Huhtamäki Oyj’s Interim Report January 1–September 30, 2023: Good operational profitability in a challenging market
HUHTAMÄKI OYJ INTERIM REPORT 20.10.2023 AT 8:30
Huhtamäki Oyj’s Interim Report January 1–September 30, 2023: Good operational profitability in a challenging market
Q3 2023 in brief
- Net sales decreased 12% to EUR 1,037 million (EUR 1,178 million)
- Adjusted EBIT was EUR 100 million (EUR 101 million); reported EBIT was EUR 93 million (EUR 137 million)
- Adjusted EPS was EUR 0.57 (EUR 0.59); reported EPS was EUR 0.42 (EUR 0.89)
- Comparable net sales growth at Group level was -4% and -7% in emerging markets
- The impact of currency movements on the Group’s net sales was EUR -70 million and EUR -7 million on EBIT
Q1-Q3 2023 in brief
- Net sales decreased 7% to EUR 3,136 million (EUR 3,375 million)
- Adjusted EBIT was EUR 285 million (EUR 302 million); reported EBIT was EUR 235 million (EUR 327 million)
- Adjusted EPS was EUR 1.64 (EUR 1.84); reported EPS was EUR 1.14 (EUR 2.11)
- Comparable net sales growth at Group level was -1% and -3% in emerging markets
- The impact of currency movements on the Group’s net sales was EUR -108 million and EUR -9 million on EBIT
- Capital expenditure was EUR 204 million (EUR 185 million)
- Free cash flow was EUR 193 million (EUR -60 million)
Key figures
| EUR million | Q3 2023 | Q3 2022 | Change | Q1-Q3 2023 | Q1-Q3 2022 | Change | 2022 | ||||
| Net sales | 1,037.2 | 1,178.4 | -12% | 3,136.0 | 3,375.4 | -7% | 4,479.0 | ||||
| Comparable net sales growth | -4% | 17% | -1% | 18% | 15% | ||||||
| Adjusted EBITDA1 | 149.0 | 153.2 | -3% | 430.6 | 453.6 | -5% | 596.9 | ||||
| Margin1 | 14.4% | 13.0% | 13.7% | 13.4% | 13.3% | ||||||
| EBITDA | 145.4 | 190.6 | -24% | 415.6 | 484.4 | -14% | 614.9 | ||||
| Adjusted EBIT2 | 100.3 | 101.5 | -1% | 285.1 | 301.7 | -6% | 395.1 | ||||
| Margin2 | 9.7% | 8.6% | 9.1% | 8.9% | 8.8% | ||||||
| EBIT | 92.8 | 137.1 | -32% | 234.9 | 327.2 | -28% | 405.3 | ||||
| Adjusted EPS, EUR3 | 0.57 | 0.59 | -2% | 1.64 | 1.84 | -11% | 2.49 | ||||
| EPS, EUR | 0.42 | 0.89 | -52% | 1.14 | 2.11 | -46% | 2.65 | ||||
| Adjusted ROI2 | 10.6% | 11.0% | 11.0% | ||||||||
| Adjusted ROE3 | 12.9% | 14.9% | 14.9% | ||||||||
| ROI | 8.8% | 11.9% | 11.4% | ||||||||
| ROE | 9.6% | 16.6% | 15.7% | ||||||||
| Capital expenditure | 69.7 | 57.4 | 21% | 203.9 | 185.3 | 10% | 318.5 | ||||
| Free Cash Flow | 122.2 | 5.6 | >100% | 193.1 | -60.2 | >100% | 11.1 | ||||
| 1 Excluding IAC of | -3.5 | 37.3 | -15.1 | 30.8 | 18.0 | ||||||
| 2 Excluding IAC of | -7.5 | 35.6 | -50.2 | 25.4 | 10.2 | ||||||
| 3 Excluding IAC of | -15.7 | 31.8 | -51.9 | 27.6 | 16.0 |
Unless otherwise stated, all comparisons in this report are compared to the corresponding period in 2022. Figures of return on investment (ROI), return on equity (ROE) and return on net assets (RONA) as well as net debt to EBITDA presented in this report are calculated on a 12‑month rolling basis.
IAC includes, but is not limited to, material restructuring costs and acquisition related costs (gains and losses on business combinations, professional and legal fees, material purchase price accounting adjustments for inventory, material purchase price amortization of intangible assets and changes in contingent considerations) as well as material impairment losses and reversals, gains and losses relating to sale of intangible and tangible assets, fines and penalties imposed by authorities and extraordinary taxes.
