1Spatial : Annual Report for the Year Ended 31 January 2024

DELIVERING CONFIDENCE INDATA

FOR A SAFER, SMARTER AND MORE SUSTAINABLE WORLD

2024 Annual Report & Accounts

1Spatial plc Annual Report & Accounts 2024

Everything we do is built around a commitment to doing the right thing for our customers, our people and our planet. Our Mission, Vision, Purpose and Values guide the way we do business.

Making the world more sustainable, safer and smarter for the future is a team effort. Our people are passionate about making a difference and are key to unlocking the value of location data.

DISCOVER

WHAT'S INSIDE

	2024		MARKET	CHAIRMAN'S
	HIGHLIGHTS		OVERVIEW	STATEMENT
	06		12	20
OVERVIEW	STRATEGIC REPORT
02	At a Glance	12	Market Overview
04	Our Purpose	16	Our Business Model
05	Our Stakeholders	18	The 1Spatial Platform
06	2024 Highlights	20	Chairman's Statement
08	Our People	22	CEO's Review
10	Investment Case	28	Case Study
		34	Strategic Framework
		36	Environmental, Social and Governance
		50	CFO's Review
		56	Principal Risks and Uncertainties
		60	Section 172 Statement

Overview

Our Vision

To be the world's most trusted provider of Location Master Data Management ('LMDM').

Strategic Report

Governance

Financial Statements

01

Our Mission

Our mission is to develop automated solutions and applications that instil confidence in data. We do this with our 1Spatial platform - automatically auditing, validating, cleansing, synchronising, updating and analysing data at speed and at scale - delivering reliable data and developing innovative solutions that help our customers make better-informed decisions.

OUR

2024 REPORT

CEO'S

REVIEW

22

GOVERNANCE

ENVIRONMENTAL, CFO'S

SOCIAL ANDREVIEW GOVERNANCE

36 50

FINANCIAL STATEMENTS

62 Board of Directors

1. Corporate Governance Report

1. Audit Committee Report

68 Directors' Remuneration Report

72 Directors' Report

74 Directors' Responsibilities Statement

75 Independent Auditor's Report

1. Consolidated Statement of Comprehensive Income
2. Consolidated Statement of Financial Position
3. Consolidated Statement of Changes in Equity
4. Consolidated Statement of Cash Flows
5. Notes to the Financial Statements

1. Company Statement of Financial Position
2. Company Statement of Changes in Equity
3. Notes to the Company
   Financial Statements

125 Company Information

1Spatial plcAnnual Report & Accounts 2024

02

At a Glance

DELIVERING

CONFIDENCE

Accurate and reliable location data provides significant opportunities for businesses and governments to deliver against important sustainability and Net Zero goals, improve operational efficiencies and contribute to a better society for all.

1Spatial is a leader in delivering Location Master Data Management ('LMDM') software and solutions. We help solve our customers' data challenges by building strong data foundations and delivering innovative solutions for confident and informed decision-making, with location data as a key enabler.

Our user-friendly,no-code,cloud-enabled solutions and business applications facilitate automated data governance while delivering increased efficiencies and significant cost-savings - contributing to a safer, smarter and more sustainable world. Our global clients include national mapping and land management agencies, utility companies, transportation organisations, government, public safety and defence departments.

Business segmentation

With the launch of our SaaS based products during FY 2024, we have changed the way we describe and refer to our businesses throughout this Report. The segments we now refer to are the Enterprise business and the SaaS solutions business.

Enterprise Business

Our Enterprise business operates across all regions and generates revenue through several channels:

• Our market-leading software platform
• Proprietary applications developed on third-party platforms
• Re-saleof third-party software
• Product implementation services

The Enterprise business provides the requisite financial resources and product expertise to deliver our SaaS products with the 1Spatial brand adding credibility to these new offerings.

SaaS Solutions

Our SaaS product suite comprises the following products:

• 1Streetworks, a product designed to automate traffic management planning and save significant time and cost across the industry
• A cloud-based 'light' version of our
  NG-9-1-1 solution suitable for counties and cities within each US state. The solution allows counties and cities to validate data before submission to the State authorities

Overview

Strategic Report

Governance

Financial Statements

03

IN DATA

7

Operational countries

United Kingdom

United States

France

Belgium

Republic of Ireland

Tunisia

Australia

25

Locations of

our key customers

Australia	Morocco
Belgium	Netherlands
Canada	New Zealand
Denmark	Norway
France	Philippines
Germany	Republic of
Gibraltar	Ireland
India	Singapore
Ireland	South Africa
Indonesia	Spain
Italy	Tunisia
Luxembourg	United Kingdom
Monaco	USA

330

Employees worldwide

Discover more on page 8

OUR PARTNERS

Industries -Core Industry Sectors

GOVERNMENT & PUBLIC SAFETY

Helping governments manage, share and use data to accelerate delivery of economic, social and environmental benefits, improve public safety and enable better decisions and greater insights.

