beaconsmind AG

Quarterly Report • Sep 3, 2024

Financial Report for full -year of 2023

Full-Year Report 2023 1

Short Portrait	1
beaconsmind Share	2
Balance Sheet as of 31.12.2023	3
Profit and Loss Statement as of 31.12.2023	4
Management report	5
Additional Information14
Impressum15

Short Portrait

Founded in Switzerland in 2015, beaconsmind AG is at the forefront of location-based marketing (LBM) software, WiFi infrastructure systems, and WiFi Guest Hotspots, catering to sectors such as retail chains, hospitality, healthcare, and the public sector. The beaconsmind Group with its subsidiaries under the beaconsmind umbrella is recognized for its expertise in digital transformation, Location-Based Marketing, infrastructure, and Wi-Fi services for SaaS clients. Through intelligent, entirely cloud-based technologies, we deliver tangible added value to our clients, empowering their omnichannel strategies with enhanced success.

By fitting stores with Bluetooth beacons and WiFi Hotspots that precisely locate and identify customers, and by integrating its Software Suite, beaconsmind opens a brand-new channel for retailers to interact with their customers concurrently laying the foundational infrastructure for a digital horizon.

Through its innovative solutions, beaconsmind enables retailers to seamlessly merge digital and in-store shopping experiences, effectively bridging the convenience disparities inherent in each. Beyond offering Software as a Service (SaaS) with beacons and WiFi hotspots tailored for retailers, we extend our solutions to public sectors, hospitality, and healthcare industries. The specialists at beaconsmind are committed to delivering top-tier, dependable infrastructure systems—including LAN, WiFi, Coax, DSL, WAN, and Firewalls—to ensure our clients are primed for the digital future.

Enabling customers to fundamentally transform the shopping experience for customers in physical stores, beaconsmind offers the beaconsmind software suite, coupled with Bluetooth iBeacons and WiFi to be installed at point-of-sale. Our localisation technology and beaconsmind software suite allows our customers to converge digital and physical shopping and create a seamless customer journey.

beaconsmind has been awarded with different prizes since inception that underpin its outstanding product, technological edge, and customer-oriented approach. It was awarded with the Best Enterprise solution prize in 2016 and Best-In-Store Solution and Top Retail Supplier prize in 2017 by Reta Europe. Additionally, it also won a Microsoft BizSpark Plus Program sponsoring from Microsoft.

The beaconsmind specialists are strategically positioned in offices across Stäfa (Switzerland), Munich, Dresden, Hannover (Germany), and Dubai (UAE). They are dedicated to empowering our international clientele to spearhead successful location-based marketing campaigns and to develop steadfast IT infrastructure systems. The shares of the company (ISIN: CH0451123589 – Ticker: MLBMD) are listed on the Frankfurt Stock Exchange with XETRA trading and on Euronext in Paris.

For more information, please visit www.beaconsmind.com

beaconsmind Share

Ordinary shares
4,699,326
(1) 21,804,872
CH0451123589
A2QN5W

Shareholder Split

Note: (1) Market Cap of Xetra Stock Exchange as close of 26/08/2024 with share price of EUR 4.64

Balance Sheet as of 31.12.2023

beaconsmind Group AG, Stäfa

in CHF	Dec-23A	Dec-22A
Assets
Current assets
Inventories	501,919	90,000
Trade and other receivables	2,721,684	202,185
Accrued income and prepaid expenses	32,418	64,631
Cash and cash equivalents	754,533	547,026
Total current assets	4,010,554	903,842
Non-current assets
Investment in subsidiaries	-	2,008,240
Property, plant and equipment	993'476	297,104
Right-of-use assets	409'392	347,252
Intangible assets Financial Assets	10'974'625 27'891	276,875 38,862
Goodwill	2'922'847	-
Deferred tax assets	-	14,370
Total non-current assets	15'328'231	2,982,704
Total assets	19'338'785	3,886,546
Equity and Liabilities
Current liabilities
Lease liabilities	253'873	135,135
Trade and other payables	1'026'711	851,646
Accrued expenses and deferred income	1'209'555	602,604
Borrowings – Current portion	873'703	-
Deferred Taxes	2'190'750	-
Total current liabilities	5'554'592	1,589,385
Non-current liabilities
Employee benefit obligations	62'650	62,650
Borrowings	6'416'287	18,528
Lease liabilities	181'881	233,866
Total non-current liabilities	6'660'818	315,044
Total liabilities	12'215'410	1,904,429
Equity
Share capital	469'933	284,438
Capital Reserve	26'874'104	16,481,616
Accumulated losses	(20'093'903)	(14,757,253)
Translation reserve	(316,531)	(26,684)
Equity	6'933'603	1,982,117
Non-controlling interests	189,722	-
Total equity	7'123'375	1,982,117
Total equity and liabilities	19'338'785	3,886,546

