• Net sales amounted to TSEK 1,4580 (1 070).
• Operating profit before depreciation and amortization (EBITDA) amounted to TSEK

• Net profit amounted to TSEK -8,069 (-11,183).

• Net sales amounted to TSEK 3,281 (1 524).
• Operating profit before depreciation and amortization (EBITDA) amounted to TSEK

• Net profit amounted to TSEK -16,687 (-29,182).

Summary of the Group's indicators (see definitions on page 15)

TSEK Q22023 Q22022 H12023 H12022 Full year2022
Net sales 1,458 1,070 3,281 1,524 2,541
Gross margin, % 19 15 15 16 2
EBITDA -7,823 -11,291 -16,102 -29,004 -42,580
EBITDA margin, % Neg. Neg. Neg. Neg. Neg.
Operating profit -7,843 -11,343 -16,173 -29,107 -42,787
(EBIT)
EBIT margin, % Neg. Neg. Neg. Neg. Neg.
Net profit for the -8,070 -11,183 -16,687 -29,182 -45,279
period
Profit margin, % Neg. Neg. Neg. Neg. Neg.
Basic and diluted -0.33 -2.33 -0.68 -0.87 -3.41
earnings per share,
SEK
Solidity, % -101 -28 -101 -28 35
Equity per share, -0.33 -0.28 -0.33 -0.28 0.26
SEK
Balance sheet total 8,574 13,202 8,574 13,202 18,071
Cash flow from -7,104 -10,765 -15,491 -20,183 -33,677
operating activities
Average number of 7 10 7 9 9
employees

• Salling Group in Denmark launches DUG in 101 Fotex and Bilka stores during May.
• Veg of Lund takes up loans of MSEK 7 with conversion options from existing shareholders and board member Eva Tornberg.
• Veg of Lund receives a Swedish Patent Protecting the company's plant-based ice cream.
• Veg of Lund recruits Emil Bendroth as new CFO.
• Veg of Lund receives a Canadian Patent Protecting the company's plant-based potato drink.
• The Annual General Meeting of Veg of Lund resolved, in accordance with the Nomination Committee's proposal, on re-election of Anders Hättmark, Eva Tornberg, Rolf Bjerndell and Anders Gustafsson and election of Johan Möllerström as board members. Johan Möllerström was elected as the chairman of the Board of Directors. The AGM re-elected the audit firm KPMG AB as auditor.
• One of the lenders from the SEK 7 million loan, raised in the quarter, chose to convert the loan into shares. The increased number of shares in the company by 270,945 shares.

• Veg of Lund has signed a Letter of Intent ("LOI") with Haofood Shanghai Food Technology Co., Ltd. The companies will cooperate with the common goal of selling, marketing and distributing Veg of Lund's products under the DUG® brand in China and select other markets in the region during the first quarter 2024.
• Veg of Lund Enter Poland with Distributor
• The BoD of Veg of Lund Resolves on new issue of shares with pre-emptive rights for the shareholders of MSEK 23.7 and obtains and bridge facility of MSEK 3.3
• Veg of Lund has signed a Letter of Intent ("LOI") with Romagnoli F.lli S.p.A. The companies will cooperate with the common goal of selling, marketing and distributing Veg of Lund's products under the DUG® brand in Italy.
• Veg of Lund signs distribution agreements with Synergy Trading Corporation for the Japanese market.

A word from the CEO

The trend from quarter one continues into quarter two. Higher netsales with lower cost compared to the same quarter last year. Halfway through 2023, we have already surpassed the turnover for the full year of 2022. Compared to the first half of 2022, netsales increased by +115% while the cost of operating decreased by -44%. Cost-effective expansion continues to be the watchword in our work to take Veg of Lund out into the world.

Market by market. The expansion continous at good pace.

In April, DUG potato drink was launching in 486 Migros stores in Switzerland and last quarter netsales included their initial order to begin the launch. During the second quarter, they contnously ordered all three versions. Sales in stores have show taht above all our Barista and Unsweetened variants have performed well and going forward we will focus the range together, which was expected and part of the strategy and discussions.

