CORRECTION TO ENEDO PLC’S FINANCIAL STATEMENTS RELEASE 1 JANUARY -31 DECEMBER 2022

CORRECTION TO ENEDO PLC’S FINANCIAL STATEMENTS RELEASE 1 JANUARY -31 DECEMBER 2022

Enedo PLC corrects the Financial Statements Release of March 1st, 2023 at 8.00 a.m.

The corrected information for the period of H2 2022 and full year 2022 in the Key indicators table are the following:

Below the full corrected Financial Statements Release 1 January – 31 December 2022.

ENEDO PLC’S FINANCIAL STATEMENTS RELEASE 1 JANUARY – 31 DECEMBER 2022

This release is a summary of Enedo’s financial statements report January -December 2022. The full report is a pdf attachment to this stock exchange release and is available at company website at www.enedopower.com

July – December 2022 in brief, Continuing operations
- Net sales EUR 25,9 million (EUR 18,3 million)
- Operating profit/loss EUR 0,8 million (EUR -3,7 million)
- Adjusted operating profit/loss EUR 0,9 million (EUR -1,9 million)
- EBITDA EUR 2,2 million (EUR –2,0 million)
- Adjusted EBITDA EUR 2,4 million (EUR -0,5 million)
- Earnings per share EUR -0,0 (EUR -0,06)

Financial year 2022 in brief, Continuing operations:
- Net sales EUR 46,8 million (EUR 36,4 million)
- Operating profit/loss EUR 0,3 million (EUR -6,6 million)
- Adjusted operating profit EUR 0,7 million (EUR -4,2 million)
- EBITDA EUR 3,2 million (EUR -3,2 million)
- Adjusted EBITDA EUR 3,6 million (EUR -0,8 million)
- Earnings per share EUR -0,02 (EUR -0,08)

Estimate of financial development in 2023

The company has decided to continue its policy not to give an estimate for its financial development.

Mikael Fryklund, Enedo President and CEO

Enedo’s net sales in H2 2022 increased with 41% compared with the same period of 2021 and reached Eur 25,9 million (Eur 18,3 million). The net sales for the whole year 2022 was Eur 46,8 million (Eur 36,8 million). The adjusted operating profit was Eur 0,9 million (Eur -1,9 Million) for the H2 2022 and Eur 0,7 million (Eur -4,2 million) for the whole year 2022. The order intake continued strong during the second half of 2022, and was EUR 33.9 million, which is 10% higher than the order intake in the second half last year. The order book at the end of the year was Eur 40,3 million (Eur 28,7 million) an increase of 40% compared to the orderbook end of last year.

The groupwide turnaround program has been fully implemented by the end of Q3 2022 and the positive impacts can be seen on the financial performance of H2 2022. Enedo will continue improving operative processes, make capacity investetmens in Tunis and take actions on identified risks. The global shortage of components is still prevailing, however with some improvements on certain commodities.

Net sales in all product gategories increased in H2 2022 more than 30% compared the comparison period whereas the increase was strongest in Power supplies product gategory where the net sales increased 47% over the H2 2021.

Geographically the net sales increased during H2 2022, most in Asian market where the growth was 110% compared to H2 2021. The American market increased 22% and EMEA market 44% over H2 2021.

Actions to improve our logistic procedures have continued through H2 2022, and further actions will be taken during the year 2023.

On July 1, 2022 Inission AB increased ownership in Enedo to 80,43 % and has during H2 2022 decided to exercise its redemption right and to redeem all the remaining shares in Enedo. According to the ecurrent estimate Enedo shalle be delisted from Nasdaq Helsinki Ltd by the end of April 2023. At the end of the year 2022 Inission ownership in Enedo was 95,85%

Becoming a business area of Inission has strengthened our financial capabilities and possibilities to gain synergies with Inission, which is indeed promising for the future. The company will continue operating under Enedo Brand.

Business environment

The overall demand in the power supply services market continued good despite the war in Ukraine and continued lock-downs in China and other countries. This has affected electronics industry globally. The rising inflation and cost of manufacturing as well as shortages in component availability has continued through the reporting period.

Enedo is working in close co-operation with the suppliers and customers to keep adequate inventory levels to mitigate the risks regarding the global component shortage.

Short-term risks and uncertainties

General economic developments may affect the company's business environment. The war in Ukraine has led to increasing risks on economic growth which if continued may effect the demand for Enedo’s products. Covid-19 is still effecting to uncertainty in the industry and, depending on the development of the pandemic, may have potential effects on our customers' ability to operate.

Certain business risk are related to the success of key customers' products in the market. The progress of Enedo's product development projects depends in part on the schedules of customers' own projects. In addition, the fluctuations in demand typical of the market cause rapid changes in Enedo's business.

A substantial risk is the required improvements of production planning and procurement procedures in Tunis and capacity constraints in respect of machine capacity, which in a growing market with shortage of components makes the situation even more challenging. Improvement actions are taken place in this respect, both investments and competence.

Due to the nature of the business, Enedo is subject to claims, of which the final solution cannot be predicted. Based on current information, there are no claims that are expected to have a material impact on the Group's financial position.

The delivery times of the components required by the company are partly long and there may be difficulties in obtaining certain components from time to time, which may affect the delivery capacity. The war in Ukraine and Covid-19 have increased the level of uncertainty in each country, which may affect our delivery capacity.

Enedo is carefully managing the short and long-term cash position by updating the cash forecasts on a weekly and monthly basis. Enedo aims to sign a new long-term loan to cover the short term loan amortization of Eur 3,9 million on 30^th September 2023. At the balance sheet date there is not yet an agreement in place to sign a new loan but management believes the company is able to agree on funding with support from the parent company Inission AB.

Board of Directors’ proposal for the distribution of dividend

The Board of Directors will propose to the Annual General Meeting on May 4th, 2023 that no dividend will be distributed.

Events after the end of the financial year

Enedo has signed a shareholder loan with Inission AB for the amount of Eur 0,82 million during January and February 2023. There has been no other material events after the end of the financial year.

ENEDO PLC

Board of Directors


For further information please contact Mr. Mikael Fryklund, CEO, tel. +358 40 500 6864 on 1^st March 2023 at 12:00-13:00.

DISTRIBUTION  
Nasdaq Helsinki Oy
Principal media

Enedo

Enedo is a European designer and producer of high-quality electronic power supplies and systems for critical equipment even in the most demanding environments. Enedo´s mission is to make electricity better – more reliable, more secure, more energy efficient – and just right to fit its purpose. Enedo´s three main product categories are Led Drivers, Power supplies and Power Systems. In 2022 the group´s revenue was EUR 46,8 million. Enedo has 357 employees and its main functions are located in Finland, Italy, Tunisia and USA. The group´s head office is in Finland and parent company Enedo Oyj is listed on Nasdaq Helsinki Oy. Enedo is apart of Inission Group since 1^st July 2022.
www.enedopower.com

Attachment

• Enedo PLC's Financial Statements Release 2022_corrected