Solteq Oyj - Other information disclosed according to the rules of the Exchange

Solteq updates the definitions of comparable EBITDA and operating result, and publishes new figures concerning them for 2023

Stock exchange bulletin
Other information published under the rules of the exchange
April 24, 2024, at 1:30 p.m.

Solteq Plc publishes new comparable data for the financial year 2023. The
company has changed the definition of comparable EBITDA and comparable operating
result and added significant changes from product development activations and
related depreciation to items affecting comparability. The definition of
comparable revenue remains unchanged.

In December 2023, the company changed its operating logic of dealing with
product development activities. The development of own software products is part
of continuous services and standard operations, and the related product
development costs no longer meet the requirements for activation. The
development costs of these existing software products are thus treated as cost
items in the income statement as part of normal business operations, and product
development cost activations ceased in the last quarter of the financial year
2023. In addition, the company assesses the product development investments
activated in the balance sheet and their expected return. As a result of the
assessment, the company made write-downs totaling EUR 7.5 million. The change in
operating mode affected Solteq Group's fourth quarter 2023 comprehensive income
statement and consolidated balance sheet. The change did not affect the Group's
comprehensive income statements or consolidated balance sheets reported for the
first, second and third quarters of 2023.

In the new comparable EBITDA and comparable operating result figures for 2023,
quarterly product development activations of existing software products have
been adjusted as expenses and related depreciation of previous product
development activations has been reversed through profit or loss as if the
change described above had been made at the beginning of 2023. The new
comparable figures are unaudited.

The new comparable data include quarterly reported EBITDA and operating result.
The new comparable data does not affect the reported revenue. Comparable key
figures are presented based on the company's segment structure. In addition,
product development activations and related depreciation adjusted from
comparable EBITDA are presented below by segment.


Comparable    1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
EBITDA, TEUR
Retail &      1,326     149       684       156         2,315
Commerce
Utilities     -1,205    -1,418    -819      -534        -3,976
Total         121       -1,269    -135      -378        -1,662

Comparable    1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
EBITDA, %
Retail &      12.5      1.5       7.4       1.5         5.7
Commerce
Utilities     -34.8     -41.2     -27.4     -14.0       -29.0
Total         0.9       -9.3      -1.1      -2.7        -3.1

Comparable    1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
operating
result, TEUR
Retail &      815       -386      261       -241        449
Commerce
Utilities     -1,467    -1,689    -1,082    -785        -5,024
Total         -652      -2,076    -821      -1,026      -4,575

Comparable    1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
operating
result, %
Retail &      7.7       -3.8      2.8       -2.3        1.1
Commerce
Utilities     -42.4     -49.1     -36.2     -20.6       -36.7
Total         -4.6      -15.3     -6.7      -7.2        -8.4

Adjusted product development activations and related depreciation:


Product       1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
development
activations
Retail &      -290      -300      -363      -96         -1,048
Commerce
Utilities     -537      -434      -337      0           -1,308
Total         -826      -734      -700      -96         -2,356

Depreciation  1-3/2023  4-6/2023  7-9/2023  10-12/2023  1-12/2023
Retail &      249       251       260       72          831
Commerce
Utilities     257       276       289       10          831
Total         506       527       549       81          1,663

The items affecting comparability under the new definition are:

  · Significant restructuring arrangements and related financial items
  · Impairments
  · Items related to the sale or discontinuation of significant business
operations
  · Costs incurred by the re-organization of operations
  · Costs incurred by the integration of acquired business operations
  · Severance packages for those permanently excluded from the cost structure
  · Non cash flow based fees and commissions
  · Costs incurred by changes in legislation
  · Fines and similar indemnities, damages, and legal costs
  · Significant changes in activations of development costs of own software
products and related depreciation

The comparable key figures of Solteq's first interim report of 2024 will be
prepared in line with the new comparability definition.

Distribution

Nasdaq Helsinki
Key media
www.solteq.com

Additional information

CEO Aarne Aktan
Tel: +358 40 342 4440
E-mail: aarne.aktan@solteq.com
CFO, General Counsel Mikko Sairanen
Tel: +358 50 567 3421
E-mail: mikko.sairanen@solteq.com
Solteq in brief

Solteq is a Nordic software solution and expert service provider specializing in
retail and energy sectors and needs related to e-commerce. The company employs
nearly 500 professionals and has offices in Finland, Sweden, Norway, Denmark,
Poland, and the UK.

Attachments:

04246861.pdf