Ava Risk Group Limited (ASX: AVA) (“Ava Risk Group” or “the Company”) provides the following update on its Q3
FY2026 trading performance and recent milestones:

  • Q3 sales order intake of $6.1 million, resulting in year-to-date sales order intake of $21.7 million.
  • Sales order backlog of $6.2 million including $2.6 million in contracted annual recurring revenue. The order
    backlog consists of equipment orders and multi-year service contracts.
  • Completion of the transaction with Hale Capital to secure a strategic investment in the Company of $7.0
    million via Convertible Loan Notes and up to $5.6 million via associated Warrants. Tranche 1 funding under
    the agreement of $3.0 million was received in January 2026 and Tranche 2 funding of $4.0 million was
    received in April 2026 following shareholder approval. The investment provides the Company growth capital
    with a highly aligned strategic partner to supporting U.S. expansion.
  • Full year revenue guidance of $34 to $37 million, reflecting some uncertainty on the timing of orders,
    particularly from the Middle East, driven by the current regional conflict.

Ava Risk Group Acting CEO Neville Joyce commented: “While sales order intake in Q3 was slower than anticipated
we a have a strong sales pipeline and our focus is on bringing those opportunities to conclusion in Q4. I’m pleased
with the progress we have made in some key segments such as aviation, particularly in Australia, as well as sovereign
border protection and energy infrastructure.

“It is also pleasing to conclude the Hale transaction and we look forward to leveraging that partnership to grow our
position in the U.S. Coupled with our strong technology footprint, it leaves the Company well positioned to drive
revenue growth in FY2027 and beyond.”

Update on key industry segments and geographies in Q3 FY2026:

  • Australian Airports Perimeter Detection: Ava Risk Group was selected to lead Australia’s most
    comprehensive enhanced Perimeter Intrusion Detection System (PIDS) validation trial at Melbourne Airport,
    supporting the Department of Home Affairs’ nationwide perimeter security directive. The trial builds on
    successful trials conducted at both Canberra and Cairns airports and will be completed in Q4 FY2026. The
    Company is also conducting a validation trial of its technology at Perth Airport which will also be completed
    during Q4 FY2026. Success in these trials creates a path for adoption of Ava’s advanced fibre optic sensing
    technology across both Australian state capital cities and additional regional airports in FY2027.
  • An agreement was executed with the Australia Department of Home Affairs, Border Protection
    Technologies Panel (BPTP), recognising the Company’s fibre optic sensing solutions as suitable for
    government border security applications. This positions Ava Risk Group to access a broad and recurring
    pipeline of Commonwealth contracts, enabling streamlined procurement and faster deployment of its intrusion detection systems across critical infrastructure. Beyond immediate revenue potential, panel membership strengthens the Company’s visibility with key government stakeholders.
  • Telecommunications: The Company continues to expand its strategic footprint with Telstra, including the
    demonstration of Aura Ai-X across a multi-city nationwide roadshow (Together26) conducted by Telstra
    during March and April, targeting enterprise and government customers. Additionally, Aura Ai-X will be
    deployed on a new-generation network segment in regional NSW in May 2026 to enhance the detection of
    physical network threats. Ava continues to engage with senior network security leadership, with broader
    opportunities under review following recent technology validation projects.
  • A significant pipeline of key orders is expected to close in H2 FY2026 in the Middle East, associated with
    sovereign border protection and multiple energy infrastructure opportunities. The timing and fulfilment of
    these orders has been affected by the current conflict in the region. During Q3, the Company received orders
    for energy infrastructure protection ($1.0 million) which it plans to fulfil during Q4 FY2026 subject to site
    access. The expected order for sovereign border protection ($2.5 million) remains on track to proceed in
    FY26, though timing may be further affected by the current regional conflict. An additional order for $2.5
    million in the energy sector is now likely to be deferred until FY2027.
  • During Q3, the Company received multiple orders for U.S. government sites ($0.5 million) some of which
    were delayed from H1 FY2026. The sales opportunity pipeline remains strong with further opportunities in
    corrections and U.S. government sites expected to close in H2 FY2026.
  • The focus in Access remains on growing U.S. distribution using the dormakaba network. During March,
    Access was invited to participate in dormakaba’s PRO-Alliance meetings, dormakaba’s largest U.S. based
    marketing event showcasing their key products to their largest customers. Development of an updated
    reader range in Access was demonstrated at the U.S. ISC West Trade Show in March. This includes integration
    with Apple Wallet, enabling broader adoption of the readers.

Q4 FY2026 Outlook:

The focus in Q4 is to close and fulfill the significant sales pipeline opportunities, particularly in the Middle East and North America. Reflecting some uncertainty relating to the timing of orders in the Middle East, the Company provides full year revenue guidance of $34 – $37 million.

Update on CEO search:

The Company is actively engaged with shortlisted candidates for the CEO role. This process is expected to be finalised in H2 FY2026.

ENDS

Approved for release by Board of Directors