Profit and Loss Statement as of 31.12.2023

beaconsmind Group AG, Stäfa

in CHF	1H 2023A	2H 2023A	FY 2023A	FY22A
Net Revenue	2,664,448	3,507,432	6,171,880	1,558,967
Direct cost	(198,058)	(1,040,157)	(1,238,215)	(147,747)
Personnel expenses	(1,572,527)	(1,663,860)	(3,236,387)	(2,544,975)
Other operating expenses	(1,418,097)	(668,390)	(2,086,487)	(3,514,199)
Adj. EBITDA*	(524,234)	135,025	(389,209)	(4,647,954)
Depreciation, amortisation and impairment	(346,898)	(1,284,690)	(1,631,588)	(576,140)
EBIT	(871,132)	(1,149,665)	(2,020,797)	(5,224,094)
Financial income	97	2,892	2,989	18,513
Financial expenses	(125,001)	(677,519)	(802,520)	(162,220)
EBT	(996,036)	(1,824,292)	(2,820,328)	(5,367,801)
Income tax reversal/(expense)	3,776	(47'845)	(44'069)	(5,323)
Net Income/(Loss)	(992,260)	(1'872'137)	(2'864'397)	(5,373,124)
Earnings per share
Earnings and diluted earnings per share	(0.31)	(0.40)	(0.61)	(1.89)
Other comprehensive loss/(income)	(57,127)	(241'862)	(298'989)	(8,457)
Net Income/(Loss)	(1,049,387)	(2'113'999)	(3'163'386)	(5,381,581)

Note: (*) Adj. EBITDA Includes adjustments for non-recurring expenses and restructuring costs

Management report

The following business report is a condensed status report that primarily focuses on deviations from the previous half year's financial statements. For a comprehensive overview, please refer to the first half year report as of June 30, 2023. This report is the first full year report of beaconsmind Group ("Group") in which the fiscal year and calendar year are aligned. The financial year of beaconsmind Group has changed from 01st July – 30th June to 01st January – 31st December.

A. Company Fundamentals

I. Business Activities

The business model has been strengthened by three consecutive acquisitions (Frederix, Netopsie, Socialwave, T2 and Kadsoft) that have been concluded in FY 2023. These acquisitions are expected to be accretive for the financial profile of the Group, which will be reflected in the full year results of 2023. The one-off costs incurred by the acquisitions are also reflected in this full year result.

II. Market and Portfolio

Through the strategic acquisitions of Frederix, Netopsie, Socialwave, T2 and Kadsoft, the beaconsmind Group has substantially bolstered its WiFi Hotspot division, infrastructure, and Software as a Service (SaaS) segment. Frederix and Netopsie both bring significant and growing customer relationships into the group. Specifically, Frederix enhances the WiFi profile by contributing extensive expertise in WiFi services and network infrastructure, thereby reinforcing beaconsmind Group's overall prowess. Simultaneously, Netopsie, with its specialized knowledge in network technology and digital transformation within the Healthcare and Hospitality sectors, marks a critical expansion point.

The acquisition of Socialwave dramatically expands the beaconsmind Group's SaaS portfolio, augmenting it with thousands of successful customer relationships. As a market leader in Germany for WiFi Hotspot Marketing, Socialwave aligns seamlessly with beaconsmind's Bluetooth marketing solutions, enabling the group to offer customers an even broader range of solutions in location-based marketing.

The Management at beaconsmind anticipates robust synergies emerging from these acquisitions, attributed to their complementary business models and substantial potential for upselling and cross-selling, which will materialize progressively.

