Prompted. This process will be discussed shortly. If we experience any technical issues that may impact the meeting, I'll assess the circumstances and communicate further with you. If this isn't possible, you'll be emailed instructions on how and when to rejoin the meeting. I am informed by our Company Secretary that, in accordance with the company's constitution, a quorum is present, and I declare the meeting formally open. I'd now like to begin by introducing my fellow directors that are joining us today: Ms. Teri Thomas, CEO and Managing Director; Ms. Rebecca Thompson, Non-Executive Director; Dr. Elliot Siegel, Non-Executive Director; and also joining us today are Mr. Dan Lee, our Chief Financial Officer; Ms. Françoise Dixon, our Investor Relations Manager; and our company secretarial team, Ms. Naomi Lawrie and Ms. Jessica Cahill; and, of course, our company's auditors, RSM, represented by Mr. Mathavan Parameswaran.
The order of events for today's meeting will be as follows. First, I'll say a few words about the past year for Mach7, and then Teri Thomas, CEO, will then provide an overview of the business, our FY 2025 results, and our FY 2026 focus. We are going to turn to the formal part of the business meeting and resolutions of the meeting. Lastly, there'll be an opportunity for any general shareholder questions to be answered before I close the meeting. Our Company Secretary, Naomi Lawrie, will now explain the process for voting and submitting questions. Thanks, Naomi.
Thanks, Rob. Voting on the resolutions will be conducted by way of an online poll. If you have already submitted a vote by proxy, your votes will be already counted towards the poll. You do not need to lodge another vote unless you wish to change your proxy instruction. If you have not submitted a vote by proxy and wish to vote on the resolutions today, you can do so by following the instructions shown on the screen. When the poll is declared open, a poll window will appear on your screen. This will show all of today's resolutions with voting directions for each resolution, either for, against, or abstain. To vote, simply select the direction in which you would like to cast your vote. The selected option will then show as being marked. To submit your votes, simply click on the Submit button.
You will have the ability to change your vote up until the time voting is closed. Voting on all resolutions is allowed up until the time the poll is closed. We will open the poll after the CEO's presentation, and a poll window will then appear on your screens. For questions, shareholders wishing to ask questions via text, please note the following: please select the Q&A icon located at the bottom of your screen, type your question in the message box, and press the send arrow. Your questions will be addressed at the appropriate time. Given the online format, we may experience some time lag, and this may cause some delay in your questions or comments coming to our attention. We encourage you to lodge them as early as you can. For shareholders wishing to speak and ask a question, an audio question facility is available during this meeting.
If you prefer this method, please select the raise hand icon located at the bottom of your screen. You will be placed in a queue and authorized to speak when we reach the Q&A session. Prior to asking your question, please state your full name and who you are representing. Back to you, Rob.
Great. Thanks, Naomi. Now, before moving to the formal part of the meeting, I'd like to provide an overview of the 2025 financial year, and then I'll hand over to our CEO, Managing Director, Teri Thomas. At Mach7, we're in the business of delivering better healthcare outcomes for our customers and their patients by developing innovative image management and viewing solutions that form the core of an integrated enterprise imaging system. Financial year 2025 was an important year for Mach7 as we laid the foundations for future growth, executed a successful CEO transition, and implemented a strategic share buyback program. We also delivered solid financial results with significant profit improvement driven by strong revenue growth and disciplined cost management. This drove positive operating leverage and further progress towards recurring revenue covering our operating expenses.
We also met our objective of being operating cash flow positive and finished the year in a strong financial position with AUD 23.1 million of cash and no debt. Mach7 reported FY 2025 revenues of AUD 33.8 million, which was 16% higher on the prior corresponding period, or PCP, and in line with our FY 2025 guidance. This performance was underpinned by strong growth in high-quality recurring revenue, which increased by 20% on a PCP basis, demonstrating the value of our products and solutions to our customers. Recurring revenue represented 75% of total revenue, with the coverage of operating expenses expanding to 80% in FY 2025. At 30 June 2025, we generated AUD 23.5 million of annual recurring revenue, ARR, a run rate calculated by annualizing the revenue earned from subscription fees and maintenance and support fees in June 2025. This run rate was 7% higher compared to the previous year.
