Smartoptics Group AS (SMOP) - Q4 2024 financial results

13 Feb 2025 06:00 CET

Oslo, 13 February 2025 - Smartoptics Group AS (Smartoptics, OSE: SMOP) today
reported revenues of USD 16.9 million in the fourth quarter of 2024. This is a
growth of 22 percent compared to the fourth quarter of 2023. EBITDA was USD 2.4
million (2.3 million in the fourth quarter of 2023). The gross margin of 49.0
percent represented a sequential growth from 47.4 percent in the third quarter
of 2023 and a decline from 50.5 percent in the fourth quarter of 2023. The
EBITDA margin was 14.4 percent (16.8 percent), a sequential improvement from 8.3
percent.

"Smartoptics experienced substantial growth in the fourth quarter, driven by
strong market activity and an attractive product portfolio. After four soft
quarters, the 2H 2024 rebound was expected. We are pleased to see that our
efforts to attract new customers and launch new products have paid off," says
Magnus Grenfeldt, CEO of Smartoptics.

With an innovative approach to optical network solutions and devices,
Smartoptics operates in a market with strong positive trends. The main driver is
the ever-growing demand for bandwidth supported by factors like increased
internet streaming, more cloud computing and the AI explosion.

"One of the significant accomplishments in 2024 was the advancement of our
strategy to enhance our standing among major telecommunications operators and
corporations. Relevant new products and targeted sales work and relationship
building really paid off and contributed to the growth in the fourth quarter.
Looking ahead, we believe uncertainty in the market is reduced, and the
willingness to invest is to a large extent back among our customers," says
Magnus Grenfeldt.

Smartoptics' business model implies significant scalability, which led to the
improved EBITDA margin in the fourth quarter. In the medium to long-term,
Smartoptics targets EBITDA margins of 17-20 percent, and the ambition is to
reach USD 100 million of annual revenue by 2025/2026.

The Smartoptics Board of Directors intends to propose to the Annual General
Meeting 8 May 2025 a dividend of NOK 0.60 per share, increased with NOK 0.10
since last year.

-ENDS-

Quarterly Presentation

Smartoptics will host a presentation of the results by CEO Magnus Grenfeldt and
CFO Stefan Karlson today at 10:00 CET at Hotel Continental in Oslo. The
presentation will also be streamed live.

Date: Thursday 13 February 2025
Time: 10:00 CET
Venue: Hotel Continental, Oslo
Language: English
Link: https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20250213_7

The report and presentation will be made available at smartoptics.com and
www.newsweb.no. A recorded version of the presentation will be available after
the live stream is concluded.
For more information please contact
Magnus Grenfeldt
CEO
Smartoptics
+46 73-366 88 77
E-mail: magnus.grenfeldt@smartoptics.com

This information is subject to the disclosure requirements pursuant to Section 5
-12 of the Norwegian
Securities Trading Act.

About Smartoptics
Smartoptics provides innovative optical networking solutions and devices for the
new era of open networking. Our customer base includes thousands of enterprises,
governments, cloud providers, Internet exchanges as well as cable and telecom
operators. We have an open networking approach in everything we do which allows
our customers to break unwanted vendor lock-in, remain flexible and minimize
costs. Our solutions are used in metro and regional network applications that
increasingly rely on data center services and specifications. Smartoptics is a
Scandinavian company founded in 2006. We partner with leading technology and
network solution providers such as Brocade, Cisco and Dell and have a global
reach through more than 100 business partners.
For additional information about Smartoptics, please visit
smartoptics.com/ (https://www.smartoptics.com/)

More information:
Access the news on Oslo Bors NewsWeb site

638458_Smartoptics_Q4_2024_report.pdf
638458_Smartoptics_Q4_2024_Financial_Presentation.pdf
638458_Q4_2024_SMOP_Stock_exchange_PR.pdf