SONM

-Strengthened balance sheet with $1.8 million cash from new convertible debt in Q2 and additional $5.0 million through the sale of preferred stock after quarter end -Converted $3.1 million outstanding note to preferred stock, further optimizing the balance sheet SAN DIEGO, Aug. 19, 2026 (GLOBE NEWSWIRE) -- DNA X, Inc. (Nasdaq: SONM) (“DNA X” or the “Company”), a developer of intelligent digital-asset technologies, today announced financial results for the second quarter ended June 30, 2026. “The second quarter marked an important milestone as we secured the capital and resources necessary to advance our strategic priorities and position DNA X for its next phase of growth," said Mike Mulica, acting Chief Executive Officer. "With these transactions, we are enhancing our ability to execute on our vision, expand our exposure to the accelerating AI economy, creating long-term value for our shareholders.” During the quarter, the Company raised $1.8 million cash through the issuance of a $3.1 million convertible note that cancelled an existing $1.3 million note. In July 2026, this $3.1 million note was cancelled and preferred stock was issued to the note holder for $6.00 per share. In July and August 2026, $5.0 million in cash was raised through the issuance of additional preferred stock at $6.00 per share. Each share of preferred stock can be converted to common shares on a one-for-one basis after stockholders’ approval is obtained. The cash raised will be used to accelerate product and business development at DNA X. Second Quarter 2026 Financial Highlights: Revenue: There was no revenue from continuing operations because the AI trading platform was closed to the public during the quarter and legacy activities are included as discontinued operations. The Company expects revenue from the trading platform to begin towards the end of the third quarter 2026 or the beginning of the fourth quarter 2026. General & Administrative Expenses: Second-quarter general and administrative expenses from continuing operations were $1.3 million, which reflects the downsizing of the Company following the sale of the Company's legacy business. Cash Position: The Company ended the quarter with $0.9 million. Subsequent to June 30, 2026, the Company received $5.0 million in cash from the sale of preferred stock. This cash will be used for working capital purposes and to support and grow the DNA X trading platform business. About DNA X, Inc. DNA X, Inc. (Nasdaq: SONM) operates an AI-driven trading platform that applies advanced artificial intelligence to automate trading strategies. For more information, visit https://ir.dna-x.global. Media Contact: Alex AsnovichDNA X, [email protected] Investor Relations Contact: Clay CroliusDNA X, [email protected] Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements in this press release that do not relate to matters of historical fact are forward-looking statements, including, without limitation, statements regarding the Company’s strategic transformation, the expected growth, performance and market opportunities of the DNA X trading platform, and the Company’s future operations and financial performance. These forward-looking statements are based on the Company’s current expectations and assumptions and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. These risks and uncertainties include, but are not limited to: risks related to the Company’s ability to successfully integrate and operate the DNA X trading platform and achieve anticipated growth; the early-stage nature of the Company’s current business and the volatility of the cryptocurrency markets; the Company’s recent disposition of its mobile device design and manufacturing business; the Company’s ability to obtain or maintain sufficient liquidity to execute its business plan; potential delays or challenges in executing its strategic plans; general economic, market and industry conditions; and the Company’s ability to maintain compliance with Nasdaq listing requirements. Additional information regarding these and other risks and uncertainties is included in the Company’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company cautions you not to place undue reliance on forward-looking statements, which speak only as of the date of this press release, and undertakes no obligation to update such statements, except as required by law.

Revenue increased 45% sequentially in Q3 2025, driven by demand for new product portfolio and the successful launch of the MegaConnect HPUE mobile hotspot Net loss narrowed to $4.8 million as operating expense declined and sales improved Stockholders approved strategic initiatives including reverse stock split, share increase and reelection of Sonim Board nominees Balance sheet strengthened through capital raise and new financing initiatives San Diego, California--(Newsfile Corp. - October 31, 2025) - Sonim Technologies, Inc. (NASDAQ: SONM), a leading provider of rugged mobile solutions for first responders, government, and enterprise, today announced its financial results for the third quarter ended September 30, 2025. "The third quarter of 2025 marked a pivotal transition for Sonim as we began to see the results of our strategic focus with the new portfolio," said Peter Liu, Chief Executive Officer of Sonim Technologies. "The successful launch of the MegaConnect HPUE mobile hotspot with AT&T and FirstNet, alongside growing demand for our products, highlights the early success of our refreshed portfolio. At the same time, we are making significant progress toward completing the sale of our assets to NEXA Mobility (formerly Social Mobile), a critical step in positioning the company for future opportunities. We remain committed to building on this momentum and delivering value to stockholders in the fourth quarter." Third Quarter 2025 Financial Highlights: Net revenue for Q3 2025 was $16.2 million, up 45% sequentially from Q2 2025. GAAP net loss for Q3 2025 was $4.8 million, improving from a GAAP net loss of $7.5 million in Q2 2025. Revenue growth and a decrease in operating expenses contributed to a sequential decrease in net loss in Q3 2025 compared to Q2 2025; however, one-time expenses tied to a potential hostile takeover and our continued strategic initiatives contributed to higher operating costs in both quarters. Adjusted EBITDA* for Q3 2025 was negative $2.0 million, reflecting an improvement from negative $3.2 million in Q2 2025. As of September 30, 2025, Sonim had $2.1 million in cash and cash equivalents, trade accounts receivable of $3.5 