NUROSOFT : Board of Directors of Neurosoft SA approves 2022 Annual Financial Statements – 11/04/2023

Iraklio, Attica, April 11th, 2023

Press Release

Board of Directors of Neurosoft S.A. approves

2022 Annual Financial Statements

• Consolidated Revenues in 2022 amounted to € 23,01 million (€15,76 million in 2021)

• Gross Profit in 2022 amounted to €5,29 million (€3.52 million in 2021)

• EBITDA in 2022 amounted to € 2,89 million (€ 2.35 million in 2021)
• EBIT in 2022 amounted to € 1,58 million (€ 0.80 million in 2021)
• Net Profit in 2022 amounted to € 1.28 million (€ 0.90 million in 2021)
• Net Debt in 2022 amounted to € (2.88) million (€(0.45) million in 2021)
• Total equity structure verifies article 119 par. 4 of L. 4548/2018. The Company's main shareholder is committed to enhance Neurosoft capital structure in case of need

Iraklio, Attica, April 11, 2022 - The Board of Directors of Neurosoft S.A., a fully integrated ICT Company, traded on Milan's Euronext Growth Italia market (GRS802003004,Reuters NRST.MI,Bloomberg NRST:IM), has Banca Investis S.p.A. as its Euronext Growth Advisor, met today and approved Neurosoft's Consolidated Annual Audited Financial Statements (including the results for its subsidiaries, Neurosoft Cyprus Ltd and Neurosoft Romania Srl) for the year ended December 31st, 2022.

"In fiscal year 2022 Neurosoft achieved the highest sales revenue in its history due to its operational flexibility, enhanced offering and the continued brand awareness, despite the clearly difficult global environment affecting the domestic market and economy.

Our solid commercial activities throughout the year, focusing on systems integration projects and cyber security solutions, delivered remarkable progress, leading to a full year significant top line increase of 46%. Οur business model demonstrated resilience, delivering robust financial performance and we remain optimistic that 2023 will be another successful year for the Company.

In Neurosoft we constantly adapt and innovate. We offer value-adding solutions, we strengthen our brand and we invest in our people." stated Epameinondas Paschalidis, Chief Executive Officer of Neurosoft S.A.

2022 Neurosoft Group Consolidated Performance

The FY 2022 ended with consolidated revenues equal to € 23,01 million continuing last year's upturn. Undoubtfully, the use of new technologies changes the business models, provides new revenue opportunities and sets out the most common strategic trend. Neurosoft is well positioned among domestic technology providers capable of providing unique solutions to its clients and this is illustrated in the record high levels of this year.

2022 EBITDA (€2.89 million) proves a truly extraordinary year and it is the direct result of the continuous efforts and commitment that the company has performed during the last few years in order to deliver value to stakeholders and partners.

Economies of scale, cost control processes, expanded clientele basis and strategic alliance reflect the outstanding financial performance.

2022 EBIT stands at € 1,58 million (€ 0.8 million in 2021-97.5%y-o-y increase) and, as a result, 2022 Net Profit is equal to € 1.28 million (€ 0.90 million in 2021).

2022 Equity is equal to € 5.34 million (€ 4.06 million in 2021) with a 2022 Net Cash that amounts to € (2.88) million versus net debt of € (0.45) million in 2021, proving company's strong liquidity levels.

Additionally, as of December 31, 2022 the Company has positive working capital of €4.23 Million, as well as, sufficient undrawn borrowing facilities that can be utilized if needed. The Company's main shareholder is committed to enhance its capital structure in case it is deemed necessary, for at least within the next 12 months from the approval of Financial Statements.

Net Profit Allocation:

Neurosoft S.A. notifies that the Board of Directors resolved to propose to the Shareholders' Meeting the allocation of the Company's FY 2022 net profit, equal to Euro 1.28 million, entirely to retained earnings reserve and approved and validated the non-distribution of any dividends from the results of financial year 2022.

Anticipated course and Company's development for the year 2023

In fiscal year 2022 Neurosoft achieved the best financial performance in its history due to its operational flexibility and the continued brand awareness The Company's strategic plan is to become the most innovative, value-adding Managed Infrastructure Service Provider (MISP) in Greece and Cyprus and to brand Neurosoft as synonymous with security and trust. Scale, efficiency, new technologies and automation are the key priorities in order to be able to offer a "best of breed" commercial approach to the customers. Moreover, Governmental institutions are expected to heavily invest in ICT over the next 5 years, therefore Company's objective is to position Neurosoft among the key market players, through partnerships in Greece, as well as in Cyprus.

