CLX Communications AB (publ): Interim Report, July 2015 - September 2016

 Fifth quarter, July - September 2016

• Net sales increased by 143 percent to SEK 590.2 million (243.2). Organic growth was 25 percent.
• EBITDA amounted to SEK 28.1 million (13.5).
• EBITDA excluding items affecting comparability¹ (adjusted EBITDA) amounted to SEK 72.1 million (23.2).
• EBIT amounted to SEK 7.3 million (12.0).
• Net profit for the quarter amounted to SEK 16.5 million (9.2).
• Diluted earnings per share amounted to SEK 0.34 (0.21).

July 2015 - September 2016

• Net sales increased by 53 percent to SEK 1,664.4 million (1,087.6). Organic growth was 27 percent.
• EBITDA amounted to SEK 93.8 million (106.7).
• EBITDA excluding items affecting comparability¹ (adjusted EBITDA) amounted to SEK 162.0 million (112.4).
• EBIT amounted to SEK 66.0 million (106.5).
• Net profit for the period amounted to SEK 58.4 million (62.3).
• Diluted earnings per share amounted to SEK 1.44 (1.73).

Significant events during the quarter

• The acquisition of Mblox Inc. was completed on July 11 and is included in the consolidated financial statements from this date. The purchase consideration was USD 117 million on a cash and debt-free basis. At 31 December 2015, Mblox employed 188 people and had sales in 2015 of USD 140 million with EBITDA of USD 6.9 million. Through this acquisition, CLX strengthens its position as one of the global leaders in cloud-based communications services for enterprises and organizations.
• To partially finance the acquisition of all shares in Mblox Inc. the company completed a preferential rights issue of 16,216,215 shares to existing shareholders. The issue provided the company with approximately SEK 624 million before issue costs.
• The company has also raised new interest-bearing credit facilities of approximately SEK 400 million net in order to finance the remainder of the purchase consideration.

Significant events after the end of the period

• On November 3 the board of directors of CLX invited shareholders to an extraordinary general meeting on December 5. The board proposes that the general meeting resolves on the introduction of a long-term incentive scheme for senior executives and key employees within CLX through an issue of a maximum of 1,500,000 warrants with exercise after 3/4/5 years. If fully exercised, dilution will be approximately 3 percent.
• NTT Communications, a division of NTT, has launched a service for international exchange of SMS traffic for global operators. The service is based on technology from CLX. The service has no direct profit impact in the near term but is an important step into the Japanese market for CLX.
• CLX has delivered its first commercial application in the Internet of Things (IoT) to a limited number of existing beta customers.

1) For a specification of items affecting comparability, see the table on page 10.

Invitation to report presentation by phone or internet

The report will be presented at a phone conference at 10:00 CET on November 15.
To participate in the report presentation by phone, please call:

UK: +44-203-0089808
SE: +46-8-56642662
US: +1-855-8315946

For further information please contact:

Thomas Ahlerup
Chief Investor Relations Officer
CLX Communications AB (publ.)

Cellphone        +46-768 966300
E.mail              thomas.ahlerup@clxcommunications.com

About CLX Communications

CLX Communications (CLX) is a leading global provider of cloud-based services and solutions to enterprises and mobile operators. CLX mobile communication services will enable companies to quickly, securely and cost-effectively communicate globally with customers and connected devices - IoT (Internet of Things). CLX solutions enable critical business communications worldwide via mobile messaging (SMS), voice services and mobile connectivity services for the IoT. CLX has since the company was founded has grown profitably. The Group is headquartered in Stockholm, Sweden, and has presence in 20 countries.

CLX Communications is trades at Nasdaq Stockholm: CLX.

To learn more please visit: www.clxcommunications.com

This information is published pursuant to the Securities Market Act or the Act on trading in financial instruments.

Disclaimer: Every care has been taken in the translation of this press release. In the event of discrepancies, however, the Swedish original will supersede the English translation.