Lifecare ASA

Quarterly Report • Aug 20, 2025

Q2 2025

Q2 2025 1

Contents

Highlights	3
Key figures	4
CEO comment	5
Business strategy	6
Operational review	9
Financial review	11
Events, outlook and confirmation from the Board	14
Financial statements & selected notes	16

Highlights

Achieved design freeze for first-in-human trials and veterinary launch

Appointed Principal Investigator and trial sites for upcoming trial 1.

Filed for first-in-human trials, paving the way for CE mark

Started preparations towards CE marking

Supported funding through warrant exercise

Key figures

Lifecare Group (NOK 1 000)	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Revenue and other income	7	6 439	12	6 850
Operating expenses	-22 226	-25 128	-47 246	-38 556
Operating profit/loss	-22 218	-18 689	-47 234	-31 706
Profit/loss for the period	-13 561	-18 287	-33 901	-31 233
Available cash	31 824	101 367	31 824	101 367
Total assets	79 200	152 240	79 200	152 240
Equity ratio %	74 %	65 %	74 %	65 %
Earnings per share (NOK)	-0,8	-1,8	-2,1	-3,4
Market value (Euronext Oslo Børs)	109 029	360 275	109 029	360 275

Outlook

• Strategic focus on capital-eƯicient development with clear milestones in production, regulatory processes, and market entry.
• Expect approval for first-in-human trials in Norway and Germany in Q3.
• Anticipate achieving compliance with all relevant standards for CE marking of electronics in Q3.
• Continue the ongoing longevity study in dogs.
• First-in-human trial planned to start in H2 2025, followed by a CE marking study in 2026, with the goal of market launch in 2027.
• Veterinary commercial launch planned before the human market to generate early revenue, gather user data, and reduce risk.
• Capital required to finance next stages of development.

CEO comment

Diabetes is a pandemic spiralling out of control, affecting more than 600 million people worldwide. Lifecare plans to take part in driving the next wave of innovation in the field of diabetes technology. We aim to bring the next generation of Continuous Glucose Monitoring (CGM) systems to market, improving diabetes management for humans and pets.

Operations, development and costs in Q2 were executed as planned. We have accelerated our development by additionally streamlining sequential processes into parallel workstreams. This enables us to continue on track with our ambitious timelines.

We have received approval for first-in-human trials from the Norwegian Regional Committee for Medical and Health Research Ethics, based on conditions of minor documentation updates. Pending final approval from the Norwegian Medicines Agency, Lifecare continue preparations for the trial to start as planned in the second half of 2025. This first-in human trial will pave the way for our pivotal study planned to start in 2026.

We have started the preparations to achieve CE marking of our CGM system as a fully regulated medical device, in line with our plan to reach market readiness by the end of 2026. This comprehensive effort entails complete quality documentation covering all aspects of the technology and manufacturing processes.

To realize the full potential of our innovative CGM technology and accelerate market entry, securing sufficient capital is critical. In June, we successfully raised funds through the exercise of warrants, and I would like to thank our investors for their trust and support. While warrant proceeds have strengthened our balance sheet, additional capital will ensure we can fully capture upcoming milestones. With strong progress on product readiness and regulatory approvals, Lifecare is entering a defining phase in its journey to transform diabetes care.

Joacim Holter, CEO

Business strategy

Lifecare is a MedTech company developing next generation continuous glucose monitoring (CGM) solutions for diabetes management

DIABETES – A PANDEMIC AFFECTING 1 IN 9 ADULTS

UNMET MARKET NEED

Approximately 57% of the adults that live with diabetes are diagnosed, and 1/3 need glucose monitoring, representing about 110 million people. Of these, only about 10-15 million people globally are currently using CGMs. For people living with diabetes, glucose monitoring is a vital part of daily life. Every day, millions of insulin-related decisions are made based on glucose readings—directly influencing both immediate health and long-term outcomes.

CURRENT SOLUTIONS

Since the introduction of blood glucose meters in the 1970s, glucose monitoring technology has evolved significantly. A breakthrough came in 1999 with the first continuous glucose monitoring (CGM) system, marking a new era in diabetes care.

Today, most CGM devices rely on glucose oxidase-based technology and are worn on the skin, using a small needle that penetrates the subcutaneous tissue to measure glucose levels. These sensors typically deliver readings every five minutes via a connected receiver or smartphone and must be

replaced every 7 to 15 days. An alternative approach uses a fluorescence-based sensing mechanism in an implantable continuous glucose monitor (CGM), providing readings for up to 365 days. However, the device is relatively expensive.

The future of CGM lies in sensors that combine improved accuracy and extended longevity with greater convenience and aƯordability. Ideally, these sensors will be fully implantable, requiring fewer replacements while oƯering a seamless user experience for long-term diabetes management at a more accessible cost.

LIFECARE'S SOLUTION

Lifecare aims to develop the world's smallest glucose sensor—an injectable device designed to function beneath the skin for at least six months while being oƯered at a mid-range cost. Glucose data will be transferred wirelessly to a smart device. Our implantable device utilizes osmotic pressurebased technology to measure glucose levels with high precision. This innovation has the potential to provide a more convenient, more precise and long-term solution compared to existing glucose monitoring technologies.

LIFECARE'S BUSINESS STRATEGY

Lifecare is pioneering a new era in CGM with its proprietary technology, using osmotic pressure for calibration-free, long-wear glucose sensing.

