Nolato B

Interim / Quarterly Report • Jul 18, 2025

INTERIM REPORT 2025

JANUARY-JUNE

Organic growth with strong margin increase

SECOND QUARTER OF 2025 IN BRIEF

• Sales totaled SEK 2,395 million (2,439)
• Operating profit (EBITA) increased to SEK 277 million (245)
• EBITA margin of 11.6% (10.0)
• Profit after tax was SEK 212 million (169)
• Earnings per share, basic and diluted, rose to SEK 0.79 (0.63)
• Cash flow from operating activities amounted to SEK 316 million (434)

FIRST SIX MONTHS OF 2025 IN BRIEF

• Sales totaled SEK 4,848 million (4,881)
• Operating profit (EBITA) increased to SEK 548 million (483)
• EBITA margin of 11.3% (9.9)
• Profit after tax was SEK 411 million (331)
• Earnings per share, basic and diluted, totaled SEK 1.53 (1.23)
• Cash flow from operating activities amounted to SEK 451 million (570)
• Sustained strong financial position

Comments from the CEO

It is gratifying to note that organic growth reached 4% in the second quarter, after having been negative in the first quarter of the year. At the same time, the EBITA margin strengthened by as much as 1.6 percentage points to 11.6% in relation to the comparative quarter. It is highly satisfying to note that strategic price adjustments, implemented cost adjustments and focused efforts throughout the entire supply chain are having the desired effect on a broad front, in terms of both sales and profit. The foundation for continued profitable growth has been laid and we are now making several investments for future expansion.

In the Medical Solutions business area, sales increased by 5% adjusted for currency in the second quarter, now representing 56% of the Group's revenues. At the same time, the EBITA margin increased by as much as 1.7 percentage points to 12.6%. We will continue along our profitable growth journey with innovation and sustainability in focus, and are now investing in future growth through expansion in both Hungary and Poland, and by establishing operations in Malaysia. The latter strengthens our ability to grow further in Asia, as well as our global production flexibility.

Christer Wahlquist, President and CEO, Nolato AB

In the Engineered Solutions business area, sales adjusted for currency increased by 1%, even though the Automotive market area continued to exhibit lower volumes. The Hygiene market area has performed positively, while our previous consumer electronics initiatives in Asia are yielding results. Materials increased organic sales by 6%. EBITA margin for Engineered Solutions rose by 1.2 percentage points to 11.2%. Implemented cost adjustments and advanced market positions contributed to the strong margin growth. Furthermore, we have recently decided to expand the business area's production in Malaysia which will jointly house Medical Solutions' venture. Production is scheduled to commence in the second half of 2026.

Although the geopolitical landscape and ongoing trade war create general uncertainty, Nolato stands well equipped. We have a strong financial position and a geographical presence that gives us both global capabilities and redundancy to direct business and production to the regions that best meet customers' needs. We are thus also positive on the remainder of the current year.

Group highlights

		Q2 2025	Q2 2024	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
SEK million unless otherwise specified	Note
Net sales	1	2,395	2,439	4,848	4,881	9,631	9,664
Operating profit (EBITDA)		403	383	804	757	1,563	1,516
Operating profit (EBITA)		277	245	548	483	1,023	958
EBITA margin, %		11.6	10.0	11.3	9.9	10.6	9.9
Operating profit (EBIT)	2	267	234	527	461	979	913
Profit after financial income and expense	2	264	215	516	424	940	848
Profit after tax		212	169	411	331	738	658
Earnings per share, basic and diluted, SEK	3	0.79	0.63	1.53	1.23	2.74	2.44
Cash flow from operating activities		316	434	451	570	1,258	1,377
Net investm. affecting cash fl., excl. acq. and disposals		188	98	459	328	767	636
Cash conversion, %						51	86
Financial net debt in relation to adjusted EBITDA, times						0.7	0.4
Return on capital employed, %				13.4	9.9	13.4	12.3
Return on shareholders' equity, %				13.6	8.9	13.6	12.2
Equity/assets ratio, %				57	54	57	59
Net financial liabilities, excl. pension & lease liabilities				1,038	1,107	1,038	671

See definitions of IFRS measures and alternative performance measures on page 20.

This document is a translation from Swedish. In the event of any difference between this version and the Swedish original, the latter shall prevail.

Second quarter 2025

• Consolidated sales amounted to SEK 2,395 million (2,439); organic growth of 4% adjusted for currency
• Medical Solutions was the main contributor to the growth, at 5%, adjusted for currency
• Operating profit (EBITA) increased to SEK 277 million (245)
• The EBITA margin rose to 11.6% (10.0) as a result of a strengthening of both business areas
• Cash flow from operating activities amounted to SEK 316 million (434)

Sales

Consolidated sales amounted to SEK 2,395 million (2,439) – organic growth of 4% adjusted for currency. The appreciation of the Swedish krona in 2025 creates currency headwinds for the Group's and business areas' sales and profit.

