Bercman Technologies AsOMXTSE: BERCM

AS Bercman Technologies 2024 first half-year unaudited consolidated interim report

· Issued by Bercman Technologies As
Bercman Technologies
Company Announcement
AS Bercman Technologies 2024 first half-year unaudited consolidated interim report

AS Bercman Technologies (hereinafter "Bercman") announces its unaudited consolidated results for the first half of 2024. Bercman's consolidated turnover in the first six months of 2024 was 692,332 euros. In the comparable period of 2023, the turnover was 869,295 euros.

Management report

In the first six months of 2024, in addition to serving Estonian customers, development services were exported to Sweden, Finland, Singapore, Norway, Switzerland, the United States and Ireland as a new market.

The provision of development services was led by clients from the field of defence, but the activation took place mainly in all client sectors, and the growth trend was shown by the share of medical technology and energy areas in the service portfolio. At the beginning of the year, the narrower focus of the services was on providing Regulatory as a Service to organise the regulatory compliance assessment and execution of electronic products.

As for the Company's proprietary products, plans for the production of fast chargers for electric vehicles were unveiled in June, and a separate subsidiary, Bercman Energy, was registered. Bercman Energy focuses on the production and sale of fast chargers with high charging capacity.

Smart pedestrian crosswalks were exported to Greece, the city of Lamia and installation work on pedestrian crosswalk safety systems was carried out in Croatia, Greece, Australia and Estonia.

To promote sales activities and map new business opportunities, a defence sector high-level visit was carried out in Sweden in the first half of the year together with the Estonian Minister of Defence and a delegation of companies in the defence sector. Bercman visited the electronics conference Elektronik in Sweden, a networking event for Norway's maritime and aquaculture industries and a roundtable of Estonian and Finnish electronics companies.

In Estonia, a meeting was held with the Japanese company Toyota Connect to discuss cooperation opportunities. The team participated in sTARTUp Day and the MELT innovation forum in Estonia. The smart road solution was introduced at the ITS Estonia round table, the seminar of the Estonian Infrastructure Construction Association and the road safety roundtable of the Transport Administration.

Financial results

The reporting period ended with a loss in the amount of 350,532 euros (for 6 months 2023, the loss was 160,384 euros). As of 30.06.2024, the consolidated balance sheet total of the company was 1,677,031 euros (30.06.2023: 1,773,760 euros). Current assets amounted to EUR 332,898 (30.06.2023: EUR 475,867). The volume of fixed assets was 1,344,133 euros (30.06.2023: 1,297,893 euros). As of 30.06.2024, the company's equity was 867,382 euros (30.06.2023: 1,204,433 euros). As of 30.06.2024, the company had 68,935 euros of loan liabilities (30.06.2023: 72,023 euros).

Team

As of 30.06.2024, there is one member of the Management Board, three of the Supervisory Board in Bercman, one of the Management Board in Krakul and one of the Management Board in Bercman Energy. In total, the Group employs 24 specialists in their field, and two external experts provide business development and sales support. The group's labour costs, including labour taxes, amounted to EUR 632,111 in the first half of 2024 (6 months 2023: EUR 572,825).

The financial results for the reporting period are presented below.

Consolidated statement of financial position
(in Euros)

30.06.202431.12.202330.06.202331.12.2022Note
Assets
Current assets
Cash and cash equivalents 88 727 218 262 89 596 254 657
Receivables and prepayments 206 648 122 922 322 265 221 986 2
inventories 37 523 50 697 64 006 94 612 3
Total current assets332 898391 881475 867571 255
Non-current assets
Receivables and prepayments 32 293 32 293 0 0 2
Property, plant and equipment 17 548 23 161 27 966 32 175 6
Intangible assets 1 294 292 1 380 594 1 269 927 1 056 115 7
Total non-current assets1 344 1331 436 0481 297 8931 088 290
Total assets1 677 0314 1681 773 7601 659 545
Liabilities and equity
Liabilities
Current liabilities
Loan liabilities 68 935 49 920 72 023 73 659 8
Payables and prepayments 650 443 523 324 482 311 512 934 9
Provisions 4 168 4 168 4 168 4 168
Government grants 0 0 7000 7000 10
Total current liabilities723 546577 412565 502597 761
Non-current liabilities
Loan liabilities 27 800 27 800 3 825 3 825 8
Payables and prepayments 58 303 34 803 0 0 9
Total non-current liabilities86 10362 6033 8253 825
Total liabilities809 649640 015569 327601 586
Equity
Equity held by shareholders and partners in parent company
Issued capital 143 903 143 903 143 903 143 903 11
Unregistered equity 544 0 0 0 11
Share premium 2 412 758 2 412 758 2 412 758 2 412 758 11
Other reserves 556 469 527 013 462 619 143 262 11, 16
Retained earnings (loss) -1 895 760 -1 641 964 -1 654 463 -867 738
Annual period profit (loss) -350 532 -253 796 -160 384 -774 226
Total equity held by shareholders and partners in parent company867 3821 187 9141 204 4331 057 959
Total equity867 3821 187 9141 204 4331 057 959
Total liabilities and equity1 677 0311 827 9291 773 7601 659 545