million, and inventory valued at $11.0 million. During the three months ended September 30, 2025, Sonim received net proceeds from equity offerings of approximately $4.8 million. The transaction proceeds were used to pay for one-time expenses and to finance new product launches. Third Quarter Business Highlights Launched the Sonim MegaConnect™ 5G HPUE hotspot with AT&T and achieved FirstNet Trusted certification. Launched the Sonim XP Pro with T-Mobile in the United States; Bell, Rogers and Telus in Canada. Launched the Sonim XP Pro Thermal with Deutsche Telekom in Germany. Launched the Sonim XP3plus 5G feature flip phone with AT&T and achieved FirstNet certification. Launched the Sonim XP Pro Thermal and XP Pro E in Europe via authorized resellers. Corporate Updates In July 2025, Sonim entered into a definitive agreement with NEXA (formerly known as Social Mobile) under which NEXA has agreed to purchase substantially all of Sonim's assets for $15.0 million in cash and up to $5.0 million in the form of an earn-out payment. The transaction is expected to close late in the fourth quarter, subject to customary closing conditions, including shareholder approval. In July 2025, Sonim stockholders elected all five of the Company's director nominees—Mike Mulica, Peter Liu, James Cassano, Jack Steenstra, and newly appointed director, George Thangadurai—to the Company's Board of Directors. In October 2025, Sonim stockholders approved a reverse stock split, which was effected at a ratio of 1-for-18. Trading on a split-adjusted basis began on October 27, 2025. This reverse stock split enables Sonim to regain compliance with Nasdaq listing requirements. In October 2025, Sonim stockholders approved an increase of authorized shares to 1 billion, providing flexibility to support potential future capital transactions. * Non-GAAP financial measure. An explanation and reconciliation of non-GAAP financial measures are presented at the end of this press release. Third Quarter 2025 Financial Results "Our third-quarter results reflect the impact of one-time expenses related to the proxy contest, due diligence for the asset sale, and preparations for a special shareholders' meeting that took place in October," said Clay Crolius, Chief Financial Officer of Sonim Technologies. "While these costs affected our short-term results, they position us to complete key transactions and unlock future value. We remain focused on exploring strategic opportunities to monetize our Nasdaq listing and maximizing shareholder value, while maintaining disciplined financial management to drive growth and innovation." Revenue for the third quarter of 2025 was $16.2 million, an increase from $11.2 million in the second quarter of 2025, which was driven by increased demand for the Sonim XP Pro and XP Pro Thermal and the successful launch of the Sonim MegaConnect HPUE mobile hotspot with AT&T and FirstNet. Gross profit for the third quarter of 2025 was $1.8 million, or 11% of revenues, compared to the second quarter of 2025 gross profit of $0.8 million, or 8% of revenues. Gross margins reflect additional labor costs in the third quarter of 2025 to address quality control and software issues and the second quarter reflected a $1.1 million loss on impairment of contract fulfillment assets. Operating expenses decreased to $5.8 million in the third quarter of 2025 compared to $7.6 million in the second quarter of 2025. The decrease was primarily driven by a $1.0 million reduction in sales & marketing costs as fewer products were launched, and a $0.7 million decrease in R&D expenses as fewer new products were under development. Net loss improved to $4.8 million for the third quarter of 2025, compared to $7.5 million in the second quarter of 2025, driven by higher sales and reduced sales & marketing expenses. Balance Sheet and Working Capital Ended the third quarter of 2025 with $2.1 million in cash, $3.5 million in trade accounts receivable, and $11.0 million in inventory. About Sonim Technologies Sonim Technologies is a leading U.S. provider of rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com. Important Cautions Regarding Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the company's financial condition, strategic initiatives, and the timeline of the consummation of the asset purchase agreement. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; potential material delays in realizing projected timelines; Sonim's ability to meet expectations regarding the timing and completion of the declared strategic initiatives to return value to stockholders; Sonim's ability to complete the asset purchase agreement and the consequences if Sonim fails to do so; Sonim's ability to consummate a strategic transaction complementary to the asset purchase agreement and ensure the continuation of its business following the disposition of the legacy business; Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; Sonim's entry into the data device sector could divert our management team's attention from existing products; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; the U.S. trade policy, including the imposition of tariffs; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carrier customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law. Media Contact Anette Gaven Sonim Technologies M: 619-993-3058 [email protected] SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) (*) Adjusted retroactively to reflect the 1-for-18 reverse stock split that became effective on October 27, 2025. SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) (UNAUDITED) (*) Adjusted retroactively to reflect the 1-for-18 reverse stock split that became effective on October 27, 2025. Non-GAAP Financial Measures In addition to our financial results determined in accordance with U.S. GAAP, we believe the following non-GAAP and operational measures are useful in evaluating our performance-related metrics and present them as a supplemental measure of our performance. Adjusted EBITDA We define Adjusted EBITDA as net loss adjusted to exclude the impact of stock-based compensation expense, depreciation and amortization, interest expense, income taxes, adjustments due to the expiration of customer allowance agreements, impairment of contract fulfillment assets, financing costs, and non-recurring legal and professional fees. Adjusted EBITDA is a useful financial metric in assessing our operating performance from period to period by excluding certain items that we believe are not representative of our core business, such as certain material