Monsenso A/S : Annual Report 2023

ANNUAL REPORT 2023

"

Monsenso provides me with

more insight and supports a much faster intervention"

Psychiatrist, Denmark

© Monsenso 2024	2

Content

Management's review
2023 highlights	4
Letter from the CEO	5
Key events in 2023	7
Financial review	9
Key figures and ratios	9
Shareholder information	10
Financial statements
Income statement	13
Cash flow	13
Balance sheet	14
Equity	14
Notes	15
Management's statement	21
Independent auditor's report	22
Company information	25

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Disclaimer

This report contains forward-looking statements, which are based on the current expectations of the management. All statements regarding the future are subject to inherent risks and uncertainties, and many factors can lead to actual results and developments deviating substantially from what has been expressed or implied in such statements.

Management's review

Annual report 2023

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2023 highlights

9.6m	55%	5.4m
DKK in revenue in	growth in revenue	capital injection in
2023	compared to 2022	Jan. 2024

1800+

12

16

shareholders as per	full-time equivalent
Feb. 2024	employees end-of-
	year 2023

countries. Our solution has been implemented across 16 countries

13	20+	70+
psychiatric and	research projects and	published peer-
neurologic disorders	engagements	reviewed papers
are supported by
Monsenso solution

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Letter from the CEO

Dear Monsenso stakeholders,

We are pleased to present that we have achieved great results across various aspects of our operations, reflecting the hard work and dedication of our exceptional team. The past year has not only been a testament to our resilience but has also highlighted our ability to thrive in dynamic and challenging environments

Customer and project wins

We are thrilled to have secured several significant contracts in the past year.

Among others, we secured a decentralised, real-world evidence project with a leading pharmaceutical company, expanding our expertise into a new and critical chronic disease area and leveraging the experiences and technological outcomes from our Phase V innovation project.

• long-termframework agreement with a European capital has been established with an initial order to deliver our digital health platform for the city's youth psychiatry and addiction pathways.

We also partnered with Carelink, a leading Danish health and social care provider, to deliver digital-first mental health services.

Continued innovation and research

Our collaboration with partners such as Novo Nordisk, Novartis, Region H, Steno Diabetes Center, TI and others in the PhaseV decentralised trials project is progressing exceptionally well. We are actively developing our solution to become a full decentralized trials platform, aiming to better assist pharmaceuticals and research institutions in collecting real-world data to validate the effects of new treatments and medications.

Besides the new features being built into our digital health platform, we also gain important new experiences across three chronic disease areas: Obesity, diabetic foot ulcers and chronic urticaria.

The PERSONAE project undertaken in collaboration with Region South Denmark, SDU and University of Limerick represents a groundbreaking initiative in mental health. We are developing and trialling an AI-powered, personalized matched care offering for depression to shape the next generation of Internetpsykiatrien in Denmark. This project underlines our dedication to leveraging cutting-edge technology for the improvement of mental health.

The MENTBEST project, undertaken with the European Alliance Against Depression, Region H and 13 other leading European partners focuses on developing an AI-

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What we do has never been more relevant with the increasing pressure on the European health systems. It calls for new, innovative solutions to alleviate the demand for qualified health professionals.

Therefore, the markets for digital health and decentralized trials continue to be attractive and are expected to grow at double-digit numbers in the coming years."

Thomas Lethenborg

CEO

powered, personalized self-help tool for individuals at risk of developing depression and anxiety. By combining technology and evidence-based personalized support, we aim to empower individuals to monitor and manage their mental health proactively.

Our work on several Danish projects, as well as our European R-Link and GoGreen Routes projects is also progressing.

As a testament to our innovation leadership, new research articles and results were published in 2023 showing good results from the use of our platform, and we expect more research outcomes to be published as a result of our innovation and research engagements in the coming year.

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Letter from the CEO (cont.)

Enhancement of our digital health platform

Continuing our commitment to delivering value to our customers and partners, we have incorporated new and important functionalities into our digital health platform. These include functionalities such as rule engine for prioritisation of patients, patient tagging, photo capture functionality, video capabilities as well as a new patient screening platform.

These enhancements strengthen our current project and customer engagements and position us well to address a wider array of customer projects in the future.

Continued growth aspirations

The markets for digital health within mental health and chronic disorders remain very attractive. The pressure on the European health systems increases with the ageing population and the growing mental health problems witnessed across Europe.

With the new customer wins, our solid research and innovation project portfolio, a continuously expanding digital health platform, an experienced organisation and our international partnerships, we aim to secure our growth ambitions through partnering with pharmaceuticals and private health service providers

across Europe while targeting the public health markets directly in particularly Denmark and UK.

Outlook 2024

For 2024, we expect revenue to be DKK 11-13m corresponding to an increase of 15-35% with an EBITDA of DKK -3m to -1.5m.

