Tobii Dynavox

Quarterly Report • Apr 26, 2023

JANUARY – MARCH 2023

• ⚫ Revenue grew 36% to SEK 335 million (246). The organic growth was 15%.
• ⚫ Gross margin was 66% (64).
• ⚫ Operating profit totaled SEK 21 million (17), corresponding to an operating margin of 6.3% (7.0).
• ⚫ Cash flow after continuous investments was SEK 17 million (-28).
• ⚫ Basic and diluted earnings per share were SEK 0.07 (0.09).

SIGNIFICANT EVENTS DURING THE QUARTER

⚫ The subsidiary Acapela Group has launched my-own-voice 4 to simplify the creation of personalized AI-based synthetic voices.

SIGNIFICANT EVENTS AFTER THE END OF THE QUARTER

⚫ Tobii Dynavox Annual Report 2022 was published on April 13, 2023.

FINANCIAL OVERVIEW

SEK m (except for earnings per share)	Q1 2023	Q1 2022		Δ Δ Organic	Full year 2022
Revenue	335	246	36 %	15 %	1,216
Gross margin	66%	64%	4 %	-	65%
EBITDA	56	43	32 %	-	206
Operating profit/loss (EBIT)	21	17	24%	-24 %	82
EBIT margin	6.3%	7.0%	-9 %	-	6.8%
Net profit/loss for the period	7	10	-26 %	-	49
Earnings per share, (SEK)	0.07	0.09	-26 %	-	0.46
Earnings per share after dilution (SEK)	0.07	0.09	-26 %	-	0.46
Cash flow after continuous investments	17	-28	-	-	-26

Comments from the CEO

Sales continue to develop strongly. During the first quarter, which is seasonally our weakest quarter, we report continued good growth across the board, both in North America and in other markets. At the same time, our profitability is moving in the right direction as the negative effects on components and shipping are now behind us. We saw no significant residual COVID-19 effects during the quarter, either positive or negative. As of the second quarter, we face higher comparative revenue figures from the previous year, which may affect the organic growth rate. At the same time, variable costs are now at a normalized level. Overall, we are optimistic about both growth and profitability moving forward.

Sales growth, adjusted to local currency, amounted to 25 percent, which is historically very strong and well above our long-term targets. It was robust across all product and user groups. We saw particularly strong growth in diagnoses that affect younger people, such as autism – where our symbol communication solutions performed strongly. This trend was largely driven by our highly appreciated market-leading software TD Snap. Our customer offering is consistently competitive, especially through the product launches we carried out in the fall. At the same time, we continue to invest in product development to further strengthen our offering.

Gross margin climbed by two percentage points, to just over 66%; one important reason is that component and shipping costs have normalized. US Medicare's increase in the reimbursement level for our products by more than 9 percent will affect revenues gradually moving forward, with full impact expected later this year. In the first quarter last year, the pandemic continued to have an impact on costs through restrictions on activities such as recruitment, travel and customer meetings, while operations and their associated costs have now returned to normal levels.

We are very pleased with the way our acquisitions are developing. The innovations of last year's acquisition Acapela Group, which is active in synthetic voices, play a key role in the development of our customer offering. They have also had a significant impact on media, aimed at a wider audience. For example, the Voice of America TV channel highlighted Acapela's voice banking solution, my-own-voice, in a recent feature.

In North America, we have been relatively successful in managing the trend of people wanting to work from home more than before. We benefit from our business being characterized by a strong "why." Our employees are highly motivated because they make a real difference for users. This helps to create a strong sense of cohesion and corporate culture despite the physical distances. We also feel that it has gradually become easier to attract the right talent to our team, in part because of the attractiveness of our business, but also because of a tighter labor market in other industries.

