ChromoGenics (CHRO) investor relations material

Executive summary

• Focused on cost reduction, quality, and customer-centric development during H1 2024, with continued operational improvements and staff reductions of about 30%.

• Received first North American order and expanded into new European markets, despite a challenging construction sector.

• Färna Invest AB made a public buyout offer, now controlling nearly 88% of shares, providing financial stability and long-term support.

• Swedish Energy Agency converted SEK 47.6 million in conditional loans to grants, significantly improving the financial position.

Financial highlights

• Net sales for Q2 2024 were SEK 1.5 million, down from SEK 3.7 million in Q2 2023; H1 2024 net sales were SEK 4.3 million, down from SEK 9.5 million year-over-year.

• Q2 2024 net income was SEK 22.5 million, a turnaround from a loss of SEK -11.9 million in Q2 2023, mainly due to the loan-to-grant conversion.

• EBITDA for Q2 2024 was SEK 25.3 million, compared to SEK -10.2 million in Q2 2023.

• Cash and cash equivalents at period end were SEK 4.7 million, compared to SEK 5.7 million a year earlier.

• Equity at June 30, 2024, was SEK 67.8 million, up from SEK 51 million at June 30, 2023.

Outlook and guidance

• Path to profitability requires further investment in organization, commercial activities, and working capital, especially amid a deep construction sector recession.

• Additional capital contributions are expected to be needed in the next 12 months, despite a SEK 30 million capital adequacy guarantee from Färna Invest AB.