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TagMaster LEARN FROM REALITY INTERIM REPORT 2021 JANUARY - MARCH Strong start of the year First quarter 2021 • • Net sales decreased during the first quarter by 5,7 % to 74,4 MSEK ( 78,9 ) Adjusted EBITDA increased during the first quarter by 43,3 % to 9,9 MSEK ( 6,9 ) , corresponding to an adjusted EBITDA margin by 13,3 % ( 8,8 ) Operating profit / loss was 4,8 MSEK ( -3,8 ) which correspond to operating margin of 6,5 % ( -4,9 ) • Profit for the period was 4,5 MSEK ( -8,7 ) Result per share was 0,01 ( -0,02 ) Cash flow from operating activities for the period was 3,4 MSEK ( 2,5 ) Subsequent events • TagMaster acquires Citilog SAS with admission date April 30 , 2021. The purchase price was 3,4 M € on a debt and cash free basis with adjustment of net working capital as of the closing date against normalized net working capital . The acquisition means that TagMaster takes over a business with a yearly turnover of approximately 5,8 M € . Amounts in TSEK Net sales Net sales growth , % 2021 Jan - March 74 405 2020 Jan - March 78 861 R12M April - March 281 997 2020 Full Year 286 453 -5,7 79,9 -5,4 8,9 Gross margin , % 66,7 65,4 66,1 65,7 Adjusted EBITDA 9865 6 905 30 289 27 329 Adjusted EBITDA margin , % 13,3 8,8 10,7 9,5 Equity ratio , % 57,9 56,3 57,9 55,7 Cash flow from operating activities , MSEK 3,4 2,5 28,4 27,4 Net debt / EBITDA , R12M -0,2 -0,2 Number of employees at end of period 98 115 99 For description and reconciliation of key figures , see pages 18 - 19 About TagMaster TagMaster is an application oriented technical company developing and selling advanced sensor systems and solutions based on radio , radar , magnetic and camera technologies for demanding environments . TagMaster works in two segments - Segment Europe and Segment USA - with the trademarks TagMaster and Sensys Networks - with innovative mobility solutions for increased efficiency , security , safety , comfort and to reduce environmental impact in Smart Cities . TagMaster has daughter companies in England , France , US and Sweden and exports mostly to Europe , The Middle East , Asia and North America through a global network of partners and system integrators . TagMaster was founded in 1994 and has its head office in Stockholm . TagMaster is a listed company and the share is traded at Nasdaq First North Premier Growth Market in Stockholm . TagMasters certified adviser ( CA ) is FNCA , telephone +46852800399 , E - mail : info@fnca.se www.tagmaster.com