iFAST Corporation Ltd.

and its Subsidiaries

Company Registration No: 200007899C
(Incorporated in the Republic of Singapore)

Unaudited Full-Year 2021

Financial Statements Announcement

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Fourth Quarter and Full Year Ended 31 December 2021 Financial Statements and
Dividend Announcement

1(a)(i) An income statement and a statement of comprehensive income, for the group, together
with a comparative statement for the corresponding period of the immediately preceding
financial year.

Consolidated income statement for the fourth quarter and full year ended 31 December 2021

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %

Revenue 54,552 47,899 13.9 216,203 169,925 27.2

Commission and fee paid or payable to financial advisers
and securities brokerage expense (26,327) (23,567) 11.7 (102,985) (84,068) 22.5
28,225 24,332 16.0 113,218 85,857 31.9
Other income (385) 1,561 NM 491 5,208 (90.6)
Depreciation of plant and equipment (731) (530) 37.9 (2,504) (1,971) 27.0
Depreciation of right-of-use assets (1,846) (1,829) 0.9 (7,274) (7,091) 2.6
Amortisation of intangible assets (2,401) (1,909) 25.8 (8,632) (6,776) 27.4
Staff costs (10,685) (10,098) 5.8 (42,937) (36,839) 16.6
Other operating expenses (3,984) (3,245) 22.8 (16,330) (12,615) 29.4
Results from operating activities 8,193 8,282 (1.1) 36,032 25,773 39.8

Finance income 184 139 32.4 695 837 (17.0)

Finance costs (130) (197) (34.0) (562) (812) (30.8)
Net finance income / (costs) 54 (58) NM 133 25 432.0

Share of results of associates, net of tax (212) (269) (21.2) (345) (411) (16.1)

Profit before tax 8,035 7,955 1.0 35,820 25,387 41.1

Tax expense (900) (1,181) (23.8) (5,414) (4,423) 22.4
Profit for the period / year 7,135 6,774 5.3 30,406 20,964 45.0

Profit attributable to:

Owners of the Company 7,200 6,826 5.5 30,633 21,153 44.8
Non-controlling interests (65) (52) 25.0 (227) (189) 20.1
Profit for the period / year 7,135 6,774 5.3 30,406 20,964 45.0

NM denotes not meaningful.

FVOCI denotes fair value through other comprehensive income.
FVTPL denotes fair value through profit or loss.

Page 2 of 28
1(a)(i) An income statement and a statement of comprehensive income, for the group, together
with a comparative statement for the corresponding period of the immediately preceding
financial year. (Cont’d)

Consolidated statement of comprehensive income for the fourth quarter and full year ended 31
December 2021

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %

Profit for the period / year 7,135 6,774 5.3 30,406 20,964 45.0

Other comprehensive income

Items that are or may be reclassified
subsequently to profit or loss:
Net change in fair value of financial assets-debt investments
at FVOCI 2 8 (75.0) (5) (90) (94.4)
Net change in fair value of financial assets-debt investments
at FVOCI reclassified to profit or loss - - NM - 133 NM
Foreign currency translation differences for foreign
operations (290) (891) (67.5) 397 (420) NM
Share of other comprehensive income of associates (5) (21) (76.2) (9) (51) (82.4)
(293) (904) (67.6) 383 (428) NM
Items that will not be reclassified
subsequently to profit or loss:
Net change in fair value of financial assets-equity investments
at FVOCI (1,513) (1,206) 25.5 (2,037) (1,884) 8.1
(1,513) (1,206) 25.5 (2,037) (1,884) 8.1

Other comprehensive income for the period / year, net of tax (1,806) (2,110) (14.4) (1,654) (2,312) (28.5)
Total comprehensive income for the period / year 5,329 4,664 14.3 28,752 18,652 54.1

Attributable to:
Owners of the Company 5,486 4,814 14.0 29,061 18,940 53.4
Non-controlling interests (157) (150) 4.7 (309) (288) 7.3
Total comprehensive income for the period / year 5,329 4,664 14.3 28,752 18,652 54.1

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1(a)(ii) Breakdown and explanatory notes to income statement.

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %

Profit for the period / year is arrived at after charging / (crediting) the
following:
Other income
- Net investment loss / (income) 588 (400) NM 623 (1,299) NM
- Government grant (191) (1,121) (83.0) (1,061) (3,768) (71.8)
- Miscellaneous income (12) (40) (70.0) (53) (141) (62.4)
385 (1,561) NM (491) (5,208) (90.6)
Finance income
- Interest income from cash and cash equivalents (39) (38) 2.6 (170) (164) 3.7
- Interest income from clients trade settlement bank accounts (130) (94) 38.3 (482) (650) (25.8)
- Interest income from investment in financial assets (3) (3) - (10) (9) 11.1
- Interest income from receivables (12) (4) 200.0 (33) (14) 135.7
(184) (139) 32.4 (695) (837) (17.0)
Finance costs
- Interest expense on bank loans - 6 NM 1 56 (98.2)
- Interest expense on lease liabilities 130 191 (31.9) 561 756 (25.8)
130 197 (34.0) 562 812 (30.8)
Tax expense
Current tax expense 1,154 682 69.2 6,268 3,712 68.9
Deferrred tax (credit) / expense (254) 499 NM (854) 711 NM
900 1,181 (23.8) 5,414 4,423 22.4

Lease expense 15 12 25.0 54 41 31.7

Foreign exchange (gain) / loss, net (24) 95 NM (55) 47 NM
Plant and equipment written off 43 - NM 43 - NM
Equity-settled share-based payment transactions,
included in staff costs 1,430 790 81.0 5,275 3,077 71.4
Equity-settled share-based payment transactions,
included in other operating expenses 209 63 231.7 645 196 229.1
Impairment loss on investment in financial assets at FVOCI,
included in other operating expenses - - NM - 133 NM
Dividend income on investment in financial assets at FVOCI,
included in investment income (95) (135) (29.6) (472) (553) (14.6)
Net loss / (gain) on investment in financial assets at FVTPL,
included in investment income 692 (256) NM 1,131 (710) NM
Dividend income on investment in associates (9) (9) - (36) (36) -

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1(b)(i) A statement of financial position (for the issuer and group), together with a
comparative statement as at the end of the immediately preceding financial year.

Group Company
As at As at
31-Dec-21 31-Dec-20 31-Dec-21 31-Dec-20
$'000 $'000 $'000 $'000
Assets
Plant and equipment 7,552 4,283 1,968 122
Right-of-use assets 14,198 18,538 4,244 7,571
Intangible assets and goodwill 32,623 25,500 23,332 21,662
Subsidiaries - - 57,084 53,623
Associates 6,552 5,982 6,748 6,372
Other investments 2,919 3,944 2,535 1,840
Deferred tax assets 2,448 1,099 - -
Contract costs 3,241 - - -
Prepayments and others 675 330 11 11
Total non-current assets 70,208 59,676 95,922 91,201

Current tax receivable 219 203 - -

Other investments 15,197 16,838 11,046 15,811
Contract costs 97 - - -
Prepayments and others 3,107 1,813 247 60
Trade and other receivables 55,126 44,990 30,045 24,819
Uncompleted contracts - buyers 36,800 94,318 - -
Money market funds 5,751 4,833 - -
Cash at bank and in hand 38,346 31,608 3,173 5,259
Total current assets 154,643 194,603 44,511 45,949

Total assets 224,851 254,279 140,433 137,150

Equity
Share capital 67,577 66,976 67,577 66,976
Reserves 61,076 37,133 27,256 24,072
Equity attributable to owners
128,653 104,109 94,833 91,048
of the Company
Non-controlling interests (1,018) (709) - -
Total equity 127,635 103,400 94,833 91,048

Liabilities
Deferred tax liabilities 3,092 2,616 2,221 1,902
Lease liabilities 7,513 12,013 846 4,149
Total non-current liabilities 10,605 14,629 3,067 6,051

Current tax payables 4,191 3,078 - -

Lease liabilities 7,665 7,205 3,303 3,268
Bank loans - - - -
Trade and other payables 38,016 31,735 39,230 36,783
Uncompleted contracts - sellers 36,739 94,232 - -
Total current liabilities 86,611 136,250 42,533 40,051

Total liabilities 97,216 150,879 45,600 46,102

Total equity and liabilities 224,851 254,279 140,433 137,150

Held under trust

Client bank accounts 973,592 943,960 - -
Client ledger balances (973,592) (943,960) - -
- - - -

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1(b)(ii) Aggregate amount of group’s borrowings and debt securities.

