SpectrumOne AB — Interim / Quarterly Report 2019

Oct 29, 2019

Interim report July - September 2019

Interim report July - September 2019

Third quarter

· Net sales amounted to MSEK 2.5 (3.2)

· EBITDA amounted to MSEK -5.6 (-7.4)

· EBT amounted to MSEK -10.7 (-10.4)

· Earnings per share before dilutions amounted to SEK -0.08 (-0.23)

· Hosni Teque-Omeirat appointed as new CEO

First nine months

· Net sales amounted to MSEK 8.8 (16.8)

· EBITDA amounted to MSEK -22.0 (-15.7)

· EBT amounted to MSEK -37.7 (-27.2)

· Earnings per share before dilutions amounted to SEK -0.30 (-0.58)

Significant events after the reporting period

· Divestment of legacy business and established the new Norwegian subsidiary

SpectrumOne AS

CEO statement

ONE

When entering the last quarter of the year, TargetEveryone is now ONE company.

During my first months as new CEO of TargetEveryone, we successfully divested

our legacy business as the first step to create a company with the ability to

grow fast. We now have a company with one focus towards high-potential revenue

streams combined with further cost cuts that makes the road to positive cash

flow much shorter. We get frequent updates from the market that reminds us of

how great the potential of our great product is, and I now look forward to a

period of onboarding customers and building sustainable revenue!

One focus

The divestment of our legacy business has made a huge positive impact on our

ability to accelerate the SpectrumOne sales. Even though we tried to direct our

full attention towards SpectrumOne, it quickly became clear to me that the

legacy business was to resource intensive. If we should be able to commercialize

SpectrumOne fast, we needed to have one focus. Fortunately, we came out with a

great solution where our legacy customers will be taken care of by a new

provider with their needs as core competence. This was very important to me, as

my passion is sales and I always put the customers first.

The combination of the two brands TargetEveryone and SpectrumOne has also been

confusing to the market and our potential customers. Our new Norwegian company,

SpectrumOne AS, now carries the same name as our product, and we are now in the

process of changing the name in Sweden.

Our organization now contains only highly skilled co-workers that have one focus

- to sell SpectrumOne and make sure that new clients will get a great experience

and significantly better knowledge about their markets and customers.

Positive cash flow is closer

Another positive consequence of our divestment is that we have been able to

reduce our costs even further, as the complexity of our daily operations has

decreased. We entered this year with an unacceptable cost level at approximately

MSEK 4 per month. We will now enter next year with an ordinary fixed cost level

that is reduced by almost 60 %.

Being a significant shareholder myself, it is my clear opinion that our company

needs to reach positive cash flow as soon as possible. These cost cuts have been

vital steps towards this goal. Since the clear majority of the cost cuts has

been a consequence of reduced effort towards legacy business, our ability to

deliver on SpectrumOne customers is intact.

Market tailwind

The Martech market is worth over Euro 125 billions and is growing by over 30%

annually and SpectrumOne is perfectly positioned to take advantage of this

development. With a transition from transactional sales to solution sales, we

will enable ourselves to be a market leader in the Nordic market and an obvious

player in the international arena. With these goals in mind, we have also

adapted our business model to better suit our customers and created a partner

program. The new business model is much more appetizing for our customers and

our partner program ensures that we can accelerate our sales in a way we could

never have done on our own.

I look forward to coming quarters where we can report larger customers, bigger

deals and better profitability, hence making positive cash-flow possible.

Stockholm,

October 2019

Hosni Teque-Omeirat

CEO

The interim report is available

at https://www.targeteveryone.com/investors/financial

-reports.php?lang=en&type=ann

For further information contact:

Fredric Forsman

Chairman of the Board

+46 73 978 78 44

fredric@targeteveryone.com

Certified Adviser:

Mangold Fondkommission AB (556585-1267)

Box 55 691 102 15 Stockholm

Telefon: +46 8 503 015 50

ca@mangold.se

www.mangold.se

TargetEveryone AB (publ) is obligated to publish this information under the EU

Market Abuse Regulation. The information was provided by the above contact

person's auspices, for publication on October 29, 2019 at 11.30 a.m. CET.

About TargetEveryone

TargetEveryone is a MARTECH company, enabling our clients to streamline their 1

-1 digital marketing, content and experiences within one SaaS online

platform. Our unique solution makes marketeers able to easily target exactly the

customers they want, and communicate with them in the channels they prefer, to

maximize ROI. Our clients can easily segment their customers based on CRM data,

market data and transactional data. Further, they can use a campaign editor to

quickly build campaigns, and distribute these through our multichannel

distribution system either by Email, SMS or SMS landing pages. TargetEveryone´s

headquarter is in Oslo, with branch offices in Sweden, Holland and USA.

TargetEveryone is listed on Nasdaq First North Growth Market in Stockholm and

Merkur Market in Oslo.

www.targeteveryone.com / www.spectrumone.com