INVL Technology — Investor Presentation 2024

Sep 12, 2024

NRD Companies 2024 H1 in Review

NRD Companies is a global information technology and consulting group of companies, specializing in the governance and development of the economic digital infrastructure for Governments, Registries, Tax Administrations, Financial Institutions, Retailers and National Postal Services.

Headquartered in Norway, serve customers from Norway, Lithuania, Bangladesh, Uganda.

The Group employs more than 110 professionals and is controlled by INVL Technology UTIB.

Group Structure

Global Footprint NRD Companies implement products and projects

in more than 50 countries worldwide

Products & Services

NRD Companies Strategic Directions 2023 – 2025

• 1. Grow our business in strategic areas:
  • ^o e-Registries
  • ^o Government digital services
  • ^o Tax administration
  • ^o Finance
  • ^o Retail
• 1. Prove NRD Companies as trusted advisor and solutions provider in strategic industries
• 3. Empower customers to achieve sustainability goals by delivering innovative and dependable solutions
• 4. Proactively engage and advise customers through consultative selling
• 1. Grow our profitability by transitioning to repeatable solutions and recurring revenue streams
• 1. Develop culture to support organizational and personal growth

Recognized by the Industry

WSIS PRIZE 2023 CHAMPION

NRD Companies' solution, the "Online Business Registry System", developed for the Government of Belize and the Financial Services Commission, has been awarded as the "WSIS Prize 2023 Champion" by the WORLD SUMMIT ON THE INFORMATION SOCIETY (WSIS).

THE BEST SOLUTION FOR THE COUNTRY

WORLD SUMMIT AWARDS (WSA) awarded NRD Companies Solution, "Personal Income Tax Return Wizard", developed for the State Tax Inspectorate under the Ministry of Finance of the Republic of Lithuania as "The Best Solution for the Country" and "The Favourite of the Public".

THE BEST CONSULTING COMPANY

In 2021 NRD Companies was listed amongst the best Norway based Management Consulting Companies.

Recognized by the Industry

WSIS PRIZE 2024 CHAMPION

NRD Companies' project in Trinidad and Tobago, "Developers' Hub," was honored as a WSIS Champion 2024 in the Enabling Environment category, selected from 1,049 projects. This prestigious global award is a great indicator of how innovative and unique the Developers' Hub project is.

IDB Pr.A.I.S.E Award

The Developers' Hub, NRD Companies project in Trinidad and Tobago, received the Inter-American Development Bank's President's Award for Innovation and Service Excellence (Pr.A.I.S.E) in the Public Sector. This recognition underscores the significant impact and outstanding performance of the Developers' Hub.

Consulting Services

NRD Companies offers practical advisory and consulting services in the areas of digitalization of public services, business and civil registers, digital ID, e-signature, inclusion, skills, and transformation. We provide assessments, audits, roadmaps, and strategies to meet the needs of our clients and align with emerging trends.

Financial Results

NRD Companies key financial results, thous. Eur

Consolidated revenue

Thous. EUR	2020 H1	2021 H1	2022 H1	2023 H1	2024 H1
Revenue	3,847	3,342	3,139	6,222	5,015
EBITDA	420	204	(359)	567	589

Key profit (loss) items, thous. Eur

NRD Companies*		NRD AS**		NRD Systems**		Etronika**
	6 months of 2023	6 months of 2024	6 months of 2023	6 months of 2024	6 months of 2023	6 months of 2024	6 months of 2023	6 months of 2024
Revenue	6,222	5,015	4,039	3,297	1,610	1,776	1,839	1,825
Gross profit	2,482	2,493	1,481	1,505	534	497	867	828
EBITDA	567	589	236	28	67	144	191	466
EBIT	450	434	233	25	15	42	130	416
Net profit (loss)	394	333	230	(16)	(34)	2	124	405

* Unaudited consolidated results of NRD Companies are presented, which includes the results of the companies submitted and the results of NRD Companies.

