Immuron Limited Appendix 4E 30 June 2023 Immuron Limited Appendix 4E Preliminary Final Report Year ended 30 June 2023 Name of entity: ABN: Year ended: Previous period: Immuron Limited 80 063 114 045 30 June 2023 30 June

dividends have been paid or declared by the company for the current financial year. No dividends were paid for the previous financial

reported after tax loss of the current financial year of $3,786,507 (2022: $2,854,254) is after fully expensing the company's research

and development expenditure of $2,592,145 incurred during the year (2022: $657,715). Of which, $2,158,936 (2022: $369,045) was funded

by the R&D grant from Medical Technology Enterprise Consortium (MTEC). Research and development expenses increased by $1,934,430

from the financial year 2022 to 2023. The increase in the research and development expenditure reflects the recommencement of research

and development activities following a short-term delay during the Covid-19 pandemic.

revenue from contracts with customers for the year was $1,804,705, which is an increase of 135.8% from the prior financial year (2022:

$765,193), primarily due to the sales recovery in the Australian, U.S. and North American markets for Travelan . We anticipate

that revenues from sales of our Travelan product will continue to increase in the future.

at 30 June 2023 the company's cash position was $17,159,764 (30 June 2022: $22,110,278). The company had trade and other receivables

of $417,420 (30 June 2022: $662,896). This receivables amount includes future receivables from the Australian Government under the R&D

Tax Incentive program mentioned above.

preliminary financial report follows, with the further details to be included in the audited financial statements to be released by 29

no changes in controlled entities during the year ended 30 June 2023.

required by Listing Rule 4.2A

25 November 2022, Immuron has been allotted 800,767 shares in Ateria Health Limited (Ateria), representing 17.5% of the issued share

capital of Ateria post the group's upfront cash investment, following satisfaction of conditions precedent for the transaction,

including completion of Immuron confirmatory due diligence and Ateria shareholder approval. As at 30 June 2023, Immuron has a 17.5% interest

and one board seat in Ateria. Immuron is deemed to have significant influence over Ateria. For further information, please refer to the

interim financial report for the half-year 31 December 2022.

financial statements are currently in the process of being audited. The audited financial statements along with the independent auditor

report for the year end 30 June 2023 will be provided in the due course.

statement of profit or loss and other comprehensive income

the year ended 30 June 2023

above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

above consolidated balance sheet should be read in conjunction with the accompanying notes.

statement of changes in equity

the year ended 30 June 2023

above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

statement of cash flows

the year ended 30 June 2023

above consolidated statement of cash flows should be read in conjunction with the accompanying notes.

Notes to the financial statements

group derives revenue from the transfer of hyperimmune products at a point in time in the following major product lines and geographical

The group's research

and development (R&D) activities are eligible under an Australian government tax incentive for eligible expenditure. Management has

assessed these activities and expenditure to determine which are likely to be eligible under the incentive scheme. Amounts are recognised

when it has been established that the conditions of the tax incentive have been met and that the expected amount can be reliably measured.

For the year ended 30 June 2023, the group has included an item in other income of $398,391 offset by an overestimation from the prior

period of $5,514 (2022: $257,500) to recognise income over the year necessary to match the R&D tax incentive on a systematic basis

with the costs that they are intended to compensate.

gains of $430,932 from the movement in inventory provision during the period reflect the write back resulting from the change in accounting

estimate driven from the sales recovery in the Australian, U.S. and North American markets for Travelan as compared to the prior period.

Notes to the financial statements

deposits are presented as cash equivalents if they have a maturity of three months or less from the date of acquisition and are repayable

with 24 hours notice with no loss of interest.

to the financial statements

receivables are amounts due from customers for goods sold or services performed in the ordinary course of business. They are generally

due for settlement within 30 days and therefore are all classified as current.

receivables are recognised initially at the amount of consideration that is unconditional unless they contain significant financing components,

when they are recognised at fair value. The group holds the trade receivables with the objective to collect the contractual cash flows

and therefore measures them subsequently at amortised cost using the effective interest method.

amounts primarily comprise receivables from the Australian Taxation Office in relation to the R&D tax incentive.

to the short-term nature of the current receivables, their carrying amount is considered to be the same as their fair value.

group classifies the following as financial assets recognised at fair value through profit or loss (FVPL) as part of Immuron's strategic

investment in Ateria:

to the financial statements

assets mandatorily measured at FVPL include the following:

the year ended 30 June 2023, the group has received $2,857,131 R&D grant from Medical Technology Enterprise Consortium (MTEC) in

cash. However, the group has recognised $2,158,936 R&D grant from MTEC as other income over the year necessary to match the grants

on a systematic basis with the costs that they are intended to compensate. The remaining balance of $698,195 of cash received from MTEC

was recognised as other deferred income as at 30 June 2023 (30 June 2022: nil).

to the financial statements

Ordinary shares entitle

the holder to participate in dividends, and to share in the proceeds of winding up the company in proportion to the number of and amounts

paid on the shares held.

every holder of ordinary shares present at a meeting in person or by proxy, is entitled to one vote, and upon a poll each share is entitled

Ordinary shares have

no par value and the company does not have a limited amount of authorised capital.

shows a breakdown of the consolidated balance sheet line item other reserves' and the movements in these reserves during

the year. A description of the nature and purpose of each reserve is provided below the table.

Share-based payments

The share-based payment

reserve records items recognised as expenses on valuation of share options and warrants issued to key management personnel, other employees

and and eligible contractors.

to the financial statements

Foreign currency translation

Exchange differences

arising on translation of foreign controlled entities are recognised in other comprehensive income as described in note and accumulated