Doctor Care Anywhere : Quarterly Activity Report & Appendix 4C for 1Q 2022

21 April 2022

Doctor Care Anywhere continues to deliver revenue growth over 1Q 2022; with significant improvements in service delivery costs

Highlights

• • 1Q 2022 underlying revenue of £8.6 million (A$16.2 million), representing 95% growth on pcp

• • Consultation volumes up 68% on pcp with cost per consultation significantly reducing as cost of clinicians normalises following COVID-19 pandemic, contributing to improved gross margin (+980bps) and contribution margin (+1,040bps)

• • Reaffirm FY22 revenue guidance of £35-38 million (A$66-71 million). Q1 annualised revenue run rate of £34.4 million (A$64.9 million)

• • Improving operating leverage in the business demonstrated, with quarter-on-quarter improvements in gross profit (£1.1 million) and contribution (£1.0 million) ahead of revenue growth (£0.7 million)

• • The Company's current operations are fully funded to meet guidance of EBITDA profitability by 1H 2023 end following the recent capital raise

Doctor Care Anywhere Group PLC (ASX:DOC, "Doctor Care Anywhere" or "the Company") is pleased to provide an update on trading for the quarter ended 31 March 2022 ("1Q 2022").

This Quarterly Activity Report and Appendix 4C is prepared in GBP in accordance with International Financial Reporting Standards in conformity with the requirements of the Companies Act 2006 (UK). All figures expressed in Australian Dollars ("A$") have been converted from British Pounds Sterling at an exchange rate of AUD:GBP 1:0.53, other than where noted.

Doctor Care Anywhere is the UK's largest private provider of telehealth services. The Company works with insurers, healthcare providers and corporate customers to connect patients to a range of digitally-enabled telehealth services on its proprietary platform.

Key Metrics

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CEO Dr Bayju Thakar said:

"Another strong quarter for the Company, reflecting that digital healthcare is here to stay and is swiftly becoming the primary entry point for accessing healthcare services. We are serving more patients per month - delivering a record 54,700 primary care consultations in March - and we are seeing an increasing number of patients go through our unique joined-up, online to offline, primary and secondary care service which enables patients to get swifter diagnostics and a specialist diagnosis at a lower cost for the insurer.

"Whilst we continue to grow, and our economics improve, I am pleased by the progress the team has made in building the product capabilities that underpin our new operating model. The new operating model allows for asynchronous consultations, multi-length consultations and access to a broader clinical workforce. Combined, these capabilities will allow us to scale more rapidly and efficiently, further differentiate ourselves and elevate us as the 'go-to' digital health partner for insurers and hospital groups around the world."

Performance Overview

Operational KPIs

2,567.8 735.1 151.9

5% 9% 6%

8% 48% 68%

Consultations by Quarter (000's)

Eligible Lives at the end of 1Q 2022 were 2.6 million, up 8% on the pcp. Growth in Eligible Lives was driven by new channel partner relationships and increased penetration of the Company's services across existing channel partners.

• 1 Eligible Lives represents the total number of people who have an entitlement to use DOC's services.

• 2 Activated Lives represents the total number of people who "sign up" for DOC's service and enter their personal details.

• 3 Consultations are the number of GP, Psychiatrist and Psychologist consultations delivered to patients over the period.

Doctor Care Anywhere Group PLC

ARBN 645 163 873

At the end of 1Q 2022, Activated Lives were 735,100, up 48% on the pcp. Growth in Activated Lives was driven by marketing and engagement activities across the Company's expanded pool of Eligible Lives.

Consultation volumes also continued to grow, with 151,900 consultations delivered across 1Q 2022, up 68% on pcp. Growth in consultation volumes was driven by:

• • a 29% pcp uplift in new patients to 49,900; and

• • improved uptake in the Company's secondary care pathway (referral for diagnostic tests and specialist review of results), with 7,200 patients completing the pathway; up 227% on 1Q 2021.

Returning patients represented 67% of all consultations in the quarter, up from 65% in the prior quarter and 58% in the pcp, demonstrating patient satisfaction with the service.

Financial KPIs

8.6

9%

96%

3.9

39%

105%

45.5%

980bps

230bps

2.4

71%

167%

27.8%

1,040bps

780bps

Underlying Revenue by Quarter (£m's)

8.6

The Company delivered quarter-on-quarter growth in 1Q 2022 across all key financial metrics.

Unaudited underlying revenue was £8.6 million in 1Q 2022 (A$16.2 million); up 95% on the pcp (£4.4 million) and 9% quarter on quarter (£7.9 million).

4 Underlying Revenue, Underlying Gross Profit, Underlying Gross Profit Margin, Underlying Contribution and Underlying Contribution Margin exclude irregular revenue items such as underwritten volume top-up payments, technology platform licencing fees and digital design service fees.