non-cash items and other adjustments, such as stock-based compensation. We believe that Adjusted EBITDA, viewed in addition to, and not in lieu of, our reported GAAP results, provides useful information to investors regarding our performance and overall results of operations for various reasons, including: one-time non-cash asset impairment costs, financing costs, and non-recurring legal and professional fees as they do not reflect normal operations; non-cash equity grants made to employees at a certain price do not necessarily reflect the performance of our business at such time, and as such, stock-based compensation expense is not a key measure of our operating performance; and non-cash depreciation and amortization are not considered a key measure of our operating performance. We use Adjusted EBITDA: as a measure of operating performance; for planning purposes, including the preparation of budgets and forecasts; to allocate resources to enhance the financial performance of our business; to evaluate the effectiveness of our business strategies; in communications with our board of directors concerning our financial performance; and as a consideration in determining compensation for certain key employees. Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP. Some of these limitations include: it does not reflect all cash expenditures, future requirements for capital expenditures or contractual commitments; it does not reflect changes in, or cash requirements for, working capital needs; it does not reflect interest expense on our debt or the cash requirements necessary to service interest or principal payments; and other companies in our industry may define and/or calculate this metric differently than we do, limiting its usefulness as a comparative measure. Set forth below is a reconciliation from net income (loss) to Adjusted EBITDA for the respective periods (in thousands): To view the source version of this press release, please visit https://www.newsfilecorp.com/release/272694

Sonim Poised for Growth in the Second Half of 2025 with Tier-One Carrier Launches Q2 Results Reflect Investments, Product Launches, and Progress on Social Mobile's Acquisition of Sonim San Diego, California--(Newsfile Corp. - August 8, 2025) - Sonim Technologies, Inc. (NASDAQ: SONM), a leading provider of rugged mobile solutions for first responders, government, and enterprise, today announced its financial results for the second quarter ended June 30, 2025. "The second quarter of 2025 marked a pivotal period for Sonim as we laid the groundwork for a strong finish to the year," said Peter Liu, CEO of Sonim Technologies. "Tier-one carrier launches of our XP Pro series and 5G flip feature phone are now underway in the third quarter. We also debuted Sonim MegaConnect, the world's first HPUE mobile hotspot—in collaboration with FirstNet and AT&T—and we are energized by the overwhelming customer enthusiasm and robust orders. Additionally, the recently announced agreement for Social Mobile to acquire Sonim underscores the value of our innovation and market strategy. We are confident that these milestones position us for sustained growth and success as we move forward." Second Quarter 2025 Financial Highlights: Net revenue of $11.2 million, down 33% from the first quarter of 2025. The first quarter reflected a one-time $5.3 million addition to revenue related to the expiration of customer allowance agreements. GAAP net loss for the quarter was $7.5 million, compared to net income of $0.5 million in the first quarter of 2025. The second quarter of 2025 includes a loss on the impairment of contract fulfillment assets related to the end of life of our legacy products, as well as increased costs related to our contested proxy solicitation. The first quarter of 2025 includes a one-time $5.3 million addition to revenue related to the expiration of customer allowance agreements. Adjusted EBITDA* was negative $3.2 million, unchanged from the first quarter of 2025. Ended the quarter with cash and cash equivalents totaling $2.0 million, trade accounts receivable of $2.9 million, and inventory valued at $9.9 million. Raised $5.4 million in capital through sales of our common stock, net of issuance costs. Transaction proceeds were used for further expansion of product offerings and to finance new product launches. Second Quarter 2025 Business Highlights Launched XP Pro smartphone with AT&T. Commenced shipments of the Sonim H500 mobile hotspot to distributors in Europe to support third quarter launches with tier-one operators Deutsche Telekom in Germany, Telenor in Norway, and Swisscom in Switzerland. Awarded promotional slot for the Sonim H500 5G mobile hotspot with Verizon. Corporate Updates In July, Sonim entered into a definitive agreement with Social Mobile under which Social Mobile agreed to purchase substantially all of Sonim's assets in an all-cash transaction for $15.0 million and up to an additional $5.0 million in an earn-out payment. The transaction received approval by the Sonim Board of Directors and is expected to close in the fourth quarter of 2025, subject to customary closing conditions, including stockholder approval. In July, Sonim stockholders elected all five of the Company's director nominees—Mike Mulica, Peter Liu, James Cassano, Jack Steenstra, and newly nominated director, George Thangadurai—to the Company's Board of Directors. Second Quarter 2025 Financial Results "Our second quarter results reflect some one-time expenses driven by unique circumstances, including legal fees associated with the proxy battle and due diligence efforts," said Clay Crolius, Chief Financial Officer of Sonim Technologies. "While these factors, along with the timing shifts of product shipments, impacted our short-term financials, they were necessary steps in positioning the company for long-term success. As we move forward, we remain focused on exploring strategic opportunities to monetize our Nasdaq listing and deliver maximum value to our shareholders. We are committed to disciplined financial management and leveraging our resources to support growth and innovation in the quarters ahead." Revenue for the second quarter of 2025 was $11.2 million, a decrease from $16.7 million in the first quarter of 2025. The first quarter of 2025 included a one-time $5.3 million addition to revenue related to the expiration of customer allowance agreements. Gross profit for the second quarter of 2025 was $0.8 million, or 8% of revenues, compared to the first quarter of 2025 gross profit of $8.4 million, or 50% of