Slides
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6th August 2025 H1 2025 Results
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Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros Padma Ravichander CEO Indiresh Vivekananda CFO 1 CEO Review 2 3 H1 Financial Review and Highlights Q&A Presenters and Agenda
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Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros Tecnotree’s Expanding Global Footprint A Finnish listed company with 12 locations worldwide. Registered in 1978 and bringing 45+ years of deep domain experience to the new digital age of telecommunications. Follow-the-sun delivery approach with 24x7 Delivery & Customer support Team spread in 32 Locations worldwide Subscribers 1.3 Bn+ Countries with Product Deployments 75+ Service Providers 90+ Product Features Delivered 4,500+ Employees TM Forum Certified 80+% Product Lines/LOB Supported 40+ 59+ Patents in AIML across AI composition, AI orchestration, Hyper-personalization, 137+ 300+ Prebuilt Journeys Across Order to Cash & Care Open API Conformance with Diamond Badge
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Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros Tecnotree’s Portfolio Evolution 2010-Ongoing 2005-2010 2018-Ongoing 2021-Ongoing 2023-Ongoing New customers in UK, Europe and South Africa Standards Based Digital Platform AI Native Transactions, SAAS, Ecosystem Monolithic Solution @Bility Product Portfolio Agility Leading MVNO player in Europe
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Results H1 2025 – Key Metrics (1/2) Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME) Revenue in Constant Currency 2025: € 35.9 Mn 2024: € 34.9 Mn +2.7% 2025: € 34.2 Mn 2024: € 34.9 Mn -2.1%Revenue EBIT in Constant Currency 2025 : € 10.6 Mn 2024 : € 8.0 Mn +32.5% EBIT 2025 : € 9.6 Mn 2024 : € 8.0 Mn +20.6% Free Cash Flow 2025: € 2.1 Mn 2024: € -3.9 Mn + € 6 Mn Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros H1 YoY%
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Results H1 2025 – Key Metrics (2/2) Tecnotree Investor Presentation Q4 2024 ARR 2025: € 14.2 Mn 2024: € 15 Mn -5% 2025 : 14% 2024 : 21% -7%Capex/Sales DSO Days 2025 : 174 2024 : 170 2% Order Backlog 2025 : € 105.7 Mn 2024 : € 72.6 Mn 46% H1 YoY% All Figures in Million Euros (ME)Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros
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H1 2025 Go Lives and Recognitions Achievements Recognitions 10 Go-Lives Key Customers contributing to ARR stc • Ivory coast • Nigeria • South Africa - COE • Postpaid • Dealer app • B2C 3 Hype Cycles – • Enterprise Communication Services • Operations and Automation • Customer experience and monetization Bahrain – Phase 1 Key Deals 1. 2. 3. Tier 1 customer in South Africa Campaign Manager Ookla Award Leader in IDC MarketScape for Worldwide CX Platforms for Telecommunications 2025 DAP for fiber business Telecom Solutions Provider of the Year – UAE for the Emtel Transformation 4. European customer in Netherlands 3 Market guides - • B2B Digital Marketplace Solutions • Revenue Management & Monetization Solutions • Customer Management & Experience solutions BSS Deal with Customer in UK and European countries • € 2.1Mn FCF IN H1 • 695 Features delivered • BSS Stack entry in Europe • MVNX Stack and Cloud BSS – Growth Tecnotree Investor Presentation H1 2025 All Figures in Million EurosTecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros
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H1 25 – Revenue Update & Guidance • € 34.2 Mn in real terms and € 35.9Mn in constant currency (+2.7% YoY) • FX headwind due to weakening Dollar against Euro • H1 focus on licenses to increase ARR potential through 2025-2026 • Strategic focus shift into mature markets • Record Order Book paving path to achieve revenue guidance Raised 2025 Guidance: Low to High single digit % growth in constant currency 2025 H1 H1 2025 vs 2024 Revenue by Region H1 2025 vs 2024 Revenue by Type Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros H1 2025 vs 2024 OBL by Region 9.9 62.7 27.1 78.6 Europe & Americas MEA & APAC H1 2024 H1 2025 6.4 28.5 9.0 25.2 EU & Americas MEA & APAC H1 2024 H1 2025 4.6 15.4 15.0 10.3 9.8 14.2 Licenses Delivery ARR H1 2024 H1 2025
