CAP-XX Regulatory News (CPX)

Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR).

20 June 2018

CAP-XX Limited

("CAP-XX" or "the Company")

Trading update

The Board of CAP-XX is pleased to announce that as it approaches the end of its financial year ending 30 June 2018, the Company has received a sharp increase in enquiry levels across all product ranges, including its recently announced 3 Volt technology. Total enquiries, if converted to orders, would amount to annualised sales in excess of US$20m per annum, including over US$2m which has already been classed as design wins, covering over 70 projects for cylindrical and automotive supercapacitors; small IoT and Thinline supercapacitors; and the new 3 Volt prismatic supercapacitors that are in development.

Following on from the announcement made in April 2018, the Company's new 3 Volt technology programme remains on track. As previously stated, the Board believes that the development of a 3 Volt prismatic supercapacitor will be a breakthrough for IoT applications using coin cell batteries. CAP-XX is currently commencing production trials and holding discussions with potential customers and licencees.

Royalty payments continue to grow strongly. Licensing activity remains a key focus, as CAP-XX negotiates new agreements and tackles intellectual property infringements. The Company expects to announce further progress in these respects shortly.

Revenues for the second half of the financial year ending 30 June 2018 are expected to be A$3.35m, including licence payments from AVX, which are significantly ahead of the first half of the year (first half total revenues: A$1.54m). These revenues are expected to result in a reduced EBITDA loss for the second half of the year of approximately A$120,000, compared to the first half EBITDA loss of A$1.5m.

The second half of the financial year includes revenues from the previously announced high volume order for prismatic cells, which has reduced the Company's average selling price by approximately 20%. This selling price reduction, together with the extra start-up costs for this production (as already reported); relocating manufacturing assets from a former contract manufacturer's site; and pursuing patent infringement actions, has reduced the Company's margins. For the financial year ending 30 June 2018, the Board therefore anticipates CAP-XX will generate total revenues of not less than A$4.9m and an EBITDA loss of A$1.6m. Closing cash is anticipated to be in excess of A$1.8m.

For further information contact:

Anthony Kongats (Chief Executive Officer) +61 (0) 2 9428 0139

Kreab (Financial PR)

Robert Speed +44 (0) 20 7074 1800

Allenby Capital (Nominated Adviser and Broker)

David Hart / Alex Brearley (Corporate Finance) +44 (0) 20 3328 5656

More information is available at www.cap-xx.com

Notes to Editors:

CAP-XX (LSE: CPX) is a world leader in the design and manufacture of thin, flat supercapacitors and energy management systems used in portable and small-scale electronic devices, and large supercapacitor based modules used in larger applications such as automotive and renewable energy. The unique feature of CAP-XX supercapacitors is their very high power density and high energy storage capacity in a space-efficient prismatic package. These attributes are essential in power-hungry consumer and industrial electronics, and deliver similar benefits in automotive and other transportation applications. For more information about CAP-XX, visit www.cap-xx.com