LOCATION SCIENCES GROUP PLC

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 JUNE 2023

1              General information

Location Sciences Group PLC and its subsidiary Location Sciences AI Limited (together the "Group") provide location verification services, utilising sophisticated machine learning and pattern recognition technologies Verify detects location ad-fraud and checks the accuracy and quality of location signals used to improve the performance of digital advertising.

The Company is a public limited company which is quoted on the AIM market of the London Stock Exchange and is incorporated and domiciled in the United Kingdom.

2              Basis of preparation

The financial information has been prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union, IFRIC interpretations and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS. The accounting policies adopted are consistent with those of the financial statements for the year ended 31 December 2022, as described in those financial statements.

The figures for the six-month periods ended 30 June 2023 and 30 June 2022 have not been audited. The figures for the year ended 31 December 2022 have been extracted from, but do not constitute, the consolidated financial statements of Location Sciences Group PLC for that year. Those financial statements have been delivered to the Registrar of Companies and included an unqualified auditors' report and did not contain a statement under Section 498(2) or Section 498(3) Companies Act 2006.

3               Loss per share

The calculation of basic loss per share of 0.01p (June 2022: 0.02p; December 2022: 0.029p) is based on loss after taxation and the weighted average number of ordinary shares in issue during the period.

4              Segmental analysis

Operating segments are based on internal reports about components of the Company, which are regularly reviewed and used by the Board of Directors being the Chief Operating Decision Maker ("CODM") for strategic decision making and resource allocation, in order to allocate resources to the segment and to assess its performance.

During the first half of 2023, the Group has operated through its trading company Location Sciences AI Limited. The business provides location verification services, utilising sophisticated machine learning and pattern recognition technologies Verify detects location ad-fraud and checks the accuracy and quality of location signals used to improve the performance of digital advertising.

It should be noted that a segmental analysis of the Consolidated Statement of Financial Position is not part of routine management reporting and, consequently, no segmental analysis of assets is shown here.

An analysis of operating revenue is as follows:

* disclosed within discontinued operations

** includes £99,022 of earn-out income from the sale of the Insights business during 2021

An analysis of EBITDA is as follows:

An analysis of loss before tax is as follows:

5              Share capital

Share issue

No shares were issued in the period.

Share rights

Ordinary shares have attached to them full voting, dividend and capital distribution (including on winding up) rights; they do not confer any rights of redemption.

Deferred shares have attached to them no voting, dividend or capital distribution (including on winding up) rights; they do not confer any rights of redemption.

Warrants in Issue

1) Promoter Warrants - non-transferable warrants to subscribe for up to 1,500,000,000 Ordinary Shares, exercisable at the 0.20p for five years from 25 May 2021, were issued to certain members of the Concert Party in consideration of those persons assembling and co-ordinating the Concert Party's investment in the Company in May 2021 and facilitating the appointment of Simon Wilkinson as Non-Executive Chairman.

Name                                  Number of Ordinary Shares subject to Promoter Warrants

Richard Hughes                                                500,000,000

Mahmud Kamani                             500,000,000

Simon Wilkinson                              500,000,000

2) Cornerstone Investor Warrants - non-transferable warrants to subscribe for up to 250,000,000 Ordinary Shares, exercisable at 0.20p for five years from 25 May 2021, were issued to the Cornerstone Investors of the May 2021 placing.

Name                                  Number of Ordinary Shares subject to Cornerstone Investor Warrants

Ben Turner                                         50,000,000

Donna Turner                                    75,000,000

James Pope                                      50,000,000

Maxine Pope                                     75,000,000

3) Broker Warrants - transferable warrants to subscribe for up to 100,000,000 Ordinary Shares, exercisable at the 0.20p for five years from 25 May 2021 were issued as shown below.

Name                                  Number of Ordinary Shares subject to Broker Warrants

Turner Pope                                      58,750,000

Dr Nigel Burton                                 25,000,000

Mark Slade                                        10,000,000

David Rae                                         6,250,000

4) Director Warrants - non-transferable warrants to subscribe for, in aggregate, 120,000,000 Ordinary Shares were issued to the Executive Directors and the Non-Executive Directors, exercisable at 0.20p for five years from 25 May 2021, provided that the Ordinary Shares have traded at a Volume Weighted Average Price (VWAP) at or above 0.30p for 20 consecutive Business Days, or on a change of control of the Company.

Name                                  Number of Ordinary Shares subject to Broker Warrants

Mark Slade                                        30,000,000

David Rae                                          30,000,000

Simon Wilkinson                              30,000,000

Dr Nigel Burton                                 30,000,000

6.             Availability of half-year report

Copies of the half-year report are available on request from the Company's registered office at First Floor, St James House, St James Square, Cheltenham, Gloucestershire GL50 3PR and can also be viewed at:

https://www.locationsciencesgroup.ai/investor-relations/reports-presentations/

For further information please contact:

Location Sciences Group PLC                                                                                                        via Allenby Capital

Simon Wilkinson, Chairman

Allenby Capital Limited (Nominated Adviser)                                                                  Tel: +44 (0)20 3328 5656

David Hart

Vivek Bhardwaj

Turner Pope Investments (TPI) Ltd (Broker)                                                                   Tel: +44 (0)20 3657 0050

James Pope

Andy Thacker