Airthings — Investor Presentation 2021

Feb 4, 2021

February 4, 2021

Øyvind Birkenes, CEO Erik Lundby, CFO Pål Berntsen, VP&GM
Airthings for Business

BAY

The following presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated ("relevant persons"). Any person who is not a relevant person should not act or rely on this presentation or any of its contents.

This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in Airthings ASA (The Company). The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions.

This presentation includes and is based, inter alia, on forward-looking information and contains statements regarding the future in connection with The Company's growth initiatives, profit figures, outlook, strategies and objectives. All forward-looking information and statements in this presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for The Company. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions.

Important factors may lead to actual profits, results and developments deviating substantially from what has been expressed or implied in such statements. Although 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.

The Company is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the presentation, and neither The Company nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.

This presentation was prepared in connection with the 4Q results released on February 4 th , 2021. Information contained herein will not be updated. The following slides should also be read and considered in connection with the information given orally during the presentation.

PURPOSE

Empower the world to
breathe better

77% Americas 23% Europe

from 27+ nations

, with offices/sales out of Chicago, Stockholm, Boston, Atlanta, Florida, Munich, London, Bergen, and Quebec City

with a home

For facility management, system integrators & HVAC and public sector For everyone

(AfB)

For home inspectors and radon professionals

with a home

For facility management, system integrators & HVAC and public sector For everyone

(AfB)

2019 revenue of NOK 123m 2019 revenue of NOK 3m 2019 revenue of NOK 13m

For home inspectors and radon professionals

5B

with a home

For facility management, system integrators & HVAC and public sector For everyone

(AfB)

For home inspectors and radon professionals

2019 Annual Recurring Revenue of NOK 2.9m

Bad air quality Indoor

air contaminants

Energy efficiency

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Tracking Carbon Emissions Saved with Airthings

40% of global energy consumption comes from buildings

There are energy-saving opportunities in all buildings

• >10% of energy consumption can be saved by optimizing heating, ventilation and air conditioning

• >15% of energy consumption can be saved by aligning indoor and outdoor pressure.

We will publish CO2e saved, along with our other sustainability goals, at www.airthings.com/sustainability

airthings.com/sustainability

Highlights 4020

• All time high quarterly revenue of NOK84.0m, and 40% YoY growth for 4Q20
• GPM of 68% for 4Q21 and 67% for the year
• 2020 revenue of NOK216.9m, up 51% YoY. Revenue at the top of the 2020 guiding range of 203m-217m
• Consumer growth of 38% to NOK74.0m for 4Q20
• Airthings for Business growing fast with 314% YoY to NOK5.3m for 4Q20

• PRO growth of 25% YoY to NOK4.7m for 4Q20

• Exponential growth continues to NOK10.6m, up to 267% YoY

• 2020 ARR is slightly below guided range as some expected contracts were pushed out to 1Q21

12,000	Annual Recurring Revenue (NOK 1 000)
10,000
8,000
6,000		+267% YoY
4,000
2,000
0
	4Q19		4Q20

• 4Q revenue of NOK74.0m and 38% YoY growth
• 2020 YoY growth of 46% with revenue of NOK180.4m
• Wave products having strong growth with >100% YoY growth for 4Q and 2020 full year
• Strong sell-through from our retail channels triggering re-orders
• Strong growth on Amazon worldwide with smart product (Wave products) sales up >200% YoY
• Direct channel revenue up >100% YoY

• Wave Mini has grown almost 200% YoY in 4Q20 after re-launch with Mold Risk Indicator feature

• Sales revenue of and for 4Q20

• YoY growth of with revenue of
• and driven by Facility Management, Public Sector, and System Integrators
• Schneider Electric starting to generate significant revenues for AfB
• Through one of the worlds largest commercial real estate services companies Airthings sensors will be part of a national roll-out for an international retail bank supporting nearly 600 end locations

• AfB sales and support team has tripled to 17 people from 2019 to 2020. Will keep growing aggressively in 2021 as we see large land-grabbing opportunities

• Sales revenue of NOK4.7m, and 25% YoY growth

• Hit by production capacity limitations in 3Q and 4Q. Is solved in 1Q21
• Strong backlog and outlook
• Opened Airthings Calibration Lab in Massachusetts. Will increase margin and revenue of ARR from PRO