Contracted annual recurring revenue, or CAR, as we call it, was AUD 30.2 million at June 25 and was 8% higher than the previous corresponding period. Again, this was in line with our revised FY 2025 guidance. Throughout financial year 2025, we continued to carefully manage operating costs, and we met our guidance for operating costs growth to be less than revenue growth. This enhanced operating leverage drove substantial profit improvement. Excluding the amortization of acquired intangibles, Mach7 achieved profitability in FY 2025 with net profit after tax and before amortization of AUD 0.4 million compared to a loss of AUD 1.2 million in FY 2024. During the year, we also implemented an on-market share buyback as part of our ongoing capital management strategy. During the second half of the year, Mach7 utilized AUD 2.2 million of cash to acquire 6.3 million shares.
Post-balance date in August 25, Mach7 paused our buyback activity pending completion of the strategic review. With this now concluded, the buyback remains in place and will be executed opportunistically. Financial year 2025 also saw the transition of our CEO. In April, we announced that CEO and Managing Director Mike Lampron would step down from his role at 30th of June. In April, we were delighted to announce the appointment of Teri Thomas as CEO and Managing Director. Teri has a distinguished career in healthcare technology and executive leadership, and in driving strategic growth and profitability. More recently, Teri was CEO of Volpara Health Technologies Limited, a global leader in medical software for breast cancer screening, and she was Chief Business Officer at Lunit, a market leader in AI-driven cancer detection and diagnostics.
Since commencing formally in the role on 1st of July, Teri has delivered meaningful change right across the business. She has renewed our leadership team, is bringing a fresh, energetic expertise and perspectives that complement our existing strengths. She's introduced a customer-centric operating model that is generating positive feedback from clients and optimized our global resource allocation to maximize efficiency and impact across our operations. This is an exciting time for Mach7. We have listened carefully to your feedback as shareholders and stakeholders, and we are acting on it. We are in the middle of a comprehensive change program, which is centered around a new strategic direction, which Teri will outline shortly. As a board, we remain laser-focused on prudent capital management and long-term value creation for our shareholders.
I would like to thank our customers and shareholders for their ongoing support and engagement, and I'd now like to hand over to Teri Thomas to address the meeting. Thank you.
Thank you, Rob. This is my first AGM presentation as Mach7 CEO, and before diving in, I want to share one foundational thing about me. I've spent my entire adult life in healthcare, mostly technology, but also as a registered nurse. I'm driven by impact, and Mach7 offers that on two different levels. First, the mission-level impact. Medical imaging is not abstract technology. It's life-saving infrastructure. In use cases like telestroke, getting the right image to the right clinicians at the right time can mean the difference between life and death. That gravity fuels how I lead and why our teams show up with purpose. Second, I see tremendous potential in this company: our people, our products, and the transformation that's already underway. Mach7 can be worth far more as a company, and we are building toward that future with discipline and with conviction.
Now, my first five months have been intense in the very best way. A lot has changed, but all of it by design. We are part of a way through a reset year, and make no mistake, this reset is not a pause button. It is deliberate. It is essential, and it is fully in motion. We are not slowing down, but we are re-architecting while we're moving forward. As we undertake our company transformation, I want to acknowledge the pace, the intensity, and the purpose that our teams have brought to this work. We are transforming deliberately and rapidly and with a clear view of where we're going. Importantly, we are not transforming from a position of weakness. We have some enviable fundamentals. We have a strong, loyal customer base. We have meaningful recurring revenue, and we have no debt.