UTILITIES

Providing utility organisations with confidence in their data as they increasingly transform into digital organisations with machine learning, digital twins and preventative action being common practice.

TRANSPORTATION & INFRASTRUCTURE

Enabling organisations to effectively manage complex supply chains, deliver a dependable service and excellent customer experience, while reducing carbon emissions and environmental impacts for the industry.

1Spatial plc Annual Report & Accounts 2024

04

Our Purpose

DELIVERING

VALUE

Our purpose is to help customers make confident and informed decisions by unlocking the value of location data for a safer, smarter and more sustainable world.

We help our customers make critical location-based decisions in many different ways.

Safer

Our solutions help emergency centres in the USA correctly locate and route emergency services calls, helping to improve response times, alleviate the impact of disasters and contribute to life-saving emergency rescue operations.

Refer to the section on work done in the USA for NG-9-1-1 on page 31.

Smarter

Utilities companies and Distributed Network Operators ('DNOs') use our SaaS solutions to drive efficiencies and cost savings through the traffic management process.

See how we've helped the UK Power Networks improve their decision-making by automating their traffic management processes on page 28.

More accurate

Our customers rely on us to help them solve their most complex data problems. Our powerful software is able to fix and retest huge quantities of poor quality data resulting in increased operational efficiency.

See how we helped Hunter Water transition to a new Utility Network management system on page 32.

Overview

Our Stakeholders

Strategic Report

Governance

Financial Statements

05

TO ALL SHAREHOLDERS

Supporting the environment, our people and all stakeholders is fundamental to what drives us as a business.

Planet

We are committed to embedding sustainability at the core of our business. Not only do we support the United Nation's Sustainable Development Goals through the work we do for our clients, but through our own ESG strategy and sustainability initiatives. We continue to develop and evolve an ESG strategy and framework which, combined with our purpose, will guide our decision-making about the assets we deploy and the outputs we produce.

Customers

We work closely with our customers to identify and understand their business issues. Increasingly, customers cite sustainability, health and safety, and infrastructure investment as key drivers. Helping them make data- enabled decisions drives development of innovative solutions and applications, which in turn drives our business growth.

People

Our dedicated, committed and passionate team is the cornerstone of our success. Our culture is open, supportive, inclusive and encouraging. Guided by our purpose and underpinned by our values (We Respect, We Innovate, We Collaborate, We Trust and We Care), we believe in the concept of 1Team to achieve sustainable outcomes.

Suppliers & Partners

We strongly value the business relationships with our suppliers and partners and the opportunities created by working together. Through partnerships we learn, share best practice and set future goals so that we can bring our software and solutions to new geographic regions and industries and provide additional scale to our capabilities.

Our commitment to ESG means we are taking steps to embed sustainable practices across our supply chain.

Shareholders

We believe that our purpose is material to the performance of our business and aim to generate increasing value for our investors while managing within the risk, governance and compliance frameworks that guide us. We aim to engage openly, consistently and transparently with our shareholders through formal AGMs, results announcements and presentations, investor roadshows and conferences and updates on our website.

1Spatial plc Annual Report & Accounts 2024

06

2024 Highlights

HIGHLIGHTS

AND

Financial highlights

Group revenue increased 8% to £32.3 million, resulting in an annual increase of 15% in gross profit

Annualised recurring revenue ('ARR') increased by 9% to £17.2 million

Recurring revenue accounts for 56% of total revenues (FY 2023: 49%) driven by year-on-year term licence revenue growth of 60%

Operating profit grew to approximately £1.4 million (FY 2023: £1.3 million) despite the increases in inflationary costs

We launched our SaaS businesses in the period with £0.2 million of revenue generated from initial trials

	31 January	31 January	Change
	2024	2023
	£m	£m	%
Group revenue	32.3	30.0	8
Recurring revenue	18.1	14.8	22
Term licences revenue	8.3	5.2	60
SaaS solutions revenue	0.2	-	100
Group total ARR	17.2	15.8	9
Term licences ARR	7.7	5.6	38
Group gross profit	17.9	15.5	15
Adjusted EBITDA	5.5	5.0	10
Adjusted EBITDA margin (%)	17.0	16.7	0.3
Operating profit	1.4	1.3	8
Profit before tax	1.1	1.0	10
Earnings per share - basic (p)	1.1	1.0	10
Earnings per share - diluted (p)	1.0	0.9	11
Net cash	1.1	3.1	(65)

Alternative Performance Measures ('APMs')

The Group uses certain Alternative Performance Measures to enable the users of the Group's financial statements to understand and evaluate the performance of the Group consistently over different reporting periods. APMs are non-GAAPcompany-specific measures. As these are non-GAAP measures, they should not be considered as replacements for IFRS measures. The Group's definition of non-GAAP measures may not be comparable to other similarly titled measures reported by other companies. A description of the measures set out above is included below with a reconciliation to the closest GAAP measure included in note 2 to the consolidated financial statements.

