NAXS

Quarterly Report • Oct 25, 2022

NAXS AB (publ)

Interim financial report January-September 2022

Nine months 2022

• Net profit for the interim period amounted to MSEK 93.4 (107.7).
• Earnings per share amounted to SEK 8.40 (9.66).
• Net asset value amounted to MSEK 924 (SEK 83.38 per share) at September 30, 2022, compared to MSEK 823 (SEK 73.78 per share) at December 31, 2021.
• Net cash amounted to MSEK 244 (SEK 22.01 per share) at September 30, 2022, compared to MSEK 266 (SEK 23.81 per share) at December 31, 2021.
• The 2022 Annual General Meeting resolved to pay a dividend of 3.50 SEK per share for FY 2021.

Third quarter 2022

• Net profit/loss for the quarter amounted to MSEK 34.7 (26.6).
• Earnings per share amounted to SEK 3.13 (2.39).

CEO Comments

NAXS continued to experience a positive NAV development during the third quarter, with the NAV/share increasing by 5.9 percent. Over 12 months, the NAV/share has increased by 26.9 percent, including the dividend paid in April.

During the quarter, NAXS's underlying funds made one new acquisition and exited one portfolio company. The relatively low level of activity in the portfolio during the quarter reflects the generally more challenging macroeconomic environment.

Gösta Lundgren

Financial summary

	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9
Net profit/loss, KSEK	93 385	107 698	34 716	26 647

	2022 30/9	2021 31/12
Private equity fund investments, KSEK	632 214	513 925
Private equity fund investments in % of equity	68	63
Remaining commitments, KSEK	180 013	86 012
Total exposure to private equity fund investments, KSEK	812 227	599 937
Other investments, KSEK	48 231	44 693
Net cash, KSEK	243 806	265 523
Private equity fund investments per share, SEK	57.07	46.08
Other investments per share, SEK	4.35	4.01
Net cash per share, SEK	22.01	23.81
Net asset value per share, SEK	83.38	73.78
Share price, SEK	58.10	64.80

Operations

NAXS AB (publ) ("NAXS" or the "Company") is a company listed on NASDAQ Stockholm and investing primarily in private equity funds with a Nordic focus. NAXS may also make direct investments or co-investments alongside private equity or other alternative assets funds and may invest up to forty percent of its net asset value in any securities or assets in any jurisdiction.

Operations commenced on April 17, 2007, and the Company was listed on First North on May 14, 2007, where it traded until its change of listing to NASDAQ Stockholm on June 8, 2010.

NAXS is the Group's parent company and is headquartered in Stockholm. In addition to the parent company, the group consists of the subsidiaries NAXS A/S, registered in

Copenhagen, NAXS Nordic Access Buyout AB, registered in Stockholm, and NAXS Nordic Access Buyout AS, registered in Oslo. The Danish and Swedish subsidiaries operate as holding companies for the Group's investments.

Naccess Partners AB has been contracted as the investment advisor to the Danish subsidiary.

Market review

The market volatility that characterised the first half of 2022 continued in the third quarter on the back of sustained high inflation, rapidly rising interest rates and increasing geopolitical instability.

Reflecting this challenging environment, private equity activity continued to experience a slowdown during the quarter.

Investments

Private equity fund investments

At September 30, 2022, NAXS had commitments to 15 private equity funds (13 buyout funds and 2 special situations vehicles):

• private equity fund investments amounted to MSEK 632, which corresponds to 68% percent of the Company's equity;
• remaining commitments amounted to MSEK 180.

Other investments

At September 30, 2022, NAXS held 6 direct equity investments, 4 of which were listed and 2 unlisted:

• 120 437 shares in Scout Gaming Group AB (publ). Scout is a provider of Fantasy Sport and Daily Fantasy Sports solutions to online gaming operators. At September 30, 2022, the holding of NAXS in Scout Gaming Group was valued at MSEK 0.1 (1.9).
• 828,319 shares in Awilco Drilling Plc, a UK-based drilling contractor. The shares are listed on the Oslo Stock Exchange. At September 30, 2022, the holding of NAXS in Awilco Drilling was valued at MSEK 2.5 (2.7).
• 65 572 shares in Keurig Dr Pepper, a leading producer and distributor of hot and cold beverages. The shares are listed on Nasdaq. At September 30, 2022, the holding of NAXS in Keurig Dr Pepper was valued at MSEK 26.1 (21.9).
• 42 608 shares in Krispy Kreme Doughnuts, a leading doughnut and coffee chain. The shares are listed on Nasdaq. At September 30, 2022, the holding of NAXS in Krispy Kreme Doughnuts was valued at MSEK 5.4 (8.4).
• an investment in Pret Panera Company, which at September 30, 2022, was valued at MSEK 2.4 (1.7). Pret Panera is a global business in the casual fast food dining segment and include amongst others Panera, Pret-a-Manger and Espresso House.

• 4 643 500 shares in Jacktel AS, a Norwegian offshore accommodation services provider. The shares are registered on the Euronext NOTC market. The shares were acquired during the first quarter via the conversion of bonds in Jacktel and were at September 30, 2022, valued at MSEK 5.8 (-).

In addition, NAXS held at September 30, 2022, 2 bonds issued by Jacktel AS:

• 1 senior secured bond issued in 2018 with a tenor of 5 years and a coupon of 10% p.a. During the first quarter of 2022, approximately 60% of the bond was converted into equity in Jacktel AS. At September 30, 2022, the remaining holding of NAXS was valued at MSEK 3.9 (6.4).
• 1 super senior bond issued in 2021, maturing in December 2023 and with a coupon of 10% p.a. At September 30 2022, the holding of NAXS was valued at MSEK 2.0 (1.7).

Exposure to private equity fund investments and other investments

At September 30, 2022, the total exposure to private equity fund investments and other investments amounted to MSEK 860, which corresponds to 93% of the Company's equity.

Private equity fund investments and other investments, and total exposure to private equity fund investments and other investments (in % of equity)

Evolution of private equity fund investments and other investments (in % of equity)

The net asset value (NAV) per share increased by 5.9% during the third quarter of 2022 and by 26.9% over 12 months, including the dividend paid in April.

NAV per share in SEK

New investments, acquisitions and liquidity events

Commitments to private equity funds No new Commitment was made during the quarter.

Other Investments

No Other Investment was made during the quarter.

Acquisitions by underlying funds

1 new portfolio company was acquired by underlying funds during the third quarter, as summarized below:

Portfolio Company	Sector	Geography	Fund
Svenska Kompressor AB	Business Services	Nordic	Mimir Industries

In addition, JAB JCP V made during the quarter several significant add-ons to its North American and European pet insurance platforms, establishing a global leading position in the pet insurance sector.

Liquidity events in underlying funds

1 liquidity events took place during the third quarter, as summarized below:

Portfolio Company	Sector	Entry year	Fund
Huarong	Financial Services	2014	Apax VII

At September 30, 2022, NAXS's underlying funds had acquired a total of 176 companies, 113 of which had been fully divested. These 113 exits have generated an average IRR of 18%.

September 30, 2022

• Total exposure to private equity fund investments: 88% of total equity
• Private equity fund investments: 68% of total equity
• Number of full exits since inception: 113
• Average IRR generated by the 113 exits since inception: 18%

Portfolio composition/diversification

At September 30, 2022, NAXS provided the following exposure:

• 15 private equity funds (13 buyout funds and 2 special situations vehicles) from 9 managers
• 8 different fund vintages as illustrated below (based on current commitments):

• 63 portfolio companies (remaining after 113 exits) acquired by underlying funds over a period of approximately 12 years, with the 10 largest portfolio companies accounting for

approximately 60% of the total equity and no single portfolio company accounting for more than 13% of the total equity.