The guidance is associated with uncertainties, as the revenue still depends on the progress of a number of large projects.

Events after the balance sheet date

After the balance sheet data, we performed a direct issue resulting in gross proceeds of DKK 5,4m. Moreover, we have communicated our plans to perform a guaranteed rights issue after publishing the annual report to raise another DKK 2.6m to support the ongoing growth of our business.

Acknowledgements

I want to extend heartfelt thanks to our shareholders for their unwavering support, our customers and partners for their trust, and our remarkable team for their hard work and commitment throughout the past year. Together, we have achieved remarkable milestones and positioned our company for continued success.

As we move forward, we are excited about the opportunities ahead and remain committed to improving health for more people at lower cost through digital innovation and health data.

Thank you for being a crucial part of our journey.

All the best,

Thomas Lethenborg

CEO

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Key events in 2023

Personae project on AI- enabled digital, matched care for depression kick-off with partners from Region South Denmark, University of Limierick and SDU

New development method ShapeUp implemented to enable better product development outcomes with new proiects and customers

New features released for our product incl. rule engine for prioritisation of patients, patient tagging, photo capture functionality as well as a new patient screening platform

Leading pharma company signs agreement for a decentralised patient-centricreal-world data collection project

Phase V decentralised trial in obesity, diabetic foot ulcers and chronic urticaria kicked- off with Novo, Novartis, Steno, Region H and other partners

Framework agreement

Partnership with

European project MENTBEST

ISO 27001 Information

on data-driven, personalised

Security recertification

with European Capital

leading Danish private

prevention of mental illness

and ISO 13485 Quality

and initial order on

health provider to

kicked-off with 14 leading

Management

youth psychiatry and

deliver "digital first"

partners across Europe

surveillance audit

addiction.

mental health services

conducted

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"

... all project partners are impressed with the work Monsenso does in the project. With the people involved, the progress and the responsibility you take"

Frederik Mølgaard Thayssen

Alexandra Instituttet

Pricipal Project Manager, PhaseV

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Financial review

Income Statement

The revenue in 2023 increased by 55% to DKK 9,624k from DKK 6,213k in 2022, mainly due to higher activity in project work.

The gross margin decreased from 52% in 2022 to 47% in 2023, due to more activity in project work. The total operating expenses (OPEX) increased from DKK 10,863k in 2022 to DKK 11,019k in 2023.

In 2023, EBITDA was DKK (1,395k) compared to DKK (3,997k) in 2022, mainly due to higher revenue.

The net result in 2023 was DKK (5,357k) compared to DKK (7,854k) in 2022.

The average number of full-time employees (FTE) decreased from 13 in 2022 to 12 in 2023.

Cash flow

Cash flow from operating activities has increased from DKK (3,390k) to DKK 2,552k in 2023, mainly due to large prepaid revenue from projects

Investing activities have decreased from DKK 4,970k to DKK 2,787k in 2023 due to less capitalized expenditure.

Cash flow from financing activities in 2023 was DKK 1,475k due to proceeds from a capital raise and warrant exercises for employees.

Assets

Total assets have changed from DKK 18,872k in 2022 to DKK 18,787k at the end of 2023.

Equity

At the end of 2023, total equity amounted to DKK 10,873k compared to DKK 14,755k at the end of 2022. The changes in equity includes a capital increase of DKK 1,638k, deducted by the related costs of DKK 163k.

Follow-up on previously reported expectations for 2023

We expected revenue of DKK 9.6m for 2023 and EBITDA at a level of DKK (1.4m).

The actual revenue for 2023 was DKK 9.6m, and EBITDA was DKK (1.4m).

Key figures and ratios

('000 DKK)	2023	2022
Income statement	9,624	6,213
Revenue
Gross profit	4,531	3,202
EBITDA	(1,395)	(3,997)
Operating profit (EBIT)	(5,799)	(8,816)
Profit (loss) for the period	(5,357)	(7,854)
Balance sheet	1,812	572
Cash and cash equivalents
Total assets	18,787	18,872
Equity	10,873	14,755
Cash Flow	2,552	(3,390)
Operating activities
Investing activities	(2,787)	(4,970)
Financing activities	1,475	1,167
Other key figures and ratios	47%	52%
Gross Margin
Total investment in R&D	(3,833)	(6,720)
Total operating expenses (OPEX)	(11,019)	(10,863)
Average no. of employees (FTE)	12	13
No. of employees (FTE) end of period	12	11
Net profit per share (DKK)	(0.19)	(0.32)
No. of shares end of period ('000)	30,564	25,654
Net profit per share, diluted (DKK)	(0.19)	(0.31)
No. of shares end of period, diluted ('000)	31,247	26,014
MONSO share price end of period DKK	0.29	0.44
Market cap (mio DKK)	8.8	11,3

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