Speqta AB (publ) Interim Report for the period January 1 – June 30, 2023 is published and available on:

https://speqta.com/en/investors/financial-report

Second quarter results in brief

• Revenues for the second quarter amounted to KSEK 1 958 (3 439). The decrease is explained by the transition from Shopello to Bidbrain which has a higher margin and long-term potential. During the third quarter the revenues from BrightBid will be included since the transaction was closed July 3, 2023.
• EBITDA amounted to KSEK -8 481 (-12 356).
• Earnings per share (including divested operations) amounted to SEK -1.44 (7.02).
• Cash flow from operating activities (including divested operations) amounted to KSEK -8 542 (-12  972).
• Cash and cash equivalents at the end of the period amounted to KSEK 44 737 (94 227).
• Speqta's paying customers grows with the acquisition of BrightBid from 39 to 443, and MRR from MSEK 0.2 to 3.6, at the end of the second quarter.
• Speqta's cARR grows with the acquisition of BrightBid from MSEK 1.8 to 57.4, at the end of the second quarter.

Events during the quarter

• Speqta entered into an agreement to acquire the AI-based SaaS company BrightBid. 
• At the extraordinary general meeting on June 26, 2023, an issue of 17,621,411 shares was decided and directed as payment to the sellers of BrightBid AB, which was executed on July 3, 2023.
• A dividend of SEK 6.83 per share, corresponding to a total of approximately MSEK 45, was determined and was paid out during the quarter.

Events after the quarter

• The acquisition of BrightBid was completed on July 3, 2023.
• Speqta implemented changes in the executive management by appointing Gustav Westman, founder of BrightBid, as business manager and operational leader for the BrightBid and Bidbrain operations, while Malin Blomberg leaves her position as CEO of Adtech.
• At the extraordinary general meeting on July 21, 2023, a new board was elected. Gustav Westman, Mikael Lindblom, Anders Gustafsson and Christos Stavropoulos were elected as new members, while André Lavold and Jari Piipponniemi declined re-election.

CEO Comment
The acquisition of BrightBid has transformed Speqta into a leading global player in AI-based marketing. With BrightBid, we strengthen our offering, broaden our customer base, and significantly increase revenue. Our complementary competencies also make us even stronger. Now, together, we are stepping up and embarking on Speqta's growth journey, where we the past year have achieved a cARR growth rate of 97%.

July 3rd this year was a historic day for Speqta. That's when we completed the acquisition of BrightBid, a leading player in AI-based search advertising. The payment was made with an issue of our own shares, resulting in approximately a 72 percent dilution for Speqta's shareholders. The deal is undoubtedly a perfect match. Both companies share the same fundamental strategy – to use AI as a technology for online marketing. At the same time, we have differences in our offerings and focus, with text ads versus shopping ads, which complement each other well.

With BrightBid, we make a sought-after expansion of our offering to include text ads and can now offer customers the majority of online search advertising. One of the most important strengths that BrightBid brings us is access to B2B customers. BrightBid also has a substantially larger customer base with over 400 customers worldwide, compared to Bidbrain who has 39 stores as customers.

Growing cARR +97% - To increase transparency and provide investors and shareholder with a better understanding of our future growth, we are reporting cARR (Contracted Annual Recurring Revenue) starting this quarter. In this definition, we include signed and contracted future revenues to indicate how we will grow. Bidbrain's cARR in the second quarter was MSEK 2, and if BrightBid had been consolidated in the second quarter, our cARR would have amounted to over MSEK 57. The corresponding cARR at the end of the second quarter of 2022 was MSEK 29, a growth of 97% annually. The growth from the first quarter of 2023 amounts to 23%, from MSEK 47.

Over the past 18 months, we have transformed Speqta from a relatively scattered group within online marketing into a focused, strong company in AI-based marketing. At the same time, we have distributed approximately MSEK 360 to shareholders in dividend and amortized all interest-bearing debts. With the acquisition of BrightBid we at Speqta now have our sights set on becoming a leader in AI-based services for online marketing!

Fredrik Lindros, CEO Speqta AB (publ)

Financial calendar
Interim report Q3 2023: November 9, 2023
Year-end report 2023: February 22, 2024 

This information is such information that Speqta AB (publ) is obliged to publish in accordance with the EU Market Abuse Regulation. The information was submitted, through the agency of the contact person below, for publication on August 24, 2023 at 07:00 CET.

Contact:
Fredrik Lindros
CEO Speqta AB (publ)
fredrik.lindros@speqta.com
+46 723 10 66 66
www.speqta.com

About Speqta
Speqta is an Adtech company that offers traffic generating services using data and AI. The company has three services: The Affiliate network Shopello, the SaaS service Bidbrain, and the SaaS service BrightBid. Speqta is listed on Nasdaq First North Premier Growth Market in Stockholm under the ticker ”SPEQT”. Redeye AB is the company’s Certified Adviser.