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Q2 Interim Report January - June 2021 April - June 2021 • Net sales increased by 127 percent to SEK 3,682 million ( 1,622 ) . Organic growth in local currency was 48 percent . • Gross profit increased by 89 percent to SEK 869 million ( 460 ) . Organic growth in local currency was 32 percent . Adjusted EBITDA¹ increased by 42 percent to SEK 284 million ( 200 ) . • Adjusted EBIT2 amounted to SEK 254 million ( 185 ) . • Profit after tax for the quarter amounted to SEK 47 million ( 37 ) . • Diluted earnings per share were SEK 0.07 ( 0.06 ) . January - June 2021 Net sales increased by 117 percent to SEK 7,032 million ( 3,246 ) . Organic growth in local currency was 43 percent . ● sinch " We now see broad - based growth , across different customer segments and geographies , in addition to the growth from our largest customers . " Oscar Werner , CEO • Gross profit increased by 86 percent to SEK 1,689 million ( 907 ) . Organic growth in local currency was 28 percent . Significant events during the quarter • It was announced on 4 May that leading American market intelligence firm IDC had recognized Sinch as a global leader in the Communications - Platform - as - a - Service ( CPaaS ) market . ● Adjusted EBITDA¹ increased by 47 percent to SEK 552 million ( 377 ) . Adjusted EBIT² amounted to SEK 498 million ( 346 ) . • Profit after tax for the period amounted to SEK 188 million ( 134 ) . • Diluted earnings per share were SEK 0.28 ( 0.22 ) . • The annual general meeting of shareholders in Sinch AB ( publ ) resolved on 18 May in favor of a 10 - for - 1 stock split . The first day of trading in the company's shares after the stock split was 17 June 2021.3 • A directed issue of 7,232,077 shares was executed on 24 May at a subscription price of SEK 1,300 per share ( corresponding to SEK 130 per share after the stock split on 17 June ) . The directed issue was heavily oversubscribed and the company raised about SEK 9,400 million before issue costs . Sweden : +46 ( 0 ) 8 566 42 651 United Kingdom : +44 333 30 00 804 United States : +1 631 913 1422 Sinch entered into a binding agreement on 9 June to acquire Message Media , a leading vendor of mobile messaging services to small and medium - sized businesses in the US , Australia , New Zealand and Europe . The consideration totals USD 1.3 billion on a cash and debt - free basis . Sinch will pay USD 1.1 billion in cash and the remainder in 1,128,487 new shares in Sinch . When the deal was announced , this corresponded to total consideration of SEK 10,745 million . Execution of the transaction is subject to customary terms and conditions and the approval of competition authorities in several countries . The transaction is expected to close in the second half of 2021 . Access code : • Sinch presented a change to the company's financial leverage policy on 9 June . The new target is that net debt over time shall be below 3.5 times adjusted EBITDA ( measured on a rolling twelve month basis ) . Before the change , the target was that net debt over time shall be below 2.5 times adjusted EBITDA . 965 268 01 # • Covid - 19 has had a negative impact on the smaller Voice and Video segment , but the pandemic has also led to increased volumes in Messaging . On current trends , Covid - 19 is not expected to have any material , further impact compared to the second quarter 2021 . INTERIM REPORT JANUARY - JUNE 2021 ¹ EBITDA before depreciation , amortization and impairments excluding items affecting comparability . See page 3 for a specification of items affecting comparability . 2 EBIT excluding items affecting comparability and depreciation and amortization of acquisition - related assets . See Note 5 for a specification of depreciation and amortization . 3 The key figures " Adjusted EBITDA per diluted share " and " Profit for the period per diluted share " have been restated for comparative periods . Invitation to phone conference Sinch will present the interim report in a webcasted conference call on 16 July at 14:00 CET . Watch the presentation at investors.sinch.com/webcast or call and register a couple of minutes in advance . Page 1 of 27