JANUARY - MARCH 2021

Strong start to the year with continued solid growth

1

CEO

CFO

Maria Hedengren

Johan Adalberth

[Insert footer] | [Insert extra text, if needed]Agenda

• This is Readly

• Quarterly highlights

• Financial performance

• Business highlights

• Summary

• Q&A

Agenda

2

This is Readly

3

4

Readly has pioneered the digital magazine industry and is the European category leader

900~Publishers

5k+Titles

140k+Issues

11Markets

50Countries

17Languages

4.7App Store Rating

4Offices

PURPOSE

Bringing the magic of magazines into the future

- enabling the discovery and survival of quality content -

Browse +5,000 titles

EUR 9.99 / month | Unlimited reading

New and back issues availableFamily sharing | Up to 5 profiles

Offline reading | Downloadable content

Quarterly highlights

5

Q1 highlights

• Strong subscriber (FPS) growth of 36.8% YoY

• Continued double-digit FPS growth on all markets

• Revenue increased by 32.0% YoY

• Continued strong revenue growth in the UK, 65.7% YoY

• Successful execution on partnership strategy and further optimization of marketing channels

• Continued focus on content category excellence

6

38%

23%

23%

16%

Germany Sweden UK RoW

32.0% revenue growth to SEK 102 million

7

Development of subscriber base

• Strong FPS growth by 36.8% in the quarter

• Continued double-digit growth in all markets

○ Good development in core markets with continued strong performance in the UK

○ Strong growth in our other markets

• Driven by successful execution on partnership strategy and further optimisation of marketing channels

397,071FPS

+37%YoY Growth

0

50000

100000

150000

200000

250000

300000

350000

400000

Financial performance

8

Mid-term:Uphold an annual organic

revenue growth

Long-term:Reach a gross margin of

Reach a positive EBITDA

Financial targets

9

30-35% 35% 4-5 years

7783

93 99 102

0

20

40

60

80

100

120

Q120 Q220 Q320 Q420 Q121

10

Number of FPS, thousand

+37%Q1 FPS growth YoY

+32%Q1 revenue growth YoY

290.2323.8 339.6

369.8397.1

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

Q120 Q220 Q320 Q420 Q121

Totalt revenue, SEKm

Gross profit & gross contribution Stable gross marginGross profit (SEKm) & margin

11

Gross contribution (SEKm) & margin

25.2 27.031.3

33.6 33.9

32.7%32.3%

33.5%34.1%

33.2%

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

30.0%

31.0%

32.0%

33.0%

34.0%

35.0%

36.0%

Q120 Q220 Q320 Q420 Q121

3.8

-23.2 -14.7

-4.0

-16.4

5.0%

-27.8%

-15.8%

-4.1%

-16.1%

-30.0%

-25.0%

-20.0%

-15.0%

-10.0%

-5.0%

0.0%

5.0%

10.0%

-25.0

-20.0

-15.0

-10.0

-5.0

0.0

5.0

10.0

• Stable gross margin of 33.2%

• Increased investments in marketing

○ Relatively low marketing investments in Q1 2020

○ Broadened marketing channels and expansion to new markets

• Channel and market spend optimization continues to be in focus

12

EBITDA development

• EBITDA development according to plan

• Personnel costs of SEK -21.9 (-17.6) million, expected to increase during the year following investments in capacity in primarily product development but also other areas like data analytics

• EBITDA expected to positive in 4-5 years in line with our financial goals

Adjusted EBITDA (SEKm) & margin

-29.4

-53.6

-39.6-37.8

-54.2-38.1%

-64.3%

-42.4% -38.3%

-53.2%-70.0%

-60.0%

-50.0%

-40.0%

-30.0%

-20.0%

-10.0%

0.0%

-60

-50

-40

-30

-20

-10

0

Q120 Q220 Q320 Q420 Q121

Business highlights

13

14

Growing base of top tier publishers and content category excellence in focus

• 45 new publishers and 235 new titles including 12 newspapers added in Q1

• Newspapers increases reader engagement:

○ More frequent and longer reading sessions

○ Increased trial to paid sub conversion

○ Average reading time of newspapers in the UK increased more than 40% per month in Q1

○ No. of subscribers in Sweden who reads on daily basis increased by over 15% compared with Q1 2020

• The launch of Readly Insight continues according to plan with two signed contracts to date

Retail/FMC

15

Partnerships: important steps taken in 2020…

• Strategically important channel to increase growth, reach further and strengthen brand awareness

• Over 100 new partnerships established in 2020

• Grew and “exported” strategic partners to multi-territories, e.g., Lidl and H&M

Selection of established partnerships

Telco

Consumer electronics Travel

16

…and increased focus to drive growth in 2021

• Successful execution on partnership strategy in Q1 with 26 new partnerships with local and global brands

• Strong FPS intake and enhanced focus on partner channel

• Continue to build a strong network of strategic and tactical partners in all markets

17

• Global market for magazines expected to be worth around 60bn USD in 2024, with a digital share of 29%

• In 2020 the digital share was 24%

• The increasing digital penetration of the magazine market is partly driven by increasing demand of immediate, trustworthy, comfortable and sustainable solutions

• Sales of print magazines impacted by Covid-19 pandemic - but digital sales stay resilient

* PwC Global Entertainment & Media outlook 2020-2024

71%

29%

MAGAZINE MARKET 2024

Print magazine market (incl. advertising)

Digital magazine market (incl. advertising)

~60bn USD

Market Opportunity

Summary

18

19

Summary

• Strong FPS growth of 36.8% with continued double-digit growth across our markets YoY

• We continue to deliver on our financial targets

• Successful execution on partnership strategy and further optimization of marketing channels

• Continued focus on content category excellence

• Clear strategy to capture growth opportunities

Q&A

20