Goodtech

Earnings Release • Feb 23, 2023

Margrethe Hauge CEO

Øyvind Osjord CFO

Webcast Q4 2022

Summary

1	Finance	Progress in the quarter for the Group's continued operations EBITDA margins increased throughout the quarter both compared to the same quarter in 2021, and Q1-Q3 in 2022. Revenue in the quarter is impacted by a re-classification of the business activity sold on Åland according to IFRS 5		4,1 MNOK Q4 2022 EBITDA	22,4 MNOK 2022 EBITDA
2	Market	Solid order backlog. Increase in order intake in Sweden, stable year-on-year growth in Norway The Group's continued operations in Sweden has since Q4 2021 increased the order backlog by 3.5x (37 MNOK). The corresponding order backlog in Norway ended the quarter at 221,9 MNOK.		308 MNOK Order backlog
3	Strategy	The strategic re-positioning continues In the quarter, Goodtech signed an agreement with NCC, where the organization in Åland is transferred to NCC. The transaction is in line with Goodtech's strategic plan to focus its core business within automation, robotization and digitalization. Remaining assets on Åland are held for sale		Focus on core business
4	Innovation	Innovation, digitalization and creative thinking Ongoing investments in innovative solutions continues as planned – expected to improve Goodtech's value proposition towards key customers. Goodtech's investments in our own WizX software, MES and industrial cyber security is part of the solution to ensure that the Nordic industry stays competitive		Continuing to enable competitive production in the Nordics
5	The People	Recruiting the best domain experts Goodtech is constantly looking for new talents, and we do appreciate that the company is seen as an attractive workplace. We strive to both attract, develop and retain new competencies and team members.		experts in the industry	Continuing to recruit the best domain

Interim Report Goodtech ASA Q4 2022 Contracts annouced in Q4 2022

Control and safety systems

Process automation and electrical infrastructure

«To us, Goodtech is an important partner in the investment at Herøya. The company is a leader in industrial robotisation, automation and digitalisation, all of which are important areas for our new establishment. Goodtech has a local presence here in Porsgrunn and can at the same time draw on expert expertise from the group's operations throughout the Nordics - which ensures good access to resources for future further development and support of our business»

- Sigve Sporstøl, CEO REEtec

Electro and automation

Concept development, engineering and project management

«TiZir looks forward to continuing a good and fruitful collaboration with Goodtech. Goodtech delivers services that are important to staying at the forefront of developments in our industry»

- Rune Dolmen, CEO TiZir Tyssedal

Semi-automatic assembly line

MES and control system

«Haldex is glad to be able to continue the long-term collaboration with Goodtech now also in new product segments which we have not collaborated on before. As a supplier they share our interest in high quality assurance and efficiency in both automation and higher-level systems. Throughout the year, they have also proven to be responsible and with a high level of support, which we value highly»

- Per-Olof Bjällstål, Director Global Manufacturing Engineering and Operation

Interim Report Goodtech ASA Q4 2022 Key financial figures*

Revenue | kNOK

EBITDA | kNOK

EBITDA margin

Highlights

3

2

Through 2022, revenue in the group's continuing operations grew by 10.3%

5,5 MNOK improvement in EBITDA compared to the same quarter in 2021

The group's continued operationsincreased its full-year EBITDA from NOK 10.9 million in 2021 to NOK 28.8 million in 2022 (+165%). This is a result of systematic improvements, as well as improved management and control in project execution

4

Interim Report Goodtech ASA Q4 2022 Sales and order backlog

Order backlog* | kNOK

Order intake | kNOK

Book-to-bill (order intake / revenue)

Høydepunkter Development in order book | Assets held for sale

• In 2021, the group made changes to its contract regime, which reduced the groups exposure to larger contracts.

Development in order book | Continued operations

• The group's Swedish operations have since Q4 2021 increased the order backlog by 3.5x (37.1 MNOK), and continued its improvement with a strong Q4 2022
• The Swedish market is expected to continue investing in automation in 2023, following a period of delayed investment decisions during the COVID pandemic
• The group's Norwegian operations, with activity in Oslo, Porsgrunn, Fredrikstad, Moss, Bergen, Førde, Trondheim, Nesna, Bodø and Mo i Rana, increased the order backlog by 8% from Q4 2021 to Q4 2022
• The order backlog in Norway is split between small and medium-sized automation and digitization projects – mostly formalized through framework agreements, consulting assignments and FEED studies, and larger fixed-price projects in partnership with industry players
• The group's order backlog is considered to represent a balanced mix of fixed price and frame agreement projects, spread across a broad range of customers and market segments in Nordic industry

2

1

Interim Report Goodtech ASA Q4 2022

Consolidated balance sheet (non-audited)

(NOK 1.000) Note		Q4 22	Q4 21
Fixed assets		17 324	47 275
Right of uses assets		46 318	47 404
Intangible assets		163 689	164 386
Investments in associated companies		2 308
Deferred tax asset		36 294	40 014
Total fixed assets		265 933	299 078
Inventory		23 987	9 059
Trade receivables		73 248	109 773
Other short-term receivables		11 571	10 481
Cash and cash equivalents		84 359	88 717
Total current assets		193 165	218 030
Assets held for sale		89 079	-
Total assets		548 178	517 109
Paid-in equity	10	484 536	482 935
Retained earnings		(224 635)	(222 717)
Non-controlling interest		-	1 522
Total shareholders equity	259 902	261 741
Non-interest-bearing long-term debt		548	2 758
Interest-bearing long-term debt		-	6 576
Long-term lease liabilities		35 496	36 898
Total long-term liabilities		36 044	46 232
Non-interest-bearing short-term debt		134 258	151 234
Interest-bearing short-term debt		13 681	44 351
Short-term lease liabilities		13 565	13 552
Total current liabilities	161 503	209 137
Total liabilities		197 548	255 369
Liabilities held for sale		90 729	-
Total equity and liabilities	548 178	517 109

Strategic re-positioning | What do we really mean? Interim Report Goodtech ASA Q4 2022

1	113 years of continuous adaptability	• We have continued to lead in our market segments through 4 industrial revolutions, and are now positioning for the fifth • Two years of adaptation and investment is behind us – positioned for growth within industrial automation, robotisation and digitalisation		Robots
2	Focusing Goodtech for tomorrow's digitized industry	• Recruitment and competency development within core business • A more suitable home for non-core business Clearer profile, branding and attractiveness •	Cyber security	Expertise in industrial efficiency - across the Nordic region	IOT
3	Investment in innovation and creativity	• The group's innovation process has resulted in new 5 strategic investment areas for tomorrow's digital industry • Significant investments in development and positioning are now to be implemented into new deliveries both in projects and the aftermarket	3D-modeling and VR	Local presence where the customer and the process is - cross-functional collaboration as a competitive	Simulation
4	Delivery capacity, partner relationship and total value for the customer	• Market-leading partnerships in the value chain • Local presence at all major industrial locations, international competence base • Increased focus on the total value for the customer – profitability, footprint, safety	Infrastructure and communication	advantage System întegration	Intelligent automation

Outlook

• Well positioned in a growing market within all segments of industrial digitalisation in the Nordics
• Continued strategic focus towards the core areas; robotisation, automation and digitalisation
• Strong order backlog and high activity in all regions of the group
• Ongoing investment processes in innovation and development continues as planned – expected to improve Goodtech's value proposition towards key customers