Bittium Corporation · OMXHEX:BITTI

Bittium — H1 2023 Earnings Presentation

20 slides from Bittium's earnings presentation, Aug 4, 2023

  1. Slide 1: Bittium Corporation Half-Year Financial Report January-June 2023

    Bittium Corporation Half-Year Financial Report January-June 2023 CEO Johan Westermarck August 4, 2023

  2. Slide 2: Forward-looking Statements

    Half-Year Financial Report January-June 2023 Forward-looking Statements Some statements made in this material relating to future circumstances or status, including, without limitation, the future performance of the company, expectations regarding market growth, trend projections as well as any state

  3. Slide 3: Contents

    Contents  Summary  Business Highlights  Financial Review 2Q and 1H 2023  Outlook for 2023

  4. Slide 4: Summary

    Half-Year Financial Report January-June 2023 Summary • 1H was weak • the shortage of components especially in 1Q product deliveries in medical technology business • cyclical nature of orders and timing of product deliveries in tactical communication business • 2Q net sales decreased y-on-y, operatin

  5. Slide 5: Business Highlights

    Business Highlights

  6. Slide 6: Tactical Communications

    Half-Year Financial Report January-June 2023 Tactical Communications • Russia’s invasion of Ukraine has lead the states to increase their defense budgets and new projects to modernize the defense forces of different states are starting • Finland has joined the military alliance NATO, which strengthe

  7. Slide 7: Secure Communications

    Half-Year Financial Report January-June 2023 Secure Communications • Numerous cyber security attacks have increased interest in secure communication systems • Interest towards Bittium Tough Mobile™ security phones and security-related software has continued to grow • Bittium Tough Mobile™ secure pho

  8. Slide 8: Medical Technologies

    Half-Year Financial Report January-June 2023 Medical Technologies • The deliveries of Bittium Faros™ ECG devices were slowed by the shortage of components • The deliveries of Bittium Respiro™ home sleep apnea measuring devices continued and feedback from the customers’ clinical trials has been posit

  9. Slide 9: R&D Services

    Half-Year Financial Report January-June 2023 R&D Services • The demand for R&D services grew • Focus on Industrial IoT, Telecom and MedTech markets • Companies seek for wireless connectivity for their products due to the increasing need for cloud communication enabled by 5G technology • Western comp

  10. Slide 10: Financial Review

    Financial Review

  11. Slide 11: Quarterly Development of Net Sales

    Half-Year Financial Report January-June 2023 Quarterly Development of Net Sales 35,0 • Total net sales decreased by 8.8% compared to MEUR the previous year and were MEUR 20.7 (MEUR 30,0 22.7) 25,0 • Product-based net sales were MEUR 13.3 20,0 (MEUR 15.8) • The share of Medical Technology products 15

  12. Slide 12: Half-Yearly Development of Net Sales

    Half-Year Financial Report January-June 2023 Half-Yearly Development of Net Sales 50,0 • Total net sales decreased by 13.2 % to MEUR 45,0 MEUR 35.6 (MEUR 41.0) 40,0 35,0 • Product-based net sales were MEUR 21.4 30,0 (MEUR 27.2) 25,0 • Share of the Medical Technology products 20,0 was MEUR 11.1 (MEUR

  13. Slide 13: Operating Result Development

    Half-Year Financial Report January-June 2023 Operating Result Development Quarterly Half-Yearly 5,0 15,0 % 6,0 10,0 % MEUR 10,0 % 5,0 8,0 % 4,0 MEUR 4,0 6,0 % 5,0 % 3,0 3,0 4,0 % 0,0 % 2,0 2,0 % 2,0 -5,0 % 1,0 0,0 % 1,0 -10,0 % 0,0 -2,0 % -15,0 % -1,0 -4,0 % 0,0 -20,0 % -2,0 -6,0 % -1,0 -25,0 % -3,0

  14. Slide 14: R&D Investments

    Half-Year Financial Report January-June 2023 R&D Investments R&D investments remained at the same level y-on-y and MEUR 15,0 40,0 % were MEUR 11.2 equaling 31.4% of the net sales (MEUR 11.1 equaling 27.2% of the net sales) • MEUR 4.4 was capitalized (MEUR 3.0) 30,0 % • Depreciations of R&D investmen

  15. Slide 15: Cash Flow

    Half-Year Financial Report January-June 2023 Cash Flow MEUR 1H 2023 1H 2022 Net profit +/- adjustment of accrual basis items 1.2 6.4 Change in net working capital -5.5 0.0 Interests and taxes -0.3 -0.5 NET CASH FROM OPERATING ACTIVITIES -4.6 6.0 Net cash from investing activities -4.7 -3.7 Net cash

  16. Slide 16: Assets and Liabilities

    Half-Year Financial Report January-June 2023 Assets and Liabilities The balance sheet of June 30, 2023 was total of MEUR 161.2 • Trade and other payables MEUR 23.4 • Property, plant and • Inventories MEUR 27.0 • Interest-bearing debt equipment MEUR 19.3 • Trade and other receivables MEUR 41.5 MEUR 2

  17. Slide 17: Outlook for 2023

    Outlook for 2023

  18. Slide 18: Outlook for 2023

    Half-Year Financial Report January-June 2023 Outlook for 2023 Market Outlook • The global disruption in the availability of electronic components has had a slowing effect on the development of the company's business and sales in the beginning of the year. Bittium estimates that the market is recover

  19. Slide 19: Next IR Events 2023

    Half-Year Financial Report January-June 2023 Next IR Events 2023 Business Review January-September 2023 20.10.2023 Capital Markets Day 2023 30.10.2023 19 © Bittium 2023

  20. Slide 20: Contact us.

    Contact us. www.bittium.com investor.relations@bittium.com

Bittium — H1 2023 Earnings Presentation on 6ix