Fingerprint Cards Company presentation

September, 2015

1 Company Overview, Cards (FPC)

• Swedish biometry company established 1997 • Offices in Sweden, Copenhagen, Tokyo, Seoul, Shanghai, Taipei, Silicon Valley • Provides fingerprint sensors based on 18 years of technology development FPC’s technology provides: - superior biometric performance - robust sensor design - low power consumption • Large patent portfolio with 100+ patents • Fabless operation • Significant management ownership with vast sector experience • Financial summary: – Q215 revenues SEK 445m, 2015 guidance SEK 2,5b. – Q215 operating margin 15%

2 Market update

3 Global FP penetration

Source: FPC Estimates • Strong preference for touch fingerprint sensors in – a key phone component going forward • Apple and Android ecosystems support fingerprint, penetration is rapidly increasing in Android.

4 Global Smartphone Vendor Market shares 2015

Share M Units Global Smartphone Vendor Marketshare 2015 2015 Samsung 23% 336,6 X Apple 16% 236,0 X 6% 91,8 Lenovo+Motorola 6% 89,9 Xiaomi 5% 74,8 LG 5% 69,4 ZTE 4% 56,5 TCL-Alcatel 4% 56,1 Nokia (Microsoft) 3% 43,1 3% 39,5 Coolpad 3% 38,4 Vivo 3% 37,5 Sony 2% 30,7 Micromax 2% 23,0 ASUS 1% 19,3 HTC 1% 18,6 BlackBerry 0,5% 6,9 Others 14% 203,3 12 OEMs Total 100% 1471,4

Source: Strategy Analytics, July 2015 X Launched phones with competition or inhouse Launched phone with FPC sensor 5 Has not launched phone with FP sensor ’s Android M major catalyst

6 Recent market development

• Strong surge in interest • 19 OEMs have launched phones with FPC touch in 2015 to date. Appr 25 estimated before year-end • Mobile OEMs refer to FPC brand to promote fingerprint sensor in the device

7 32 FPC OneTouch®smartphones to date

Nextbit Huawei BLU, Pure XL IVVI, ZUK Huawei Huawei G7+ Robin Mate S K2 Z1 G8

Huawei Huawei OnePlus Gigaset Gigaset Gigaset 7i ZTE ME Pro ME Pure ME MaiMang 4 OnePlus 2 Axon

QiKu Oppo QiKu Dazen Meizu QiKu Young Ginonee R7 Flagship Note 3 MX5 Professional Elife E8

Coolpad Huawei Tiptop Oppo Newman Huawei Honor 7 LeTV Pro N3 Button Ascend Mate7 One Max 8 FPC in the value chain

Distributor Module house OEM/ODM -Design support -SW delivery/customization - HW customization -Integration support -Maintenance Software customization and integration. 3-9 months Huawei

HW design/customization support. Shipment of O-film wafers or packaged sensors (LGA, Land Grid Array)

CrucialTec WPI

Shipment of sensors FPC

Warehousing and Packaging and module Industrial Design, Logistics manufacturing integration, tuning and end-user experience 9 Innovation update

10 Industry’s broadest portfolio

Touch fingerprint sensor Touch fingerprint sensor Touch fingerprint sensor Backside button Home Button Side Button Integrated power or volume button

Sensor Mass Production Sensor Mass Production Sensor Mass Production FPC1020 Q2 2014 FPC1150 Q3 2014 FPC1145 Q2 2015 FPC1021 Q3 2014 FPC1155 Q1 2015 FPC1025 Q1 2015 FPC1140 Q2 2015 FPC1022 Q2 2015 FPC1145 Q2 2015 FPC1035 Q2 2015 11 Introduction of FPC1200 series

12 World leading biometric technology

• Superb 3D image quality enable industry’s best biometric performance

• State of the art proprietary algorithm enables smaller sensors

• Lowest Power Consumption

13 Emerging opportunity - Biometric Smart cards

• System-on-card = integrate all biometric functionality into a smart card – Fingerprint sensor – Biometric matching algorithm – Embedded processor

• FPC sensor technology with slim package = perfect fit for smart cards: – Low power consumption – Thin compact form factor (ISO compliant) – 3D image quality = superior biometric performance

14 Creating foundation for future growth

• Integration competence – HW/SW with OEMs • State of the art SW and Algorithm • Superb image quality enable industry’s best biometric performance • FPC is the preferred ecosystem partner – Operating system, application processor, peripherals, modules • Operational excellence, proven track record • Profitable growth funds material R&D investments in new technologies and new business opportunities

15 Financial performance

16 Quarterly financial trends up to Q2 2015

Revenue (SEK M) Adj. gross margin (%)

Order backlog (SEK M) EPS after dilution(SEK)

17 Q3 2015 Guidance

Q3 2015 Outlook

Revenues to amount to appr. SEK Revenue Q3 2015 860 million Improved operating result Operating result Q3 2015 compared to Q2 2015

18 2015 guidance

Previous 2015 Guidance Updated 2015 Guidance

Revenue Appr. SEK 2,200( 1) million Appr SEK 2,500 million

Operating result Positive result expected Positive result expected

1. Guidance as of 16/6/2015

• 2015 revenue guidance updated from approximately SEK 2,200 million to approximately SEK 2,500 million • No need for further capital injection foreseen to fund the operation

19 Q2 2015 Income statement

Apr-Jun % of Apr-Jun % of Jan-Mar % of (SEKm) 2015 revenue 2014 revenue 2015 revenue Revenue 445.2 18.4 139.9 Cost of goods sold -286.2 -14.8 -102.5 Gross profit 159.0 36% 3.5 19% 37.4 27% Selling expenses -25.5 6% -11.5 63% -19.2 14% Administrative expenses -15.9 4% -5.8 32% -8.2 6% Development expenses -43.3 10% -12.5 68% -41.8 30% Other operating income/expenses -8.8 2% -0.2 1% 13.4 -10% Operating profit/loss 65.4 15% -26.6 - -18.8 - Net financial items 0.0 0.6 0.0 Tax - - - Profit/loss for the period 65.4 -26.0 -18.9

Earnings/loss per share for the period Before dilution, SEK 1.12 -0.79 -0.32 After dilution, SEK 1.04 -0.73 -0.32

20 Q2 2015 Cash flow statement

21 Q&A

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