Safello Publishes Interim Report for Q2 2021

Stockholm, 20 August 2021 | Today, Safello Group AB (“Safello”) publishes the company’s interim report for the second quarter of 2021. The interim report can be found on safello.com/ir.

The second quarter of 2021 showed an increase in net sales of +229% compared with the same period in 2020. Net sales amounted to SEK 202.1 million (61.5). In May, net sales in 2021 exceeded the full year 2020. Gross profit was SEK 9.4 million (2.9), an increase of +226%. Below is a brief summary of the report.

Second quarter of 2021 (April — Jun 2021)

• Net turnover increased by 229% (year-on-year) and amounted to SEK 202.1 million (61.5).
• Gross profit increased by 226% and amounted to SEK 9.4 million (2.9).
• Operating profit before depreciation and amortization (EBITDA) amounted to SEK -4.8
• million (0.2).
• Operating profit amounted to SEK -5.9 million (-0.3).
• Net profit amounted to SEK -5.9 million (-0.3).
• Earnings per share (based on 20,449,600 shares) amounted to SEK -0.29.
• The number of orders executed increased by 70% to 59,658 (35,124)

First half of 2021 (Jan — Jun 2021)

• Net turnover increased by 211% (year-on-year) and amounted to SEK 396.8 million (127.6).
• Gross profit increased by 238% and amounted to SEK 19.9 million (5.9).
• Operating profit before depreciation and amortization (EBITDA) amounted to SEK -3.5 million (0.1).
• Operating profit amounted to SEK -5.0 million (-0.9).
• Net profit amounted to SEK -5.0 million (-0.9).
• Earnings per share (based on 20,449,600 shares) amounted to SEK -0.25.
• The number of orders executed increased by 50% to 117,061 (78,099)

Significant events during the quarter

• Safello Group AB listed on the Nasdaq First North Growth Market on 12 May 2021. The new issue of shares was completed and 3,000,000 shares were issued at a price of SEK 13.50 per share, raising a total of SEK 40.5 million for Safello (before costs related to the IPO).

Significant events after the end of the quarter

• On 5 July 2021, Safello announced the launch of a private beta programme ”Safello Subscription”, which allows users to make regular purchases of cryptocurrencies over time, with a planned launch later in 2021.
• On 12 August 2021, Safello announced it had signed an agreement with Fireblocks, a platform for securing digital assets. The agreement will give Safello access to Fireblocks’ wallet infrastructure to support the introduction of a digital wallet.

Continued growth in the second quarter

As of 30 June 2021, Safello had completed more than 471,000 orders for a total volume of SEK 1.227bn. The number of registered users exceeded 213,000.

A comment from CEO Frank Schuil

“Our focus for H2 is to launch the new products Safello Subscription and Safello Wallet. Safello Subscription has already entered the private beta phase where a select group of users will be invited as beta users. The second quarter was initially characterized by a strong cryptocurrency market, which weakened sharply in the middle of the quarter and closed the quarter at roughly halved price levels for Bitcoin and Ethereum compared to the highs in April-May. The first two months of the quarter did deliver record net turnover for Safello, but June was a quieter month. This was expected and in line with the cyclical pattern of Swedish summer. Despite this, Safello managed to increase net turnover during the quarter both compared with the first quarter of 2021 and with the corresponding period in 2020.”

For environmental and cost reasons, Safello Group AB has decided not to print the report. A printout may be distributed to shareholders upon request.

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This information is such that Safello Group AB is required to disclose in accordance with the EU Market Abuse Regulation. The information was provided by the contact person below, for publication on 20 August 2021.

Contact information
Johan Edin, CFO Safello, ir@safello.com

Certified Adviser
Corpura Fondkommission AB, info@corpura.se, +46 722 52 34 51

Safello is an online cryptocurrency brokerage. Registered as a financial institution with Finansinspektionen (Swedish FSA), Safello offers a secure way to buy and sell crypto, in seamless transactions at industry-leading speeds. Partners integrate Safello’s brokerage solution to their web and mobile applications. Operational since 2013 in Sweden, Safello is driving crypto adoption for users, with a safe, efficient and user-friendly platform.