In 2022, we dedicated considerable effort to putting in place the structures required for a standalone, listed company. This year, our main focus is on further developing and streamlining our operations to reach our users even better and thereby improve our ability to meet their communication needs. Educating the market about our potentially life-saving products is an important aspect and critical to deliver on our major growth and profitability opportunities. Gradually improved reimbursement systems are also important in the longer term. In Europe, we are now gradually seeing a growing understanding of the importance of assistive technology for users. We are convinced that this trend will continue.

Fredrik Ruben, CEO

Fredrik Ruben CEO, Tobii Dynavox

Comments on the Group's performance

JANUARY - MARCH

Revenue

Group revenue increased 36% to SEK 335 million (246). Organic sales grew by 15%.

The underlying organic growth, mainly adjusted for certain positive effects of delivery and logistics delays in the comparative quarter, is estimated to have amounted to approximately 19 percent. As in the previous quarter, there was good growth in North America and other markets, as well as in all product and user groups. Currency movements had a positive impact of 11% on revenue and acquisitions contributed 9%.

Performance

Consolidated gross profit amounted to SEK 223 million (158), corresponding to a gross margin of 66% (64). The margin benefited from economies of scale due to increased sales, some price adjustments and lower freight costs.

Operating profit totaled SEK 21 million (17) and the operating margin was 6.3% (7.0).

Operating expenses grew organically by 14%. The comparative period had lower than usual costs due to the effects of the pandemic on the level of activity relating to travel, events, conferences, etc. The cost trend was thus influenced by the normalization of the activity level following the lifting of pandemic restrictions. Comparable units were also affected by salary increases and continued staff reinforcements mainly in the sales and marketing organization.

Research and development expenses had a negative impact on operating profit of SEK 11 million for the quarter compared with the corresponding quarter last year, mainly related to normalization of development costs as well as even higher depreciation costs because of new product launches. Investments relate to the development of proprietary products, the majority of which involve software and voice technology.

Financial items amounted to SEK -9 million (-6) and mainly consisted of interest on external loans. Profit before tax was SEK 12 million (11).

Tax for the year amounted to SEK -5 million (-1) , of which SEK -0 (1) million related to deferred tax.

Profit for the period was SEK 7 million (10). Basic and diluted earnings per share were SEK 0,07 SEK (0,09).

Currency effects

Higher exchange rates, primarily USD/SEK, had a positive impact on revenue of SEK +28 million and on operating profit of SEK 4 million compared with the corresponding quarter last year.

Cash flow, liquidity and financial position

Cash flow from operating activities before changes in working capital amounted to SEK 44 million (36). Change in working capital amounted to SEK -0 million (-35).

Cash flow from investing activities amounted to SEK -26 million (-29), of which SEK -18 million (-19) was capitalization of R&D costs. Cash flow for the period was SEK -7 million (-32). During the quarter, an amortization of the credit facility of SEK 19 million was made.

At the end of the quarter, the Group had cash and cash equivalents of SEK 99 million (167). Consolidated net debt totaled SEK 505 million (440), including SEK 55 million (59) in IFRS 16 finance leases. Net debt in relation to the last twelve months EBITDA was 2.3.

In early October 2022, a new three-year financing agreement was signed with Swedbank. The credit facilities include the same financing framework as before, SEK 700 million, and are classified as social loans. This means that Tobii Dynavox qualifies as a company that con-tributes to the development of society through sustainable social initiatives. The total utilized part of the credit facility was SEK 553 million at the end of the period.

Organization

The number of employees converted to full-time equivalents at the period end was 582 (462).

REVENUE, SEK M, AND GROSS MARGIN, %

KEY PERFORMANCE MEASURES

SEK m	Q1 2023	Q1 2022	Full year 2022
Revenue	335	246	1 216
Revenue change:	36 %	19 %	40 %
- of which organic	15 %	9 %	16 %
- of which currency	11 %	10 %	18 %
- of which acquisitions	9 %	-	6 %
Gross margin	66 %	64 %	65 %
Operating profit/loss (EBIT)	21	17	82
EBIT change	24 %	-39 %	37 %
EBIT margin	6,3 %	7,0 %	6,8 %