• a diversification in terms of size segments and geographies (based on the fair value of the current portfolio companies):

• direct investments in 4 listed companies, 2 unlisted companies and 2 bonds, as per the table below:

Company	Sector	Type of instrument	Timing of initial investment	Reported value, MSEK
Scout Gaming Group	iGaming	listed share (NASDAQ First North)	Q4 2017	0.1
Awilco Drilling	Energy	listed share (Oslo Exchange)	Q1 2018	2.5
Jacktel	Energy	super senior secured bond	Q4 2018	3.9
Keurig Dr Pepper	Consumer goods & services	listed share Nasdaq (NY)	Q3 2020	26.1
Pret Panera	Fast food casual	unlisted shares	Q1 2021	2.4
Krispy Kreme Doughnuts	Fast food casual	listed share (NASDAQ NY)	Q1 2021	5.4
Jacktel	Energy	super senior secured bond	Q2 2021	2.0
Jacktel	Energy	Euronext NOTC registered shares	Q4 2018 Q1 2022	5.8

Underlying funds

Summary information regarding NAXS' underlying funds is provided below:

Fund	Vintage	Fund size	Segment	Main geographic focus	NAXS commitment	# of portfolio companies/exits
Apax Europe VII	2008	MEUR 11,000	large cap	Europe/Global	MEUR 15	3/33
Equip Capital I	2020	MNOK 1,900	small/mid cap	Nordics	MNOK 20	12/0
FSN Capital III	2008	MEUR 375	mid cap	Nordics	MEUR10	1/9
Herkules PE III*	2008	MNOK 6,000	mid cap	Nordics	MNOK 40	0/11
Intera Partners II*	2011	MEUR 200	small cap	Finland	MEUR 7	0/12
JAB Consumer Fund II	2018	MUSD 5,000	large cap	Global	MUSD 5	4/0
JAB Consumer Fund III	2020	MUSD 3,800	large cap	Global	MEUR 5	1/0
JAB Consumer Partners – JCP V	2022	n/a	large cap	Global	MEUR 5	1/0
Mimir Invest	2017	<MSEK 500	small cap	Nordics	MSEK 50	6
Mimir Industries	2022	< MSEK 500	small cap	Nordics	MSEK 75	5/0
Nordic Capital VII	2008	MEUR 4,310	mid/large cap	Nordics/DACH	MEUR 20	0/19
Nordic Capital CV1	2018	MEUR 2,500	mid/large cap	Nordics/DACH	MEUR 14,65	5/5
Nordic Capital X	2020	MEUR 6,100	large/mid cap	Nordics/DACH	MEUR 20	16/0
Nordic Capital Evolution I Valedo Partners II	2021 2011	MEUR 1,200 MSEK 2,000	midcap small cap	Nordics/DACH Sweden	MEUR 1 MSEK 65	4/0 5/6

* fund with all portfolio companies exited and in liquidation process

Group

Financial performance, third quarter 2022

Operating profit/loss

The operating profit/loss amounted to KSEK 39,630 (28,897) for the quarter. The operating profit/loss includes a change in value of KSEK 42,761 (31,737), whereof KSEK 38,601 (30,833) is a change in value of private equity fund investments and KSEK 4,160 (904) is a change of value of other financial investments. The currency effects are included in the changes in value of the private equity fund investments and amounted to KSEK -9,573 (3,785). Operating expenses amounted to KSEK 3,131 (2,840).

Financial performance, nine months 2022

Operating profit/loss

The operating profit/loss amounted to KSEK 108,068 (112,054) for the nine months period. The operating profit/loss includes a change in value of KSEK 119,440 (123,051), whereof KSEK 117,757 (121,745) is a change in value of private equity fund investments, and KSEK 1,683 (1,306) is a change in value of other investments. The currency effects are included in the changes in value of the private equity fund investments amounted to KSEK -17,605 (1,707). Operating expenses amounted to KSEK 11,372 (10,997).

January 1– September 30, 2022

• Changes in value of private equity fund investments: KSEK 117,757, whereof currency effects on private equity fund investments KSEK -17,605
• Changes in value of other investments: KSEK 1,683

Financial items

Financial items net totalled KSEK -14,683 (-4,357) for the period. Interest expenses on cash in banks amounted to 124 (-428). Exchange rate profit/loss amounted to KSEK -14,806 (-3,929).

Tax and net profit

The Group's profit/loss after financial items for interim period amounted to KSEK 93,385 (107,697). Income taxes amounted to KSEK 0 (0). Net profit/loss after tax amounted to KSEK 93,385 (107,697). Earnings per share were SEK 8.40 (9.66).

Investments, financing and liquidity

Private equity fund investments

During the interim period, net investments (-)/repayments (+) from private equity funds amounted to KSEK 33,367 (98,758). As of September 30, 2022, private equity fund investments amounted to KSEK 632,214 (513,925).