Amount repayable in one year or less, or on demand

Group
As at As at
31-Dec-21 31-Dec-20
$'000 $'000
Secured Unsecured Secured Unsecured
Bank loans - - - -
- - - -
The Group uses its revolving bank loan facilities to facilitate its cash management from time
to time. The revolving bank loans bore interest at rates ranging from 1.51% to 1.58% (2020:
1.30% to 2.72%) per annum in the period. The revolving bank loans drawn down in the first
quarter of 2021 were fully repaid within the quarter.

Amount repayable after one year

No any amount of the Group’s borrowings and debt securities is repayable after one year
from the reporting date.

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1(c) A statement of cash flows (for the group), together with a comparative statement for the
corresponding period of the immediately preceding financial year.

Group Group
4Q21 4Q20 FY21 FY20
$'000 $'000 $'000 $'000

Cash flows from operating activities

Profit for the period / year 7,135 6,774 30,406 20,964
Adjustments for: -
Depreciation of plant and equipment 731 530 2,504 1,971
Depreciation of right-of-use assets 1,846 1,829 7,274 7,091
Amortisation of intangible assets 2,401 1,909 8,632 6,776
Equity-settled share-based payment transactions 1,639 853 5,920 3,273
Dividend income on investment in financial assets at FVOCI (95) (135) (472) (553)
Net loss/ (gain) on investment in financial assets at FVTPL 692 (256) 1,131 (710)
Dividend income on investment in associates (9) (9) (36) (36)
Share of results of associates, net of tax 212 269 345 411
Foreign exchange (gain) / loss, net (24) 95 (55) 47
Plant and equipment written off 43 - 43 -
Intangible asset written off 1 2 1 2
(1) (1)
Gain on disposal of plant and equipment - -
Impairment loss on investment in financial assets at FVOCI - - - 133
Net finance (income) / cost (54) 58 (133) (25)
Tax expense 900 1,181 5,414 4,423
15,418 13,100 60,974 43,767
Changes in :
Contract costs (1,566) - (2,940) -
Prepayments (108) 79 (505) 23
Trade and other receivables 4,149 (5,519) (9,885) (10,677)
Uncompleted contracts - buyers 48,216 (22,657) 57,518 (70,071)
Uncompleted contracts - sellers (48,171) 22,791 (57,493) 70,037
Trade and other payables (1,726) 4,014 3,913 10,797
Cash generated from operations 16,212 11,808 51,582 43,876
Tax paid (704) (956) (5,184) (2,339)
Interest received 195 139 697 837
Interest paid on bank loans - (56) (1) (56)
Interest paid on lease liabilities (101) (191) (561) (756)
Net cash from operating activities 15,602 10,744 46,533 41,562

Cash flows from investing activities

Purchase of plant and equipment (2,299) (1,454) (5,884) (2,546)
Purchase of intangible assets (1,445) (1,698) (13,686) (9,678)
Proceeds from disposal of plant and equipment 1 - 1 -
Additional investment in associates (455) - (924) (1,139)
Dividend from associates - - 36 36
Purchase of investment in financial assets (35,037) (52,862) (172,991) (162,861)
Proceeds from redemption of investment in financial assets 37,420 55,798 173,205 165,684
Dividends received from investment in financial assets at FVOCI 2 1 5 5
Net cash used in investing activities (1,813) (215) (20,238) (10,499)

Cash flows from financing activities

Proceeds from exercise of share options 14 265 601 796
Purchase of treasury shares - - - (475)
Drawdown of bank loans - - 5,000 -
Repayment of bank loans - (2,305) (5,000) (3,805)
Principal element of lease payments (1,971) (1,816) (7,302) (7,008)
Dividends paid to owners of the Company (3,600) (2,175) (12,175) (8,685)
Net cash used in financing activities (5,557) (6,031) (18,876) (19,177)

Net increase in cash and cash equivalents 8,232 4,498 7,419 11,886
Cash and cash equivalents at beginning of the period 36,000 32,514 36,441 24,811
Effect of exchange rate fluctuations on cash held (135) (571) 237 (256)
Cash and cash equivalents at end of the period / year 44,097 36,441 44,097 36,441

(1)
Amount less than $1,000

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1(d)(i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from
capitalisation issues and distributions to shareholders, together with a comparative statement for the corresponding period of the
immediately preceding financial year.

Group
Attributable to owners of the Company
Foreign
Non-
Share Fair value currency Share option Performance Equity Reserve for Accumulated
Total controlling Total equity
capital reserve translation reserve share reserve reserve own shares profits
interests
reserve
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

At 1 January 2021 66,976 (2,873) (1,927) 2,825 7,058 (2,010) (357) 34,417 104,109 (709) 103,400

Total comprehensive income for the year

Profit / (Loss) for the year - - - - - - - 30,633 30,633 (227) 30,406

Other comprehensive income

Net change in fair value of financial assets at FVOCI - (1,957) - - - - - - (1,957) (85) (2,042)
Net change in fair value of financial assets at FVOCI reclassified to profit or loss - - - - - - - - - - -
Net change in fair value on disposal of financial assets at FVOCI transferred
between reserves - 811 - - - - - (811) - - -
Foreign currency translation differences for foreign operations - - 394 - - - - - 394 3 397
(1)
Share of other comprehensive income of associates - (9) - - - - - (9) - (9)
Total other comprehensive income - (1,146) 385 - - - - (811) (1,572) (82) (1,654)
Total comprehensive income for the year - (1,146) 385 - - - - 29,822 29,061 (309) 28,752

Transactions with owners, recorded directly in equity

Contributions by and distributions to owners
Share options exercised 601 - - - - - - - 601 - 601
Treasury shares re-issued - - - - - 197 1,415 1,612 - 1,612
One-tier tax-exempt 2020 final dividend paid of 1.00 cents per share - - - - - - - (2,765) (2,765) - (2,765)
One-tier tax-exempt interim dividend paid of 1.00 cents per share - - - - - - - (2,765) (2,765) - (2,765)
One-tier tax-exempt interim dividend paid of 1.10 cents per share - - - - - - - (3,045) (3,045) - (3,045)
One-tier tax-exempt interim dividend paid of 1.30 cents per share - - - - - - - (3,600) (3,600) - (3,600)
Equity-settled share-based payment transactions - - - 187 5,258 - - - 5,445 - 5,445
Total contributions by and distribution to owners 601 - - 187 5,258 - 197 (10,760) (4,517) - (4,517)

Total transactions with owners 601 - - 187 5,258 - 197 (10,760) (4,517) - (4,517)

At 31 December 2021 67,577 (4,019) (1,542) 3,012 12,316 (2,010) (160) 53,479 128,653 (1,018) 127,635

(1) Amount less than $1,000

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1(d)(i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from
capitalisation issues and distributions to shareholders, together with a comparative statement for the corresponding period of the
immediately preceding financial year. (Cont’d)

Group
Attributable to owners of the Company
Foreign
Share
Share Fair value currency Performance Equity Reserve for Accumulated Non-controlling
option Total Total equity
capital reserve translation share reserve reserve own shares profits interests
reserve
reserve
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

At 1 January 2020 66,180 (1,134) (1,453) 2,549 4,257 (2,010) (199) 21,867 90,057 (421) 89,636

Total comprehensive income for the year

Profit / (Loss) for the year - - - - - - - 21,153 21,153 (189) 20,964

Other comprehensive income

Net change in fair value of financial assets at FVOCI - (1,872) - - - - - - (1,872) (102) (1,974)
Net change in fair value of financial assets at FVOCI reclassified to profit or loss - 133 - - - - - - 133 - 133
Net change in fair value on disposal of financial assets at FVOCI transferred (1) (1) (1)

between reserves - - - - - - - -
Foreign currency translation differences for foreign operations - - (423) - - - - - (423) 3 (420)
(1)
Share of other comprehensive income of associates - (51) - - - - - (51) - (51)
Total other comprehensive income - (1,739) (474) - - - - - (2,213) (99) (2,312)
Total comprehensive income for the year - (1,739) (474) - - - - 21,153 18,940 (288) 18,652

