FINGERPRINT CARDS Q2 2017 INTERIM REPORT JULY 21, 2017 Q2 2017 - - PowerPoint PPT Presentation

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Jul 30, 2023 276 likes •479 views

FINGERPRINT CARDS Q2 2017 INTERIM REPORT JULY 21, 2017 Q2 2017 Summary Margins & Revenues Highlights profitability Revenues: Gross profit: 19 mobile devices with Fingerprints SEK 823 (1,661) M, SEK 300 (814) M a decrease of 51%

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FINGERPRINT CARDS Q2 2017 INTERIM REPORT

JULY 21, 2017

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Q2 2017 Summary

Revenues Margins & profitability Highlights

Revenues: SEK 823 (1,661) M, a decrease of 51% year over year Gross profit: SEK 300 (814) M Gross Margin*: 36% (49) Operating profit** : SEK 72 (675) M Operating margin: 9% (41) Cash Flow: SEK 528 (530) M 19 mobile devices with Fingerprints’ sensors launched Huawei and Microsoft PC-prod launched Several new partnerships announced Acquisition of Delta ID finalized

*Including provisions for an obsolescence reserve of SEK 47,5 M **Including transaction costs relating to the acquisition of Delta ID of SEK 18 M

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BUSINESS UPDATE

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Normalized inventory levels in the value chain

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OEM customers overview

Source: Strategy Analytics provisional data, Fingerprints estimates 5

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Market launches Q2 2017

19 mobile devices by 12 OEM customers Launches by Huawei, Xiaomi and Oppo New OEM-customers: UMIDIGI, AGM and one “not named” Huawei Matebook E Microsoft Keyboard Smartcard MeReal V2

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Partnerships announced

Distributor: Arrow Electronics Module houses:

Biel Crystal Fingerchip A-Kerr (SPEED)

Smartcards:

Kona-I Zwipe

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ACCELERATING GROWTH IN LOW/MID TIER SEGMENTS

Fingerprints teams up with Qualcomm Technologies

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New key recruitments

Mattias Hakeröd SVP HR

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Summary

A weak quarter as expected but good cashflow Normalized inventory levels in the value chain We remain competitive in a highly competitive market and are gradually regaining market share with some major customers New partnerships enable us to reach new customers and segments Acquisition of Delta ID is finalized

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Q2 2017 FINANCIAL RESULTS

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Q2 2017 Financial performance

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Operating expenses development

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Weaker profitability in Q2 2017

Exchange rate effects on bank balances are reported under “Financial income and expenses” as of 2017 and

therefore the 2016 operating profit was reclassified accordingly.

Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec 2017 2016 (*) 2017 2016 (*) 2016 (*) Operating profit, SEK M 72.0 675.1 142.8 1,293.7 2,578.5 Operating margin (%) 9% 41% 9% 41% 39% EPS, SEK 0.10 1.72 0.28 3.16 6.40

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Working capital development

*Average working capital excluding net cash over 5 quarters/rolling 12 months sales

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Q2 2017 Cash flow and Net cash trend

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THE PERFECT MATCH

Finalizing the acquisition of Delta ID

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Q&A

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