revenues. Gross profit margins reflected a $1.1 million loss on impairment of contract fulfillment assets in the second quarter of 2025 and $5.3 million in revenue related to the expiration of customer allowance agreements in the first quarter of 2025. Operating expenses decreased from $7.7 million in the first quarter of 2025 to $7.6 million in the second quarter of 2025, primarily because R&D costs decreased by $0.7 million due to a substantial portion of development costs for new products being completed in the first quarter of 2025. This decrease was partially offset by higher G&A and Sales & Marketing expenses due to higher legal and professional fees related to the contested proxy. The net loss for the second quarter of 2025 was $7.5 million, as compared to net income of $0.5 million in the first quarter of 2025, which included a $5.3 million one-time adjustment to revenue due to the expiration of customer allowance agreements. Adjusted EBITDA* in the second quarter of 2025 was negative $3.2 million, which was unchanged from the first quarter of 2025. Balance Sheet and Working Capital Sonim ended the second quarter of 2025 with $2.0 million in cash, $2.9 million in trade accounts receivable, and $9.9 million in inventory. Subsequent to quarter end, Sonim received net proceeds of $7.1 million related to sales of common stock through a public offering and the issuance of debt. These proceeds improve the Company's balance sheet and provide working capital to support future product launches. * Non-GAAP financial measure. An explanation and reconciliation of non-GAAP financial measures are presented at the end of this press release. About Sonim Technologies Sonim Technologies is a leading U.S. provider of rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com. Important Cautions Regarding Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the scheduled release of new products, our growth strategy, and the timing of the consummation of the Asset Purchase Agreement. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; the risk associated with Sonim's ability to obtain the approvals of its stockholders required to consummate the Asset Purchase Agreement; risks associated with Sonim's ability to find and RTO target and enter into an RTO; risks related to the timing of the closing of the Asset Purchase Agreement, including the risk that the conditions to the transactions contemplated thereby are not satisfied on a timely basis or at all or the failure of the Asset Purchase Agreement to close for any other reason or to close on the anticipated terms, including the anticipated tax treatment; the possibility that competing offers or acquisition proposals for the Company will be made; the occurrence of any event, change or other circumstance that could give rise to the termination of the definitive transaction agreement relating to the proposed transaction, including in circumstances which would require the Company to pay a termination fee; the effect of the announcement or pendency of the proposed transaction on the Company's ability to attract, motivate or retain key executives and associates, its ability to maintain relationships with its customers, vendors, service providers and others with whom it does business, or its operating results and business generally; potential material delays in realizing projected timelines; the current interest and potential attempt of hostile takeover from a third party may divert the management attention from Sonim's business and may require significant expenses; Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; Sonim's entry into the data device sector could divert our management team's attention from existing products; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; the U.S. trade policy, including the imposition of tariffs; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carries customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law. Additional Information and Where to Find It This communication relates to the proposed transaction involving Sonim. This communication does not constitute a solicitation of any vote or approval. In connection with the proposed transaction, Sonim plans to file with the SEC a proxy statement (the "Proxy Statement") relating to a special meeting of its stockholders and may file other documents with the SEC relating to the proposed transaction, including a prospectus. This communication is not a substitute for the Proxy Statement or any other document that Sonim may file with the SEC or send to its stockholders in connection with the proposed transaction. Before making any voting decision, stockholders of Sonim are urged to read the Proxy Statement in its entirety when it becomes available and any other relevant documents filed or to be filed with the SEC and any amendments or supplements thereto and any documents incorporated by reference therein, because they will contain important information about the proposed transaction and the parties to the proposed Transaction. Any vote in respect of resolutions to be proposed at a stockholder meeting of Sonim to approve the proposed transaction or related matters, or other responses in relation to the proposed transaction, should be made only on the basis of the information contained in the Proxy Statement. Investors and security holders will be able to obtain the Proxy Statement and other documents Sonim files with the SEC (when available) free of charge at the SEC's website (http://www.sec.gov) or at Sonim's investor relations website (https://ir.sonimtech.com/) or by e-mailing Sonim at [email protected]. Participants in the Solicitation Sonim and its respective directors, executive officers, and other members of their management and employees, including Peter Liu (Chief Executive Officer and a director), Clay Crolius (Chief Financial Officer), and Sonim's directors — James Cassano, Mike Mulica, Jack Steenstra, and George Thangadurai — under SEC rules, may be deemed to be participants in the solicitation of proxies of Sonim's stockholders in connection with the proposed Transaction. Stockholders may obtain more detailed information regarding Sonim's directors and executive officers, including a description of their direct or indirect interests, by security holdings or otherwise, under the captions "Directors, Executive Officers, and Corporate Governance," "Security Ownership of Certain Beneficial Owners and Management," and "Certain Relationships and Related Party Transactions" of Sonim's definitive proxy statement for the 2025 Annual