REVENUE BY GEOGRAPHIC MARKET

SEK m	Q1 2023	Q1 2022	Full year 2022
Europe	64	43	207
North America	258	184	942
Other countries	14	20	67
Total revenue	335	246	1216

RESEARCH AND DEVELOPMENT

SEK m	Q1 2023	Q1 2022	Full year 2022
Total R&D expenditures	-33	-27	-136
Capitalization	18	19	79
Amortization	-22	-18	-81
R&D expenses in the income statement	-38	-26	-138

Group

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

SEK m	Note	Q1 2023	Q1 2022	Full year 2022
Revenues	8	335	246	1,216
Cost of goods and services sold		-113	-89	-428
Gross profit		223	158	788
Selling expenses		-127	-90	-451
Research- and development expenses		-38	-26	-138
Administrative expenses		-37	-26	-130
Other operating gains and losses		0	1	13
Operating profit/loss (EBIT)		21	17	82
Net financial items		-9	-6	-29
Profit/loss before tax (EBT)		12	11	54
Tax		-5	-1	-5
Net profit for the period		7	10	49
Other comprehensive income
Items that may be reclassified to net profit for the period:
Translation differences		0	2	19
Other comprehensive income for the period, net after tax		0	2	19
Total comprehensive income for the period		8	12	67
Earnings per share, SEK		0.07	0.09	0.46
Earnings per share, diluted, SEK		0.07	0.09	0.46
Net profit/loss for the period attributable to:
Parent Company's shareholders		7	10	49
Net profit/loss for the period		7	10	49
Total comprehensive income for the period attributable to:
Parent Company's shareholders		8	12	67
Total comprehensive income for the period		8	12	67

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

SEK m	Mar 31 2023	Mar 31 2022	Dec 31 2022
ASSETS
Non-current assets
Intangible fixed assets	671	575	674
Property, plant and equipment	37	29	37
Right-of-use assets	46	52	50
Dererred tax asset	58	53	59
Financial and other non-current assets	14	1	15
Total non-current assets	827	710	835
Current assets
Trade receivables	232	157	237
Inventories	72	92	88
Other current receivables	56	46	56
Cash and cash equivalents	99	167	107
Total current assets	460	462	488
TOTAL ASSETS	1,287	1,173	1,323
EQUITY AND LIABILITIES
Equity	219	152	211
Total equity	219	152	211
Non-current liabilities
Borrowings, non-current	501	-	521
Lease liabilities	37	44	40
Other non-current liabilities	125	108	126
Total non-current liabilities	663	152	687
Current liabilities
Borrowings, current	49	548	49
Lease liabilities	17	15	18
Other current liabilities	338	306	358
Total current liabilities	404	869	425
Total liabilities	1,068	1,020	1,112
TOTAL EQUITY AND LIABILITIES	1,287	1,173	1,323

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

	Attributable to Parent Company shareholders
SEK m	Share capital	Reserves	Retained earnings	Total equity
Opening balance, Jan 1, 2022	1	1	138	139
Comprehensive income for the period		2	10	12
Share based payments			1	1
Closing balance, Mar 31, 2022	1	3	149	152
Comprehensive income for the period		17	39	55
Share based payments			4	4
Acquisition of own shares			-1	-1
Closing balance, Dec 31, 2022	1	19	191	211
Opening balance, Jan 1, 2023	1	19	191	211
Comprehensive income for the period		0	7	8
Share based payments			1	1
Closing balance, Mar 31, 2023	1	20	199	219

