INVL Technology

Earnings Release • Aug 31, 2023

Cybersecurity solutions, consulting, and other services

WWW.NRDCS.EU

Project geography

FOCUS

Cybersecurity operations build-out, incident detection and handling, establishment and support of Computer Security Incident Response Teams (CSIRTs) and Security Operation Centres (SOCs), and cyber capacity enhancement for organisations, sectors, and nations.

CUSTOMERS

Governments, public, and private sector organisations.

OUR PORTFOLIO: SERVICES

• IT security audit
  • SWIFT assessment
  • Penetration testing
  • Social engineering
  • Cloud Security

Audits and assessments Cybersecurity capacity building Technology solutions

• Development of frameworks for Critical Information Infrastructure (CII) protection
• National cybersecurity capacity maturity assessment
• National cybersecurity strategy and legislative framework development

• Privileged Access Management (PAM)
• Data Loss Prevention (DLP)
• Security Information Event Management (SIEM)

• Vulnerability Management

• Cybersecurity essentials
• Analysis using I2 Analyst Notebook
• Intelligence analysis
• Digital forensics course
• Incident response practice
• Building an effective cybersecurity team

Training courses Managed Security CyberSOC 24/7

CISO advisory

Security management framework

CSIRT/SOC

OUR PORTFOLIO: PRODUCTS

Natrix is a centralised cybersecurity monitoring and threat hunting platform. The solution has been created by NRD Cyber Security R&D team to enable coordinated threat monitoring.

Its functionalities go beyond just visibility and offer capabilities to build and continuously refine rules for detecting threats and non-compliances. It is set-up in organisation's internal network and analyses traffic data just before it is sent across the internet.

This product has already been deployed in:

CyberSet is a CSIRT or SOC services automation toolkit. It works as a set of technologies and operational procedures, which provides CSIRTs and SOCs with typical service delivery capabilities

This product has already been deployed in:

4 I n r d c s . l t

NRD CYBER SECURITY FINANCIAL REVIEW

• 1. MAIN ITEMS OF THE INCOME STATEMENT AND BALANCE SHEET
• 2. KEY FINANCIAL DATA (REVENUE AND EBITDA)
• 3. REVENUE BY COUNTRY
• 4. REVENUE BY SECTOR AND OPERATIONAL COVERAGE

MAIN ITEMS FROM THE INCOME STATEMENT (€000)*

	NRD Cyber Security
	First 6 months of 2022	First 6 months of 2023
Revenue	2 421	2 752
Gross profit	1 160	1 676
EBITDA	260	397
EBIT	217	329
Net Profit (Loss)	215	321

MAIN BALANCE SHEET ITEMS (€000)*

	NRD Cyber Security
	2022-12-31	2023-06-30
Tangible assets	401	386
Intangible assets	23	23
Other non-current assets	199	140
Current assets	3 226	2 561
of which cash	1 332	442
Total assets	3 849	3 110
Equity	1 509	1 332
Non-current liabilities	606	372
of which financial debt	196	196
Current liabilities	1 734	1 406
of which financial debt	54	27
Total liabilities and equity	3 849	3 110

*The unaudited consolidated results of the NRD Cyber Security group are presented. The results of NRD CS and NRD Bangladesh are

included in the results of the NRD Cyber Security group. Standalone financial statements of companies for 2022 are audited.

KEY FINANCIAL DATA

€000	First 6 months of
	2019	2020	2021	2022	2023
Revenue	2 836	3 229	5 365	6 079	2 752
EBITDA	341	434	784	653	397

7 I n r d c s . l t

REVENUE BY COUNTRY

2022 H1 2023 H1 85% 5% 2%2%1%1%1%1% 2% Lithuania Norway Croatia Bangladesh Switzerland Uganda Peru United Kingdom Others (8 countries) 57% 21% 5% 3% 3% 2%1% 1% 7% Lithuania Malta USA Egypt Belgium Bangladesh Kyrgyz Germany Others (14 countries)

€000	First 6 months of 2022	First 6 months of 2023	Change
Lithuania	2 047 (85%)	1 566 (57%)	-481
Other countries	374 (15%)	1 186 (43%)	812
Total	2 421	2 752	331

REVENUE BY SECTOR AND OPERATIONAL COVERAGE

Compared to previous years, the share of revenue generated by NRD Cyber Security from the financial sector skyrocketed in the first half of 2023. Compared to the same period in 2022, revenue from this sector increased by 121%.