Transactions with owners, recorded directly in equity

Contributions by and distributions to owners
Share options exercised 796 - - - - - - - 796 - 796
Purchase of treasury shares - - - - - - (475) - (475) - (475)
Treasury shares re-issued - - - - - - 317 82 399 - 399
One-tier tax-exempt 2019 final dividend paid of 0.90 cents per share - - - - - - - (2,440) (2,440) - (2,440)
One-tier tax-exempt interim dividend paid of 0.75 cents per share - - - - - - - (2,033) (2,033) - (2,033)
One-tier tax-exempt interim dividend paid of 0.75 cents per share - - - - - - - (2,037) (2,037) - (2,037)
One-tier tax-exempt interim dividend paid of 0.80 cents per share - - - - - - - (2,175) (2,175) - (2,175)
Equity-settled share-based payment transactions - - - 276 2,801 - - - 3,077 - 3,077
Total contributions by and distribution to owners 796 - - 276 2,801 - (158) (8,603) (4,888) - (4,888)

Total transactions with owners 796 - - 276 2,801 - (158) (8,603) (4,888) - (4,888)

At 31 December 2020 66,976 (2,873) (1,927) 2,825 7,058 (2,010) (357) 34,417 104,109 (709) 103,400

(1) Amount less than $1,000

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1(d)(i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from
capitalisation issues and distributions to shareholders, together with a comparative statement for the corresponding period of the
immediately preceding financial year. (Cont’d)

Company
Attributable to owners of the Company

Share Fair value Share option Performance Reserve for Accumulated

Total equity
capital reserve reserve share reserve own shares profits

$'000 $'000 $'000 $'000 $'000 $'000 $'000

At 1 January 2021 66,976 (939) 1,718 7,058 (357) 16,592 91,048

Total comprehensive income for the year

Profit for the year - - - - - 8,690 8,690

Other comprehensive income

Net change in fair value of financial assets at FVOCI - (322) - - - - (322)
Net change in fair value of financial assets at FVOCI reclassified to profit or loss - - - - - - -
Net change in fair value on disposal of financial assets at FVOCI transferred
between reserves - 811 - - - (811) -
Total other comprehensive income - 489 - - - (811) (322)
Total comprehensive income for the year - 489 - - - 7,879 8,368

Transactions with owners, recorded directly in equity

Contributions by and distributions to owners
Share options exercised 601 - - - - - 601
Treasury shares re-issued - - - - 197 1,415 1,612
One-tier tax-exempt 2020 final dividend paid of 1.00 cents per share - - - - - (2,765) (2,765)
One-tier tax-exempt interim dividend paid of 1.00 cents per share - - - - - (2,765) (2,765)
One-tier tax-exempt interim dividend paid of 1.10 cents per share - - - - - (3,045) (3,045)
One-tier tax-exempt interim dividend paid of 1.30 cents per share - - - - - (3,600) (3,600)
Equity-settled share-based payment transactions - - 121 5,258 - - 5,379
Total contributions by and distribution to owners 601 - 121 5,258 197 (10,760) (4,583)

Total transactions with owners 601 - 121 5,258 197 (10,760) (4,583)

At 31 December 2021 67,577 (450) 1,839 12,316 (160) 13,711 94,833

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1(d)(i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from
capitalisation issues and distributions to shareholders, together with a comparative statement for the corresponding period of the
immediately preceding financial year. (Cont’d)

Company
Attributable to owners of the Company

Fair value Share option Performance Reserve for Accumulated

Share capital Total equity
reserve reserve share reserve own shares profits

$'000 $'000 $'000 $'000 $'000 $'000 $'000

At 1 January 2020 66,180 (1,132) 1,613 4,257 (199) 14,830 85,549

Total comprehensive income for the year

Profit for the year - - - - - 10,365 10,365

Other comprehensive income

Net change in fair value of financial assets at FVOCI - 60 - - - - 60
Net change in fair value of financial assets at FVOCI reclassified to profit or loss - 133 - - - - 133
Net change in fair value on disposal of financial assets at FVOCI transferred between (1) (1)

reserves - - - - -
Total other comprehensive income - 193 - - - - 193
Total comprehensive income for the year - 193 - - - 10,365 10,558

Transactions with owners, recorded directly in equity

Contributions by and distributions to owners
Share options exercised 796 - - - - - 796
Purchase of treasury shares - - - - (475) - (475)
Treasury shares re-issued - - - - 317 82 399
One-tier tax-exempt 2019 final dividend paid of 0.90 cents per share - - - - - (2,440) (2,440)
One-tier tax-exempt interim dividend paid of 0.75 cents per share - - - - - (2,033) (2,033)
One-tier tax-exempt interim dividend paid of 0.75 cents per share - - - - - (2,037) (2,037)
One-tier tax-exempt interim dividend paid of 0.80 cents per share - - - - - (2,175) (2,175)
Equity-settled share-based payment transactions - - 105 2,801 - - 2,906
Total contributions by and distribution to owners 796 - 105 2,801 (158) (8,603) (5,059)

Total transactions with owners 796 - 105 2,801 (158) (8,603) (5,059)

At 31 December 2020 66,976 (939) 1,718 7,058 (357) 16,592 91,048

(1) Amount less than $1,000

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1(d)(ii) Details of any changes in the company's share capital arising from rights issue,
bonus issue, subdivision, consolidation, share buy-backs, exercise of share options
or warrants, conversion of other issues of equity securities, issue of shares for cash
or as consideration for acquisition or for any other purpose since the end of the
previous period reported on. State the number of shares that may be issued on
conversion of all the outstanding convertibles, if any, against the total number of
issued shares excluding treasury shares and subsidiary holdings of the issuer, as at
the end of the current financial period reported on and as at the end of the
corresponding period of the immediately preceding financial year. State also the
number of shares held as treasury shares and the number of subsidiary holdings, if
any, and the percentage of the aggregate number of treasury shares and subsidiary
holdings held against the total number of shares outstanding in a class that is listed
as at the end of the current financial period reported on and as at the end of the
corresponding period of the immediately preceding financial year.

The number of shares in issue in the Company as at 31 December 2021 excluding treasury
shares and subsidiary holdings was 276,946,913 ordinary shares (30 September 2021:
276,915,913 ordinary shares). The movements in the Company’s share capital during the fourth
quarter ended 31 December 2021 were as follows:

Number of
ordinary shares
As at 30 September 2021 276,915,913
Exercise of share options 31,000
Vesting of performance shares -
Purchase of treasury shares -
Re-issue of treasury shares -
As at 31 December 2021 276,946,913

iFAST Employee Share Option Scheme and iFAST Share Option Schemes 2003 and 2013
(“iFAST ESOS”)

The number of outstanding share options under the iFAST ESOS was as follows:

Number of
share options
As at 30 September 2021 3,466,406
Share options granted -
Exercised (31,000)
Forfeited -
As at 31 December 2021 3,435,406

As at 31 December 2021, the number of outstanding share options under the iFAST ESOS was
3,435,406 (31 December 2020: 4,470,584).

iFAST Corporation Performance Share Plan (“iFAST PSP”)

The number of outstanding performance shares granted but not vested under iFAST PSP was as
follows:

Page 12 of 28
 Number of
performance
shares
As at 30 September 2021 8,814,500
Performance shares granted but not vested -
Vested -
Forfeited (18,500)
As at 31 December 2021 8,796,000

As at 31 December 2021, the number of outstanding performance shares granted but not vested
under the iFAST PSP was 8,796,000 (31 December 2020: 10,506,600).

Treasury shares and subsidiary holdings

The number of shares held as treasury shares was as follows:

Number of
treasury shares
As at 30 September 2021 195,600
Purchased by way of on-market acquisition -
Purchased by way of off-market acquisition -
Re-issued -
As at 31 December 2021 195,600

As at 31 December 2021, 195,600 (31 December 2020: 436,100) treasury shares were held by
the Company that may be re-issued upon the exercise of share options under the iFAST ESOS
and upon the vesting of performance shares under the iFAST PSP or for other uses pursuant to
the Share Buy Back Mandate of the Company renewed at the Annual General Meeting held on 23
April 2021.

