Pexip Holding

Quarterly Report • Nov 6, 2025

Q325

Highlights

• Q3 2025 revenue of NOK 266 million, up 16% y-o-y. Pexip's subscription base measured in ARR was USD 122.2 million at the end of Q3 2025, up 12% y-o-y.
• Growth driven by Secure and Custom where ARR grew 30% year-on-year, with key wins in Defense, Healthcare and Government. Connected Spaces ARR grew 0% year-on-year, and 1% quarter-on-quarter.
• EBITDA excluding other gains and losses amounted to NOK 52.4 million, up from NOK 18.1 million in the same quarter last year. EBITDA including other gains and losses amounted to NOK 47.6 million, up from NOK 14.6 million in the same quarter last year.
• Free cash flow of NOK 28.9 million in the quarter, up from NOK 7.2 million in Q3 2024, with a cash and money market fund position of NOK 526.1 million and no material interestbearing debt exiting Q3 2025. In Q3 2025 Pexip bought back shares for NOK 42.1 million.

"Secure and Custom video continues to drive Pexip' business forward, with growth of 30% year-on-year. Together with continued overall cost control this resulted in a significant margin expansion, taking another step towards reaching our mid-term ambition of Rule of 40 performance."

Trond K. Johannessen Chief Executive Officer

Key Figures

		Q3 2025	Q3 2024	YTD 2025	YTD 2024
Revenue	NOK million	265.6	228.5	894.7	786.0
Cost of Sale	NOK million	27.3	24.8	74.8	78.9
Salary and Personnell expenses	NOK million	147.3	151.0	481.3	476.3
Other operating expenses	NOK million	38.6	34.6	116.5	112.3
Adjusted EBITDA	NOK million	52.4	18.1	222.1	118.6
Other gains/losses	NOK million	(4.8)	(3.4)	(3.0)	(13.2)
EBITDA	NOK million	47.6	14.6	219.2	105.3
EBITDA-margin	%	18%	6%	24%	13%
Free cash flow	NOK million	28.9	7.2	281.8	176.0
Reported profit for the period	NOK million	25.6	5.8	135.9	58.2
Earnings per share	NOK per share	0.25	0.06	1.32	0.57
ARR USD million, end of period	USD million	122.2	109.5
Number of employees end of period	#	285	286

3 Q3 Report 2025

Operational Review

Q3 2025 summary

Pexip's subscription base measured in Annual Recurring Revenue (ARR) amounted to USD 122.2 million at the end of Q3 2025, representing a yearon-year increase of 12%. Pexip grew its overall ARR base by USD 3.2 million in the quarter.

Connected spaces ARR amounted to USD 68.8 million at the end of Q3 2025, up 0% from Q3 2024 and up 1% year-to-date. The net revenue

retention rate, reflecting the percentage of retained revenue from existing customers, was 96% in Q3 2025.

Secure and Custom ARR amounted to USD 53.4 million at the end of Q3 2025, up 30% from Q3 2024. The net revenue retention rate was 102% in Q2 2025.

Key Wins

European Government Agency

A European State Government Agency has chosen Pexip for Secure Meetings. Pexip was chosen for the ability to keep data within the organisation's control, as well as for the ability to integrate the software to fit their existing work process.

Global Law Firm

Pexip was selected to provide its Connected Spaces offering to a leading global law firm. The firm has a wide variety of meeting rooms technologies, and Pexip is providing both its Connect Standard for Microsoft Teams for standards-based meeting rooms and its Connect for Zoom Rooms for the firm's Zoom Room estate. They chose Pexip for the flexibility to join any type of digital meeting from any type of room with a great user experience.

Financial Review

(Figures in brackets = same period prior year or relevant balance sheet date).

Income statement

Revenue amounted to NOK 265.6 million in Q3 2025 (NOK 228.5 million in Q3 2024), representing a 16% growth year-on-year. The increase is driven by continued ARR growth across both product areas.

Pexip operates in two main product areas: Pexip self-hosted software, which includes software licenses and related maintenance contracts, and Pexip as-a-Service, which includes sales from Pexip's public cloud service.

• Self-hosted software revenue was NOK 121.4 million in Q3 2025 (NOK 87.7 million, +38%). The increase is due to higher license sales and maintenance renewals.
• Pexip as-a-Service revenue was NOK 144.2 million in Q3 2025 (NOK 140.8 million, +2%).

