Xenics is a spin-off of IMEC focused on developing, producing, and selling infrared cameras. It has offices in multiple countries and employs around 50 people from various nationalities. Shareholders include IMEC, private equity, industrial investors, and personnel. Xenics works in various fields including machine vision, process control, medical imaging, security, and more. In 2016, a new CFO and CEO were appointed to restructure the company and shift it from a scientific to a commercial focus. This included cost cutting measures, outsourcing functions, and defined processes. The CFO as a service model through Finsight Solutions has worked well, bringing financial competence and helping establish profitability while maintaining customer service

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- Spin-off of IMEC (2000), active in development, production and sales
of IR cameras (wafer => camera)
- Offices in Leuven, Moscou, Singapore, Boston
- Currently ca. 50 FTE’s, ca. 15 different nationalities, ca. 20% PhD’s...
- Shareholders: IMEC, private equity, industrial investors, personnel

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Copyright 2014 |Xenics corporate presentation 3

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Machine vision, process controll, Industry 4.0

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Enhanced and intelligent mobility

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Vegetation/mineral/art/...inspection, remote sensing

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Security and surveillance

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Medical
Optical Coherence Tomography (OCT)
Fluorescence imaging Needle free glucose meters

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General Shareholders Meeting 9Xenics Confidential | 06-06-17 |

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- End of 2015: re-shaping of complete company was necessary (on all
functional domains: R&D, production, finance, customer service, sales,...)
- Questions:
How to grow sales and cut costs?
How to turn a scientific, technology centric company into a commercial, profit
centric company?
How to move from “90% specials” to “90% mainstream” (processes,
responsabilities,...)
...
- New CFOaaS (Finsight Solutions) and CEO were appointed in Q1 2016
Concern: “Is not-full-time CFO role working?”

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- Main accomplishments so far:
Major increase in (recurring) revenue stream
Consequent elimination of non-strategic, fixed/too high costs (outsourcing IT,
HR, ..., re-negotiation of rent contracts,...)
Reduction from 80 FTE to 50 FTE (without negative impact on customers)
Profitability re-established
Nice stable cash flow enables new investments
Definition and implementation of processes on all domains e.g.
- Monthly closing P&L
- Order to Cash process (for Russia)
- Purchase to Pay process
- Budgetting process + follow-up with cost owners (cost awareness & repsonsability)
- CF tracking and forecasting
- Inventory turns tracking and goal setting
- AR tracking & overdue automated process
- Introduction of several corporate governance rules (e.g. Payment limits)
- ...
Many processes embedded in re-implementation of Navision (v. 2009 => 2015)

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- CFOaaS with Finsight Solutions works very good
See accomplishment in 18 months
Bringing new/additional financial competence to the company
- Market conform do’s and don’ts
- IT embedded processes
Natural and non-threathening self-assessment
- Bringing own people to “higher level”
Despite non-full-time service, be 100% part of the Xenics organisation
(taking responsability, being accountable,...)!
- Finance challenges ahead:
Introduce more BI tools
How can local finance team create more business added value?
Better product margin tracking
...