These give us room to modernize, scale, and strengthen Mach7 for long-term growth. It is about creating a company that engages with urgency, adapts quickly, and delivers real value with purpose and with some energy. We are protecting the strengths that brought us here while elevating capabilities that will define our next decade. Now, let's zoom out a moment and look at the world around us. Healthcare is undergoing massive shifts that directly impact care delivery and how healthcare organizations think about technology. First, in healthcare, but especially in radiology, workforce shortages are real, and they are not going away. Automation and AI are not nice-to-haves. They are survival tools. Second, interoperability and data fluidity are critical. If systems do not connect, clinicians cannot deliver safe care. Disconnections remain a major pain point. Third, cybersecurity sits near the top of every single CIO's agenda in our industry.
Finally, cloud migration and remote workflows are accelerating, and these trends make Mach7's value proposition ever stronger. We give customers control in a world that feels increasingly complex. Now, one reason I took this job is that imaging is a high-growth area within healthcare. Providers are using imaging more and more for diagnosing and managing their patients. The global enterprise imaging market is forecast to grow significantly, and AI in medical imaging is absolutely taking off. Industry estimates indicate 90% of hospitals are now adopting some form of AI. I have no doubt AI will transform medicine. Mach7 sits at the intersection of two strong growth curves: enterprise imaging and AI enablement. Now, for those who do not know, our enterprise imaging platform is built around two main core components that work together to give healthcare organizations data freedom and clinicians the speed and the clarity that they need.
First, our vendor-neutral archive, or VNA. Most hospitals still run multiple PACS systems, systems that store CTs, MRIs, X-rays, and other imaging. PACS transformed radiology, but they're usually still tied to a specific vendor, which means imaging data ends up scattered in silos across an organization. Our VNA brings all that imaging together. It ingests images from many systems, many vendors, and in many formats, giving customers full control of their data and the freedom to modernize or replace legacy systems on their own terms. While DICOM is the standard language of medical imaging, nearly 60% of clinical images are not DICOM at all. They're photos, videos, ophthalmology and dermatology images, surgical captures. Mach7 can handle all of it seamlessly and unifies it into a single patient record. The second component is our enterprise diagnostic viewer, eUnity. eUnity is where clinicians meet the images.
It delivers fast, diagnostic-quality, fully browser-based viewing from any device, tightly integrated into the EMRs, patient portals, and even AWS Health Imaging. It is FDA-approved, including mammography, a challenging area. Together, they provide vital imaging infrastructure for the healthcare enterprise. Now, our core products have delivered enterprise-wide imaging capability for years, but our vision is bigger: global leadership in imaging data independence, powering the AI era and teleimaging frontier. Flamingo is Mach7's new intelligent imaging architecture, being built as a new purchasable product for release in 2026. It is a transformational, modern orchestration platform built to power the AI era. Flamingo delivers real-time intelligent routing and workflow automation, a modern API layer for AI models, analytics, and cloud-native tools, intelligent data tiering to maximize cloud ROI, support for utilization of emerging technologies, agentic AI models, and advanced analytics. Where the VNA manages storage, Flamingo manages intelligence.
It will quickly unlock new capabilities without requiring replacement of underlying systems. It is the layer modern imaging has been missing. I have not described what Flamingo does, but let's talk about the name because Flamingo was not chosen at random. Flamingos are a perfect metaphor for what we are building. They take flight with reach and purpose, just like our architecture lifts customers out of PACS silos and connects imaging, AI, and research across the enterprise. They are adaptable, thriving in diverse conditions, the same way Mach7 adapts across regions, vendors, and workflows. They are balanced and graceful, qualities we have built into Flamingo's orchestration, regardless of whether customers run on-prem, in the cloud, or both. Like the flamingo's precision filter, our architecture aims to filter out complexity. It will streamline IT workflows to reduce implementation costs.
Speaking of costs, I love products with a clear ROI, and Flamingo is designed to drive efficiency, extracting value while discarding waste. Yes, flamingos are memorable, which is why you will see them show up in our booth at RSNA, creating interest, sparking conversations, and facilitating some fun and memorable engagement with customers and prospective customers alike. Our innovation priorities are aligned with filling gaps in the industry that customers really care about. In addition to Flamingo architecture, we have several new developments underway to round out our offering. The industry is cloud-aware, but most images are still on-prem. With the recent reported cloud provider downtimes, customers want help on how to safely and cost-effectively migrate to the cloud. Second, we are expanding eUnity, evolving into a more comprehensive real-time teleimaging platform for radiology, advanced visualization, and progressing our work even on digital pathology.
