Zalaris

Investor Presentation • Oct 24, 2025

24 October, 2025 Zalaris ASA Presentation of financial results Q3 2025

zalaris

Disclaimer

The following presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated ("relevant persons"). Any person who is not a relevant person should not act or rely on this presentation or any of its contents.

This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in Zalaris ASA ("Company"). The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions.

This presentation includes and is based, inter alia, on forward-looking information and contains statements regarding the future in connection with the Company's growth initiatives, profit figures, outlook, strategies and objectives. All forward-looking information and statements in this presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for the Company. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions.

Important factors may lead to actual profits, results and developments deviating substantially from what has been expressed or implied in such statements. Although the Company believes that its expectations and the presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the presentation. The Company is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the presentation, and neither the Company nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.

Agenda

Highlights Financial review Outlook Q&A

Today's presenters

Hans-Petter Mellerud CEO and Founder

Gunnar Manum CFO

Highlights

Record-high quarterly revenue with the strongest Q3 EBIT to date

• Strong growth: Revenue increased 10.3% YoY to NOK 375 million
• All-time high Q3 EBIT, with adjusted EBIT of NOK 47 million and a margin of 12.6%
• Signed new, long-term contracts and expanded existing agreements in Germany to provide HR and Payroll services for over 8,000 employees
• Secured a EUR 40 million Revolving Credit Facility to refinance its current EUR 40 million senior secured bond loan, which will significantly reduce annual interest expenses
• Renewed our relationship with SAP to provide the core of our Peoplehub solution with a guaranteed life until 2040

Strong financial momentum continues in Q3 with growth, increased profitability, and strong cash flow

Q3 wins support continued growth

Some of our notable wins:

• Signed a new agreement with Eurowings partly a renewal but with a significant upsell in both solution scope and geographical coverage.
• Won a new client with HIPP baby food, providing DACH payroll services, with potential for further geographic expansion.
• Secured a 5-year renewal with Storebrand covering full Nordic payroll and HR services.
• Signed a 5-year renewal for Nordic payroll and transactional HR with Elkjøp.
• Signed a significant consulting engagement in the UK with the Nottingham City Council covering payroll and time solutions.
• Several ongoing discussions with both existing and new clients, expected to materialize in the coming period.

Managed Services grew 14% YoY to NOK 289m and 77% of total revenue.

^*Revenue in local currency converted to NOK using the avg. currency rate from the quarter last year. See the interim financial report for definitions of APMs

• Revenue in Managed Services grew by 13.7% YoY (+12.1% growth YoY when adj. for currency effects)
• 103% Net Revenue Retention YoY in constant currency
• Significant growth in all regions in local currency.
• DACH: +4%
• Northern Europe: +14%
• UK&I: +63%

^** Revenue in the APAC region, which has previously been reported separately, are included in MS and ZC from Q1'25. Historical figures have been revised.

Zalaris Consulting revenue was 1% higher YoY mainly from growth in APAC

^*Revenue in local currency converted to NOK using the avg. currency rate from the quarter last year. See the interim financial report for definitions of APMs

• Revenue in Zalaris Consulting was 0.7% higher YoY (2.4% when adjusted for currency effects). Revenue increase is mainly from increased sales in APAC, partly offset by reductions in DACH and Poland
• Significant ZC capacity being utilized to support Managed Services in implementing new customers (transformation projects) or delivering change orders. Particularly in Germany

^** Revenue in the APAC region, which has previously been reported separately, are included in MS and ZC from Q1'25. Historical figures have been revised.

Financial Review

Revenue increased by 10% for the quarter YoY in constant currency

• Revenue growth (as reported) for the quarter YoY: +10.3%
• Revenue growth +9.5% YoY in constant currency*
• MS +13.7% to NOK 289m • Net retention of 103%
• PS +0.7% to NOK 86m
• Net new SaaS/BPaaS contracts signed, but yet to go live, has annual recurring revenue* of ~NOK 72m

^*See the interim financial report for definitions of APMs

Strong revenue visibility through 2025/26 - new BPO contracts will add ~NOK 71 million in annual recurring revenue when implemented

Revenue development based on signed MS contracts (NOKm)

Contracted ARR* development over time (NOKm)

• Total annual revenue expected to increase by ~NOK 218m (+16%) vs. FY 2024 by Q4'26, based on already signed contracts (assuming no material churn and based on avg. currency rates for Q3'25)
• The new contracts will normally generate full monthly recurring revenue when the customer has gone live on the PeopleHub platform
• All current contracts expected to be fully implemented by end Q4'26
• Estimated future annual revenue assumes MS change order level at historical ~12% of recurring revenue, and revenue from ZC LTM Q3 2025

^*The ARR for the quarter is an estimate calculated by annualising the actual recurring revenue (according to contract revenue and additional services) for the quarter, for customers at the end of the quarter. Please refer to the APMs section of the interim financial report for further details.

All-time high adj. EBIT for a third quarter

Adj. EBIT* (NOKm) and margin (%)

MS – adj. EBIT* (NOKm) and margin (%) ZC – adj. EBIT* (NOKm) and margin (%)

• Adj. EBIT NOK 47.0 (NOK 37.0m) +27%
• Adj. EBIT margin 12.6% (+1.7pp)
• EBIT and margin improvements mainly from increased revenue (lower unit cost) in Nordics
• MS: Adj EBIT NOK 59.3m (NOK 45.4m) +30%
• Positively impacted by increased revenue
• ZC: Adj. EBIT NOK -1.1m (5.4m)
• Lower adj. EBIT mainly explained by to higher costs in APAC, which were needed to support the strong revenue growth in that region

Note: The APAC region, which has previously been reported separately, are included in MS and ZC from Q1'25. Historical figures have been revised.