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H1 2025 EBIT Update and Guidance • EBIT growth on track to achieve guidance • Operating result of € 9.6 Mn (€ 8.0 Mn) +20.6% YoY • Operating margin of 28.0% (22.8%). • Capex/Sales reduced by 7 percentage points (14% from 21% H1 YoY) • 2025 Guidance: EBIT Margin Improvement of 200 basis points on track • Capex to Sales at 10-12% by 2025 Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME) H1 EBIT Update H1 2025 FY 2025e Guidance +520bp (28% in H1 2025 vs 22.8% in H1 2024) +200bp EBIT Margin Evolution • Expanded revenue growth guidance – low to high single digit growth • OpEx reduction commenced in 2024 to continue–reviewed Q-o-Q • Increased use of AI to boost engineering delivery capability and efficiency • Mature product stack with 4,500+ features to yield higher EBIT margins • Capex expected at ~ € 9 Mn in 2025 (€ 13 Mn in 2024) –within guidance to reach 12% capex/sales 2025 EBIT Strategy EBIT Margin of 33% in 2024 and EBIT Margin forecast of 35% in 2025 Tecnotree Board Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Board Presentation H1 2025 All Figures in Million Euros Capex/Sales Trends 11% 14% 18% 14% 12% 2022 2023 2024 H1 2025 2025E
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H1 2025 Free Cash Flow (FCF) Update • Five consecutive quarters of positive FCF • H1 25 FCF € 2.1 Mn despite € 4 Mn FX losses 2025 FY Guidance: Greater than € 4 Mn in FCF Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME) FCF 20252025 FCF Status H1 2024 H1 2025 2025 FCF Target -3.9 2.1 >4 All Figures in Million Euros (ME) FCF Trend Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 2022 2023 2024 H1 2025 2025E All Figures in Million Euros - € 4.8 Mn - € 7.7 Mn > € 4 Mn € 2.1 Mn - € 1.8 Mn 2025 FCF Drivers • Revenue growth driven by entry to developed markets • Timely OpEx cuts in 2024 with benefits realized in 2025 • Structurally improved business model with focus on ARR • Pivot towards more AI driven efficient execution to scale growth • Financial discipline and operational rigour for collections
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Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)All Figures in Million Euros (ME)Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros 2.7% Tecnotree strategically poised to grow Growth and focus aligned to changing market dynamics 44% Share in Tecnotree H1 2025 Order Intake 12-14% 8.3% 29%2.2% BSS Cloud BSS MVNX Tecnotree Revenue Growth in CC (H1 25 vs H1 24) Market Growth: CAGR (2025- 2030)* Market Growth: CAGR (2025-2032)* Market Growth in CC: CAGR (2024-2030)* *Source: 1) Gartner 2025, 2) Mordor intelligence, Reanin, skyquest, cognitivemarketresearch , 3) Fortune Business Insights SI Partnerships Share in Tecnotree H1 2025 Order Intake • Entry and growth in mature markets • Reduced time to market • Increased scaleability • Bundled offerings • Reduced TCO • Hybrid solutions for cloud and AI Partner-led strategy for mature markets Hyper-scaler and Technology partners
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Guidance 2025 Originally: Low to mid-single digit % growth Margin growth of + 200 basis points (2%) Greater than € 4 Mn Revenues Constant Currency 2025 EBIT Margin Free Cashflow 2025 Guidance for 2025 is a continuation of our strategy to drive higher returns and more FCF (free cashflow) for our shareholders Existing Financial Guidance for 2025 Reduce exposure to frontier country FX risk to 10-15% in 3 years FX 10-12% Capex: Sales % Target 2025+ 100-140 Target 2025+ Receivables Days 10% of FCF Dividend Payout Policy Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Board Presentation H1 2025 All Figures in Million Euros Revised: Low to high single digit % growth
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Indiresh Vivekananda CFO Update
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Tecnotree Investor Presentation Q1 2025 All Figures in Million Euros (ME) H1 2025 – Summary Financial Performance • Operating margin 28.0% (22.8%) • Net sales in constant currency increased 2.7% to € 35.9 Mn • Exchange rate losses in the financial items € 4.0 Mn (-2.5) • Free cash flow € 2.1 Mn (-3.9) • Order backlog increased 45% Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros EUR million H1/25 H1/24 H1/23 H1/22 Net sales 34.2 34.9 34.8 31.6 Change YoY% -2% +0% +10% +9% EBIT 9.6 8.0 9.8 7.1 Change YoY% +21% -19% +39% -33% Financial items -5.2 -3.0 -2.9 0.3 Taxes -1.8 -1.2 -1.4 -2.5 Net income 2.6 3.7 5.5 5.0 Change YoY% -30% -33% +10% -36% SCIF 30.8 26.1 31.5 26.0 Change YoY% +18% -3% +21% 8% Orders received 74.0 23.4 32.1 45.9 Change YoY% +215% -27% -30% -9% Order backlog 105.7 72.6 68.4 72.8 Change YoY% +46% +6% -6% 32% EPS 0.15 0.22 0.02 0.02