During the month of May danish Bilka and Fötex also launched DUG potato drink in 101 stores and discussions are now underway regarding possible expansion to Sallings group third retail concept Netto which we hope will take place during the fall and give our brand additional cost-effective exposure to consumers in Denmark.

Germany is a future important market  for us and during the spring we, together with our german distributor, started several discussions with leading chains that are positive and altough these processes take longer we hope to make our products available in the german market during fall. We clearly notice, via social media channels, consumer interest which is motivating.

In addition to the above, we are past the first step in a numer of other markets. In Europé we will launch, through our contracted distributor in Poland during the thrid quarter. Italy and Norway are other markets where we are in advanced discussions with potential distributor partners. In several other markets in Europé initial distributor discussions have been initiated. We look forward updating you on progress and agreements in the coming months.

The focus we apply in Sweden and England has proven to make sense and will continue for the foreseable future. The launch of a third smoothie flavour in Sweden have gone well and DUG Mango is ot the leader of our flavours in sales through the approx. 150 stores we are established in. In England, we continue to work on expansion with our existing customers in the food industry while for the first time in a long time we recently carried out marketing activities to attract new customers. The shift from 10 liter format to 20 liter format packaging that we made during the quarter will facilitate this while improving our gross margin.
It has turned out that the news of our imminent launch in Japan has been and important message for other parts of Asia and we have now established the intention to launch in China with selected distributor. At the same time our long gone discussion with potential license partner in Thailand continue. The next steps for our partner in Thailand is to conduct consumer market studies to find the right position locally for launch. Asia is a key market for us and in addition to the markets mentioned above, early discussions are underway in a handful of others.

We are can summarize that all three businessmodels are in play. Direct, via distributors and via licensing. We have already launched in additional markets during the quarter and have several others in the process of launching in the autumn.
Internationalization and commercialization is under way.

More for less is key.

At the same time we expand internationally and with our productportfolio, we keep a watchful eye on our cost. We can already see that it is possible to grow netsales without growing cost. During the quarter we generate +36% netsales growth while cost decreased by -32%. That, together with continously improving gross margin, is the key to profitability by 2025, which is our goal. During the second quarter 2023 the gross margin amounts to 19% which compared to the first quarter's 12% is a significant improvement.

Continous focus on expansion of the product portfolio will ensure future relevance.

There is no doubt that here and now our potato dring and to some extent potato smoothie are the engines fo growth. That is how it will be for the foreseeable future, and that is likely to be enough for significant growth. In the long-term, we need to supplement these products with more, and therefor ongoing work is underway to expand the product and the patent portfolio. During the quarter we strengthened athe patent portfolio further with an approved patent for potato-baed ice cream in Sweden and and additional patent for the potato drink, now in Canada. At the same time, some of the most exciting commercial discussions are taking place with regards to our meat alternative. The start of sales of the meat alterantive is too early to update about, but the most likely approach will be through our license model when it happens.

Financial resources secured for continoud expansion.

We recently informed about the planned rights issue of approx. 24MSEK. Guaranteed at the 75%, it gives energy to continou our work and gives confidence in various discussionw we now are having. The commercial market believe in us and this is backed up by confidence from the financial market. It motivates and inspire us at Veg of Lund to continue work hard towards succeeding in taking our innovative and unique concept to become a natural part of food consumption worldwide.

Fredrik Carling

CEO

Financial overview

Development of sales
Second quarter 2023

During the second quarter, Veg of Lund's net sales totaled TSEK 1,458 (1 070), an increase of 36% percent. The increased sales is an effect of sales to new markets, as Migros in Switzerland compared to last year.

Operating expenses
Other external expenses
Other external expenses amounted to TSEK -5,695 (-9,247) for the second quarter. The expenses mostly comprise sales and marketing costs of TSEK -2,973.

Personnel expenses
Personnel expenses for the second quarter amounted to TSEK -2,408 (-2,674).

Depreciation/amortization
Depreciation/amortization for the second quarter amounted to TSEK -19 (-52), mostly attributable to amortization of intangible assets.

Profit
Operating profit (EBIT)
Operating profit for the second quarter 2023 amounted to TSEK -7,843 (-11,343) as a result of retrenchment and prioritization of costs.

Net financial items
The financial profit for the second quarter amounted to TSEK -227 (-160) and mainly comprised interest related to bridge loans and convertible bonds.