Finally, we're embedding telemetry and AI insights for customers about their system use. We are building the infrastructure that future healthcare ecosystems will rely on. One thing I'm deeply proud of is the caliber of customers we serve, particularly in the academic medical center space, the center of our ideal customer profile. We work with some of the most respected research-intensive institutions in the world. We provide the scale and flexibility that they require. We understand their workflows, and we support some of the largest and most complex imaging environments globally. We also have some large integrated delivery networks and teleradiology customers who benefit from our speed and scale. It is not just who we serve. It is how we stay close to them.
I speak with customers every week, and one of my own KPIs this year is to personally visit at least 10 customers, and I'm halfway there, including visits with several of our largest clients. I will spend much of January in Asia. My team and I dig in on customer pain points, engage with the right people, and get immediate, unfiltered feedback on things like Flamingo and everything else we're building. I do not live in an ivory tower, and neither do the rest of my senior team, who adopt key customers so we all can make decisions with the voice of the customer in our heads. I expect Mach7 to be a company that listens, that learns, and iterates with its customers, not at them. This closeness is a competitive advantage that we will build upon, quite literally.
We are actively reorganizing our product and engineering under unified leadership. We launched the JET team, standing for Just Execute Together, to get innovation from idea into customers' hands faster. We have injected AI tools into our engineering to accelerate development cycles. These are not cosmetic changes. These are system-level upgrades to how we build and deliver. Our presence in Asia has become a strategic advantage. Engineering talent there is high, and the cost is lower, enabling us to unlock more innovation within an established, knowledgeable team without increasing our expenses. We are also seeing strong VNA and imaging demand across Asia and the Middle East. Increased engagement by our founder, Ravi Krishnan, is bringing deep regional insight and renewed energy. Asia is now a core part of our future growth model and a powerful lever for profitability.
I do believe commercial success is well grounded in understanding the market, your customer needs, and your strategic differentiators, and here are a few. Mach7's modular vendor-neutral architecture provides true data independence and sovereignty, a major pain point release for healthcare enterprises who are locked into legacy PACS and VNA ecosystems. This makes us a far more flexible alternative to extension VNAs in a market hungry for interoperability, migration flexibility, and long-term cost management. Mach7 enables intelligent orchestration with rules-based routing that can support the most complex imaging workflows and accelerate AI development. As imaging is rapidly shifting toward AI-driven operations, Mach7 is poised to be the platform of choice for hospitals seeking to operationalize AI at scale, strengthening stickiness and future upsell paths. Security is engineered into the core platform with end-to-end encryption, audit logging, and compliance with HIPAA, GDPR, and ISO frameworks.
This reduces procurement friction, it accelerates sales cycles, and it positions Mach7 as a trusted partner in highly regulated global healthcare systems. Mach7's hybrid cloud architecture delivers sub-second image access without requiring customers to invest in expensive infrastructure. Performance is a competitive moat and is truly some of our secret sauce, where speed directly drives clinician productivity, also customer satisfaction and platform retention. Mach7 delivers enterprise-grade imaging capabilities at a value point that competitors cannot match. We maintain a compelling economic advantage to drive market share capture and strong ROI for our customers. Now, you can't sell a secret, and historically, our commercial engine was underdeveloped, and that is changing fast. Since September, we've hired a new CFO and an EVP of sales, as well as commercial excellence leader, and this triad will complete that transformation. This part of the business is fun for me.
I know what great sales leadership looks like, and that's why I'm so energized by what's happening right now. On the marketing side, we are leveling up. Historically, our marketing footprint was mostly two conferences, LinkedIn posts, and a monthly webinar, but that will not cut it for the growth that we're planning. We have now kicked off a complete marketing transformation. We're building a new website, developing more advanced and authoritative content, and embracing not just SEO, but also AEO, Answer Engine Optimization, because people are turning to AI for buying decisions. We are even going further with GEO, Generative Engine Optimization, ensuring that our content is structured so that generative AI platforms can understand and reference it accurately. In selection processes, our prospects send us their AI summaries and ask, "Is ChatGPT lying?" We have to ensure AI gets our story straight.