The Company has no subsidiary holdings as at 31 December 2021 and 31 December 2020.

As at 31 December 2021, the treasury shares held by the Company represented 0.1% (31
December 2020: 0.2%) of the total number of issued shares excluding treasury shares and
subsidiary holdings.

1(d)(iii)To show the total number of issued shares excluding treasury shares as at the end of
the current financial period and as at the end of the immediately preceding year.

As at As at
31-Dec-21 31-Dec-20
Total number of issued shares excluding treasury shares
and subsidiary holdings 276,946,913 272,407,635

1(d)(iv)A statement showing all sales, transfers, cancellation and/or use of treasury shares
as at the end of the current financial period reported on.

There were no sales, transfer, cancellation and/or use of treasury shares during the fourth
quarter ended 31 December 2021.

Page 13 of 28
1(d)(v) A statement showing all sales, transfers, cancellation and/or use of subsidiary
holdings as at the end of the current financial period reported on.

There were no sales, transfer, cancellation and/or use of subsidiary holdings as at 31 December
2021.

2. Whether the figures have been audited, or reviewed and in accordance with which
auditing standard or practice.

The figures have not been audited or reviewed by the Group’s external auditors.

3. Where the figures have been audited or reviewed, the auditors’ report (including any
qualifications or emphasis of a matter).

Not applicable.

3A. Where the latest financial statements are subject to an adverse opinion, qualified
opinion or disclaimer of opinion:—
(a) Updates on the efforts taken to resolve each outstanding audit issue.
(b) Confirmation from the Board that the impact of all outstanding audit issues on
the financial statements have been adequately disclosed.
This is not required for any audit issue that is a material uncertainty relating to going
concern.

Not applicable.

4. Whether the same accounting policies and methods of computation as in the issuer’s
most recently audited annual financial statements have been applied.

The financial information have been prepared in accordance with the Singapore Financial
Reporting Standards (International) (“SFRS(I)”) including SFRS(I) 1-34 Interim Financial
Reporting, and the same accounting policies and methods of computation adopted in the
audited financial statements of the last financial year, except for those disclosed under
paragraph 5 below.

5. If there are any changes in the accounting policies and methods of computation,
including any required by an accounting standard, what has changed, as well as
the reasons for, and the effect of, the change.

The Group and the Company have adopted the new and revised SFRS(I)s, and Interpretations
of SFRS(I) ("SFRS(I) INTs") that are effective for the annual period beginning on 1 January
2021. The adoption of these SFRS(I)s and SFRS(I) INTs did not have any significant effect on
the financial statements of the Group and the Company.

6. Earnings per ordinary share of the group for the current financial period reported
on and the corresponding period of the immediately preceding financial year,
after deducting any provision for preference dividends.

Page 14 of 28
 4Q21 4Q20 FY21 FY20

(i) Based on weighted average number of ordinary shares on issue

- Weighted average number of ordinary shares 276,929,580 272,144,968 275,989,132 271,051,587
Basic earnings per share (cents) 2.60 2.51 11.10 7.80

(ii) On a fully diluted basis of ordinary shares

- Adjusted weighted average number of ordinary shares 287,628,788 284,437,392 287,202,968 283,526,899
Diluted earnings per share (cents) 2.50 2.40 10.67 7.46

7. Net asset value (for the issuer and group) per ordinary share based on the total
number of issued shares excluding treasury shares of the issuers at the end of
the (a) current financial period reported on and (b) immediately preceding
financial year.

Group Company
31-Dec-21 31-Dec-20 31-Dec-21 31-Dec-20

Net asset value per ordinary share (cents) 46.45 38.22 34.24 33.42

8. A review of the performance of the group, to the extent necessary for a reasonable
understanding of the group’s business. It must include a discussion of the
following: -
(a) any significant factors that affected the turnover, costs, and earnings of the
group for the current financial period reported on, including (where applicable)
seasonal or cyclical factors; and
(b) any material factors that affected the cash flow, working capital, assets or
liabilities of the group during the current financial period reported on.

Consolidated Income Statement

Revenue

Asia ex Japan equities recorded a modest decline in the fourth quarter of 2021 (“4Q21”), due to a
broad market sell-off following the emergence of the Omicron variant of Covid-19 which investors
feared could derail the global economic recovery.

Despite the negative market sentiment in the quarter, the Group’s assets under administration
(“AUA”) grew 3.4% quarter-to-quarter (“QoQ”) and 31.5% year-on-year (“YoY”) to $19.00 billion
as at 31 December 2021. This was contributed by net inflows of client assets amounting to
approximately $757 million into the Group’s platforms during the quarter.

The AUA of unit trusts (“UT”), our key client investment asset class, grew 3.2% QoQ and 27.5%
YoY to $13.89 billion as at 31 December 2021, representing 73.1% of the Group’s total AUA at
end of the period.

On the back of the growth in AUA, the Group’s revenue grew 13.9% YoY to $54.55 million in
4Q21 and grew 27.2% YoY to $216.20 million in the year ended 31 December 2021 (“FY21”).
The following table shows the breakdown of the Group’s revenue by two main business divisions,
namely Business-to-Customer (“B2C”) and Business-to-Business (“B2B”).

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %
Business-to-Customer business 9,428 10,197 (7.5) 42,771 34,193 25.1
Business-to-Business business 45,124 37,702 19.7 173,432 135,732 27.8
Total revenue 54,552 47,899 13.9 216,203 169,925 27.2

Page 15 of 28
Commission and fee paid or payable to financial advisers and securities brokerage expense

Securities brokerage expense refers to brokerage fee paid to third party brokers for execution of
clients’ trade in securities listed on overseas exchanges of which the Group is not a member.

For B2B division, a substantial portion of front-end commission income and advisory fee from
B2B customers is payable to financial advisers.

Commission and fee paid or payable to financial advisers and securities brokerage expense
increased by 11.7% YoY to $26.33 million in 4Q21 and 22.5% YoY to $102.99 million in FY21.
These were due mainly to increases in clients’ trade volume in ETFs and stocks in B2B division in
the period.

Net revenue

Net revenue represents revenue earned by the Group after commission and fee paid or payable
to financial advisers and securities brokerage expense. The Group’s net revenue grew 16.0%
YoY to $28.23 million in 4Q21 and grew 31.9% YoY to $113.22 million in FY21, with the
breakdown by business division as follows.

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %
Business-to-Customer business 9,121 9,716 (6.1) 41,074 32,637 25.9
Business-to-Business business 19,104 14,616 30.7 72,144 53,220 35.6
Total net revenue 28,225 24,332 16.0 113,218 85,857 31.9

For B2C division, its net revenue decreased 6.1% YoY in 4Q21 but still increased 25.9% YoY in
FY21. In 4Q21, it was due mainly to decreases in transaction processing fees resulting from
decreased investment subscription from customers in exchange-listed securities, and service
fees arising from the provision of currency conversion administration services resulting from lower
clients’ trading volume of securities listed on foreign exchanges affected by the negative market
sentiment in the quarter, partially offset by increased recurring fee income arising from higher
average AUA in UTs with the YoY growth of 26.6% in 4Q21. In FY21, there were still increases in
transaction processing fees and service fees arising from exchange-listed securities trade
compared to FY20. The Group’s average AUA in UTs of B2C division grew 36.5% YoY in FY21,
and the Group’s total average AUA of B2C division grew 54.3% YoY in FY21.

For B2B division, its net revenue was up 30.7% YoY in 4Q21 and 35.6% YoY in FY21. Besides
increases in transaction processing fees resulting from increased investment subscription from
customers in exchange-listed securities, the trade volume of customers’ investment subscription
in UTs and portfolio services grew significantly in the period also. In addition, the in-house wealth
adviser business unit of iFAST Global Markets (“IGM”) under the B2B division continues to show
encouraging growth in the period. The AUA from the IGM business unit grew 57.2% YoY to
approximately $2.0 billion as at 31 December 2021. The Group’s average AUA in UTs of B2B
division grew 41.7% YoY in FY21, and the Group’s total average AUA of B2B division grew
48.2% YoY in FY21.

