Our results from 2022 are not unusual.

I’d like to address our 2022 results, which you’ve likely noticed.

First of all: this is not unusual for tech companies, especially in their early stages. When we started lynes in 2019, we anticipated a few challenging years — but we’re well prepared and optimistic about the future.

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Why does 2022 look the way it does?

Development costs:

Building a world-class UCaaS platform takes investment — in both time and money. Many of you have probably heard about other large-scale development projects. Now imagine adding a few extra conditions:

the system can never go down, within 3–4 years it must offer the same features that others have developed over 15, and it has to perform flawlessly whether there are 2,000 or 2 million users — always fast, always responsive. (We’re literally chasing milliseconds.)

That places some pretty high demands on development.

Operating and supporting two systems:

Running both Easy Classic and lynes in parallel has been costly — both organizationally and financially. But we’re well on our way to completing the planned phase-out of Easy Classic.

Merger-related accounting loss:

We merged Briteback AB with Lynes Technologies Sweden AB, which resulted in an accounting loss of around 11 MSEK.

Here’s the background: Briteback AB, previously a subsidiary, had been recorded as an asset worth 11.4 MSEK (the shares were the asset). When the merger was completed, this asset was removed from the balance sheet, resulting in a technical — not actual — loss.

No real money left our accounts; this was purely an accounting adjustment.

Revenue recognition:

We’ve adjusted how we recognize revenue to ensure it’s booked in the same period that the service is delivered. This change had a one-time negative impact on revenue of about 16 MSEK.

So no — lynes is not on the brink of collapse.

We’re well-equipped for the future, and we’ll start seeing the results of our investments in the coming years.