With the acquisitions of the two companies beaconsmind Group has concluded the strategic transformation into two synergetic segments: Infrastructure and Software/SaaS and will provide reporting of financials on these two segments going forward.

beaconsmind Group's Infrastructure segment mainly includes the backbone Frederix, Netopsie and newly acquired T2 and Kadsoft businesses while the Software/SaaS segment is composed of the Socialwave and former beaconsmind Suite product offering. The new management team has established a new beaconsmind Group offering selecting a best-in-class

infrastructure and software offering on a modular basis. As part of the strategic alignment, the Group is poised to unveil an integrated product that will merge the advantages of the WiFi solutions provided by Frederix and Socialwave with beaconsmind's Bluetooth-based LBM software. This all-encompassing product will feature a cloud-driven WiFi solution and hotspot system, furnishing clients with real-time, detailed statistics and data, thereby facilitating the evaluation of usage metrics across various locations. This insight is pivotal for retailers to comprehend their customer base more profoundly and to craft optimal marketing campaigns.

First customer PoCs have started across all product offerings confirming revenue synergies next to the already implemented cost synergies being fully realized.

In addition to these advancements, beaconsmind is actively pursuing a trajectory of continued growth through further strategic acquisitions. We are steadfast in our commitment to identifying and integrating companies that align with our vision and enhance our product offerings, market reach, and technological capabilities. This deliberate expansion strategy is integral to our objective of maintaining leadership and setting innovative standards in locationbased services and solutions, thereby delivering unparalleled value to our customers and stakeholders.

Moreover, in our continuous effort to innovate and simplify digital transformation for our retail clients, we have recently developed a new white-label app specifically designed for locationbased marketing. This cutting-edge application, crafted over the past few months, features an integrated customer loyalty program, making it even more convenient for retail clients to navigate their digital transition. By offering a customizable platform that retailers can adapt to their branding while leveraging sophisticated location-based technologies, we are further empowering them to engage with their customers in a more personalized and efficient manner. This development underscores our dedication to facilitating our clients' digital journeys and enhancing their customer engagement strategies through innovative technological solutions.

B. Special Events

With respect to reporting, the financial year of beaconsmind Group has been amended from 1 July to 30 June to 1 January to 31 December. Hence, FY2023 is beaconsmind's first fiscal year, which will correspond to the respective calendar year。

Strategically, beaconsmind finalized three add-on acquisitions, namely Frederix (2 February 2023), Netopsie (23 February), Socialwave (21 April 2023), T2 and Kadsoft (28 Decemeber 2023)

• Strategically beaconsmind finalized the acquisition of 51% of the shares of Frederix GmbH, a market leading Hotspot provider with a large and international customer base mainly from the retail and real estate industry. The closing of this transaction was completed on 2 February 2023. The total purchase price for this acquisition was EUR 2MM fully financed by issuing 155,500 new beaconsmind shares to the seller. As part of this acquisition, the beaconsmind offering will be expanded in the future to include the SaaS review platform of eKomi, which offers end-to-end solutions for B2B customers. On July 27, 2023, the contract to acquire an additional 11%, bringing the total to 62% of the shares of Frederix was signed.
• Furthermore, Frederix also acquired 100% of the shares of Netopsie for a total purchase price of EUR 500k fully financed by liquidity at hand at Frederix on February 27, 2023. Netopsie DSL and Netopsie Koaxial are solutions to quickly and easily build a network and provide internet in every room, e.g. in a hospital or nursing home, without having to lay new cables. In addition, the company supports the planning and realisation of complex infrastructure solutions for the connection of modern IOT solutions. Through this transformative acquisition, beaconsmind will significantly expand its value chain and massively diversify its customer and revenue base.
• Moreover, beaconsmind acquired 100% of the shares of Socialwave GmbH further expanding its business model as a B2B Point-of-Sales solution provider and adds to the range of solutions that are already offered. The total purchase price was set at EUR 10MM through a combination of low-coupon debt, cash and 350,000 new beaconsmind shares to the sellers. The transaction finalized on 21 April 2023. This acquisition will allow beaconsmind to further develop the product offering and at the same time increase its customer base having direct access to existing Socialwave customers, whereby beaconsmind's AG location-based marketing solution can be offered.
• Lastly, On August 31, 2023, the contract to acquire 100% of the outstanding shares of Lindentor 1181. V V GmbH, located in Berlin, as well as its two subsidiaries KADSOFT Computer GmbH, located in Freital, and T2 Vertrieb GmbH, located in Lage, was signed. The purchase price was EUR 2,792,000 in cash and shares of beaconsmind AG, Stäfa. Lindentor, along with its subsidiaries, operates in the field of communication technology and, through its subsidiaries, employs 20 people. The combined run-rate revenue of both companies amounts to EUR 3.2MM and EUR 550k EBITDA including cost synergies. Accretive effect on Group financials will be fully captured in the FY2024 annual figures with a closing in December 2023.