Condensed Profit and Loss

	2025	2024	2025	2024	2024
(NOK 1 000)	Jul-Sep	Jul-Sep	Jan-Sep	Jan-Sep	Jan-Dec
Revenue	374 747		339 682 1 106 757	981 406	1 346 282
License costs	33 548	27 113	90 743	79 363	108 074
% of revenue	9,0 %	8,0 %	8,2 %	8,1 %	8,0 %
Personnel expenses	180 768	165 156	540 226	500 233	674 778
% of revenue	48,2 %	48,6 %	48,8 %	51,0 %	50,1 %
Other operating expenses	85 827	87 169	260 529	255 535	347 642
% of revenue	22,9 %	25,7 %	23,5 %	26,0 %	25,8 %
(Gain)/loss on sale of assets	-	-	-	(10 504)	(10 504)
Amortisation implementation costs customer projects	17 680	12 670	46 575	34 039	49 581
Depreciation, amortisation and impairments	17 283	16 523	50 703	46 805	63 058
EBIT	39 641	31 051	117 981	75 935	113 653
Adjustment items**	7 392	5 981	25 494	24 347	33 862
Adjusted EBIT	47 033	37 032	143 475	100 282	147 515
Net financial income/(expense)	(9 273)		(21 086) (29 465) (51 203)		(64 196)
Profit/(loss) for the period	18 923	8 292	61 966	20 043	33 447

• License costs: Increased due to higher revenue from Payroll/HR solutions that incurs license costs. Marginally higher as a % of revenue YoY
• Personnel expenses: Reduced as a % of revenue (-0.4pp) and revenue per FTE in constant currency increased by ~11%. Cost increase mainly due to annual pay increase from 1 July, less costs capitalized to customer and development projects (-NOK 6.3m) and higher share-based payment costs (+NOK 3.5m)
• Other op. exp.: Expenses lower than last year and reduced as a % of revenue (-2.8pp).

^**Items excluded in adjusted EBIT Q3 2025: share-based payments (NOK 2.6m), amortization of excess values on acquisitions (NOK 3.7m), strategic process costs (NOK 0.1m) and negative EBIT vyble (NOK 1.0m) - see definition of adj. EBIT under APMs in the interim financial report

Cash balance decreased from settlement of employee share options and increased net working capital

Development in cash balance since the prior quarter (NOKm)

• Cash flow from operating activities of NOK 10.9m vs. NOK 48.4m last year
• Cash settlement of employee share options NOK 30.4m
• Cash balance as of 30 October NOK 223.2m (-NOK 30.5m from Q2)
• Net interest-bearing debt of NOK 244.7 m vs. NOK 217.1m at the end of previous quarter (+NOK 27.6 m)

^* Before share based payment costs (ex. payroll taxes)

^** Revenue deferred less project costs capitalised

^*** Relates mainly to rental costs for office premises

^**** Including currency movements

Secured a EUR 40 million Revolving Credit Facility to refinance bond loan

• Signed loan agreement with Nordea for a EUR 40 million, 3+2-year Revolving Credit Facility (RCF) to refinance its current EUR 40 million senior secured bond loan
• Lower finance costs: Will reduce annual interest expenses by NOK 16 – 18 million (translates to EPS increase of NOK 0.58 – 0.65), based on Q3 2025 leverage ratio
• Margin reduced from 525 bps to 185 bps
• Increased flexibility: Will enable dividend distribution and/or share buy-backs when appropriate and provide necessary funding for continued growth
• Closing is planned for mid-November; bondholders will receive a redemption notice in due course

Outlook

Reaffirmed SAP partnership with new long-term agreement to migrate PeopleHub to SAP S/4 HANA Cloud

• Access to a solution that SAP has committed to support until 2040
• Stronger alignment with SAP's global sales organization
• Enhanced access to SAP's AI innovations and integration capabilities
• Supports further digitization and automation of processes

© zalaris 2025 Page 18

Delivered NOK 1.5bn run-rate target one year early. Now targeting NOK 2bn run-rate revenue with EBIT of 13-15% by Q4 2028.

Revenue development and revenue target CAGR % 2.000 NOKm 1,464 1.346 1,131 893 775 2025* 2021 2022 2023 2024 2026 2027 2028 target** *) H1'25 annualised **) Run-rate

Key growth and margin initiatives

• Preferred partner for multi-country payroll and transactional HR services to the mid-market and target NOK 2 billion by 2028
• Land and expand combining
  Consulting and MS capabilities to
  win new large deals and explore
  potential in existing customer
  base
• Automation, Al and X-shore initiatives to explore scale and drive EBIT towards target 13-15% with resulting adj. EBIT of NOK 260-300 million

Summary: Best Q3 on record and positioned to deliver on long term targets

• Strong growth: Revenue increased 10.3% YoY to NOK 375 million
• All-time high Q3 EBIT, with adjusted EBIT of NOK 47 million and a margin of 12.6%
• Signed new, long-term contracts and expanded existing agreements in Germany to provide HR and Payroll services for over 8,000 employees
• Secured a EUR 40 million Revolving Credit Facility to refinance its current EUR 40 million senior secured bond loan, which will significantly reduce annual interest expenses
• Renewed our relationship with SAP to provide the core of our Peoplehub solution with a guaranteed life until 2040

Q&A

We simplify HR and payroll administration, and empower you with useful information so that you can invest more in people.

Thank you!

Zalaris ASA | +47 4000 3300 | www.zalaris.com

Simplify work life. Achieve more.