Net profit for the period
Net profit for the second quarter amounted to TSEK -8,070 (-11,183).

Earnings per share
Earnings per share for the second quarter amounted to SEK -0.33 (-0.87).

Cash flow, investments and financial position
Cash flow
Cash flow during the second quarter 2023 amounted to TSEK 1,532 (-2,918). Cash flow from operating activities amounted to TSEK -7,104 (-10,765).

Investments

During the second quarter, investments in intangible assets amounted to TSEK 38 (165), relating to the company's patent application processes. No investments in property, plant and equipment were made during the quarter. No investments in financial fixed assets were made during the year (-).

Change in cash and cash equivalents

Cash and cash equivalents increased by TSEK 1,532 (-2,918) during the quarter, to TSEK 3,150 (3,819).

Capital position

After end of quarter The Board of Directors of Veg of Lund AB (publ) with support of the authorisation granted by the Annual General Meeting held on 14 June 2023 resolved on an issue of units consisting of shares of approximately MSEK 23.7 before issue costs (the "Rights Issue") with subscription period 15 August 2023 - 29 August 2023. In connection with the Rights Issue, the Company has received subscription commitments of approximately MSEK 4.8 and underwriting commitments of approximately MSEK 13, corresponding to a total of approximately 75 percent of the Rights Issue. The issue proceeds from the Rights Issue are primarily intended to be used for continued international expansion, financing other operational costs and repayment of loans. Veg of Lund has on this day also obtained bridge loans of approximately MSEK 3.3 from the Chairman of the Board Johan Möllerström and one current shareholder to finance the Company's operations until the Rights Issue has been completed.

The Board of Directors continues to actively pursue and evaluate various financing options to ensure the long-term financing and optimal capital structure of the company.

Equity

The group's total equity amounted to TSEK -8,639 (-3,631) at the end of the quarter, and equity per share amounted to SEK -0.33 (-0.28). The change is attributable to the loss for the year.

The parent company
In addition to sales in Sweden, Veg of Lund AB's operations include head office functions such as group-wide management and administration.

Second quarter 2023

During the first quarter 2023, net sales decreased to TSEK 1,058 (1,670), of which TSEK 0 (1,439) represented intra-group sales. Net profit for the period amounted to TSEK -5,279 (-6,876). Investments in tangible and intangible fixed assets amounted to TSEK 38 (165).

For other matters, see the information provided for the group.

The share and the shareholders

Veg of Lund's share, ticker VOLAB and ISIN SE0013281979, is listed on Nasdaq First North Growth Market since 10 February 2020. There are 25,795,321 shares outstanding, corresponding to 25,795,321 votes. The number of warrants outstanding amounts to 576,920.

For the period January-June 2023, the average number of shares amounted to 24,636,106. The diluted number of shares as of 30 June was 25,213,026.

As of 30 June 2023, Veg of Lund AB (publ) had 6,914 registered shareholders (7,181).

Trading in the share
Total liquidity in the share during the second quarter of 2023 amounted to MSEK 8,9 (11,4). The number of transactions for the same period totaled 4,374 (4,254). The average volume per transaction increased to 1,074 (245) shares. The average daily turnover for the Veg of Lund share during the second quarter 2023 was 79,600 shares, at an average share price of SEK 1.86.

  Ownership structure on 30 June 2023

Name Number of Share of capital and votes, %
shares and votes
Einar Haugland 2,202,322 8.54%
plus through
company
Anders Färnqvist 2,000,000 7.75%
Eva Tornberg 1,472,006 5.71%
through company
Torbjörn Malmsjö 1,036,264 4.02%
Avanza Pension 907,210 3.52%
Anders Hättmark 801,329 3.11%
through company
Kenneth Eriksson 800 ,00 3.10%
Nordnet 366,248 1.42%
Pensionsförsäkring
Jan Emilsson 278,299 1.08%
SWEDBANK 271,651 1.05%
FÖRSÄKRING
Other shareholders 15,659,992 60.71%
Total 25 795 321 100.00%

   Source: Euroclear and Veg of Lund

Certified adviser as of 1 January 2022 is Mangold Fondkommission AB,
telephone: +46 8 5030 15 50, email: ca@mangold.se

Other disclosures

Employees
The average number of employees in the group amounted to 7 (10) during the quarter.