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Tecnotree Investor Presentation Q1 2025 All Figures in Million Euros (ME) Q2 2025 – Summary Financial Performance • Operating margin 29.2% (18.8%) • Net sales in constant currency increased 0.7% to € 18.8 Mn • Exchange rate losses in the financial items € 2.7 Mn (-0.8) • Free cash flow € 1.1 Mn (0.8) Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros EUR million Q2/25 Q2/24 Q2/23 Q2/22 Net sales 17.3 18.7 19.3 18.3 Change YoY% -7% -3% +5% +10% EBIT 5.1 3.5 6.2 5.1 Change YoY% +44% -44% +22% -33% Financial items -3.0 -0.7 -1.9 0.7 Taxes -1.0 -0.8 -1.2 -1.9 Net income 1.0 2.1 3.7 4.0 Change YoY% -49% -44% -8% -25% SCIF 16.4 16.6 17.1 15.2 Change YoY% -1% -3% +13% 24% Orders received 62.4 13.4 20.3 25.2 Change YoY% 365% -34% -19% 4% Order backlog 105.0 72.6 68.4 72.8 Change YoY% +45% +6% -6% 32% EPS 0.06 0.12 0.01 0.02
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H1 25 – Ongoing effort to reduce DSO days Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros 225 152 151 144 216 170 144 176 155 174 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 DSO Days H1 2025 Receivables € 3 5.9 Mn (€ 3.1 Mn is provided for) Not due 18% <90 days 25% 90-270 days 22% 270-365 days 13% >1 year 22%
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2025 Currency Risk Guidance: Reduce exposure to frontier country FX risk to 10-15% by 2027 Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME) 2025 Status and Strategy • € 4 Mn FX loss in H1 2025 due to headwind with 13% weakening of USD against EUR • Exposure to frontier country FX risk reduced to 10% in H1 2025 • Growth in mature markets expected to reduce impact of currency risks over time • Since quarter end, dollar has stabilized versus the Euro % of H1 Revenue In Volatile Currencies (ARS, NGN) Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros USD/EUR Trend 2024-25 27% 10% 73% 90% FY 2024 H1 2025 Volatile Currency Stable Currency
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Tecnotree Investor Presentation Q1 2025 All Figures in Million Euros (ME) H1 2025 Balance Sheet • Minor growth in intangible assets compared to year end 2024 • Trade and other receivables reduced by 9% compared to year end 2024 • Growth in cash and cash equivalents driven by free cash flow generated from operations • Significant reduction in current liabilities Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros Consolidated balance sheet, EUR million 30.6.2025 30.6.2024 31.12.2024 Non-current assets Intangible assets 44.2 40.1 43.1 Tangible assets 0.1 0.3 0.1 Deferred tax assets 0.0 0.4 0.0 Other non-current trade and other receivables 2.0 2.2 2.2 Current assets Trade receivables 32.8 32.6 34.5 Other receivables 37.7 41.0 42.0 Cash and cash equivalents 19.1 16.8 16.8 Assets total 136.0 133.5 138.9 Shareholders’ equity 93.1 87.6 92.6 Compulsory convertible debentures 23.1 23.1 23.1 Non-current liabilities Non-current interest-bearing liabilities 0.0 0.0 0.0 Other non-current liabilities 4.0 4.1 4.2 Current liabilities Current interest-bearing liabilities 5.3 4.7 3.9 Trade payables and other liabilities 10.4 14.1 15.1 Equity and liabilities total 136.0 133.5 138.9
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Tecnotree Investor Presentation Q1 2025 All Figures in Million Euros (ME) H1 2025 Takeaways • Order Book at Record High • 5 Quarters of FCF and on Track to Meet FY Guidance of Greater Than € 4 Mn • Cost Cutting Measures Last Year Paying Off, With Substantial Margin Improvement In H1 25 • Dollar Based Contracts Hurt By Dollar Weakness in H1 • Healthy Underlying Performance – Guidance on Target Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros
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Tecnotree Investor Presentation Q4 2024 Q&A Session Tecnotree Board Presentation Q1 2025 All Figures in Million Euros (ME)Tecnotree Investor Presentation Q4 2024 All Figures in Million Euros (ME)Tecnotree Investor Presentation H1 2025 All Figures in Million Euros
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