Thank you, Joakim. Can you hear me okay?

Very good. Thank you and welcome to the Q&A release, everybody.

The release of this report was originally scheduled for the 4th of March, and I want to confirm we will still host a full investor presentation in Oslo next week, and I would be there present. However, in the final stages of our recent strategic review, it became evident that we had to withdraw our previous revenue guidance of $70 million in 2026 and the corresponding path to cash flow break-even in 2027.

In order to meet the market expectation in a timely manner, we had to accelerate the publication. That's why we did it.

The main and key and underlying reason of the delay is basically delayed industrial ramp and commercialization of our technology with our key OEM customers. We have to say that the company has underestimated the complexity and the amount of time required in order for very large and complex OEM to integrate our technology into their manufacturing processes.

We have to acknowledge that the level of integration and qualification has taken much longer than expected to translate into a commercial matter. I joined in last October, I've been with the company for a few months.

I spent considerable time with customers. I have two key takeaways from that.

One, the long-term opportunity is intact for Norsk Titanium. RPD is a technology that will be integrated in key and large OEM manufacturing processes in aerospace and defense.

I'm very positive on that. On the other hand, the complexity of the commercial part of it certainly has to be considered.

Now, how are we going to work on this, and how we are going to course-correct this? We have been working on redefining our operating model.

Our operating model is going to be an operating model revolving around customers and with customer at the center of it. We have developed a commercially grounded business plan with a commercially based view of our business.

We are going to continue to focus on our core. Aerostructures, defense, and engines, which is been added to the original core.

We are going to deploy a dedicated team to work on short-cycle opportunities, which we have many, and we need to make sure that we can win those opportunities to improve our short- and medium-term. Third, and most important of all, we are also going to launch what we named the RPD ecosystem strategy, which calls for deploying our equipment and license our technology with selected and key OEMs.

Now, I'm sure you all have read the update that we provided and we published on our website. Let's open the floor for question and answers.

Joakim?

Okay.

Yes. They are the same, and we are in the very final stage of the negotiation.

We suffered a couple of delays. One was the government shutdown in the US that delayed let's say the finalization and the formalization of certain contracts.

We also have now an auditor in the middle of the paperwork to complete this, but these two development programs are there and will be finalized in the coming months. Joakim?

It is still valid. We still expect numerous updates coming forward.

As I said in my opening remarks, I remain very confident on our long-term outlook, and this is grounded on our customer pool for the technology. We continue to work with main large OEM, and we are following their roadmaps, and we are enabling their industrialization.

Yes, well, in the coming months, for sure, there will be news that will support our outlook.

We are not going to refer to the number of parts in serial production going forward. We learn from the past, we're going to stop being that specific.

However, I can say that we are working hand in hand with Airbus on a number of fronts. Of course, Wave 3 and conversion into parts is one of them, and in the coming months, I expect this to start the ramp, which is going to help us already starting in 2026 and going forward.

All the work that we are doing with Airbus is still very much alive, nothing has changed. Actually, is expanding into many different directions.

Ashar?

Thank you, Fabrizio. Parts in production, a couple of reasons to kind of not guide towards the number of parts in serial production.

All the business that we have earned so far, none of it has been lost. I just want to reassure that.

Secondly, there is a mix of development revenue and serial parts production revenue, that continues to be a mix. Therefore, what we've seen is that parts transitioning to serial production don't indicate or do not provide a leading indicator into revenue at this time.

They're at a certain maturity level, we may mature to where we can provide that type of a leading indicator. For now, we're suspending providing that as a KPI.

Ashar, you want to take that?

I can start with the response on that. The revenue guidance that we've retracted, those were ongoing discussions with our major OEM customers that we're working with.

Those opportunities are still there. We haven't, like I said, we haven't lost business, we haven't lost opportunity.

The market continues to grow, there continues to be customer pull from the same customers that we have forecasted in that. When we say grounded, they were grounded in our discussions with those specific OEMs.