Our brand is becoming lighter, more modern, more visible. Next week at RSNA, the market's going to feel that shift. We're sharpening our story. We're elevating our presence and building a disciplined, data-driven revenue engine. I believe this is going to unlock the next level of growth for Mach7. I'm very confident in our new sales leader, Todd Stallard. He's a former football player, and you can tell. He brings drive, competitiveness, focus, and a real commitment to execution. He is not just rebuilding the sales structure. He is elevating also how we work with our partners. We believe our partners are an essential part of Mach7's growth story and a largely underleveraged asset. To address that, we're kicking off an intentional, structured, and collaborative partner strategy.
Todd brings a competitive mindset and deep experience in partner engagement, and he'll be leading several enhancements to how we support, enable, and co-sell with our partners, equipped, confident, and excited to bring Mach7 into opportunities. We are also improving the tools and the messaging we give to our partners so it's easier for them to tell our story and show the value of our platform. As our marketing transformation ramps up with better content, clearer positioning, and more modern brand, our partners will benefit from those improvements too. The goal is to make it easier for partners to win with Mach7 because we believe when our partners succeed, we succeed. Together, we can reach more customers, accelerate more opportunities, and expand Mach7's presence across markets we could not reach on our own.
As we rebuild our commercial engine and strengthen partner engagement, we're also moving into very practical go-to-market activities anchored in the intersection of our ideal customer and key differentiators. These are the things that make it easier for customers to understand us, to choose us, and to switch to us. We're rolling out new migration approaches, some total cost of ownership models to remove uncertainty, and help customers say yes faster. We're addressing lock-in fears with cleaner commercial constructs and expanding our social presence so the market actually sees the story we're telling. All of this ties directly into our strategy for Flamingo—clearer messaging, cleaner positioning, and much more confidence. We unveil this new direction next week at RSNA. Now, as soon as I finish this AGM, I'm off to the airport to Chicago for RSNA, our biggest lead generation event of the year.
I'm told they expect nearly 40,000 registrants from about 115 countries. This is where the global imaging market comes to see what's next. Mach7 will be showing up in full force. We're sending more than 20 of our team members across our booth and a suite, and also we'll be demonstrating Mach7 at the AWS booth. We've got dozens of pre-booked appointments with customers, with partners, and with prospects. RSNA is a major stage, and this year, Mach7 is stepping onto it more confidently than we have in a long time. For people who've been in the industry for a while, it feels a bit like a family reunion, and lots of valuable connections are made or strengthened, including with our customers, the heart of what we do.
Now, speaking of our customers, one of the most exciting cultural shifts and one of the very first changes under my leadership has been the creation of our flight crew model. These are multidisciplinary teams led by our Advocate for Customer Experience, or ACE. Each flight crew provides a single point of accountability and stronger, more consistent customer engagement. It is a completely new way of partnering with our customers—connected, proactive, and focused entirely on their success. The results are already showing in improved feedback, better industry scores, and frankly, our staff appreciate working this way too. This flight crew model also powers what we call the Mach7 loop, our cycle of compounding growth. When customers succeed, they generate referrals and market momentum. That momentum fuels new sales. Those sales create new revenue that we reinvest back into our people, our products, and our customer experience.
The cycle gains momentum. It's simple, it's powerful, and it's already working. Churn has improved dramatically from last year. So far, I've presented to you three key elements of our strategy: stabilize the customer base, modernize the product by adding differentiators, and rebuilding the commercial engine. Now, for the fourth lever, operationalizing it to scale with efficiency. A strategy without a strong execution framework looks nice, gathers dust. Our strategy is a full way of life, grounded in a deep alignment with creating customer value. It's supported by an execution model meant to drive high performance. We are fostering a culture grounded in transparency, ownership, collaboration, and a strong connection to our purpose. We've introduced metrics and aligned incentives to drive the behaviors we want across all parts of the business.