Our strategy is built on innovation, scalable in-house manufacturing, and strong partnerships to bring our technology to market eƯiciently. A large-scale production facility in Mainz, Germany, will open in H2 2025 to support this growth. We are taking a phased approach to commercialization, starting with the veterinary market – an underserved segment that oƯers valuable operational experience ahead of expected CE approval and human market entry in 2027. Collaborations with key partners strengthen our position through digital integration and commercial alignment. With an established competitor having secured regulatory approval in Europe and the U.S., we are confident that our second-mover advantage will support a successful CE-mark approval process in Europe.

While glucose monitoring remains our initial focus, the underlying sensor platform holds potential for broader applications across diagnostics and biomarker monitoring, oƯering long-term growth beyond diabetes care.

Path to commercialization

	Trials	Regulatory compliance	Production and market launch
2022	Successful in-vitro testing confirming functionality of miniaturized sensors Proof-of-concept in humans	Approval for accuracy trial LFC-SEN-001	Production location secured
2023	In-human trial (LFC-SEN 001) confirming clinical accuracy Longevity trial confirming operational lifespan of more than 172 days	ISO 9001 and ISO 13485 certified Approval for trial in dogs (LFC-SEN-002)	Preparations for automated production
2024	In-dogs longevity, biocompatibility and data accuracy trial (LFC-SEN 002)	CE approved device to remove subdermal implants	Pilot production Key steps in automated production
2025	Continue in-dogs longevity, biocompatibility and data accuracy trial (LFC-SEN-002) First-in-human trial to confirm operational eƯiciency	Approval for first-in-human trial File for regulatory CE trial (LFC-SEN-003) Build technical file to claim CE-mark for the human market	Veterinary market launch Establish automated production
2026	Regulatory CE-trial (LFC SEN-003) to confirm operational eƯiciency	Claim CE-mark for human market	Full scale veterinary launch
2027	Continue CE-trial to confirm extended longevity		European launch for humans US market preparations

Operational review

PRODUCT DEVELOPMENT

We have finalized our product design, reaching a design freeze that enables us to move forward towards first-in-human trials and veterinary launch. The development of an advanced medtech product such as our CGM is inherently dynamic. In collaboration with our development partners, we continuously assess manufacturing, regulatory, and commercial considerations.

Initial validation of the implant has been successfully completed, and preparations are underway for clinical trials. We aim to initiate the first-in-human trial in the second half of 2025, laying the groundwork for the pivotal CE-mark trial. The pivotal trial is expected to conclude in 2026, with a commercial launch of our CGM device for human use planned in 2027.

Design freeze of Lifecare's implantable device.

FROM DOGS TO FIRST-IN-HUMAN

Longevity study in dogs continues to be an important component of Lifecare's product development eƯorts, confirming sensor durability and biocompatibility and providing confidence in the safety and functional stability of the device. Insights from this preclinical work, together with the finalized implant design, have laid the foundation for the next major milestone. In May, Lifecare formally submitted a regulatory application to initiate its first-in-human clinical trial for the wireless CGM device. This filing followed a design freeze of the implant deemed suƯicient for both clinical and manufacturing progression.

The trials are designed to assess safety, tolerability, and glucose-sensing accuracy, and are planned to commence in Norway and Germany in the second half of 2025 with a duration of four weeks. Professor Simon Dankel, a recognized expert in metabolic research from the University of Bergen, Norway, will serve as Principal Investigator, with the Norwegian trial site hosted by the Research Unit for Health Surveys (RUHS) in Bergen.

This milestone marks an important step in our broader clinical and commercial development strategy, setting the stage for a pivotal CE-mark trial scheduled for 2026. The regulatory filing reflects growing technical maturity of the implant and reinforces Lifecare's strategic commitment to deliver a nextgeneration CGM solution for diabetes care.

The Regional Committee for Medical and Health Research Ethics (REK) in Norway confirmed its approval of the application in August. The approval is conditional upon minor documentation updates and does not represent the final regulatory clearance. Lifecare is currently awaiting final approval from the Norwegian Medicines Agency, the national authority responsible for clinical trial authorization.

TOWARDS FULLY REGULATED MEDICAL DEVICE

This summer, Lifecare started the process to achieve CE marking for its CGM system as a fully regulated medical device, in line with our communicated plan. This process encompasses every element of the CGM system – sensor, implant, reader, manufacturing processes – supported by comprehensive ISO 13485-compliant documentation, the internationally recognised quality standard for medical devices.

CE marking requires more than having a working device – it demands proof that every device manufactured will meet the same rigorous standards of safety, performance and quality. To achieve this, we are implementing a solid Quality Management System based on a fully traceable framework covering all design, manufacturing, and quality control processes. Each completed step in this structured process advances us towards full market approval. In addition, it reinforces our position as a company ready to deliver a world-class solution to the diabetes market.

In July, Lifecare announced important compliance achievements for the electronics within our CGM system, with final CE compliance for the electronic components expected by end of Q3 2025. This advancement is a partial step towards full regulatory compliance for Lifecares CGM as a medical device.

Financial review

PROFIT / LOSS

Revenue and other income amounted to NOK 7 thousand in Q2 2025, compared to NOK 6.4 million in Q2 2024. For the first half of 2025, revenue and other income totaled NOK 12 thousand, down from NOK 6.9 million in H1 2024. The 2024 figures included government subsidies related to R&D activities in Germany and a reversal of an earn-out agreement related to Lifecare Laboratory.

Employee benefits expenses totalled NOK 8.5 million in Q2 2025 compared to NOK 9.1 million in Q2 2024 and NOK 18.1 million in H1 2025 compared to NOK 17.3 million in H1 2024.