The figures in the tables are exact figures and consequently the sum of individual figures may deviate from the sum presented. Key figures have been calculated using exact figures.
Charles Héaulmé, President and CEO
“The market environment improved slightly during the third quarter of 2023, compared to the first half of the year. The significant destocking that impacted the previous two quarters faded during the third quarter. Overall, inflation continued to affect consumption negatively across categories and geographies.
Our profitability and cash generation in the third quarter improved significantly compared to the first half of the year, despite continued soft volumes and lower support from pricing. Comparable net sales decreased by 4% compared to the third quarter of 2022. For the first nine months of the year, comparable net sales decreased by 1%. Currency translation continued to have a negative impact, further accelerating in the third quarter. Adjusted EBIT decreased by 1% in the third quarter and by 6% during the first nine months of the year, including the negative impact from the divestment of our Russian operations. Throughout the year, we have taken actions to address productivity, and the results are starting to materialize. Free cash flow was strong, reaching EUR 122 million during the third quarter and EUR 193 million during the first nine months of the year, supported by reduced working capital.
All our business segments delivered an improved profitability level compared to the first half of 2023 and the third quarter of 2022. The improving trend in profitability during the third quarter was primarily driven by a strong performance in the Fiber and North America segments. The Flexible Packaging segment performance also improved during the third quarter, compared to the same period 2022. The profitability of Foodservice Europe-Asia-Oceania remained at same level as last year.
We continue to drive the execution of our 2030 strategy. We are making consistent progress on delivering on our sustainability commitments, particularly on operational health and safety, renewable energy and absolute greenhouse gas emissions. We are also investing in growth and innovation. At the end of the third quarter, we started ramping up commercial production at our expanded molded fiber factory in Hammond, US, entering the growing egg carton packaging market. This will allow us to leverage the rapid conversion into fiber egg carton packaging in several US states where foam packaging has been banned. In Europe, the acceleration of the fiber lids deployment in replacement of the traditional plastic lids allows a significant volume increase from our recently installed capacity in Alf, Germany. Our investments in technology and capacity will increasingly support our performance going forward.”
Financial review Q3 2023
Net sales by business segment
| EUR million | Q3 2023 | Q3 2022 | Change | |
| Foodservice Europe-Asia-Oceania | 259.9 | 300.5 | -14% | |
| North America | 348.4 | 372.4 | -6% | |
| Flexible Packaging | 344.2 | 420.6 | -18% | |
| Fiber Packaging | 81.4 | 89.3 | -9% | |
| Elimination of internal sales | 3.4 | -4.4 | ||
| Group | 1,037.2 | 1,178.4 | -12% |
Comparable net sales growth by business segment
| Q3 2023 | Q2 2023 | Q1 2023 | Q4 2022 | Q3 2022 | |
| Foodservice Europe-Asia-Oceania | -3% | 5% | 11% | 15% | 22% |
| North America | 1% | 1% | 2% | 10% | 10% |
| Flexible Packaging | -11% | -11% | -5% | 1% | 20% |
| Fiber Packaging | 4% | 7% | 17% | 17% | 19% |
| Group | -4% | -2% | 2% | 9% | 17% |
The Group’s net sales decreased 12% to EUR 1,037 million (EUR 1,178 million) during the quarter and comparable net sales growth was -4%. Demand continued to be muted by the impact of inflation, but started to show signs of improvement in certain categories and geographies. Net sales were weighed on by a decrease in sales volumes and changes in currencies, whereas pricing had a positive impact. The divestment of the operations in Russia had a negative impact. Comparable sales growth in emerging markets was -7%. Foreign currency translation impact on the Group’s net sales was EUR -70 million (EUR 83 million) compared to 2022 exchange rates.
