StrongPoint (STRO) Investor update summary

Strategic transformation and market positioning

• Transitioned from a diversified business to a pure retail technology focus, divesting non-core segments and expanding into new European markets.

• Built a broad product portfolio, serving top Scandinavian retailers and expanding into the UK, Ireland, Spain, Portugal, Belgium, and beyond, reducing risk via a wider customer base.

• Acquired CUB, transforming it into a cloud-based solution for international scalability.

• Addressed customer concentration risk by broadening the customer base across multiple countries.

• Achieved 100% grocery chain coverage in Norway and Sweden, with high solution penetration in Baltics and Finland.

Industry trends and technology drivers

• Identified three megatrends: growth of discounters, rapid e-commerce expansion, and store digitization.

• E-commerce in grocery is growing over 30% annually in major markets like the US, with record-high penetration in 2025.

• Store digitization, including AI and data-driven solutions, is key to addressing out-of-stock issues.

• Large-scale fulfillment centers are declining in favor of in-store fulfillment and micro-automation.

• Grocery retail technology market remains resilient, driven by digitalization and AI integration in stores.

Vusion partnership and technology integration

• Multifaceted partnership with Vusion launched in December 2024, acting as a value-added reseller and ISV across nine markets.

• Vusion integrates the e-commerce platform into its IoT Cloud, expanding reseller rights for ESLs and digital store solutions.

• Transitioned from a narrow ESL focus to a broader digitization suite, including shelf-edge cameras and retail media platforms.

• Vusion’s EdgeSense and Bluetooth-enabled rails enable advanced geolocation, unlocking new efficiencies and business cases.

• EdgeSense platform offers 3x higher ROI than standard ESLs, enhancing pricing automation and labor efficiency.