We're promoting from within where possible, investing in early career talent, and simplifying decision-making so teams can move quickly. Our culture is not a side project. It is the execution engine behind everything we do. We've adopted the acronym CLIMBS to easily remember our culture code. Customers, number one. First in the code, driving everything that we do. We need to learn from our past, building on successes, not repeating mistakes to deliver innovations that make impact. Back again to customer value. There are some elements very specific to Mach7, like making things as complex as they need to be, but no more. This element is vital for an organization that needs to move quickly in order to out-nimble the competition. A culture of building and ownership will drive quality and growth, and underpinning it all, sales. I do believe, and I repeat internally, everybody sells.
A few months ago, I began evaluating this company and shaping this strategy. At the start of the fiscal year, I committed to providing guidance in November, now at our AGM. You've heard how much has changed: a complete overhaul of our customer operations, a hard reset of sales, and key new leaders, including our CFO and EVP of sales joining in September. I want to give you as much clarity as possible on fiscal year 2026 because clarity builds confidence, and I want to be honest about what we know and what remains uncertain. I said earlier we're pulling four key levers: stabilizing the customer revenue base, modernizing the product and deepening our moat, rebuilding a commercial engine, and scaling with efficiency.
I want to share where we started this year: an underperforming commercial engine across marketing, sales, and partners, siloed teams that slowed our execution, inconsistent customer experience leading to churn, and a limited product roadmap. What we fixed in the last five months: we strengthened leadership at a lower cost base. We modernized our operating model. We unified product and engineering and a new product roadmap. We redesigned the commercial engine, and we have reimagined customer engagement with the unified flight crew model. What's already improving? Churn reduced significantly, improved class scores, early pipeline lift with two new customers in contracting, and no qualified new logo selections lost since the 1st of July. A reminder, we are in the midst of a massive reset.
We continue progressing through our subscription transition while working through prior years of very few new logo sales and the inherent timing of subscription revenue recognition, which typically occurs 12-18 months after contract signing. To bridge this, we're counting on revenue coming in from the sales pipeline, including capital deals in Asia, to match or exceed last year's performance. The real growth driver, though, is new customers. With revitalized commercial leadership and expanded marketing capacity, we expect revenue to be weighted toward the second half of fiscal year 2026 as our new go-to-market model ramps. Asia-Pac and the Middle East remain capital-driven regions, while North America continues its shift toward subscription contracts that contribute ARR only after first productive use. This foundation is what positions us really well for fiscal year 2027 and beyond.
In the first half of fiscal year 2026, we expect softer revenue, fewer capital deals, fewer expansion, lower professional services, and the impact of churn carried over from the last fiscal year. This will result in temporary cash flow negativity, even with disciplined cost management. That is exactly why we are being intentional and selective in our spending. By Q4, we expect early subscription deals to reach some milestones, creating renewed logo CAR momentum. Operating expenses will remain in line with fiscal year 2025, supported by our Asia-Pac engineering shift, where talent costs are 40-75% lower. We are reducing fixed overhead while shifting investments into higher impact marketing and strengthening leadership in sales and finance, expanding capability while lowering our cost per employee. Looking beyond fiscal year 2026, the growth drivers become clear as the transition matures. Flamingo opening new revenue pathways and expanding our competitive footprint.
A strengthening Asia-Pac capital pipeline supported by lower-cost regional staff expansions. A growing North American subscription pipeline strengthened by momentum from RSNA. Greater leverage from partners under new commercial leadership. A more scientific, strategic, and modern marketing engine accelerating visibility and driving a pipeline. We’re also adding a commercial excellence leader to build a disciplined, predictable revenue engine across pricing, forecasting, partner enablement, and life cycle revenue management. Fiscal year 2026 is a year of foundation building, fixing what was missing, adding what was needed, positioning Mach7 for meaningful, profitable growth in fiscal year 2027 and beyond. The plan is clear, intentional, and already in motion.