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOW

SEK m	Q1 2023	Q1 2022	Full year 2022
Cash flow from operating activities
Profit before tax (EBT)	12	11	54
Depreciations and amortization	35	25	124
Other non cash items	-1	2	8
Taxes paid	-2	-3	-6
Cash flow before changes in working capital	44	36	179
Change in working capital	-0	-35	-83
Cash flow from operating activities	43	1	96
Investing activities
Investments in intangible assets	-20	-19	-87
Investments in tangible assets	-6	-10	-32
Continious investments	-26	-29	-122
Cash flow after continous investments	17	-28	-26
Aquisitions	-	-	-75
Cash flow from investing activities	-26	-29	-197
Financing activities
Proceeds from borrowings	-19	0	26
Repayment of lease liability	-5	-4	-16
Other financing activities	-0	-0	-7
Cash flow from financing activities	-24	-4	2
Cash flow for the period	-7	-32	-99
Cash and cash equivalents at the beginning of the period	107	197	197
Currency translation impact on cash and cash equivalents	-0	1	8
Cash and cash equivalents at the end of the period	99	167	107

Parent Company

The principal activity of the Group's Parent Company, Tobii Dynavox AB (publ), is research, development, and sales of computer software and computer-related hardware that helps individuals with various disabilities to live richer and more independent lives. The number of employees in the Parent Company is approximately 108.

Net sales for the Parent Company, Tobii Dynavox AB, for the period January 1 to March 31 2023 amounted to SEK 141 million (148) of which SEK 105 million (102) refers to sales to group companies and SEK 36 million (46) to external customers. Operating profit for the corresponding period was SEK -10 million (0). Investments in property, plant and equipment and intangible assets totaled SEK -18 million (-19) for the period. At the end of the period, the Parent Company had SEK 18 million (115) in cash and cash equivalents.

CONDENSED PARENT COMPANY INCOME STATEMENT

SEK m	Q1 2023	Q1 2022	Full year 2022
Revenues	141	148	582
Cost of goods and services sold	-65	-74	-289
Gross profit	76	74	293
Selling expenses	-18	-16	-84
Research- and development expenses	-34	-24	-123
Administrative expenses	-35	-36	-161
Other operating gains and losses	1	2	48
Operating profit/loss (EBIT)	-10	0	-26
Financial items	-9	-5	-9
Profit/loss before tax (EBT)	-19	-5	-36
Tax	-	-	7
Net profit/loss for the period	-19	-5	-29

CONDENSED PARENT COMPANY BALANCE SHEET

SEK m	Mar 31 2023	Mar 31 2022	Dec 31 2022
NON-CURRENT ASSETS
Intangible assets	379	454	397
Property, plant and equipment	7	6	7
Financial assets	280	149	281
Total non-current assets	665	610	685
CURRENT ASSETS
Inventories	24	29	28
Trade receivables	16	18	18
Receivables from Group companies	74	67	82
Other current assets	15	17	10
Cash and cash equivalents	18	115	23
Total current assets	147	246	161
TOTAL ASSETS	812	856	846
EQUITY AND LIABILITIES
Equity	106	145	124
Untaxed reserves	1	0	1
NON-CURRENT LIABILITIES
Borrowings, non-current	501	-	521
Liabilities to Group companies, non- current	64	43	47
Other non-current liabilities	16	15	16
Total non-current liabilities	581	58	584
CURRENT LIABILITIES
Borrowings, current	49	548	49
Trade payables	24	51	40
Liabilities to Group companies, current	3	1	4
Other current liabilities	48	52	44
Total current liabilites	125	652	138
Total liabilites	706	711	722
TOTAL EQUITY AND LIABILITES	812	856	846

KEY PERFORMANCE MEASURES FOR THE GROUP

	Q1 2023	Q1 2022	Full year 2022
Earnings per share, SEK	0.07	0.09	0.46
Earnings per share, diluted, SEK	0.07	0.09	0.46
Equity per share, SEK	2.1	1.5	2.0
EBITDA, SEKm	56	43	206
Operating profit (EBIT), SEKm	21	17	82
EBITA, MSEK	45	35	166
Cash flow from operating activities, SEKm	43	1	96
Cash flow after continuous investments, SEKm	17	-28	-26
Working capital, SEKm	-86	-110	-85
Total assets, SEKm	1,287	1,173	1,323
Net debt, SEKm	505	440	522
Net Debt/EBITDA LTM	2.3	3.0	2.5
Equity, SEKm	219	152	211
Equity/assets ratio, %	17	13	16
Debt/equity, factor	2.8	4.0	3.0
Gross margin, %	66	64	65
EBITDA margin, %	17	17	17
Operating margin, %	6.3	7.0	6.8
Average number of outstanding shares, million	104.9	104.9	104.9
Average number of outstanding shares after dilution, million	105.7	105.3	105.3
Number of outstanding shares at period end, million	104.9	104.9	104.9
Number of outstanding shares after dilution at period end, million	105.7	105.3	105.4
Average number of employees	578	459	525

