Volue ASA

Investor Presentation • Nov 12, 2021

Third Quarter 2021 Financial Results

12 November 2021

Disclaimer

This presentation has been produced by Volue ASA (the "Company" or "Volue") exclusively for information purposes. This presentation is confidential and may not be reproduced or redistributed, in whole or in part, or disclosed by any recipient, to any other person. To the best of the knowledge of the Company and its board of directors, the information contained in this presentation is in all material respect in accordance with the facts as of the date hereof, and contains no material omissions likely to affect its import.

This presentation contains certain forward-looking statements relating to the business, financial performance and results of the Company and its subsidiaries and/or the industry in which the Company operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements contained in this presentation, including assumptions, opinions and views of the Company or cited from third party sources are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. Neither the Company nor any of its subsidiaries or any such person's officers or employees provides any assurance that the assumptions underlying such forward-looking statements are free from errors nor does any of them accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecasted developments. The Company assumes no obligation, except as required by law, to update any forward-looking statements or to conform these forward-looking statements to any actual results.

An investment in the Company involves risk, and several factors could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by statements and information in this presentation, including, among others, risks or uncertainties associated with the Company's business, segments, development, growth management, market acceptance and relations with customers, and, more generally, general economic and business conditions, changes in domestic and foreign laws and regulations, taxes, changes in competition and pricing environments, fluctuations in currency exchange rates and interest rates and other factors.

Should one or more of these risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this presentation.

The information in this presentation speaks as of the date hereof. The Company does not intend, and does not assume any obligation, to update or correct the information included in this presentation. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, neither the Company nor any of its subsidiaries or any such person's officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. By attending or receiving this presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company's business.

The contents of this presentation shall not be construed as legal, business or tax advice, and the furnishing of this presentation should not be considered as the giving of investment advice by the Company or any of its directors, officers, agents, employees or advisers. Prospective investors should consult its own legal, business or tax advisor as to legal, business or tax advice.

This presentation has been prepared for information purposes only, and does not constitute or form part of, and should not be construed as, any offer, invitation or recommendation to purchase, sell or subscribe for any securities in any jurisdiction and neither the issue of the information nor anything contained herein shall form the basis of or be relied upon in connection with, or act as an inducement to enter into, any investment activity.

This presentation is subject to Norwegian law and any dispute arising in respect of this presentation is subject to the exclusive jurisdiction of Norwegian courts with Oslo district court as legal venue.

CEO CFO

Trond Straume Arnstein Kjesbu

Tor Reier Lilleholt Head of Market Analysis

Volue in brief

One of the largest software companies in Norway

Robust and scalable Volue platform

25 MILLION

ENERGY TRADING

algo trades every year based on >30B automated calculations

650 BILLION MARKET INSIGHT

API calls to 150K price curves each year

WEATHER DATA

120 TRILLION

data points collected from sensors annually

Highlights for the Quarter

Q3 Highlights: Volue continues to grow ARR business

Financial results

8

Performance, sales and operations

• Strong financial performance on ARR business, with especially strong growth in new SaaS business
• Organic growth of 10% from Q3 2020
• Energy Segment delivering 28% revenue growth
• Very strong sales closing, with 600 smaller and larger sales closed in Q3
• Strong market outlook
• On track for 2025 ambitions

Subsequent events

• Acquisition of Procom GmbH in Germany closed

Adjusted EBITDA and other alternative performance measures (APMs) are defined as part of the APM section in this presentation on page 43.

Working across three major industry segments

Energy Help customers master the energy transition by enabling end-to-end optimisation of the green energy value-chain	Power Grid Enable power distributors to support electrification of society by unlocking flexibility and digital management of the power grid	Infrastructure Deliver flexible capabilities for digital water management and help automate processes and machines for the construction industry
YTD 2021 revenues (% of total)	YTD 2021 revenues (% of total)	YTD 2021 revenues (% of total)
NOK 408m (56%)	NOK 179m (25%)	NOK 142m (19%)
Recurring revenues share (YTD 2021)	Recurring revenues share (YTD 2021)	Recurring revenues share (YTD 2021)
64 %	61 %	75%
24 %	10 %	29 %
SaaS revenues (YTD 2021)	SaaS revenues (YTD 2021)	SaaS revenues (YTD 2021)
Degree of EU Taxonomy alignment	Degree of EU Taxonomy alignment	Degree of EU Taxonomy alignment
HIGH	HIGH	HIGH

Acquisition of Procom closed 1 October

Procom

• Annual recurring revenues of EUR 3 million
• Highly sticky customer base and strong recurring revenues base
• Market leader for optimisation in the DACH region with 60+ customers
• Access to new scalable market in the DACH region for Volue

Financial details

• Preliminary EUR 3.25 million in purchase price
• Partly settled through cash and issue of new shares

Integration

• ProCom part of Energy segment, with common Volue proposition
• Further strengthen Volue's offering within optimalisation solutions for power producers in Europe
• 100-day post merger integration program initiated
• Attractive financial position for further growth with significantly increased local presence
• Broader customer base for upsell on Volue products

Strong market with good activity in Q3

600 sales closed in Q3

Good activity during summer vacation period with more than 600 deals won in the quarter.

