Flat Capital

Financial position

• Net Asset Value (NAV) amounted to 412 759 KSEK, corresponding to 8.41 SEK per share, which represents a decrease of -5.8% per share for the quarter.
• Net cash amounted to 162 351 KSEK, equivalent to 39% of NAV as of December 31, 2023.

The period October-December 2023

• Change in value of financial assets amounted to -24 384 KSEK (-12 324). During the period, the largest change in value relates to Instabee of -33,460 KSEK. 
• Investments during the period amounted to 3 203 KSEK (31).
• Operating expenses for the period amounted to 1 642 KSEK (1 671) corresponding to 1.54% of average NAV during the period, annualized.
• Operating profit amounted to -26 025 KSEK (-13 995). The operating profit includes unrealized changes in value of -24 384 KSEK (-12 324).
• Profit after tax amounted to -25 527 KSEK (-14 542).
• Profit per share amounted to -0.52 SEK (-0.45).

The period January-December 2023

• Change in value of financial assets amounted to -77 921 KSEK (-66 235). 
• Investments during the period amounted to 61 414 KSEK (54 347).
• Operating expenses for the period amounted to 7 598 KSEK (5 389) corresponding to 2.00% of average NAV during the period, annualized. Of the operating expenses, 1 686 KSEK is related to the incentive programme approved in connection with the AGM in 2023.
• Operating profit amounted to -85 519 KSEK (-71 624).
• The operating profit includes unrealized changes in value of -70 694 KSEK (-90 395) and realized changes in value of -7 227 KSEK (24 160).
• Profit after tax amounted to -83 358 KSEK (-64 648).
• Profit per share amounted to -2.35 SEK (-2.08).
• For 2023, the Board proposes that no dividend be paid.

Significant investments and divestments during the quarter

• No significant investments or divestments were made during the period.

Other significant events during the quarter

• No other significant events during the quarter.

Other events during the quarter

• During the quarter, Flat made an investment of 300 KUSD, corresponding to c. 3.1 MSEK in a US-based AI company. Flat has indicated interest in a larger ticket in the company, but since the round has not yet been completed, we will return with more information. 
• During the quarter, an investment of 74 KSEK was also made in Quartr.
• In December 2023, Adobe and Figma announced that the two parties have entered into a mutual agreement to terminate the merger agreement entered into in September 2022. As Flat never adjusted the value of Figma upwards after the indicative offer, there is no adjustment to the valuation as of Q4 2023. 
• Amaury de Poret is titled as an executive member of the Board to better reflect his role in Flat. The Board will also propose to compensate Amaury with 125 KSEK for 2023, compared to the previous 75 KSEK per year. No salary will be paid. 
• Flat is currently engaged in a number of investment processes that we hope will materialise in the near future. All investments are sourced through our global network and operate, among other things, in the AI sector.

Significant events after the end of the quarter

• No significant events have occurred after the end of the quarter.

This text has been translated using DeepL.

Link to the report on the website:
https://www.flatcapital.com/en/investor-relations/

For further information, please contact:
Hanna Andreen (former Wachtmeister), CEO, hw@flatcapital.com, +46 (0) 70 661 60 05
Antonio Melani, CFO, am@flatcapital.com,+46 (0) 72 221 81 32

Certified Adviser:
Flat Capital's Certified Adviser is Augment Partners AB, info@augment.se, +46 (0) 8 604 22 55

About Flat Capital:
Flat Capital is an investment company that focuses on growth stage companies with prominent entrepreneurs in leading positions and primarily makes investments through its network of world-class investors and entrepreneurs. The company was founded in 2013 by entrepreneurs Nina and Sebastian Siemiatkowski (founders and CEOs of Milkywire and Klarna, respectively) and is led by CEO Hanna Andreen (former Wachtmeister) together with an experienced board of directors. Examples of portfolio companies include Klarna, OpenAI, Instabee, Figma and DeepL. The company aims to provide long-term capital and is essentially a passive minority shareholder, while Flat Capital's experience and network are available to the extent the entrepreneur wishes. The aim is to facilitate successful company building and enable exposure to otherwise hard-to-reach and promising companies.
More information is available at www.flatcapital.com

Note: This is a non-official translation of the Swedish original text. In case of any discrepancies between the Swedish text and the English translation, the Swedish text shall prevail.