Americas was the largest sales region with NOK 138.7 million in revenue (NOK 99.1 million, 40%), followed by EMEA with NOK 106.5 million (NOK 112.2 million, -5%), and Asia-Pacific (APAC) with NOK 20.5 million (NOK 17.2 million, +19%).

Cost of sale amounted to NOK 27.3 million in Q3 2025 (NOK 24.8 million), resulting in a gross margin of 90%, slightly up from 89% the prior year. The increase in cost is primarily due to higher cloud usage and sales of third-party software licenses for bundled products.

Operating expenses consist mainly of salary and personnel expenses and other operating expenses:

• Salary and personnel expenses were NOK 147.3 million in Q3 2025 (NOK 151.0 million), representing 55% of quarterly revenue (down from 66%). The decrease is due to lower share-based compensation costs.
• Other operating expenses were NOK 38.6 million (NOK 34.6 million), or 15% of revenue, with increases across marketing, software costs and external services.

Other gains and losses amounted to a loss of NOK 4.8 million (loss of NOK 3.4 million), primarily related to restructuring.

EBITDA excluding other gains and losses was NOK 52.4 million (NOK 18.1 million), reflecting a 20% margin (8%). EBITDA including other gains and losses was NOK 47.6 million (NOK 14.6 million), reflecting a 18% margin.

Depreciation and amortization costs were NOK 14.2 million in Q3 2025 (NOK 18.6 million), reflecting lower amortization of intangible assets.

Net financial items amounted to a loss of NOK 0.2 million (gain of NOK 13.0 million), with interest income of NOK 5.5 million and foreign exchange losses of NOK 4.8 million.

Profit before tax was NOK 33.1 million (NOK 9.0 million), and profit after tax was NOK 25.6 million (NOK 5.8 million).

Year to date 2025

Revenue amounted to NOK 894.7 million in the first nine months of 2025 (NOK 786.0 million in the same period of 2024), representing a 14% growth year-on-year, driven by ARR growth across both product areas.

• Self-hosted software revenue was NOK 453.7 million (NOK 385.3 million, +18%). The increase is due to higher license sales and maintenance renewals.
• Pexip as-a-Service revenue was NOK 441.0 million (NOK 400.7 million, +10%).

Americas is the largest revenue contributor with NOK 420.1 million (NOK 352.1 million, +19%), followed by EMEA with NOK 395.5 million (NOK 369.6 million, +7%), and APAC with NOK 79.1 million (NOK 64.4 million, +23%).

Cost of sale was NOK 74.8 million (NOK 78.9 million), resulting in a gross margin of 92% (up from 90%). The improvement is due to cloud platform rebates and operational efficiencies.

Operating expenses:

• Salary and personnel expenses were NOK 481.3 million (NOK 476.3 million), representing 54% of revenue (down from 61%). The increase is mainly due to share-based compensation.

• Other operating expenses were NOK 116.5 million (NOK 112.3 million), with no significant changes across the main cost categories.

Other gains and losses amounted to a loss of NOK 3.0 million (loss of NOK 13.2 million), mostly related to restructuring costs.

EBITDA excluding other gains and losses was NOK 222.1 million (NOK 118.6 million), reflecting a 25% margin (15%). EBITDA including other gains and losses was NOK 219.2 million (NOK 105.3 million), reflecting a 24% margin (13%).

Depreciation and amortization costs were NOK 40.0 million (NOK 58.0 million), reflecting lower amortization of intangible assets.

Net financial items amounted to a loss of NOK 2.8 million (gain of NOK 34.5 million), with interest income of NOK 20.2 million and foreign exchange losses of NOK 20.2 million.

Profit before tax was NOK 176.4 million (NOK 81.9 million), and profit after tax was NOK 135.9 million (NOK 58.2 million).

Financial position

Pexip continues to have a very robust financial position as the company has a solid cash buffer, no material interest bearing debt and a positive cash flow. Total assets amounted to NOK 1,877 million (NOK 2,225 million at the end of 2024), and total equity amounted to NOK 1,371 million (NOK 1,608 million).

Current assets amounted to NOK 715 million (NOK 988 million at the end of 2024). Cash and cash equivalents decreased to NOK 312 million (NOK 422 million) and Financial assets (money market funds) increased to NOK 214 million (NOK 206 million). Combined cash and money market funds decreased to NOK 526 million (NOK 628 million). Trade and other receivables decreased to NOK 163 million (NOK 333 million), while Contract Assets decreased to NOK 5 million (NOK 7 million).