Medical Solutions sales amounted to SEK 1,354 million (1,365); adjusted for currency, sales increased by 5%. The Drug Delivery market area continued to grow through increased volumes for a number of products. The Other market area also exhibited healthy growth, partly thanks to added volumes of new eye care products. In vitro diagnostics (IVD) exhibited lower volumes in the quarter compared with last year. Surgery had stable volumes after a protracted period of inventory adjustments, albeit at a lower level than the same period last year. The business area has decided to establish operations in Malaysia with cleanroom production nearby the existing facility. Production is scheduled to commence in the second half of 2026.

Engineered Solutions sales totaled SEK 1,044 million (1,077) – an increase of 1% adjusted for currency. Volumes in Hygiene continued to exhibit growth also in this quarter. Consumer electronics also performed well in the quarter and the investments made in Asia in particular are performing positively. As expected, volumes in the Automotive market area decreased. The business area has decided to expand its production in Malaysia at a new leased facility to enable further growth in Asia. The factory will jointly house Medical Solutions' venture. Production is scheduled to commence in the second half of 2026.

Volumes in Materials increased year on year, with a 6% rise in sales, adjusted for currency. Growth was lower than in the very strong first quarter, primarily due to the automotive segment, while Telecom performed well.

Sustained strong margin improvement of a full 1.6 percentage points

Operating profit (EBITA) SEKm

280 290

Profit

Operating profit (EBITA) increased to SEK 170 million (149) for Medical Solutions and to SEK 117 million (108) for Engineered Solutions. Overall, the Group's operating profit (EBITA) increased by 13% to SEK 277 million (245).

The EBITA margin for Medical Solutions increased to 12.6% (10.9). For Engineered Solutions, the margin rose to 11.2% (10.0). Previously implemented cost savings and strategic price adjustments, combined with growth in the quarter, are the main contributors to the positive margin performance. Overall, the Group's EBITA margin increased by a full 1.6 percentage points to 11.6% (10.0).

Operating profit (EBIT) grew to SEK 267 million (234).

Profit after net financial income/expense was SEK 264 million (215).

Profit after tax was SEK 212 million (169). Earnings per share, basic and diluted, rose to SEK 0.79 (0.63). The effective tax rate was 19.7% (21.4) in the quarter.

Cash flow from operating activities amounted to SEK 316 million (434) in the second quarter. The improvement in profit boosted cash flow before changes in working capital. Working capital requirements did not decrease like last year, and the change for the period was somewhat negative, amounting to SEK -8 million (+110). Net investments affecting cash flow rose to SEK 188 million (98). In particular, Medical Solutions' expansion in Hungary resulted in high investments. Cash flow after investments thus decreased in the quarter to SEK 128 million (336).

EBITA margin Business areas' share of operating profit (EBITA) Earnings per share SEK Medical Solutions 59% (58) Engineered Solutions 41% (42) 210 220 230 240 250 260 270 2024 2024 2024 2025 2025 Q2 Q3 Q4 Q1 Q2 8.5% 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% 2024 2024 2024 2025 2025 Q2 Q3 Q4 Q1 Q2 0.40 0.50 0.60 0.70 0.80 0.90

2024 2024 2024 2025 2025 Q2 Q3 Q4 Q1 Q2

SEK million	Sales Q2/2025	Sales Q2/2024	EBITA Q2/2025	EBITA Q2/2024	EBITA marg. Q2/2025	EBITA marg. Q2/2024
Medical Solutions	1,354	1,365	170	149	12.6%	10.9%
Engineered Solutions	1,044	1,077	117	108	11.2%	10.0%
Intra-Gr. adjustm., Parent Co.	-3	-3	-10	-12
Group total	2,395	2,439	277	245	11.6%	10.0%

0.00 0.10 0.20 0.30

Operating profit (EBITA): Earnings before financial income and expense, taxes and amortization of intangible assets arising from acquisitions.

First six months 2025

Sales and earnings

Consolidated sales totaled SEK 4,848 million (4,881) in the first six months of 2025 – an increase of 1% adjusted for currency.

Medical Solutions sales increased to SEK 2,751 million (2,720); adjusted for currency, this was an increase of 4%. Engineered Solutions sales decreased by 1% to SEK 2,102 million (2,164), adjusted for currency.

