revenue is lumpy and winning contracts seems to be a very slow process

(1) fully paid ordinary share in the capital of the Company (Share) for every six (6) Shares held at an issue price of A$0.032 per Share, to raise up to A$1,368,323 (Rights Issue). The issue price of A$0.032 represents 15.79% discount to the closing share price on 18 July 2023 or 13.5% discount to the five day VWAP on 18 July 2023. Funds to be used as follows

Then announced contract renewal for its cyber risk radar. US Federal Government contract announced in July 2020 now extended for 4th year valued at USD $672K base, with option for additional USD $505K services.

4C showed a loss of $700k on revenue of $103K and $1.8M loss for 1st half.

Invoiced second quarter to date is USD $903K. • USD $173K in receivables as of 30 Jun 2023. • Finished the 2nd quarter of 2023 with a cash position of USD $311K and no debt.

Small position in RL

WHK SP has improved from 6.4c to 8.6c with increased revenue and a break even quarter. Plenty of irons in the fire.

During the 4th quarter, collected US$858K relating to sales receipts from customers. ($670K previous Q)

US$400K in receivables as of 31 Dec.

Finished the 4th quarter of 2022 with a cash position of US$2.171M and no debt.

Fourth Quarter of 2022 was the second cash positive quarter for WhiteHawk in CY22

Global Social Media Platform Company Cyber Risk Radar contract renewed as announced to ASX on 8 December 2022 for 12 months, with engagement for expansion to additional business units.

Commenced Cyber-Supply Chain Risk Management (C-SCRM) IRAD first phase with Peraton in December 2022 and scoping phase 2 for 1st QTR 2023.

Partner Dun & Bradstreet (D&B) sold 500 Cyber Compliance Licenses Powered by WhiteHawk to a major U.S. Federal System Integrator (FSI).

With D&B Public Sector in lead, awaiting Board of U.S. Federal Reserve Bank decision on a Cyber Risk Monitoring contract across all 5,000 U.S. Financial Institutions, due in 1st QTR 2023.

Pipeline includes potential for AWS Corporate and their C-SCRM provider Exiger, to integrate WHK’s Cyber Risk Mitigation capabilities, with a focus on highest risk companies.

Responded to the U.S. Department of Homeland Security (DHS) CISA NRMC SCRM small business Sources Sought opportunity - contract is for 3 years for $30M USD.

Signed a Letter of Intent with Peraton as a Cyber Technology Insertion and C-SCRM Partner on the DHS CISA Cybersecurity contract vehicle ACTS, 3rd/4th QTR 2023.

Finalizing a Cyber Florida Critical Infrastructure Cyber Risk Assessments Pilot to be conducted across 150 entities in 1st QTR 2023.

Contracting paperwork being finalized for a U.S. City, Cyber Risk Program FEB23.

Responded 15DEC22 to a Department of Energy Cyber Resilience of Rural Utilities Request for Proposal (RFP).

WHK working with AWS Federal, scoping a C-SCRM proof of value for a U.S, Department of Defense Program.

Advancing Sontiq WHK Business Suite SaaS EMBED sales to global Managed Service Providers, Financial & Insurance Firms for their SME Business Clients.

Awaiting decision on, a 60-day U.S. Government Cyber Risk Radar, C-SCRM Proof of Value, for $350K USD.

You would think that with all the hacking news this company should be shooting the lights out. $670K receipts for a cash outflow of $518K ($395K for 9months). $400K already for next quarter. $3M private placement (first tranche at 10c) keeps the lights on and develops a move in to the AUS market, lots of potential US contracts. MC $14M 6.4c

Cashflows

Revenues continue to grow, with the Company invoicing US$2.6M through the third quarter of 2022. Invoiced US$644K of government contracts and WhiteHawk Scorecards

Subsequent to the quarter end, the company will collect US$400K in receivables from invoicing of WhiteHawk Scorecards.

WhiteHawk continues to manage expenses within planned budget expending US$1.2M in the third quarter over US$1.1M for same period last year.

WhiteHawk is pleased to announce that it has signed an agreement for A$3M private placement with Lind Global Fund II, The A$3M investment by Lind is via a prepayment of cash for placements of ordinary fully paid shares (“Subscription Shares”) and unlisted options (“Options”). The proceeds will be used for working capital to support pipeline of cyber risk contract opportunities.

Develop business opportunities in Australia to complement the current US market penetration given the obvious high need for effective cyber security risk reviews as evidenced by the recent high profile, high cost data leaks at Optus, Medibank Private and Woolworths as well as the recent AICD launch of the AICD Cybersecurity Governance Principles and the expected new Australian Federal Government legislation governing data breaches.

Expand client engagements across all Commercial Sales Channels to include Sontiq (a TransUnion Company) and Amazon Web Services.

Advance the number of Cyber Risk Solution Partnerships with Global Consulting Firms.

Close on current and grow future Proofs of Value, that lead to annual subscriptions.