Depreciation and amortization expenses amounted to NOK 1.4 million in Q2 2025 compared to NOK 1.2 million in Q2 2024, and NOK 2.9 million in H1 2025 compared to NOK 2.2 million in H1 2024. The increase reflects investments in machinery and equipment.

Other operating expenses decreased from NOK 14.9 million in Q2 2024 to NOK 12.3 million in Q2 2025. However, for the first half of the year, expenses increased from NOK 19.1 million in H1 2024 to NOK 26.3 million in H1 2025. The increase reflects focused investment in design freeze, trial preparations and CE-mark readiness.

Total operating expenses amounted to NOK 22.2 million in Q2 2025, down from NOK 25.1 million in Q2 2024. For the first half of 2025, total operating expenses increased to NOK 47.2 million, compared to NOK 38.6 million in the same period of 2024. The year-to-date increase reflects higher development activities.

Operating loss amounted to NOK 22.2 million in Q2 2025, compared to NOK 18.7 million in Q2 2024. For the first half of 2025, operating loss came to NOK 47.2 million, compared to NOK 31.7 million in the same period of 2024.

Net financial items resulted in a gain of NOK 8.6 million in Q2 2025, compared to a loss of NOK 0.2 million in Q2 2024. For the first half of 2025, net financial income totaled NOK 13.2 million, up from a loss of NOK 0.2 million in the same period of 2024. The increase is primarily driven by the revaluation of warrants recognized as financial instruments, as well as interest income earned on cash deposits.

Pre-tax loss for the quarter was NOK 13.6 million, an improvement from a loss of NOK 18.9 million in Q2 2024. For the first half of 2025, the pre-tax loss amounted to NOK 34.0 million, compared to a loss of NOK 31.9 million in the same period of 2024. Income tax for the quarter was estimated at a positive NOK 34 thousand, down from NOK 0.6 million in Q2 2024. For H1 2025, income tax was estimated at NOK 91 thousand, compared to NOK 0.6 million in H1 2024.

As a result, the Group's net loss after tax amounted to NOK 13.6 million in Q2 2025, compared to a loss of NOK 18.3 million in Q2 2024. For the first half of 2025, the net loss after tax amounted to NOK 33.9 million, compared to NOK 31.2 million in the same period of 2024.

FINANCIAL POSITION AND LIQUIDITY

As of 30 June 2025, the Lifecare Group reported total assets of NOK 79.2 million, compared to NOK 152.2 million as of 30 June 2024 and NOK 112.6 million as of 31 December 2024. In June 2024, Lifecare completed a rights issue raising gross proceeds of NOK 90 million. The change from 2024 reflects the Group's planned use of financial resources to accelerate product development, supported by strengthened equity through a capital increase in June 2025.

Total non-current assets amounted to NOK 37.0 million at 30 June 2025 (Q2 2024: NOK 31.8 million and YE 2024: NOK 37.8 million. Property, plant and equipment incl. right-of-use assets increased from NOK 18.7 million in Q2 2024 to NOK 25.2 million at YE 2024 and to NOK 24.9 million in Q2 2025. The development from last year underscores the Group's investment phase, while the slight decline since year-end reflects regular depreciation. Intangible assets (patents, licenses, and goodwill) amounted to NOK 12.1 million (Q2 2024: NOK 13.1 million and YE 2024: NOK 12.6 million).

Current assets amounted to NOK 42.2 million at the end of Q2 2025 (Q2 2024: NOK 120.4 million and YE 2024: NOK 74.8 million). Cash and cash equivalents were NOK 31.8 million, down from NOK 101.4 million in Q2 2024 and NOK 61.6 million at year-end. Cash use is aligned with development milestones. Trade receivables and other current assets declined to NOK 10.4 million from NOK 19.0 million in Q2 2024 and NOK 13.2 million at year-end, reflecting lower external revenues and projectrelated timing eƯects.

Total equity stood at NOK 58.9 million as of 30 June 2025, compared to NOK 98.8 million in Q2 2024 and NOK 74.0 million at year-end 2024. The exercise of warrants in June 2025 contributed NOK 16.1 million in new equity. Please refer to Note 7 for more information about warrants. The equity ratio was 74% as of 30 June 2025, versus 65% in Q2 2024 and 66% at year-end 2024.

Total liabilities amounted to NOK 20.3 million as of 30 June 2025, down significantly from NOK 53.4 million at 30 June 2024 and NOK 38.6 million at year-end 2024. The reduction from previous periods is mainly attributable to the exercise of warrants and related conversion of warrants to equity in June 2025, which both strengthened the equity position and removed related financial liabilities from the balance sheet. Lifecare is primarily equity-funded and arries no interest-bearing debt.

Trade payables and other current liabilities amounted to NOK 10.0 million, down from NOK 14.2 million in Q2 2024 and up from NOK 8.3 million at year-end. The development reflects normal fluctuations in operational activities and supplier balances.

Lease liabilities (current and non-current) totalled NOK 9.5 million, compared to NOK 12.2 million in Q2 2024 and NOK 14.7 million at year-end 2024. The increase over 2024 is largely attributable to a new oƯice rental agreement signed in Q2 2024. The decline in 2025 is a result of partial amortization of lease obligations. Lifecare has entered into a new lease for expanded R&D and production facilities in Mainz, Germany, eƯective 1 July 2025. This agreement will add approximately NOK 38 million to the financial statements in Q3 2025, recognized as a right-of-use asset and corresponding lease liability.

