Team Internet Business Overview

Cashflow waterfall model aligns Team Internet's strategic priorities Waterfall model 1. To ensure compatibility among Central Nic's strategic priorities, the Board intends to allocate the Group's free cash flow as follows: progressive dividend policy: given the Group's maturity and resilience in volatile markets, the Directors have decided to implement a progressive dividend policy as a fundamental cash return. The proposed dividend of 2.0 pence per share for 2023 (2022: 1.0 pence per share) represents approximately 11% of the year's free cash flow, providing ample room for growth and achieving other corporate objectives. 2. 3. 4. 5. organic growth: while all our business units have positive EBITDA, the Directors will consider investing in capital projects that drive the Group forward and yield returns above the cost of capital. These projects may include platform integration, content repository expansion, or international growth accretive bolt-on acquisitions: Central Nic is the company we know best. Thus, acquiring any other company must provide higher returns than repurchasing our own equity. Investing free cash flow in accretive acquisitions also helps reduce leverage by increasing pro forma EBITDA share buybacks: remaining free cash flow allows share buybacks within limits agreed upon with Shareholders, the banking pool and the debt repayment (net leverage) target described below. Shares may be reissued for acquisition purposes debt repayment: if any funds remain, they will be allocated to reduce the Group's gross debt. If net leverage approaches the levels seen at the end of 2021, 2.0x net debt to EBITDA, the Group will prioritise debt reduction over share buybacks, using free cash flow for this purpose ti 35

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