Slide 1: Third quarter of 2021 Financial results Jan – Sep 2021
Third quarter of 2021 Financial results Jan – Sep 2021 Helena Holmgren President & CEO Stockholm, Sweden, October 22, 2021
Slide 2: Founded in 1991 – listed on Nasdaq Stockholm since 1996
Founded in 1991 – listed on Nasdaq Stockholm since 1996 Headquartered in Stockholm, Sweden 240+ Million 180+ Labels Deployed Employees 20 Million 70+ Labels Yearly Countries 18000+ 9 Stores Office Locations 5 3 Continents Decades 2 ©2021 Pricer
Slide 3: Global retail trends
Global retail trends ! E-Commerce continues to grow; many different fulfilment 1 methods being explored 2 Brick & mortar retailers working hard to attract shoppers back into the stores Need for more data and analytics to support changed 3 customer expectations on a good shopping experience In-store
Slide 4: January – September 2021
January – September 2021 Net Sales growth of 18% despite challenges in component supply and logistics Order intake Net sales Operating profit Operating margin 1,157 1,278 80.1 6.3 SEK M SEK M SEK M % (1,135) (1,079) (85.9) (8.0) 4 ©2021 Pricer
Slide 5: January – September 2021
January – September 2021 Strong growth in EMEA and APAC regions Europe, Middle East & Africa SEK 724 M (560) Asia & Pacific SEK 63 M (25) Americas SEK 491 M (494) 5 ©2021 Pricer
Slide 6: Q3 market highlights
Q3 market highlights ! Large US customer project initiated in 2020 almost 1 completed; successful deployment in nearly 1000 stores 2 Strong momentum in Canada with large volumes delivered under existing framework agreements Continued high activity in the French market; mix of existing 3 and new cust
Slide 7: Third quarter 2021
Third quarter 2021 Solid quarter with high delivery activity, meeting challenging comps from 2020 Order intake Net sales Operating profit Operating margin 307 496 40.1 8.1 SEK M SEK M SEK M % (440) (566) (75.1) (13.3) 7 ©2021 Pricer
Slide 8: Third quarter financials; Steady run-rate of small- and medium sized orders
Third quarter financials; Steady run-rate of small- and medium sized orders • Order intake of 307 MSEK, -30% compared with Q3 of 2020 • Good distribution of order intake across several customers and geographies • Timing of large customer orders causing fluctuations between quarters • Delayed investm
Slide 9: Third quarter financials; High delivery activity
Third quarter financials; High delivery activity, managed to catch up on some backlog from Q2 • Net sales of 496 MSEK, -12% compared with Q3 of 2020 • Top 3 contributors; • France • Canada • USA • Challenging comps due to large customer projects H2 2020 9 ©2021 Pricer
Slide 10: Third quarter financials; Gross margin pressured by components and logistics
Third quarter financials; Gross margin pressured by components and logistics situation 10 ©2021 Pricer
Slide 11: Third quarter financials; Pressure on gross margin impacting profitability
Third quarter financials; Pressure on gross margin impacting overall profitability 11 ©2021 Pricer
Slide 12: Third quarter financials; Global logistics situation causing longer lead times
Third quarter financials; Global logistics situation causing increased lead times and inventory tie-up • Building inventory to support shorter lead- times • Timing effects related to incoming and outgoing payments impacting cash flow • Expansion of credit facility to 200 MSEK as of October 2021 to m
Slide 13: Summary – 3rd Quarter 2021
Summary – 3rd Quarter 2021 1 Retailers looking to do more with less; strengthening trends toward automation and digitalization ! 2 Stable run-rate business, but some delays in investment decisions due to global supply challenges 3 Production and deliveries going at high speed despite global componen
Slide 14: Why invest in Pricer?
Why invest in Pricer? • Strong underlying growth on the market with low rate of penetration of ESL- systems. • Digitalization of physical retail considered necessary for maintaining competitiveness • Best system on the market. Unique and hard to copy technical solution; based on reliable, scalable,