The following table shows the breakdown of the Group’s net revenue, by recurring and non-
recurring basis. The Group’s business model gives a stream of reliable recurring revenue which
is based on AUA. In FY21, 69.5% of net revenue is derived from recurring net revenue and
30.5% of net revenue is from non-recurring net revenue.

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %
Recurring net revenue 20,905 16,829 24.2 78,686 60,387 30.3
Non-recurring net revenue 7,320 7,503 (2.4) 34,532 25,470 35.6
Total net revenue 28,225 24,332 16.0 113,218 85,857 31.9

Page 16 of 28
Recurring net revenue is usually calculated based on a percentage of average AUA of investment
products distributed on the Group’s platforms, and mainly comprises trailer fees, platform fees,
wrap fees, portfolio service management fees and net interest income arising from clients’ AUA.
The YoY increase in recurring net revenue in FY21 was due mainly to an increase in average
AUA for both B2B business and B2C business in the period, substantially benefitting from new
inflows of investments from customers over the period, which was partially offset by the lower net
interest income from arising from clients’ AUA due to the lower interest rate environment in the
period. Not counting the incremental AUA of $485 million added to the Singapore platforms of the
Group resulting from the business transfer agreement with DWS Investments Singapore Limited
for the transfer of its fund management business relating to its Singapore mutual funds platform
which was completed in July 2021, the total inflows of customer investments net of outflows of
customer investments were $3.75 billion in FY21, pushing the Group’s AUA to a record high of
$19.00 billion as at 31 December 2021.

Non-recurring revenue mainly comprises commission income derived from investment

subscription via front-end load commission or transaction processing fee; service fee arising from
the provision of currency conversion administration services to customers and the provision of
administration services to financial advisory firms; brokerage service fee from arranging for
insurance policies, advertising fee earned from advertisements placed by third parties on iFAST
websites and mobile applications; and IT solution development fee from provision of IT Fintech
solutions to business partners. In 4Q21, the decrease in non-recurring net revenue was due
mainly to decreases in transaction processing fees resulting from decreased investment
subscription from B2C customers in exchange-listed securities, and service fees arising from the
provision of currency conversion administration services resulting from lower B2C clients’ trading
volume of securities listed on foreign exchanges affected by the negative market sentiment in the
quarter. In FY21, the increase in non-recurring net revenue was due mainly to an increase in
financial institution clients’ investment subscription in UT portfolio services, the growth of
business in ETFs and stocks and the resulted increase in service fee arising from the currency
conversion administration services provided to customers in the period, and the project solution
fee earned from a counterparty in Hong Kong to facilitate their developing an e-Pension platform
in Hong Kong in the year.

The following table shows the breakdown of the Group’s net revenue by geographical segments.

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %
Singapore 18,335 16,239 12.9 73,238 56,334 30.0
Hong Kong 5,997 5,156 16.3 24,408 19,219 27.0
Malaysia 3,359 2,288 46.8 13,158 8,546 54.0
China 534 649 (17.7) 2,414 1,758 37.3
Total net revenue 28,225 24,332 16.0 113,218 85,857 31.9

Breaking down by geographical segment, Singapore operation is still the major contributor of the
Group’s net revenue. Resulting from our continuous investments in building up a strong
integrated digital wealth management platform in recent years, the broadened range and depth of
services we provide continue attracting new customers in the markets, and also further diversify
our revenue streams and increase our business resilience over the year.

In Singapore, our B2C division has continued to organise investment education webinars and
events in the market, and has also shared the benefit of our economies of scale with clients by
offering lower transaction processing fees to clients on dealing of exchange-listed securities in
recent quarters. The stock brokerage business of B2B division continued growing significantly in
the period. Further, the in-house wealth adviser business unit, IGM under the B2B division,
continuously showed encouraging growth in the period. Over the quarter of 4Q21, new trading
capabilities for China A-shares and Bursa Malaysia have been enabled to allow clients to
diversify their stock holdings in a cost-efficient manner. As part of ongoing platform
enhancements, advanced order placement has been also enabled over the quarter to allow
clients to trade stocks and ETFs in selected markets with more flexibility and precision. The
average AUA in UTs of Singapore operation grew 36.6% YoY to $9.51 billion in 4Q21 and 42.3%
YoY to $8.74 billion in FY21, while the total average AUA of Singapore operation grew 46.0%

Page 17 of 28
YoY to $13.36 billion in 4Q21 and 56.6% YoY to $12.08 billion in FY21. The net revenue in
Singapore operation grew 12.9% YoY in 4Q21 and 30.0% YoY in FY21.

The investment sentiment in Hong Kong market remained weak in 4Q21. The AUA in bonds of
Hong Kong operation continued to fall in the quarter as a result of bond redemptions and decline
in bond market value, which was impacted by the concern of defaults in Chinese property bonds.
Nevertheless, Hong Kong operation continued to record positive net inflows in 4Q21 and saw
net inflows growing approximately 75% YoY in FY21. The addition of Shenzhen/Shanghai
connect and SGX trading to Hong Kong platforms in recent quarters has enabled clients to take
some unique sector opportunities beyond the US and Hong Kong ETF/Stock markets. The AUA
of Hong Kong operation decreased 2.8% QoQ but increased 7.7% YoY to $2.86 billion as at 31
December 2021. In addition, following the finalisation of the prime subcontractor contract for the
Hong Kong pension project in July 2021, some project solution fee has been earned from the
counterparty in Hong Kong to facilitate their developing an e-Pension platform in Hong Kong in
recent quarters. The average AUA in UTs of Hong Kong operation grew 17.4% YoY to $2.02
billion in 4Q21 and 22.0% YoY to $1.97 billion in FY21, while the total average AUA of Hong
Kong operation grew 13.2% YoY to $2.91 billion in 4Q21 and 20.1% YoY to $2.90 billion in
FY21. The net revenue in Hong Kong operation grew 16.3% YoY in 4Q21 and 27.0% YoY in
FY21.

In Malaysia, despite the negative market sentiment in Asian markets in 4Q21, the clients’
subscription in UTs grew 9.5% QoQ and the turnover of the client’s trade in bonds was up 34.0%
QoQ in the quarter. Post the launch of US and Hong Kong stock trading services in July 2021,
the B2C division of Malaysia operation also launched the SGX trading services in December
2021. The trade volume of all Malaysian, Hong Kong and US stock transactions continued to
grow in recent quarters. The average AUA in UTs of Malaysia operation grew 21.6% YoY to
$1.20 billion in 4Q21 and 30.6% YoY to $1.15 billion in FY21, while the total average AUA of
Malaysia operation grew 42.8% YoY to $1.76 billion in 4Q21 and 54.9% YoY to $1.60 billion in
FY21. The net revenue in Malaysia operation grew 46.8% YoY in 4Q21 and 54.0% YoY in FY21.

In 4Q21, China was still the worst-performing index market, with share prices sharply lower on
investor fears that new lockdown restrictions would be instigated following the rapid spread of the
new Covid-19 variant. The amounts of clients’ investment subscription in UTs decreased 12.9%
QoQ in 4Q21. However, as at 31 December 2021, the AUA of China operation still grew
approximately 75% YoY to RMB 2.33 billion (equivalent to approximately $496 million). The net
revenue in China operation dropped 17.7% in 4Q21, but still grew 37.3% YoY in FY21.

Other income

Other income decreased by $4.72 million or 90.6% from $5.21 million in FY20 to $0.49 million in
FY21, and recorded negative amount of $0.39 million in 4Q21 against positive amount of $1.56
million in 4Q20. These were due to significant market price drops in some investments in debt
securities at FVTPL resulting from concerns of defaults in Chinese property bonds in recent
quarters, and higher financial supports granted by local governments in Singapore market and
Hong Kong market during the period of uncertainties caused by the outbreak of Covid-19 in 2020.

