Slide 1: Interim Report 1 January–31 March 2024
Interim Report 1 January–31 March 2024
Slide 2: Q1/2024: Solid start to the year
Q1/ 2024: Solid start to the year Market cautiously recovering Revenue growth 30.8%, thanks to Lookout Life acquisition - organic growth in Partner Business, strong renewal performance and increased ARPU in Direct Business. Gross margin burdened by some additional costs related to lost synergies pos
Slide 3: Q1/2024: Focus on Partner Business
Q1/2024: Focus on Partner Business Strategic focus: Progress: fF F-secure. Increase average revenue per user (ARPU) Accelerate the roll-out of F-Secure Total Signing of three Total deals: One new partner, the other two were existing partner expansions Significant growth in Total, quarterly billings
Slide 4: Scam Protection module launched
Scam Protection module launched Comprehensive set of scam protection capabilities fF. SMS Scam Protection with Al ® Shopping Protection 7 Banking Protection @ Browsing and Phishing Protection @ WiFi Protection @ Ad Blocker f F-Secure. Back Scam Protection You are protected against online scams Safe
Slide 5: F-Secure corporate culture — launched in March 2024
F-Secure corporate culture — launched in March 2024 The values of Fellowship we live by every day, in every interaction and every decision We exist to make every digital moment secure, for everyone. Our vision is to be the number one security experience company on earth. Imakea The pace of change in
Slide 6: Financials
ft: F-Secure. Financials Sari Somerkallio, CFO F-Secure changed the calculation method for gross margin in its income statement as of 1 January 2024. Comparative figures for 2023 are also revised.
Slide 7: Revenue up by 30.8%, organic growth 3.2%
Revenue up by 30.8%, organic growth 3.2% Currency neutral organic growth 3.8% Revenue by geography EURm Currency Gs08%) change neutral % ore 36.4 , +72.5% 2s & Q12023 Q1 2024 ™ Nordic countries @ Rest of Europe ™ North America Rest of world fF F-secure. Partner Channel: Revenue increased by 33.6% to
Slide 8: Deferred revenue, current and non-current
27.9 25.6 23.4 22.8 21.2 Current Non-current * Deferred revenue breakdown is indicative, figures in brackets refer to Q4/2023
Slide 9: Excluding Items Affecting Comparability and depreciation and amortization
• • • * Excluding Items Affecting Comparability (IAC) and depreciation and amortization.
Slide 10: Transitional services agreements ended with WithSecure
Transitional services agreements ended with WithSecure Transitional services agreements (“TSA”) between F-Secure and WithSecure terminated at the end of 2023. TSAs entered between F-Secure and Lookout consumer security business started in June 2023. TSAs in R&D and cost of revenue are planned to las
Slide 11: 45.0 40.0% 40.0 90.0% 35.0% 35.0 30.0% 80.0% 30.0 12 25.0% 70.0% 25.0 10
45.0 20 40.0% 40.0 90.0% 18 35.0% 16 35.0 30.0% 80.0% 14 30.0 12 25.0% 70.0% 25.0 10 20.0% 20.0 60.0% 8 15.0% 15.0 50.0% 6 10.0 10.0% 4 40.0% 5.0% 5.0 2 0.0 30.0% 0 0.0% • • • 11
Slide 12: Revenue increased by 30.8%, Opex efficiency improving
Revenue increased by 30.8%, Opex efficiency improving Revenue and cost components (MEUR), share of revenue a 27.8 36.4 ™ Cost of revenue WOPEX (incl. other operating income) mIAC incl. PPA amortization ™ Net financial items 8.7% Income tax Net profit per revenue 15.2% Q12023 Q12024 fF F-secure. Depr
Slide 13: 20.0 160.0% • 18.0 16.0 110.0% • 14.0 12.0 60.0% 10.0 8.0 .0% 6.0
20.0 160.0% • 18.0 16.0 110.0% • 14.0 12.0 60.0% 10.0 8.0 10.0% 6.0 • 4.0 -40.0% 2.0 0.0 -90.0% 13
Slide 14: Leverage target: 2.5x
325 5.0 4.0 275 Leverage target: 2.5x 3.0 225 2.0 175 1.0 125 0.0 -1.0 75 -2.0 25 -3.0 -25 -4.0 Based on the average number of shares during the reporting period. 14
Slide 15: Outlook for 2024 (unchanged)
Outlook for 2024 (unchanged) Growth F-Secure estimates that revenue for 2024 Profitability The group's adjusted EBITA is expected to be in the range of EUR 48-54 million. fF F-secure. will be in the range of EUR 142-152 million. ls Background for the outlook + F-Secure expects the consumer cyber sec
Slide 16: Q&A
[\2 F-Secure. Q&A