With the acquisitions of the T2 and Kadsoft, beaconsmind Group has concluded its strategic transformation into two synergetic segments: Infrastructure and Software/SaaS and will provide reporting of financials on these two segments going forward.

beaconsmind Group's Infrastructure segment mainly includes the backbone Frederix, Netopsie and newly acquired T2 and Kadsoft businesses while the Software/SaaS segment is composed of the Socialwave and former beaconsmind Suite product offering.

Apart from the beforementioned acquisitions, beaconsmind has successfully completed five equity raises in 2023 with a total volume of CHF 10.6 million.

• The first cash capital increase of CHF 1.86MM increased the share capital by 258,275 new shares. The new shares are entitled to participate in profits from 29 March 2023 onwards.
• The second capital increase in kind was successfully completed on 31 March 2023 amounted to CHF 2.4MM and issued 350,000 new shares to Socialwave shareholders.
• The third cash capital increase was successfully completed on 21 April 2023 amounted to CHF 1.42MM and increased the share capital by 196,667 new shares.
• On July 28th a cash capital increase of CHF 1.44MM and capital increase in kind of issuance of 75,000 new shares to the seller of FREDERIX were announced.
• On October 16th a cash capital increase of CHF 1.62MM and on October 24th the capital increase in kind of issuance of 300,000 shares to the seller of Kadsoft and T2 were announced. As a result of these capital increases, the share capital of beaconsmind Group increased to CHF469'932.60.

Lastly, there have been changes to management and board composition at beaconsmind. Michal Krupinski has resigned from the Board of Directors on 28 March 2023 and Martin Niederberger and Jonathan Sauppe joined the Board of Directors of beaconsmind AG on 29 March 2023. Jörg Hensen left the Board of Directors on 15 June 2023 and Max Weiland left the Board on 31 July 2023. In addition Andreas Wyss joined the Board of beaconsmind AG on 5 October 2023 and Christian Legros on 8 August 2024. With Michael Ambros, Jonathan Sauppe, Martin Niederberger, Andreas Wyss and Christian Legros, the Board of Directors currently consists of five members.

Following a challenging year 2022 and a successful conclusion of its restructuring measures including change of strategy in 2023, beaconsmind Group has achieved breakeven EBITDA in the second half year of 2023. Under the new management team, beaconsmind Group has implemented a cost-cutting program of total CHF 1.4MM by leveraging its range of products and services and centralizing critical functions and operations in the second half year of 2023.

C. Financial situation

Summary

In the full year of 2023, beaconsmind AG embarked on comprehensive cost optimization initiatives and sought to leverage synergies at its headquarters in Stäfa and through its recent acquisitions, Frederix, Netopsie, and Socialwave. These strategic measures are set to manifest significant financial and operational benefits in the second half of 2023 and throughout 2024.

Part of the overarching group strategy involved targeted efforts to capitalize on synergies and boost efficiency. This included reducing staff at the headquarters level while concurrently bolstering expertise by expanding specialist roles. Both the marketing and international sales functions were restructured to operate as unified entities, enhancing efficiency and solidifying market positioning.

Moreover, the software divisions of Frederix, Socialwave, and the beaconsmind Suite were amalgamated to promote operational efficiency and a cohesive product development strategy. The Dubai office underwent a realignment focused exclusively on the international promotion of the group's new products, thereby reinforcing our global presence and potential for international growth.

