Interim report January-March 2022

Maintained momentum within Hydrogen
• TechForH2, where Insplorion is a partner, financed by the Swedish Energy Agency.
• Another customer-financed commercial pilot signed within the hydrogen business area.

Outcome January-March
• Net sales amounted to 149 (609) kSEK.
• Profit after net financial items amounted to –4,525 (–3,754) kSEK.
• Basic and diluted earnings per share: –0,35 (–0,35) SEK.
• Cash flow from operating activities and investing activities –5,681 (–9,072) kSEK.

Significant events January-March
• TechForH2 lead by Chalmers Technical University, where Insplorion is a partner, financed by the Swedish Energy Agency.
• Fourth subscription period of T01 resulted in 4290 new shares.

Significant events after the end of the period
• Annual general meeting was held on the 19th of April.

Finwire.tv: Watch CEO Johan Rask and CFO Per Giljam comment and answer questions about the interim report at 3.00pm today May 19, https://www.finwire.tv/webcast/insplorion/q1-presentation-2022/

In the first quarter of the year the positive momen-tum gained in the hydrogen business area has continued. During the period, we concluded an agreement for an additional customer-funded industrial pilot project with an order value of approximately KSEK 250. Together with this customer, we will assess the conditions within a certain type of process in which the presence of hydrogen in specific concentration levels has significant implications for the final result. Total sales for the quarter was however relatively low.
 

Positive pilot project
The outcome of our very first commercial hydrogen pilot, initiated in December 2021, was also reported during the period. The results were positive, and discussions a possible continuation of the project will be initiated. At the same time, we are moving forward with other interested customers/partners regarding additional applications in the hydrogen area. The strategy is to develop the products in selected segments within the framework of these collaborations.
 

The strategy work continues
As previously disclosed, an internal strategic over-view is also underway, where the management and Board are delving deeper into the technological and commercial prerequisites within our various business areas to ensure that we are adapted and equipped for the greatest value creation possible in the future
This effort is pursued resolutely. In the hydrogen area, for instance, we are seeing an overall transformation of the market towards hydrogen as an energy carrier – a shift that has gained further fo-cus particularly in Europe in recent times. Consider-able investments are made, and we have identified several areas of interest for our platform. Not least is this demonstrated by the customer projects we have entered. Moreover, the strategy effort coincides fairly well with the finalizing of the EU project Euro-stars InBat in the summer, where the on-board bat-tery sensor will be evaluated in several battery cells.
Interest in the M8 instrument
As for the battery area, the launch of the M8 instru-ment continues, and we see some solid interest among researchers for measuring directly in cells. Furthermore, we can report that a new customer has concluded a rental agreement for an instrument dur-ing the period.
 

Finally, it is worth pointing out that we continue to work purposefully, both on the operational side, where we are advancing our technology platform, of-ten in close collaboration with customers, and as re-gards our business and future priorities, which we are continuously reviewing.
Gothenburg, Sweden, May 19, 2022
Johan Rask, CEO