Síminn hf. – Results for the second quarter of 2024 Page 1

Financial highlights Q2 2024

• Revenue in the second quarter (Q2) of 2024 amounted to ISK 6,871 million compared to ISK 6,283 million in the same period in 2023 and increased by 9.4%. Revenue from Síminn’s core activities, mobile, data and TV services, increased by just over 5% compared to Q2 2023. The activities of the acquired companies in the advertising market are fully included in the group’s activities in Q2 with revenue of just under ISK 400 million.
• EBITDA amounted to ISK 1,726 million in Q2 2024, an increase of ISK 316 million or 22.4% compared to the same period in 2023. The EBITDA ratio was 25.1% in Q2 2024, compared to 22.4% in the same period in 2023. Operating profit EBIT amounted to ISK 636 million in Q2 2024, compared to ISK 362 million in the same period in 2023.
• Net financial expenses amounted to ISK 320 million in the second quarter of 2024, compared to ISK 145 million in the same period of 2023. Financial expenses amounted to ISK 501 million, financial income to ISK 178 million and foreign exchange gain to ISK 3 million.
• Profit in the second quarter of 2024 amounted to ISK 244 million, compared to ISK 179 million profit in the same period of 2023.
• Interest-bearing debt, including lease liabilities, amounted to ISK 15.7 billion at the end of Q2 2024, compared to ISK 10.5 billion at the end of 2023. Most of the increase is explained by the acquisition of companies in the advertising market. Cash flow amounted to ISK 1.6 billion at the end of Q2 2024, compared to ISK 1.8 billion at the end of 2023. The balance of loans at Síminn Pay amounted to ISK 3.0 billion at the end of Q2 2024, increasing slightly in the quarter.
• Síminn’s equity ratio was 46.3% at the end of the second quarter of 2024 and shareholders’ equity amounted to ISK 18.3 billion.

Orri Hauksson, CEO:

„The second quarter was eventful and positive for Síminn. Revenue, EBITDA and EBIT from the company’s core activities grew at an acceptable rate and new activities in digital signage advertising were added to our product range, further strengthening the operation. There was a lot of movement in the telecommunications market, especially at the beginning of the year. Síminn managed to gain new customers, but there was also significant churn, which has now decreased again after targeted countermeasures regarding service and experience. The number of foreign tourists was below expectations at the beginning of the high season, but increased as the summer progressed. The company’s cost management has been successful, which is particularly pleasing as large cost items are indexed and prices have generally increased during the year, as is known.