Consolidated income statement
(In Euros)

30.06.202431.12.202330.06.202330.06.2022Note
Revenue 692 332 1 669 403 869 295 793 435 12
Other income 7 121 19 394 0 0 13
Work performed by entity and capitalised 0 132 010 0 103 126 7
Raw materials and consumables used -139 701 -373 815 -162 076 -239 031 14
Other operating expense -172 920 -345 172 -204 041 -288 989 15
Employee expense -632 111 -1 166 156 -572 825 -714 707 16
Depreciation and impairment loss (reversal) -96 788 -167 783 -84 016 -88 030 6,7
Other expense -2 926 -8 190 -3 526 -1 214
Operating profit (loss)-344 993-240 309-157 189-435 410
Interest expenses -5 880 -14 070 -3 300 -4 448
Other financial income and expense 341 583 105 -315
Profit (loss) before tax-350 532-253 796-160 384-440 173
Annual period profit (loss)-350 532-253 796-160 384-440 173
Profit (loss) from shareholders and partners in parent company -350 532 -253 796 -160 384 -440 173

Consolidated statement of cash flows
(In Euros)

30.06.202431.12.202330.06.202331.12.2022Note
Cash flows from operating activities
Operating profit (loss) -344 993 -240 309 -157 189 -759 185
Adjustments
Depreciation and impairment loss (reversal) 96 788 167 783 84 016 222 838 6,7
Profit (loss) from the sale of fixed assets 0 1 317
Other adjustments 14 002 11 145 15 806 -46 286 10,11
Total adjustments110 790178 92899822177 869
Changes in receivables and prepayments related to operating activities -83 726 66 771 -108 440 -55 415
Changes in inventories 13 174 43 915 30 606 28 531
Changes in payables and prepayments related to operating activities 127 119 45 193 -30 623 37 580
Interest received 341 583 106 26
Proceeds from government grants 7 002 20 554 8 160 23 920 10
Total cash flows from operating activities-170 293115 635-157 558-546 674
Cash flows from investing activities
Purchase of property, plant and equipment and intangible assets -1 159 -135 100 -1 368 -172 869 6,7
Received from property, plant and equipment and intangible assets 00 0 83
Total cash flows from investing activities1 159-135 100-1 368-172 786
Cash flows from financing activities
Loans received 20 323 0 0 216 900
Repayments of loans received 0 -8 859 0 -172 961
Interest paid -1 142 -3 252 -3 300 -2 379
Repayments of finance lease liabilities -1308 -4819 -2 835 -3 492
Proceeds from issuing shares 544 0 0 558 026 11
Other cash outflows from financing activities 23500 0 0 0
Total cash flows from financing activities41 917-16 930-6 135596 094
Total cash flows-129 535-36 395-165 061-123 366
Cash and cash equivalents at beginning of period 218 262 254 657 254 657 378 023
Change in cash and cash equivalents-129 535-36 395-165 061-123 366
Cash and cash equivalents at end of period 88 727 218 262 89 596 254 657

Consolidated statement of changes in equity
(In Euros)

TOTAL
Equity held by shareholders and partners in parent company
Issued capital Unregistered equity Share premium Other reservesRetained earnings (loss)
31.12.2022143 903 0 2 412 758 143 262 -1 641 964 1 057 959
Annual period profit (loss) -160 384 -160 384
Issue of equity
Changes in reserves 15 806 15 806
Changes in equity 303 551 -12 499 291 052
30.06.2023143 903 0 2 412 758 462 619 -1 814 847 1 204 433
Annual period profit (loss) -80913
Issue of equity
Changes in reserves 20995
Changes in equity 43399
31.12.2023143 903 0 2 412 758 527 013 -1 895 760 1 187 914
Annual period profit (loss) -350 532 350 532
Issue of equity 544 544
Changes in reserves 29 456 29 456
Changes in equity 0
30.06.2024143 9035442 412 758556 469-2 246 292867 382


Mart Suurkask, CEO of Bercman: "The first-half results were still influenced by global macroeconomic trends, including geopolitical tensions. We anticipate a significant increase in sales orders from smart crosswalk tenders, particularly in the second half of the year. On a positive note, demand for our development services grew in the first half, and we expect this trend to continue into the second half. Regarding new initiatives, our primary focus has been on launching the production of fast chargers for electric vehicles and establishing the new subsidiary, Bercman Energy. The development and sales of these fast chargers are progressing rapidly, and we present the new fast charger at expos in Berlin and Dubai in September and October."

Bercmanis a technology company listed on Nasdaq First North, specialising in development services, creation of proprietary products, and provision of comprehensive technology systems. The Bercman Group consists of the subsidiaries Bercman Energy OÜ and Krakul OÜ. Bercman Energy, founded in June this year, is a company active in the development, production and marketing of fast chargers for electric vehicles. Krakul is a leading product development company with more than a decade of experience in hardware and software development.

Additional information:

Mart Suurkask
AS Bercman Technologies
Member of the Board
Telephone: +372 5340 2902
E-mail: mart.suurkask@bercman.com

Attachments:
Bercman Technologies I HY 2024 consolidated unaudited interim report.pdf