Non-current assets amounted to NOK 1,162 million (NOK 1,237 million at the end of 2024). Contract costs decreased to NOK 291 million (NOK 325 million), with the decrease coming from a NOK 13 million in net negative additions and NOK 21 million from foreign exchange translation differences.

Total liabilities were at NOK 506 million (NOK 617 million). NOK 2 million are borrowings (NOK 2 million).

Current liabilities decreased to NOK 424 million (NOK 532 million at the end of 2024), with the decrease being mainly related to a decrease in contract liabilities and trade and other payables.

Non-current liabilities amounted to NOK 82 million (NOK 85 million at the end of 2024), from a reduction in lease liabilities and increase in deferred tax liabilities.

Cash flow

Q3 2025

Net cash flow from operating activities was NOK 41.6 million in Q3 2025 (NOK 18.8 million in Q3 2024) compared to an EBITDA of NOK 47.6 million. In addition, the Company had a positive fair value adjustment on its money market funds of NOK 2.5 million (NOK 2.6 million). The increase compared to 2024 is due to higher profits, partly offset by a reduction in trade payables and contract liabilities.

Cash flow from investing activities was negative NOK 10.7 million for Q3 2025 (negative NOK 11.0 million). Investments in own software development are NOK 10.0 million compared to NOK 10.6 million in Q3 2024.

Cash flow from financing activities was negative NOK 47.6 million in Q3 2025 (negative NOK 4.0 million). The main cash outflow was related to the share buyback of NOK 42.1 million.

In total, Pexip had a free cash flow of NOK 28.9 million (NOK 7.2 million) including net change in money market funds. The combined cash and money market fund position was NOK 526.1 million at the end of Q3 2025 (NOK 628.2 million at the end of Q3 2024).

First nine months of 2025

Net cash flow from operating activities was NOK 313.3 million year-to-date of 2025 (NOK 208.9 million) compared to an EBITDA of NOK 219.2 million. In addition, the Company had a positive fair value adjustment on its money market funds of NOK 7.7 million (NOK 3.7 million). The increase compared to 2024 is due to improved profitability and better working capital development.

Cash flow from investing activities was negative NOK 27.1 million year-to-date 2025 (negative NOK 226.9 million), mainly due to NOK 200 million in money market funds investments in 2024. Investments in own software development is NOK 24.4 million (NOK 24.6 million).

Cash flow from financing activities was negative NOK 372.4 million year-to-date 2025 (negative NOK 123.9 million). The main cash outflow was related to the dividend of NOK 259.8 million and the share buyback of NOK 100.1 million.

Subsequent events

There were no subsequent events after September 30, 2025.

Risk and uncertainty

Risk management in Pexip is based on the principle that risk evaluation is an integral part of all business activities and is a part of the annual strategy review. Pexip has developed its approach to risk assessment and risk mitigation within financial reporting and information security, where Pexip holds ISO 27001 and 27701 certifications as external recognition of its approach.

Pexip is exposed to several risk factors related to operational and market activities, customer relationships and third parties, laws, regulations, and compliance, financial and market, among others. The Risk and Risk Management section in the 2024 Annual Report contains detailed descriptions and mitigating actions.

2025 has seen increased uncertainty in trade policies across countries and some instability in currency exchange rates. As a company operating in multiple countries, this may have an impact on Pexip's business although software and services are not product

categories that so far have been impacted. The Company is continuously monitoring the situation and will seek to adapt to any changes in trade regulations.

Pexip has not identified any further significant risk exposures beyond the ones described in the 2024 Annual Report.

Outlook

Pexip believes that the market for enterprise-grade video communication will continue to increase due to the increased adoption and usage of video communication, and increased awareness of sustainability. Pexip has unique video technology with capabilities within security, interoperability, and flexible deployments. This makes the company well-positioned as enterprises and public sector organizations continue to adopt hybrid working models. Furthermore, Pexip believes in the increased use of video in organizations' workflows with their clients/customers, creating additional new and significant market opportunities. In particular, the use of video for mission-critical, high-security meetings has increased. This is the foundation of the focused strategy Pexip is executing, pursuing marketleading positions in Secure and Custom Video and Connected Spaces.