$\leftarrow$	best		9:00 $M \otimes B$	test
	MEASUREMENT SUMMARY		Device-A $\mathfrak{g}_n$ Device 1 - 123734-1	$0$ 'F
			UPDATE AVAILABLE 5. Firmware 2.2.0
	IF SADON LEVEL		LATEST MEASUREMENT 4 min ago
$0.0$ pCi/L stressions	$0.3$ pC $/$ L AVERAGE	1.0 p MAXIE	Radon RD $15$ Ba/m +	12.00 10.346
	A HUMOITY		$22^{\circ}$ (2) 101.58 Sat 0.39%	D %rH
49.5 %rH	52.714 %H	59%	LATEST DATASETS (2)
MERCHELIM	WERAGE	MAXIE	Initial C Test-new-hampshire 2
	TEMPERATURE		Customer: E.Starship
70.88 °F	72.871 甲	74.84	Schmit Comments	12.00 10. Sep. las
sesences	AVERAGE	MAXIN	Ide	Amoughanc Ressure Situa B kPa
	C ATMOSPHERIC PRESSURE		Unnamed 1
			Submit Commerts
83.448 kPa ARRESBURE	83.777 kPa AVERAGE	84.034 MAXIN
	Tampering events occurred as followed.		START TEST	12:00 10. Sep Sep.

CES 2821 Sprear

Significant growth in web traffic and press coverage

150% YoY increase of unique web users

WIRED

Airthings Can Now Analyze the Risk of Indoor Virus

BULGLY SAM

Unlike the rash of cleaning products meant to purify the air or blast surfaces with UV light. Airthings semon are content to take a paintye role. Normally they monitor induor air multifor problem makers like radon and mold. Now the Aintungs' Wave Plus subscription plan

Health and Wellness

CES 2021 showcases masks, sensors and other tech to help fight COVID-19

The consumer tech conference was forced to go all-digital amid the pandemic, but there are still innovations to fight coronavirus.

The Shert IT Jan W. 2021 500 am Pt $\hat{P}$ ( $\blacktriangleright$ LISTEN - 08:24 FINANCIAL TIMES Chess: a rook and two pawns each but what is White's winning move?

elite as participants, though with the notable exceptions of the No2, Fabiano

FAST COMPANY

04-15-20 | CORONAVIRUS

There's a key way to curb the spread of COVID-19. But no one is
talking about it Fix your indoor air.

Anish Giri @ @anishgiri - Dec 27, 2020 Same, though the air quality is also not good here. @Airthings HAlethionakingtone #Channel 説

CES 2021 safety sensors and detectors Safety Sensors & Detectors - Safety Sensors & Detectors are designed to save your life. de things like CO & smoke detectors, water Leak detectors, and weather at & air quality monitors. Companies to keep an eye on in this category include Managers

PRODUCT CATEGORIES - FEATURES - MOW TO

Magnus Carlsen & @MagnusCarlsen - Dec 28, 2020 Every breath you take, every move you make, they'll be watching you #AirthingsMasters

Financials

Erik Lundby, CFO

Revenue up 40% YoY

• Strong growth especially in Consumer and AfB

Gross margin at 68%

• Higher share of AfB product sales with lower margin
• Price competition in US retail
• Margin up 6%-points QoQ in accordance with plan

EBIT of –NOK17.2m

• Non -recurring IPO costs of NOK8.7m
• Non -cash expense related to share -based compensation
• Increased personnel expenses in accordance with expansion plan
• Marketing costs in conjunction with shopping holiday