Operating expenses

Overall, the Group’s total operating expenses increased by $2.04 million or 11.6% from $17.61
million in 4Q20 to $19.65 million in 4Q21 and $12.39 million or 19.0% from $65.29 million in FY20
to $77.68 million in FY21. These were in line with the Group’s increased efforts in enhancing its
platform capabilities including improving the range and depths of investment products and
services being provided to customers in the existing markets including China market over the
period so as to strengthen the Fintech Ecosystem of the Group and further scale up the
businesses of the Group continuously.

Depreciation of plant and equipment increased by $0.20 million or 37.9% from $0.53 million in
4Q20 to $0.73 million in 4Q21 and $0.53 million or 27.0% from $1.97 million in FY20 to $2.50

Page 18 of 28
million in FY21. Amortisation of intangible assets increased by $0.49 million or 25.8% from $1.91
million in 4Q20 to $2.40 million in 4Q21 and $1.85 million or 27.4% from $6.78 million in FY20 to
$8.63 million in FY21. These were due mainly to additions of plant and equipment and intangible
assets (including internally-developed IT software assets) over the period, to support business
expansion in the markets that the Group operates in and to continuously strengthen the Fintech
capabilities of our investment platforms as well as the Fintech Ecosystem of the Group.

Depreciation of right-of-use assets remained flat in 4Q21 as compared to 4Q20, while it

increased by $0.18 million or 2.6% from $7.09 million in FY20 to $7.27 million in FY21. It was due
to higher cost amount of right-of-use assets at beginning of FY21 as compared to the one at
beginning of FY20, mainly resulting from the renewal of Singapore office lease in April 2020 for
next three years.

Staff costs increased by $0.59 million or 5.8% from $10.10 million in 4Q20 to $10.69 million in
4Q21 and $6.10 million or 16.6% from $36.84 million in FY20 to $42.94 million in FY21. These
were due mainly to the annual salary increment adjusted in 2021, increased number of staff over
the period, the increased equity-settled share-based payment transaction costs resulting from
another batch of performance shares granted to the Group’s employees in the period. In addition,
the Group continues to create new positions and hiring for new businesses the Group is planning.

Other operating expenses increased by $0.73 million or 22.8% from $3.25 million in 4Q20 to
$3.98 million in 4Q21 and $3.71 million or 29.4% from $12.62 million in FY20 to $16.33 million in
FY21. These were due mainly to additional sales incentive awarded to IGM advisers in line with
their good performance and increases in bank charges and custodian service charges in line with
an increase in revenue in the period, increased spending in IT and related technology security
services in the period to support the continual growth of the Group’s business ahead, and
additional operating costs incurred to support the Hong Kong pension project in the year.

Net finance income / (costs)

Finance income decreased by $0.14 million or 17.0% from $0.84 million in FY20 to $0.70 million
in FY21, due mainly to lower interest income from clients trade settlement bank accounts due to
the lower interest rate environment since June 2021. However, finance income increased by
$0.04 million or 32.4% from $0.14 million in 4Q20 to $0.18 million in 4Q21, due mainly to higher
average daily balance of clients trade settlement bank accounts in 4Q21 compared to 4Q20.

Finance costs decreased by $0.07 million or 34.0% from $0.20 million in 4Q20 to $0.13 million in
4Q21 and $0.25 million or 30.8% from $0.81 million in FY20 to $0.56 million in FY21. These were
due mainly to a decrease in interest expense on bank loans in line with the lower borrowing
amount over the period and lower interest expense on lease liabilities in line with the lower
carrying amount of leasing liabilities net of lease payments over the period.

Overall, net finance income of $0.05 million was recorded in 4Q21 while net finance costs of
$0.06 million were incurred in 4Q20, and net finance income increased by $0.10 million or
432.0% from $0.03 million in FY20 to $0.13 million in FY21.

Share of results of associates, net of tax

The Group’s share of results after tax of associates comprised mainly share of results of some
associates, namely Providend Holding Pte Ltd (“Providend”), iFAST India Holdings Pte Ltd and
Raffles Family Office China Ltd (“Raffles China”), which started its operation from June 2020, in
the year. The Group’s share of loss after tax of associates decreased by $0.06 million from $0.41
million in FY20 to $0.35 million in FY21, due mainly to some improvement of financial results of
Providend over the year.

There was no significant YoY change in the results of iFAST India Holdings Pte Ltd over the year.
iFAST India Holdings Pte Ltd is an ultimate holding company of iFAST Financial India Pvt Ltd
(“iFAST India”), an India-incorporated company engaged in the distribution of investment

Page 19 of 28
products including mutual funds in India. iFAST India had a AUA of Indian Rupee 32.64 billion
(equivalent to $593 million) as at 31 December 2021, growing at a 5-year compound annual
growth rate (“CAGR”) of 14.4%. The Group’s effective shareholding in iFAST India has been
increased from 39.25% as at 31 December 2020 to 39.35% as at 31 December 2021, following
some additional investments in India business over the year.

Profit for the period, after non-controlling interests

The following table shows the breakdown of the Group’s profit for the period by geographical
segments.

Group Group
4Q21 4Q20 Change FY21 FY20 Change
$'000 $'000 % $'000 $'000 %
Singapore 6,623 6,905 (4.1) 28,435 21,318 33.4
Hong Kong 2,032 1,731 17.4 8,387 5,791 44.8
Malaysia 1,277 940 35.9 5,386 3,753 43.5
(2)
China (1,620) (1,300) 24.6 (5,816) (4,875) 19.3
(1)
Other (212) (269) (21.2) (345) (411) (16.1)
(2)
Profit before tax 8,100 8,007 1.2 36,047 25,576 40.9
Tax expense (900) (1,181) (23.8) (5,414) (4,423) 22.4
(2)
Net profit after tax 7,200 6,826 5.5 30,633 21,153 44.8
Notes:
(1) Referring to share of results of associates.
(2) Attributable to owners of the Group.

The Group’s profit before tax increased by $0.09 million or 1.2% from $8.01 million in 4Q20 to
$8.10 million in 4Q21 and $10.47 million or 40.9% from $25.58 million in FY20 to $36.05 million in
FY21, due mainly to stronger growths in Singapore, Hong Kong and Malaysia especially in the
first three quarters of 2021. China operation is continuing to build iFAST brand and business in
both onshore Chinese market and offshore Chinese market.

Tax expense increased by $0.99 million or 22.4% YoY in FY21, due to higher taxable profit
generated by the Group in the year. However, the effective tax rate in FY21 was lower as
compared to FY20, as Singapore operation has been awarded the standard-tier FSI (Financial
Sector Incentive Scheme) award for a five-year period with effect from 25 June 2020 whereby
qualifying transactions are taxed at a concessionary rate instead of the local statutory rate in
Singapore, and Hong Kong operation recognised some additional deferred tax asset arising from
some unused tax losses at 31 December 2021.

Overall, the Group’s net profit increased by 44.8% YoY to $30.63 million in FY21, and the
Group’s profit before tax (“PBT”) margin (based on net revenue) increased from 29.6% for FY20
to 31.6% for FY21.

Statement of Financial Position

The shareholders’ equity of the Group increased to $128.65 million as at 31 December 2021 from
$104.11 million as at 31 December 2020. This was due mainly to contribution of net profit
generated, an increase in share capital resulting from staff share option exercises, a fair value
premium upon reissuance of treasury shares and an increase in reserve from translation of
foreign operations resulting from appreciation of Hong Kong dollar and Chinese yuan in FY21,
partially offset by decreases in fair value of financial assets at FVOCI in the year and dividend
amounts paid to shareholders in FY21.

The Group’s cash and cash equivalents and investments in financial assets (categorised as other
investments under current assets) net of bank loans, increased to $59.29 million as at 31
December 2021 from $53.28 million as at 31 December 2020. This was due mainly to net cash
generated from operating activities in FY21, partially offset by payments of additional investment

Page 20 of 28
 in associates, additions of plant and equipment and intangible assets, office leases and dividends
paid to shareholders in the year.

Current assets decreased to $154.64 million as at 31 December 2021 from $194.60 million as at
31 December 2020. This was due mainly to decreases in receivables from uncompleted contracts
on securities dealing at end of the year, partially offset by increases in cash and cash equivalents,
trade and other receivables over the year.

