Freelancer : 2022 Interim Financial Report & Appendix 4D

For personal use only

For personal use only

Appendix 4D

For the half year ended 30 June 2022

Freelancer Limited

ACN 141 959 042

Results for announcement to the market

For the half year ended 30 June 2022 ("current period")

	Half year	Half year
	ended	ended
	30 June 2022	30 June 2021
	$000	$000	Change %
Revenues from ordinary activities	29,245	27,822	up 5.1%
Loss from ordinary activities after tax attributable to shareholders	(3,144)	(1,682)	down 86.8%
Net loss for the period attributable to shareholders	(3,144)	(1,682)	down 86.8%
No dividends have been declared for the reporting period.
	30 June 2022	30 June 2021
		(Cents)	(Cents)
Net tangible assets per security		(2.81)	(1.80)

Additional Appendix 4D disclosure requirements can be found in the notes to the Interim Financial Report and the Directors' Report for the half year ended 30 June 2022. Information should be read in conjunction with Freelancer Limited's 2021 Annual Report and the attached Interim Financial Report.

This report is based on the consolidated interim Financial Report for the half year ended 30 June 2022 which has been reviewed by Hall Chadwick with the Independent Auditor's Review Report included in the Interim Report.

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Contents
	Page
Directors' Report ............................................................................................................................................................	3
Auditor's Independence Declaration ..............................................................................................................................	4
Consolidated Statement of Profit or Loss and Other Comprehensive Income ...............................................................	5
Consolidated Statement of Financial Position................................................................................................................	6
Consolidated Statement of Changes in Equity...............................................................................................................	7
Consolidated Statement of Cash Flows .........................................................................................................................	8
Notes to the financial statements ...................................................................................................................................	9
Directors' Declaration...................................................................................................................................................	16
Independent Auditor's Report ......................................................................................................................................	17
Corporate Directory......................................................................................................................................................	19

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Freelancer Limited

Directors' Report

The Directors present their report together with the financial statements of the consolidated entity (the Group), consisting of Freelancer Limited (the Company) and its controlled entities for the half-year ended 30 June 2022 and the Independent Auditor's Review Report thereon.

Directors

The names of the Directors of Freelancer Limited during the half-year and up to the date of this report are as follows:

Matt Barrie	Chairman and Chief Executive Officer
Darren Williams	Non-Executive Director
Simon Clausen	Non-Executive Director

Review of operations

During the half-year ended 30 June 2022, the Group generated net revenue of $29.2 million, up 5.1% on 1H21. Gross Payment Volume1 (unaudited) was $652 million, up 15.2% on 1H21.

The online marketplace segment generated net revenue of $23.5 million, up 3.4% on 1H21. The online payment services segment generated net revenue of $5.7 million, up 12.8% on 1H21.

Gross profit for the half-year ended 30 June 2022 was $24.9 million, up 7.8% on the prior corresponding period (1H21: $23.1 million) due to revenue growth and improved gross margin of 85.5%(1H21: 83.3%).

Total operating expenses were $30.3 million, up 14.0% on the prior corresponding period (1H21: $26.5. million). These higher costs were mainly attributable to increased payroll related costs of 15.8% and increased marketing related costs of 30.6% on the prior corresponding period.

The Group reported an operating net loss after tax of $(3.1) million (1H21: $(1.7) million). Operating cash flow was

positive $2.3 million (1H21: $2.7 million).

Dividends paid or recommended

In respect of the half-year ended 30 June 2022, there have been no dividends paid or provided for (1H21: nil).

Auditor's independence declaration

A copy of the Auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out on page 4.

Rounding off of amounts

The Company is a company of the kind referred to in Australian Securities and Investments Commission Instrument 2016/191. Amounts in the Directors' Report and the accompanying financial statements have been rounded off in accordance with that Class Order to the nearest thousand dollars, unless otherwise stated.

This report is made in accordance with a resolution of Directors.

Matt Barrie

Chairman

27 July 2022

1 Gross Payment Volume (GPV) is calculated as the total payments to Freelancer and Escrow users for products and services transacted through the Freelancer and Escrow websites plus total Freelancer and Escrow revenue.

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Auditor's Independence Declaration

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