Slide 1: Q2 2022
Q2 2022 CEO Jacob Tveraabak CFO Hilde Horn Gilen July 13, 2022
Slide 2: Agenda
Agenda • Introduction to StrongPoint • Highlights Q2 2022 • Other key financial figures
Slide 3: The StrongPoint double opportunity
The StrongPoint double opportunity E-COMMERCE Retailers’ needs Opportunity for StrongPoint 1. In-store: Pressure on Technology solutions in-store to brick & mortar retailers’ improve retailers’ productivity, margin provide safe shopping and hence uphold margins 2. E-commerce: Pressure to World-class
Slide 4: Purpose: Retail technology in every shopping experience
Purpose “Retail technology in every shopping experience for a smarter and better life” 4
Slide 5: Focus on grocery retail
Focus on grocery retail Retail Solutions that increase efficiency and improve the shopping experience in-store and online We have a focus on the resilient grocery retail sector with spillover effects to other retail verticals 5
Slide 6: Reiterating StrongPoint's 2025 financial ambitions
Reiterating StrongPoint’s 2025 financial ambitions NOK 2.5 in 2025 bn EBITDA 13-15% 6
Slide 7: Highlights Q2 2022
Highlights Q2 2022 'S) StrongPoint
Slide 8: Highlights Q2 2022
Highlights Q2 2022 1 Strong revenue growth despite continued global component shortages 2 Continued customer success in priority areas 3 Further progress on 2025 strategic ambitions
Slide 9: 2nd quarter revenue
1 2nd quarter revenue Revenue +28% MNOK 321 301 289 284 249 252 220 214 215 223 215 210 196 181 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22
Slide 10: 2nd quarter EBITDA
1 2nd quarter EBITDA EBITDA MNOK -2 21 20 20 17 17 17 16 14 14 12 12 10 10 8 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22
Slide 11: Healthy in-store solutions' margin, significant and deliberate E-commerce investments
Healthy in-store solutions’ margin, significant and 1 deliberate E-commerce solutions’ investments EBITDA margin Q2, 2022 Percent 10-11% Healthy 10-11% EBITDA margin in mature In-Store Solutions business Significant and deliberate E-commerce solutions’ investments holds back current overall EBITDA l
Slide 12: Revenue share per solutions' segments
Revenue share per solutions’ segments 1 Relative share of revenue per segment Percent Segments In-store productivity 35 33 Payment Solutions 38 37 39 39 43 E-commerce Logistics 20 22 Check Out Efficiency 23 22 25 25 27 13 10 Shop Fitting 11 13 8 10 6 14 Other retail technology 15 21 12 12 16 11 9 13
Slide 13: Continued customer success in priority areas
2 2 Continued customer success in priority areas • First AutoStore automated warehouse agreement signed with Norwegian company ColliCare Logistics • Existing grocery e-commerce customer Interspar Austria scaled their click and collect offer with an order of additional grocery lockers • Italian groce
Slide 14: Further progress on 2025 strategic ambitions
3 2 Further progress on 2025 strategic ambitions • Closed the acquisition of UK & Ireland- based Air Link Group Ltd • Continued investments to expand world- class scalable e-commerce business – with grocery focus and spillover effect to other verticals
Slide 15: Other key financial figures
Other key financial figures 'S) StrongPoint
Slide 16: Acquisition of Air Link Group Ltd June 1st, 2022
Acquisition of Air Link Group Ltd June 1st, 2022 MNOK Transaction figures ALS contribution to StrongPoint YTD **Proforma figure for StrongPoint YTD Purchase Price* 112 Cash 89 Shares in StrongPoint 23 +19% 740 Allocation 112 622 Revenue EBITDA Identifiable assets 26 Intangible Assets 66 Goodwill 37
Slide 17: Changes in Equity during first half 2022
Changes in Equity during first half 2022 MNOK 498 497 1 8 0 35 23 3 Equity Own shares Dividend Share Acq. ALS Net profit Other Equity 31.12.21 Option paid shares 2022 30.06.22
Slide 18: Growth in revenue, EBITDA affected by investments and component shortages
Growth in revenue, EBITDA affected by investments for the future and global component shortages MNOK Revenue EBITDA 1.102 69 942 981 63 824 54 755 49 42 2018 2019 2020 2021 2022 2018 2019 2020 2021 2022 Q2 R12 Q2 R12
Slide 19: Operational and strategic investments affect the EBITDA for Q2 2022
Operational and strategic investments affect the EBITDA for Q2 2022 EBITDA MNOK 2 5 13 12 8 10 5 5 Q2 2021 Gross Profit DD ALS E-com R&D E-com Other Net ALS Q2 2022 Sales/ payroll contribution marketing and OPEX increase
Slide 20: Earnings per share from continued operations
Earnings per share from continued operations EPS EPS adjusted* EPS per quarter EPS rolling 12 month NOK per share NOK per share 0.93 0.75 0.66 0.67 0.56 0.57 0.49 0.51 0.39 0.39 0.26 0.22 0.15 0.12 0.18 0.11 0.11 0.04 0.07 -0.01 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 * EPS adjus
Slide 21: Cash Flow changes first half 2022
Cash Flow changes first half 2022 MNOK 20 174 21 85 35 38 4 50 7 10 14 Cash EBITDA Earn Out Acquisition Dividend Change WC Change Capex Change Change Cash 31.12.21 received WC ALS long term Overdraft 30.06.22 debt
Slide 22: Acquisition, dividend and working capital lead to a net debt position
Acquisition, dividend and tied-up working capital from operations lead to a net debt position MNOK 49 25 20 29 30 39 35 37 Net Interest Bearing Debt -13 NIBD ex IFRS IFRS Liabilities -166 -155 -177 -116 -136 -141 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Historic figures for Q2 2021 include discontinued operati
Slide 23: Financial calendar 2022 and IR contact
Financial calendar 2022 • 26 October: Q3 2022 IR-contact: CFO Hilde Horn Gilen hilde.gilen@strongpoint.com +47 920 60 158
Slide 24: Thank you!
Thank you! 'S) StrongPoint