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Investor Presentaiton

ADACEL 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
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