The Group’s sales for the period January 1 – June 30, 2023, amounted to MEUR 35.2 (61.0) with a gross margin of
32.1 (17.7) percent.

The Group’s result for the period January 1 – June 30, 2023, amounted to MEUR -6.5 (-2.0) corresponding to
EUR -0.05 (-0.02) per share.

EBITDA from remaining operations for the period January 1 – June 30, 2023, amounted to MEUR 0.2 (2.4).
 
Equity as of June 30, 2023, amounted to MEUR -12.2 (10.5) corresponding to EUR -0.10 (0.09)
per share.
 
STRAX has worked out a tactical plan involving divesting certain assets to strengthen the liquidity and balance sheet. As a part of that, PCP has also agreed to restate the covenants for Q1, Q2 and Q3 of 2023 to adjust for the current situation. STRAX thereby returns to being in compliance with the loan agreement, even though some of the actions have been somewhat delayed due to market conditions and seasonal delays. STRAX is now executing the plan and expects to considerably lower the debt level of the Group during 2023 and 2024.

Significant events after the end of the period

STRAX signed a MEUR 10 investment agreement with ZEBRA Invest GmbH, a Germany based investment company, for 50.1% ownership of its European based distribution business. The enterprise value of the Strax European distribution business in the transaction is MEUR 32 and the transaction will furthermore reduce debt within remaining STRAX by MEUR 12. All closing conditions have been fulfilled and the transaction will be completed on or before August 31, 2023.

STRAX subsidiary Urbanista launched Malibu, the world’s first solar charging speaker using Powerfoyle solar cell technology by Exeger. Following the previous highly successful launches of the Los Angeles solar charging headphones in 2021 and Phoenix earphones in 2022, the addition of the Malibu speaker to the family of solar powered products completes the brand's offering in the segment. The launch of Malibu speaker further cements Urbanista's position as the leader in the category in the audio space.



“We remain focused on our restructuring plan to strengthen our balance sheet and improve liquidity and recently signed an investment agreement for 50.1% of our European distribution business, valuing it at 32 MEUR. Our core own brands, Urbanista, Clckr and Planet Buddies have continued to win new retail accounts in North America,
paving the way for a strong H2”.

Gudmundur Palmason, CEO