Pexip's near-term financial targets are to consistently deliver above 10% growth in annual recurring revenues and have an EBITDA margin above 20% with a high cash conversion. The company aims to do this by focusing on niches where Pexip has a unique competitive advantage and a path to become the clear market leader. Long-term the company aims to deliver Rule of 40 performance, with a combined ARR growth rate and EBITDA margin excluding other gains and losses of 40% or more. The company's outlook is to end 2025 with an ARR of USD 124-127 million from USD 122.2 million at the end of Q3 2025.

These forward-looking statements are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties, and other factors, many of which are beyond our control, and which may cause actual results to differ materially from those expressed in the statements contained in this section. Readers are cautioned not to put undue reliance on forward-looking statements.

SIGNATURE PAGE

Board of Directors

Oslo, November 5, 2025 Board of Directors and CEO of Pexip Holding ASA

Kjell Skappel

Chair of the Board

Irene Kristiansen

Board Member

Phillip Austern Board Member

Silvija Seres Board Member Geir Langfeldt Olsen Board Member

Trond K. Johannessen

CEO

8 Q3 Report 2025

Consolidated Statement of Profit or Loss

Period July 1 - September 30

	Notes		Third Quarter		Year
(NOK 1,000)		Q3 2025	Q3 2024	YTD 2025	YTD 2024
Revenue	3	265 632	228 482	894 702	786 042
Cost of sale		27 347	24 782	74 817	78 890
Salary and personnel expenses		147 321	151 018	481 267	476 278
Other operating expenses		38 580	34 598	116 474	112 320
Other gains and losses		4 782	3 441	2 973	13 226
EBITDA		47 602	14 643	219 172	105 328
Depreciation and amortization		14 242	18 628	40 004	57 973
Operating profit or loss		33 360	-3 986	179 167	47 355
Financial income		5 509	6 631	20 185	19 644
Financial expenses		-932	-639	-2 754	-2 359
Net gain and loss on foreign exchange differences		-4 794	6 997	-20 185	17 237
Financial income/(expenses) - net		-217	12 989	-2 754	34 521
Profit or loss before income tax		33 142	9 003	176 413	81 876
Income tax expense		7 501	3 208	40 527	23 641
Profit or loss for the year		25 642	5 795	135 886	58 235
Profit or loss is attributable to:
Owners of Pexip Holding ASA		25 642	5 795	135 886	58 235
Earnings per share
Basic earnings per share		0.25	0.06	1.32	0.57
Diluted earnings per share		0.24	0.06	1.28	0.56

The above consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.

Consolidated Statement of Comprehensive Income

Period July 1 - September 30

	Third Quarter		Year
(NOK 1,000)	Q3 2025	Q3 2024	YTD 2025	YTD 2024
Profit or loss for the year	25 642	5 795	135 886	58 235
Items that may be reclassified to profit or loss:
Exchange difference on translation of foreign operations	-3 385	7 694	-29 012	7 694
Total comprehensive income for the year	22 257	13 489	106 874	65 929
Total comprehensive income is attributable to:
Owners of Pexip Holding ASA	22 257	13 489	106 874	65 929

The above consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.

Consolidated Statement of Financial Position

Date as of september 30

(NOK 1,000)	Notes	09/30/2025	12/31/2024
ASSETS
Non-current assets
Property, plant and equipment		16 607	20 124
Right-of-use assets		41 943	51 793
Goodwill		598 998	598 998
Other intangible assets		97 253	95 749
Deferred tax asset		112 116	140 225
Contract costs	4	290 801	325 086
Receivables		551	554
Other assets		4 189	4 841
Total non-current assets		1 162 458	1 237 369
Current assets
Trade and other receivables		163 337	332 832
Contract assets		5 147	6 737
Other current assets		20 302	19 778
Financial Investments	5	213 792	206 066
Cash and cash equivalents		312 300	422 100
Total current assets		714 879	987 514
TOTAL ASSETS		1 877 336	2 224 882
(NOK 1,000) EQUITY AND LIABILITIES		09/30/2025	12/31/2024
Equity
Total equity		1 371 158	1 607 952
Non-current liabilities
Borrowings		1 707	1 984
Lease liabilities		33 799	43 510
Deferred tax liabilities		46 545	39 755
Other payables		14	28
Total non-current liabilities		82 065	85 277
Current liabilities
Trade and other payables		120 255	156 534
Contract liabilities		288 088	354 892
Current tax liabilities			2 104
Lease liabilities		15 771	18 123
Total current liabilities		424 114	531 653
Total liabilities		506 179	616 930