September 30, 2022

• Private equity fund investments: SEK 632,214

Other investments

As of June 30, 2022, Other Investments amounted to KSEK 48,231 (44,693). During the interim period KSEK - (9,177) was invested in Other Investments.

Financing

The Group is financed with shareholders' equity. Shareholders' equity amounted to KSEK 923,671 (822,855) at the end of the interim period, corresponding to SEK 83.38 (73.78) per share and an equity/asset ratio of 100 (100) percent. Dividend to shareholders for FY 2021 amounted to KSEK 39,034 (33,458) corresponding to SEK 3.50 (3.00) per share.

September 30, 2022

• Equity per share: SEK 83.38

Net cash

At the end of the interim period, net cash amounted to KSEK 243,806 (265,523), which corresponds to SEK 22.01 (23.81) per share. During the interim period, cash and cash equivalents were invested in interest-bearing instruments or held on interest-bearing bank accounts, in accordance with the Company's policy.

September 30, 2022

• Net cash per share: SEK 22.01

Significant risks and uncertainty factors

Significant risks and uncertainty factors are described in the Annual Report 2021. Since the publication of the Annual Report 2021, significant macro and geopolitical risks have arisen, which could affect the valuation of NAXS's investments. It should be noted, however, that NAXS's current portfolio does not have any material exposure to Russia or Ukraine.

Future prospects

Our expectations for market conditions and private equity buyout activity remain consistent with those upon which our investment mandate is predicated.

Parent company

The parent company's net income during the nine months period amounted to 674 (731). TSEK. The profit/loss after financial items amounted to KSEK -3,073 (-3,194). The net interest income amounted to KSEK -22 (101) and exchange rate profit/loss amounted to KSEK -121 (433). Income tax amounted to KSEK 0 (0). The net profit/loss amounted to KSEK -3,073 (-3,194).

Organization

Gösta Lundgren is interim CEO and succeeded Lennart Svantesson in April 2022. The Board of Directors consists of Daniel Gold (chairman), Meg Eisner, Nikolai Jebsen, Børge Johansen and Synne Syrrist.

Nomination Committee

The 2022 Annual General Meeting appointed a nomination committee consisting of Meg Eisner (representing QVT Financial LP), Amaury de Poret (representing himself) and Didrik Hamilton (representing himself). Amaury de Poret was elected chairman of the nomination committee. The nomination committee can be contacted via e-mail to adp@naccess.se

The share

The NAXS share was initially listed on First North on May 14, 2007. Since June 8, 2010, the share is traded on NASDAQ Stockholm. The share trades under the designation "NAXS".

The number of outstanding shares in the Company at the beginning of the interim period was 11,152,585 and 11,077,585 at the end of the interim period. During the nine-month interim period, 75,000 shares were bought back.

At September 30, 2022, the NAXS share price was SEK 58.10 and the total shareholders' equity per share was SEK 83.38. The Company's market capitalization was MSEK 644 and the number of shareholders was 4,870.

Evolution of the share price during the interim period 2022

Financial information Contact

Year-End Report 2022: January 31, 2023 Gösta Lundgren, Interim CEO Annual report 2022: Week 8, 2023 +46 70 710 47 88 Annual General Meeting: March 30, 2023 gosta.lundgren@naxs.se Interim Report (3 months): April 24, 2023 Interim Report (6 months): July 20, 2023 Interim Report (9 months): October 26, 2023 Year-End Report 2023: January 31, 2024

Ticker codes

NAXS.SS in Bloomberg NAXS.ST in Reuters

This information is information that NAXS AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 18.30 CET on October 25, 2022

Stockholm, October 25, 2022

Daniel Gold Margaret (Meg) Eisner Nikolai Jebsen Chairman Director Director

Børge Johansen Synne Syrrist Gösta Lundgren

Director Director Interim Chief Executive Officer

This report and other information are available on www.naxs.se

NAXS AB (publ) Corp. Reg. No. 556712-2972 Alma, Nybrogatan 8 114 34 Stockholm, Sweden Tel: +46 (0)766 40 00 40 E-mail: info@naxs.se