Doctor Care Anywhere Group PLC ARBN 645 163 873

The cost of sales per consultation dropped significantly quarter on quarter, from £38.54 to £32.46 in 1Q 2022, resulting in a significant improvement (+980bps) in gross margin. The reduced cost per consultation was driven by a reduction in the cost of clinicians, as the temporary impact of COVID-19 on the UK's clinical workforce eased, and higher utilisation efficiency of clinicians.

Contribution margin also increased significantly (+1,040bps) quarter on quarter. The improvement in contribution margin was largely attributable to the automation of manual processes in the Company's patient support team, allowing the realisation of operational leverage with headcount not needing to scale in line with volumes.

The reduced cost per consultation, and efficiencies in service delivery costs, delivered improvements in gross profit and contribution ahead of revenue growth, with an increase in contribution from operations of £1.0 million against a £0.7 million increase in revenue.

The Company expects margin trends to continue to improve throughout FY22 and FY23, noting the potential for some short-term revenue and margin variability as the business implements its new operating model and business seasonality, including due to the concentration in Q2 of UK public holidays impacting both patient demand and clinician supply.

Cash

The Company's current operations are fully funded and tracking towards guidance following the recently completed capital raise.

Net operating cash outflows for the quarter were £5.5 million, an increase of £0.1 million on the prior quarter. Cash outflows in the quarter included one-off payments in respect of headcount reductions, with existing headcount levels no longer required as a result of the realisation of operational leverage, totalling £0.4 million (with a further £0.3 million of payroll taxes in respect of this to be paid in 2Q 2022). Annualised costs totalling £3.3 million were removed from the Company's overhead base as a result of these headcount reductions.

Net investing cash outflows for the quarter were £0.7 million, a reduction of £0.2 million on the prior quarter. The quarter-on-quarter reduction is partially due to £0.1 million of cash outflows in 4Q 2021 in respect of the acquisition of GP2U Telehealth.

Net cash inflows from financing activities for the quarter were £6.1 million, an increase of £6.2 million on the prior quarter. Investing cash inflows in the quarter represented the funds received in respect of the Company's recent Placement and Retail Security Purchase Plan.

Payments to related parties in the period totalled £0.2 million, representing payment of Director Fees to Non-Executive Directors and salaries to Executive Directors, including pension and payroll tax payments.

The Company exited the quarter with £17.0 million of cash on hand as at 31 March 2022.

Guidance

Doctor Care Anywhere reaffirms guidance that was issued alongside its full-year results for FY21.

The Company's plans will see it reach run-rate EBITDA profitability by the end of 1H 2023 (based on the key assumptions set out below). The key developments that will support this are:

• • Continued organic revenue and consultation growth;

Doctor Care Anywhere Group PLC

ARBN 645 163 873

• • Renegotiated key customer contracts (as previously announced), enhancing revenue and margins;

• • Launching the Company's new operating model (as previously announced), enhancing productivity and margins; and

• • Reduced non-operating costs, as operational leverage is realised across the business.

The key financial metrics that support this guidance are:

• • Revenue: annualised run-rate of between £45-55 million (A$85-104 million);

• • Gross margin: between 50-60%; and

• • Contribution margin: between 35-40%.

Revenue in FY22 is expected to be at least £35-38 million (A$66-71 million), representing 40-50% growth above FY21. Visibility of achieving this guidance is clear, with a Q1 annualised revenue run rate of £34.4 million (A$64.9 million), and continued consultation and revenue growth across the coming three quarters to drive towards FY22 guidance.

Investor Webcast

Investors are invited to join a webcast presentation at 9:00am (AEST) on 21 April 2022, hosted by CEO Dr Bayju Thakar and CFO Dan Curran.

Investors who wish to attend can register using the following link:

https://us02web.zoom.us/j/87601278631?pwd=TDdDdThxZ2tWdXRHSDdiRFR4azBQUT09

Participants are encouraged to submit questions in advance via:

investorenquiries@doctorcareanywhere.com

- ENDS -

This ASX announcement has been authorised for release by the Board of Directors.

Forward looking statements:

This announcement contains forward-looking statements which are statements that may be identified by words such as "may", "will", "would", "should", "could", "believes", "estimates", "expects", "intends", "plans", "anticipates", "predicts", "outlook", "forecasts", "guidance" and other similar words that involve risks and uncertainties. These statements are based on an assessment of present economic and operating conditions and on a number of best estimate assumptions regarding future events and actions that, at the date of this announcement, are expected to take place.

Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company, and the directors and management of the Company. The Company cannot and does not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this announcement will actually occur and investors are cautioned not to place undue reliance on these forward-looking statements.

Doctor Care Anywhere Group PLC

ARBN 645 163 873

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