** The standalone financial statements for 2023 of NRD Systems UAB, Etronika UAB are audited. The audit of standalone financial statements for 2023 of NRD Companies, NRD AS are in progress.

Key balance sheet items, thous. Eur

NRD Companies*			NRD AS**		NRD Systems**		Etronika**
	31-12-2023	30-06-2024	31-12-2023	30-06-2024	31-12-2023	30-06-2024	31-12-2023	30-06-2024
Tangible assets	643	619	3	8	283	305	357	307
Intangible assets	280	234	17	15	263	219	-	-
Other non-current assets	337	401	296	358	25	25	17	17
Current assets	5,273	5,760	3,911	4,007	1,809	1,488	1,790	1,418
of which cash	1,303	1,132	151	226	247	283	898	592
Total assets	6,533	7,014	4,227	4,388	2,380	2,037	2,164	1,742
Equity	2,017	2,391	826	889	279	281	1,083	888
Non-current liabilities	496	546	18	1	200	267	278	278
Of which financial debt	464	531	1	1	200	267	263	263
Current liabilities	4,020	4,077	3,383	3,498	1,901	1,489	803	576
of which financial debt	199	98	2	1	636	458	91	46
Total liabilities and equity	6,533	7,014	4,227	4,388	2,380	2,037	2,164	1,742

*Unaudited consolidated results of NRD Companies are presented, which includes the results of the companies submitted and the results of NRD Companies. **The standalone financial statements for 2023 of NRD Systems UAB, Etronika UAB are audited. The audit of standalone financial statements for 2023 of NRD Companies, NRD AS are in progress.

NRD Companies Revenue by Country

Thous. Eur	2023 H1	2024 H1	Change
Lithuania	2,151 (35%)	1,421 (28%)	(730)
Other countries	4,071 (65%)	3,594 (72%)	(477)
Total	6,222	5,015	(1,207)

NRD Companies Revenue by Sector

2022

Registers Government Tax administration Finance Retail

2023

• Registers
• Government
• Tax administration
• Finance
• Retail

2024 H1

Registers Government Tax administration Finance Retail

Major projects 2023

Major projects I

Zimbabwe Revenue Authority, Zimbabwe

Implementation #Fiscalization

NRD Companies is continuing to help Zimbabwe National Tax Autgority to modernize fiscalization infrastructure by developing and implementing of new Virtual Fiscalization solution - Fiscalization Data Management System, based on its proprietary platforms VFDMS. It will empower software-based fiscalization and real-time communication with the Tax authority. As a result, this which will help to increase tax income and combat tax evasions in the country.

Ministry of Finance, Economic Development, and Investment Belize

Implementation #CivilRegistrartion

NRD Companies is continuing to work with the Attorney General's Ministry and the Ministry of Finance, Economic Development, and Investment for creating and implementing a Digital Civil Registry System for the Vital Statistics Unit in Belize. The new registry system is envisioned to expedite and facilitate ease of access to

government services for the public.

Lao Ministry of Industry and Commerce Lao People's Democratic Republic

#VirtualFiscalization Implementation #Registries

#Implementation

NRD Companies is continuing Electronic Business Registration System (eBRS) development and implementation in Laos. It is a strategic country wide project. It will modernize and enhance Business Registration Services by offering fast, efficient, and convenient business registration processes while providing comprehensive information about registration procedures.

Major projects II

National Recovery Program Bureau, Sint Maarten

Consultancy #Egovernment

NRD Companies is continuing to provide Management Consultancy services and lead the Digital Government Transformation Project for National Recovery Program Bureau in Sint Maarten. The project aims to improve the accessibility, efficiency, and resilience of selected administrative public services for citizens and businesses.

#Consultany

The Ministry of Public Works and the Digital Economy Commonwealth of Dominica

Consultancy #eGovernment

The Ministry of Public Works and the Digital Economy of the Commonwealth of Dominica engaged NRD Companies to review and shape the policy, legislative, and regulatory aspects necessary for implementing the country's digital transformation vision and strategy. This project has now been successfully completed.