Definitions, see note 11.

QUARTERLY DATA

	2023	2022			2021				2020
	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2
Revenue, SEKm	335	362	320	288	246	245	255	165	207	233		204 217
Gross Margin, %	66	65	67	64	64	64	67	64	67	67	67	63
EBITDA, SEKm	56	61	59	44	43	38	66	1	50	56	48	51
EBIT, SEKm	21	25	25	16	17	13	42	-23	28	34	28	29
Operating Margin, %	6.3	6.8	7.8	5.4	7.0	5.4		16.5 -14.1	13.5	14.7		13.6 13.1
Profit/Loss before tax, SEKm	12	15	18	9	11	9	37	-29	23	29	20	20
Profit/Loss for the period, SEKm	7	17	16	6	10	5	21	-13	16	68	18	16

Notes

Note 1. Accounting policies

Tobii Dynavox applies International Financial Reporting Standards (IFRS) as adopted by the European Union. This interim report has been prepared in accordance with IAS 34, Interim Financial Reporting.

Tobii Dynavox's interim report contains condensed financial statements. For the Group, this mainly means that the note disclosures are limited compared with the financial statements presented in the annual report. The financial statements of the Parent Company are generally presented in condensed format, with limited disclosures compared with the annual accounts. The interim reports for Tobii Dynavox AB have been prepared in accordance with the Swedish Annual Accounts Act and standard RFR 2, Accounting for legal entities.

The accounting policies applied are in effect in all periods and are consistent with the accounting policies applied in Tobii Dynavox Annual and sustainability report 2022.

Share-based payment to employees

The amount of allocated stock units as per March 31, 2023, is 1 007 709.

The dilutive effect is expected to be a maximum of 1.2 percent.

The number of stock units allocated under the 2020 plan amounts to 256 180 share rights as of March 31, 2023. The number of stock units allocated under the 2021 plan amounts to 330 442 share rights as of March 31, 2023.

The 2022 plan has resulted in an allocation as of March 31 of 421 087 stock units. The number of stock units that are not yet allocated is 242 913.

In addition to the above allocated stock units, approximately 270,000 additional common shares may be issued to cover the company's social security costs.

Note 2. Risks and uncertainty factors

Tobii Dynavox business risks include the economic climate, the competitive situation, currency risks, credit risks in relation to customers, financing risks, the risk of impairment write-downs of capitalized R&D and other intangible assets, and regulatory risks (Tobii Dynavox in the U.S. is under the supervisory control of the U.S. Food and Drug Administration (FDA)). More information on risks and risk management can be found in the Tobii Dynavox Annual and Sustainability Report for 2022.

Note 3. Segment reporting

The assessment of which operating segments exist in the Group shall be based on the in-ternal re-porting provided to the chief operating decision maker. The chief operating decision maker is the function responsible for allocation of resources and analyzing the segment's profit/loss. In the Tobii Dynavox Group, this function has been identified as Group Management. The financial information provided to Group Management within Tobii Dynavox, as a basis for decisions on the allocation of resources, applies to the business as a whole without any subdivision into underlying segments. Given this situation, the management of the Tobii Dynavox Group has determined that the business as a whole should be considered a segment until further notice. Sales by geographic market is broken down into the following markets: North America, Europe and other countries.