In the first half of 2023, the geography of operations of NRD Cyber Security has expanded to new countries: Albania, Kyrgyzstan, Saudi Arabia, Uzbekistan and countries of World Bank's projects: Armenia, Mongolia, São Tomé and Príncipe, Tajikistan.

*The number represents where the projects have been implemented. Since 2022 NRD Cyber Security group consists of UAB NRD CS and NRD Bangladesh Ltd.

NRD CYBER SECURITY PROJECTS

• 1. CSIRT ESTABLISHMENT
• 2. NATIONAL CYBERSECURITY CAPACITY BUILDING
• 3. CYBERSECURITY ASSESSMENTS

NRD CYBER SECURITY PROJECTS

NATIONAL CYBER CAPACITY BUILDING

• Malawi Preparation for sectoral financial CSIRT
• Kosovo CSIRT design for energy sector
• Armenia CII protection policy assessment
• Sri Lanka Consulting on the national risk assessment model for the country
• Mongolia Zero Trust method application in the development of national cybersecurity principles
• Albania Assisting national CSIRT to prepare national cyber crisis management procedures
• Tajikistan Policy comparison to international best practices
• São Tomé and Príncipe Preparation for the creation of a national cybersecurity strategy

CYBERSECURITY AESSESSMENTS

▪ Lithuania A large-scale complex project with the European Union Cybersecurity Agency (ENISA)

NRD CYBER SECURITY MARKETING ACTIVITIES AND LONG-TERM PLANS

• 1. MAKETING ACTIVITIES
• 2. LONG-TERM PLANS

NRD CYBER SECURITY MARKETING ACTIVITIES

Events

• IT manager summit: NRD Cyber Security participated in an annual event which is dedicated for IT managers.
• Webinar "Demystifying CSIRT budget": The half-hour long webinar attracted representatives from organisations and institutions from various countries who are seeking to have a national or sectorial cybersecurity team.
• FIRST 2023 conference in Canada FIRSTCON23: The company has participated in this conference for the second year in a row as it is the main event which gathers representatives of various CSIRTs.
• Lithuanian Davos 2023: Director of NRD Cyber Security V. Benetis was once again invited to participate in the annual conference for business and political leaders and present his findings on the cybersecurity ecosystem in Lithuania.
• Webinar "Cybersecurity in practice": The event attracted more than 300 participants and provided insights in areas such as preparation for NIS2 directive, GDPR, CISO advisory, etc.

• Partnership with Verslo žinios: To strengthen its position as a reliable partner for information security, NRD Cyber Security continued the partnership with Verslo žinios. A dedicated article appeared on the site to mark the launch of CyberSOC 24/7 service option.
• Interviews and public mentions: The company's experts have been repeatedly interviewed by various media outlets on topics such as the dangers posed by the TikTok app or the basics of cybersecurity hygiene.

NRD CYBER SECURITY LONG-TERM GOALS

• NRD Cyber Security long term strategy is to increase shareholders value by transforming from consultancy and integration projects into recurring services and products delivery company for primary (Lithuanian, Western Europe including Nordic, African and Asian) and secondary (North and South Americas) markets
• Our current strengths are:
  • 1. Our capability to deliver winning proposals in regions with limited local cybersecurity capacity
  • 1. Strong presence in Lithuanian market, which fuels our R&D
  • 1. Capacity to align with strong international partnerships

• Our products in development are targeted at:
  • 1. Niche global markets (sectorial regulatory cybersecurity automatization)
  • 1. Mature CSIRT/SOC teams to automate their Cybersecurity Threat Intelligence needs
  • 1. Automating Intelligence operations (open-source collection and processing) needs