CASH FLOW

Net cash flow from operating activities during the quarter amounted to NOK –13.8 million, compared to NOK -12.8 million in Q2 2024. For the first half of 2025, net cash flow from operating activities was NOK -28.6 million, compared to NOK -24.6 million for the same period in 2024. The change is primarily due to increased development activities in 2025 compared to last year.

Net cash flow from investing activities was NOK -0.4 million during the quarter, compared to NOK -2.4 million in Q2 2024. For the first half year of 2025, the net cash flow from investing activities was NOK - 2.2 million, compared to NOK -4.0 million in the first half of 2024. The outflows are mainly related to purchases of equipment and production assets.

Net cash flow from financing activities was NOK 5.6 million in Q2 2025, compared to NOK 82.2 million in Q2 2024. For the first half year, net cash flow from financing activities was NOK 1.0 million, compared to NOK 81.7 million in the first half of 2024. The diƯerence is mainly explained by the NOK 90.0 million share issue completed in June 2024 and the NOK 17.1 million share issue related to the warrant exercise and related fair value adjustment in 2025.

Net cash outflow amounted to NOK 8.6 million in Q2 2025 and NOK 29.8 million for the first half of 2025 compared to a cash inflow NOK 67.1 in Q1 2024 and NOK 53.0 million in H1 2024.

At the end of the quarter, the cash balance was NOK 31.8 million, compared to NOK 101.4 million at the end of Q2 2024.

Events, outlook and confirmation from the Board

EVENTS AFTER THE BALANCE SHEET DATE

After the balance sheet date, Lifecare has announced successful completion of technical compliance testing, ethics approval for its first-in-human trial, and initiation of formal CE-mark preparations. These are key milestones in Lifecare's regulatory pathway for its implantable CGM system.

OUTLOOK

Lifecare has entered a pivotal phase, maintaining strong momentum in product development while preparing for its first-in-human clinical trial and eventual commercialization of its implantable continuous glucose monitoring (CGM) system. The ongoing studies in dogs continue to provide essential data on sensor longevity, biocompatibility, and signal accuracy. These studies are a critical input for sensor optimization and overall product readiness. The first-in-human trial is expected to commence in the second half of 2025, followed by the regulatory CE trial in 2026. Lifecare is targeting CE approval and commercial launch in Europe in 2027.

As of 30 June 2025, Lifecare held a cash position of NOK 31.8 million. In June, the exercise period concluded for 4.2 million warrants issued in connection with the partially underwritten rights issue completed in June 2024. A total of 3.2 million warrants (76%) were exercised at a price of NOK 5.31681 per share, resulting in gross proceeds of NOK 17.1 million. Lifecare is pleased with the conversion rate and capital inflow, reflecting continued shareholder support and confidence in the company's strategy. Nevertheless, the proceeds were lower than anticipated. To strengthen its financial position and maintain progress, Lifecare considers conducting a share issue in H2 2025.

The veterinary launch will mark a significant milestone, oƯering near-term commercial validation, operational learning, and revenue potential. It is also a strategic step toward de-risking the company's broader development roadmap. The initiation of the first-in-human trial and subsequent CE-mark trial are also expected to be major value inflection points, significantly de-risking the investment case and positioning Lifecare for entry into the human CGM market by 2027.

Lifecare remains committed to its capital-eƯicient strategy and to delivering on a roadmap designed to convert technological innovation into clinical utility and commercial impact.

CONFIRMATION FROM THE BOARD OF DIRECTORS AND CEO

We hereby confirm that, to the best of our knowledge, the unaudited interim financial statements for the period from 1 January to 30 June 2025 have been prepared in accordance with applicable accounting standards and give a true and fair view of the Lifecare Group's assets, liabilities, financial position and result for the period.

The Board of Directors and CEO

Bergen, 20 August 2025

This document is signed electronically, with no hand-written signatures.

Morten Foros Krohnstad Trine Teigland Lutz Walter Heineman Chair of the Board Board member Board member

Hans Johan Hekland Tone Kvåle Joacim Holter Board member Board member CEO

Financial statements & selected notes

CONDENSED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

Lifecare Group (NOK 1 000)	Notes	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Revenue and other income	3	7	6 439	12	6 850
Employee benefits expense	4	-8 540	-9 056	-18 066	-17 306
Depreciation and amortization	5	-1 426	-1 204	-2 928	-2 162
Other operating expenses		-12 260	-14 868	-26 253	-19 089
Operating profit/loss		-22 218	-18 689	-47 234	-31 706
Net financial items	7	8 624	-235	13 243	-165
Profit/loss before tax		-13 594	-18 924	-33 991	-31 871
Income tax expense		34	637	91	637
Profit/loss for the period		-13 561	-18 287	-33 901	-31 233
Other comprehensive income
Items that may be reclassified to profit or loss:
Currency translation differences		-13	-417	471	-525
Total comprehensive income/loss for the period		-13 574	-18 704	-33 429	-31 758
Basic and diliuted earnings per share (NOK)*		-0,8	-1,8	-2,10	-3,43
Profit/loss attributable to:
Equity holders of Lifecare ASA		-13 311	-17 988	-33 481	-30 931
Non-controlling interest		-250	-299	-420	-303
Total comprehensive income attributable to:
Equity holders of Lifecare ASA		-13 324	-18 405	-33 010	-31 456
Non-controlling interest		-250	-299	-420	-303

*Earnings per share (EPS) for comparable period in 2024 has been adjusted to the 13:1 share consolidation, effective September 2024, resulting in a proportionate increase in EPS reflecting the reduced number of shares outstanding.

