ADSEW

• Achieved positive cross-profit and positive adjusted EBITDA for the full year 2024. - Service revenues almost tripled to EUR5.6 million in 2024, with customer base increasing over 200% to 55 customers. - Focus on service and recurring services as crucial for future growth. - Returning to focus on CNI (commercial, industrial, utility scale) battery projects, with large-scale projects in development in Europe and North America. - Secured EUR50 million convertible note in May and extended shareholder loans to fund business expansion and infrastructure projects. - Acting as a full-service provider for infrastructure projects, including own-and-operate business models.

• Strengthen partnership with existing and new customers. - Accelerate recurring revenues. - Service revenue expected to further grow with increased install base. - Plan to develop large-scale BESS projects in 2025, including a significant project in Europe with over 500 MW and 1 GWh in development. - Focus on long-term multi-revenue streams based on proven technology.

In the full year 2024, ADS-TEC Energy achieved a revenue of EUR110 million, compared to EUR107.4 million in 2023. Service revenues were a key highlight, almost tripling to EUR5.6 million. The customer base increased by more than 200% to 55 customers across Europe, U.S., and Canada. The company also achieved a positive cross-profit and positive adjusted EBITDA for the first time, with service revenues growing significantly as a result of expanding customer base and focus on recurring services.

• Volatile market conditions, particularly in the charging and EV sectors. - Diverse and regulated market environments in different regions, leading to potential challenges in adapting to local regulations. - Potential delays in installations and market pauses in some regions affecting business momentum.

Q: What are some challenges and opportunities for companies like ADS-TEC?

A: Opportunities lie in the ongoing energy transformation, with flexibility being key for renewables and demand side. Challenges include diverse and regulated market environments, but ADS-TEC's ability to act and adjust to local needs provides a way to manage them.

Q: How do we see the competition with regard to the large corporations in the same business?

A: ADS-TEC sees itself as a strong partner to utilities, not aiming to be a utility itself. It focuses on enabling others to participate in the business through its technology, with regulation and politics playing significant roles.

Q: Can you provide some view on the financials for the large 500-megawatt project?

A: The project is under development, with sites secured and grid access application in progress. It's a long-term business with high CapEx requirements.

Q: Could you expand on how the EUR50 million financing will only result in the number of new shares?

A: It's a convertible note, with price determined in the next month, including portions being redeemed over 36 months, securing funds for extended business operations.

Q: Given the change in strategy, will impact the numbers short-term? Should we expect weaker short-term financials?

A: It's not a change in business model but an addition. It's about expanding the business by operating own units, with potential impacts depending on site access and system build-up speed, but not a fundamental change in business direction.

Q: Could you share how many operational charges you acquire and the deal where you acquired your customers, and related to that, could you say something about how many charges or sites to be run by yourself planning to develop in 2025?

A: Details under NDA, but first sites are in three-digit numbers, with installation dependent on investment and funding, and potential to scale up.

Q: In a year or two, how much of the revenues do you see coming from power or energy trading?

A: Flexibility is key and will have a growing market, with energy trading and other grid services contributing, though hard to predict exactly, but flexibility market is expected to expand.