APM	Explanation of APM
Recurring revenue(s)	Recurring revenue is the value of committed recurring contracts for term licences
	and support & maintenance recorded in the year.
Annualised recurring	Annualised recurring revenue ('ARR') is the annualised value at the year-end of
revenue ('ARR')	committed recurring contracts for term licences and support & maintenance.
Adjusted EBITDA	Adjusted EBITDA is a company-specific measure which is calculated as operating
	profit/(loss) before depreciation (including right of use asset depreciation),
	amortisation and impairment of intangible assets, share-based payment charge
	and strategic, integration and other non-recurring items.
Available liquidity	Available liquidity is the Group's gross cash balances less the undrawn element of
	the Group's revolving credit facility. Details of the revolving credit facility is more
	fully described in note 1.1 to the consolidated financial statements.
Net cash	Net cash is gross cash less bank borrowings.

Overview

Strategic Report

Governance

Financial Statements

07

OUTLOOK

Operational highlights

Our Enterprise business secured multi-year contracts across all of our key geographies, demonstrating the quality of our products and the strength of our customer relationships

Continued R&D investment in innovative solutions - launching two high-margin SaaS solutions, NG-9-1-1 and 1Streetworks, both targeting sizeable niche markets

• The UK increased its footprint across the utilities sector, secured multi-year contract renewals with key customers and developed the collaboration with UK Government agencies and strategic partners
• The US continues to represent a significant opportunity for the Group. We now partner with 18 US states, following the addition of the State of Oregon in the year, and continue to develop expansion opportunities with existing customers
• Europe has completed its transition from declining legacy software, winning considerable contracts at the end of the year, positioning the region for growth in FY 2025

1Streetworks contract		Five NG-9-1-1 SaaS
secured in February		contracts secured
2024 with UK Power
Networks, with the
opportunity to expand

Outlook

There has been a solid start to trading in the current financial year with a growing sales pipeline and two significant framework agreements secured, with the State of Texas and UK Cabinet Office

Anticipate growing contribution in FY 2025 and beyond from 1Streetworks and NG-9-1-1 SaaS sales, which represent a significant avenue for margin growth and cash generation

Measured additional investment in FY 2025 in US Enterprise and 1Streetworks sales teams, where we see considerable opportunity, based on our proven offerings and established customer relationships

While cognisant of inflationary cost pressures, the Board remains confident in delivering further progress in FY 2025 with a further growth step up in FY 2026 as the Company benefits from the current ongoing investment

1Spatial plcAnnual Report & Accounts 2024

08

Our People

PEOPLE - THE

LIFEBLOOD

At 1Spatial we celebrate our incredible team members and the welcoming atmosphere we have cultivated to ensure that they can work together to successfully solve our customers' problems. Our goal is to empower every individual across

our teams, nurturing talent and fostering growth through evolving approaches.

We are driven by our five core values:

	Our people as individuals and we're proud of our
	friendly culture
WE	We respect each other as individuals and treat everyone with equality
and respect. Our friendly and diverse culture is approachable
RESPECT
and noticeable across our whole business and the outside world.
	We celebrate each and every individual and value our diversity.

In our supportive culture, everyone finds a place to shine. We are dedicated to supporting our employees, offering flexibility, and embracing diversity at every opportunity.

Employee engagement

Our managers lead with empathy and trust, as reflected in the positive feedback from our global employee engagement survey. Here is what our survey tells us:

• Employees and their managers share strong, positive connections.
• Colleagues bond closely, creating a supportive environment.
• Opportunities for growth and development abound.
• Respect and trust are the cornerstones of our interactions.

Our commitment does not stop at the office door. We are actively involved in giving back to our local communities. So far, this has included team volunteering days in the UK and charitable events across our global locations to raise money for both local and international events.

WE

INNOVATE

WE

COLLABORATE

Embracing change and pushing boundaries

We're evolving and growing and not afraid to challenge the status-quo, push boundaries and embrace the change around us.

Working and playing as 1Team

We are all working towards the same end goal and play as 1Team to achieve our objectives. Cross-team collaboration is so important.

Across all locations, we offer mental health awareness training for everyone. In the UK, we have further increased our commitment by introducing a mental health and wellbeing working group whose purpose is to continually improve our approaches. This includes an increase in the number of mental health first aiders and champions.

In line with our values, we support flexible working and encourage employees to take

Celebrating a culture of honesty and transparency

We trust one another and are provided autonomy within our

WE working environment to complete tasks.

TRUST

About making the world safer, smarter and more sustainable

	We care. Our products and services have a huge social impact.
WE	We are passionate committed to making our world safer smarter
CARE	and more sustainable and through our different initiatives, such
	as carbon offsetting and our ESG, CSR activities.

time out to focus on themselves. Our global wellbeing month in October provided the global teams with the opportunity to take part in different initiatives raising awareness of positive mental health. These included a variety of activities such as a global 30-day yoga challenge, training and much more.