Announcement no. 07 2024

Copenhagen - 22 October 2024 - Agillic A/S

ARR from subscriptions YTD decreased 8% primarily due to clients' technology consolidations in Q1 2024. ARR from subscriptions increased modestly by 2% in Q3 2024 vs. Q2 2024. Agillic maintains its 2024 guidance due to expected growth from both existing clients and new sales in Q4 2024. Cash flow from operations was DKK 6.7 million in Q3 2024, an increase of DKK 12.6 million YoY.

Key financial and SaaS highlights

(DKK million)

Income statement YTD 2024 YTD 2023 Change Q3 2024 Q3 2023 Change   Revenue Subscriptions 37.0 40.2 -8% 12.1 13.6 -11%   Revenue Transactions 7.4 9.1 -19% 2.7 3.0 -10%   Other revenue 0.0 0.0 n/a 0.0 0.0 n/a   Total revenue 44.4 49.3 -10% 14.8 16.6 -11%   Gross profit  36.1 39.6 -9% 11.7 13.4 -13%   Gross margin 81% 80% - 79% 81% -   Other operating income 0.6 0.5 20% 0.2 0.2 0%   Employee costs -23.7 -26.0 9% -7.1 -7.9 10%   Operational costs -11.2 -10.6 -6% -3.6 -3.2 -13%   EBITDA 1.8 3.5 -49% 1.2 2.5 -52%   Net profit 1.2 -5.1 n/a -2.4 -0.4 -500%                   Financial position               Cash 3.7 11.5 -68% 3.7 11.5 -68%                 ARR development             ARR Subscriptions 52.5 56.8 -8% 52.5 56.8 -8% ARR Transactions 10.6 12.1 -12% 10.6 12.1 -12% Total ARR 63.1 68.9 -8% 63.1 68.9 -8% Change in ARR -5.8 2.5 - 1.4 2.5 - Change in ARR % -8% 4% - 2% 4% - Reclassification between other operating income, employee costs, and operational costs is updated in 2023 figures.

ARR

ARR from subscriptions decreased 8% YoY which was related to clients' business and technology consolidation and in line with our expectations. ARR from transactions decreased 12% YoY as a consequence of lower volumes due to geopolitical factors. The decline in ARR mainly happened in Q1 2024, while ARR increased modestly in Q3, and we expect both ARR from subscriptions and ARR from transactions to increase further in Q4 2024.

Revenue

Total Revenue decreased 10% YoY related to the decrease in ARR. Total Revenue is expected to increase in Q4 2024.

EBITDA

EBITDA YTD was negatively impacted by the decrease in revenue and by an increase in operational costs related to a one-time cost of DKK 1.0 million for consultancy services. However, with an increase in the gross margin from 80% to 81% YTD, and a decrease in employee costs, we delivered a positive EBITDA in Q3 2024 YTD of DKK 1.8 million.

Cash

At the end of Q3, at the cash position was DKK 3.7 million in line with expectations. This was primarily a result of an increase in cashflow from operations to DKK 6.7 million (Q3 2023: DKK -5.9 million).

Financial guidance 2024 (unchanged)

Revenue DKK million 62 to 66 EBITDA - 0 to 2 ARR Subscriptions - 56 to 60 ARR Transactions - 10 to 14 Total ARR - 66 to 74 For further information, please contact:

Emre Gürsoy, CEO

+45 30 78 42 00

emre.gursoy@agillic.com

Claus Boysen, CFO

+45 28 49 18 46

claus.boysen@agillic.com

Certified Adviser

John Norden, Norden CEF A/S

Disclaimer

The forward-looking statements regarding Agillic's future financial situation involve factors of uncertainty and risk, which could cause actual developments to deviate from the expectations indicated. Statements regarding the future are subject to risks and uncertainties that may result in considerable deviations from the presented outlook. Furthermore, some of these expectations are based on assumptions regarding future events, which may prove incorrect. Please also refer to the overview of risk factors in the 'risk management' section of the annual report.

About Agillic A/S

Agillic is a Danish software company offering brands a platform through which they can work with data-driven insights and content to create. automate and send personalised communication to millions. Agillic is headquartered in Copenhagen, Denmark, with teams in Germany, Norway, and Romania.

For further information, please visit www.agillic.com  

Appendix: Financial development per quarter

 DKK million   2024   2023   2022                                   INCOME STATEMENT   Q3 Q2 Q1   FY Q4 Q3 Q2 Q1   FY Q4 Q3 Q2 Q1 Revenue Subscriptions   12.1 12.3 12.6   52.4 12.2 13.6 13.5 13.1   49.9 13.5 13.1 12.2 11.1 Revenue Transactions   2.7 2.5 2.2   12.0 2.9 3.0 2.9 3.2   16.7 6.0 4.8 3.3 2.6 Other revenue   0.0 0.0 0.0   0.3 0.3 0.0 0.0 0.0   0.4 0.0 0.0 0.1 0.3 Total revenue   14.8 14.8 14.8   64.7 15.4 16.6 16.4 16.3   67.0 19.5 17.9 15.6 14.0 Gross profit    11.7 12.1 12.3   52.2 12.6 13.4 13.2 13.0   49.6 15.5 11.4 11.7 11.0 Gross margin   79% 82% 83%   81% 82% 81% 80% 80%   74% 80% 63% 75% 78% Other operating income   0.2 0.2 0.2   0.6 0.1 0.2 0.2 0.1   0.3 0.3 0.0 0.0 0.0 Employee costs   -7.1 -8.0 -8.6   -36.8 -10.8 -7.9 -9.4 -8.7   -32.5 -9.2 -7.3 -8.0 -8.0 Operational costs   -3.6 -4.3 -3.3   -14.1 -3.5 -3.2 -3.0 -4.4   -16.3 -5.1 -2.7 -3.7 -4.8 EBITDA   1.2 0.0 0.6   1.9 -1.6 2.5 1.0 0.0   1.1 1.5 1.4 0.0 -1.8 Net profit   -2.4 7.0 -3.4   -27.5 -22.4 -0.4 -1.8 -2.9   -10.6 -2.0 -1.2 -2.7 -4.7  

BALANCE SHEET                 Cash   3.7 4.4 7.2   9.8 9.8 11.5 18.3 26.9   7.4 7.4 1.8 12.6 7.5 Total assets   42.8 45.8 51.5   47.1 47.1 64.9 69.0 75.8   52.8 52.8 54.0 58.7 55.4 Equity   -17.8 -16.0 -23.6   -20.2 -20.2 1.5 1.8 3.4   -15.0 -15.0 -13.2 -12.0 -9.6 Borrowings   19.1 21.4 24.3   23.7 23.7 23.0 24.2 25.7   24.3 24.3 23.7 26.1 26.4 CASH FLOW                 Cash flow from operations   4.1 2.6 0.0   -6.5 -0.6 -2.8 -4.3 1.2   3.1 7.3 -4.9 9.0 -8.3 Cash flow from investments   -2.6 -2.7 -3.0   -11.7 -2.1 -3.1 -3.2 -3.3   -13.5 -3.3 -3.3 -3.7 -3.2 Cash flow from financing   -2.2 -2.7 0.4   20.6 1.0 -0.9 -1.1 21.6   -2.8 1.6 -2.5 -0.2 -1.6 Net cash flow   -0.7 -2.8 -2.6   2.4 -1.7 -6.8 -8.6 19.5   -13.2 5.6 -10.8 5.1 -13.1 EMPLOYEES & CLIENTS                 Employees end of period   40 39 41   50 50 50 50 46   48 48 47 51 47 Clients end of period   114 113 116   122 122 120 120 118   118 118 111 108