Financial reports summary

Consolidated Income Statement

Amounts in SEK 000s

	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9
Change in value	119 440	123 051	42 762	31 737
Operating costs Note 2	-11 372	-10 997	-3 131	-2 840
Operating profit (loss)	108 068	112 054	39 630	28 897
Net financial items	-14 683	-4 357	-4 914	-2 250
Profit/loss after financial items	93 385	107 698	34 716	26 647
Income taxes	-	-	-	-
Net profit/loss	93 385	107 698	34 716	26 647
Attributable to:
Parent company shareholders	93 385	107 698	34 716	26 647
Earnings per share, SEK*	8,40	9,66	3,13	2,39
Average number of shares, 000s Basic and diluted	11 115	11 153	11 078	11 153

Consolidated Statement of Comprehensive Income

Amounts in SEK 000s

	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9
Net profit/loss	93 385	107 697	34 716	26 647
Other comprehensive income Items which will be reversed to the income statement
Exchange differences	51 113	10 663	16 999	-2 250
Total comprehensive income	144 498	118 360	51 716	24 397
Attributable to:
Parent company shareholders	144 498	10 663	51 716	24 397
Total comprehensive income	144 498	118 360	51 716	24 397

Consolidated Balance Sheet

Amounts in SEK 000s

		2022	2021
		30/9	31/12
Assets	Note 3
Private equity fund investments		632 214	513 925
Other long-term holdings of securities		48 231	44 693
Total non-current assets		680 445	558 618
Other receivables		236	272
Cash and cash equivalents		243 806	265 523
Total current assets		244 042	265 795
Total assets		924 487	824 413
Equity		923 671	822 855
Current liabilities	Note 3	816	1 558
Total equity and liabilities		924 487	824 413

Consolidated Net cash

Amounts in SEK 000s

Total net cash	243 806	265 523
Cash, bank and short-term investments	243 806	265 523
	30/9	31/12
	2022	2021

Consolidated Statement of Changes in Equity

Amounts in SEK 000s

	2022	2021	2021
	1/1-30/9	1/1-31/12	1/1-30/9
Equity at the beginning or the year	822 855	678 900	678 899
Repurchase of own shares	-4 648	-	-
Dividend	-39 034	-33 458	-33 458
Total comprehensive income for the period	144 498	177 413	118 361
Shareholder's equity at the end of the
period	923 671	822 855	763 802

Consolidated Statement of cash flows analysis

Amounts in SEK 000s

	2022	2021
	1/1-30/9	1/1-30/9
Profit/loss after financial items	93 385	107 697
Adjustment for non-cash items, etc.	-93 438	-96 193
Income tax paid	-	-
Cash flow from operating activities before changes in
working capital	-53	11 504
Cash flow changes in working capital	-716	395
Cash flow from operating activities	-769	11 899
Acquisitions of private equity fund investments	-42 328	-14 535
Disposals of private equity fund investments	64 295	93 003
Acquisitions of other long-term holdings of securities	-	-11 860
Disposals of other long-term holdings of securities	1 262	1 446
Cash flow from investing activities	23 229	68 054
Repurchase of own shares	-4 648	-
Dividend	-39 034	-33 458
Cash flow from financing activities	-43 682	-33 458
Cash flow during the period	-21 222	46 495
Cash and cash equivalents, beginning of the year *	265 523	219 127
Exchange-rate differences in cash and cash equivalents	-495	-903
Cash and cash equivalents at the end of the period	243 806	264 719
* Including short-term investments

Parent Company Income Statement

Amounts in SEK 000s

	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9
Net income	674	731	211	504
Operating costs	-3 604	-4 459	-867	-768
Operating profit/loss	-2 930	-3 728	-657	-265
Net financial items	-143	534	-130	226
Profit /loss after financial items	-3 073	-3 194	-787	-39
Income taxes	-	-	-	-
Net profit/loss for the period	-3 073	-3 194	-787	-39

Parent Company Statement of Comprehensive Income

Total comprehensive income for the period	-3 073	-3 194	-787	-39
Net profit/loss for the period	-3 073	-3 194	-787	-39
Other comprehensive income	-	-	-	-
Amounts in SEK 000s	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9