Improve technical integration with key Partner Technologies in support of current and future Cyber Governance, Risk and Compliance focused client requirements.

As a result of our JUN22 GSA Shark Tank win, WhiteHawk was asked to join and demo Cyber Risk Radar Cyber - Supply Chain Risk Management (C-SCRM) platform to U.S. Federal Acquisition Community of Practice (ACoP) in September/October across 500+ Federal Acquisition and Procurement professionals, in anticipation of an initial Proof of Value Contract

As a result of a joint email and social media marketing campaign with D&B Cyber Compliance, in C-SCRM engagements with 3 Top 10 Federal System Integrators.

Amazon Web Services (AWS) has asked us to vet the WHK C-SCRM offerings in support of potential joint sales campaigns. 

The Office of the U.S. Secretary of Defense Cybersecurity Maturity Model Certification (CMMC 2.0) that was delayed by two years, is now set for initial launch in 2023 across 300,000+ Federal Contractors and Suppliers https://www.acq.osd.mil/cmmc/aboutus.html WhiteHawk is uniquely positioned to provide an automated Path to CMMC 2.0 with our U.S. Federal focused partners AWS Federal, Peraton, and D&B.

WhiteHawk continues to manage within a US industry 9% inflation rate, making some reductions to monthly expenses, while maintaining a healthy gross margin of 25% to 40% across all product line subscriptions. And we continue collaborating closely with our strategic vendor partners to achieve best pricing thus reducing inflationary impacts outside of our control.

Small parcel held in RL

Finances improving and $728K cash flow +ve last quarter on $2.2M receipts. $505K this month. Market cap $27M, 227M shares, no debt.

Share price received a bump from the non ASX announcement of contract with Global Social media company after Proof of Concept (POC) but still a long way off highs. Dun and Bradstreet and Amazon Web Services revenue delayed to 4th Quarter, COVID delays with US government contracts easing. Not affected by supply chain issues. 3 possible new contracts from POC

Invoiced US$1.8M over US$442K in the same period in 2021, a 400% increase.

During the 1st quarter, collected US$2.2M relating to sales receipt from customers.

US$505K in receivables as of 31 March.

WhiteHawk finishes the 1st quarter of 2022 with a cash position of US$2.1M and no debt.

Executed Cyber Risk Radar Contract with Global Social Media company that commenced 14FEB22, for $1.5M USD after completing a 2021 Proof of Concept.

Executed Master Agreement with Dun & Bradstreet (D&B) as a Cyber Compliance partner, initial contract for one year with 4 option years of a broad “Cyber Compliance” reports subscription to include a contract for an initial 2,500 licenses. Integrated offering kick-off of 01FEB22, with marketing and sales campaigns starting in March 2022.

WhiteHawk Near Term Objectives:

1. Close on three current Cyber Risk Radar & Program contract proposals, based upon successful Proofs of Concept (POC)

2. Advance Dun &Bradstreet and Amazon Web Services sales to US Federal Systems Integrators (FSIs) and US Federal & Commercial Sectors – Contracting Cyber Compliance and Cyber Risk Scorecard subscriptions respectively

3. Kick-Off Cyber Risk PaaS & EMBED Cyber Risk Scorecard sales to one of the current Financial Sector clients in the pipeline 4. Maximize ceiling on current government contracts & respond with Defense Industrial Partners on two known 2022 Cyber-Supply Chain Risk Management (C-SCRM) Request For Proposal (RFP).

Disc: Small position in RL -40% but will be monitoring to re-enter

SP has gone nowhere. Lots of possible revenue streams in 22. 2.6 Q in the bank. 517k outflow on 657k receipts.

Invoiced in 2021, US$3.4M over US1.9M revenue recognized in 2020 being a 180% increase year on year

• During the 4th quarter, collected US$657K relating to sales receipt from customers.

• US$928K in receivables as of 31 December 2021.

• WhiteHawk finishes the 4th quarter of 2021 with a cash position of US$1,350,130 and no debt.

• Executed Master Agreement with Dun & Bradstreet, initial contract for one year with 4 option years of broad Cyber Compliance subscription to include a contract for an initial 2,500 Report licenses for US$685K and an integrated offering kick-off of 01FEB22.

• Completed successful Cyber Risk Radar Proof of Concept with global social media company and currently finalizing Master Services Agreement for a Cyber Risk Radar contract for that company starting in first quarter 2022.

• Contracted a Cyber Risk Program Proof of Concept for a U.S. National home product manufacturer in December 2021, with a kick-off in January 2022.

• Additional task order requested on current US Federal Government Chief Information Security Officer (CISO) Contract, scoped and being processed for execution throughout 2022.

• Cyber Risk Program contracts for a globally ranked University and U.S. national manufacturer positioned for execution in first quarter 2022.

• Awaiting procurement paperwork completion to kick-off one US Federal Government and one US National Lab Cyber Risk Radar Proof of Concepts in 1st quarter 2022.

