Financial Performance - Group revenue for the six months ended December 31, 2020, was $22.7 million, a decline of 28% from $31.4 million in the same period of the previous year[14]. - Gross profit decreased by 17% year on year to $4.6 million, while gross profit margin improved to 20% from 18%[7]. - Underlying adjusted EBITDA was $1.2 million, down from $5.5 million in the prior corresponding period[7]. - Revenue from the Critical Power Services segment was $22.2 million, a decrease of 29% compared to $31.3 million in the prior year, primarily due to COVID-19 impacts[18]. - Revenue from the newly acquired Electric Vehicles business for November and December 2020 was $0.4 million[19]. - Total revenue from Australia was $22.2 million, down $9.1 million from $31.4 million in the previous year[20]. - Revenue from contracts with customers decreased by 27.8% to $22.7 million for the six months ended December 31, 2020, compared to $31.4 million in the prior year[74]. - Operating profit fell by 108.1% to a loss of $0.4 million, down from a profit of $4.6 million in the corresponding prior period[74]. - Profit before income tax for the six months ended December 31, 2020, was a loss of $16,000 compared to a profit of $2,173,000 in 2019, indicating a significant decline[78]. - Total comprehensive loss for the period was $382,000, with retained earnings decreasing to $(43,705,000) as of December 31, 2020[80]. Acquisitions and Partnerships - The acquisition of 51% of Tembo e-LV B.V. was completed on November 5, 2020, with the remaining 49% acquired post-balance sheet date on February 2, 2021[7]. - VivoPower executed a landmark partnership deal with GB Auto in Australia worth up to $250 million over the next four years[5]. - The company announced a marquee deal with Tottenham Hotspur FC to provide a full suite of sustainable energy solutions for their key infrastructure assets[6]. - The company acquired 51% of Tembo for $4.8 million, with plans to acquire the remaining 49% for $2.2 million plus shares[45]. - VivoPower completed the acquisition of the remaining 49% of Tembo for $2.2 million, bringing total ownership to 100%[70]. - The company secured a seven-year distribution agreement with GB Auto, expected to generate a minimum of $250 million over the initial four years[68]. Cost Management and Expenses - Cost of sales for the first half of the current fiscal year was $18.0 million, down from $25.8 million in the prior fiscal year, reflecting a decrease of 30%[21]. - General and administrative expenses increased by 39% year-on-year to $3.8 million, up from $2.8 million, due to increased headcount and share incentive awards[23]. - The loss on sale of assets was $0.3 million in the first half of the current fiscal year, compared to a gain of $2.7 million in the prior year[24]. - Finance income was $3.5 million, while finance expenses were $1.3 million, resulting in a net finance income of $2.2 million[30][31]. - The finance expense decreased significantly to $247,000 in 2020 from $1,632,000 in 2019, reflecting better debt management[78]. Assets and Cash Flow - Intangible assets increased by $6.2 million to $36.0 million, driven by $3.2 million in goodwill from the acquisition of Tembo and exchange rate movements[33]. - Cash and cash equivalents rose to $17.4 million from $2.8 million, primarily due to a net share capital raise of $26.4 million[44]. - The company completed a share capital raise generating gross proceeds of $28.8 million, with net proceeds of $26.4 million after costs[43]. - Total assets increased to $83.6 million as of December 31, 2020, up from $62.4 million as of June 30, 2020[76]. - Net cash used in operating activities increased to $6,746,000 in 2020 from $3,130,000 in 2019, reflecting higher operational costs[78]. - Cash and cash equivalents at the end of the period rose to $17,398,000 in 2020 from $2,751,000 in 2019, showing improved liquidity[78]. - The company experienced a net cash outflow from investing activities of $1,366,000 in 2020, compared to a net inflow of $803,000 in 2019[78]. Operational Developments - VivoPower's U.S. solar project portfolio has a combined potential electrical generating capacity of 1.8 GWdc, with 22 projects totaling approximately 963 MWdc discontinued due to various issues[61][62]. - J.A. Martin completed a contract for the 39 MWdc Molong Solar Farm, bringing its total completed and contracted solar farms to over 150 MWdc[54]. - The company refinanced its funding facilities, achieving a 38% reduction in costs and more flexible terms to support anticipated growth[52]. - Tembo's revenue was $0.4 million for the six months ended December 31, 2020, with a loss before tax of $0.5 million due to operational disruptions from COVID-19[67]. - The company reported a gain on solar development of $324,000 in 2020, a recovery from a loss of $2,707,000 in 2019[78]. - The decrease in trade and other receivables was $671,000 in 2020, down from $1,714,000 in 2019, indicating improved collection efforts[78]. - Non-controlling interest increased to $1,816,000 as of December 31, 2020, compared to $77,000 in the previous year, indicating growth in subsidiary investments[80].