Strategic contract with Elvia

Elvia signed as first customer on new international power grid analysis SaaS offering.

Strong growth within trading solutions

Large synergies within Volue portfolio with existing customer base both in the Nordics and Europe.

International activities

Business development activities ongoing in Japan – a major market with several opportunities to build a leading position.

New market opportunities on the back-end of fundamentally changing energy market

New initiatives: Distributed Energy Resources (DER)

From 30.000 to 200 million power supply assets in Europe by 2030

80 million EVs¹

50 million Heatpumps²

10 million Rooftop Solar PV³ >800% growth distributed energy storage⁴

13

Major market potential: Addressable market of EUR ~3.5 bn

Volue well positioned to build future tools for DER

• Increased complexity and new market positions
• Market maturing but a need for market design and regulatory frameworks
• Scalable SaaS solution through Volue platform
• Volue with strong position through:
  • Massive knowledge of the power market
  • Mixed asset/multi market experience
  • Power system optimisation

Cyber security is critical for society

Network security

Strong governance over resources

Old infrastructure

Disaster recovery readiness

Modern development tools

Tools and environments in the cloud

Third Quarter 2021 Financial Results

Financial highlights

Financial highlights (NOKm)	Q3 2021	Q3 2020	YTD 2021	YTD 2020	LTM
Revenues	239	209	729	652	969
Adjusted EBITDA1	48	50	159	143	210
Adjusted EBITDA margin	20 %	24 %	22 %	22 %	22 %
Recurring revenues growth (%) Recurring revenues (% of	15 %	10 %	16 %	11 %	16 %
revenues)	64 %	63 %	66 %	62 %	66 %
SaaS revenues growth (%)	72 %	18 %	57 %	28 %	52 %
SaaS revenues (% of revenues)	23 %	15 %	21 %	15 %	21 %
R&D CAPEX (% of revenues)	10 %	9 %	10 %	9 %	10 %

Growth

• Strong financial performance in the quarter
• 14% revenues growth from Q3 2020
• Strong growth in recurring revenues at 15%, with growth in SaaS revenues of 72% from Q3 2020
• Consulting services revenue improving throughout the quarter
• Energy Segment delivering 28% revenue growth

Profitability

• Adjusted EBITDA margin in Q3 down from Q3 2020
• Slower start in consulting services leading to lower EBITDA for Power Grid Segment
• Strategic investments in SaaS platform creates short- to mid-term EBIT impact
• Increased cost to build organisation for future growth
• No cost from cyber-incident has been recognised in the Q3 2021 figures

Capex

• R&D capitalisation stable around ~10%
• Increased investments will increase depreciation

1 EBITDA adjusted for non-recurring items.

Energy Segment

Growth

• Energy segment with strong growth of 28%
• Solid contribution from European expansion
• Trading area with strong figures due to high activity in the intraday markets
• Increased demands for forecast and analytics
• Solid order backlog from several major customer wins

Profitability

• Increased investments for market expansion
• Large increase in capacity in 2021 for further investments in new products and services
• Increased SaaS-share of revenues gives improved margins
• No-cost related to cyber-incident in the quarter

Capex

• CAPEX level at ~10 % of revenues, mainly constituted by R&D investments
• Significant investments into new products related to optimisation and trading solutions

1 EBITDA adjusted for non-recurring items.

Power Grid Segment

Growth

• Slower start in quarter after cyber-incident leading to lower turnover in the quarter, mostly impacting service revenues
• Good market outlook with large pipeline and high activity
• Successful go-live with major project in Sweden

Profitability

• Decrease in adjusted EBITDA margin due to investment the Distributed Energy Resources (DER) program
• Significant use of resources on larger project in Sweden gives negative impact on EBITDA
• Margins expected to improve going forward
• Investments in market expansions with new products for European markets

Capex

• CAPEX at ~8 % of revenues
• Ongoing investments in DER
• CAPEX level expected to increase over the next 12 months

1 EBITDA adjusted for non-recurring items.

Infrastructure Segment

Growth

• Segment with growth of 2% due to slower start after cyberincident
• Consulting services revenues improving throughout the quarter
• Slowdown in the Swedish construction market led to lower growth in recurring revenues, impacting top-line growth for the quarter