Meeting filed with the SEC on June 18, 2025. Any subsequent updates following the date hereof to the information regarding the identity of potential participants, and their direct or indirect interests, by security holdings or otherwise, will be set forth in the Proxy Statement and other materials to be filed with the SEC in connection with the proposed Transaction, if and when they become available. These documents will be available free of charge as described above. Media Contact Anette Gaven Sonim Technologies M: 619-993-3058 [email protected] SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) (UNAUDITED) Non-GAAP Financial Measures In addition to our financial results determined in accordance with U.S. GAAP, we believe the following non-GAAP and operational measures are useful in evaluating our performance-related metrics and present them as a supplemental measure of our performance. Adjusted EBITDA We define Adjusted EBITDA as net loss adjusted to exclude the impact of stock-based compensation expense, depreciation and amortization, interest expense, income taxes, adjustments due to the expiration of customer allowance agreements, impairment of contract fulfillment assets, financing costs, and non-recurring legal and professional fees. Adjusted EBITDA is a useful financial metric in assessing our operating performance from period to period by excluding certain items that we believe are not representative of our core business, such as certain material non-cash items and other adjustments, such as stock-based compensation. We believe that Adjusted EBITDA, viewed in addition to, and not in lieu of, our reported GAAP results, provides useful information to investors regarding our performance and overall results of operations for various reasons, including: one-time non-cash asset impairment costs, financing costs, and non-recurring legal and professional fees as they do not reflect normal operations; non-cash equity grants made to employees at a certain price do not necessarily reflect the performance of our business at such time, and as such, stock-based compensation expense is not a key measure of our operating performance; and non-cash depreciation and amortization are not considered a key measure of our operating performance. We use Adjusted EBITDA: as a measure of operating performance; for planning purposes, including the preparation of budgets and forecasts; to allocate resources to enhance the financial performance of our business; to evaluate the effectiveness of our business strategies; in communications with our board of directors concerning our financial performance; and as a consideration in determining compensation for certain key employees. Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP. Some of these limitations include: it does not reflect all cash expenditures, future requirements for capital expenditures or contractual commitments; it does not reflect changes in, or cash requirements for, working capital needs; it does not reflect interest expense on our debt or the cash requirements necessary to service interest or principal payments; and other companies in our industry may define and/or calculate this metric differently than we do, limiting its usefulness as a comparative measure. Set forth below is a reconciliation from net income (loss) to Adjusted EBITDA for the respective periods (in thousands): To view the source version of this press release, please visit https://www.newsfilecorp.com/release/261900

Introduced XP Pro Thermal 5G smartphone at Mobile World Congress international tech and telecom tradeshow in Barcelona; Received initial purchase orders ahead of second quarter launch Positioned for growth in 2025 with new product launches and continued expansion in Europe Set to launch five products as stocked products in the second quarter through Tier 1 carriers and global partners San Diego, California--(Newsfile Corp. - May 12, 2025) - Sonim Technologies, Inc. (NASDAQ: SONM), a leading provider of rugged mobile solutions, that include ultra-rugged and rugged phones, connected devices, and accessories for users that demand more durability in their lives, today announced its financial results for the first quarter ended March 31, 2025. First Quarter 2025 and Recent Highlights: Net revenue increased by 12% sequentially, to $16.7 million. GAAP net income for the quarter was $0.5 million, compared to a net loss of $21.6 million in the fourth quarter of 2024. Adjusted EBITDA* was negative $3.2 million, compared to negative $16.6 million for the fourth quarter of 2024. Ended the quarter with cash and cash equivalents totaling $2.1 million, trade accounts receivable of $4.8 million, and inventory of $8.6 million. Raised $6.5 million in capital through ATM sales and debt issuance, which provides cash to expand product offerings and to finance the European expansion. Earned Verizon Frontline Verified status for the XP Pro 5G smartphone and the Sonim H500 5G mobile hotspot, targeting first responders. XP3plus 5G rugged flip phone launched at T-Mobile and certified for T-Priority, targeting first responders. Secured major next generation device upgrade agreements and/or expanded their current deployment base with leading Fortune 500 and enterprise customers, including OSF HealthCare, a leading provider in patient healthcare. Launched Sonim Spot™ H100 4G LTE mobile hotspot with Telia in Finland. Introduced the XP Pro Thermal 5G smartphone with an integrated thermal imaging camera at Mobile World Congress international tech and telecom tradeshow in Barcelona and have subsequently received initial purchase orders ahead of second quarter launch. Set to launch two products as stocked offerings in the second quarter with Tier 1 carriers in North America. Set to launch three additional products in the second quarter with leading distribution partners and Tier 1 operators. * Non-GAAP financial measure. An explanation and reconciliation of non-GAAP financial measures are presented at the end of this press release. "In the first quarter of 2025 we continued to expand our sales base by launching new stocked products with carriers in North America and Europe while broadening our distribution across Europe." said Peter Liu, Chief Executive Officer of Sonim Technologies. "Our strategic investments in new products are delivering results, as more carriers and distributors are choosing to offer our products. We remain on track for additional product launches throughout the remainder of 2025." First Quarter 2025 Financial Results Revenue for the first quarter