NEXT Biometrics Group ASA

Investor Presentation • Aug 20, 2025

Q2 Presentation

Aug ust 20, 2025

NEX T BI OM ET RI CS GR OU P ASA

Disclaimer

This presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements 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 NEXT Biometrics Group ASA (NEXT Biometrics) and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for the NEXT Biometrics businesses, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time.

Although NEXT Biometrics believes that its expectations and the information in this presentation were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this presentation. NEXT Biometrics Group ASA nor any other company within the NEXT Biometrics Group ASA is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the presentation, and neither NEXT Biometrics Group ASA, any other company within the NEXT Biometrics Group ASA nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in this presentation. NEXT Biometrics Group ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in this presentation.

Today's speakers

Ulf Ritsvall

CEO, NEXT Biometrics

Eirik Underthun

CFO, NEXT Biometrics

Agenda

• 1) Highlights
• 2) Q2 Financials
• 3) Business, market and product updates
• 4) Outlook
• 5) Q&A

Highlights Q2 2025

Restatement of historic revenues and OPEX for Q2 2025 and 2024, ensuring full compliance and accuracy

Q2 adjusted revenues at NOK 4.3 million (down from NOK 18.3 million in Q2 2024)

Adjusted Gross Margin of 39% (down from 57% in Q2 2024)

Successfully launched to market: The NEXT Granite, a FAP30-sized sensor and the NEXT Basalt L1 Slim, a FAP 20-sized sensor

6 new design wins within Government ID and Access Control

Immediately after Q2 close:

IAM order for Oyster III of NOK 2.5m Breakthrough Order, first FAP30 mass production order

Q2 Financials

Q2 2025 financial summary

• 1) COGS and gross margin adjusted for inventory write-downs and non-recurring gains
• 2) OPEX and EBITDA excluding share based renumeration, options social security cost, inventory write-downs and sales & marketing incentive fee

NOK million	Q2 2025	Q2 2024
Revenues	(2.2)	18.3
Adjusted revenues	4.3	18.3
COGS1)	(2.6)	(8.0)
Gross profit margin1)	1.7	10.4
Gross profit margin %1)	39%	57%
Adjusted OPEX2)	(15.9)	(17.0)
EBITDA	(18.6)	(4.9)
Adjusted EBITDA2)	(14.2)	(6.7)

Profit and loss Revenues

– Adjusted revenues at NOK 4.3 million vs. NOK 18.3 m in Q2 2024

• Reported revenues was NOK -2.2 m

Gross margin

– Adjusted Gross margin1) of 39% vs. 57% in Q2 2024

Operating expenses

– Adjusted OPEX of NOK 15.9 m vs. NOK 17.0 m in Q2 2024

EBITDA

– Adjusted EBITDA2) of NOK -14.2 m relative to NOK -6.7 m in Q2 2024

Cash and cash flow

– Cash of NOK 22.1 m end of Q2 2025 versus NOK 39.9 m at end of Q1 2025 – Negative operational cash flow due to lower than expected revenues and

• operating losses
• further in Q3/Q4

– Q2 cash flow from collections of A/R increased; expected to increase

Slowness in China and the market pause in India still impacting quarterly

revenues Multiple one-offs impacting quarterly results Expected to be resolved Q3 2025

Explanation Q2 reported revenues and 2024 restatement

Adjustments to revenues and other OPEX

NEXT granted NOK 4.8 million in discounts on China-ID products due to changing market conditions and competitor pricing. The discounts are expected to accelerate sales in China already in the coming 6 months, as well as reducing inventory with distributors.

NEXT's proactive A/R collection efforts have uncovered irregularities relating to sales to selected distributors in China. This was out of NEXT control. As a result, a NOK 1.7 million reversal in revenues was booked in the quarter while NOK 12.6 million was booked as a revenue restatement in 2024. Importantly, we plan to swiftly deliver the products to new

• This sets NEXT up for additional order in Q3 and Q4.
• or existing customers, some as early as this quarter.
• restatement in 2024.

Simultaneously, NEXT booked a cost reversal (gain) in other OPEX of NOK 3.7 million relating to sales and marketing incentive fees in Q2 2024 and NOK 3.7 million as a

NOK million	Q2 2025
Adjusted revenues	4.3
Extraordinary discount relating to China-ID products	(4.8)
Reversal of revenues related to distributors in China	(1.7)
Reported revenues	(2.2)

NOK million	2024
Reported revenues in annual report	71.6
Reversal of revenues related to distributors in China	(12.6)
Restated revenues 2024	59.0

We expect the impact of these unique, stand-alone events to be resolved in Q3/Q4, our revenue pipeline remains healthy and we have implemented further measures to tighten compliance and cash collection.