Adjusted EBIT by business segment
| Items affecting comparability | |||||
| EUR million | Q3 2023 | Q3 2022 | Change | Q3 2023 | Q3 2022 |
| Foodservice Europe-Asia-Oceania | 26.7 | 30.6 | -13% | -0.1 | 24.4 |
| North America | 45.9 | 41.8 | 10% | - | - |
| Flexible Packaging | 24.7 | 26.3 | -6% | -3.0 | -4.8 |
| Fiber Packaging | 10.2 | 8.5 | 19% | -4.4 | 16.7 |
| Other activities | -7.2 | -5.7 | -0.1 | -0.7 | |
| Group | 100.3 | 101.5 | -1% | -7.5 | 35.6 |
Adjusted EBIT margin by business segment
| Q3 2023 | Q2 2023 | Q1 2023 | Q4 2022 | Q3 2022 | |
| Foodservice Europe-Asia-Oceania | 10.3% | 9.2% | 8.3% | 9.1% | 10.2% |
| North America | 13.2% | 12.2% | 11.9% | 12.8% | 11.2% |
| Flexible Packaging | 7.2% | 4.9% | 6.1% | 4.2% | 6.2% |
| Fiber Packaging | 12.5% | 10.8% | 12.1% | 12.7% | 9.6% |
| Group | 9.7% | 8.8% | 8.8% | 8.5% | 8.6% |
The Group’s adjusted EBIT decreased to EUR 100 million (EUR 101 million) and reported EBIT was EUR 93 million (EUR 137 million) in the quarter. Adjusted EBIT decreased mainly due to lower sales volumes and the divestment of operations in Russia, whereas pricing had a positive impact. The Group’s adjusted EBIT margin increased and was 9.7% (8.6%). Foreign currency translation impact on the Group’s earnings was EUR -7 million (EUR 7 million).
Adjusted EBIT excludes EUR -7.5 million (EUR 35.6 million) of items affecting comparability (IAC).
Adjusted EBIT and IAC
| EUR million | Q3 2023 | Q3 2022 |
| Adjusted EBIT | 100.3 | 101.5 |
| Acquisition related costs | -0.1 | -0.1 |
| Restructuring gains and losses, including writedowns of related assets | -5.4 | 2.6 |
| PPA amortization | -2.2 | -1.6 |
| Settlement and legal fees of disputes | -0.1 | -2.7 |
| Prague site closure-related costs | 0.2 | - |
| Property damage incidents | - | - |
| Divestment of subsidiaries | - | 37.5 |
| EBIT | 92.8 | 137.1 |
Net financial expenses were EUR 17 million (EUR 22 million) in the quarter. Tax expense was EUR 29 million (EUR 20 million). The increase is due to the business in Turkey, which has the US dollar as a functional currency. As taxes are calculated in the significantly devalued Turkish lira, the current tax charge as well as deferred tax liabilities increased significantly. The functional currency remeasurements related impact to deferred tax liabilities (mainly Turkey) are a non-cash item and are treated as IAC. Profit for the quarter was EUR 47 million (EUR 95 million). Adjusted earnings per share (EPS) was EUR 0.57 (EUR 0.59) and reported EPS EUR 0.42 (EUR 0.89). Adjusted EPS is calculated based on adjusted profit for the period, which excludes EUR -15.7 million (EUR 31.8 million) of IAC.
Adjusted profit and IAC
| EUR million | Q3 2023 | Q3 2022 |
| Adjusted profit for the period attributable to equity holders of the parent company | 60.0 | 61.2 |
| IAC in EBIT | -7.5 | 35.6 |
| IAC in Financial items | 1.2 | -4.8 |
| IAC Tax | -9.4 | 1.0 |
| Profit for the period attributable to equity holders of the parent company | 44.3 | 93.0 |
Financial review Q1-Q3 2023
Net sales by business segment
| EUR million | Q1-Q3 2023 | Q1-Q3 2022 | Change | |
| Foodservice Europe-Asia-Oceania | 787.0 | 844.0 | -7% | |
| North America | 1,079.8 | 1,084.7 | -0% | |
| Flexible Packaging | 1,021.2 | 1,189.1 | -14% | |
| Fiber Packaging | 254.3 | 275.6 | -8% | |
| Elimination of internal sales | -6.2 | -18.0 | ||
| Group | 3,136.0 | 3,375.4 | -7% |
Comparable net sales growth by business segment
| Q1-Q3 2023 | Q1-Q3 2022 | Q1-Q3 2021 | |
| Foodservice Europe-Asia-Oceania | 4% | 20% | 11% |
| North America | 1% | 16% | 4% |
| Flexible Packaging | -9% | 19% | 4% |
| Fiber Packaging | 9% | 14% | 2% |
| Group | -1% | 18% | 6% |
The Group’s net sales decreased 7% to EUR 3,136 million (EUR 3,375 million) during the reporting period, and comparable net sales growth was -1%. Overall, demand was muted by the impact of inflation. Net sales were weighed on by a decrease in sales volumes and changes in currencies, whereas pricing had a positive impact. The divestment of the operations in Russia had a negative impact. Comparable sales growth in emerging markets was -3%. Foreign currency translation impact on the Group’s net sales was EUR -108 million (EUR 186 million) compared to 2022 exchange rates.