CONDENSED STATEMENT OF FINANCIAL POSITION

Lifecare Group (NOK 1 000)	Notes	30 June 2025	30 June 2024	31 December 2024
Assets
Patents, licenses and goodwill		12 120	13 077	12 599
Property, plant and equipment incl right of use assets		24 900	18 749	25 177
Total non-current assets	5	37 020	31 827	37 775
Trade receivables and other current assets		10 356	19 047	13 203
Cash		31 824	101 367	61 615
Total current assets		42 180	120 414	74 817
Total assets		79 200	152 240	112 593
Equity and liabilities
Share capital		99 117	77 562	82 435
Other capital reserves		8 279	117 262	7 725
Retained earnings		-48 502	-95 998	-16 178
Total equity	8	58 894	98 825	73 983
Deferred tax liabilities		790	1 026	923
Non-current lease liabilities		6 899	10 107	8 274
Other non-current liablities		0	203	0
Total non-current liabilities		7 689	11 335	9 197
Trade payables and other current liabilities		10 016	14 184	8 265
Current lease liabilities		2 601	2 079	6 470
Financial liabilities	7	-	25 816	14 678
Total current liabilities		12 617	42 080	29 413
Total liabilities		20 306	53 415	38 610
Total equity and liabilities		79 200	152 240	112 593

STATEMENT OF CHANGES IN EQUITY

		Other capital reserves		Retained earnings		Retained earnings
Lifecare Group (NOK 1 000)	Share capital	Share premium	Treasury shares	Other equity	Retained earnings	FX translation reserve	Total	NCI	Total equity
Equity at 01 January 2024	53 946	76 007	-		-63 628	77	66 402	52	66 454
Profit/loss for the period	-	-	-	-	-30 931	-	-30 931	-303	-31 233
Other comprehensive income/loss for the period	-	-	-	-	-	-525	-525	-	-525
Total comprehensive income/loss for the period	-	-	-	-	-30 931	-525	-31 456	-303	-31 758
Adjustment realated to acquisition of subsidiary	-	-	-	-	-	-	-	500	500
Share-based payments	-	-	-	3 820	-	-	3 820	-	3 820
Issue of new shares	23 616	66 563	-	-	-	-	90 179	-	90 179
Share issue expenses	-	-7 182	-	-	-	-	-7 182	-	-7 182
Issue of warrants	-	-23 187	-	-	-	-	-23 187	-	-23 187
Equity at 30 June 2024	77 562	112 201	-	3 820	-94 559	-448	98 576	249	98 825
Equity at 01 January 2025	82 435	-	-14	7 738	-15 825	-243	74 092	-109	73 983
Profit/loss for the period	-	-	-	-	-33 481	-	-33 481	-420	-33 901
Other comprehensive income/loss for the period	-	-	-	-	-	471	471	-	471
Total comprehensive income/loss for the period	-	-	-	-	-33 481	471	-33 010	-420	-33 429
Share-based payments	-		-	554	-	-	554	-	554
Issue of new shares	16 682	375	-	-	-	-	17 056	-	17 056
Share issue expenses	-	-922	-	-	-	-	-922	-	-922
Exercise/expiry of warrants	-	1 653	-	-	-	-	1 653	-	1 653
Transfer of share premium	-	-1 105	-	-	1 105	-	-	-	-
Equity at 30 June 2025	99 117	-	-14	8 292	-48 202	228	59 422	-529	58 894

STATEMENT OF CASH FLOWS

Lifecare Group (NOK 1 000)	Note	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Profit/loss before tax		-13 594	-18 924	-33 991	-31 871
Depreciation and amortization	5	1 426	1 204	2 928	2 162
Employee share option expense	4	217	2 176	554	3 820
Change in receivables and payables		-1 286	510	4 598	550
Other adjustments		-591	2 269	-2 719	696
Net cash flow from operating activities		-13 829	-12 765	-28 631	-24 643
Purchase of property, plant and equipment	5	-437	-2 355	-2 207	-4 036
Net cash flow from investing activities		-437	-2 355	-2 207	-4 036
Proceeds from issuance of shares		17 056	90 000	17 056	90 000
Share issue expenses		-922	-7 182	-922	-7 182
Repayment lease liabilities		-645	-472	-1 287	-903
Interest paid		-124	-146	-254	-215
Interest received		765	-	1 133	-
Fair value adjustment of financial liabilities	7	-10 484	-	-14 678	-
Net cash flow from financing activities		5 645	82 201	1 047	81 701
Net change in cash		-8 620	67 081	-29 790	53 021
Cash opening balance		40 444	34 286	61 615	48 345
Cash closing balance		31 824	101 367	31 824	101 367

Selected notes

NOTE 1 GENERAL INFORMATION AND BASIS OF PREPARATION

Lifecare is a medical sensor company developing technology for sensing and monitoring of various body analytes. Lifecare's focus is to bring the next generation of Continuous Glucose Monitoring (CGM) systems to market. Lifecare enables osmotic pressure as a sensing principle. Lifecare's sensor technology is suitable for identifying and monitoring the occurrence of a wide range of analytes and molecules in the human body and in pets.