That business is still available. The ramp into that business and the timing of that has now become less clear to us, where we thought the timing was more understood.

What Fabrizio mentioned earlier is trying to work with those same customers and align the timing of how that revenue comes together. Fabrizio, do you have anything to add to that?

The only thing I want to add is that I do expect the industrialization and the corresponding commercial ramp to start this year. The question was about how meaningful this is going to be.

This is exactly what is difficult to predict at this point in time. We need to work with our customers, we will do our best to maximize and go after the biggest number of parts possible, and we're going to work very, very hard in the coming months in order for that to happen.

I expect this to start this year. How meaningful that is going to be is difficult to predict at this point in time.

Is actually a mix, we've been working with the four main primes for many, many years, and this development is coming to fruition. All the work that we've been doing with the main four primes is coming to fruition.

We also see new customers coming on board. There is a very, very strong interest from the Navy, the US, but also we see from defense in Europe.

This is broadening, and we are now working on a couple of very important opportunities that we are going to translate into programs and then into sales. The defense part is becoming very important.

This is driven, of course, by geopolitics, but also by the nature of our technology. On the one hand, we are able to replace forged parts, which right now are in very short supply and increasing price, and on the other hand, we can deploy our technology wherever we want to.

Okay? We have a production available in Europe, we have production available in North America, and additive manufacturing is, by definition, deployable wherever it is needed.

Of course, Norsk Titanium and our specific technology is a perfect enabler to win some of the challenges that the defense industry has at this point in time. We are very, very buoyant about this segment.

The timing is not determined yet. We are, obviously, we've mentioned in the report that we are looking towards raising additional capital during the year.

I think the timing will really depend on how mature and how our customer relationships develop over the year. We've obviously discussed this with our board, with our main shareholders, and they remain supportive of the outlook of the business, and they remain supportive of determining when the right time would be for the capital raise.

Can you repeat the question? I'm not sure I understood the question.

All right, I'll try to provide a statement here, then if you can refine the question, it would be great. The MMPDS listing of RPD is, of course, a very important milestone for Norsk Titanium.

We are basically the only additive manufacturing technology included in the handbook. The handbook is the bible used by aerospace engineers in aerospace and in defense to basically design parts.

This is providing authority to RPD and numbers to engineers to design new parts. We expect that the inclusion of RPD in the MMPDS will enable a number of parts to be designed on the technology, and then, of course, flow to Norsk Titanium for commercialization.

Yes, let's say that we are a big part of that. Yes, we are included in that application.

If you look at that web story, we are featured in that web story, I think you can draw your own conclusion on how important is Norsk Titanium into that program. This also gives you an idea on the traction that there still is from Airbus on additive manufacturing, and specifically on DED.

Okay? We are very, very excited about that.

There was a previous question asking what we expect, I expect to be at the tipping point, and now we need to push further in order to make sure that we help our customers to fully industrialize the technology and we push for the commercial ramp. That's what we need to do in the coming 2, 3 years.

In general, I think Norsk Titanium is the only 3D printing or additive manufacturing technology that is qualified for structural titanium parts on aircrafts. I think it's easy to draw that conclusion.

Next,

What's that question, Joakim? Can you please repeat?

Can you repeat the last part?

Yeah.

Yes. I think in our statement, we fully acknowledged that we didn't read the situation correctly.

Certainly we realize that this is a very complex customer and OEM structure, and it requires quite a bit of work in order to accomplish what we need to accomplish. We are changing the way we work with customers.

We used to work just with the engineers at Airbus. At this point in time, we are working with the entire spectrum of stakeholders.

Engineers, of course, but also procurement, program leadership. It's really a fully fledged approach the one we have with Airbus.

As I said in my opening statement, and we reported on the update, we have now developed a commercially grounded business plan. That is why I was brought in.

I'm a commercially grounded person, and I look at things in a very commercial way and through a commercial lens. I believe that we have work to do, and we have certainly a complex road ahead, but I'm very, very positive that the outlook is positive.