Adjusted EBIT by business segment
| Items affecting comparability | |||||
| EUR million | Q1-Q3 2023 | Q1-Q3 2022 | Change | Q1-Q3 2023 | Q1-Q3 2022 |
| Foodservice Europe-Asia-Oceania | 73.0 | 81.5 | -10% | -2.1 | 20.9 |
| North America | 133.8 | 122.6 | 9% | -0.0 | -0.0 |
| Flexible Packaging | 62.0 | 82.6 | -25% | -42.3 | -9.9 |
| Fiber Packaging | 30.0 | 28.8 | 4% | -5.5 | 16.4 |
| Other activities | -13.7 | -13.7 | -0.3 | -1.9 | |
| Group | 285.1 | 301.7 | -6% | -50.2 | 25.4 |
Adjusted EBIT margin by business segment
| Q1-Q3 2023 | Q1-Q3 2022 | Q1-Q3 2021 | |
| Foodservice Europe-Asia-Oceania | 9.3% | 9.7% | 8.5% |
| North America | 12.4% | 11.3% | 12.4% |
| Flexible Packaging | 6.1% | 6.9% | 6.7% |
| Fiber Packaging | 11.8% | 10.5% | 10.6% |
| Group Total | 9.1% | 8.9% | 9.1% |
The Group’s adjusted EBIT decreased to EUR 285 million (EUR 302 million) and reported EBIT was EUR 235 million (EUR 327 million). Adjusted EBIT decreased mainly due to lower sales volumes and the divestment of operations in Russia. The Group’s adjusted EBIT margin increased and was 9.1% (8.9%). Foreign currency translation impact on the Group’s earnings was EUR -9 million (EUR 16 million).
Adjusted EBIT excludes EUR -50.2 million (EUR 25.4 million) of items affecting comparability (IAC). The main change in IACs relate to the planned closure of the Flexible Packaging production facility in Prague, Czech Republic.
Adjusted EBIT and IAC
| EUR million | Q1-Q3 2023 | Q1-Q3 2022 |
| Adjusted EBIT | 285.1 | 301.7 |
| Acquisition related costs | -0.4 | -0.7 |
| Restructuring gains and losses, including writedowns of related assets | -10.7 | -2.4 |
| PPA amortization | -6.6 | -5.0 |
| Settlement and legal fees of disputes | -0.2 | -3.0 |
| Prague site closure-related costs | -32.3 | - |
| Property damage incidents | - | -1.0 |
| Divestment of subsidiaries | - | 37.5 |
| EBIT | 234.9 | 327.2 |
Net financial expenses were EUR 51 million (EUR 37 million). The increase was due to higher interest rates and other financing costs. Tax expense was EUR 57 million (EUR 64 million). The effective tax rate was 31% (22%). The increase was due to an impact from the business in Turkey, which has the US dollar as a functional currency. As taxes are calculated in the significantly devalued Turkish lira, the current tax charge as well as deferred tax liabilities increased significantly. The functional currency remeasurements related impact to deferred tax liabilities (mainly Turkey) are a non-cash item and are treated as IAC. Additionally, the tax rate was impacted by a non-deductible goodwill impairment related to the planned closure of the Flexible Packaging site in Prague. Profit for the period was EUR 126 million (EUR 226 million). Adjusted earnings per share (EPS) were EUR 1.64 (EUR 1.84) and reported EPS EUR 1.14 (EUR 2.11). Adjusted EPS is calculated based on adjusted profit for the period, which excludes EUR -51.9 million (EUR 27.6 million) of IAC.
