Second Quarter Report 2025

Company Performance - In Q2 2025, Serstech reported net sales of approximately 4.5 MSEK, a significant decrease from 21.4 MSEK in the same quarter of the previous year, attributed to geopolitical uncertainty and delayed procurement processes, particularly in the US [3][9] - For the first half of 2025, net sales totaled 24.5 MSEK, down from 35.5 MSEK year-over-year, with EBITDA at -8.2 MSEK compared to 6.9 MSEK previously [9] Strategic Developments - The company has expanded its sales team, doubling its size to six dedicated sales professionals, which is expected to enhance growth opportunities and pipeline development [4][7] - Serstech is transitioning to in-house production, with pilot production starting in late summer and volume production anticipated in Q4, aimed at significantly reducing the cost of goods sold (COGS) [5][6] Operational Efficiency - The consolidation of the team in Lund after closing the Romanian office is expected to reduce costs and improve collaboration, efficiency, and innovation, with new patent applications planned [8] - The in-house production site will increase production capacity and resilience, while also enhancing collaboration between R&D and production [6] Market Outlook - Despite short-term challenges, the opportunity pipeline for the second half of the year remains strong, with expectations for accelerated growth due to the newly expanded sales team [7][8]