Q3 Report 2025

Consolidated Statement of Changes in Equity

(NOK 1,000)	Share capital	Share premium	Other reserves	Translation differences	Retained earnings	Total equity
Balance at January 1, 2024	1 523	2 115 938	56 186	14 977	-633 803	1 554 823
Profit or loss for the year					117 905	117 905
Other comprehensive income for the year				20 301		20 301
Total comprehensive income for the year				20 301	117 905	138 206
Buy/sell treasury share	4		605			609
Dividend paid to company's shareholders		-111 745				-111 745
Share-based payments			26 060			26 060
Balance at December 31, 2024	1 527	2 004 193	82 851	35 277	-515 898	1 607 952
Balance at January 1, 2025	1 527	2 004 193	82 851	35 277	-515 898	1 607 952
Profit or loss for the period					135 886	135 886
Other comprehensive income for the year				-29 012		-29 012
Total comprehensive income for the year				-29 012	135 886	106 874
Buy/sell treasury share	10		-97 745			-97 735
Dividend paid to company's shareholders		-259 799				-259 799
Share-based payments			13 866			13 866
Balance at September 30, 2025	1 537	1744 393	-1 028	6 266	-380 012	1 371 158

Consolidated Statement of Cash Flows

Period July 1 - September 30

	Third Quarter		Year to date
(NOK 1,000)	Q3 2025	Q3 2024	YTD 2025	YTD 2024
Cash flow from operating activities
Profit or loss before income tax	33 142	9 003	176 413	81 876
Adjustments for
Depreciation, amortization and net impairment losses	14 242	18 628	40 004	57 973
Non-cash - share based payments	6 228	6 667	13 866	20 673
Interest income/expenses - net	-2 113	-6 112	-9 541	-17 355
Net exchange differences	3 057	-5 190	6 034	-12 027
Fair value on Financial Assets at fair value through profit and loss	-2 468	-2 639	-7 725	-3 668
Other adjustments	-13	-1 108	-1 707	2 698
Change in operating assets and liabilities
Change in trade, other receivables and other assets	-1 513	-1 980	173 805	46 386
Change in trade, other payables and contract liabilities	-10 030	-1 773	-84 173	18 632
Interest received	3 037	6 738	12 131	19 682
Income taxes paid/refunded	-1 933	-3 446	-5 844	-5 941
Net cash inflow/outflow from operating activities	41 636	18 789	313 263	208 928
Cash flow from investing activities
Payment for property, plant and equipment	-733	-1 135	-2 795	-3 341
Payment of software development cost	-9 958	-10 640	-24 409	-24 640
Proceeds from sale of property, plant and equipment	11	823	153	1 078
Payment for financial assets at fair value through profit or loss*				-200 000
Net cash inflow/outflow from investing activities	-10 680	-10 952	-27 050	-226 903
Cash flow from financing activities
Dividend paid to company's shareholder			-259 799	-111 745
Proceeds from borrowings			104	301
Repayment of borrowings		-22	-90	-417
Principal element of lease payments	-4 569	-3 305	-12 103	-10 324
Interest paid	-935	-626	-2 730	-2 327
Proceeds from release of Treasury shares			2 324	609
Aquisition of treasury shares	-42 074		-100 059
Net cash inflow/outflow from financing activities	-47 578	-3 953	-372 353	-123 904
Net increase/(decrease) in cash and cash equivalents	-16 622	3 884	-86 139	-141 877
Cash and cash equivalents start of the period	332 919	385 477	422 100	522 692
Effects of exchange rate changes on cash and cash equivalents	-3 997	200	-23 659	8 746
Cash and cash equivalents end of the period	312 300	389 561	312 300	389 560

Note 1 - General

Pexip Holding ASA is the parent company of the Pexip Group. The Group includes the parent company Pexip Holding ASA and its wholly owned subsidiary Pexip AS, which have the wholly owned subsidiaries Pexip Inc, Pexip Ltd, Pexip Australia Pty Ltd, Pexip Japan GK, Pexip Singapore Pte Ltd, Pexip Germany GmbH, Pexip France SAS, Pexip Netherlands B.V, Pexip Belgium NV, Pexip Italy S.R.L and Pexip Spain SL. The Group`s head office is located at Lilleakerveien 2a, 0283 OSLO, Norway. Pexip Holding ASA is listed on the Oslo Stock Exchange (Norway) under the ticker PEXIP.