Adjusted profit and IAC
| EUR million | Q1-Q3 2023 | Q1-Q3 2022 |
| Adjusted profit for the period attributable to equity holders of the parent company | 171.0 | 192.2 |
| IAC in EBIT | -50.2 | 25.4 |
| IAC in Financial items | 0.8 | -0.2 |
| IAC Tax | -2.5 | 2.4 |
| Profit for the period attributable to equity holders of the parent company | 119.1 | 219.8 |
Outlook for 2023 (unchanged)
The Group’s trading conditions are expected to remain relatively stable, despite the continued volatility in the operating environment. Huhtamaki's diversified product portfolio provides resilience and the Group’s good financial position enables addressing profitable long-term growth opportunities.
Teleconference
Huhtamaki will arrange a combined webcast and teleconference on the same day at 9:30 Finnish time. Huhtamaki´s President and CEO Charles Héaulmé and CFO Thomas Geust will present the results. The event will be followed by a Q&A session. The event will be held in English, it can be followed real-time at: https://huhtamaki.videosync.fi/2023-q3.
A link to the teleconference is available at: https://palvelu.flik.fi/teleconference/?id=10010472. Registration is required for the teleconference. After the registration you will be provided with phone numbers and a conference ID to access the conference.
Huhtamaki's financial reporting in 2024
In 2024, Huhtamaki will publish financial information as follows:
Results 2023 February 8
Interim Report, January 1 - March 31, 2024 April 25
Half-yearly Report, January 1 - June 30, 2024 July 25
Interim Report, January 1 - September 30, 2024 October 24
The Annual Report 2023 will be published on the week commencing February 26, 2024.
Huhtamäki Oyj’s Annual General Meeting is planned to be held on April 25, 2024.
For further information, please contact:
Kristian Tammela, Vice President, Investor Relations, tel. +358 10 686 7058
HUHTAMÄKI OYJ
Global Communications
About Huhtamaki
Huhtamaki is a leading global provider of sustainable packaging solutions for consumers around the world. Our innovative products protect on-the-go and on-the-shelf food and beverages, and personal care products, ensuring hygiene and safety, driving accessibility and affordability, and helping prevent food waste. We embed sustainability in everything we do. We are committed to achieving carbon neutral production and designing all our products to be recyclable, compostable or reusable by 2030. Our blueloopTM sustainable packaging solutions are world-leading and designed for circularity.
We are a participant in the UN Global Compact, Huhtamaki is rated ‘A’ on the MSCI ESG Ratings assessment and EcoVadis has awarded Huhtamaki with the Gold medal for performance in sustainability. To play our part in managing climate change, we have set science-based targets that have been approved and validated by the Science-Based Targets initiative.
With 100 years of history and a strong Nordic heritage we operate in 37 countries and 116 operating locations around the world. Our values Care Dare Deliver guide our decisions and help our team of around 18 000 employees make a difference where it matters. Our 2022 net sales totalled EUR 4.5 billion. Huhtamaki Group is headquartered in Espoo, Finland and our parent company, Huhtamäki Oyj, is listed on Nasdaq Helsinki Ltd. Find out more about how we are protecting food, people and the planet at www.huhtamaki.com.
Attachment
To view this piece of content from www.globenewswire.com, please give your consent at the top of this page.To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.
About GlobeNewswire by notified
GlobeNewswire by notifiedGlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.
Subscribe to releases from GlobeNewswire by notified
Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from GlobeNewswire by notified
Challenging conditions to persist, but expectation of clearer rate outlook and tightening bid-ask spreads on the horizon29.11.2023 01:00:00 CET | Press release
Industrial & logistics, multifamily, and office remain top picks for 2024 with investors deploying new strategies in each sector LONDON and TORONTO, Nov. 28, 2023 (GLOBE NEWSWIRE) -- The 2024 Global Investor Outlook released by Colliers (NASDAQ and TSX: CIGI) today reveals that challenging market conditions will persist into 2024, though expectations of a clearer rate outlook and tightening bid-ask spreads are on the horizon. Lower investment activity has constrained pricing discovery due to limited data points. As investors continue to seek stability in policy environments, industrial & logistics (I&L), multifamily and office sectors largely remain their top picks in the upcoming year. Pockets of opportunity are continuing to emerge as distress forces companies to unlock capital via sale and leasebacks, and property funds face redemption pressures. Furthermore, a record proportion (25%) of investors surveyed have ESG-based disposal and acquisition strategies in place – up from 10% jus