Business, market and product updates

Status & Key Priorities

Products Developed and actively marketed:

Oyster III, FAP 10, FAP 20 and FAP 30 products, as well as face recognition and TouchPads solutions

MoUs/DWs with Key Customers: ACPL, "additional OEM India", Commlink, POS customers, FAP 30 customers, other DWs (total 76)

Certifications:

• India completed
• Asia/Africa (MOSIP1)) completed
• US certifications (PIV/FBI/GSA) completed
• China certificate completed
• Nigeria (NIBSS) completed
• Pakistan and Malaysia completed
• Bangladesh in process

Progress on Products

NEXT Granite (FAP30) product

• Granite (FAP30) products serve different markets / use cases – This expands our portfolio and is not a replacement for NEXT Basalt (FAP 20)

• FAP30 comes with an impressive results
• Large-sized image with phenomenal quality
• Early samples have already passed Customer's gating criteria

Opens new market segments

• Addressing market segments with higher security requirements
• Attractive for high-end markets such as the Government ID and Healthcare
• High market potential in Africa, USA and South America

Progress on FAP30

NEXT Basalt L1 Slim (FAP20) product

• Combining our proven Basalt sensor with a MCU, creating a slim and powerful biometric module that simplifies and speeds up integration
• The slim formfactor offered as a 'one board' solution is perfect for point of sales customers as they require a smaller foot-print for their devices

Breakthrough Order FAP30

• Secured first mass production order for NEXT Granite, FAP30 confirming product value proposition and market demand
• Partner planning two new high-demand devices:
  • FAP30 wired fingerprint reader
  • FAP30 Bluetooth fingerprint reader
• Order value: NOK 3.2m, deliveries expected Q4 2025, adding clear revenue visibility and growth momentum
• This is an existing NEXT partner that signed FAP30 MoU in December 2024 (already announced)

Breakthrough Order in Identity & Access Management

• Secured first major order for IAM solutions1) , covering deployments in US and EU
• A leading global IAM player with 40 million deployed users/licenses
• Initial purchase order of NOK 2.5 million with deliveries starting in Q3 20252)
• Expected annual sales of NOK 2.5–5 million, providing strong recurring revenue potential

1) Identity & Access Management

2) Announced as NEXT news on 1 August

Short term expectations

• Release cash from working capital; complete customer projects, solve and ramp up end-customer deliveries from distributors
• Normal quarterly revenues to be in place in the second half following ramp up in India and China restart
• Revenue pipeline still in place enabling long-term potential from:
  • Recurring revenues
  • Yearly and irregular revenues
  • Tenders and one-time revenues

• NEXT organic growth strategy: Growth from current products and from developing new products in existing new markets in Asia and in the rest of the world
• NEXT inorganic growth strategy : Considering consolidate market and further accelerate growth

NEXT long-term growth strategy

"NEXT is uniquely positioned in the Governmental ID and high-end fingerprint sensor market with a product portfolio in key markets. We have a resilient team determined to deliver, and while we have work to do, we are building a stronger, smarter, and more focused company for the future.

By acting as a biometrics solutions consolidator, we can enhance our market position, expand our offering and unlock new revenue streams to benefit our customers and shareholders. The overall aim is to build a leading biometric solutions provider that is the go-to partner for OEMs and large customer projects."

Ulf Ritsvall, CEO NEXT Biometrics

Growth Outlook & Revenue Drivers

• Three revenue streams driving growth; reaching close to NOK 50m per quarter during 2026
  • Recurring quarterly revenues predictable, scalable; NOK 25 – 30 million expected once fully ramped by Q4 2025/Q1 2026
  • Design-win revenue less regular but expanding customer base; e.g., NOK 2.5 million US IAM contract
  • Large tenders / one-time revenue NOK 10 100 million projects in governmental ID sector
• Market readiness
  • Full operational momentum by late 2025 / early 2026

Closing thought

Ulf Ritsvall CEO, NEXT Biometrics "While we remain mindful of short-term year with confidence and optimism.

• challenges, we are entering the second half of the
• With an expanded product portfolio, growing partner network, and exciting innovations underway, NEXT is well-positioned for sustained

growth."

nextbiometrics.com