Non-current assets increased to $70.21 million as at 31 December 2021 from $59.68 million as at
31 December 2020. This was due mainly to additional investment in associates, additional
deferred tax assets recognised and purchase of plant and equipment in FY21, purchase of
intangible assets including the acquired business rights resulting from the business transfer
agreement with DWS Investments Singapore Limited for the transfer of its fund management
business relating to its Singapore mutual funds platform, which was completed in July 2021, and
some project setup costs incurred for the Hong Kong pension project contract at end of the year.
The above was partially offset by a decrease in carrying amount of right-of-use assets net of
accumulated depreciation and a decrease in fair value of some financial asset at FVOCI at end of
the year.

Total liabilities decreased to $97.22 million as at 31 December 2021 from $150.88 million as at 31
December 2020. This was due mainly to decreases in carrying amount of lease liabilities net of
lease payments and decreases in payables from uncompleted contracts on securities dealing at
end of the year, partially offset by higher tax payable amounts, additional deferred tax liabilities
and increases in trade and other payables at end of the year.

Consolidated Statement of Cash Flows

Net cash from operating activities increased from $10.74 million in 4Q20 to $15.60 million in
4Q21, due mainly to higher cash generated from operating activities in the quarter and working
capital movement cross quarters. Net cash from operating activities increased from $41.56 million
in FY20 to $46.53 million in FY21, due mainly to higher cash generated from operating activities
in FY21 and partially offset by higher income tax paid in FY21 and working capital movement
cross quarters.

Net cash used in investing activities increased from $0.22 million in 4Q20 to $1.81 million in
4Q21, due mainly to higher purchase amounts of plant and equipment and investment in an
associate in the quarter. Net cash used in investing activities increased from $10.50 million in
FY20 to $20.24 million in FY21, due mainly to higher purchase amounts of plant and equipment
and intangible assets paid in the year and settlement movement of investments in financial assets
classified at FVTPL between quarters and partially offset by lower total investments in associates
in the year.

Net cash used in financing activities decreased from $6.03 million in 4Q20 to $5.56 million in
4Q21, and from $19.18 million in FY20 to $18.88 million in FY21. These were due mainly to
higher bank loan repayments net of bank loan drawdown in 4Q20 and FY20 and some purchase
of treasury shares in FY20, partially offset by higher dividend amounts paid to shareholders in
4Q21 and FY21.

9. Where a forecast, or a prospect statement, has been previously disclosed to

shareholders, any variance between it and the actual results.

No forecast or prospect statement was previously provided.

Page 21 of 28
10. A commentary at the date of the announcement of the significant trends and
competitive conditions of the industry in which the group operates and any known
factors or events that may affect the group in the next reporting period and the
next 12 months.

The Group’s assets under administration (“AUA”) continued to register new record levels,
reaching $19.00 billion as at 31 December 2021, a growth of 31.5% YoY. The AUA of unit trusts,
its key investment asset class, grew to a record $13.89 billion as at 31 December 2021, a growth
of 27.5% YoY.

As a result of the increasing AUA, the Group’s recurring net revenue has continued to grow at a
robust pace, increasing 35.6% YoY in FY2021.

Net inflows of client assets remained healthy in 4Q2021 at $0.76 billion, leading to net inflows of
$3.75 billion for FY2021

The Group’s net revenue grew 31.9% YoY to $113.22 million in FY2021, while its net profit grew
44.8% YoY to $30.63 million in FY2021. Reflecting the positive operating leverage of the Group’s
business model, its profit before tax (“PBT”) margin (based on net revenue) increased to 31.6%
for FY2021, compared to 29.6% for FY2020.

Moving forward, the Group will focus on executing its four-year plan which includes getting bigger
and better, accelerating the Hong Kong business growth, adding digital banking and other
capabilities to the iFAST Fintech Ecosystem, and building a truly global business model.

On 7 January 2022, the Group announced its intention to acquire the UK-based BFC Bank
Limited (the “UK Bank”) from BFC Group Holdings. The Group expects the proposed acquisition
to contribute some initial start-up losses. Based on the Group’s 85% stake in the UK Bank, its
estimated loss to the Group for FY2022 is approximately $4.0 million (excluding some transaction
and other charges charged to balance sheet upon completion). The Group targets to achieve
profitability for the UK Bank starting 2024.

The Group expects its overall business to achieve robust growth in both revenue and profitability
between 2021 and 2025, with Hong Kong’s ePension division expected to be the biggest driver
from 2023.

11. Dividend

(a) Current Financial Period Reported On

Any dividend declared for the current financial period reported on?

Name of dividend Final

Dividend type Cash
Dividend rate 1.40 cents per ordinary share
Tax rate One-tier tax exempt

(b) Corresponding Period of the Immediately Preceding Financial Year

Any dividend declared for the corresponding period of the immediately preceding
financial year?

Name of dividend Final

Dividend type Cash
Dividend rate 1.00 cents per ordinary share
Tax rate One-tier tax exempt

Page 22 of 28
 (c) Date payable

The proposed final dividend will be paid on 19 May 2022 subject to shareholders’ approval at the
forthcoming Annual General Meeting to be held on 25 April 2022.

(d) Record date

The Register of Members and Share Transfer Books of the Company will be closed on 10 May
2022 for the preparation of dividend warrants to the proposed final dividend. Duly completed
registrable transfers in respect of the shares in the Company received up to the close of
business at 5.00 p.m. on 9 May 2022 (“Record Date”) by the Company’s Singapore Share
Registrar, Tricor Barbinder Share Registration Services (A division of Tricor Singapore Pte. Ltd.),
80 Robinson Road, #02-00, Singapore 068898 will be registered to determine Members’
entitlements to the proposed final dividend. Members whose Securities Accounts with The
Central Depository (Pte) Ltd are credited with shares in the Company as at 5.00 p.m. on the
Record Date will be entitled to the proposed final dividend.

12. If no dividend has been declared/recommended, a statement to that effect.

Not applicable.

13. If the group has obtained a general mandate from shareholders for Interested
Person Transactions (“IPT”), the aggregate value of such transactions as
required under Rule 920(1)(a)(ii). If no IPT Mandate has been obtained, a
statement to that effect.

The Company does not have a general mandate from shareholders for interested person
transactions.

14. Confirmation that the issuer has procured undertakings from all its directors and
executive officers (in the format set out in Appendix 7.7) under Rule 720(1).

The Company has procured undertakings from all its directors and executive officers (in the
format set out in Appendix 7.7) under Rule 720(1).

15. Segmented revenue and results for business segments or geographical segments
(of the group), with comparative information for the corresponding period of the
immediately preceding financial year.

Page 23 of 28
Geographical segments Singapore Hong Kong Malaysia China Others Total
$'000 $'000 $'000 $'000 $'000 $'000

FY21
Revenue and expenses
Revenue from external customers 139,335 48,771 24,579 3,518 - 216,203
Inter-segment revenue 4,781 257 3,105 67 - 8,210
Total revenue 144,116 49,028 27,684 3,585 - 224,413

Depreciation of plant and equipment (1,433) (334) (531) (206) - (2,504)

Depreciation of right-of-use assets (3,354) (2,263) (639) (1,018) - (7,274)
Amortisation of intangible assets (8,082) (80) (439) (31) - (8,632)
Reportable segment profit / (loss)
before tax 28,435 8,387 5,386 (6,043) - 36,165
Share of results of associates - - - (345) (345)

Assets and liabilities

Reportable segment assets 144,770 43,018 23,171 7,340 - 218,299
Equity-accounted associates - - - - 6,552 6,552
Capital expenditure 17,013 1,491 2,611 500 - 21,615
Reportable segment liabilities 63,415 19,314 9,183 5,304 - 97,216

FY20
Revenue and expenses
Revenue from external customers 108,341 44,401 15,402 1,781 - 169,925
Inter-segment revenue 3,306 173 2,748 63 - 6,290
Total revenue 111,647 44,574 18,150 1,844 - 176,215

Finance income 507 45 227 58 - 837

Depreciation of plant and equipment (912) (427) (447) (185) - (1,971)
Depreciation of right-of-use assets (3,179) (2,432) (649) (831) - (7,091)
Amortisation of intangible assets (6,603) (69) (99) (5) - (6,776)
Reportable segment profit / (loss)
before tax 21,318 5,791 3,753 (5,064) - 25,798
Share of results of associates - - - - (411) (411)