of 2025 was $16.7 million, an increase from $15.0 million in the fourth quarter of 2024. Revenue included $5.3 million related to the expiration of customer allowance agreements. Gross profit for the first quarter of 2025 was $8.4 million, or 50% of revenues, compared to fourth quarter 2024 gross profit of negative $0.2 million, or a negative 1% of revenues. Gross profit margins reflected a $3.3 million loss on impairment of contract fulfillment assets in 2024 and $5.3 million in revenue related to the expiration of customer allowance agreements in 2025. Operating expenses decreased from $21.9 million in the fourth quarter of 2024 to $7.7 million in the first quarter of 2025 primarily because R&D costs decreased by $10.9 million due to a substantial portion of development costs for new products being completed in 2024. Sales & Marketing and G&A expenses were also lower in the first quarter of 2025. Net income in the first quarter of 2025 was $0.5 million, an improvement from a net loss of $21.6 million in the fourth quarter of 2024, which included impairment charges of $3.3 million. Adjusted EBITDA in the first quarter of 2025 was negative $3.2 million, compared to negative $16.6 million in the fourth quarter of 2024. Balance Sheet and Working Capital Ended the first quarter of 2025 with $2.1 million in cash, $4.8 million in trade accounts receivable, and $8.6 million in inventory. Subsequent to quarter end, the Company received net proceeds of $4.5 million related to sales of common stock through its ATM program. About Sonim Technologies Sonim Technologies is a leading U.S. provider of rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com. Important Cautions Regarding Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the scheduled release of new products. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; potential material delays in realizing projected timelines; the current interest and potential attempt of hostile takeover from a third party may divert the management attention from Sonim's business and may require significant expenses; Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; Sonim's entry into the data device sector could divert our management team's attention from existing products; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; the U.S. trade policy, including the imposition of tariffs; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carries customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law. Media Contact Anette Gaven Sonim Technologies M: 619-993-3058 [email protected] SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) SONIM TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) (UNAUDITED) * Adjusted retroactively to reflect the 1-for-10 reverse stock split that became effective on July 17, 2024 Non-GAAP Financial Measures In addition to our financial results determined in accordance with U.S. GAAP, we believe the following non-GAAP and operational measures are useful in evaluating our performance-related metrics and present them as a supplemental measure of our performance. Adjusted EBITDA We define Adjusted EBITDA as net loss adjusted to exclude the impact of stock-based compensation expense, depreciation and amortization, interest expense, income taxes, adjustments due to the expiration of customer allowance agreements, impairment of contract fulfillment assets, and restructuring charges. Adjusted EBITDA is a useful financial metric in assessing our operating performance from period to period by excluding certain items that we believe are not representative of our core business, such as certain material non-cash items and other adjustments, such as stock-based compensation. We believe that Adjusted EBITDA, viewed in addition to, and not in lieu of, our reported GAAP results, provides useful information to investors regarding our performance and overall results of operations for various reasons, including: restructuring charges and one-time non-cash asset impairment costs as they do not reflect normal operations; non-cash equity grants made to employees at a certain price do not necessarily reflect the performance of our business at such time, and as such, stock-based compensation expense is not a key measure of our operating performance; and non-cash depreciation and amortization are not considered a key measure of our operating performance. We use Adjusted EBITDA: as a measure of operating performance; for planning purposes, including the preparation of budgets and forecasts; to allocate resources to enhance the financial performance of our business; to evaluate the effectiveness of our business strategies; in communications with our board of directors concerning our financial performance; and as a consideration in determining compensation for certain key employees. Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP. Some of these limitations include: it does not reflect all cash expenditures, future requirements for capital expenditures or contractual commitments; it does not reflect changes in, or cash requirements for, working capital needs; it does not reflect interest expense on our debt or the cash requirements necessary to service interest or principal payments; and other companies in our industry may define and/or calculate this metric differently than we do, limiting its usefulness as a comparative measure. Set forth below is a reconciliation from net loss to Adjusted EBITDA for the respective periods (in thousands): To view the source version of this press release, please visit https://www.newsfilecorp.com/release/251799