Annual General Meeting 2023

Veg of Lund's Annual General Meeting was held on 14 June 2023. As members of the board, Anders Hättmark, Rolf Bjerndell, Eva Tornberg, Anders Gustafsson were re-elected and Johan Möllerström newly elected. As Chairman of the Board, Johan Möller was newly elected. The general meeting further resolved to re-elect KPMG AB as the company's auditors for the period up to the Annual General Meeting 2024.

Dividend

The general meeting resolved in accordance with the Board of Directors' proposal that no dividend be paid for the financial year 2022 (-).

Dividend policy

Veg of Lund has not adopted a dividend policy and has not resolved to pay any dividend for the financial year 2022. The Board of Directors of the company has currently no intention to propose any dividend. Any future dividends will be decided by shareholders in connection with general meetings, and will be based, inter alia, on the company's profitability, development and/or financial position.

Upcoming publication dates                                              
 

Interim report July-September 2023                             9 November 2023

Year-end report 2023                                                          15 February 2024

Significant related-party transactions
During the second quarter 2023, the company's related-party transactions totaled TSEK 333 (336). All transactions were conducted on market conditions.

Accounting principles

The interim report is prepared in accordance with the Swedish Annual Accounts Act as well as the Swedish Accounting Standards Board BFNAR 2012:1 annual report and consolidated (K3).

Significant risks and uncertainties
Veg of Lund is working continuously to identify, assess and manage various risks and exposures faced by the group. Veg of Lund's financial position and performance are affected by various risk factors to be taken into account when evaluating the company and its future performance.

The risks and uncertainties that Veg of Lund's operations are exposed to are described on page 29 of the company's annual report for 2022. In Veg of Lund's assessment, there have been no significant changes to these risks or uncertainties after the presentation of the annual report.

Effects of the war in Ukraine

The war in Ukraine has financial repercussions, mainly involving trade and global raw material prices. This affects Veg of Lund as well as all other food companies. The main implications for Veg of Lund are increased raw material prices, shortage of certain inputs, and longer delivery times, which may disrupt production. The company makes continuous assessments that will be presented in future reports and, where appropriate, in additional disclosures via press releases.

Certified Adviser

Certified adviser for the company is Mangold Fondkommission AB, telephone: +46 8 5030 15 50, email: ca@mangold.se.

Assurance
The Board of Directors and the CEO confirm that this interim report provides a true and fair view of the group's and the parent company's operations, position and performance and describes material risks and uncertainties faced by the parent company and the companies belonging to the group.

                                         Lund, Sweden, 14 August 2023

                              Johan Möllerström                  Anders Gustafsson           Anders Hättmark              

                        Chairman of the Board   Director   Director

                               Rolf Bjerndell                                       Eva Tornberg                             Fredrik Carling

                                   Director                                   Director       Chief Executive Officer        

                This report has not been reviewed by the company's auditors.                            

Consolidated income statement

TSEK Q22023 Q22022 H12023 H12022 Full
year2022
Net sales 1,458 1,070 3,281 1,524 2,541
Other operating 77 513 138 601 1,638
income
Total income 1,535 1,583 3,419 2,126 4,179

Operating expenses
Cost of goods sold -1,188 -910 -2,786 -1,280 -2,500
Other external -5,695 -9,247 -12,390 -25,202 -35,524
expenses
Personnel expenses -2,408 -2 ,674 -4,227 -4,548 -8,609
Depreciation, -19 -52 -71 -103 -207
amortization and
impairment
Other operating -68 -43 -118 -100 -126
expenses
Operating profit -7,843 -11,343 -16,173 -29,107 -42,787
(EBIT)

Interest income and 260 228 312 497 630
similar items
Interest expense and -487 -68 -826 -572 -3,122
similar items
Result from -227 160 -514 -75 -2,492
financial items

Profit before tax -8,070 -11,183 -16,687 -29,182 -45,279
(EBT)

Taxes - - - -
Net profit for the -8,070 -11,183 -16,687 -29,182 -45,279
period

Number of shares 25,795,321 12,815,201 25,795,321 12,815,201 24,617,624
Average number of 24,654,385 12,815,201 24,636,106 12,527,930 13,293,494
shares
Basic and diluted -0.33 -0.87 -0.68 -2.33 -3.41
earnings per share,
SEK

Profit for the period and total comprehensive income are fully attributable to the shareholders of the parent company.