The Lifecare Group consist of the parent company Lifecare ASA and its subsidiaries. Lifecare ASA is a public limited company incorporated and domiciled in Norway and is listed on Euronext Oslo Børs (Oslo Stock Exchange). The subsidiaries comprise Lifecare Veterinary AS (Norway), Lifecare Chemistry Ltd (UK), Lifecare NanoBioSensors GmbH (Germany), Lifecare Laboratory GmbH (Germany) and RemovAid AS (Norway). Lifecare Veterinary is 80% owned and RemovAid is 89.6% owned by Lifecare ASA, while the other subsidiaries are 100% owned.

The financial statements have been prepared in accordance with IFRS® Accounting Standards as adopted by the EU. The financial statements have been prepared using the historical cost basis, except for financial liabilities measured at fair value through profit or loss. For management purposes, the Group operates as a single business unit, and internal reporting and decision making is structured accordingly. For a complete set of disclosures, this report should be read in conjunction with the Group's annual report for 2024.

This interim report is unaudited.

Use of estimates

Management makes estimates and assumptions about the future that aƯect accounting policies and the reported amounts of assets, liabilities, income, and expenses. These estimates, based on historical experience and other relevant factors, guide judgments on asset and liability valuations when no clear market values exist. Actual results may diƯer from these estimates. Management continuously reviews assumptions considering current and expected market conditions. The primary area where Lifecare applies significant estimates and assumptions is the impairment assessment of goodwill, see Note 5.

NOTE 2 RISKS AND UNCERTAINTIES

Lifecare is in a late development/pre-commercialization phase, and operates in a global environment exposed to geopolitical, macroeconomic, and regulatory risks. Key challenges include regulatory shifts, supply chain disruptions, trade restrictions and cybersecurity risk. While Lifecare's operations and partners are primarily European, external conditions could impact progress and market access. The company continuously monitors these factors and maintains a proactive risk management framework.

Financial risk

Lifecare is not yet revenue-generating and relies primarily on equity financing to fund its activities. At the end of Q2 2025, Lifecare held NOK 31.8 million in cash. Lifecare maintains conservative liquidity planning and is actively preparing financing alternatives to ensure uninterrupted progress. While the concluded warrant exercise in June resulted in proceeds of NOK 17.1 million and strengthened our balance sheet, additional capital will ensure we can fully capture upcoming milestones. To maintain progress, Lifecare considers conducting a share issue in H2 2025. Management is also pursuing additional funding alternatives. While current liquidity is adequate, continued access to capital is a key risk factor.

Given Lifecare's international operations, the company is exposed to currency fluctuations, especially between GBP/EUR and NOK. Most supplier invoices are in euros and British pound, while Lifecare holds most of its cash in Norwegian kroner. No hedging strategy is currently in place, exposing the company to moderate currency risk.

Scientific risk

Lifecare's sensor technology is based on proprietary osmotic pressure sensing, protected by three active patents and one pending. Scientific risk is considered low, as the company follows a structured R&D process, including preclinical, proof-of-concept, and longevity studies. Result from the veterinary implants has showed no adverse reactions and good sensor stability, significantly de-risking the technology platform.

Regulatory risk

Lifecare maintains ISO-certified quality systems and continuously strengthens its internal controls to ensure full regulatory compliance. For human use, the implantable CGM sensor must undergo clinical trials to document safety, eƯicacy, and performance. Regulatory progress continues as Lifecare has received approval for the first-in-human trial in Norway and has submitted a corresponding application in Germany. The pivotal CE-mark trial is planned for 2026. To support these activities, Lifecare is systematically developing quality processes that are fully aligned with the CGM system's development stages, securing a coherent and eƯicient regulatory pathway. In the veterinary market, where specific medical device regulations do not apply, commercialization is contingent on the successful outcome of ongoing longevity studies.

Manufacturing risk

Pilot production and key process automation milestones have been achieved, but final optimization for full-scale manufacturing is ongoing. Lifecare will continue to refine its sensor prototypes based on test results from long-term animal studies. While progress is strong, moderate manufacturing risk remains due to the complexity of transitioning to commercial-scale production.

Commercial risk

Commercial success depends on market adoption, strategic partnerships, and Lifecare's ability to deliver a competitive, high-performing CGM solution. Partnerships are essential in the commercialization roadmap, both for scaling operations and securing market access. Initial market entry is planned for the veterinary segment, which will provide valuable feedback and contribute to risk reduction ahead of the human launch. Lifecare is actively positioning the company for future partnerships with industry leaders, particularly within distribution and sales. Such collaborations will be critical as the company approaches commercial entry into the human market. The company remains open to exploring partnership opportunities when the timing and strategic alignment are right.

NOTE 3 REVENUES

Revenue and other income (NOK 1 000)	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Revenue from contracts with customers	7	1 160	12	1 174
Government grants	-	2 810	-	2 810
Other income	-	2 468	-	2 865
Total revenue and other income	7	6 439	12	6 850

Lifecare is in a development phase and does not yet generate revenue from product sales. Revenue from contracts with customers consists of laboratory service sales. Government grants and other income recognized in 2024 mainly related to project support and non-recurring items. No such income has been recognized in 2025.

Employee benefits expenses (NOK 1 000)	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Salaries	6 111	5 984	13 715	11 454
Social security tax	1 112	918	2 453	1 914
Pension cost	359	128	534	256
Other benefits	741	-154	809	327
Total payroll	8 323	6 876	17 512	13 951
Share option expense	217	2 176	554	3 820
Accrued social security tax on share option	-	4	-	-465
Total employee share option cost*	217	2 180	554	3 355
Total employee benefits expenses	8 540	9 056	18 066	17 306
Number of employees (FTE) at quarter end	30	32	30	32

*Employee share option expenses do not have cash eƯect.

