#1ADACEL ADACEL INVESTOR PRESENTATION HALF YEAR ENDED 31 DECEMBER 2022#2DISCLAIMER This presentation has been prepared by Adacel Technologies Limited (ACN 079 672281) (Adacel or the Company). The information contained in this presentation is current at the date of this presentation. The information is a summary overview of the current activities of the Company and should be read in conjunction with the Company's disclosures lodged with the Australian Securities Exchange, including the Company's Appendix 4D lodged on 20 February 2023. This document contains certain "forward-looking statements". Indications of, and guidance on, future earnings and financial position and performance, including Adacel's financial year 2023 outlook, are forward-looking statements, as are statements regarding Adacel's plans and strategies. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Adacel, which may cause actual results to differ materially from those expressed or implied in such statements. Adacel cannot give any assurance or guarantee that the assumptions upon which management based its forward-looking statements will prove to be correct or exhaustive, or that Adacel's business and operations will not be affected by other factors not currently foreseeable by management or beyond its control. Such forward-looking statements only speak as at the date of this document and Adacel assumes no obligation to update such information. This presentation includes certain financial measures that are not recognized under Australian Accounting Standards (AAS) or International Financial Reporting Standards (IFRS). Such non-IFRS financial measures do not have a standardized meaning prescribed by AAS or IFRS and may not be comparable to similarly titled measures presented by other entities and should not be construed as an alternative to other financial measures determined in accordance with AAS or IFRS. Recipients are cautioned not to place undue reliance on any non-IFRS financial measures included in this presentation. All references to dollars are to American currency (USD) unless otherwise stated. The release, publication or distribution of this presentation in jurisdictions outside Australia may be restricted by law. Any failure to comply with such restrictions may constitute a violation of applicable securities laws. This announcement was authorised for release by the Board of Directors ADACEL ADACEL ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 2#3ADACEL ADACEL AT A GLANCE A LEADER IN AIR TRAFFIC MANAGEMENT, SIMULATION & TRAINING SOLUTIONS Adacel | Public Company | Founded in 1987 | 200 Employees ADACEL TECHNOLOGIES, LTD. Melbourne, Australia Direct field support to Royal Australian Air Force (RAAF) and Air Services Australia ADACEL, INC. *I Montréal, Québec Canada Air Traffic Management (ATM) and International Simulation & Training business ADACEL SYSTEMS, INC. Orlando, FL, USA US Simulation & Training and customer support ADACEL TECHNOLOGIES ESTONIA OÜ Tallinn, Estonia Single & multi-tower remote operations and customer support PRIMARY CUSTOMERS AIR NAVIGATION SERVICE PROVIDERS DEFENSE & GOVERNMENT ORGANIZATIONS AVIATION TRAINING INSTITUTIONS GLOBAL FOOTPRINT 250+ LOCATIONS 40+ COUNTRIES ADACEL ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 3#4ADACEL MEET OUR TEAM Senior Management Daniel Verret CEO Mauro Ferrara CFO Board of Directors Michael McConnell Non-Executive Chairman ADACEL Kevin Pickett Vice President Operations Michael Saunders Vice President Business Development and Strategy Peter Landos BEco (ANU) Silvio Salom Non-Executive Director Non-Executive Director Natalya Jurcheshin, B.Comm, CA Eryl Baron Non-Executive Director Company Secretary ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 4#5H1 2023 - ADACEL KEY FIGURES REVENUE GROSS MARGIN EBITDA ADACEL $14.1 million $5.0 million 35.4% of revenues $2.0 million PROFIT BEFORE TAXES (PBT) $1.0 million 6.8% of revenues DIVIDEND TWO OPERATING SEGMENTS (breakdown of sales by operating segment) DIVERSIFIED GEOGRAPHICAL PRESENCE (breakdown of sales by geographic region) AUD 1.50 cents per share NORTH AMERICA 70% NET CASH ($44 thousand) EUROPE 16% ADACEL 33% 0 67% Services ■Systems CARIBBEAN 11% AFRICA ASIA- PACIFIC 1% 2% ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 5#6ADACEL H1 FY2023 SUMMARY ADACEL Consolidated View Revenues increased by 11%. However, given the revenue mix, consolidated gross margin decreased by 7.2% to $5M Revenues from Services made up 67.3% (H1 FY2022, 81.1%) of Consolidated revenues while Systems accounted for 32.7% (H1 FY2022, 18.9%) Services Segment Revenues decreased by 7.8% mainly due to lower volumes from our ATOP program in North America. Gross Margin, which includes an allocation of overhead and other fixed costs, decreased from 50% to 46% due to lower revenues. Heading into H2 FY2023, we have adjusted our direct costs to account for lower volumes. Systems Segment • Revenues increased to $4.6M up from $2.4M last year as we advanced on several ATM programs in Seychelles, St. Lucia and Martinique Gross Margin increased from 10% to 13.5% of revenues ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 6#7ADACEL ADACEL H1 FY2023 SUMMARY EBITDA EBITDA decreased from $2.7M in H1 FY2022 to $2M in H1 FY2023 due to the revenue mix and lower gross margins on revenues. In addition, we incurred additional costs for planned investments in Business Development activities and incremental costs resulting from the acquisition of our Virtual Tower business in May 2022. Outlook The Company now forecasts FY 2023 EBITDA between USD$4.4 million and USD$4.6 million and PBT between USD$2.4 million and USD$2.6 million, mainly due to lower revenues from our ATOP program in North America. In addition, the ongoing conflict in Ukraine has resulted in a delay of a planned delivery of a Virtual Tower system in Estonia for FY 2023. The Virtual Towers market is the highest growth sector in the ATC global equipment market, and we are well positioned to take advantage of this segment which is expected to grow to $500 million by 2027. ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 7#8400000 350000 300000 250000 200000 150000 100000 50000 0 7/1/2022 8/1/2022 CORPORATE OVERVIEW Appendix 9/1/2022 ADA Price/Volume for July 1, 2022 - December 31, 2022 10/1/2022 Volume Close 11/1/2022 12/1/2022 CAPITAL STRUCTURE 1.400 Shares on issue 1.200 ADACEL 76.4m 1.000 Share price AUD$0.83 December 31, 2022 0.800 Share price AUD$0.84 0.600 June 30, 2022 Market Capitalization 0.400 December 31, 2022 AUD$63.4 million 0.200 I. 0.000 Net cash as of 31 December 2022 - USD$ 44 thousand HY 2023 Dividend per share AUD 1.50 cents per share ADACEL ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 8#9ADACEL CONTACT US Adacel Systems, Inc 9677 Tradeport Drive Orlando, Florida 32827 USA Tel.: +1 (407) 581 1560 Fax: +1 (407) 581 1581 Adacel, Inc 895 De La Gauchetière West Suite 300 P.O. Box 48 Montréal, Québec H3B 4G1 Canada Daniel Verret Tel.: +1 (514) 636 6365 Fax: +1 (514) 636 2326 Adacel Technologies, LTD 29/3 Westside Avenue Port Melbourne, Vic, 3207 Australia Investor Relations: Eryl Baron Tel.: +61 2 8016 2895 Adacel Technologies Estonia OÜ Sõpruse pst 145, 13418 Tallinn Estonia PHOTOS TAUN STELM SAMSUNG ADACEL ISO 9001:2015 Certified | Appraised at CMMI Level 3 Capability | adacel.com | 20 February 2023 | 9