The company has three warrant programs, 2020/2023, 2021/2024, and 2023/2026. More details on the first two programs are provided in the Annual Report for the financial year 2022.

Series 2023/2026 - to certain board members

The incentive program includes three of the Board members who were elected at Veg of Lund's AGM, Johan Möllerström, Rolf Bjerndell and Anders Gustafsson. The incentive program entails that participants are offered to subscribe for warrants at market value calculated according to Black-Scholes valuation formula. After end of period all three have signed the warrants agreement and paid for their warrants to the company.

Each warrant shall entitle the holder to subscribe for one new share in the Company, during the period from and including 15 June 2026 to and including 15 July 2026, at an exercise price corresponding to 375 percent of the volume weighted average price of the Company's share during the period of ten trading days commencing on the day after the AGM 2023, however, not less than the quota value of the Company's share. The determined subscription price per share after above calculation base was set to SEK 7.60 and price per warrant SEK 0.09.

Consolidated statement of financial position

TSEK 30 June2023 30 June2022 31 Dec2022
ASSETS

Intangible assets
Capitalized 0 99 33
expenditure for
development
Patents, trademarks 1,876 1,691 1,709
and licences
Total intangible 1,876 1,790 1,742
assets

Property, plant and
equipment
Equipment, tools, 20 26 23
fixtures and
fittings
Total property, 20 26 23
plant and equipment

Non-current
financial assets
Non-current 15 15 15
financial
receivables
Total non-current 15 15 15
financial assets

Total non-current 1,911 1,831 1,780
assets

Inventory, etc.
Finished trade 580 2,017 1,128
goods
Raw materials 823 1,350 1,441
Advances for goods                            171 - -
and services
Total inventory, 1,574 3,367 2,569
etc.

Current receivables
Trade receivables 484 1,871 342
Other receivables 668 899 4,405
Prepaid expenses 787 1,415 698
and accrued income
Total current 1,939 4,185 5,445
receivables

Cash and cash 3,150 3,819 8,277
equivalents

Total current 6,663 11,371 16,291
assets

TOTAL ASSETS 8,574 13,202 18,071

TSEK 30 June2023 30 June 2022 31 Dec2022
EQUITY AND LIABILITIES

Shareholder's equity
Share capital 1,651 820 1,576
Other contributed capital 113,802 86,702 112,207
Other equity -124,092  -91,153 -107,413
Total equity -8,639 -3,631 6,370

LIABILITIES

Current liabilities
Financial liabilities 10,902 8,000 3,847
Trade payables 3,799 4,156 4,100
Other current liabilities 488 586 423
Accrued expenses and prepaid income 2,084 4,091 3,331
Total current liabilities 17,213 16,833 11,701

Total liabilities 17,213 16,833 11,701

TOTAL EQUITY AND LIABILITIES 8,574 13,202 18,071

Consolidated changes in equity

TSEK Sharecapital Other Other Total
contributed equityincluding equity
capital net profit
for the year
The beginning of 1,576 112,207 -107,413 6,370
the period, 1 Jan
2023
New issuance 75 1,844 - 1,919
Convertible bonds - - - -
issued
Exercise of - - - -
warrants
Issuance of - - - -
warrants
Translation - -249 -8 -241
differences
Net profit for the -16,687 -16,687
period
The end of the 1,576 113,082 -124,092 -8,639
period, 30 June
2023

TSEK Sharecapital Other Other Total
contributed equityincluding equity
capital net profit
for the year
The beginning of 782 80,642 -61,985 19,529
the period, 1 Jan
2022
New issuance 38 6,060 - 6,098
Convertible bonds - - - -
issued
Exercise of - - - -
warrants
Issuance of - - - -
warrants
Translation - - -76 -76
differences
Net profit for the -29,182 -29,182
period
The end of the 820 86,702 -91,153 -3,631
period, 30 June
2022