Mach7 now has a stable, recurring revenue base, no debt, strong balance sheet, improved customer retention, a clear transformation plan, a differentiated product vision aligned with AI adoption, a much stronger commercial engine, operating leverage from Asia, and clear catalysts for 2026 to 2027. Our focus remains clear: executing our strategy with discipline, expanding the pipeline and new logo sales, maintaining strong financial governance, and building a scalable global company that delivers lasting shareholder value. This reset year is not about shrinking, not about slowing. It is about positioning Mach7 for durable, long-term growth. We have the fundamentals. We have the strategy. We have momentum. We have a team fully committed to the mission. I want to sincerely thank our employees. This year has been intense, especially the last few months. The pace, passion, and resilience they have shown through so much change has been extraordinary.
To our shareholders, thank you for your trust, your partnership, and your belief in where we're heading. Mach7 is transforming deliberately, confidently, and with purpose. We are just getting started. Back to you, Rob.
Thank you very much, Teri. We'll now move to the formal business of today's meeting. After this, we'll address any general shareholder questions for the board, CEO, or our CFO in the Q&A session. For resolution-specific questions, we'll answer these as we move through each of the resolutions shortly. Our Company Secretary has confirmed that the notice of meeting has been sent to all shareholders and other persons entitled to receive it within the notice period. The matters requiring consideration today are outlined in detail in the notice of meeting. The notice will be taken as read.
Mach7 Technologies' financial statements for the 2025 financial year, together with the auditor's report, are in our annual report, which was made available on our website. Resolutions 1 through to 4 are ordinary resolutions. This means that to pass them, they require more than 50% of votes cast by shareholders entitled to vote and voting on the resolution. As mentioned earlier, voting will be conducted by way of a poll. Votes will be counted at the end of the meeting, and results will be published on the ASX. If you are voting, you'll be able to finalize and submit your votes up to the end of the meeting. I'll remind you of that at the time. The proxy votes that have been submitted will be set out in the slides shown for each resolution. For some context, there are approximately 235 million shares on issue.
Shareholders have appointed the Chair of today's meeting, myself, as proxy for approximately 120 million shares, voting either for, against, or at my discretion for all resolutions. As indicated on the proxy form and in the notice of meeting, my intention as Chair is to vote all discretionary and undirected proxies held by me in favor of each resolution, except Resolution 4. Each resolution is put to the meeting. It will be displayed on your screen. As noted earlier, shareholders can submit questions during the meeting by text or verbally. To ensure questions reach us in time, I ask that you submit them now if you have not already. Again, any general shareholder questions submitted online during the meeting will be addressed after the formal business is completed.
If we aren't able to get through all of them today, or if there are any specific questions that would be better addressed on an individual basis, then we'll respond to them after the meeting. We will now open the poll for voting on the resolutions. The first item of business of this meeting is consideration of the audited financial statements and related reports for the year ended 30th of June 2025. The Corporations Act requires that audited financial statements and related reports be laid before this meeting. I now declare that these reports, which were made available to shareholders on 29th of October 2025, have been laid before the meeting. Although shareholders are not required to formally vote on the company's financial and related reports, I would welcome any discussion or questions on the reports.
As I mentioned previously, the company's auditors, RSM and Mathavan Parameswaran, the partner responsible for the company's audit for the 2025 financial year, is online with us today and available to answer any questions on the conduct of the audit or the context of the auditor's report. I am advised by our auditors that no relevant questions for their attention were received prior to the meeting. Are there any questions or comments on the company's financial and related reports for the year ended 30th of June 2025?
There are no questions on this item, Chair.
Thank you. If there are no questions, then I ask the Company Secretary to record that the financial reports for the company and its controlled entities for the year ending 30 June 2025, together with the Director's report and the Auditor's report, have been received and considered by shareholders. Thank you.