	Unaudited	Unaudited	Unaudited	Audited
Consolidated income statement (NOK 1 000)	4Q20	4Q19	2020	2019
Sales	83 881	58 568	214 343	139 472
Other revenue	116	1498	2529	4809
Total revenue	83 997	60 065	216872	144 281
Cost of sales	26763	15 4 64	70780	39 20 2
Gross profit	57 234	44 602	146 092	105 079
Payroll expensees	27918	17914	85 509	47 979
Other operating expenses	45 920	23 313	108 315	68 805
EBITDA (note 4)	$-16604$	3 3 7 4	$-47731$	$-11705$
Depreciation and amortization	579	$-108$	2 3 2 1	694
Operating profit / EBIT	$-17183$	3482	$-50052$	$-12398$
Financial income	2 3 9 3	2 1 3 4	16 2 2 9	4374
Financial expenses	10 1 20	2705	20956	5 1 6 1
Financial income / expenses - net	$-7727$	$-571$	$-4728$	$-787$
Profit (loss) before tax	$-24909$	2912	$-54779$	$-13185$
Income tax	18 4 35	4013	18 4 22	3992
Net profit (loss)	$-6474$	6924	$-36357$	$-9193$
Pre-split earnings per share (NOK)*
Basic earnings per share	$-8,17$	12,20	$-55,10$	$-16,67$
Diluted earnings per share	$-8,17$	12,19	$-55,10$	$-16,67$
Post-split earnings per share (NOK)**
Basic earnings per share	$-0.04$	0,06	$-0,28$	$-0.08$
Diluted earnings per share	$-0.04$	0,06	$-0,28$	$-0.08$

Negative cash from operating activities

• Non-recurring IPO related costs
• Increased working capital due to seasonality in Consumer

Negative cash from investment activities

• Purchase of PRO equipment for rental in US
• Office equipment in accordance with expansion

Positive cash from financing activities

• NOK500m private placement
• Debt instalments

Change in non-current assets

• Acquisition of Airtight
• Deferred tax increase due to negative result and IPO costs
• Receivables growth due to employer's tax related to options

Change in current assets

• NOK500m private placement
• Inventory and receivables up due to company growth ensuring product availability

Change in liabilities

• Provisions due to employer's tax related to options
• Accounts payable up due to company growth
• Growth loan to be repaid in 1Q21 shifted to short-term debt

	Unaudited	Audited
Consolidated balance sheet (NOK 1 000)	31.12.2020	31.12.2019
Assets
Research & development	4676
Licenses	5 1 8 3	3672
Deferred tax asset	22 545	4477
Goodwill	39 0 29
Tangible assets	5 1 1 2	2312
Long-term receivables	13 002	337
Total non-current assets	89547	10798
Inventory	40 223	29 0 29
Accounts receivables	59822	40737
Other short term receivables	13 3 5 8	14 169
Cash and cash equivalents	537 075	49 077
Total current assets	650 478	133012
Total assets	740 025	143809
Equity and liabilities
Total paid-up equity	723 082	97820
Other equity	$-59448$	$-314$
Total equity	663 634	97506
Interest bearing long-term debt		17889
Other provisions	12 3 0 5
Total non-current liabilities	12305	17889
Accounts payable	23 501	12 149
Tax payable	3	39
Public duties payable	7938	3416
Interest bearing short-term debt	16 222
Other short-term debt	16 4 20	12810
Total current liabilities	64083	28 4 14
Total equity and liabilities	740 025	143809

• Present at CES 2021 digital event from Jan 11-14
• Won TWO CES innovation awards:
• Wave Mini with Mold Risk Indication
• Wave Plus for Business with Virus Risk Indication
• Launched campaign with American Lung Association in connection with Radon Action Month in the US

• Launched airforkids.com a new site educating kids, parents and teachers about healthy air

• Chess is booming worldwide after going online (esport) and popularity of Queen's Gambit series (Netflix)

• Champion's Chess Tour streaming live Airthings air quality data for the world's top chess players, competing from their homes. 9 tournaments in 2021 season
• Highlight importance of air quality for health, wellbeing and cognitive abilities