TSEK Sharecapital Other Other Total
contributed equityincluding equity
capital net profit for
the year
The beginning of 782 80,642 -61,895 19,529
the period, 1 Jan
2022
New issuance 775 22,215 - 22,990
Convertible bonds - 7,015 - 7,015
issued
Exercise of 19 1,148 - 1,167
warrants
Issuance of - 1,187 - 1,187
warrants
Translation - - -239 -239
differences
Net profit for the - - -45,279 -45,279
period
The end of the 1,576 112,207 -107,413 6,370
period, 31 Dec 2022

Consolidated statement of cash flows

TSEK Q22023 Q22022 H12023 H12022 Full year2022
Cash flow from operating
activities
Operating profit -7,842 -11,343 -16,173 -29,107 -42,787
Adjustment for non-cash 19 52 71 103 378
items
Paid taxes -14 - -24 - -
Paid interest -484 -68 -774 -109 -838
Cash flow from operating -8,322 -11,359 -16,900 -29,113 -43,247
activities
before changes in working
capital

Changes in working capital
Changes in operating 1,493 -1,051 1,258 3,664 6,591
receivables
Changes in operating -276 1,645 152 5,266 2,979
payables
Cash flow from operating -7,104 -10,765 -15,491 -20,183 -33,677
activities

Investing activities
Investment in intangible -38 -165 -201 -276 -499
assets
Investment in property, - - - - -
plant and equipment
Investment in financial - - - - -
assets
Cash flow from investing -38 -165 -201 -276 -499
activities

Financing activities
Issues and other 2,507 - 5,876 6,535 20,570
contributed capital
Issuance expenses -402 - -1,921 -437 -3,871
Warrants - - - - 1,167
Amortization --465 - -465 -3,000 -7,000
Borrowings 7,035 8,000 7,035 8,000 18,380
Cash flow from financing 8,675 8,000 10,525 11,098 29,246
activities

CASH FLOW FOR THE PERIOD 1,532 -2,930 -5,166 -9,361 -4,930

Cash and cash equivalents 1,587 6,737 8,277 13,173 13,173
at beginning of the period
Currency effect in cash 31 12 39 7 34
and cash equivalents
Cash and cash equivalents 3,150 3,819 3,150 3,819 8,277
at the end of the period

Parent company's condensed financial statements

TSEK Q22023 Q22022 H12023 H12022 Full
year2022
Net sales 1,058 1,670 2,527 2,978 4,725
Other operating income 76 512 138 602 1,638
Total income 1,135 2,182 2,665 3,580 6,363
Cost of goods sold -772 -1,635 -2,021 -2,951 -4,642
Other external expenses -3,732 -4,829 -8,036 -12,898 -23,780

Personnel expenses -2,273 -2,479 -3,865 -4,324 -7,980
Depreciation,amortization -19 -52 -71 -103 -207
and impairment
Other operating expenses -68 -43 -118 -99 -128
Operating profit (EBIT) -5,729 -6,856 -11,445 -16,795 -30,370

Net financial items -243 121 -528 -111 -20,106
Profit before tax (EBT) -5,972 -6,735 -11,973 -16,906 -50,476

Net profit for the period -5,972 -6,735 -11,973 -16,906 -50,476

TSEK 30 30 31 Dec
June2022 June2022 2022
Assets
Intangible assets 1,876 1,790 1,742
Property, plant and 20 26 23
equipment
Non-current financial 10,648 21,156 5,806
assets
Total non-current assets 12,544 22,973 7,571
Inventory, etc. 1,112 2,170 1,505
Current receivables 996 2,365 4,564
Cash and cash equivalents 3,034 2,563 7,570
Total current assets 5,141 7,098 13,639
Total assets 17,685 30,070 21,210

Equity and liabilities
Shareholder's equity 1,138 18,500 11,191
Current liabilities 16,547 11,570 10,019
Total equity and 17,685 30,070 21,210
liabilities