Now, Resolution 1 is a non-binding resolution to adopt the remuneration report, which is set out in the 2025 annual report. Before putting this resolution to the meeting, I would like to remind shareholders that at last year's AGM, the company received its first strike on the remuneration report. Under the Corporations Act, if 25% or more of the votes cast on this resolution are against the adoption of the remuneration report this year, that will constitute a second strike. In that event, Resolution 4, the conditional spill resolution, will be applicable. However, the results of Resolution 4 will only be applicable and reported if a second strike is confirmed once all votes have been counted and verified after the meeting. The proxy votes received for this resolution are displayed on screen. We note that all open proxies held by the Chair will be voted in favor.
Are there any questions on this resolution?
There are no questions on this resolution.
Thank you. Moving now to Resolution 2. The shareholders are asked to consider and, if thought fit, pass the following resolution as an ordinary resolution: the re-election of Dr. Elliot Siegel as a company director. I would like to invite Elliot to say a few words to address the meeting. Thank you, Elliot.
Thank you, Rob. And good morning, shareholders. I'm asking for your support for re-election because I believe Mach7 is at a pivotal moment, we're moving from simply managing and displaying data to orchestrating it through our new Flamingo architecture. As a physician, I see firsthand that hospitals are overwhelmed. They don't just need storage and image access; they need the intelligent workflows and AI readiness that Mach7 is currently building.
My focus as a director will remain on two things: ensuring our product excellence continues to meet the highest standards of patient care and ensuring that this clinical value translates into long-term shareholder value. I look forward to continuing this work. Thanks, Rob.
Thank you, Elliot. The proxy votes received for this resolution are displayed on the screen. We note that all open proxies held by the chair will be voted in favor. Are there any questions on this resolution? There are no questions on this resolution. Thank you. For Resolution 3, the shareholders are asked to consider and, if thought fit, pass the following resolution as an ordinary resolution: the issue of performance rights to Ms. Teri Thomas, CEO and Managing Director. The proxy votes received for this resolution are displayed on screen. We note that all open proxies held by the chair will be voted in favor.
Are there any questions on this resolution?
There are no questions on this resolution.
Thank you. I now refer to Resolution 4, which pertains to the spill resolution. As mentioned earlier, this is a conditional resolution required under Section 250V of the Corporations Act. While the resolution is being put to the meeting, it will only be applicable, and the results of the resolution will only apply and be reported if a second strike is confirmed on the remuneration report, Resolution 1, once all votes have been counted and verified after the meeting. If a second strike has occurred and the spill resolution is passed, the company will be required, in accordance with the Corporations Act, to hold a spill meeting within 90 days. Details of that meeting would be communicated to shareholders if required. The proxy votes received for this resolution are displayed on screen.
We note that all open proxies held by the chair will be voted against this resolution. The directors recommend shareholders vote against this resolution. In respect of this item of business, the following proxies have been received as outlined here in the presentation. Are there any questions on this resolution?
There are no questions.
Thank you. As that now completes the formal items of the business, I can now take any general questions from shareholders.
There is one question from Peter Cooper. Can the CEO please outline the size of the market that Mach7 is chasing? Thank you. Teri? I think you're on mute, Teri.
I am on mute. I cannot give you a TAM right now. That's something that I'd be happy to provide in the future. I just don't have it in front of me.
Thank you.
I would note there were some addressable market comments, etc., that Teri has previously made in her slides. Thank you. Are there any other questions?
There are no further questions.
Thank you. That brings us to the end of Mach7's 2025 annual meeting. In a moment, I will formally close the meeting. If you're voting on the resolutions, please finalize and submit your votes. We will now provide shareholders with a further 20 seconds to complete their voting. Thank you. I now declare the poll closed. As mentioned earlier, the results of the voting will be released on the ASX once the votes have been counted after this meeting. I want to thank all our shareholders for attending Mach7's Annual General Meeting today. We appreciate the constructive dialogue and endorsement from our investors, and we want to ensure you of our focus to build shareholder value and profitability.
Finally, I want to take this opportunity to thank all of our hardworking employees and my fellow directors for their guidance and support, with all having worked tirelessly throughout the year. I now declare the meeting closed, and thank you very much.