Share based option plan

Lifecare's share option program is designed to align management incentives with shareholder value and aid in talent retention. Options are granted at market price on the grant date and typically vest over three years, expiring after five. Vesting requires continued employment and may include performance conditions. Options carry no voting or dividend rights before exercise and can be exercised only during Board-approved periods. Fair value is calculated using Black-Scholes and Monte Carlo models, considering factors such as share price, exercise price, volatility, expected life, dividends, and risk-free interest rate. Expenses are recognized over the vesting period under employee benefits, and exercised options result in new share issuance.

Number of options	YTD 2025	YTD 2024
At 1 January	382 233	4 369 173
Granted during the period	-	600 000
Exercised during the period	-	-
Expired during the period	-	-
At 30 June	382 233	4 969 173

In September 2024, Lifecare completed a share consolidation (reverse split) in the ratio of 13:1. The historical number and the strike price for share options have been adjusted accordingly. The strike price for share options is NOK 19.82 (NOK 1.52 prior to share consolidation).

NOTE 5 INTANGIBLE AND TANGIBLE ASSETS

Intangible and tangible assets (NOK 1 000)	Patents and licenses	Goodwill	Tangible assets	Right of use assets	Total
Book value at 1 January 2025	5 371	7 228	14 484	10 692	37 775
Currency translation differences	18	-	23	-74	-34
Additions	-	-	2 207	-	2 207
Depreciation and amortization	497	-	1 077	1 355	2 928
Book value at 30 June 2025	4 892	7 228	15 637	9 263	37 020
Accumulated acquisition cost	9 120	7 331	20 180	15 512	52 144
Accumulated depreciation & amortization	4 228	103	4 543	6 249	15 123
Book value at 30 June 2025	4 892	7 228	15 637	9 263	37 020
Useful economic life or contract length	8-27 years	-	3-5 years	1-10 years

Lifecare holds several key patents essential to its glucose monitoring and medical device technologies. Five patents with finite useful lives are recognized in the Group's financial statements, with amortization periods aligned to their respective expiry dates. Lifecare also holds a licensing agreement for the Nano3DSense® technology.

Goodwill relates from the acquisition of Lifecare NanoBio Sensors and Lifecare Laboratory.

Tangible assets consist primarily of oƯice and laboratory equipment (mainly microscopes) and machines.

Lifecare has recognized the leasing agreements of its oƯice and laboratory facilities as right of use assets according to IFRS 16. Lifecare has signed a lease for new facilities in Mainz, Germany, eƯective 1 July 2025. This agreement will add approximately NOK 38 million to the financial statements as a right-of-use asset and lease liability when the lease commences.

There are no indications of impairment for any intangible or tangible assets.

NOTE 6 RELATED PARTY TRANSACTIONS

There have been no related parties' transactions during the quarter. During H1, Lifecare has acquired and delivered clinical services related to R&D projects from companies aƯiliated with the Chief Scientific OƯicer (CSO). These transactions are based on normal commercial terms.

For shares controlled by the Board of Directors and executive management, see Note 8.

NOTE 7 WARRANTS

In June 2024, Lifecare ASA completed a partially underwritten rights issue of 59 038 955 new shares. The subscribers in the rights issue were allocated one warrant for every two new shares, and 29 519 478 warrants were issued to the subscribers. Further, Munkekullen 5 Förvaltning AB and Buntel AB, having underwritten a total of NOK 50 million of the rights issue, received a compensation of 25 000 000 warrants at equal terms to the warrants issued in the rights issue. Consequently, a total of 54 519 478 warrants were allocated to subscribers and the underwriters. On 30 September 2024, Lifecare ASA completed a share consolidation (reverse split) of its shares in the ratio of 13:1, where the warrants were consolidated with the same ratio, to 4 193 802 warrants.

Each warrant gave the holder the right to buy one new share in Lifecare ASA at a price equal to the volume weighted average price (VWAP) of the company's shares on Euronext Oslo Børs during the last three trading days before the first date the warrant could be exercised, minus 30%. Based on the criteria, the exercise price per new share was NOK 5.3168.

The warrants were listed on Euronext Growth Oslo and were tradable until 6 June, and exercisable until 13 June 2025. A total of 3 207 994 warrants (76%) were exercised, resulting in gross proceeds of NOK 17.1 million.

Due to the variability in exercise price, the warrants were initially recognized as financial liabilities at fair value on the issuance date and subsequently measured at fair value. The warrants were derecognized when the obligation under the liability expired 13 June 2025.

Financial liabilities (NOK 1 000)	Q2 2025	Q2 2024	YTD 2025	YTD 2024
Warrants at beginning of period	10 485	-	14 678	-
Warrants issued	-	23 716	-	23 716
Fair value gain (-) /loss (+)	-8 832	-	-13 025	-
Warrants exercised/expired, recognized in equity	-1 653	-	-1 653	-
Warrants at end of period	-	23 716	-	23 716

NOTE 8 SHARE CAPITAL AND SHAREHOLDERS

As at 30 June 2025, Lifecare ASA had 19 060 973 shares with a nominal value of NOK 5.20 per share. All shares issued by the company are fully paid-up. There is one class of shares, and all shares confer the same rights.

