Carasent

Investor Presentation • Oct 22, 2020

Disclaimer

Certain statements made in this Presentation may include forward-looking statements. These statements relate to the Company's expectations, beliefs, intentions or strategies regarding the future. The forwardlooking statements reflect the Company's current views and assumptions with respect to future events and are subject to risks and uncertainties.

All though the Company believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation.

Carasent ASA is making no representations or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Carasent ASA, nor any of its directors, officers, employees or advisors will have any liability to you or any other person resulting from your use.

Carasent ASA

• Carasent's strategy is to invest in companies that has the potential to develop and expand digitalization within the healthcare sector in Scandinavia
• Acquired Evimeria EMR AB in May 2018
• Evimeria is the fundament

Evimeria at a glance

~470 clinics using services every day, handling 3+ million records per year

• Develops, sells and delivers Webdoc and integrated services

~70 integrated services • Webdoc is a cloud-based proprietary EMR software solution for the private healthcare segment

50+ employees in Gothenburg and Stockholm with a mix of healthcare and IT competence

• Targeting private healthcare clinics, currently serving ~470 clinics across Sweden

SEK 51.4m 2019 net revenues with +25% EBIT margin • Total market size of SEK 1bn with a ~10% market share

Strategy for continued and future growth

• Evimeria is the fundament
  • Scalable and proven track record
  • Organization can be leveraged in many dimensions

• Growth and expansion

• Existing markets Organic growth

- New geographies

• New products and services

• New segments Organic and potential M&A

Driving revenue and earnings growth

Disproportional EBIT vs. customer growth enabled through unique business model, add-on services and significant room for margin improvements

Third quarter 2020 Results

• Q3 Overview and Highlights
• Financials
• Outlook

• Q&A

Overview of Third Quarter 2020 results

• Evimeria EMR AB (in SEK and IFRS adjusted)

• Revenue of SEK 17.2 million, an increase of 37 % as compared to Q3 2019.
• EBITDA of SEK 7.2 million as compared to SEK 4.4 million during Q3 2019.
• EBIT of SEK 5.0 million as compared to SEK 3.4 million during Q3 2019.
• Signed 23 new clinics during the Third Quarter 2020. Ended the Third Quarter with 470 active clinics.
• Carasent ASA consolidated
  • Revenues of NOK 17.7 million as compared to NOK 11.6 million during Q3 19.
  • Including expenses for changes in fair value of previously issued stock options of NOK 11.3 million in Q3 2020 the result was a net loss of NOK 9.1 million as compared to a net income of NOK 1.3 million during Q3 19
  • Cash balances of NOK 12.3 million at September 30, 2020 and a short term receivable of NOK 287.5 million, of which NOK 286.5 million related to proceeds from share issuance.

Key Highlights of Third Quarter 2020

• The market situation has stabilized further during the third quarter
• Activity in all customer segments was close to normal levels in September
• At the end of the quarter, some regions in Sweden were again affected by outbreaks linked to Covid-19, and the short-term uncertainty is not insignificant.
• Several consolidation and expansion opportunities that goes in line with our strategy have become more concrete during the year.
• Carasent carried out a successful private placement in September, which raised approximately NOK 274 million net.

Sales

• The activity and demand for digital services in our market segments remains strong
• Sales to smaller individual clinics are progressing according to plan
• Increase in activity among the larger customer group
• However, this part of the market is not yet back to normal levels

Growth

• The effects of the pandemic continue to have both positive and negative impact on Evimeria
• The positive effects are the growing demand for faster digitization and need for new e-Health services
• The negative is the somewhat reduced activity in customers' operations, primarily linked to "nonemergency" care.

37% growth

million

• At the end of the quarter, however, we saw almost normal levels again in our existing customer base

Scalability

EVIMERIA IFRS ADJUSTED SEK 1,000	Q3 2019	Q3 2020	YTD 2019	YTD 2020
Webdoc license	6 871	8 556	19 337	24 955
Integrated Services	4 556	7 303	13 768	20 685
Consulting	1 115	1 228	3 396	3 713
Other	1	104	75	193
REVENUES	12 543	17 191	36 575	49 546
Growth%	37,1%		35,5%
COGS	2 239	3 443	6 744	9 502
GROSS MARGIN	10 304	13 748	29 831	40 045
GM %	82,2%	80,0%	81,6%	80,8%
OPEX	5 886	6 544	18 213	20 563
EBITDA	4 418	7 204	11 618	19 481
EBITDA%	35,2%	41,9%	31,8%	39,3%
D&A	1 032	2 209	3 095	6 785
EBIT	3 386	4 995	8 522	12 696
EBIT%	27,0%	29,1%	23,3%	25,6%

EBITDA of SEK 7.2 million EBIT of SEK 5.0 million

48% EBIT GROWTH

29% EBIT MARGIN

Financials Carasent consolidated

• Revenue for the Third quarter of 2020 totaled NOK 17.7 million as compared 11.6 million during the Third quarter 2019.
• Operating expenses for the Third quarter of 2020 totaled NOK 10.1 million as compared NOK 7.6 million during the Third quarter of 2019
• Operating expenses excludes cost of sales and amortizations. The operating expenses relates to two different areas.
• NOK 9.0 million of the operating expenses for the Third quarter of 2020 relates to Evimeria EMR AB.
• NOK 1.1 million consists of professional fees (legal, accounting and consulting) along with public Company costs such as stock exchange registration, insurance and board remuneration fees.
• Operating income for the Third quarter of 2020 totaled NOK 3.2 million as compared NOK 1.1 million during the Third quarter of 2019
• Net loss for the Third quarter of 2020 totaled NOK 9.1million (including stock option expense of NOK 11.3 million) as compared to a net income of NOK 1.3 million during the Third quarter of 2019.
• The Company ended the Third quarter of 2020 with NOK 12.3 million of available cash balances and outstanding interest-bearing debt of NOK 1.6 million (not including lease liability). The company also had a short-term receivable of NOK 286.5 MNOK related to share issuance.

Outlook

• It is becoming increasingly clear that the pandemic as such will act as a catalyst for accelerated digitization in the healthcare sector.
• For Evimeria, the effects of the pandemic have been relatively limited, with less impact on development in relation to our strategy and objectives.
• Towards the end of the quarter, however, some regions in Sweden were again affected by outbreaks linked to Covid-19 and the uncertainty in the short term is not insignificant.
• We still believe that the market and demand in general will continue to be strong for Evimeria
• In addition to a strong organic development, we have, over the past year, focused on evaluating the possibilities of supplementing our business with potential acquisitions that fit into our strategy. Our assessment is that we have good opportunities to complement our organic growth in the product and service dimension as well as in new segments and geographies.
• We have a wide range of opportunities in these areas and expect to execute on these in the short and medium term.

DRIVERS	The healthcare industry is facing underlying structural issues	The proportion of the population aged 60 or older Medical progress and the ability to manage illness are contributing to an overall increased average lifetime Chronic diseases, such as diabetes, obesity and certain cardiovascular diseases, are increasing and are treated over longer periods of time
PROBLEM	The need for high-quality healthcare at lower cost to society has therefore never been greater	Healthcare cost as a share of GDP is increasing rapidly across the Nordic countries Strong focus from all stakeholders on improving efficiency
SOLUTION	Digitalization is transforming healthcare	The use of diaital solutions is increasing availability to patients Digital solutions also increase opportunities to share necessary and relevant information Receive healthcare on a remote basis when doctors are available via chat or video