San Diego, California--(Newsfile Corp. - April 23, 2025) - Sonim Technologies, Inc. (NASDAQ: SONM), a leading U.S. provider of rugged mobile solutions, today announced significant progress in the execution of its expansion strategy, underscoring the company's commitment to long term growth and operational excellence. The foundation laid through strategic investments in 2024 has positioned Sonim for success through the development and delivery of new products and product categories, new customer acquisitions, the retention of an existing customer base due to upgrades to the next generation portfolio, and market expansion across North America, Europe, South Africa, and Australia. Copyright Sonim Technologies To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/8971/249470_sonim_momentum25_pr_1200x800_v2a-05_1.jpg "Sonim entered the second quarter with strong momentum thanks to the disciplined execution of our strategy," said Peter Liu, CEO of Sonim. "Our investments are already laying the foundation for robust growth, with market acceptance affirming our progress. From product innovation and geographic diversification to operational advancements, we remain focused on delivering value to our customers and shareholders." New products set to launch in North America, EMEA, and Australia Sonim is set to launch three products as stocked offerings in the second quarter with Tier 1 carriers in North America. These include the company's flagship Sonim XP Pro next generation rugged 5G smartphone. Three additional products are slated to launch in the second quarter with leading distribution partners and Tier 1 operators, including Deutsche Telekom in Germany, which currently stocks three Sonim SKUs. These new placements further strengthen Sonim's growing footprint in these key markets. Purchase orders for second quarter launches Validating market demand, purchase orders have already been placed for Sonim's upcoming product launches late in the second quarter. Enterprise customer growth Sonim continues to attract and retain enterprise customers with next generation Sonim products. Notably, Sonim secured major next generation device upgrade agreements and/or expanded their current deployment base with leading Fortune 500 and enterprise customers. These include two of the top 10 healthcare systems in the United States, one of the largest integrated energy infrastructure companies in the U.S., and one of the world's largest emergency medical services companies. Diversified manufacturing options Demonstrating its commitment to a strengthened supply chain, Sonim has successfully diversified its manufacturing footprint outside of China. Production of all next generation 5G products is based in Taiwan and Vietnam, ensuring cost optimization and risk mitigation, while adhering to Sonim's proprietary Rugged Performance Standards and the highest quality benchmarks. "Our ability to execute at such a high level is a testament to the talented Sonim team," added Liu. "By proactively moving our manufacturing outside of China, we have minimized the impact of tariffs on our new products. We are closely monitoring the tariff situation and will take additional actions as needed to minimize the effect of tariffs on our customers. We are excited for what lies ahead as we continue to drive our expansion strategy across higher growth markets to deliver results that matter to all stakeholders." About Sonim Technologies Sonim Technologies is a leading U.S. provider of rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com. Important Cautions Regarding Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the projected revenue growth, the declaring and reaffirming of Sonim's business strategy and objectives, the successful expansion of Sonim's products in new markets, and the new product launches and associated timelines. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-Looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; potential material delays in realizing projected timelines; the current interest and potential attempt of hostile takeover from a third party may divert the management attention from Sonim's business and may require significant expenses; Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; Sonim's entry into the data device sector could divert our management team's attention from existing products; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carries customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law. Media Contact Anette Gaven Sonim Technologies M: 619-993-3058 [email protected] To view the source version of this press release, please visit https://www.newsfilecorp.com/release/249470

Strengthened Cash Position Through Strategic Stock Sales and Debt Financing Focused Growth Strategy Enhances Global Footprint and Distribution Channels Optimistic 2025 Outlook as Scalable Product Portfolio Positions Sonim for Global Success San Diego, California--(Newsfile Corp. - March 31, 2025) - Sonim Technologies, Inc. (Nasdaq: SONM), a leading provider of rugged mobile solutions, today announced its financial results for the fourth quarter and full year ended December 31, 2024. The company highlighted solid progress in revenue growth fueled by strong adoption of recently launched products and strategic market expansion. "We closed 2024 with significant strides in product innovation and market penetration, particularly within North America and Europe," said Peter Liu, Chief Executive Officer of Sonim Technologies. "The investments we made in 2024 to expand our product portfolio and enhance our European market capabilities are paying off. With new rugged devices serving verticals such as public safety, construction, and agriculture, along with continued operational improvements, we are well-positioned for revenue growth and an improved bottom line in 2025." Fourth Quarter and Full Year 2024 Financial Highlights: Revenue: Fourth-quarter revenue increased 12% year-over-year to $15.0 million, driven by the growing momentum of newly launched products. Full-year 2024 revenue decreased 38% year-over-year to $58.3 million. This decrease reflects the Company's strategic transition from the white label business to innovative solutions including the XP Pro 5G and XP Pro Thermal rugged smartphones, professional rugged feature phones, three mobile hotspots, and fixed wireless access solutions. Gross Margin: Fourth-quarter and full year gross margin was negative 1% and 17%, respectively. An impairment charge of $3.0 million related to contract fulfillment assets negatively impacted gross margin by 20 percentage points in the fourth quarter and 5 percentage points for the full year. R&D Expenses: R&D expenses increased in 2024, driven primarily by higher investments in the development and launch preparation of new connected solutions, professional rugged and ultra rugged phones, as well as costs related to upgrading product operating systems. Cash Position: Sonim ended the year with $5.3 million in cash, $4.3 million in trade accounts receivable, and $10.6 million in inventory. Following the year-end, the company secured $3.7 million in proceeds from stock sales through its At-The-Market (ATM) program and raised an additional $3.0 million through the issuance of new debt. 2024 Business Highlights: Sonim achieved significant milestones in 2024, introducing innovative products in the rugged mobility market and reinforcing its leadership across key verticals and regions. Notable accomplishments include: Diversified offering with the launch of