Insplorion

Outcome July – September

• Net sales amounted to TSEK 490 (1 491)
• Profit after net financial items amounted to TSEK -3 459 (-2 745)
• Basic and diluted earnings per share: SEK -0.15 (-0.21) SEK
• Cash flow from operating activities and investing activities: TSEK -4 884 (-5 296)

Significant events July - September

• Insplorion hydrogen sensor part of new proof-of-concept project with a large international customer operating in the packaging industry.
• Insplorion takes its first order in Japan, through a distributor within the automotive industry.
• Per Giljam steps down as CFO at Insplorion.
• Insplorion resolves on a partially guaranteed rights issue.

Significant events after the end of the period

• Insplorion signs Letter of Intent with Saab for new collaborative project in the aviation industry.
• Insplorion publishes prospectus regarding rights issue of units.
• Insplorion receives three new orders with a total order value of 180 KSEK.
• Insplorion announces outcome of rights issue.
• Insplorion announces last day of trading with BTU and first day of trading in warrants of series TO3.

Watch CEO Johan Rask comment and answer questions about the report at
1.00 pm November 21, 2024. Teams-link (Swedish).

A word from the CEO
It gives me great pleasure to state that Insplorion's sensor technology continues to generate significant interest in the market. During Q3, and moving into the final quarter of the year, we have seen a steady rise in inquiries, as well as an increasing number of new interests from potential customers which have led to new business deals.

For example, during Q3 we announced Insplorion's first order of the NPS-P1 product to a Japanese customer, a company active in testing operations aimed at the automotive sector. Another interesting deal was concluded with a large European company within the packaging sector, with the purpose of being able to measure the presence of hydrogen in one of their processes.

During the current quarter, the marketing and sales work has provided exciting new opportunity openings to both collaborations and business. Among other things, we have concluded an LOI (Letter of Intent) with Saab Group, where, together, we intend to respond to a large project request relating to hydrogen safety in the aviation sector. Our ability to read sensors remotely using fibre optics has proven to be a crucial factor here.

We were also able to communicate in October that we had received three different smaller orders for the next generation hydrogen gas sensor (NPS-P2), despite it not having been officially launched or ATEX certified yet. The NPS-P2 product is intended to be launched early in 2025, and, following ATEX certification, it can be sold in significantly larger volumes. ATEX certification means that the product is safe to assemble in a potentially explosive environment, which is an obvious requirement from customers as it needs to detect leaks, something that is very important in an explosive environment.
 
When it comes to orders, it can also be noted that we have included another important order for an NPS-P2 from a company whose application requires being able to detect hydrogen mixed with natural gas, among other things. This is a requirement that suits Insplorion extremely well. Another new interesting collaboration we recently began is a project with the company Hydraspecma, who are specialists in hydraulics and couplings for large customers in the Industry and Automotive sectors. In the long term, the idea is to be able to offer Insplorion's sensors to Hydraspecma's customer base together with their products for coupling to various systems, where the purpose is to measure hydrogen gas.

As a whole, the positive events within our marketing and sales work described above demonstrate that Insplorion's products and technology have significant commercial value. We look forward to being able to increase the pace of work in order to create value for our customers, partners and shareholders - not least with the help of the rights issue, totalling approximately MSEK 20.6, that we carried out in October.
 
Gothenburg, Sweden

November 2024

Johan Rask, CEO

The report is also available on the company website at the IR-page