LINK Mobility - Q1 23 - Strong quarter with traction in the US

LINK Mobility (LINK) reports revenue of NOK 1,440 million, growing 23% in the first quarter of 2023 with strong FX tailwind. Organic revenue growth in fixed currency was 12%. Gross profit and adjusted EBITDA were reported at NOK 398 million and NOK 181 million, with organic growth in fixed currency of 13% and 16% respectively. The US business performed better than planned, whilst Europe as expected saw moderate underlying growth with high same period last year comparables and softness in the retail markets in Q1 23. Cost initiatives were executed according to plan. Strong free cash flow generation in the quarter of NOK 118 million. LINK reiterates its forward-looking statement for 2023 for an organic adjusted EBITDA growth of 12-15% in fixed currency.

LINK experienced strong momentum in the US with a high contract backlog for messaging solutions and a broader geographical exposure to critical events messaging across the continent. Critical events messaging amounted to USD 1.4 million in Q1 23 related to winter storms. Messaging solutions gained traction from a catch-up effect related to a delayed build-up of contract backlog last year.

LINK's commercial focus resulted in a strong contract backlog growth in Europe driven by the preferred customer channel. SMS remains the channel of choice globally with more than 5 billion active users. The forecasted annual gross profit contribution from new contract wins, not including the US, increased by 45% YoY in Q1 23. A2P SMS grew by 55%, as traditional products were the solutions of choice in an uncertain macroeconomic landscape.

"We are pleased to report a strong first quarter with momentum in the US and solid contract backlog growth in Europe. Whilst FX effects supported reported figures in the quarter, underlying growth is on track for the year", says Thomas Berge, CEO of LINK.

The quarterly results will be presented in an audio webcast at 10:00 CET today by Thomas Berge, CEO and Morten Edvardsen, CFO.

The audio webcast targets investors, analysts and media. Attendees will be able to post and ask questions directly in a Q&A session following the webcast.

To join the audio webcast and post questions, please go to
https://channel.royalcast.com/landingpage/hegnarmedia/20230510_7/

The webcast is also available from LINK's investor relations pages
https://linkmobility.com/investor-relations/

To ask questions directly in the Q&A session, please dial in

PIN Code for all countries: 799682

NO: +47 2195 6342 SE: +46 8 1241 0952 DK: +45 7876 8490 UK: +44 203 769 6819 US: +1 646-787-0157

For further information, please contact

Tom Rogn, VP Investor Relations +47 94 85 56 59 tom.rogn@linkmobility.com

About LINK Mobility

LINK is an award-winning, leading global provider of mobile messaging and communications platform as a service (CPaaS) solutions for increased engagement. The company serves enterprise, SME, and government customers. LINK offers a wide range of innovative and scalable mobile solutions, creating valuable digital convergence between businesses and customers, governments and citizens, platforms and users. LINK has 51,000 active customer accounts globally and exchanges 17 billion messages a year. LINK is listed on the Oslo Stock Exchange under the ticker LINK. For more information about LINK, please see www.linkmobility.com and follow LINK Mobility on LinkedIn

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