NHST GROUP’S DEVELOPMENT IN THE FIRST QUARTER OF 2024

NHST GROUP’S DEVELOPMENT IN THE FIRST QUARTER OF 2024

• Total revenues for the Group were 3.6 per cent higher in the first quarter 2024 compared to the first quarter 2023.

• DN Media Group`s revenues were 2.2 per cent higher than in 2023. The growth was partly driven by currency impact on sales in foreign currencies. The growth in digital subscription revenues was 19.2 per cent in the quarter. While digital revenues continued to grow, the reduction in print-based revenues also continued. User market revenues in DN Media Group increased by 4.5 per cent while revenues from advertising and commercial services showed a reduction of 4.3 per cent.

• In the SaaS segment, Mynewsdesk showed growth in recognized revenues versus the year before, while Mention Solutions reported lower revenues. In their respective functional currencies, Mynewsdesk`s revenues increased by 3.2 per cent while Mention`s recognized revenues decreased by 5.0 per cent.

• Development of products and support systems continues in both segments.

• In the course of the first quarter, the Group reached an agreement with its bank on new terms and conditions for the revolving credit facility which is the main source of external financing for the Group. The solution included a loan from major shareholder amounting to NOK 20 million. The new terms for the bank loan include a repayment profile that will reduce the loan in steps towards the final maturity in 2025, as well as a new covenant structure adapted to the Group`s financial situation and performance. The loan has been classified as long term at the end of the quarter.

• The CEO of DN Media Group, Trond Sundnes, announced in March that he is resigning from his position and will be leaving the company.

Total revenues for the Group were NOK 276.1 million, an increase from NOK 266.5 million in the first quarter 2023.

Group operating expenses were NOK 288.8 million in the quarter, versus NOK 281.2 million in the corresponding quarter last year. The operating expenses included an accrual of NOK 8.8 million for restructuring expenses in the SaaS companies.

Group EBITDA for the quarter, before non-recurring items, was minus NOK 4.0 million vs minus NOK 14.7 million in the first quarter 2023.

Investments in product and process development were NOK 14.9 million in the quarter, compared to NOK 16.4 million in the corresponding quarter last year.

Group liquidity was satisfactory with bank balances at the end of the quarter amounting to NOK 154.3 million.