States Tax Inspectorate Lithuania

#VirtualFiscalization #Implementation Implementation #Tax

NRD Companies finished the creation and implementation of a subsystem for Smart Electronic Cash Registers (i.EKA) for the Tax Inspectorate of the Republic of Lithuania. This digital focalization solution will allow third party IT companies to successfully develop software that will allow smart mobile devices to replace traditional cash registers and will also allow data from the latter to be transferred to the Lithuania State Tax Inspectorate.

Major projects III

Central Project Management Agency Kenya

Feasibility Studies #PostalOffices

NRD Companies is continuing to conduct a feasibility study on enabling access to digital government services across Kenya via its postal offices. Key stakeholders, including the Ministry of ICT and the Postal Corporation of Kenya, are assessing the viability of this initiative. The study aims to provide insights, create a strategic roadmap, and identify funding needs, ultimately improving digital service access for citizens, particularly those with limited internet or digital literacy.

Revenue Services Lesotho Lesotho

Implementation #Taxes

NRD Companies is continuing cooperation with Revenue Services Lesotho (RSL) to implement an e-Invoicing and e-Filing solution to enhance VAT collection. Based on NRD Companies VFDMS software, the system will automate VAT return filings, speeding up submission, assessment, and refunds. Funded by the African Development Bank, the project includes advisory services such as legal framework review, recommendations for VAT Act changes, business process reengineering, and change management guidance.

The Ministry of Finance Trinidad and Tobago

#VirtualFiscalization #Implementation Implementation #DHUB

In 2023, NRD Companies completed the Developers' Hub (D'Hub) project in Trinidad and Tobago, in partnership with the Ministry of Digital Transformation and supported by the Inter-American Development Bank. The project aimed to drive digital innovation and expand the ICT sector, earning the IDB's President's Award for Innovation and Service Excellence and the WSIS Champion Award.

NRD Companies Brand Reputation And Awareness

D'Hub Recognized as a Global Champion

Developers' Hub project in Trinidad and Tobago, aims to promote digital innovation and economic growth.

• The project, implemented in collaboration with the Ministry of Digital Transformation of Trinidad & Tobago, was recognized as a Champion in the 2024 World Summit on the Information Society (WSIS) Awards.
• D'Hub stood out among over 1,000 submissions and 360 nominated projects,
• This underscores NRD Companies' role in advancing the United Nations' Sustainable Development Goals (SDGs) and contributing to global digital transformation.

Events I

• From April 14 to17, 2024, NRD Companies participated in World Summit Awards (WSA) Global Congress in Chile.
• On April 23, 2024, NRD Companies contributed to a free webinar titled "Navigating Compliance Standards: Strategies for Caribbean Nations in Response to FATF and EU Designations" organized by the Financial Services Commission (FSC) of Belize.
• NRD Companies attended the 47th International Association of Commercial Administrators (IACA) Conference in Detroit, Michigan, from May 19 to 23, 2024.
• From May 22 to 23, 2024, NRD Companies showcased at the E-Governance Conference 2024 in Tartu, Estonia.
• NRD Companies participated at the World Summit on the Information Society (WSIS) forum 2024 on March 27-31, 2024, representing Lithuanian business position at WSIS Roundtable discussion co-organized by Lithuania and Singapore "Small States towards meaningful connectivity: lessons learned & future perspective".

Events II

• On May 30, 2024, NRD Companies was invited by the Inter-American Development Bank (IDB) to participate at the "BID for the Americas" panel discussion in Madrid.
• From June 17 to 19, 2024, NRD Companies participated at EuroDIG European Dialogue on Internet Governance conference in Vilnius, Lithuania.
• NRD Companies attended the 21st International Anti-Corruption Conference, which took place in Vilnius, Lithuania from June 18 to 21, 2024.
• NRD Companies was part of the launch event for the new version of the Beneficial Ownership Data - BODS 0.4 on June 25, 2024.

www.nrdcompanies.com info@nrd.no