NOTE's year-end report 2024

Financial developments in October-December
- Sales totalled SEK 1,025 (1,080) million. Adjusted for acquisitions and currency effects, organic growth was -6%.
- Operating profit totalled SEK 98 (118) million. Adjusted operating profit totalled SEK 108m (92), adjusted for revaluations of operating assets and liabilities in foreign currencies and for the previous year's provisions for extraordinary anticipated bad debt losses and reversal of additional purchase price for acquisitions.
- The operating margin was 9.51% (10.91%). The adjusted operating margin was 10.51% (8.51%).
- Profit after net financial items totalled SEK 91 (110) million.
- Profit after tax totalled SEK 73 (91) million, corresponding to SEK 2.55 (3.15) per share.
- Adjusted for items affecting comparability, such as acquisition payments, operating cash flow totalled SEK 140m (154). Cash flow after investments, including acquisitions, totalled SEK 124 (108) million, corresponding to SEK 4.35 (3.73) per share.

Financial performance in January-December
- Sales totalled SEK 3,901 (4,243) million. Adjusted for acquisitions and currency effects, organic growth was -10%.
- Operating profit totalled SEK 352 million (430). Adjusted operating profit totalled SEK 364m (400), adjusted for revaluations of operating assets and liabilities in foreign currencies and the year's provision to the restructuring reserve and for the previous year's provisions for extraordinary anticipated bad debt losses and reversal of additional purchase price for acquisitions.
- The operating margin was 9.01% (10.11%). The adjusted operating margin was 9.31% (9.41%).
- Profit after net financial items totalled SEK 310 (390) million.
- Profit after tax totalled SEK 248 (320) million, corresponding to SEK 8.61 (11.04) per share.
- Adjusted for items affecting comparability, such as acquisition payments, operating cash flow totalled SEK 539m (289). Total cash flow after investments, including acquisitions, amounted to SEK 465 (98) million, corresponding to SEK 16.33 (3.38) per share.

Dividends
To ensure maximum financial freedom of action, the Board of Directors intends to revert to the issue of a possible dividend, or share buy-back, for 2024 at the latest in the context of the invitation to the 2025 Annual General Meeting.

CEO comment - NOTE is proud to deliver an underlying operating margin of a full 10.5% - our second highest ever. And this in a weak market. We're continuing to invest for the future and the growth to come.

”Fourth quarter sales of SEK 1,025 million were in line with our expectations and in the upper range of the guidance we provided. Given the weak market in 2024, we are satisfied even though we know that we have a stronger customer portfolio than that.

Despite late reductions in volumes from customers, we have managed to deliver high profitability through recurring adjustments of our resources and continuous work on efficiency improvements. We see it as a sign of strength that we achieved an underlying margin of 10.5% during the quarter. The profitability we achieved in the quarter is the second highest we have delivered, despite a weak market.

Our high profitability is a strong contributing factor to the strong cash flows we delivered during the year, but we also have a positive effect from the fact that all our factories have worked hard to reduce excess inventories and streamline tied-up working capital. In the fourth quarter, operating cash flow was SEK 140 million, and the corresponding figure for the full year was SEK 539 million. NOTE's financial situation remains very favourable.

We expect sales for the first quarter of 2025 to be in line with sales for the fourth quarter of 2024. For the full year 2025, we reiterate our guidance of sales in the range of SEK 3.9-4.3bn with an operating margin in the range of 9.5-10.5%.”, says Johannes Lind-Widestam, President and CEO.

NOTE's year-end report for 2024 is available from today in pdf format on its website, www.note-ems.com, and is attached to this press release. Today at 10.00 CET NOTE organises
a presentation for analysts, media and investors where President and CEO Johannes Lind-Widestam presents the report. The interim report for January-March will be presented on 24 April.

About NOTE
NOTE manufactures printed circuit boards (PCBA), sub-assemblies and complete products (box build). NOTE is a competitive electronics manufacturer and a stable business partner to customers with high standards. Its products are found in complex systems for electronic control, monitoring and security, for example.

The business model is based on offering advanced manufacturing, customised logistics solutions and advice at the best possible total cost through long-term customer relationships and partnerships. The customer offering covers the entire product life cycle, from design to aftermarket. Customers are primarily large companies operating on the global market, but also companies with their primary sales in northern Europe.

NOTE is established in Sweden, Finland, the UK, Estonia, Bulgaria and China. Sales in the last 12 months totalled SEK 3,849 million and the group has some 1,450 employees. NOTE is listed on Nasdaq Stockholm. For more information, please visit www.note-ems.com.

Year-end report 2024