Huddlestock - Q3 2024: Commercial traction with existing customers

21.11.2024 07:00:01 CET | Huddlestock Fintech AS | Additional regulatedinformation required to be disclosed under the laws of a member state

Huddlestock Fintech AS ("Huddlestock") reports total operating income of NOK16million for the third quarter, compared to NOK 17 million [1] in the secondquarter 2024. Investment-as-a-Service saw a one percent increase compared toQ22024 [1] while seasonal effects from summer holidays in July negativelyaffectedincome from Consultancy. Personnel costs of NOK 15 million and other operatingexpenses of NOK 8 million both saw a slight decrease compared to Q2 2024resulting in an EBITDA of negative NOK 7 million for the third quarter 2024.This compares to an EBITDA of negative NOK 6 million in the second quarter2024.

During the third quarter, Huddlestock successfully signed contracts expandingits IaaS-offerings with three existing customers. The new contracts reflectthegrowing demand for scalable, flexible solutions that provide our clients withenhanced value, better resource optimization, and more seamless integrationsacross their operations. The expansion contracts are expected to have apositiveimpact on financial performance from the fourth quarter of 2024.

"By expanding the range of services we offer to our existing customer base, weare confident that our solutions continue to deliver significant value.However,to sustain this momentum and achieve our goal of becoming EBITDA positive, itiscrucial that we accelerate our sales efforts," says Leif Arnold Thomas, CEO ofHuddlestock.

Beyond its existing markets, the company sees major opportunities in Europeandparticularly Germany where it continues to pursue opportunities which canenablean accelerated market entry. In the third quarter, Huddlestock signedcooperation agreements with the German fintech Tradevest. The partnership aimsto offer a combined investment solution in Germany, allowing joint customerstopurchase both digital and traditional assets, with Tradevest providingbrokerageand custody software solutions.

At the end of the third quarter Huddlestock had a cash position of NOK 10million and the company continues its ongoing work to identify potentialfinancing partners to support its strategy including non-organic growth.

[1] Restatement of Q2 2024 financials

Q2 2024 Operating income and Other operating expenses have been restated withnoeffect on the reported EBITDA, Cash flow and Balance sheet. In Q2 2024 thereported total operating income was NOK 18 million and the reported Otheroperating expenses were NOK 9 million. The restated figures for Q2 2024,presented in the Q3 2024 reporting, are NOK 17 million and NOK 8 millionrespectively. The Q2 2024 EBITDA remains unchanged at negative NOK 6 millionafter the restatements in Operating income and Other operating expensesdescribed above.

Presentation and Q&A

Huddlestock's Chairman of the Board, Øyvind Hovland, and the CEO Leif ArnoldThomas, will host webcast presentations of the results in Norwegian andEnglishtoday, followed by Q&A sessions (10:00 CET in Norwegian / 12.00 CET inEnglish).

To participate, please register your interest with investorrelations@huddlestock.com

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to section5-12 of the Norwegian Securities Trading Act.

CONTACTS

* Leif Arnold Thomas, Chief Executive Officer, Huddlestock Fintech AS, +47982 15 520, leif.thomas@huddlestock.com

ABOUT HUDDLESTOCK FINTECH AS

Huddlestock is an innovative technology software provider through itsInvestment-as-a-service offering, with full operational service support and aleading financial Consultancy services business. We deliver innovative andsustainable technology and operational solutions to companies offeringfinancialproducts and services.

Find out more at huddlestock.com - https://www.huddlestock.com/

ATTACHMENTS

Download announcement as PDF.pdf -https://kommunikasjon.ntb.no/ir-files/17848032/18330418/5322/Download%20announcement%20as%20PDF.pdf

Huddlestock - Q3 2024 Presentation FINAL.pdf -https://kommunikasjon.ntb.no/ir-files/17848032/18330418/5320/Huddlestock%20-%20Q3%202024%20Presentation%20FINAL.pdf

https://newsweb.oslobors.no/message/632788