Slide 1: Zaptec Powers Adventure – Q4 2022 Financial Results
Zaptec Powers Adventure Q4 2022 Financial Results 15 February 2023
Slide 2: Agenda
Agenda Summary of Q4 2022 Operational update and 2023 strategy Financial performance and outlook 2
Slide 3: Financial highlights Q4 2022
Financial highlights Q4 2022 Revenue Order intake 249 276 +29% vs. Q4 2021 +85% vs. Q4 2021 International share of sales Gross margin 68% 38% vs. 57% for Q4 2021 vs. 51% for Q4 2021 Figures in NOK million unless otherwise specified 3
Slide 4: The Zaptec growth story continued in 2022
The Zaptec growth story continued in 2022 LTM revenues, NOK million +55% 759 703 608 548 489 375 248 293 177 187 220 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 4
Slide 5: Fast-paced international growth
Fast-paced international growth Sales outside Norway, NOK million Subsidiaries established where EV adoption is increasing; Sweden, Denmark, UK, Germany, Switzerland, France and Benelux Distributors in place across Western Europe; new subsidiaries to follow in additional 169 157 countries – currentl
Slide 6: Other highlights Q4 2022
Other highlights Q4 2022 Patent for dynamic phase balancing technology in Europe Key takeaway: Achievement Zaptec • Patent for dynamic phase balancing technology to be granted in all European countries* has put major efforts • The technology enables significant cost savings and higher charging speed
Slide 7: Summary
Summary • Continued growth story - 55% revenue growth from 2021 to 2022 • Significant investments in new subsidiaries and technical development – including recruiting competent staff in competitive markets and adapting product offerings to new countries • European patent for dynamic phase balancing
Slide 8: Agenda
Agenda Summary of Q4 2022 Operational update and 2023 strategy Financial performance and outlook 8
Slide 9: Zaptec's strategic foundation is Safety and High quality
Zaptec’s strategic foundation is Safety and High quality Safety without compromise Zaptec Pro and Zaptec Go compliant with all relevant IEC* standards Zaptec Go 2022 NAF** test winner due to best safety features Swedish Safety Agency successfully completed technical review and testing of Zapte
Slide 10: Our 2023 focus – wide-scale international expansion
Our 2023 focus – wide-scale international expansion… • Developing and scaling the solution • Strong market presence with “Pro” • Further accelerating international share of sales • Gaining market shares in domestic • Launching “Go” win market share in markets the home market • Gaining market
Slide 11: Vastly expanding our total addressable market
… vastly expanding our total addressable market… 2023 target markets 1,798,000 Norway, Sweden, Switzerland, Denmark, Iceland, Germany, UK, France and the Netherlands1 New EV passenger vehicle registrations, 2022 ~4.4x Current 413,000 main markets Norway, Sweden, Switzerland, New EV passenger vehicle
Slide 12: Elevated market growth as new markets are earlier in adoption phase
… with elevated market growth as new markets are earlier in adoption phase 2023 target markets 7,165,000 Norway, Sweden, Switzerland, Denmark, Iceland, Germany, UK, France and the Netherlands New passenger vehicle registrations (all drivetrains), 2022 ~7.8x Current 914,000 main markets Norway, Swede
Slide 13: Some observations regarding major European markets
Some observations regarding major European markets 1 2 3 Lumpy but Step-wise New, “mean reverting” growth in adoption high-quality new car sales rates models over time • In only a few years, Norway went • Automakers’ massive investments in • 2021 car sales boosted by elevated from practically no ado
Slide 14: OPEX increase reflects strategic investments in new markets
OPEX increase reflects strategic investments in new markets Headcount almost doubled in 2022 20% of staff in early-stage target markets (# staff in end of each quarter) Share of total FTEs per Q4 2022 Benelux France Germany +88% 5% 2% 20% of headcount in markets with UK 2% 150 11% very limited reven
Slide 15: Unlocking massive European markets: United Kingdom
Unlocking massive European markets United Kingdom • Strong UK organization established with 16 FTEs in place, majority recruited during 2022 and Zaptec Pro sales initiated • Compliance with UK EV smart charging regulatory requirements reached in Q4 2022 • UK version of Zaptec Go production sta
Slide 16: Unlocking massive European markets: Germany
Unlocking massive European markets Germany • Strong organization in place, with 7 FTEs – aiming to also leverage Swiss organization in sales efforts • Sales of Pro and Go initiated • Production start of Zaptec Pro ‘Made in Germany’ through partnership with Samina in Gunzenhausen, Bavaria • Compli
Slide 17: Unlocking massive European markets: Benelux
Zaptec to provide input text Unlocking massive European markets Benelux • Recruited strong organization with significant experience from the EV charging industry end Q3 / during Q4 • Initial focus on establishing the business and gaining momentum in Belgium and the Netherlands – 4 FTEs in place
Slide 18: Unlocking massive European markets: France
Unlocking massive European markets France • Organization in place, with 3 FTEs – further ramp-up planned • Prototypes for French version of both Pro and Go completed • Finalising Pro and Go technical development and approvals; expected during 2023 • Start of production • Ramp-up marketing and sale
Slide 19: 120,000 new charging stations installed last 3 years
Installed base of Zaptec chargers is growing rapidly, paving the way for new business models 120,000 new charging stations installed last 3 years 10,000 +553% 150,000 120,000 charging stations added to user base in 2020-2022 period – a +500% growth 125,000 8,000 100,000 Recurring revenue from pa
Slide 20: Agenda
Agenda Summary of Q4 2022 Operational update and 2023 strategy Financial performance and outlook 20
Slide 21: Gross margin around historical average, but with room for improvement
Gross margin around historical average, but with room for improvement Gross margin development 60% 51% • Gross margin of 38% in Q4, average of around 40% last 3 years 50% 46% 45% 42% • Positive gross margin outlook: 39% 39% 39% 38% 40% 38% 35% 36% o 5-8% product price increase from 1st February 2023
Slide 22: EBITDA reflects strategic growth investments
EBITDA reflects strategic growth investments • EBITDA margin negatively impacted by strategic growth investments o Significant portion of 2022 OPEX attributable to new markets where large sales volumes were yet to materialize o Estimated 44 MNOK spent on building organization and start marketing in
Slide 23: Concluding remarks
Q3 wording – to be updated when rest of deck is complete Concluding remarks Zaptec’s growth story continues, backed by EV transition megatrend Historical investments in subsidiaries and technical development enabling large-scale growth across Europe European patent for dynamic phase balancing techno
Slide 24: Q&A Disclaimer – forward looking statements
Q&A Disclaimer – forward looking statements Cautionary Statement Regarding Forward-Looking Statements In addition to historical information, this presentation contains statements relating to our future business and/or results. These statements include certain projections and business trends that are
Slide 25: Supplementary materials
Supplementary materials 25
Slide 26: Zaptec Pro: Highest safety standards and unique technology
Zaptec Pro: Highest safety standards and uniqe technology Highest safety standards – Dynamic phase balancing – with integrated physical fuse 3x vehicles can charge and protection per circuit Quality made in Norway – Modular Installation – Temperature resistant and backplate and flexible 5-year guara
Slide 27: Zaptec Go: Award-winning safety and design
Zaptec Go: Award-winning safety and design Expandable – up to 3 Future-proof and up to date charging stations per circuit Award-winning safety and Compatible – Works with design every electric vehicle and all households Made in Norway – 5-year warranty Charge up to 22kW - adjusts its maximum charge
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