Review of Operations Directors’ Report Chairman’s Letter CEO’s Report Financial Report Shareholder Information 6 INCOME TAX (CONTINUED) Total estimated tax losses not brought to account at 30 June 2025 for the consolidated tax group, comprising INOVIQ Limited and its wholly owned subsidiary Sienna Cancer Diagnostics Ltd (Sienna), totals $8,522,318 (2024: $7,586,090). This total includes losses incurred by Sienna since 1 July 2015 being the period from which point onwards an external tax specialist determined tax losses would be accessible to the Group after application of the Income Tax Assessment Act 1997 loss transfer provisions, encompassing the requirement to satisfy either the Continuity of Ownership Test (COT) or Similar Business Test (SBT). Tax losses incurred by foreign subsidiary INOVIQ Inc. (formerly Sienna Cancer Diagnostics Inc.) are not included in estimated tax losses not brought to account. It is not probable that the Group will be in a position to utilise these tax losses in future. Some deferred tax assets have not been brought to account at 30 June 2025 because the directors do not believe it is appropriate to regard realisation of the future tax benefit as probable. These benefits will only be obtained if: (i) the Group derives future assessable income of a nature and of an amount sufficient to enable the benefit from the deduction for the loss to be realised; (ii) the Group complies with the conditions for the deductibility imposed by law including the continuity of ownership and/or business tests; and (iii) no changes in tax legislation adversely affect the Group in realising the benefit from the deduction for the loss. 7 CASH AND CASH EQUIVALENTS & CASH FLOW INFORMATION As at 30 June 2025 $ As at 30 June 2024 $ Cash at bank 520,923 912,442 Term deposits* 6,000,000 8,320,750 Cash and cash equivalents comprise cash at bank 6,520,923 9,233,192 * All have a term of three months or less from the date of commencement of the deposit. Net loss after income tax (6,932,280) (6,554,350) Share based payments expense 824,563 834,774 Depreciation and amortisation 1,380,112 1,443,926 Unrealised foreign exchange (gain)/loss (96,658) 1,177 Changes in Assets & Liabilities: (Increase)/decrease in receivables (398,499) 17,393 (Increase)/decrease in inventories (28,962) (17) Increase/(decrease) in payables 413,281 (139,438) Increase/(decrease) in provisions 91,262 20,199 (Increase)/decrease in prepayments 84,507 53,412 Net cash used in operating activities (4,662,673) (4,322,924) 45 Annual Report 2025
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