the new Connected Solutions portfolio of mobile hotspots. Sonim H500 series 5G rugged mobile hotspot launched with Verizon, UScellular, and Bell Canada. Sonim H700 5G rugged mobile hotspot launched with Telstra in Australia and was introduced as the world's first rugged 5G Rel.17 and Wi-Fi 7 rugged mobile hotspot. Expanded phone portfolio with the launch of professional rugged phones and the flagship Sonim XP Pro ultra rugged smartphone. Sonim XP Pro 5G ultra rugged smartphone launched with Verizon and secured new tier-one carrier wins for launch in 2025. Sonim XP400 5G professional rugged smartphone and XP100 4G professional rugged feature phone launched in Europe and South Africa. Implemented a robust growth strategy to bring new products to market, established a strong business foundation, and drove market penetration across Europe, South Africa, and Australia, while expanding our customer base and strengthening distribution channels. Secured Master Service Agreements (MSAs) with key distributors, enhancing market access and operational efficiency in Europe, South Africa, and Australia. Expanded and fortified our customer ecosystem across carriers, distribution channels, and end-users, reflecting a broader market reach and improved partner engagement. Strengthened supply chain with TAA-compliant manufacturers for 5G Solutions. Secured a new enterprise customer in the healthcare sector in the fourth quarter with a 4,000-unit feature phone agreement. Secured major next generation device upgrade agreements with leading Fortune 500 companies including a leader in the construction sector and a leading Emergency Medical Services (EMS) provider. 2025 Outlook: "We expect future growth in revenue, gross margin and profitability as our robust portfolio of rugged mobile devices that launched in 2024 and 2025 begins to scale globally," said Clay Crolius, CFO of Sonim. "With demand accelerating for both 5G and rugged solutions, Sonim is uniquely positioned to serve high-value industries, supported by the reliability of our technology and partnerships with leading carriers worldwide." About Sonim Technologies Sonim Technologies is a leading U.S. provider of rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com. Important Cautions Regarding Forward-Looking Statements This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the projected revenue growth, the declaring and reaffirming of Sonim's business strategy and objectives, the successful expansion of Sonim's products in new markets, and Sonim's ability to grow and to capitalize the market opportunity. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; potential material delays in realizing projected timelines; the current interest and potential attempt of hostile takeover from a third party may divert the management attention from Sonim's business and may require significant expenses; Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; Sonim's entry into the data device sector could divert our management team's attention from existing products; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carries customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law. Media Contact Anette Gaven Sonim Technologies M: 619-993-3058 [email protected] SONIM TECHNOLOGIES, INC. CONSOLIDATED BALANCE SHEETS DECEMBER 31, 2024 and 2023 (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) *Adjusted retroactively to reflect the 1-for-10 reverse stock split that became effective on July 17, 2024. SONIM TECHNOLOGIES, INC. CONSOLIDATED STATEMENTS OF OPERATIONS YEARS ENDED DECEMBER 31, 2024 and 2023 (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) *Adjusted retroactively to reflect the 1-for-10 reverse stock split that became effective on July 17, 2024 Non-GAAP Financial Measures In addition to our financial results determined in accordance with U.S. GAAP, we believe the following non-GAAP and operational measures are useful in evaluating our performance-related metrics and present them as a supplemental measure of our performance. Adjusted EBITDA We define Adjusted EBITDA as net loss adjusted to exclude the impact of stock-based compensation expense, depreciation and amortization, interest expense, income taxes, restructuring charges, and asset impairment charges. Adjusted EBITDA is a useful financial metric in assessing our operating performance from period to period by excluding certain items that we believe are not representative of our core business, such as certain material non-cash items and other adjustments, such as stock-based compensation. We believe that Adjusted EBITDA, viewed in addition to, and not in lieu of, our reported GAAP results, provides useful information to investors regarding our performance and overall results of operations for various reasons, including: restructuring charges and one-time non-cash asset impairment costs as they do not reflect normal operations; non-cash equity grants made to employees at a certain price do not necessarily reflect the performance of our business at such time, and as such, stock-based compensation expense is not a key measure of our operating performance; and non-cash depreciation and amortization are not considered a key measure of our operating performance. We use Adjusted EBITDA: as a measure of operating performance; for planning purposes, including the preparation of budgets and forecasts; to allocate resources to enhance the financial performance of our business; to evaluate the effectiveness of our business strategies; in communications with our board of directors concerning our financial performance; and as a consideration in determining compensation for certain key employees. Adjusted EBITDA has limitations as an analytical tool, and should not be considered in isolation, or as a substitute for analysis of our results as reported under GAAP. Some of these limitations include: it does not reflect all cash expenditures, future requirements for capital expenditures or contractual commitments; it does not reflect changes in, or cash requirements for, working capital needs; it does not reflect interest expense on our debt or the cash requirements necessary to service interest or principal payments; and other companies in our industry may define and/or calculate this metric differently than we do, limiting its usefulness as a comparative measure. Set forth below is a reconciliation from net loss to Adjusted EBITDA for the respective periods (in thousands): To view the source version of this press release, please visit https://www.newsfilecorp.com/release/246748