If we continue to go through all the critical steps that are required, and we work hand in hand with our customers, very large OEM in aerospace and defense, things will start to happen, okay? We are at a tipping point, and in the next 2 years would be very, very critical for us in order to take Norsk Titanium in a very different place.

I'm very confident.

In addition, in terms of understanding the customer, one thing that we have done is obviously retracted our guidance. We're also looking at our strategy and our operating model.

As Fabrizio said, we have established a kind of cross-functional connection points with the complex nature of our customers to develop those roadmaps. At this time, we're not guiding the market to revenue is precisely for that reason, is because at this point in time, it's hard for us to give a credible number and when these things come home.

We do know that there continues to be strong connections to us and that the reason we've been able to access cross-functional teams is because there continues to be a pull from the customer to mature Norsk Titanium into their production systems. Again, as we acknowledge, we've got the timing wrong in the past.

I think we're taking a little bit more prudent approach here to come up with a forecast after we have completed all that work with our customers.

Yes, it will. As I said at the beginning and also we reported in the update, we're going to remain focused on the core, and core for us means aerostructures, engines, and defense.

That will not go away. However, we have a number of opportunities that always fall through our door, and we need to get better at winning those opportunities.

These opportunities come from many different industries. It can be energy, can be semiconductor, can be urban air mobility, also in aerospace.

There are a number of opportunities that continuously flow in Norsk Titanium, and we are going to work in a very different way in order to win those opportunities. I expect those opportunities to become meaningful already this year and in the coming years.

Yeah. With regards to the reporting question on contracts and actual recurring revenues, we'll continue to report the way we're reporting, and any material contracts, of course, we will report to the market as they are executed.

Yes.

That's certainly a possibility. I think it's difficult for us to say who they're working with.

We can say that we are certainly one of a prime technology partner. Norsk Titanium enjoys a very important position at Airbus from the technical standpoint.

I think we can fairly say that. We are committed to go and compete from the technical standpoint with whoever is going to be there.

We are very, very confident on the value of our technology. This is confirmed by Airbus and by also other OEMs.

We are very, very strong. We have a very strong foundation from the technology standpoint.

Our challenge is not the technology. Our challenge is that we are developing this technology into very complex roadmaps, okay?

That's the biggest challenge that we currently have.

We can't comment on who Airbus is working with in terms of other titanium partners. What we do know is currently we're the baseline in the market, right?

We enjoy a lead time, we enjoy a control over our specification that we've developed for our process. Nobody else owns our process, we have our process, we have our specification that comes out of our process.

Our specification meets forging equivalent to current forging requirements. It's a very high bar that we've established, and we continue to enjoy that position with Airbus.

If you look at Airbus's roadmap that they put out last year in their presentation, we are part of that roadmap, and that's where it starts.

Yeah. The other thing I want to add is that it is expanding also to other lead OEMs in Europe and North America.

We don't stop at Airbus. There are a number of very important OEMs in aerostructures and in engines that we're working with at the same level as Airbus.

We are diversifying our developments also outside of Airbus. It's not going to be just Airbus, it's going to be Airbus and a few other very important, large OEMs.

Okay. That's exactly the challenge that we have.

Airbus doesn't work that way, they don't communicate that way. There are clear milestones that we are working towards.

Some we have to deliver, some Airbus has to deliver. We'll see in the coming weeks how that is going to develop.

I want to say that we have, and this is also difference from the past, we have a very structured project charter with key milestones that are agreed and shared with the customer, with Airbus and the other large OEMs. That's a very different way of working.

Agreeing with customers on key targets and related milestones is a different way of working, and this is going to provide us with a little bit more clarity on how this is going to develop. I'm forced to say that Airbus, unfortunately, doesn't work that way is that they don't commit to certain roadmaps, and that this also is forcing us to retract our revenue forecast.

Thank you, Joakim. Thank you, everybody.

Thank you. Thank you, everybody.