The consolidated condensed interim financial statements comprise the financial statements of the Parent Company and its subsidiaries as of September 30, 2025, authorised for issue by the board of directors on November 5, 2025.

The condensed interim financial statements are unaudited.

Note 2 - Basis of preparation

The condensed interim financial statements for the three months ending on September 30, 2025, have been prepared according to IAS 34 Interim Financial reporting. This quarterly report does not include the complete set of accounting principles and disclosures and should be read in conjunction with the Annual Financial Statement for 2024. All accounting principles applied in preparing this interim financial statement are consistent with the annual report as of 2024. The Group has not early adopted any new standards, interpretations or amendments issued but not yet effective.

Rounding differences may occur.

Note 3 - Revenue and segment information

(NOK 1,000)

The Group has one segment, sale of collaboration services.The market for Pexip's software and services is global. The chief decision maker will therefore follow up revenue and profitability on a global basis This is consistent with the internal reporting submitted to the chief operating decision maker, defined as the Management Group. The Management Group is responsible for allocating resources and assessing performance as well as making strategic decisions.

Principles of revenue recognition are stated in accounting principles to consolidated financial statements, section 2.3.5 Revenue from contracts with customers.

Disaggregation of revenue

In the following table, revenue is disaggregated by primary service line, geography and timing of revenue recognition. In presenting the geographic information, revenue has been based on the geographic location of customers.

Third quarter 2025

	EMEA1)	Americas	APAC2)	Total
Pexip as-a-Service	61 431	73 583	9 207	144 221
Self-hosted Software	45 036	65 128	11 246	121 411
Total revenue	106 468	138 711	20 453	265 632

Third quarter 2024

	EMEA1)	Americas	APAC2)	Total
Pexip as-a-Service	71 649	59 988	9 121	140 759
Self-hosted Software	40 560	39 090	8 073	87 723
Total revenue	112 209	99 078	17 194	228 482

Full year (YTD) 2025
----------------------	--	--

	EMEA1)	Americas	APAC2)	Total
Pexip as-a-Service	194 458	217 630	28 916	441 003
Self-hosted Software	201 068	202 436	50 195	453 699
Total revenue	395 526	420 066	79 111	894 702
Full year (YTD) 2024
	EMEA1)	Americas	APAC2)	Total
Pexip as-a-Service	198 021	177 316	25 396	400 733
Self-hosted Software	171 531	174 773	39 005	385 309
Total revenue	369 552	352 090	64 400	786 042
			Third quarter	Third quarter
Timing of revenue recognition			2025	2024
Products and services transferred at a point in time
			86 324	65 606
Products and services transferred over time			179 308	162 877
Total revenue			265 632	228 482
			Year to date	Year to date
Timing of revenue recognition			2025	2024
Products and services transferred at a point in time			351 402	303 904
Products and services transferred over time			543 300	482 139
Total revenue			894 702	786 042

¹⁾ Europe, Middle East and Africa

Information about major customers

The Group conducts its sales through channel partners. No channel partner represents more than 10% of the Group's revenue. Of the Group's total channel partner base as of September 30, 2025, the five largest represent approximately 30% (23% in Q3 2024) of total revenue in Q3 2025, and the ten largest represent about 47% (38% in Q3 2024) of total revenue. Of the Group's total channel partner base per end of Q3 2025, the five largest represent approximately 31% of total revenue (25% per Q3 2024), and the ten largest represent approximately 50% (41% per Q3 2024).

Non-current assets

The following geographic information of non-current assets is based on the geographic location of the assets.

	9/30/2025	9/30/2024
Norway	158 875	193 318
Europe (other than Norway)	133 914	107 999
Americas	125 956	135 642
APAC	30 858	32 815
Total non-current operating assets	449 602	469 773

Non-current assets for this purpose consist of property, plant and equipment, right-of-use assets, other intangible assets and contract costs.

