OCTOBER – DECEMBER 2023

• Net revenue amounted to MSEK 4.7 (3.5), an increase of 34 percent, and an increase of 35 percent in comparable currency.
• Operating result, EBIT, amounted to MSEK –3.4 (-5.0).
• Result for the quarter amounted to MSEK -3.4 (-5.0).
• Earnings per share were SEK -0.30 (-0.59) before and after dilution.
• Cash flow from operating activities was MSEK -2.3 (0.6).
• Cash and cash equivalents amounted to MSEK 6.3 (12.3).
• Average Revenue Per Daily Active User (ARPDAU) amounted to USD 0.089 (0.060), an increase of 48 percent compared to the previous year.
• Unique Monthly Active Users (MAU) during the quarter amounted to 0.9 million (0.9).
• The number of outstanding shares at the end of the period was 11 361 120. The number of subscription warrants issued at the end of the period was 250 000, a decrease of 535 000 during the quarter due to the fact that subscription warrants issued to personnel and the Board of Directors expired without having been exercised.

JANUARY – DECEMBER 2023

• Net revenue amounted to MSEK 15.0 (16.6), a decrease of 10 percent, and a decrease of 5 percent in comparable currency.
• Operating result, EBIT, amounted to MSEK –8.9 (-14.3).
• Result for the period amounted to -8.9 (-14.3).
• Earnings per share were SEK -0.91 (-1.68) before and after dilution.
• Cash flow from operating activities was MSEK -3.0 (-3.1).
• Average Revenue Per Daily Active User (ARPDAU) amounted to USD 0.070 (0.064), an increase of 9 percent compared to the previous year.
• Unique Monthly Active Users (MAU) during the period amounted to 0.8 million (1.0).
• The number of outstanding shares at the end of the period was 11 361 120, an increase of
  2 840 280 as a result of the new share issue that was completed in June and registered in July.
• The Board of Directors proposes that no dividend be paid for the financial year 2023.

CEO COMMENT

We saw significant revenue growth in the fourth quarter of 2023, a development driven by the global launch of Questopia. Compared to the same period last year, revenue increased by 34 percent, and by 50 percent compared to the third quarter of 2023. With positive results from our initial UA investments in Questopia, we are eagerly looking forward to future game updates and the opportunity to expand user acquisition. During the quarter, our partner Voodoo further developed and adapted Questopia for the Chinese market, and carried out additional market tests with positive results.

During the quarter, we carried out the strategic restructuring mentioned in the last quarterly report, in order to optimize our operations and use of resources. Together with the successful launch of Questopia and sound income from ARMED HEIST, this means we are now focusing on our most promising game title, Fishing Tour.

Two central components are playing a focal part in the development of Fishing Tour: the METAFISH function and our new user interface. METAFISH is an innovative feature that generates an unlimited number of variations of fish, similar to the variety and unpredictability of real fishing. Through METAFISH, we want to create an infinite universe of gaming sessions that encourage user-generated content and social interaction, both in-game and out-of-game. Our user interface, inspired by social media, allows us to run live-ops on a scale that surpasses traditional mobile games. Through this framework, we will offer tailored content adapted to the individual preferences of users. Our assessment is that these components reinforce player engagement and long-term user retention in Fishing Tour even further.

Fishing Tour’s positive development continues and, in line with our data-driven strategy, we initiated a global soft launch during the quarter. The purpose here being to thoroughly test the technical platform and various UA channels, as well as how the economy and content of the game impact user retention. Development so far shows engagement levels and a conversion to paying users that outstrip both ARMED HEIST and Questopia.

Fishing Tour is showing rolling retention, with 15 percent active iOS users and 10 percent on Android after 30 days. With our latest updates, we've focused on further deepening daily engagement and monetization, resulting in a 30 percent increase in average play time. In addition, we have achieved a conversion to paying users of over four percent, with an average revenue of USD 20 by day 30, emphasizing Fishing Tour's ability to engage and monetize users.

It is with great enthusiasm that we continue to develop Fishing Tour, and in the spring look forward to launching major updates and getting the game to a point where we can start investing in user acquisition in order to scale the user base.

Our thanks go out to every employee, partner, and shareholder for your continued support and trust. I look forward to continuing our journey in creating exceptional gaming experiences and delivering long-term value to our shareholders.

Rade Prokopovic
CEO

FINANCIAL CALENDAR
All financial reports are published on https://www.sozap.com/ir/financial-reports

• Annual Report 2023: April 10, 2024
• Annual General Meeting 2024: May 14, 2024
• Interim Report, Q1 2024: May 15, 2024
• Interim Report, Q2 2024: Aug 14, 2024
• Interim Report, Q3 2024: Nov 14, 2024
• Year-end Report 2024: Feb 14, 2025

The Board of Directors and the CEO affirm that the Year-end report provides a fair overview of the Parent Company’s and the Group’s operations, financial positions and results, and describes the significant risks and uncertainties which the Parent Company and the Group are facing.

Nyköping, February 15, 2024

Claes Wenthzel
Chair of the Board

Annette Colin
Board member

Stefan Janse
Board member

Daniel Somos
Board member

Rade Prokopovic
CEO

This report and press release are translated versions of the Swedish originals. Every care has been taken in the translation of this document. In the event of discrepancies, the Swedish original will supersede the English translation.