Assets and liabilities

Reportable segment assets 180,091 45,176 15,318 7,712 - 248,297
Equity-accounted associates - - - - 5,982 5,982
Capital expenditure 10,619 276 1,562 174 - 12,631
Reportable segment liabilities 112,072 29,522 4,667 4,618 - 150,879

Page 24 of 28
16. Other notes to consolidated financial statements

16.1 Other investments - investments in financial instruments

Group
31-Dec-21 31-Dec-20
$'000 $'000
Non-current
Financial assets at FVOCI
- Unquoted equity shares 2,919 3,944

Current
Financial assets at FVOCI
- Quoted debt investments 96 96
- Quoted equity investments 7,993 10,657
8,089 10,753
Financial assets at FVTPL
- Quoted debt investments 7,108 6,085
15,197 16,838

16.2 Fair value measurement

The Group has an established control framework with respect to the measurement of fair values.
When measuring the fair value of an asset or a liability, the Group uses market observable data
as far as possible. Fair values are categorised into different levels in a fair value hierarchy based
on the inputs used in the valuation techniques as follows:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: inputs other than quoted prices included within Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from
prices).

Level 3: inputs for the asset or liability that are not based on observable market data
(unobservable inputs).

The following summarises the significant methods and assumptions used in estimating the fair
values of financial instruments of the Group:

Investments in financial instruments

The fair value of investments in equity securities and debt securities is determined by reference
to its bid price, recent transaction price or cost at the reporting date.

Intra-group financial guarantees

The value of financial guarantees provided by the Company to its subsidiaries is determined by
reference to the difference in the interest rates, by comparing the actual rates charged by the
bank with these guarantees made available, with the estimated rates that the banks would have
charged had these guarantees not been available.

Page 25 of 28
 Accounting classifications and fair values

The carrying amounts and fair values of financial assets and financial liabilities, including their
levels in the fair value hierarchy are as follows. It does not include fair value information for
financial assets and liabilities not measured at fair value if the carrying amount is a reasonable
approximation of fair value.

31-Dec-21 31-Dec-20
Carrying Fair value - Fair value - Carrying Fair value - Fair value -
amount Level 1 Level 3 amount Level 1 Level 3
$'000 $'000 $'000 $'000 $'000 $'000
Group
Financial assets measured at fair value
Unquoted equity shares 2,919 - 2,919 3,944 - 3,944
Quoted financial assets at FVOCI 8,089 8,089 - 10,753 10,753 -
Quoted financial assets at FVTPL 7,108 7,108 - 6,085 6,085 -
Money market funds 5,751 5,751 - 4,833 4,833 -

Financial assets not measured at fair value

Cash at bank and in hand 38,346 31,608
Uncompleted contracts - buyers 36,800 94,318
Trade and other receivables 55,126 44,990

Financial liabilities not measured at fair value

Uncompleted contracts - sellers (36,739) (94,232)
Trade and other payables (38,016) (31,735)

17. Use of proceeds from the Company’s initial public offering and share placement.

The Company refers to the net proceeds of $48.0 million (excluding share issuance expenses of
$2.4 million and IPO-related expenses of $1.95 million) raised from the IPO on the SGX-ST on 11
December 2014 and the Company’s re-allocation of the net IPO proceeds announced on 27
October 2018. As at 14 February 2022, the net IPO proceeds have been fully utilised as per the
table below.

IPO proceeds
Amount IPO proceeds Balance of IPO
Allocation of IPO utilised as at
reallocated on utilised as at proceeds as at
proceeds 31 December
26 October 2018 14 February 2022 14 February 2022
2021
Use of net proceeds $' million $' million $' million $' million $' million
(3)
Mergers and acquisitions strategy 27.2 19.2 18.9 18.9 0.3
Expansion of our business in the Chinese market 7.0 7.0 7.0 7.0 -
(3)
Enhancement of our product capabilities, IT and services 8.0 16.0 16.0 16.3 (0.3)
(2)
Working capital purposes 5.8 5.8 5.8 5.8 -
(1)
Net proceeds 48.0 48.0 47.7 48.0 -

Notes:
(1) Estimated net IPO proceeds disclosed in the Prospectus dated 4 December 2014 was $44.6 million and the actual net IPO proceeds received by the Company was
$48.0 million.
(2) The amount of $5.8 million deployed for working capital purposes has been utilised for funding for new investment products distribution business, such as bonds and
stocks.
(3) The small balance of the net IPO proceeds of $0.3 million for the mergers and acquisitions strategy as at 31 December 2021 has been utilised for fundng for
enhancement of the Company's platform capabilities with the approval by the Company's Board of directors on 14 February 2022.

Page 26 of 28
 With reference to the Company's announcements dated 11 January 2022 and 17 January 2022 in
relation to the placement of 14,000,000 new ordinary shares in the capital of the Company (the
“Placement”) (“Announcements”), the Company intends to utilise the gross proceeds of $105
million from the Placement (the “Gross Proceeds”), in the following manner:

(a) approximately $73.4 million will be used to fund the total investment amount for the proposed
acquisition of and investment in BFC Bank Limited through subscription of shares in Eagles
Peak Holdings Limited (which is equivalent to approximately 69.9% of the Gross Proceeds);
and

(b) approximately $2.4 million will be used to pay the estimated fees and expenses, including
professional fees and expenses, incurred or to be incurred by the Company in connection with
the Placement (which is equivalent to approximately 2.3% of the Gross Proceeds),

with the balance of the proceeds to be used at its discretion for other purposes, including, without
limitation, for general corporate and working capital purposes.

As at 14 February 2022, pending the deployment of the net proceeds from the Placement (the
“Net Proceeds”) as disclosed above, the Net Proceeds have been deposited with banks and/or
financial institutions and/or invested in short-term money market instruments and/or marketable
capital markets products on a short-term basis as stated in the Announcements.

The Company will make periodic announcements on the use of the Net Proceeds as and when
such proceeds are materially disbursed.

18. In the review of performance, the factors leading to any material changes in
contributions to turnover and earnings by the business or geographical
segments.

Please refer to Paragraph 8 for the analysis.

19. A breakdown of sales.

Group
FY21 FY20 Change
$'000 $'000 %
Revenue reported for first half year 106,121 77,030 37.8
Net revenue reported for first half year 54,680 38,659 41.4
Profit after tax before deducting non-controlling interests
reported for first half year 15,728 8,077 94.7

Revenue reported for second half year 110,082 92,895 18.5

Net revenue reported for second half year 58,538 47,198 24.0
Profit after tax before deducting non-controlling interests
reported for second half year 14,678 12,887 13.9

Page 27 of 28
20. A breakdown of total annual dividend (in dollar value) for the issuer’s latest full
year and its previous full year.

FY21 FY20
$'000 $'000
(1) (2)
Ordinary dividend 13,484 9,010
Notes:
(1) Including the proposed final dividend for FY21 which is estimated based on total issued ordinary shares
(excluding treasury shares) of 290,986,913 as at 14 February 2022.
(2) Including the final dividend payout for FY20 approved at the Annual General Meeting held on 23 April 2021.

21. Disclosure of person occupying a managerial position in the issuer or any of its
principal subsidiaries who is a relative of a director or chief executive officer or
substantial shareholder of the issuer pursuant to Rule 704(13) in the format
below. If there are no such persons, the issuer must make an appropriate
negative statement.

Family relationship with any Details of changes in duties

director and/or substantial Current position and duties, and and position held, if any,
Name Age shareholder the year the position was held during the year

He was General Manager of

Platform Services Singapore since
2006 and promoted to Managing
Director of Platform Services
Singapore on 17 Feb 2016, and has
been appointed as a Director of
iFAST Financial Pte Ltd, a subsidiary
of the Company, from 22 March
2016.
Being responsible for platform
services of the Group's Singapore
operation as well as overseeing the
Brother of Lim Wee Kian, a overall performance of the whole
Lim Wee Kiong 49 director of the Company Singapore operation. Nil

BY ORDER OF THE BOARD

Lim Kian Thong

Chief Financial Officer
14 February 2022

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