Financial Performance - The company reported a significant increase in revenue, reaching $1.5 billion, representing a 20% year-over-year growth[11]. - The company reported a revenue of $1.5 billion for the quarter, representing a 15% year-over-year increase[1]. - The company provided a positive outlook for the next quarter, projecting revenue growth of 15% to $1.725 billion[11]. - The company provided guidance for the next quarter, expecting revenue to be between $1.6 billion and $1.7 billion, indicating a growth of 7% to 13%[1]. - Revenue from contracts with customers for the year ended June 30, 2020, was $48.71 million, an increase of 12.5% compared to $43.55 million in 2019[28]. - For the year ended June 30, 2020, total revenue was $29,343,000, a 31% increase from $22,417,000 in 2019[150]. - The company generated revenue of $48.7 million, a 12.5% increase from $43.5 million in the previous year[202]. User Growth and Engagement - User data showed an increase in active users to 10 million, up from 8 million last year, indicating a 25% growth in user base[12]. - User data showed a growth of 20% in active users, reaching 10 million users by the end of the quarter[1]. - New product launches included a software update that improved user engagement by 25%[1]. Market Expansion and Strategy - Market expansion efforts are underway in Europe, targeting a 30% increase in market share by the end of the year[12]. - The company is expanding its market presence in Europe, targeting a 30% increase in market share by the end of the fiscal year[1]. - The company plans to enter the commercial electric vehicle market, focusing initially on light electric vehicles in the mining and infrastructure sectors in Australia[39]. - The company is exploring expansion into international markets, which may involve significant risks including legal, political, and operational challenges[65]. Product Development and Innovation - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[12]. - The company is investing $50 million in R&D for new technologies aimed at enhancing user experience[11]. - Research and development expenses increased by 10% to $200 million, focusing on new technology innovations[1]. - VivoPower is exploring opportunities to develop battery energy storage assets alongside its solar developments due to increasing demand in the market[166]. Financial Health and Cost Management - Cost management strategies have led to a 10% reduction in operational expenses, improving overall profitability[12]. - Operating cash flow increased by 25% to $400 million, reflecting strong financial health[1]. - The gross margin improved to 60%, up from 55% in the previous quarter[1]. - General and administrative expenses decreased to $5.48 million in 2020 from $7.20 million in 2019, reflecting a reduction of 23.9%[28]. - Current liabilities decreased to $19.7 million as of June 30, 2020, from $29.1 million in 2019, indicating improved management of short-term obligations[30]. Acquisitions and Partnerships - The company has completed a strategic acquisition of a tech startup for $100 million to bolster its product offerings[11]. - The company completed an acquisition of a smaller tech firm for $300 million to enhance its product offerings[1]. - The company announced a new strategic partnership with a leading industry player to co-develop products[1]. - VivoPower's acquisition of VivoPower Australia and Aevitas for a total cash consideration of $10.1 million strengthens its market position in critical power services[127]. Customer Satisfaction and Performance - Customer satisfaction ratings have improved to 90%, reflecting a 5% increase from the previous year[12]. - The Critical Power Services segment saw revenue growth of $5.7 million, reaching $48.6 million, while solar revenues decreased to $0.1 million from $0.6 million[204]. Risks and Challenges - The company faces risks related to joint ventures, including potential revenue loss and difficulties in finding new partners if existing ventures are terminated[48]. - The company may experience delays or failures in entering into Power Purchase Agreements (PPAs) for solar projects, which could adversely affect revenue and cash flows[49]. - The company’s future projects may rely on long-term PPAs, and any inability of purchasers to fulfill contractual obligations could