Note 4. Transactions with related parties

Significant related party transactions are disclosed in the Group's Note 28 in the Tobii Dynavox Annual and Sustainability Report for 2021. There have been no material changes in related party relationships or transactions compared with those described in the 2022 Annual and Sustainability Report.

Note 5. Sustainability information

More information on the Group's sustainability efforts can be found in the Tobii Dynavox Annual and Sustainability Report 2022.

Note 6. Pledged assets and contingent liabilities

Tobii Dynavox has a chattel mortgage of SEK 50 million to Swedbank. The Group has no contingent liabilities.

Note 7. Share data

As of March 31, 2023, Tobii Dynavox held 104,851,201 common shares, each carrying one vote.

Note 8. Breakdown of revenue

SEK m	Q1 2023	Q1 2022	Full year 2022
REVENUE BY PRODUCT TYPE
Goods	306	222	1,103
Services	27	24	107
Royalty	2	1	6
Total revenues	335	246	1,216
REVENUE BY DATE OF REVENUE RECOGNITION
Point in time	270	203	1,022
Over time¹	65	43	194
Total revenues	335	246	1,216

¹ The assessment of what revenue is over time has changed from previously reported data

Note 9. Acquisition

On April 1, 2022, Tobii Dynavox acquired the Irish company Obear Technologies Limited, operating under the name Safe Care Technologies. The company is a reselling partner to Tobii Dynavox and a leading supplier of assistive technology for communication in Ireland. The company had sales of approximately SEK 9 million, with an operating margin of approximately 10% for the financial year that ended June 30, 2021. The total purchase consideration for the acquired net assets was SEK 6 million. A cash payment of SEK 5.8 million was paid at the time of acquisition. The agreed con-tingent consideration is linked to future performance.

Safe Care Technologies was consolidated into the Tobii Dynavox Group as of April 1, 2022

The acquisition of the Belgian company Acapela Group, a global provider of voice synthesis and digital voices, was completed on April 29, 2022. The purchase consideration was SEK 101 million, including cash and liabilities, and was paid in cash and financed partly with own cash and partly through an existing revolving credit facility.

Tobii Dynavox and Acapela Group have been successful partners for many years. The merger will further deepen this relationship, providing great opportunities to develop solutions that enable our users to create their own voice identity and express themselves clearly, personally and effectively in the way that they want.

Acapela Group was included in the Group's accounts from April 29, 2022.

On June 23, Tobii Dynavox signed an agreement to acquire all business activities and assets of its reselling partner ASK in Denmark, effective July 1, 2022.

ASK is a supplier of assistive technology products and services to customers in Denmark, including municipalities, schools, communication centers, care centers and other institutions. Tobii Dynavox solutions comprise the majority of ASK's revenue of some DKK 6-9 million per year. The companies have had a long-standing partnership in the Danish market. The purchase consideration was DKK 5.2 million and was paid in cash on July 1, 2022.

As a result of these acquisitions, Tobii Dynavox expects to both strengthen its product offering and come closer to users in the countries where these acquisitions are active, with the hope of giving more people a voice. Tobii Dynavox also expects to reduce costs through synergies.

The following tables summarize the purchase consideration paid and the preliminary fair value of assets acquired, and liabilities assumed for the acquisitions described above. The fair value of assets acquired, and liabilities assumed is provisional pending final valuation.

EFFECTS OF ACQUISITIONS

SEK m	Acapela Group¹	Obear Technologies Ltd¹	Assets and Liabilities Agreement ASK²
Breakdown of Purchase considerations
Cash consideration	101	6	8
Contingent consideration	-	0	-
Total consideration	101	6	8
Change in acquired assets and liabilities
Voice technology	15	-	-
Brands	-	-	-
Customer relations/contracts	18	1	2
Other fixed assets	9	2	0
Net other assets and liabilities	-25	-1	0
Cash and cash equivalents	31	0	-
Deferred tax liability	8	0	-
Net identidiable assets and libilities	55	3	2
Goodwill	46	3	5
Impact on cash and cash equivalents
Cash consideration	-101	-6	-8
Cash and cash equivalents of acquired companies	31	0	-
Acquisition costs	-3	-1	0
Total impact on cash and cash equivalents	-74	-7	-8