These measures are foundational for a robust standing in 2024, positioning the company for sustained growth. Through these strategic moves, beaconsmind AG ensures optimal readiness to build on current successes and seize forthcoming opportunities in the rapidly evolving digital landscape.

With the new management change, the Group has announced a cost-cutting programme of total CHF 1.0MM that has been fully implemented through centralizing its range of products and services, critical functions and operations and should be fully reflected in 2024ff. financials

Earnings position

In the full year of 2023, beaconsmind Group achieved revenues of CHF 6.2 million (compared to CHF 1.6 million in 2022). The revenues are primarily attributed to the latest acquisitions of Socialwave, Frederix, Netopsie. The group posted an adjusted EBITDA of -0.4 million for the reporting period (compared to -4.6 million in 2022). On an EBITDA level, Socialwave made the largest EBITDA contribution within the Group. Adjusted second half year EBITDA amounted to CHF 135K vs. previous 2H 2022 of CHF -3.2MM, confirming achieved breakeven in the second half of last year.

Balance Sheet

Net assets as of 31 December 2023 stood at CHF 7.1MM which marks an increase of 5.1MM compared to the period ending in December 2022. The increase is a result of the recent M&A activity at the Group level resulting in the acquisitions of Socialwave, Frederix and Netopsie. The Group posted a cash position of 0.8MM as of 31 December 2023, which is an increase of 0.2MM compared to last year. Trade receivables increased to 2.7MM (CHF 0.2 MM, December-22) driven by new client demand from new subsidiaries.

A total of CHF 5.8MM equity was raised in the first half year of 2023, thereof CHF 3.3MM cash capital increase and CHF 2.5MM capital increase in kind. Total equity of CHF 10.5MM has been raised in 2023 including the cash capital increase and the newly issued capital increase in kind to the sellers of T2 and Kadsoft raised in Q4 2023.

On the liability side, borrowing stood at CHF 6.4MM coming from additional shareholder loans as well as term loan from Socialwave.

Capital reserves as of December 2023 stood at CHF 26.9MM (CHF 16.5MM December-22). The total equity position increased from CHF 2.0MM (December-22) to 7.1MM driven by consolidation of the new acquisitions.

D. Opportunities, Risks and Outlook

Opportunities

beaconsming beaconsmind's Layers of Growth beaconsmind Group to grow via multiple layers of growth incl. organic, internationalisation and new vertical expansion growth
Layers of Growth
			Up- and Cross-Sell/ New Products
			Internationalization
			Vertical Expansion/ Acquisitions
			beaconsmind Group: Organic Growth
beaconsmind Group: Organic Growth	=) Vertical Expansion/ Acquisitions	(III Internationalisation	IV Up- and Cross-Sell/ New Products
Conservative and stable growth within the customer with high single digits expected organic growth over the upcoming years Internationalisation strategy in place to further expand customer base Product development (Digital Experience Group)	Vertical expansion via across multiple layers: POS Expansion Hotspot Expansion Infrastructure Expansion · DXP Further extensions possible in the universe of the beaconsmind Group	Currently beaconsmind Group has a dominant focus in the German and European market Further internationalization expected with growth in new regions/countries like Middle East (especially Saudi Arabia, UAE), Asia and Spain	Cross-selling and up-selling of newly acquired products across the review database Accelerate growth on existing customer base by leveraging existing customer relationships

I. Beaconsmind Group: Organic Growth

beaconsmind Group is expected to grow via multiple layers of growth including organic, internationalization and new vertical expansion growth. Conservative and stable organic growth within the customer base with high single digits is expected over the upcoming years. beaconsmind Group has announced several major new and existing upselling clients wins over the last 6 months. beaconsmind Group has delivered and installed new projection technology for the stage at the Semperoper Dresden with a projected revenue of EUR 200,000. Moreover, Müller also implemented beaconsmind CloudWiFi solutions in 770+ supermarkets in the DACH region and Spain. The expected revenue if around EUR 130,000 with additional rollouts in Hungary, Croatia and Slovenia. beaconsmind Group also wins ECE Group, a major shopping center operator, as a new customer with around EUR 500,000 project revenue with potential 200 more rollouts worldwide.

