• Strategic change in focus towards ANZ opportunities
• Changes to Governance and Management
• Update to FY26 Guidance and timing for EROAD 2026 Investor Day

EROAD announced actions to enhance its focus on capturing the significant emerging opportunity in electronic road user charging (eRUC), including a strategic change in focus towards ANZ opportunities, changes to Governance and Management, and an update to FY26 Guidance and timing for EROAD 2026 Investor Day. EROAD was founded on road user charging and is the market leader in New Zealand's eRUC system. With governments in both New Zealand and Australia moving toward usage-based and time-of-use charging, EROAD is uniquely positioned to lead. In the near-term, EROAD plans to prioritise new growth investment to ANZ to move quickly and capture this opportunity. To support the opportunity, the Board has made changes to governance and management, with John Scott appointed as Executive Chair and Mark Heine serving as Chief Executive Officer. David Kenneson steps down from his role as Co-CEO. The North American telematics market remains challenging, leading to a slower growth rate and revised FY2026 guidance. EROAD now expects revenue of $197m - $203m, Annualised Recurring Revenue (ARR) of $175m - $183m, and Free Cash Flow Margin of 5% - 8%. EROAD also expects to record an impairment to carrying value of intangible assets relating to the North American region of up to $150m. The company's previously announced Investor Day will be held in March 2026 to provide insights into the emerging eRUC opportunity and share further details of its strategic plan.

FY2026 Guidance: Revenue $197m - $203m, Annualised Recurring Revenue (ARR) $175m - $183m, Free Cash Flow Margin 5% - 8%

EROAD is well positioned to support the New Zealand Government's recently announced plans to transition all 4.6 million vehicles to eRUC, a distance and weight-based system to replace fuel excise duties. This initiative builds on EROAD's core capabilities and provides governments with alternatives to fund maintenance and development of transport infrastructure.