StrongPoint

Earnings Release • Apr 29, 2020

1 st quarter 2020

CEO Jacob Tveraabak | CFO Hilde Horn Gilen April 29, 2020

Agenda

• Intro
• Highlights Q1 2020
• Other key financial figures

Highlights Q1 2020

Highlights Q1 2020

Solid financial results despite COVID-19 outbreak

Decisive and comprehensive measures undertaken due to COVID-19

Strengthened organization

st quarter revenue: overall relatively stable top line

Revenue MNOK

Operating revenue relative share per segment

st quarter profitability

EBITDA

MNOK

Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20

st quarter profitability in BAs 1

EBITDA MNOK

Decisive and comprehensive measures undertaken due to COVID-19

2

• Executive Management Team set up as COVID-19 task force to define and execute appropriate measures given the different development and possibilities in each country
• Strong hygiene and protective measures
• Temporary layoffs reflecting change in business demand, representing 13 % of full time employees as per end of April 2020
• Financial and liquidity measures established. Increased credit facilities to ensure liquidity capacity

Strengthened organization

• New MD and SVP for Norway: Gisle Elvebakken
• New SVP People and Organizational Development: Knut Olav Nyhus Olsen
• New resources recruited within
• E-commerce and Workforce Management (Reflexis)
• Supply Management
• Key Account team in Spain

Immediate business impact for StrongPoint

Illustrative impact of COVID-19 on business areas

Positive Negative

	Norway	Sweden	The Baltics	Spain	Elsewhere
Cash Security			N/A	N/A
HORECA	N/A	N/A
Non-grocery retail
Grocery – in-store
Grocery – e-commerce
Labels			N/A	N/A	N/A

Retail Technology

Helping retailers to stand out, sustain growth and spur productivity

• leveraging the arising opportunities within e-commerce and in-store technology

2025 ambitions

¹Organic growth ambition ²Norway, Sweden, the Baltics and Spain ³Cash Management solutions in e.g., Italy and Greece, and E-commerce solutions globally ⁴The Nordics and the Baltics

Other key financial figures

Currency highly influence net finance year-on-year

Net Finance Q1 2020 vs Q1 2019 MNOK

Earnings per share (EPS)

EPS per quarter NOK per share

EPS rolling 12 month NOK per share

* EPS adjusted for amortisation of intangible assets, mainly from M&A

Cash Flow effects in 2020

Cash MNOK

• Working Capital
• Inventory
  • ESL
  • Cash Guard
  • C&C
• CAPEX
  • CM Rental
• Earn Out
  • CUB AB
  • PYD SLU

Increase in Net leverage to 1.47x rolling 12 months EBITDA Solid financial position with increased credit facilities

* Net Interest Bearing Debt / Rolling 12 EBITDA

Decision of dividend 2019 postponed

• Historic view: year-on-year slightly positive trend
• The Board of Directors decided 19 March 2020 to postpone decision of dividend payment due to COVID-19.
• Extraordinary General Meeting to be called later if the Board find it advisable to pay dividend.

Financial calendar 2020

Q2 2020 – 14.07

Q3 2020 – 22.10

IR-contact:

CFO Hilde Horn Gilen hilde.gilen@strongpoint.com +47 920 60 158