II. Vertical Expansion / Acquisitions

beaconsmind Group further expands its vertical across multiple layers through acquisitions, including POS expansion, Hotspots Expansion, and Infrastructure expansion. beaconsmind Group recently announced that three technology leaders in their respective fields, at-visions, Lokalee and beaconsmind Group have formed a

strategic sales and technology cooperation with a focus on the technology value chain for the broader hospitality and retail segments. The partnership will further extend and enhance the customer journey offering a full technology value chain including AI-based customized guest-facing technology to boost guest experience while providing an integrated hardware and software solution through both at-visions and beaconsmind Group's product range. Moving forward, beaconsmind Group plans to further explore accretive acquisition opportunities, as well as delve deeper into the value chain and focus on multiple layers of growth including organic growth through its nascent businesses and harvesting cross selling the entire product offering across all existing customers, further internationalization and accretive acquisitions.

III. Internationalization through Dubai and Spain Franchise Enabler

The institutionalization of the Dubai and Spain franchise enabler is a pivotal development in the Group's internationalization strategy. This initiative is particularly significant for recent acquisitions like Frederix and Socialwave, which until now, haven't had a presence in the Middle East region. The establishment in Dubai presents enormous opportunities for growth, allowing these entities to tap into a vibrant, burgeoning market. This move not only diversifies their market reach but also creates a conduit for the introduction of our comprehensive suite of services to a new, high-potential customer base. The strategic positioning in Dubai serves as a linchpin for the Group's expansion efforts, providing a gateway to untapped markets and a multitude of growth opportunities in the region and beyond. Growing demand for innovative social media strategies in Spain, particularly in the hospitality and gastronomy sectors, also motivates the expansion of beaconsmind Group in Spain. Annual revenue of EUR 600,000 is expected in Spain and rollouts and upselling of existing clients, e.g. Müller, are planned.

IV. Up- and Cross-sell/New Products

Our strategic approach to lead generation leverages the existing business framework, significantly bolstered by the recent acquisitions of Socialwave and Frederix. These new additions have brought thousands of new customers into the Group, vastly expanding our market reach and potential for customer engagement. This influx of clients provides a fertile ground for cross-selling and up-selling opportunities, allowing us to present a broader range of our now-enhanced service portfolio. By effectively engaging these new and existing customers, we're set to boost customer retention, maximize revenue from each client, and drive sustainable growth. For existing clients, like "CAFE GRAY" and "Vitanas", they both implemented newly integrated beaconsmind CloudWiFi solutions enabling additional functionalities. Around 1.0MM additional cross-selling project revenue is expected through these two clients.

V. Streamlined Solutions and Comprehensive Customer Journeys

The debut of our new Whitelabel-App and the consolidation of our software systems represent a transformative stride in enhancing the customer experience. These advancements are designed to drastically improve onboarding times and provide a seamless, integrated platform for our users. Our unified software environment addresses a broad customer journey, ensuring that every touchpoint is intuitive, consistent, and value-driven.

This strategic amalgamation of technology enables us to offer a more comprehensive, endto-end customer journey. It allows clients to navigate through our ecosystem, from initial onboarding to advanced utilization, with ease and efficiency. By catering to a wide spectrum of customer needs and touchpoints, we are positioned to deepen client engagement, foster loyalty, and drive sustainable growth through repeat business and referrals. The breadth and depth of the customer journey we now address underscore our commitment to delivering not just products, but complete solutions that resonate with and create value for our clients.

Risks

Effective Integration of Acquisitions and Internal Processes

The seamless integration of new add-on acquisitions and the expedited advancement of internal processes are pivotal to unleashing anticipated synergies and maintaining operational coherence. The complexity of merging new entities into our existing structure presents considerable challenges, from aligning corporate cultures to integrating operational systems and processes. Swift and strategic integration is essential to prevent disruption, maximize the potential of our expanded capabilities, and deliver on the promise of these investments. Any delay or inefficiency not only hinders our immediate performance but also poses long-term risks to innovation and market responsiveness, potentially ceding advantages to competitors. By recognizing these risks, we underscore the necessity for a structured, agile approach to our integration strategies, ensuring that we capture the full value of our acquisitions while sustaining momentum in our ongoing operations.

