Otovo Q3 2024: Reset and ready for 2025

24 Oct 2024 07:00 CEST

Otovo Q3 2024 Results

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(1) Cost programme on track
- Reduces personnel cost and opex by NOK 200-225m annually
- Takes down cash burn, aligns with profitability at low sales levels
- Simplifies the company around the Madrid hub

(2) Customer acquisition in transition
- Improved accuracy and cost in performance marketing
- Expanded partnerships, notably in the mobility direction
- Scaling up new sales methodology allowing more conversion per incoming
interest

(3) Markets remain challenging, commercial momentum affected by reorganization
- Otovo lost output and efficiency in Q3 as layoffs and restructuring hit sales
and throughput metrics
- Market outlook in Europe is challenging for the rest of the year, Otovo
believes in uptick in sales as consumer macro improves
- Hardware and leasing shares expected up in coming quarters

(4) Portfolio sale is progressing
- Expected to close in Q1 with a cash release of NOK ~150-175m after debt
repayment

Main takeaways
- Cost structure reset and adjusted for 2025
- Customer acquisition improvements change odds in a market that remains
challenging
- Short term fluctuations to be expected while medium term position is vastly
improved

Andreas Thorsheim, CEO of Otovo, remarks on the quarter:
– In the third quarter we announced and started the execution of a downsizing of
approximately 170 co-workers and more than NOK 200 million in cost reductions.
As we report today, most of those actions are taken and the effects will
materialize as planned toward the end of the year.

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Please find attached the quarterly report. Andreas Thorsheim (CEO) and Petter
Ulset (CFO) will provide a presentation at the webcast at 12:00 on 24 October,
that can be obtained through the following link:
https://my.demio.com/ref/5C6jb0aHsAH8Tgci

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Disclosure Regulation

This information is subject to the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.
Metrics used in this notice are defined in the attached financial report.

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About Otovo: For homeowners, Otovo is the easiest way to get solar panels on the
roof, and batteries in the home. Otovo is a marketplace that organizes hundreds
of local, high quality and qualified energy installers. The company uses its
proprietary technology to analyze the potential of any home and finds the best
price and installer for customers based on an automatic bidding process between
available installers.

Follow us on investor.otovo.com for reports, financial calendar, contact details
and more.

More information:
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630247_Otovo - Q3 2024 Report.pdf