¹ The acquisition analysis is preliminary and will be finalized in the second quarter 2023

² The acquisition analysis is preliminary

Note 10. Financial instrument
	Mar 31 2023			Mar 31 2022
SEK m	Carrying amount	Fair value			Carrying amount	Fair value
Financial liabilities measured at fair value
Contingent considerations	0.1		0.1			-	-

The Group categorizes financial assets and financial liabilities measured at fair value in-to a fair value hierarchy based on the information used to value each asset or liability. For financial instruments in level 3, information that is material to the fair value of the asset or liability is not observable and the Group's own assessments are applied.

Liabilities relating to contingent consideration relate in their entirety to the acquisition of Obear Technologies Limited and is classified under level 3.

Note 11. Alternative performance measures

The company presents certain financial measures in the interim report that are not defined under IFRS (so-called alternative performance measures according to ESMA guidelines). Management believes that this information helps investors to analyze the Group's performance and financial position. Investors should consider these disclosures as a complement rather than a substitute for financial reporting under IFRS.

RECONCILIATION OF ALTERNTIVE PERFORMANCE MEASURES

The tables below show how the alternative performance measures that are not directly reconcilable to the financial statements are calculated.

SEK m	Q1 2023	Q1 2022	Full year 2022
Gross margin
Gross profit	223	158	788
Revenues	335	246	1,216
Gross margin, %	66%	64%	65%
SEK m	Q1 2023	Q1 2022	Full year 2022
EBITDA and EBITDA-margin
Operating profit	21	17	82
Amortization and impairment on intangible assets	24	18	84
Depreciation, amortization and impairment on tangible assets	11	8	40
EBITDA	56	43	206
Revenue	335	246	1,216
EBITDA-marginal, (%)	17%	17%	17%

SEK m	Q1 2023	Q1 2022	Full year 2022
EBITA
Operating profit	21	17	82
Amortization R&D	22	18	80
Amortization purchased immaterial assets	2	-0	4
EBITA-margin	45	35	166
Revenue	335	246	1,216
EBITA-margin, %	13%	14%	14%
SEK m	Q1 2023	Q1 2022	Full year 2022
Equity/share
Equity	219	152	211
Average number of outstanding shares, million	105	105	105
Equity/share	2.1	1.5	2.0
SEK m	Q1 2023	Q1 2022	Full year 2022
Net debt
Cash and cash equivalents	99	167	107
Interest-bearing liabilities	605	607	628
Net debt	505	440	522
SEK m	Q1 2023	Q1 2022	Full year 2022
Net debt/EBITDA ratio
Net debt	505	440	522
EBITDA last twelve months	220	148	206
Net debt/EBITDA LTM	2.3	3.0	2.5
SEK m	Q1 2023	Q1 2022	Full year 2022
Organic growth
Revenue current year	335	246	1,216
Currency effect	-28	-19	-156
Acquisition effect	-23	-	-49
Currency-adjusted income corresponding period last year excluding acquisitions	284	228	1,011
Revenue corresponding period previous year	246	207	872
Organic growth	38	21	140
Organic growth, %	15%	9%	16%

SEK m	Q1 2023	Q1 2022	Full year 2022
Working capital
Inventories	72	92	88
Trade receivables	232	157	237
Other receivables	56	46	56
Trade payables	-67	-89	-78
Other liabilities	-380	-317	-388
Working capital	-86	-110	-85
SEK m	Q1 2023	Q1 2022	Full year 2022
Operating margin (EBIT-margin)
Operating profit	21	17	82
Revenue	335	246	1 216
Operating margin, %	6,3%	7,0%	6,8%
SEK m	Q1 2023	Q1 2022	Full year 2022
Net debt/equity ratio
Interest-bearing liabilities	605	607	628
Equity	219	152	211
Net debt/equity ratio, factor	2.8	4.0	3.0
SEK m	Q1 2023	Q1 2022	Full year 2022
Equity/assets ratio