Geopolitical Risks

The ongoing war in Ukraine following the invasion of Russia in 2022 and imposition of economic sanctions against the Russian Federation are significantly affecting the energy market and consequently the global economy. There is no direct exposure of the Company to either Russia or Ukraine, and therefore no direct effect on its financial performance from these latest developments. The Greek economy recorded solid growth in the first half of 2022, but rising inflation took its toll on growth in the second half of the year. Increasing investments, governmental support measures and the implementation of the Greece 2.0 Recovery and Resilience Package. Therefore, the only indirect effect the Company may face relates to the high energy cost and inflationary pressures caused by this geopolitical crisis.

Important related party transactions

Related parties' transactions have been identified based on the requirements of IAS 24 "Related Party Disclosures" and Neurosoft procedure for Transaction with Related Parties and are presented in the Financial Statements accordingly.

During the 2022, the related party transactions referring to provision of Neurosoft services in the normal course of business, were equal to 9.43 million euro. The Company has adopted the rules provided by the applicable legislation and Euronext Growth Milan rules. In particular, these transactions took place at arm's length (market conditions basis), within the case of exclusion pursuant to art. 2, lett. e) of Neurosoft Procedure for Transaction with Related Parties and in compliance with art. 7, lett. c) of Euronext Growth Milan Provisions on Related Party Transactions.

General Outlook of Business Development

Neurosoft during 2022 performed an operational restructuring of its offering pillars and developed essential strategies to achieve business and operational improvements and efficiencies. The former System Engineering vertical was segmented into "Field Services Operations" and "Infrastructure & Cloud Operations". This modification will allow the Company to focus on each specific area and to better concentrate on its business growth.

Company's vision is to become the most-innovative,value-adding Managed Infrastructure Service Provider (MISP) in Greece & Cyprus. Working towards this direction Neurosoft enhances and improves competencies in new technologies and sales experience via high quality and innovative services over our field of expertise.

Today the Company operates under three Business Units, Cyber Security Operations (CSO), Infrastructure & Cloud Operations (ICO) and Field Services Operations (FSO).

Cyber Security Operations Business Unit:

Cyber Security Operations, having reached good maturity levels and recognition from customers, had a steady revenue growth in all areas defensive, offensive, governance & risk.

As a Managed Security Services Provider (MSSP), Neutrify, our brand for cyber defense services, has been uplifted integrating new tools and services to make the offering more attractive to the customers (36% customer increase) and in parallel more effective in cyber security operations. The introduction of vendor agnostic Managed Detection

• Response (MDR) capability allowed the delivery of a holistic cyber defence service to the customer and enabled faster incident detection and response. Furthermore, capitalizing the experience gained by the team in previous years, two new services were launched, Threat Intelligence which assists in proactive threat hunting and Incident Response for the management of critical security incidents supporting the customer to address ongoing cyberattacks. Angel, the maritime cybersecurity service, delivered in partnership with Navarino, doubled the number of vessels monitored compared to 2021.
  In the Security Assessment Services domain, new services have been developed for the delivery of adversary simulations to customers (Red Teaming) and for vulnerability scanning and management as a service (VMaaS), complementing the already established Penetration Testing services. First customers for these services have been

successfully served. Furthermore, the design of a new brand name (HackCraft) and additional functionality (customer portal) have been completed to allow increased customer penetration in 2023.

In the Compliance & Risk Services domain, the virtual Information Security Officer (vCISO) service has been introduced, providing the resources, skillset and experience needed in an organization to fulfil the CISO role responsibilities. The service has proved to be very successful and significant growth is expected in the future. Furthermore, two new services have been designed to be delivered in 2023, Security by Design services, which provide expert resources to the customer to make a system or application secure throughout its lifecycle, and Ransomware Readiness Assessment services providing expert resources to the customer to assess main areas that hackers exploit for ransomware attacks and to provide the customer with a gap analysis and recommendation for security improvement.

