Key audit matters Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial report of the current period. These matters were addressed in the context of our audit of the financial report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Other information The directors are responsible for the other information. The other information comprises the information included in the Group’s annual report for the year ended 30 June 2026 but does not include the financial report and our auditor’s report thereon. Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon. Research and development receivable and income Area of focus (refer also to notes 2, 3, 6 & 7) During the financial year and as disclosed in note 7, the Group recognised an R&D income tax incentive receivable of $1.7 million in the statement of financial position as at 30 June 2026 in respect of its estimated FY26 reimbursable R&D income tax incentive claim. The Group recognised R&D tax incentive income of $2.0 million recognised inclusive of additional 2025 receipted claim amounts in accordance with the Group's accounting policy. Despite there being a history of the R&D income tax claims being approved and cash reimbursement subsequently received there remains a risk that the R&D receivable is overstated with expenses inappropriately included in the claim and revenue therefore overstated. This matter was considered a Key Audit Matter due to the complexity and judgement applied in calculating the R&D claim and the material nature of the claim. How our audit addressed the key audit matter Our audit procedures included: — Income recognised from the FY26 R&D claim was tested substantively to assess it was recognised correctly as per AASB 120 Accounting for Government Grants and Disclosure of Government Assistance and the Group’s accounting policy; — Performed substantive testing of a sample of FY26 R&D expenditure incurred and employment payroll costs which are included in the FY26 R&D claim; — The R&D tax incentive claim workings were assessed by our specialist William Buck R&D team for its appropriateness with respect ATO guidelines to consider if expenditure is deemed eligible; and — Vouched the receipt of the prior period R&D income tax receivable amount to cash at bank in relation to the FY25 claim. We assessed the adequacy of the financial statement disclosures concerning the Group’s accounting policies with respect to the current claim and the disclosure within the notes to the financial report.
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