Parent Company Balance Sheet

Amounts in SEK 000s

	2022	2021
	30/9	31/12
Assets
Shares in subsidiaries	481 802	481 802
Receivables on group companies	16 450	-
Total non-current assets	498 252	481 802
Other receivables	235	259
Cash and cash equivalents	948	58 055
Total current assets	1 183	58 314
Total assets	499 435	540 116
Equity	491 596	538 351
Current liabilities	7 839	1 765
Total equity and liabilities	499 435	540 116

Parent Company Statement of Changes in equity

Amounts in SEK 000s

	2022	2021	2021
	1/1-30/9	1/1-31/12	1/1-30/9
Equity at the beginning of the year	538 351	575 674	575 674
Repurchase of own shares	-4 648	-	-
Dividend	-39 034	-33 458	-33 458
Total comprehensive income for the period	-3 073	-3 865	-3 194
Shareholder's equity at the end of the period	491 596	538 351	539 022

Note 1

Accounting principles

The condensed consolidated financial statements have been established in accordance with the International Financial Reporting Standards (IFRS), as recognized by the EU. This report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Reporting legislation.

The accounting principles applied in this report are described in the Annual Report 2021. The new and amended IFRS standards and interpretations applied from 2022 have not and are not expected to have any significant effect on the Group's financial results and position.

The Parent Company follows the Swedish Annual Reporting legislation and the Swedish Financial Reporting Board RFR 2 for legal entities, which provides that the IFRS principles shall apply.

Note 2

Operating costs

Amounts in SEK 000s

	2022	2021	2022	2021
	1/1-30/9	1/1-30/9	1/7-30/9	1/7-30/9
Fee to the investment advisor	-6 136	-4 915	-2 105	-1 710
Carried interest to the investment advisor	-1 109	-1 064	-5	-232
Personnel expenses	-917	-1 144	-232	-383
Other operating costs	-3 210	-3 874	-789	-515
	-11 372	-10 997	-3 131	-2 840

No related party transaction occurred during the interim period, except for remunerations to the board members and the CEO.

Note 3

Financial assets and liabilities

The figures below are based on the same accounting and valuation principles that were used in the preparation of the most recent annual report. For more information on financial instruments in levels 2 and 3, see Note 23, Financial assets and liabilities, in NAXS Annual Report 2021.

Amounts in SEK 000s	Group 2022-09-30
		Fair value
	via the profit
	Amortized	and loss	Total carrying
Category	cost	account	amount
Financial assets
Private equity fund investments		632 214	632 214
Other long-term holdings of securities		48 231	48 231
Other receivables	236		236
Cash and cash equivalents	243 806		243 806
Total financial assets	244 042	680 445	924 487
Financial liabilities	816	-	816
Total financial liabilities	816	-	816

Consolidated assets and liabilities measured at fair value 2022-09-30

Assets	Level 1	Level 2	Level 3	Total
Financial assets measured at fair value via the income statement
Private equity fund investments	-	-	632 214	632 214
Other long-term holdings of securities	48 231	-	-	48 231
	48 231	-	632 214	680 445

Disclosure of fair value measurement by level in the following fair value hierarchy: Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2 – Observable data for the asset or liabilities other than quoted prices included in tier 1, either directly (i.e. as price quotations) or indirectly (i.e. derived from price quotations).

Level 3 – Data for the asset or liability that is not based on observable market data (i.e. unobservable data).

Level 3 investments only include NAXS' share of the fund's holdings/securities in unlisted companies (in some cases, the fund also owns listed companies). When observable prices are not available for these securities, the fund administrator uses one or more valuation techniques, (e.g. yield methods or income-based methods), or a combination of the techniques, where sufficient and reliable data are available. Within Level 3, the use of market approaches generally consists of used performance multiples by comparable companies, while the use of income-based approaches generally consists of the present value of estimated future cash flows, adjusted for liquidity, credit, market and/or other risk factors.

For NAXS, the book value of all financial assets and liabilities corresponds to fair value. All amounts are shown in the reported balance sheets.

