(Oslo, Norway - May 4, 2023) Airthings (AIRX), the global leader in air quality
monitoring and energy-saving solutions, today announced its financial results
for the first quarter of 2023. Sales revenue came in at USD 8.8 million in 1Q23,
down 3% year-on-year and 7% quarter-on-quarter. 

Gross profit amounted to USD 4.9 million in the quarter, corresponding to a 56%
gross profit margin (GPM) compared to 59% in both 1Q22 and 4Q22. The EBITDA-loss
was USD -3.2 million, compared to a loss of USD -3.4 million in 1Q22. 

The revenue development reflects a weaker consumer sentiment, continued
inventory adjustments among distributors and retailers, and a guarded investment
environment in Airthings for Business.

"We are in a challenging market environment with inventory adjustments through
the value chain but are pleased to see that end-user demand is holding up with
more than 30% growth in Consumer device registrations compared to the same
quarter last year, and that we have won some key projects in Airthings for
Business that are expected to scale up over the coming quarters. Successful
promotional activities are driving sales and reducing our inventories but
continue to put pressure on margins in the short-term," says CEO Øyvind Birkenes
in Airthings. 

Consumer revenue came in at USD 6.4 million in the quarter, up +4% year-on-year
and quarter-on-quarter. As earlier communicated, the company has supported
revenues in the Consumer segment with a high level of promotional activities.
This had an adverse effect on gross margins for the Consumer segment, which came
in at 49% in the quarter. 

Revenues from Airthings for Business came in at USD 1.7 million in 1Q23, down
23% from 1Q22 and down 39% from 4Q22, with the previous quarter boosted by
shipments to a large global enterprise customer. Gross margin in Airthings for
Business remained strong at 69%. Annual recurring revenue (ARR) increased 27%
year-on-year to USD 4.0 million, at the top of the guidance range provided in
the 4Q22 report. 

Airthings is adapting to the challenging market conditions by identifying areas
for improvements and refining its strategy. 

"Our new strategic direction will sharpen the go-to-market approach and allow us
to increasingly own our customer relationships by ramping up sales through
internal channels. Further it will reinforce our software-first mentality to
deliver unique customer experiences, as well as improve our operating model and
automate back-end processes to enable cost efficient growth. We expect the
effects of the new direction to begin bearing fruits in the second half of 2023
and position us stronger than ever for reaching our long-term goals" says
Chairman of the Board Geir Førre. 

For the second quarter 2023 the company expects revenue to fall within a revenue
range of USD 7.0 - 9.0 million, with ARR of USD 4.0- 4.3 million expected at the
end of 2Q23.

Practical arrangements:
The 1Q 2023 will be presented by CEO Øyvind Birkenes and CFO Jeremy Gerst at
08:00(CET) at Airthings ASA headoffice, Wergelandsveien 7, Oslo, Norway. The
presentation is open to the public and can also be followed via the following
link: https://events.webcast.no/airthings/presentations/1q-2023-presentation

For questions or interview/meeting requests, please contact:
Øyvind Birkenes - CEO
T: +47 922 43 551
E: o.birkenes@airthings.com

Jeremy Gerst - CFO
T: +47 455 11 103
E: Jeremy.gerst@airthings.com

About Airthings
Airthings is a global technology company and producer of award-winning radon and
indoor air quality monitors for homeowners, businesses, and professionals.
Founded in 2008, Airthings is on a mission to ensure that people around the
world recognize the impact of indoor air quality and take control of their
health through simple, affordable, and accurate technology solutions while
optimizing energy consumption in buildings. Airthings' products have made radon
detection and indoor air quality monitoring easy to deploy, accurate, and user
friendly, and have received several accolades including the TIME's Best
Inventions award and CES Innovation Award Honors. Headquartered in the heart of
Oslo, Norway, and with offices in the US and Sweden the company has over 130
employees from more than 35 nationalities-and counting. To see the full range of
Airthings indoor air quality monitors and radon detectors or to learn more about
the importance of continuous air quality monitoring, please visit airthings.com