Goodtech

Earnings Release • May 9, 2025

Strong quarter for Goodtech’s core business - well positioned for margin growth

Strong quarter for Goodtech’s core business - well positioned for margin growth

Goodtech’s continuing business delivered a solid first quarter, driven by robust performance in its Norwegian operations and strategic focus on its core business. During the quarter, Goodtech completed its exit from non-core business in Sweden and Finland, with a sharpened focus and is now well positioned to drive margin growth.

Continuing operations

Net operating revenue after external project costs reached 136.8 MNOK, up from 120.3 MNOK (+14%) in Q1 2024. EBITDA ended at 15.2 MNOK, up from 11.9 MNOK in the same quarter last year, reflecting improved staff utilization and operational efficiency. EBIT increased by 45% relative to Q1 2024, ending at 9.0 MNOK.

The headcount increased from 291 to 307 employees from the corresponding quarter last year, with consequently higher personnel costs. Other operating expenses increased to 19.8 MNOK (from 14.5 MNOK), partly due to losses on receivables linked to the discontinued business in Sweden.

Order backlog grew by 23% year-on-year, reaching 340 MNOK at the end of the quarter, signaling sustained strong demand for Goodtech’s solutions. The company’s capital structure remains robust, with an equity ratio of 51% and cash and cash equivalents totaling 95.5 MNOK.

Discontinued operations

The sale and subsequent insolvency of Goodtech Solutions AB in Sweden resulted in total recorded losses of 4.4 MNOK under discontinued operations.

The Finnish subsidiary Axges AB on Åland was declared insolvent on March 31, 2025. The insolvency led to additional losses of 4.5 MNOK, also recorded under discontinued operations.

CEO Margrethe Hauge comments:

«Our core business in Norway delivered strong returns this quarter, with an EBITDA margin exceeding 11%. By streamlining our operations and focusing on our core strengths, we have entered a new chapter for Goodtech - one that is centered on profitable growth and value creation. We are confident that this stronger, more focused business will enable us to deliver continued margin improvements.”

The quarterly report for Q1 2025 is attached to this press release.

See also the company's results for Q1 2025 in our webcast - https://youtu.be/Lwr4cJCgLmI

For more information, please contact CEO Margrethe Hauge or CFO Anders Engelsen:

Margrethe Hauge

CEO, Goodtech ASA

Tlf.: +47 95 79 69 20

E-post: margrethe.hauge@goodtech.no

Anders Engelsen

CFO, Goodtech ASA

Tlf.: +47 93 20 79 01

E-post: anders.engelsen@goodtech.no