• 12 million total views on Eurosport, YouTube, Twitch, NRK ++

• Airthings.com/chess

AIRTHINGS	For home For business		For pro
╬ #1	Magnus Carlsen	535 ⌒ $\bullet$ CO 2 (ppm)	124.61℃ T emp	◯ 57.5% Humidity	$\stackrel{\circ}{\neg}$ 86 VOC (ppb)	$\frac{1}{2}$ 7 Radon (Bg/m 3 )	ි 1008.1 Pressure (mbar)
$#5$	Maxime Vachier-LaGrave	587 ╱ $\bullet$ CO 2 (ppm)	A 20.93℃ $\bullet$ Temp	◯ 32% Humidity	$\approx$ 163 VOC (ppb)	$\frac{1}{2}$ 4 Radon (Bg/m 3 )	1008.6 $(\overline{d})$ Pressure (mbar)
#9	Wesley So	1059 ⌒ $\bullet$ CO 2 (ppm)	123.48℃ T emp	◯ 33% Humidity	$\approx$ 212 $\bullet$ VOC (ppb)	$-60.58$ Radon (Bq/m 3 )	977.9 $(\overline{\delta})$ Pressure (mbar)
#11	Anish Giri	917 ╱╲ $\bullet$ CO 2 (ppm)	124.16°C $\bullet$ Temp	◯ 37.5% Humidity	$\stackrel{<}{\scriptstyle\sim}$ 119 VOC (ppb)	$-20$ 1 Radon (Bq/m 3 )	1018.6 $(\vec{s})$ Pressure (mbar)
#22 $\circ$	Pentala Harikrishna	1123 ╱╲ $\bullet$ CO 2 (ppm)	123.43 °C $\bullet$ Temp	◯ 34% Humidity	$\stackrel{<}{\scriptstyle\sim}$ 67 VOC (ppb)	40.50 Radon (Bq/m 3 )	959.9 6) Pressure (mbar)
#61	David Anton Guijarro	$\bigcirc$ 1262 $\bullet$ CO 2 (ppm)	122.95℃ Temp	◯ 30% Humidity	$\stackrel{\frown}{\neg \circ}$ 58 VOC (ppb)	$\frac{\partial_{\rho}\Omega}{\partial \rho}$ 17 Radon (Bq/m 3 )	931.2 $(\overline{\delta})$ Pressure (mbar)

CO² monitoring is one of the easiest ways to ensure that your room has adequate ventilation to minimize the spread of and to ensure people in the room stay and

New regulations

• Netherlands: Schools should measure CO² levels.
• Germany: Schools and offices should measure CO² levels
• US: CO² monitoring requirements for restaurants in Washington and schools in California

*

* https://dash.harvard.edu/bitstream/handle/1/27662232/4892924.pdf

*

Pål Berntsen, VP & GM, Airthings for Business

IN EVERY SPACE IN EVERY

BUILDING

	Expand market coverage with partners and local sales people in new countries to Need a bullet proof story. ensure good business practice Value proposition and cultural awareness Hva gjør vi? Change the mindset
Energy Savings IMPROVE PRODUCTIVITY & OVERALL HEALTH	– Customer who have reduced IMPROVE ENERGY savings with 6% or more with Airthings. EFFICIENCY & AREA Productivity Health UTILIZATION Reduce sickleave.	their energy IMPROVE ACADEMIC PERFORMANCE & ATTENDANCE
IN OFFICES	IN BUILDINGS	IN SCHOOLS

Airthings for Business Focus

Airthings for Business 4Q Result

Maintain momentum	Expand market coverage	Build brand awareness	Continuously engage
• Launch of Virus Risk Indicator, CO2 Alert and Mold Risk Indicator	Customer split 4Q Norway $\bullet$ 50% vs Worldwide 50% Direct Sales 60% vs $\bullet$ Partner Sales 40% 24% of all customers are $\bullet$ wins in $4Q$	Inbound leads grew with $\bullet$ 147% QoQ with total of 243 leads Conversion rate is 16% $\bullet$ within 3 months for inbound leads	35% of all existing $\bullet$ customers have placed two or more orders
PRODUCTS	SALES	MARKETING	CUSTOMER SUCCESS
Growth Pillars

Airthings for Business Segment Update

Airthings for Business Customer Cases

Hemsedal kommune Natur, kultur og livskvalitet

• Great results
• Built for growth
• Huge opportunity

IN EVERY SPACE IN EVERY BUILDING

1 INDOOR AIR QUALITY MONITORING AND CONTROL

• 2021 Revenue of NOK 315m – 345m (Up from previous guiding of 300m – 340m)
• 2021-end ARR of NOK 32m – 40m (Up from previous guiding of 30m)
• 1Q21 Revenue of NOK 57m – 65m
• 1Q21-end ARR of NOK 14m – 17m

2024 Goal

Revenue of NOK1 000m+

ARR of NOK200m+

Global leader in indoor air quality for home and businesses

Summary

• Record 4Q20 with NOK 84m in revenue and solid GPM
• Our outlook for 2021 is stronger than last update, and expected revenue within NOK 315m – 345m and ARR of NOK 32m – 40m
• Great execution throughout the organization
• On our path to reach the 2024 goals

Breathe better. Live better.