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© 2025 FPC Q2 2025 Earnings Presentation Adam Philpott, CEO Fredrik Hedlund, CFO August 14, 2025
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© 2025 FPC Agenda Executive summary 01. New Board to support growth 02. Transformation traction 03. Accelerating growth 04. Q2 Financials 05. Q&A 06.
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© 2025 Fingerprint Cards AB Executive summary – Q2 2025 Core Growth • Revenue from ongoing operations increased by 40% YoY , contributing to a 66% increase in 1H 2025 • Gross margin remained strong at 48.1%, and 53.0% in 1H 2025, reflecting shift to high-value products Asset Monetization • Asset monetisation delivers meaningful cash and future royalties (SEK 24m upfront cash deal with Egis) New Growth • Identity Cloud Partnership (Anonybit): launched intial decentralized biometric authentication product, integrated with PingOne DaVinci Business Modernization • Operational efficiency: Headcount -59% YoY Building towards positive EBITDA and FCF via double-digit profitable growth and monetization of unused assets/IP SEKm Q2 2025 Q2 2024 Change Q1 2025 Revenue 15.7 11.2 +40% 18.2 Gross margin % 48.1% 53.5% -5 pp 56.6% EBITDA1 -20.3 -57.6 nm 10.7 Free cash flow2 -18.4 -23.5 nm -36.4 Headcount3 49 119 -59% 52 Notes: 1) Q1’05 EBITDA includes SmartEye licensing SEK 29.5m favorability. 2) FCF = Operating Cash Flow + Investing Cash Flow. 3) End of Period, Including consultants (Q2’05 excl. three Disc. Ops headcount) Key figures
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© 2025 FPC John Lord (UK) Carl Johan Grandinson (SWE) • 25+ years leading and scaling global identity verification and biometric tech companies • Founded and sold TruNarrative (SaaS), acquired by LexisNexis in 2021 • Former Group MD at GBG; grew the company from £18M to £1B+ via international expansion and strategic M&A • Extensive track record building and scaling Nordic and European tech ventures • Led TradeDoubler expansion and founded multiple successful startups • Board member in high-growth tech companies, specializing in go-to-market and operational scaling New Board Members Building and scaling businesses + deep M&A and operational experience
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© 2025 FPC Year 2 of transformation: Accelerate Growth STABILITY Focus on cost optimization, financial discipline, and Core high margin products ACCELERATE GROWTH Strategically invest for profitable growth OPERATIONAL EXCELLENCE Maintaining financial discipline and a strong balance sheet to sustain transformation PHASE ONE PHASE TWO PHASE THREE ✓ Asset Monetization Growth: Core Business Growth: New Business Business Modernization ✓ 1 2 3 4 Strategic execution Three phase plan Egis SEK 24m +40% YoY HC -59% 1st Product Launched
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© 2025 FPC Asset Monetization • Strong Core Growth: 40% YoY Q2 • Marketing engine: Drive top-of-funnel by transforming marketing into a leads engine • Sensors to systems: moving up value chain with improving pipeline mix • PC asset monetization: 24m SEK improved balance sheet and growth investment • Patent partnership: Continue to monetize patent base, focusing on high-value IP Core Revenue Growth Business Modernization • Revenue Operations: Added cloud sales capacity. Modernize prospecting to increase customer outreach • AI native: Augment teams with AI-driven support to scale productivity Strategic Execution New Revenue Streams • Identity Growth Capacity: Invested in focused sales capacity for new identity business • Identity Cloud Product Launch: Target customers with PingOne Davinci IAM
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© 2025 FPC Asset Monetization Monetized PC assets and IP (SEK 24m, Egis) Continued strategic execution • Monetizing unused assets/IP aligned with focused strategy • Strengthens balance sheet and improves capital flexibility • Accelerates investment in core growth and new revenue streams • Majority of cash to be received in Q3’25, and remaining in Q4’25 Evaluating further monetization opportunities
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© 2025 FPC Key figures – Q2 results SEKm Q2 2025 Q2 2024 Change Q1 2025 Revenue 15.7 11.2 +40% 18.2 Gross profit 7.6 6.0 +26% 10.3 Gross margin % 48.1% 53.5% -5 pp 56.6% EBITDA1 -20.3 -57.6 nm 10.7 Free cash flow2 -18.4 -23.5 nm -36.4 Cash and cash equivalents 32.7 189.5 -83% 52.6 Headcount3 49 119 -59% 52 • Revenue: +40% YoY growth (+66% 1H 2025) • Gross margin: 48.1% (53.0% in 1H 2025) • EBITDA: SEK –20.3m, driving toward positive EBITDA • FCF: SEK –18.4m, driving toward positive cash flow • Cash & Equivalents: Decreased by SEK 19.9m to SEK 32.7m, driven by SEK –18.4m FCF and SEK -1.5m from FX impact/Other. • Headcount: -59% YoY , reflecting ongoing cost optimization • Asset monetization: Monetized PC assets and IP (SEK 24m, Egis) in August, securing cash and royalty upside to fund ongoing operations and growth initiatives • Cash position of SEK 32.7m plus SEK 24m asset monetization secures runway to execute growth initiatives and drive towards profitability Key Figures Q2 Dynamics Notes: 1) Q1’05 EBITDA includes SmartEye licensing SEK 29.5m favorability. 2) FCF = Operating Cash Flow + Investing Cash Flow. 3) End of Period, Including consultants (Q2’05 excl. three Disc. Ops headcount).
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© 2025 FPC Q2 Summary: Progress and Strategic Outlook Solid Progress on Strategic Turnaround • Core revenue YoY growth ~2x1 market (1H 2025 grew ~3X market) • Gross margin of 48.1% (1H 2025 53.0%), reflecting shift to high-value products • Operational discipline: -59 % headcount drives productivity; AI tooling to support growth Key Milestones Achieved • Monetized PC assets (SEK 24m, Egis), securing cash and ongoing royalty streams to fund growth initiatives • Strengthened and streamlined Board, adding deep expertise in scaling businesses, M&A, and operational excellence • Identity Cloud Partnership: launched initial decentralized biometric authentication product, integrated with PingOne; positions FPC for higher-multiple recurring revenue Strategic Focus Going Forward • Transformation Year 2: Accelerate growth • Drive positive EBITDA and FCF through continued operational discipline • Leverage and expand biometric strength into broader Identity market (1) Precedence Research (Jun-25): Biometrics market CAGR'25-34 = 20%, reaching $307B by 2034
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