materially impact financial condition[50]. - The company faces competition from major players in the renewable energy services market, which may force price reductions to maintain market share[68]. - The company is exposed to foreign currency exchange risks due to operations in multiple currencies, which can affect reported financial results[78]. Regulatory and Compliance Issues - The company is subject to anti-bribery laws, and violations could lead to significant penalties and adversely affect its reputation and operations[81]. - The company is subject to various anti-corruption laws, including the U.K. Bribery Act and the U.S. Foreign Corrupt Practices Act, which impose significant compliance costs and risks[82]. - Compliance with evolving data privacy regulations, such as GDPR, imposes strict requirements and potential penalties, which could affect operational costs and legal liabilities[109]. Operational Disruptions - The COVID-19 pandemic has already caused operational disruptions, including employee stand-downs and redundancies, impacting demand and business performance[121]. - The company faced operational disruptions due to the COVID-19 pandemic, resulting in delays and adversely affecting profitability margins[142]. - Natural disasters and health epidemics, such as COVID-19, could materially disrupt operations and lead to significant adverse effects on business continuity[120].

Financial Data and Key Metrics Changes - Annual revenues for FY'20 were recorded at $48.7 million, primarily driven by growth in the Aevitas Critical Power Services business in Australia [5] - Gross profits increased by 28% year-over-year, attributed to margin improvements and a better pricing strategy [7] - Underlying EBITDA turned around from a loss of $3.8 million last year to a profit of $3.9 million in FY'20, excluding restructuring and non-recurrent charges [8] - Cash declined to $4.3 million from $7.1 million year-over-year, reflecting working capital drawdown and slowdowns in collections during COVID-19 lockdowns [10] - Net debt increased to $23.1 million, reflecting the reduction in cash balance and continued support from the major shareholder [11] Business Line Data and Key Metrics Changes - Aevitas, the Critical Power Services business, achieved strong revenue growth while also reducing overhead costs [7][8] - The company is pivoting towards a sustainable energy solution, including electric vehicles, which is expected to leverage its existing customer base of over 700 active clients [12][13] Market Data and Key Metrics Changes - The Australian market is experiencing strong tailwinds for renewable energy initiatives, supported by government actions [23][27] - The focus on electric vehicles and battery storage is expected to grow, with the Australian battery storage market becoming economically viable [37] Company Strategy and Development Direction - The strategic pivot includes a focus on electric vehicle (EV) solutions, battery leasing, retrofitting customer premises, and second-life applications for EV batteries [12][15][17] - The company aims to deliver a holistic three-pronged sustainable energy solution, emphasizing customer engagement and operational efficiency [15][49] - The board has been strengthened with technology and software capabilities to align with the new strategy [19][20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by COVID-19 but expressed optimism about the recovery and growth in the Australian operations [6][23] - The company is focused on executing its strategy and expects to announce new developments in the coming weeks [63] Other Important Information - The company is in a turnaround phase for its U.S. solar portfolio and is looking to monetize its solar projects to fund the new EV strategy [34][56] - There is a strong emphasis on capital efficiency and optimizing the balance sheet to support growth initiatives [58][59] Q&A Session Summary Question: Are there any questions from participants? - No questions were raised during the session [61] Closing Comments - Management expressed gratitude for participation and highlighted the transition to a phase of hyper-scaling, emphasizing execution as the key focus moving forward [63]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended OR ☒ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of event requiring th ...