Field Services Operations Business Unit:

During 2022 Neurosoft faced a spike on the maintenance and rollout visits that handled mainly because of the post covid business normalization and stabilization. The company stayed focused on its strategic objective to ensure that telecom organizations and enterprises with geographically dispersed infrastructures will cope with their ultimate challenge i.e. a smooth, continuous and cost-effective operation. Towards this direction, Neurosoft undertook the technological optimization of the FSO business unit, more specifically the company invested in the modernization of the Warehousing Management System to create a state-of-the-art logistic center and to enhance the quality of services offered to the end customers either enterprise or telcos. Moreover, the Company expanded it's country-wide network to support multiple, concurrent, large scale retail projects across the country. New clients were onboarded in 2022 from the Oil & Gas and Retail verticals as a result of cross-selling efforts with ICT integration services. In addition, the company established a new co-operation in the field of Telco Infrastructure Services, for the provision of on-site physical installation, commissioning, and support services for access technology (LLU-local-loop unbundling).

Infrastructure & Cloud Operations Business Unit:

Enterprise Link (EL) is Neurosoft first offering attempt in utilizing its strategy towards the modern Infrastructure.as- a-Service (IaaS) business paradigm. EL targets multi-site Enterprise customers and is the Network Access technology and Service Provider agnostic. The services offered under EL include Solution Design, Implementation and Operations with all actual equipment and licenses required under a recurring monthly fee. EL is provided in cooperation with Telecom Italia Sparkle. During 2022 Neurosoft invested significant R&D effort to enhance internal operation and automation activities to create customer value from the traffic logs collected. Within 2022 more than 2.700 managed customer devices have been introduced to EL, reaching in total 3.500 devices.

Clearly in parallel to the IaaS business model the Company continued pursuing traditional ICT Systems Integration projects, ranging from Networking Solutions, Cloud Infrastructure, employee collaboration and Information Security. Neurosoft managed to enhance its Solution portfolio with new Products, Services and new worldwide Technology Providers resulting in building a very promising project pipeline for upcoming years but also receiving awards for infrastructure projects in significant organizations mainly in the Utility and Energy sectors.

While executing the corporate strategy towards enhancing the Managed Services offering Neurosoft has developed a solid and modular service aimed at Customers willing to outsource operations of their existing ICT

infrastructure. The team is comprised by certified professionals for the most common equipment manufacturers capable of ensuring that strict Service Levels Agreements are met.

Auditor's opinion

In auditor's opinion, the Company's separate and consolidated financial statements present fairly, in all material respects the separate and consolidated financial position of the Company and the Group as at 31 December 2022, their separate and consolidated financial performance and their separate and consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards, as adopted by the European Union and comply with the statutory requirements of Law 4548/2018.

It is specified that Neurosoft Separate and Consolidated Annual Financial Reports (including the results for its subsidiaries, (Neurosoft Cyprus Ltd and Neurosoft Romania S.r.l.) of Neurosoft S.A. on December 31st , 2022 will be available to the public in compliance with the terms and conditions required by the law, on the company's website www.neurosoft.gr.

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Neurosoft S.A., a Greek company listed on the Euronext Growth Milan market , organized and managed by the Italian Stock Exchange (ISIN GRS802003004, Reuters NRST.MI, Bloomberg NRST:IM), was founded in 1994 with the vision to provide superior products, innovative solutions and exclusive services to its international clients. Neurosoft is a fully integrated ICT company with Field Services, Systems Integration and Cyber Security capabilities. The staff headcount exceeds 200+ highly skilled employees with deep experience in their field. The company is based in Athens with presence in Cyprus.

Business areas covered by Neurosoft: Cyber Security Operations: Provision of high-end Cyber Security solutions and services and development of innovative security products. In a world of viruses, malwares, and hacktivists, Neurosoft has compiled a suite of practical and technologically advanced tools and methods to significantly enhance the protection of your mission-critical data. Infrastructure & Cloud Operations: Design, implementation, operation and support of large-scale ICT infrastructure solutions for Operators of Critical Networks and Critical National Infrastructure Stakeholders. Our vast experience in complex projects makes Neurosoft the ideal partner for any ICT infrastructure requirement. Field Services Operations: Neurosoft offers high-quality,on-site logistic and warehousing services with 200+ field service technicians, offering 40+ service points in Greece and Cyprus.

The company is committed to client impact, continuous investments in R&D, innovation, adoption of advanced methodologies and well-known international standards (ISO9001, ISO27001, ISO 14001, ISO 45001, ISO 22301). It demonstrates a track record of successful local & international group (multi-country) installations & continuous technical support, always on time - on budget - on spec.

As of today, Banca Investis is Neurosoft's Euronext Growth Advisor for the Euronext Growth Milan market. Press release available on www.neurosoft.gr

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