Geopolitical Instabilities

The ongoing conflict in Ukraine and the resulting instability in the market, especially in Europe, pose significant risks. This volatile environment could affect supply chains, consumer confidence, and overall market stability, potentially impacting our operational efficiency and profit margins.

Speed of Digital Transformation

The pace of digital transformation is another significant risk factor, as delays can lead to a loss of competitive edge. It's crucial that we and our clients adapt swiftly to digital changes to capitalize on market opportunities and maintain relevance in a rapidly evolving digital landscape.

Economic Climate in Central Europe

Despite the current subdued economic atmosphere in Central Europe, our industry, particularly the IT sector, continues to witness robust investment trends. Sectors such as Retail, Healthcare, and Public Services are on the cusp of substantial digital transformation programs. This paradigm shift not only buffers us against broader economic headwinds but also heralds significant growth opportunities. The urgency for digitalization across these sectors is accelerating, driven by the need for efficiency, customer-centric solutions, and innovative service delivery. This climate presents us with a fertile landscape for expansion and the chance to position ourselves as integral partners in our clients' digital transformation journeys. By leveraging our expertise and solutions in these burgeoning areas, we foresee a future replete with possibilities, allowing us to thrive even amidst general economic uncertainties.

In accordance with its risk policy, beaconsmind AG only takes on risks that are unavoidable in the context of value creation, but which can be controlled. An internal control system (ICS) is established and in use in the company and is periodically adjusted based on the given dynamics. beaconsmind AG also regularly reviews its business objectives, processes, and control measures. Despite regular review and further development of risk management, risks cannot be completely excluded.

Outlook

Looking ahead, beaconsmind Group is strategically poised for a period of robust growth and innovation. Our focus will be on streamlining our core areas of growth, seamlessly integrating our product offerings into a comprehensive portfolio, and unlocking cost efficiencies through the centralization of key group functions. The recent acquisitions of Frederix, Netopsie, Socialwave, T2 and Kadsoft have notably broadened our business scope within the Wi-Fi Hotspot vertical, enabling us to provide our customers with a richer array of cutting-edge solutions from a unified platform, thereby propelling our ongoing growth trajectory.

As we advance, we are optimistic about the fiscal landscape that lies before us. This progression is not just about hitting financial milestones; it's about solidifying our profitability as a bedrock for sustained growth into FY 2024 and beyond. Current run rate figures that will be visible for 2024 financials are around CHF 12.9MM and EBITDA of CHF 2.5MM on a Group level.

Our vision extends further than organic growth; we are actively scanning the horizon for lucrative acquisition opportunities that align with our mission and enhance our value proposition. Additionally, we are committed to deepening our involvement across the value chain, ensuring we remain pivotal in the digital transformation narratives of businesses in various sectors.

In essence, the road ahead for beaconsmind Group is one of expansion, innovation, and unwavering commitment to delivering unparalleled value to our customers, stakeholders, and the broader market.

Stäfa, 03 September 2024

The Board of Directors

Additional Information

Disclaimer

This report contains forward-looking statements based on the current assessments and forecasts of the board of directors, as well as the currently available market information. These forward-looking statements should not be interpreted as guarantees of expected developments and results.

Instead, future developments and results are subject to a variety of risks and uncertainties and are based on assumptions that may prove to be incorrect. We do not undertake any obligation to update these forward-looking statements.

Neither the company nor any of its affiliated entities shall be liable for losses arising directly or indirectly from the use of this report.

Mathematical Roundings

Percentage figures and numbers in the tables, graphics, and text of this report may contain rounding differences for computational reasons.

Copyright:

© 2024 beaconsmind Group AG, Stäfa

Impressum

beaconsmind Group AG Seestrasse 3 8712 Stäfa (Zurich) Switzerland

Telefon: +41 44 / 380 73 73

E-Mail: press@beaconsmind.com

Website: www.beaconsmind.com

Board of Directors:

Jonathan Sauppe (CEO / Chairman), Michael Ambros, Martin Niederberger, Andreas Wyss, Christian Legros