Definitions and glossary
 

In general All amounts
in tables are
stated in SEK
thousands
unless
otherwise
specified.
Amounts in
brackets
refer to the
corresponding
period in the
preceding
year unless
otherwise
specified.
Definitions of Veg of Lund's
indicators definitions
of a number
of
alternative
performance
measures not
defined or
specified
under BFNAR
("Alternative
Performance
Measures")
are set out
below. Veg of
Lund has made
the
assessment
that these
alternative
performance
measures are
used by some
investors,
securities
analysts and
other
stakeholders
to supplement
other
measures of
performance
and financial
position.
Unless
otherwise
specified,
these
alternative
performance
measures have
not been
subject to
audit and are
not to be
considered
separately or
as an
alternative
to indicators
calculated in
accordance
with BFNAR.
These
Alternative
Performance
Measures, as
defined by
Veg of Lund,
are not to be
compared with
other
indicators
with similar
names used by
other
companies.
This is
because these
alternative
performance
measures are
not always
defined in
the same way,
and other
companies may
calculate
them in a
different way
to Veg of
Lund.
Margins Definition/Cal    
culation Purpose
Gross margin, % Gross profit Used to measure product
in relation profitability.
to net sales.
EBITDA margin, % EBITDA in The company considers the
relation to EBITDA margin to be a useful
net sales. indicator, together with
increase of net sales, to
monitor value creation.
EBIT margin, % Operating The company considers the
profit in operating margin to be a
relation to useful indicator, together
net sales. with net sales growth, to
monitor value creation.
Profit margin, % Net profit Indicator that shows how
for the much value accrues to
period in shareholders in the company.
relation to
net sales.
Return Definition/Cal Purpose
culation
Solidity, % Equity in The company has chosen to
relation to present the indicator
total assets. Solidity as it demonstrates
the status of the company as
a going concern.
Data per share Definition/Cal Purpose
culation
Number of shares Number of
shares
outstanding
at the end of
the reporting
period.
Average number of Weighted
shares average of
the number of
shares
outstanding
during the
period plus a
weighted
number of
shares that
would be
added if all
dilutive
potential
shares were
converted to
shares.
Equity per share Equity Measure that shows the
divided by owners' share of Veg of
the number of Lund's total net assets per
shares share.
outstanding
after
dilution.
Basic and diluted Net profit
earnings per share, for the
SEK period
divided by
the average
number of
shares
outstanding
before and
after
dilution.
Other definitions Definition/Cal Purpose
culation
Net sales The company's
revenue from
ordinary
operations.
EBITDA Operating The company has chosen to
profit include the indicator EBITDA
excluding as it demonstrates the
depreciation underlying operating
and performance with the effect
impairment of depreciation removed,
losses of which, since depreciation
property, refers to historical
plant and investments, results in a
equipment and more comparable performance
intangible measure over time.
assets.
Operating profit Operating
(EBIT) profit before
financial
items.
Net profit Net profit or
loss for the
year.
Balance sheet total The total of
all the
company's
assets.
Cash flow from Cash flow Cash flow from operating
operating activities from activities is used to
operating measure the cash flow
activities, generated by the operations
including before investments and
change in financing.
working
capital,
before cash
flow from
investing and
financing
activities.
Average number of Average
employees number of
employees in
the company
during the
period.

Veg of Lund AB (publ) develops unique plant-based foods meeting consumers' demands for taste and sustainability. The company has roots in research at Lund University and owns patented methods for developing new food categories in the fast-growing market for plant-based foods. Veg of Lund's climate-smart and tasty products are sold in Europe and Asia under the DUG[®] brand. The company's share is listed on Nasdaq First North Growth Market under the ticker VOLAB. Read more at ir.vegoflund.se.
 

Mangold Fondkommission AB is the company's Certified Adviser and can be contacted via telephone: +46 8 5030 15 50 or e-mail: ca@mangold.se

Objectives
Economic and financial objectives

Veg of Lund's economic objective is to expand into new markets at a fast pace by means of its hybrid model.

The company's financial objective is to achieve net sales of MSEK 420 with a positive operating result by 2025.

This information is such that Veg of Lund AB (publ) is obligated to disclose pursuant to the EU Market Abuse Regulation and the Market Securities Act. The information was submitted for publication, through the agency of the contact person set out below, at 8:30 am CET on 14 August 2023.

For more information, please contact:
Fredrik Carling, Chief Executive Officer
Tel: +46 703 121 942
E-mail:  fredrik.carling@vegoflund.se