Huddlestock Fintech

Earnings Release • Nov 21, 2024

Huddlestock - Q3 2024: Commercial traction with existing customers

Huddlestock - Q3 2024: Commercial traction with existing customers

21.11.2024 07:00:01 CET | Huddlestock Fintech AS | Additional regulated

information required to be disclosed under the laws of a member state

Huddlestock Fintech AS ("Huddlestock") reports total operating income of NOK 16

million for the third quarter, compared to NOK 17 million [1] in the second

quarter 2024. Investment-as-a-Service saw a one percent increase compared to Q2

2024 [1] while seasonal effects from summer holidays in July negatively affected

income from Consultancy. Personnel costs of NOK 15 million and other operating

expenses of NOK 8 million both saw a slight decrease compared to Q2 2024

resulting in an EBITDA of negative NOK 7 million for the third quarter 2024.

This compares to an EBITDA of negative NOK 6 million in the second quarter 2024.

During the third quarter, Huddlestock successfully signed contracts expanding

its IaaS-offerings with three existing customers. The new contracts reflect the

growing demand for scalable, flexible solutions that provide our clients with

enhanced value, better resource optimization, and more seamless integrations

across their operations. The expansion contracts are expected to have a positive

impact on financial performance from the fourth quarter of 2024.

"By expanding the range of services we offer to our existing customer base, we

are confident that our solutions continue to deliver significant value. However,

to sustain this momentum and achieve our goal of becoming EBITDA positive, it is

crucial that we accelerate our sales efforts," says Leif Arnold Thomas, CEO of

Huddlestock.

Beyond its existing markets, the company sees major opportunities in Europe and

particularly Germany where it continues to pursue opportunities which can enable

an accelerated market entry. In the third quarter, Huddlestock signed

cooperation agreements with the German fintech Tradevest. The partnership aims

to offer a combined investment solution in Germany, allowing joint customers to

purchase both digital and traditional assets, with Tradevest providing brokerage

and custody software solutions.

At the end of the third quarter Huddlestock had a cash position of NOK 10

million and the company continues its ongoing work to identify potential

financing partners to support its strategy including non-organic growth.

[1] Restatement of Q2 2024 financials

Q2 2024 Operating income and Other operating expenses have been restated with no

effect on the reported EBITDA, Cash flow and Balance sheet. In Q2 2024 the

reported total operating income was NOK 18 million and the reported Other

operating expenses were NOK 9 million. The restated figures for Q2 2024,

presented in the Q3 2024 reporting, are NOK 17 million and NOK 8 million

respectively. The Q2 2024 EBITDA remains unchanged at negative NOK 6 million

after the restatements in Operating income and Other operating expenses

described above.

Presentation and Q&A

Huddlestock's Chairman of the Board, Øyvind Hovland, and the CEO Leif Arnold

Thomas, will host webcast presentations of the results in Norwegian and English

today, followed by Q&A sessions (10:00 CET in Norwegian / 12.00 CET in English).

To participate, please register your interest with

investorrelations@huddlestock.com

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

CONTACTS

* Leif Arnold Thomas, Chief Executive Officer, Huddlestock Fintech AS, +47 982

15 520, leif.thomas@huddlestock.com

ABOUT HUDDLESTOCK FINTECH AS

Huddlestock is an innovative technology software provider through its

Investment-as-a-service offering, with full operational service support and a

leading financial Consultancy services business. We deliver innovative and

sustainable technology and operational solutions to companies offering financial

products and services.

Find out more at huddlestock.com - https://www.huddlestock.com/

ATTACHMENTS

Download announcement as PDF.pdf -

https://kommunikasjon.ntb.no/ir-files/17848032/18330418/5322/Download%20announce

ment%20as%20PDF.pdf

Huddlestock - Q3 2024 Presentation FINAL.pdf -

https://kommunikasjon.ntb.no/ir-files/17848032/18330418/5320/Huddlestock%20-%20Q

3%202024%20Presentation%20FINAL.pdf