Profitability

• Ongoing investments in market expansions combined with shifting to SaaS business models putting pressure on EBITDA margins in the short term
• Adjusted EBITDA margins decreased following lower sales in the quarter

Capex

• CAPEX level at ~9 % of revenues, expected at same levels in the near-term
• Ongoing investments to increase offerings on Gemini platform and additions to the current product range through digital water project

1 EBITDA adjusted for non-recurring items.

0%

5%

10%

15%

20%

25%

30%

Strong growth in annual recurring revenues (ARR) Accelerating shift towards SaaS

1 Recurring revenues is defined as revenues from recurring contracts including software as a service 2 SaaS revenues are defined as revenues from software hosted by Volue and distributed through web applications

40%

0

50

100

150

200

250

45%

50%

55%

60%

65%

70%

75%

80%

300

350

400

450

500

550

600

650

700

Strong growth in ARR base and highly sticky customer base

Cleaner energy pressuring the infrastructure

Software spending from the power sector to reach USD 5bn by 2025 (up 60% vs. today), fuelled by the green energy shift

Increased renewable capacity and shifting wholesale market dynamics, resulting in increased power market complexity

Solutions within advanced analytics, artificial intelligence and optimisation growing the most

Expected growth in power software spending, requires additional hardware, implementation and services, driving total digitalisation costs to 2x power software spending

Europe is at the forefront of power digitalisation, with 25% share of global spending

1,5

2020E

1,8

2,4

2025E

Power generation

Power grid

Growing share of green, non-controllable power sources increases the complexity in the European energy markets

Non-controllable power will represent more than 50% of European power capacity…

…making the process to optimise production and trading exponentially more complex

Increase in non-controllable production sources,

26

Few and expensive storage or switch-off alternatives

with production changing in seconds Real-time decision making requires new software tools >

Offering customers flexibility and increased value creation

Software, markets insights and IoT technology covering entire value-chain

High-Level Power Market Outlook

Tor Reier Lilleholt, Head of Market Analysis

What are the most important price drivers?

Measuring the pulse of the market

Time horizon is important, but power balance and integration to other markets are crucial as well.

Energy Prices- What is happening?

The green shift triggers a race on both sides! 2025-2030 the consumption might run faster than the production.....

Summary & Outlook

Volue offers a comprehensive product and service portfolio, covering the entire clean energy value-chain

Significantly simplifying access and interaction for all stakeholders

Services are mainly delivered on a cloud platform, underlining fact that the SaaS transformation is well underway

Addressing the shared customer segment across Volue's business units opens significant cross-sales opportunities

Reiterating ambitions to create a NOK 2 billion revenues company by 2025

% recurring revenues Towards80% of total revenues Revenue growth ~15% organic revenues growth per year % SaaS revenues >50% of total revenues Adj. EBITDA margin % Towards30% adj. EBITDA margin

Mid to long-term ambitions M&A strategy

Highly fragmented market – Volue aims to pursue consolidation Europa primary focus; US and APAC secondary

Ambitions to act as a consolidator and engage in bolt-on transactions on a recurring basis as well as pursue larger strategic options in a more opportunistic manner

Summary: Solid position for profitable growth and expansion

1

The shift towards green, non-controllable energy sources drives increased volatility and complexity for customers, requiring dynamic and cloud-based software solutions

3

2

Volue offers wall-to-wall SaaS solutions and has built up a customer base comprising the leading European energy companies

Ongoing SaaS-transformation with solid growth in recurring revenues and an uptick in EBITDA margins over time. On track for 2025 ambitions.

Financial and Operational Information

Group P&L and KPIs

Group financial performance

Key metrics (NOKm)	Q3 2021	Q3 2020	YTD 2021	YTD 2020	LTM
Revenues	239	209	729	652	969
COGS	43	40	121	108	172
Gross profit	196	169	607	544	797
Gross margin %	82%	81%	83%	83%	82%
Personnel expenses (excl. capitalised R&D)	110	93	321	307	437
Other OPEX	38	26	129	94	150
Adjusted EBITDA	48	50	157	143	210
Adjusted EBITDA margin %	20%	24%	22%	22%	22%
Non-recurring items	15	11	68	24	92
EBITDA	33	40	89	119	119
EBITDA margin %	14%	19%	12%	18%	12%
Depreciation and amortization	23	17	69	48	87
EBIT	10	23	20	71	31
EBIT margin %	4%	11%	3%	11%	3%
Net financial items	0	-4	1	-5	-3
EBT	10	19	21	66	28
Tax	2	14	4	20	-9
Profit (loss) continued operations	8	5	17	46	37
Profit/loss from discontinued operations	0	33	0	39	0
Net profit/loss	8	38	17	85	37