²⁾ Asia Pacific (East and South Asia, Southeast Asia and Oceania)

Note 4 - Contract Costs

(NOK 1,000)

The decrease of contract costs in Q3 relates to negative net additions of million NOK -5.0 and changes in foreign currencies in foreign operations of million NOK -3.3. Total commission costs activated in the third quarter in 2025 was 20.4 million NOK (27.9 million NOK in Q3 2024). Depreciated cost in the quarter was 25.3 compared to 24.2 in Q3 2024, which is mostly reflected in salary and personell expenses.

Contract costs Q3 movements	2025	2024
Balance at July 1	299 095	304 608
Additions	20 389	27 917
Depreciated during the year	-25 344	-24 203
Translation differences	-3 338	2 706
Balance at September 30	290 801	311 028

Contract costs YTD movements	2025	2024
Balance at January 1	325 086	299 000
Additions	61 901	72 686
Depreciated during the year	-75 377	-71 462
Translation differences	-20 808	10 805
Balance at September 30	290 801	311 028

Note 5 - Treasury Shares

	Q3 2025	Q4 2024
Total outstanding shares	104 429 671	104 429 671
Number of Treasury shares	1 953 472	2 588 729
Total external shares	102 476 199	101 840 942
	Q3 2025	YTD 2025
Weighted average number of ordinary external shares	102 624 741	102 926 644
Effect of dilutive potential ordinary shares	3 061 968	3 340 630
Weighted average number of ordinary external shares inkl dilutions	105 686 709	106 267 274

Note 6 - Reclassification of comparable numbers in the cash flow statement

Pexip has reclassified the presentation of the investment in money market fund done in May 2024 from cash to financial investment. This reclassification was first done in the Q4 2024 Financial report.

The following cash flow line items are reclassified from Q3 2024 report:

	Third quarter 2024					Year to date 2024
	Q3 2024 report	Q3 2025 report	change	Q3 2024 report	Q3 2025 report	change
Items within cash flow from operating activities
Fair value on Financial Assets at fair value through profit and loss		-2 639	-2 639		-3 668	-3 668
Total effect on cash flow from operating activities		-2 639	-2 639		-3 668	-3 668
Items within cash flow from investing activities
Payment for financial assets at fair value through profit or loss					-200 000	-200 000
Total effect on cash flow from investing activities					-200 000	-200 000
Net increase/(decrease) in cash and cash equivalents	6 522	3 884	-2 638	61 791	-141 877	-203 668
Cash and cash equivalents start of the period	586 506	385 477	-201 030	522 692	522 692
Cash and cash equivalents end of the period	593 228	389 561	-203 669	593 228	389 560	-203 669

Appendix — Definitions

Revenue - Pexip as a service

Revenue from Pexip as a service is the revenue stream for all Pexip products that are delivered to customers as Software as a service. The customer is given access to Pexip Products on a subscription basis.

Revenue - Self hosted Software

Self-Hosted software revenue is revenue from delivering of software licenses to customers, either on a termed subscription or as a perpetual license. This also includes maintanence and installation services or other related consultancy services.

ARR - Contracted Annual Recurring Revenue

Annualized sales from all active subscriptions/contracts and ordered subscriptions with a future start date where the subscription is time-limited and recurring in nature. This corresponds to Pexip's order backlog.

Delta Annual Recurring Revenue (DARR)

The difference in ARR from one period to another

NRR - Net Revenue Retention Rate

The percentage of annual recurring revenue retained from customers' existing in the prior year, including upsell, downsell and churn.

FVTPL Fair Value through profit or loss

Appendix — Alternative performance measures (APMs)

The Group uses the following terms in the definition of APMs in this Report:

EBITDA Profit/(loss) for the period before net financial items, income tax expense, depreciation, and amortization and impairment.

This number can be directly read out of the Consolidated statement of profit or loss.

Adjusted EBITDA EBITDA adjusted for cost that are not related to the ordinary business and that are non-recurring costs.

Third Quarter	2025	2024	Change	Change in %
EBITDA	47 602	14 643	32 960	225%
Other gains and losses	4 782	3 441	1 341	39%
Adjusted EBITDA for the quarter	52 384	18 084	34 300	190%
Year to date	2025	2024	Change	Change in %
EBITDA	219 172	105 328	113 844	108%
Other gains and losses	2 973	13 226	-10 253	-78%

EBITDA-margin EBITDA in percentage of revenue in the same period.