Nyxoah Strengthens its Executive Leadership Team28.11.2023 22:30:00 CET | Press release
Nyxoah Strengthens its Executive Leadership Team Francis Kim appointed as Chief Regulatory and Quality Officer Mont-Saint-Guibert, Belgium – November 28, 2023, 10:30pm CET / 4:30pm ET – Nyxoah SA (Euronext Brussels/Nasdaq: NYXH) (“Nyxoah” or the “Company”), a medical technology company focused on the development and commercialization of innovative solutions to treat Obstructive Sleep Apnea (OSA), today announced the appointment of Francis Kim as Chief Regulatory and Quality Officer. Francis will be leading Nyxoah’s Global Regulatory and Quality departments. Francis is a highly experienced global regulatory and quality executive in the healthcare industry, having spent more than 25 years in the medical device and life sciences sector. Francis has led Regulatory and Quality departments at Medtronic, Philips, and other companies, including introducing several innovative products and therapies to the market. “Nyxoah is entering the most exciting time in the Company’s history, with data fro
Alvotech Reports Financial Results for First Nine Months of 2023 and Provides Business Update28.11.2023 22:15:00 CET | Press release
Product revenue for the nine months of 2023 increased to $29.8 million, compared to $11.1 million for the same period in 2022Marketing authorization was received for AVT04 in Canada and Japan, the first for a biosimilar to Stelara® (ustekinumab)The European Medicines Agency proposed market authorization for AVT04 in the 30 member states of the European Economic Area, pending a final decision by the European CommissionApprovability of AVT02 and AVT04 in the U.S. now pending satisfactory US Food and Drug Administration (FDA) inspection of Alvotech’s facility in Iceland, currently expected on January 10 – 19, 2024Management will conduct a business update conference call and live webcast on Thursday November 29, 2023, at 8:00 am ET (13:00 pm GMT) Alvotech (NASDAQ: ALVO, or the “Company”), a global biotech company specializing in the development and manufacture of biosimilar medicines for patients worldwide, today reported unaudited financial results for the first nine months of 2023 and pr
RÄTTELSE: Saknad MAR-etikett i tidigare pressmeddelande – ”Anoto ingår ett avtal för 1,1 miljoner USD avseende försäljning av pennor och treåriga mjukvarulicenser med Deutsche Telekom”28.11.2023 19:15:00 CET | Pressemelding
Anoto Group AB (publ) utfärdar en rättelse av pressmeddelandet som publicerades tidigare idag. Rättelsen avser att pressmeddelandet saknade MAR-etikett med hänvisning till EU:s marknadsmissbruksförordning (MAR). Följande information skulle ha varit med i pressmeddelandet: ”Denna information är sådan information som Anoto Group AB (publ) är skyldigt att offentliggöra enligt EU:s marknadsmissbruksförordning. Informationen lämnades genom ovanstående kontaktpersons försorg för offentliggörande den 28 november 2023, kl. 08:00 CEST.” Nedan publiceras det korrekta pressmeddelandet i sin helhet. Stockholm den 28 november 2023 – Anoto Group AB (publ) ("Anoto" eller "Bolaget") meddelar idag att bolaget har tecknat ett upphandlingsavtal som avser försäljning av nya pennor, samt ett treårigt mjukvarulicensavtal med Deutsche Telekom AG (”Deutsche Telekom”). Deutsche Telekom är en av de äldsta kunderna inom Anotos affärssegment Forms och avtalet innebär att ramverket inom vilket Anoto och Deutsche T
CORRECTION: Missing MAR label in previous press release – “Anoto enters into a USD 1.1 million agreement for the sale of pens and three-year software licenses with Deutsche Telekom”28.11.2023 19:15:00 CET | Press release
Anoto Group AB (publ) issues a correction to the press release published earlier today. The correction refers to the fact that the press release lacked a MAR label with reference to the EU Market Abuse Regulation (MAR). The following information should have been included in the press release: ”This information constitutes inside information as Anoto Group AB (publ) is obliged to disclose under the EU Market Abuse Regulation 596/2014. The information was provided by the contact person above for publication 28 November 2023, at 08:00 CEST.” The correct press release is published in its entirety below. Stockholm, 28 November 2023 – Anoto Group AB (publ) ("Anoto" or the "Company") today announces that it has signed a procurement agreement relating to the sale of new pens, plus a new three-year software licensing agreement with Deutsche Telekom AG (“Deutsche Telekom”). Deutsche Telekom is one of the oldest customers of Anoto’s Forms business and this agreement means that the framework withi