StrongPoint — Investor Presentation 2019

Feb 28, 2019

4th quarter 2018

CEO Jacob Tveraabak CFO Hilde Horn Gilen | VP Anders Nilsen

February 28, 2018

Agenda

• Intro
• Highlights Q4 2018
• Key figures
• Q&A

Mission

"Driving retailers productivity by providing innovative integrated technology solutions"

Strong market fundamentals for retail technology

Double opportunity for StrongPoint

• 1. E-commerce: most of our clients want to grow within e-commerce
• 1. In-store: all of our clients need to improve store operations productivity

Retail Technology is a vital part of the solution for retail companies to grow in e-commerce and to improve in-store productivity

Own Technologies

AMBIENT		CHILLED		FROZEN
			10	13	16
$\overline{2}$	5	8	11	14	17
3	6	9	12	15	18

Key focus areas

• 1. Maintain and grow relevance with retailers in Home Markets (Norway, Sweden, Baltics)
• 2. Significantly grow presence with retailers in Spain to mirror Home Market penetration
• 3. Grow e-commerce into a substantial portion of StrongPoint's business

… and be the best owner and employer for all businesses under the StrongPoint-umbrella

Highlights Q4 2018

Highlights Q4 2018

Solid quarterly financials

Significant customer wins

Delivering on improvement initiatives

Proposing increased dividends

Solid quarterly financials: 19% revenue growth vs. last Q4

Revenue MNOK

Solid quarterly financials: slight growth in EBITDA vs. last Q4

EBITDA MNOK

Solid quarterly financials: 13% growth in recurring revenue

Aftermarket revenue, 12 trailing months* MNOK

* Aftermarket revenue consists of service revenue and license fees, and installation income. 12 trailing month recurring, ending Q4 every year

online retailer Barbora in Lithuania • Live pilot at Axfood Snabbgross for StrongPoint Cub's

• Installation of two Click & Collect pickup stations to

• "pick by light" solution
• Contract win of 1.200 CIT cases to one of Europe's leading CIT companies

Delivering on improvement initiatives: optimizing costs and focusing efforts 3

• Delivering MNOK 30 per year cost savings as of January 2019 Q4, 2018
• Number of employees reduced by 32, from 570 end Q3 to 538 end Q4
• Reduced consultancy spend and SG&A
• Enhancing our sales efforts
  • Growing E-commerce: Push for Cub solutions sales and follow-up of C&C pilots
  • Road runners:
  • Exceptional growth in Cash Management solutions in Spain: doubling unit sales in Q4 vs. prior year
• Q1, 2019 Initializing "RoadRunner" concept in Germany
• Partners: converting our own retail office in Russia to partner offices
• Focus on M&A and Strategic Partnerships
  • Hilde Horn Gilen assuming the position as CFO as per February 18, 2019
  • MOU with Harting Systems for sale and development of self-checkout solutions in Germany
• Strengthening our organization
  • Erik Vaag hired as SVP People & Organization Development. Starting June 17, 2019
  • Peakon, a world-class Employee Engagement Tool, launched in February to develop and retain human resources

4 Proposing increased dividends for 2018

Key Figures

Revenue Q4

Revenue Q4 2017-2018 MNOK

Revenue Q4 2017-2018 MNOK

Revenue full year 2018

Revenue YTD 2017-2018 MNOK

EBITDA Q4

EBITDA Q4 2017-2018 MNOK

EBITDA Q4 2017-2018 MNOK

EBITDA full year 2018

EBITDA 2017-2018 MNOK

EBITDA 2017-2018 MNOK

Balance Sheet

CashFlow 2018 MNOK

Investor Relations

Main communication channels

• Reports, webcasts, etc. under "Investor" tab
• News articles under "News" tab
• Newsletters and Social Media

Financial calendar 2019

• Q1 26.04
• Q2 16.07
• Q3 31.10

IR-contact: CFO Hilde Horn Gilen

Jacob Tveraabak CEO

Hilde Horn Gilen CFO

Anders Nilsen VP IT, Accounting and Controlling

Thank you!