Slide 1: Weak quarter but we can see the light at the end of the tunnel
( pay Ww CEWE Ew Weak quarter but we can see the light at the end of the tunnel Profoto Q1 report 2024 May 14,2024 | @)/Profoto The light shaping company
Slide 2: Today's speakers
Today's speakers CEO &, = y Anders Hedebark anders.hedebark@profoto.com CFO Carl Bandhold carl.bandhold@profoto.com Head of IR \ : Sw y Amanda Astr6m amanda.astrom@profoto.com (=|Profoto The light shaping company~
Slide 3: Highlights
Highlights * Netsales decreased by 25 percent to SEK 171m. Organic growth amounted to -25 percent. * EBIT was SEK 34m (72), corresponding to an EBIT margin of 20 percent (31). * The return on operating capital totaled 39 percent (94). * New product, Pro-D3, launched on May 7*. Profoto The light shap
Slide 4: Q1 2024 EBIT and net sales
4 Q12024 EBIT Qi SEK 34m (72) -52% Net sales Qi EBIT margin SEK 171m (229) Qi -25%! 20% (31) 1. Organic growth -25%. Hl Sales @@ Adj. EBIT margin 35% 33% 1% \ 28% 2%, a0 \ yA )%| % 1 : li ij ili Qi @2 a3 a4 a3 2022 2023 2024 Profoto The light shaping company
Slide 5: Continued weak demand across regions affects net sales
Continued weak demand across regions affects net sales Hl Americas J APAC EMEA 228 es “ | S m1 © 7/ ’ : : e ‘ 88 6 4 Photo credit: JuliaiDeRobertis —— Q12023 Q12024 a ee Profoto j 7 : The light shaping company
Slide 6: Last twelve months
Last twelve months Ml Sales LTM = Adj. EBIT margin LTM 33% 31% 31% a0" EBITLTM g : SEK 167m (266) -37% Net sales LTIVI EBIT SEK 729m (881) marginLTM “17% 23% (30) Qi @2 @3 a4 a @2 a3 @ a 2022 2023 2024 Profoto 1. Organic growth -19%. The light shaping company
Slide 7: Low operating cash conversion in the quarter
Low operating cash conversion in the quarter I Operating cash flow, SEKm ©» Operating cash conversion 16% 93% 80% 105 75% 68% Fan 8 80 54% 64 65 A 39 26% 20% 29 4 1 a2 a3 5 Q Q4 Qi Q2 Q3 Q4 Qi 2022 2023 2024 Profoto The light shaping company
Slide 8: Operating model with consistent high levels of return on operating capital
Operating model with consistent high levels of return on operating capital over time 116% 92% 84% 712% 49% i ; a a 4% 2018 2019 2020 2021 2022 2023 = 2024 Q1LTM Profoto The light shaping company
Slide 9: Strong balance sheet gives flexibility to invest for growth and return capital
Strong balance sheet gives flexibility to invest for growth and return capital to shareholders MH Net debt, SEKm = Net debt/EBITDA 0.4 0.3 0.3 0.3 -0.2 -0.6 100 88 44 62 os -75 -179 Qi Q2 Q3 Q4 Qi Q2 Q3 Q4 Qi 2022 2023 2024 9 Profoto The light shaping company
Slide 10: Growth and profitability targets not met, but we remain confident
Growth and profitability targets not met, but we remain confident with them Target 2024 LTM 2023 EBIT margin 25-30% 23% Organic sales growth Dividend policy > 50% 10% “19% 13% Profoto 10 The light shaping company
Slide 11: Premium positioned global, niche leader
>) (TP y By =r ‘ Ga ea 1 S11 ewe Y,- Wipes: ‘ ! J e ene = ° | L hee \\_4 | Premium positioned global, niche leader 7 [ \ 4 | e | |! j it th =i Ele LIZ} |) | ae + Profoto is the leader in a global niche | Cade a | oe) with a high barrier of entry. \ : | Aas * The brand is used by the very best L ® ®
Slide 12: Profoto is the world leader in lighting products for studios and professional photographers
12 Profoto is the world leader in lighting products for studios and professional photographers In the growing image and content creation market. * Premium position in the segment “Photography lighting solutions”. * Innovative and easy-to-use flashes and light shaping system. ¢ Used by the leading st
Slide 13: >20 years of +15% annual growth from new products
>20 years of +15% annual growth from new products _— = +15% CAGR | Profoto is founded Leading global position with presence in +60 countries and subsidiaries in four continents Profoto The light shaping company
Slide 14: Large share of sales consistently comes from new products
Large share of sales consistently comes from new products 66% 65% 60% 58% 48% 48% . ; 2018 2019 2020 2021 2022 2023 2024 LIM 14 Profoto The light shaping company
Slide 15: Continuous investment in R&D to drive demand
Continuous investment in R&D to drive demand HB R&D Spend, SEKm = R&D Spend/Net sales, % 14% 2018 2019 2020 2021 2022 2023 2024 LTM 15 Profoto The light shaping company
Slide 16: We aim to grow in our core market while also investing in new growth areas
We aim to grow in our core market while also investing in new growth areas Growth area Light for professional photographers Workflow solutions Light for film for e-com and studios production Software connected to hardware for large-scale content production Light and light shaping tools Core Growth a
Slide 17: New product launched on May 7th: Pro-D3
New product launched on May 7**: Pro-D3 * Made to exceed the evolving expectation of the high-end commercial image content creation industry. * Features collectively contribute to improved energy efficiency, reduced maintenance costs, and an extended fixture lifetime. * Designed to be a relentless w
Slide 18: Profoto Lights the way to Hollywood
Profoto Lights the way to Hollywood First product for Film production to be introduced at Cine Gear in Los Angeles on June 7h * Profoto Lights the way to Hollywood, first Profoto LED to be shown at Cine LA EXPO: 2024 Gear, Warner Bros Studios LOS ANGELES | JUNE 7-9, 2024 LOCATION: Warner Bros Studio
Slide 19: New organization for growth in North America
New organization for growth in North America ¢ North America is Profoto's largest market and the one with the best growth potential. * Profoto is now increasing its focus on sales and marketing and is moving Management of the Global Marketing department to Los Angeles. * Sara Strid takes on a new ro
Slide 20: Questions
Questions /@/Profoto 20 Photo credit: Lindsay Adler The light shaping company~
Slide 21: Second quarter report, July 17, 2024
21 Second quarter report, July 17, 2024 Head of IR 4 se Amanda Astr6m amanda.astrom@profoto.com (a) Profoto The light shapi
Slide 22: (#) ™
(#)Profoto The light shaping company™