Yubico AB: Year-end Report 1 January - 31 December 2023

Quarterly summary

Fourth quarter

• Net sales increased by 19.5 percent to SEK 559.9 (468.5) million, corresponding to an increase of 17.8 percent in local currencies
• Subscription sales accounted for 14.0 (11.5) percent of net sales
• Gross profit amounted to SEK 465.7 (387.8) million, corresponding to a gross margin of 83.2 (82.8) percent
• Adjusted EBIT amounted to SEK 88.3 (67.5) million, corresponding to an adjusted EBIT margin of 15.8 (14.4) percent. Items affecting comparability amounted to SEK 6.7 million and consists of a net positive effect from reduced tax cost and additional expenses in the quarter relating to the merger of ACQ and Yubico (see note 4)
• EBIT amounted to SEK 95.1 (67.5) million, corresponding to an EBIT margin of 17.0 (14.4) percent
• Earnings per share after dilution amounted to SEK 0.91 (2.14). The average number of shares has increased by 68 percent compared to the previous year, related to the merger
• Bookings increased by 83.5 percent to SEK 684.1 (372.9) million, corresponding to an increase of 83.2 percent in local currencies
• Subscription bookings accounted for 18.9 (17.2) percent of bookings
• ARR (annual recurring revenue) amounted to SEK 286.5 (204.7) million, an increase of 40.0 percent

January - December

• Net sales increased by 18.1 percent to SEK 1,844.2 (1,561.0) million, corresponding to an increase of 12.5 percent in local currencies
• Subscription sales accounted for 13.8 (9.0) percent of net sales
• Gross profit amounted to SEK 1,577.9 (1,316.3) million, corresponding to a gross margin of 85.6 (84.3) percent
• Adjusted EBIT amounted to SEK 281.7 (215.3) million, corresponding to an adjusted EBIT margin of 15.3 (13.8) percent. Items affecting comparability amounted to SEK -87.2 million and consists of costs relating to the merger of ACQ and Yubico (see note 4)
• EBIT amounted to SEK 194.5 (215.3) million, corresponding to an EBIT margin of 10.5 (13.8) percent
• Earnings per share after dilution amounted to SEK 2.38 (5.00)
• Bookings increased by 16.1 percent to SEK 1,840.0 (1,584.2) million, corresponding to an increase of 10.2 percent in local currencies. Last year includes exceptionally high bookings in the second quarter
• Subscription bookings accounted for 14.9 (15.3) percent of bookings
• The Board of Directors proposes that no dividend shall be paid for the financial year 2023 and that retained earnings shall be carried forward

Significant events during the quarter

• In October a SEK 86 million order was closed with one of Yubico's long-standing high-tech customers and will be delivered during 2024
• October 10, 2023, the nomination committee for Yubico's 2024 Annual General Meeting was appointed. See investors.yubico.com for more information

Significant events after the end of the period

• On February 15, 2024, the Board of Directors decided to change the long-term financial targets for growth, from being measured on bookings to being measured on net sales. Updated long-term growth target is: Annual growth in net sales of 25 percent on average

Webcast/teleconference
Yubico will hold a webcast/conference call today, February 16, at 09:00 CET. Mattias Danielsson, CEO of Yubico and Camilla Öberg, CFO of Yubico will present and answer questions. To participate in the conference, click on the following link https://ir.financialhearings.com/yubico-q4-report-2023. Via the webcast, you can ask written questions. If you wish to ask
questions verbally, please register on the following link: https://conference.financialhearings.com/teleconference/?id=5002486.

Interim reports
The complete interim report for January - December 2023 will be available on https://investors.yubico.com/en/investors/reports-and-presentations/

For additional information, please contact:

Mattias Danielsson, CEO
[phone]
[e-mail]

Camilla Öberg, CFO
[phone]
[e-mail]

Johan Hähnel, Investor Relations
[phone]
[e-mail]

About Yubico

Yubico (Nasdaq First North Growth Market Stockholm: YUBICO), the inventor of the YubiKey, offers the gold standard for phishing-resistant multi-factor authentication (MFA), stopping account takeovers in their tracks and making secure login easy and available for everyone. Since the company was founded in 2007, it has been a leader in setting global standards for secure access to computers, mobile devices, servers, browsers, and internet accounts. Yubico is a creator and core contributor to the FIDO2, WebAuthn, and FIDO Universal 2nd Factor (U2F) open authentication standards, and is a pioneer in delivering modern, hardware-based passkey authentication security at scale to customers in over 160 countries.

Yubico's solutions enable passwordless logins using the most secure form of passkey technology. YubiKeys work out-of-the-box across hundreds of consumer and enterprise applications and services, delivering strong security with a fast and easy experience.

As part of its mission to make the internet more secure for everyone, Yubico donates YubiKeys to organizations helping at-risk individuals through the philanthropic initiative, Secure it Forward. The company is headquartered in Stockholm and Santa Clara, CA. For more information on Yubico, visit us at www.yubico.com.

Certified Adviser

FNCA Sweden AB is the company's certified adviser.

This information is information that Yubico is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2024-02-16 07:00 CET.