Equity 219 152 211 Total assets 1,287 1,173 1,323 Equity/assets ratio, % 17% 13% 16%

Key Performance measures	Definition	Justification for use of metrics
Number of employees	Average number of full-time employees during the period, including part-time em ployees converted to FTEs	Number of employees is a measure of the number of employees in the Company needed to generate profit for the period.
Gross margin, %	Gross profit relative to the operations' net sales	Gross margin is used to measure produc tion profitability.
EBITA	Operating profit/loss before amortization and impairment of intangible assets	EBITA is used to measure earnings from operating activities excluding amortization and impairment of intangible assets.
EBITDA	Operating profit/loss before depreciation, amortization and impairment	EBITDA is used to measure earnings from operating activities excluding depreciation, amortization and impairment.
EBITDA margin, %	Operating profit/loss before deprecia tion/amortization in relation to net sales	The EBITDA margin is used to illustrate EBITDA in relation to sales.
Equity per share	Equity divided by average number of shares outstanding	A measure of the proportion of the compa ny's recognized equity that each share rep resents.
Cash flow after current invest ments	Cash flow from operating and investing activities	Cash flow after current investments is used as a measure of the cash flow generated by operating activities and investments.
Net debt	Interest-bearing liabilities less cash and cash equivalents	Net debt represents the Company's capac ity to pay off all debts should they fall due for payment as of the balance sheet date using the Company's available cash and cash equivalents on the balance sheet date.
Net debt/EBITDA	Net debt at the end of the period in relation to rolling 12-month EBITDA	A measure of financial risk showing net debt to cash generation.
Organic growth, %	Change in total revenue for the period ad justed for acquisitions, disposals and cur rency, compared with total revenue for the comparative period	Organic growth is used to analyze the un derlying change in sales driven by compa rable units between different periods.
Working capital	Inventories, trade receivables and other Inventories, accounts receivable and other current receivables less accounts payable and other liabilities	Working capital is used to measure the Company's ability to meet short-term capi tal requirements.
Operating margin (EBIT margin), %	Operating profit/loss in relation to net sales	The operating margin is used to illustrate EBIT in relation to sales and is a measure of the Company's profitability.
Net debt/equity, factor	Interest-bearing liabilities divided by share holders' equity	Net debt-equity ratio measures the extent to which the Company is financed by loans.
Equity/assets ratio, %	Shareholders' equity as a percentage of to tal assets	The equity/assets ratio shows the percent age of total assets financed by the share holders through equity.

Stockholm, April 26, 2023

Åsa Hedin Chairman of the Board Charlotta Falvin Board Member

Caroline Ingre Board Member

Carl Bandhold Board Member

Henrik Eskilsson Board Member

Fredrik Ruben CEO

The report has not been subject to review by the Company's auditors.

This is a translation of the original Swedish interim report. In the event of a discrepancy between this translation and the Swedish original, the Swedish interim report takes precedence.

This information is inside information that Tobii Dynavox AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below, on April 26, 2023, at 07:30 CET.

Information to shareholders

WEBBPRESENTATION

A web presentation will be held in English today at 09.00 (CET). See investors.tobiidynavox.com for more information about the conference. The images from the presentation can then be downloaded from the website.

CONTACT DETAILS

Fredrik Ruben, Chief Executive Officer, Tel. +46 (0)8-128 509 13 Linda Tybring, Investor Relations, CFO, linda.tybring@tobiidynavox.com

Tobii Dynavox AB (publ) • Corporate ID number: 556914-7563 Mailing address: Box 743 18217 Danderyd, Sweden Tel. +46 (0)8-663 69 90 www.tobiidynavox.com

FINANCIAL CALENDAR

May 10, 2023
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