Zwipe (ZWIPE) Q3 2024 earnings summary

Executive summary

• Shifted focus from expanding partner network to targeting end user enterprises for PoCs, pilots, and orders of biometric access cards.

• Multiple ongoing tests with major enterprises in various sectors, with daily use of biometric access cards.

• Confident that current engagements will lead to commercial deployments soon.

Financial highlights

• Q3 2024 revenue was 0.4 mNOK, primarily from access products and services, compared to 1.8 mNOK in Q3 2023 from payment products and services.

• Cash flow from operations after working capital changes was -14.8 mNOK, an improvement from -27.2 mNOK in Q3 2023 due to lower operating expenses.

• Cash and cash equivalents at quarter-end were 10.5 mNOK, down from 48.3 mNOK a year earlier and 42.2 mNOK at the end of 2023.

Outlook and guidance

• Projected operating expenses to decrease to approximately 2.6 mNOK per month following further personnel cost reductions.

• Board initiated a rights issue of NOK 40 million to extend financial runway.