Third Quarter	2025	2024	Change	Change in %
EBITDA	47 602	14 643	32 960	225%
Revenue	265 632	228 482	37 150	16%
EBITDA Margin	18%	6%	12%	180%
Year to date	2025	2024	Change	Change in %
EBITDA	219 172	105 328	113 844	108%
Revenue	894 702	786 042	108 660	14%

EBITDA margin excl other gains and losses

Adjusted EBITDA as a percentage of revenues in the same period.

Third Quarter	2025	2024	Change	Change in %
Adjusted EBITDA	52 384	18 084	34 300	190%
Revenue	265 632	228 482	37 150	16%
EBITDA margin excl other gains and losses	20%	8%	12%	149%
Year to date	2025	2024	Change	Change in %
Adjusted EBITDA	222 145	118 554	103 590	87%
Revenue	894 702	786 042	108 660	14%
EBITDA margin excl other gains and losses	25%	15%	10%	65%

Gross Profit Revenue less cost of goods sold

Third Quarter	2025	2024	Change	Change in %
Revenue	265 632	228 482	37 150	16%
Cost of Goods sold	27 347	24 782	2 566	10%
Gross Profit	238 285	203 700	34 584	17%
Year to date	2025	2024	Change	Change in %
Revenue	894 702	786 042	108 660	14%
Cost of Goods sold	74 817	78 890	-4 073	-5%
Gross Profit	819 886	707 153	112 733	16%

Gross Margin Gross Profit as a percentage of revenues in the same period.

Third Quarter	2025	2024	Change	Change in %
Gross Profit	238 285	203 700	34 584	17%
Revenue	265 632	228 482	37 150	16%
Gross Margin	90%	89%	1%	1%

Year to date	2025	2024	Change	Change in %
Gross Profit	819 886	707 153	112 733	16%
Revenue	894 702	786 042	108 660	14%
Gross Margin	92%	90%	2%	2%

Free cash flow The sum of operating cash flow, investing cash flow tied to the operations of the company and principal lease payments. This represents the free cash flow from the business, excluding potential equity or debt financing cash flows as well as potential cash flows related to company acquisitions/divestitures or financial investments. Fair value changes to money market funds held for short-term cash needs is included similar to interest income from cash in bank.

The numbers can be derived out from the cash flow statement

Third Quarter	2025	2024	Change	Change in %
Operating cash flow	41 636	18 789	22 848	122%
Investing Cash flow	-10 680	-10 952	272	-2%
Principal element of lease payments	-4 569	-3 305	-1 264	38%
Fair value adjustment of financial investments at FVTPL	2 468	2 639	-170	-6%
Free cash flow	28 856	7 170	21 686	302%
Year to date	2025	2024	Change	Change in %
Operating cash flow	313 263	208 928	104 335	50%
Investing Cash flow	-27 050	-226 903	199 853	-88%
Principal element of lease payments	-12 103	-10 324	-1 779	17%
Fair value adjustment of financial investments at FVTPL	7 725	3 668	4 057	111%
Net cash investment of Financial investments at FVTPL		200 000	-200 000	-100%
Free cash flow	281 835	175 370	106 466	61%

Net debt Net debt consist of both Non current and Current interest bearing liabilities less Financial Investments and Cash and Cash equivalents. The numbers can be derived from the balance sheet statement.

	2025	2024	Change	Change in %
Non Current Lease liability	33 799	43 510	-9 712	-22%
Non Current Borrowings	1 707	1 984	-276	-14%
Current Lease liabilities	15 771	18 123	-2 353	-13%
Total interest bearing Liabilities	51 276	63 617	-12 341	-19%
Cash in bank	312 300	422 100	-109 800	-26%
Financial Investments	213 792	206 066	7 725	100%
Net debt	-474 816	-564 549	89 734	-16%

Declaration in Accordance with 5-5 of the Securities Trading Act

We confirm that the financial statements for the period January 1 to September 30, 2025, have, to the best of our knowledge, been prepared in accordance with applicable accounting standards and give a true and fair view of the assets, liabilities, financial position and profit or loss of the company and the Group.

We also hereby declare that the annual report provides a true and fair view of the financial performance and position of the company, as well as a description of the principal risks and uncertainties facing the company.

Oslo, November 5, 2025

Board of Directors and CEO of Pexip Holding ASA

Kjell Skappel

Chair of the Board

Irene Kristiansen

Board Member

Phillip Austern Board Member

Silvija Seres Board Member Geir Langfeldt Olsen Board Member

Trond K. Johannessen

CEO