StrongPoint

Earnings Release • Feb 15, 2022

StrongPoint ASA: Strategy update and fourth quarter financial results 2021

StrongPoint ASA: Strategy update and fourth quarter financial results 2021

15.2.2022 07:00:02 CET | StrongPoint | Half yearly financial reports and audit

reports / limited reviews

(Oslo, Norway, 15 February 2022) StrongPoint ASA (StrongPoint, OSE: STRO)

reported revenues of NOK 284 million in the fourth quarter of 2021, NOK 5

million lower than same quarter in 2020 (289). The EBITDA increased by NOK 0.2

million to NOK 20.1 million (19.9). StrongPoint today reconfirms the financial

ambition of NOK 2.5 billion in revenues and EBITDA margins of 13-15 % in 2025.

"We look back at a year where StrongPoint has significantly improved its

position in light of these market developments by landing several strategically

important wins, including Glovo customer win, AutoStore distributor rights,

Hörmann Logistik partnership and Halodi Robotics strategic partnership. In the

latter half of 2021 global component shortages have affected our ability to

deliver on already placed customer orders. Despite this, our team is doing a

tremendous job delivering a record year, and a Q4 that stands just shy of last

year's record high fourth quarter. Adjusting for currency effects, our revenues

actually grew 2%" says Jacob Tveraabak, Chief Executive Officer of StrongPoint.

StrongPoint reported revenues of NOK 284 million (289) in the fourth quarter of

2021 and an EBITDA of 20.1 million (19.9). The fourth quarter EBIT was NOK 12.8

million and EBT was NOK 10.9 million. The net profit after tax included

discontinued operations ended at NOK 9.2 million in the quarter. Cash flow from

operating activities was NOK 7 million.

"In September, we were selected as the first ever grocery specific distributor

for AutoStore. Following this partnership, we announced yet another important

partnership in November to support our customers with automated e-commerce

fulfilment with Hörmann Logistik. Hörmann Logistik's hands-on experience with

AutoStore and geographic distribution rights in the DACH region, is the perfect

match with StrongPoint's grocery retail and e-commerce experience and geographic

distribution rights for AutoStore in the Nordics and Baltics. Despite the

partnership being relatively new, we have already started working together on

concrete customer enquiries in the fourth quarter and are encouraged by the

opportunities going forward," Tveraabak continues.

In a company strategy update session following the presentation of the fourth

quarter 2021 financial results, StrongPoint will outline the progress already

made on its 2025 targets. It will outline how technology continues to be the key

to meeting the increased demand of grocery e-commerce and its impact on in-store

margins.

In 2021 StrongPoint updated its strategy to achieve its 2025 ambitions with a

T-shaped approach to geographical expansion and growth. This remains the case

and includes additional distribution rights of AutoStore micro-fulfillment and

humanoid robot from Halodi Robotics for the retail sector.

"I am excited and confident about the future. We have strong market fundamentals

in place, our own proprietary as well as partner solutions which are

world-class, and we are continuously improving our team resources to deliver on

the strategy and ambitions set forth. The depth and relevance with our grocery

customers and customer prospects in target markets is as strong as ever. And we

are just starting to get known and be respected by some of the largest grocery

retailers internationally. With all this, I continue to believe we have all the

reasons to be optimistic about achieving our 2025 strategic ambitions,"

Tveraabak concludes.

StrongPoint ASA will present the financial results for the fourth quarter of

2021 at 08:15 CET Tuesday 15 February 2022. This will be followed by an extended

company strategy update session. Both presentations will be online and can be

accessed by the following link:

https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20220215_5

This information is considered to be inside information pursuant to the EU

Market Abuse Regulation and is subject to the disclosure requirements pursuant

to section 5-12 of the Norwegian Securities Trading Act. This stock exchange

announcement was published by Ann Merete Stabell, group controller in

StrongPoint ASA, on February 15 2022 at 07:00 CET.

CONTACTS

* Hilde Horn Gilen, CFO StrongPoint ASA, +47 920 60 158,

hilde.gilen@strongpoint.com

ABOUT STRONGPOINT

StrongPoint is a retail technology company that provides solutions to make shops

smarter, shopping experiences better and online grocery shopping more efficient.

With over 400 employees in Norway, Sweden, the Baltics and Spain and together

with a wide partner network, StrongPoint supports businesses in more than 20

countries. StrongPoint provides in-store cash management and payment solutions,

electronic shelf labels, self-checkouts, task and labor management software,

click & collect temperature-controlled grocery lockers, in-store and drive-thru

grocery pickup solutions and, grocery order picking solutions. StrongPoint is

headquartered in Norway and is listed on the Oslo Stock Exchange with a revenue

of 1bn NOK [ticker: STRO].

ATTACHMENTS

Download announcement as PDF.pdf -

https://kommunikasjon.ntb.no/ir-files/17847450/1194/1587/Download%20announcement

%20as%20PDF.pdf

StrongPoint Q4 2021.pdf -

https://kommunikasjon.ntb.no/ir-files/17847450/1194/1574/StrongPoint%20Q4%202021

.pdf

StrongPoint Q4 2021 presentation.pdf -

https://kommunikasjon.ntb.no/ir-files/17847450/1194/1585/StrongPoint%20Q4%202021

%20presentation.pdf

StrongPoint Strategy Update Session 15 February 2022.pdf -

https://kommunikasjon.ntb.no/ir-files/17847450/1194/1586/StrongPoint%20Strategy%

20Update%20Session%2015%20February%202022.pdf