Definitions and Alternative performance measures

NAXS applies the guidelines issued by the European Securities and Markets Authority (ESMA) for alternative key ratios. Alternative key figures are financial measures of historical or future earnings trend, financial position, financial results or cash flows that are not defined or specified in the applicable rules for financial reporting Alternative key ratios are stated when, in their context, they provide clearer or more indepth information than the measures defined in applicable financial reporting rules. The alternative key figures are derived from the consolidated financial statements. Alternative key ratios are stated when, in their context, they supplement the measures defined in IFRS. The starting point for the provided alternative key figures is that they are used by management to assess the financial development and are thus considered to provide valuable information to analysts and other stakeholders. NAXS regularly uses alternative key ratios as a complement to those key ratios that generally constitute good accounting practice.

Below are definitions and all the alternative key figures used.

Buyout fund

A private equity fund, whose strategy is to acquire a controlling interest in the targeted companies.

Cash & cash equivalents Cash, bank and short-term investments.

Cash per share*

Cash & cash equivalents in relation to the number of outstanding shares at the end of the period.

Commitment

The maximum amount that a limited partner agrees to invest in a fund.

Current commitments

Acquisition cost for private equity fund investments, plus remaining commitments to private equity funds.

Equity ratio*

Equity in relation to total assets.

IRR

The internal rate of return generated annually from cash flows between NAXS and the underlying private equity funds relating directly to investments in portfolio companies after deduction of the funds' carried interest but without deduction of the funds' management fees.

Net asset value (NAV)*

The fair value of total assets, less net debt (corresponds to equity).

Net asset value (NAV) per share*

The fair value of total assets, less net debt (corresponds to shareholders' equity attributable to the Parent Company's shareholders) in relation to the number of outstanding shares at the end of the period.

Net cash*

Cash and cash equivalents, short-term investments and interest-bearing current and longterm receivables, less interest-bearing current and long-term liabilities.

Other Investments / Other long-term holdings of securities Investments in financial instruments other than private equity funds.

Private equity fund investments

Fair value of investments in private equity funds.

Profit per share

Profit for the year attributable to the Parent Company's shareholders divided by the average number of shares.

Special situations fund

A private equity fund, whose strategy is to acquire companies, where an active ownership is required, such as under-performing companies, and/or imply complex transactions, such as carve-outs from larger conglomerates.

Total assets*

All assets and liabilities not included in net cash.

Total exposure to private equity fund investments Private equity funds investments and remaining commitments to private equity funds.

Total exposure to private equity fund investments and other investments Total exposure to private equity funds increased with other investments.

* Refers to alternative key figures according to the European Securities and Markets Authority (ESMA).

Reconciliations of significant alternative key ratios

Below are reconciliations of significant alternative key figures against the most directly reconcilable item, sub-sum or total sum stated in the financial statements for the corresponding period.

Net cash

Net cash or cash available at short notice, are defined as cash and cash equivalents, current investments, financial investments and interest-bearing current and short-term receivables. Deductions are made for interest bearing short- and long-term liabilities.

Group, MSEK	2022-09-30	2021-12-31
Cash and cash equivalents	243 806	265 523
Net cash	243 806	265 523

Total assets

The net of all assets and liabilities that are not included in the net cash.

Group, MSEK	2022-09-30	2021-12-31
Equity	923 671	822 855
Net cash	-243 806	-265 523
Total assets	679 865	557 332

Net asset value, SEK per share

Equity attributable to the Parent Company's shareholders in relation to the number of shares outstanding on the balance sheet date.

Group September 30, 2022 TSEK			Net asset value, SEK per share
Net asset value	923 671
Number of shares outstanding	11 077 585	=	83,38
Group December 31, 2021 TSEK			Net asset value, SEK per share
Net asset value Number of shares outstanding	822 855 11 152 585	=	73,78

THIS IS A TRANSLATION FROM THE SWEDISH ORIGINAL

Review report

NAXS AB (publ), corporate identity number 556712-2972

Introduction

We have reviewed the condensed interim report for NAXS AB (publ) as at September 30, 2022 and for the nine months period then ended. The Board of Directors and the Managing Director are responsible for the preparation and presentation of this interim report in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.

Scope of review

We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act regarding the Group, and in accordance with the Swedish Annual Accounts Act regarding the Parent Company.

Stockholm the day indicated by the electronic signature

Ernst & Young AB

Jesper Nilsson Authorized Public Accountant