Balance sheet

ASSETS				LIABILITIES AND EQUITY
Pension assets	14	15	13

Balance sheet (NOKm)	Q3 2021	Q2 2021	Q3 2020	Balance sheet (NOKm)	Q3 2021	Q2 2021	Q3 2020
ASSETS				LIABILITIES AND EQUITY
Property, plant and equipment	147	162	150	Equity	751	743	417
Intangible assets	492	482	276	Total Equity	751	743	417
Pension assets	14	15	13
Non-current receivables and investments	33	32	0	Lease liabilities	95	105	105
Deferred tax assets	24	16	8	Other non-current liabilities	15	15	9
Total non-current assets	709	707	449	Deferred tax liabilities	43	36	17
				Total non - current liabilities	153	156	132
				Borrowings	6	7	3
Inventory	22	21	16	Lease liabilities	27	31	25
Contract assets	74	53	52	Trade and other payables	68	45	92
Trade and other receivables	244	233	220	Current tax liabilities	7	5	18
Financial Investments	0	0	10	Contract liabilities	109	170	100
Cash and cash equivalents	395	484	280	Other current liabilities	323	341	239
Total current assets	735	791	578	Total current liabilities	541	599	478
Total assets	1,444	1,498	1,027	Total liabilities and equity	1,444	1,498	1,027

Cash flow statement

Cash flow statement (NOKm)	30.09.2021	30.09.2020
Profit before tax from continuing operations	21	66
Depreciations	69	48
Net finance	-1	5
Change in current assets	13	-31
Change in current liabilities	-1	61
Change in other operating items	-29	-36
Change in tax paid	-13	-4
Net cash flow from operating activities	59	109
Interest received	2	7
Purchase of property, plant and intangible assets	-82	-68
Proceeds from sale of investments	10	61
Net cash flow from investing activities	-70	0
Proceeds from issue of shares	0	27
Movement in borrowings	-21	-35
Interest paid	-6	-12
Dividend paid	0	-42
Acquisition of non-controlling interests	-5	0
Net cash flow from financing activities	-33	-62
Net change in cash and cash equivalents	-43	47
Cash and cash equivalents opening balance	434	233
Effects of exchange rate changes on cash and cash equivalents	4	0
Cash and cash equivalents closing balance	395	280

Segment overview

Energy Segment (NOKm)	Q3 2021	Q3 2020	YTD 2021	YTD 2020	LTM
Revenues	141	110	408	332	532
Adjusted EBITDA1	45	28	101	66	121
Adjusted EBITDA margin	32%	25%	25%	20%	23%
R&D CAPEX (% of revenues)	10%	9%	11%	10%	11%
Power Grid Segment (NOKm)	Q3 2021	Q3 2020	YTD 2021	YTD 2020	LTM
Revenues	56	56	179	176	238
Adjusted EBITDA1	1	12	24	32	50
Adjusted EBITDA margin	2%	22%	13%	18%	21%
R&D CAPEX (% of revenues)	8%	6%	7%	6%	9%
Infrastructure Segment (NOKm)	Q3 2021	Q3 2020	YTD 2021	YTD 2020	LTM
Revenues	43	42	142	144	199
Adjusted EBITDA1	8	11	42	45	51
Adjusted EBITDA margin	18%	25%	30%	31%	26%
R&D CAPEX (% of revenues)	9%	10%	11%	11%	10%

Alternative performance measures (APMs)

Basis for preparation

This presentation provides financial highlights for the quarter for Volue. The financial information is not reported according to the requirements in IAS 34 and the figures are not audited.

Volue ASA presents alternative performance measures as a supplement to measures regulated by IFRS.

The alternative performance measures are presented to provide better insight and understanding of operations, financial position and the basis for future developments.

The definitions of these measures are as follows:

ARR – Annual Recurring Revenues

EBITDA - Profit/loss before tax, net finance cost, depreciation, amortization and impairment.

EBIT - Profit/loss before tax and net finance cost.

Adjusted EBITDA - In order to give a better representation of underlying performance, EBITDA is adjusted with non-recurring items. Note that adjusted EBITDA does not include estimated one-off loss of revenues due to the cyber-incident.

Non-recurring items - items that are not part of the ordinary business, such as IPO related costs and costs related to the cyber-incident. In addition, external costs related to implementation of corporate back-office cloud-based systems (e.g. ERP) are considered nonrecurring. In accordance with IFRS IC agenda decision (Configuration or Customisation Costs in a Cloud Computing Arrangement) from April 2021, these costs have not been capitalized, as they previously would have been.

Revenue growth adjusted for cyber-incident - The growth in revenue from a previous period, after adjusting the 2021 numbers for estimated revenue loss from the cyber-incident.

SaaS – Software as a service