Appendix 4E - Preliminary Final Report For the Financial Year Ended 30 June 2017 Current Reporting Period - Year Ended 30 June 2017 Previous Reporting Period - Year Ended 30 June 2016 In compliance with Listing Rule 4.2A

Current Reporting Period - Year

Previous Reporting Period - Year Ended 30 June 2016

In compliance with Listing Rule 4.2A.

Preliminary Financial Report

For the Year Ended 30 June 2017

In compliance with Listing Rule 4.2A

Your Directors present their report on Immuron Limited for the

year ended 30 June 2017.

The following persons were directors of Immuron Limited and

its entity it controls during the year and up to the date of this report, unless otherwise stated:

REVIEW OF OPERATIONS

Fatty Liver Portfolio

Three Ongoing Phase II Programs in Clinical Development (NASH,

ASH and Pediatric NAFLD)

The lead Principle Investigator for the

Immuron non-alcoholic steatohepatitis (NASH) clinical study Dr Arun Sanyal, is the former President of AASLD (American Association

for the Study of Liver Diseases) and current Chair of the Liver Study Section at the National Institute of Health (NIH).

The study achieved its recruitment goal

of at least 120 patients this year and successfully enrolled 133 patients with biopsy proven NASH. The primary endpoint is changes

in liver fat content confirmed by MRI and secondary endpoints being changes in ALT (liver enzymes). The top-line results for the

study are expected to be reported by Q4 2017.

NASH is a severe form of non-alcoholic

fatty liver disease (NAFLD). It affects about 16 million people annually in the United States alone, making it a prime opportunity

for the pharmaceutical and biotechnology industries.

With 17.3 percent of Americans aged 15

- 19 suffering NAFLD, Immuron's Phase I/II clinical trial with Emory University is timely. Health authorities estimate

paediatric NAFLD affects five to 10 percent of the US paediatric population, with no current approved treatments.

The lead Principle Investigator for our

Pediatric NAFLD study is Dr Miriam Vos, Emory University. Dr Vos specializes in the treatment of gastrointestinal disease in children

as well as fatty liver disease and obesity.

Our NIH funded Phase II double blind, placebo

control, randomized clinical study of IMM-124E enrolled the first patient into the study in February this year and has so far randomized

over 10% of the targeted 40 patients into the study. The primary endpoint is changes in ALT (liver enzymes) following 3 months

of treatment with top-line results expected in Q4 2018.

Dr Arun Sanyal is also the lead Principle

Investigator of the Immuron alcoholic steatohepatitis (ASH) clinical study which is also funded by the NIH. Over 50% of the targeted

66 patients have been randomized into the study. The primary endpoint is changes in ALT (liver enzymes) with top-line results are

expected in Q1 2019.

US Securities and Exchange Commission

Immuron successfully completed its Initial

Public Offering (IPO) on 9 June 2017. The Company, through its lead broker Joseph Gunnar & Co. LLC and Rodman & Rendshaw

placed 610,000 ADSs and 701,500 Warrants raising USD$6.1M before costs. The close of this raising marked a significant milestone

in Immuron's lifecycle as the Company not only secured additional funding to process its clinical portfolio and current primary

clinical trial to completion, but it also gained international exposure to the much large US market.

The listing process had been an ongoing

process of audit, legal and regulatory reviews for a number of months to ensure Immuron's compliance with SEC and NASDAQ

NASH Clinical Trial Achieves Major Milestones

and Receive New US Stimulus

The Company reported the results of the

planned interim analysis in July this year. The primary objective of the interim analysis was to evaluate the safety of IMM-124E.

The interim analysis was conducted by an Independent Committee to maintain blindness of both company and investigators as required

to maintain the study integrity.

The Committee also explored the data for

signals of efficacy from the primary, secondary and exploratory end points. The analysis was not powered for efficacy due to the

limited sample size.

The report submitted to the Company by

the Committee confirmed that there were no safety concerns or adverse events, serum biochemistry, hematology, vital signs, or physical

examination findings for both treatment groups. We were very pleased to be able to report the efficacy signals on liver enzymes

(ALT and AST) which demonstrated a dose related reduction in both treatment doses at 24 weeks, though not statistically different

As these parameters inherently fluctuate

over time and are significantly affected by baseline values the interim analysis committee also had scheduled to perform additional

analyses on the data set to correct for these inherent variations. Comparing the Area Under Curve for the ALT/AST data over time

of IMM-124E to Placebo, accounts for all the available data.

Such analysis demonstrated a significant

reduction of ALT and AST over time (AUC ANCOVA analysis) compared to placebo. A dose-related effect was reported when the greatest

decrease occurred in the highest dose group, with the low dose group decreasing by an intermediate amount compared with the placebo

The Company believes that this documented

effect, together with a correlation between ALT and AST, is the proof of concept for a biological effect demonstrating decrease

Immuron has also advanced its world-leading

IMM-124E research in NASH with two new studies at Duke University and Sanyal Biotechnology. The studies should augment the evidence

of IMM-124E's unique mechanism of action (MOA) and expected effect on NASH. The results from these studies will supplement

our pre-clinical and clinical studies to date, including the anti-fibrotic effect seen in the CCl4 model and the metabolic and

immunological improvements seen in both the Ob-Ob mice as well as the Company's phase I clinical study.

The studies will attempt to generate comparable

results in the two leading NASH mouse models which mimic the full clinical spectrum of human NASH, from simple steatosis to substantial

fibrosis and cirrhosis. The additional preclinical studies will proceed under the leadership of two internationally renowned NASH

researchers, Dr Arun Sanyal, founder of Sanyal Biotechnology, and Dr Anna-Mae Diehl, Director at the Duke University Liver Centre.

The studies are ongoing and are expected

to be completed by Q4 2017.

Clostridium Difficile Infection

(CDI) Trial Drug Completes Manufacturing Phase

Immuron is pursuing the biopharmaceutical

research and development for an effective and safe non-antibiotic treatment of CDI which accounts for more than 450,000 patients

and over 29,000 deaths per year in the United States alone. The IMM-529 drug product for the study has been manufactured and is

a first-in class oral immunotherapeutic targeting the treatment of Clostridium difficile infection. IMM-529 has been shown in preclinical

tests to be an effective treatment in all phases of the disease and success in this trial will provide encouragement to the Board

and Management that the IMM-529 drug product has significant potential for continued clinical development.

The Company received approval from the

Israeli Ministry of Health (MoH) and the Hadassah Medical Center Ethics Committee in August of this year to perform Immuron's

IMM-529 clinical study. Immuron has completed the site initiation and the site is open for enrolment. The first of 60 patients

is scheduled to be randomized by end of September 2017. The Phase I/II randomized, double-blind, placebo-control clinical study

is designed to evaluate the safety and preliminary efficacy of Immuron's IMM-529 drug product for the treatment of CDI.

Eligible patients will be randomized, in