Shares	2025		2024
	# of shares	Book value	# of shares	Book value
Shares at 1 January	15 852 979	82 435 491	134 865 742	53 946 297
Issue of shares	3 207 994	16 681 569	59 038 955	23 615 582
Shares at 30 June	19 060 973	99 117 060	193 904 697	77 561 879
Holding of treasury shares	1 023	5 320	-	-
Total excluding treasury shares at 30 June	19 059 950	99 111 740	193 904 697	77 561 879

In June 2024, Lifecare ASA completed a partially underwritten rights issue of 59 038 955 new shares. In July, 1 377 572 new shares were issued to the underwriters in the rights issue.

In September 2024, Lifecare ASA completed a share consolidation (reverse split) in the ratio of 13:1. 195 282 269 shares were consolidated to 15 021 713 shares. The nominal value of each share changed from NOK 0.40 to NOK 5.20. The share capital was unchanged at NOK 78 112 908. To deliver shares to persons who owned shares that did not compute with the 13:1 consolidation ratio, Lifecare ASA acquired 30 000 treasury shares at an average price of NOK 1.67 per share. The purchase was carried out as ordinary trades in the market. Following the consolidation, Lifecare held 2 308 shares, of which 1 285 were allocated to shareholders to maintain the 13:1 ratio. As of 30 June 2025, Lifecare held 1 023 treasury shares.

In June 2025, Lifecare ASA completed a warrant period (Note 7) issuing 3 207 994 new shares.

20 largest shareholders at the end of the period	Number of shares	Shareholding
Lacal AS	2 457 209	12,89 %
Teigland Eiendom AS	2 164 737	11,36 %
Jostein Tjelta	1 027 877	5,39 %
Nordnet Bank AB	981 772	5,15 %
Nordea Funds	729 836	3,83 %
Nordnet Livsforsikring AS	711 154	3,73 %
LHH AS	450 000	2,36 %
Spit Air AS	410 596	2,15 %
Einarsen Even Harald	400 000	2,10 %
Hejma AS	250 000	1,31 %
Lt Finans AS	222 584	1,17 %
Kurt Andreassen	196 761	1,03 %
Moun10 AS	177 800	0,93 %
Einar Ståle Solheim	173 071	0,91 %
Nexus Marketing	157 863	0,83 %
Han Lei	148 987	0,78 %
Avanza Bank AB	147 889	0,78 %
Andreas Pfützner	138 485	0,73 %
Joacim Holter	124 951	0,66 %
Åge Westbø	124 685	0,65 %
Total shareholding by 20 largest shareholders	11 196 257	58,74 %
Total others	7 864 716	41,26 %
Total shares	19 060 973	100,00 %

Shares controlled directly and indirectly by the Board of Directors and group management at period end	Number of shares	Shareholding
Board of Directors
Hans Hekland	17 897	0,09 %
Trine Teigland	2 164 737	11,36 %
Tone Kvåle	4 616	0,02 %
Group management
Joacim Holter, CEO*	125 592	0,66 %
Andreas Pfützner, CSO	138 485	0,73 %
Total shares held by the board and group management	2 451 327	12,86 %

*Shares owned by the CEO and minor children.

Disclaimer

The information in this report has been prepared by Lifecare (the "Company"). This report does not constitute a recommendation regarding any securities of the Company. By reading this information, you agree to be bound by the following limitations and provisions: This report has been prepared based on information available as of the date hereof. No representation or warranty (expressor implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, none of the Company, or any advisor or any such persons' oƯicers or employees accepts any liability whatsoever arising directly or indirectly from the use of this report. Lifecare is medical sensor company focused on the development and commercialization of its technology. Investing in companies at this stage carries inherent risks, including financial, operational, and market-related uncertainties. Potential investors are strongly advised to seek further guidance on the general risks associated with such investments, as well as the specific risks related to Lifecare. The information herein is subject to change, completion, supplements or amendments without notice. By relying on this report, you accept the risk that the report does not cover matters that could have been disclosed, have a more comprehensive investigation been carried out. The report is based on the economic, regulatory, market and other conditions as in eƯect on the date hereof and may contain certain forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they reflect the Company's current expectations and assumptions as to future events and circumstances that may not prove accurate. Subsequent developments may aƯect the information contained in this document, which neither the Company nor its advisors are under an obligation to update, revise or aƯirm. This complete report is for informational purposes only and does not constitute an oƯer to sell shares in the company. This report is not a prospectus, disclosure document or oƯering document and does not purport to be complete. This report has not been reviewed or approved by any regulatory authority or stock exchange. The (re)distribution of this report and/or any prospectus or other documentation into jurisdictions other than Norway may be restricted by law. This report does not constitute or form part of any oƯer or invitation to sell or issue, or any solicitation of any oƯer to acquire any securities oƯered by any person in any jurisdiction in which such an oƯer or solicitation is unlawful. Neither this report nor anything contained herein shall form the basis of any contract or commitment whatsoever. The person into whose possession this report comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such restrictions. The report and any purported liability in connection with it is subject to Norwegian law and is subject to the exclusive jurisdiction of the Norwegian courts.

About Lifecare

Lifecare ASA is a medical sensor company developing technology for sensing and monitoring of various body analytes. Lifecare's focus is to bring the next generation of Continuous Glucose Monitoring (CGM) systems to market. Lifecare enables osmotic pressure as sensing principle. Lifecare's sensor technology is suitable for identifying and monitoring the occurrence of a wide range of analytes and molecules in the human body and in pets.

Financial calendar

Q3 2025: 12 November 2025

Contact

Name Joacim Holter Title CEO Mobil +47 40059040 E-mail joacim.holter@lifecare.no

Name Renete Kaarvik Title CFO Mobil +47 94838242 E-mail renete.kaarvik@lifecare.no