After no news over the last 2 months an announcement to give the SP some support. Let’s hope the growth continues. However significant churn? and margin reductions? could hit the bottom line in the short term.WhiteHawk Projected Revenue Grows by 180% in 2021

• In 2021 WHK will invoice US$3.4M over US$1.9M revenue recognized in 2020 being a projected 180% increase year on year

• During COVID Contracts have been renewed 80% of the time (20% didn’t this doesn’t sound great to me)

• Pipeline has been consistently expanded both on the US Commercial sector and US Federal Government sector over the past 3 years

In-spite-of, the COVID market dynamics and delays in the procurement and contracting processes, WhiteHawk has been able to deliver continued dramatic growth in 2021. Proof of Concepts have led eventually to multi-year contracts.

Terry Roberts, Executive Chair of WhiteHawk, commented, “While business development and procurement processing during COVID has been challenging and protracted, both across the US Federal Government and Industry, our pipeline client relationships have remained strong, and our product lines continue to be extremely competitive and tailorable to any client’s requirements. As a result, we began to offer lower cost Proofs of Concept (POC), so clients could see our risk identification, prioritization and mitigation automation and ability to scale. Thereby resulting in impactful contracts. It took longer – but has delivered results.”

Still some delays from the Biden administration not moving as quickly as hoped. Potential for significant growth and FCF but has fallen out of favour with share price down over 50% from peak.

Invoiced US$1.964M YTD in 2021 up 8% over same period 2020. Invoicing US$1.2M in the third quarter of 2021.

• Collected US$880K relating to sales receipt from customers.

• US$526K in receivables will be collected in October 2021.

• WhiteHawk finishes the 3rd quarter of 2021 with a cash position of US$1.861M and no debt.

Net cash outflow of 176K

Disc: held in RL

whk 1/2 yearly

Revenue of 1M up 86% loss 1.4M up 12%  2M in cash.

CR likely? With all the recent cyber security issues I was hoping for something more positive

“Information on likely developments in the operations of the Group and the expected results of operations have not been included in this statement because the directors believe it could potentially result in unreasonable prejudice to the Group.”

Is this a standard statement?

“Revenue continued to improve simultaneously due to growing product lines and expanded sales channels. Gross margin decreased due to different mix of product sales over the same period as last year with reductions in high margin referral and scorecard revenue.Operating expenses remain relatively the same as last year with continued focus on allocating resources to marketing of sales channels and the continued development of WhiteHawk’s online exchange.”

WhiteHawk has a cash position of US$2M and no debt at the end of the reporting period.

• Executing 2nd YR of contract as development lead for U.S. Department of Homeland Security (DHS) CISA QSMO Cybersecurity Marketplace, as a sub- contractor to Guidehouse (formerly PWC Federal), for US$1.5 to $1.8M Fiscal Year 2021. YR 3 currently being scoped.

• Option Year 1 of 4 option years (beyond current year) has been exercised by the US Federal Government in August 2021. Completed first year as Prime Contractor on U.S. Federal Government CISO Cyber Risk Radar for up to US$1.18M annually.

• Cyber Risk Program contract renewed for 2nd YR, Phase 1 for US$100K via a Global Consulting Firm in direct support of a Global Manufacturer. Phase 2 scoped for a Cyber Risk Radar across an initial 1,000 suppliers in 2021 for US$1.1M.

• WhiteHawk is now fully onboarded as a member of the Amazon Web Services (AWS) Partner Network (APN) commercial marketplace and can sell our automated Cyber Risk Scorecards for individual companies or across a portfolio of vendors and suppliers, allowing WhiteHawk marketing and sales to both industry and government clients direct and at scale, without an additional contract vehicle. AWS is a subsidiary of Amazon.

• Finalizing integration of WhiteHawk’s Cyber Risk Vulnerability Assessments into a Global Credit Risk Manager’s automated reporting services, in support of both Government Organizations and Defense Industrial Base Contractors and Suppliers.

• Global Social Media Company Request for Quote for a Cyber Risk Radar 60-day Proof of Concept (POC), potentially starting in September 2021.

• Responded to NAVINTEL, Dept of Navy, Open-Source Cybersecurity Small Business Sources Sought June 7, 2021 and Dept of Treasury Small Business Cyber Security Assessment RFI May 6, 2021.

• One Cyber Risk Platform as a Service Request for Quote was not accepted, another was delayed and two Cyber Risk Radar contracts remain active opportunities.

• Executing in earnest 2021 PR and Marketing Strategy in the U.S. and AU, to include two major international events

Not a lot of definite statements, later phases being scoped and two contracts remain active opprtunities. 

We know government contracts move slowly but I am perplexed by that first statement.

US federal Cyber Risk Radar contract renewed for $600KUS with option for additional 505K

Year 1 of 4 option exercised possible revenue of 2-3.7 M for the remaining 3 years.

Last quarter receipts of $400K AUD for a loss of $344K.

Hopefully this will lead to some more contracts being signed and a move to FCF.

Disc: held in SM and RL