The Group's operating profit (EBITA) rose to SEK 548 million (483). Overall, the Group's EBITA margin was 11.3% (9.9).

Operating profit (EBIT) was SEK 527 million (461).

Profit after net financial income/expense was SEK 516 million (424).

Profit after tax was SEK 411 million (331). Earnings per share, basic and diluted, were SEK 1.53 (1.23). The effective tax rate has decreased, amounting to 20.3% (21.9).

Return on capital employed was 13.4% for the last 12 months (12.3% for the 2024 calendar year). Return on equity was 13.6% for the last 12 months (12.2% for the 2024 calendar year).

Medical Solutions - Sales and profit

SEK million	Q1 - Q2 2025	Q1 - Q2 2024
Sales	2,751	2,720
Operating profit (EBITA)	341	289
EBITA margin (%)	12.4%	10.6%
Operating profit (EBIT)	326	273

Medical Solutions sales amounted to SEK 2,751 million (2,720); adjusted for currency, sales increased by 4%. The Drug Delivery market area continued to grow through increased volumes for a number of products – insulin pumps, for example. The Other market area also exhibited healthy growth, partly thanks to added volumes of new eye care products. In vitro diagnostics (IVD) exhibited lower volumes compared with last year. Surgery had stable volumes after a lengthy period of inventory adjustments, albeit at a lower level than the same period last year. The business area has decided to establish operations in Malaysia with cleanroom production nearby the Nolato existing facility. Production is scheduled to commence in the second half of 2026.

Operating profit (EBITA) for Medical Solutions rose to SEK 341 million (289).

The EBITA margin for Medical Solutions increased to 12.4% (10.6). Strategic price adjustments and cost savings combined with the increase in volumes were reasons for the positive margin performance.

Sales for the last twelve months increased to SEK 5,465 million, compared with SEK 5,434 million for the 2024 calendar year. EBITA margin for the last 12 months increased to 11.7% compared with 10.8% for the 2024 calendar year.

Medical Solutions - EBITA SEKm & EBITA margin %

13% (12)

16% (17)

Engineered Solutions - Sales and profit

	Q1 - Q2	Q1 - Q2
SEK million	2025	2024
Sales	2,102	2,164
Operating profit (EBITA)	224	211
EBITA margin (%)	10.7%	9.8%
Operating profit (EBIT)	218	205

Engineered Solutions sales totaled SEK 2,102 million (2,164) – a 1% decrease, adjusted for currency. Volumes within Hygiene have displayed healthy growth. Consumer electronics also had good growth and the investments made in Asia in particular are performing well. As expected, volumes in the Automotive market area contracted. The business area has decided to expand its production in Malaysia at a new leased facility to enable further growth in Asia. The factory will jointly house Medical Solutions' venture. Production is scheduled to commence in the second half of 2026.

Volumes in Materials increased year on year, with a 9% rise in sales, adjusted for currency. Very strong growth was recorded in the first quarter in particular, both in new products and technological areas within automotive, as well as in new product areas, resulting in increased market share and strong growth. Products for network equipment in Telecom also exhibited good growth. Growth was lower in the second quarter, mainly due to the automotive segment, while Telecom performed well in this quarter also.

Operating profit (EBITA) for Engineered Solutions increased to SEK 224 million (211).

The EBITA margin for Engineered Solutions rose to 10.7% (9.8). A favorable product mix and cost adjustments have had a positive impact on the margin.

Sales for the last twelve months amounted to SEK 4,181 million, compared with SEK 4,243 million for the 2024 calendar year. EBITA margin for the last 12 months increased to 10.1% compared with 9.6% for the 2024 calendar year.

Cash flow

Cash flow from operating activities amounted to SEK 316 million (434) in the second quarter. The improvement in profit boosted cash flow before changes in working capital. Working capital requirements were, however, somewhat higher than last year, amounting to SEK -8 million (+110), which had a negative impact.

Net investments affecting cash flow rose to SEK 188 million (98). Investments for Medical Solutions' expansion in Hungary, for the production of medical devices for administering medication to treat overweight and diabetes, are continuing and have, as planned, led to high investments in the quarter. Cash flow after investments, excluding acquisitions and disposals, amounted to SEK 128 million (336) in the second quarter. In the quarter, dividends totaling SEK 404 million (404) were paid out.

On an accumulated basis after the first half of the year, cash flow from operating activities was SEK 451 million (570). The profit improvement had a positive impact, while working capital requirements were higher than in the previous year. Cash flow after investments fell during the period to SEK -8 million (244, excluding acquisitions). Net investments affecting cash flow rose to SEK 459 million (328). In particular, Medical Solutions' expansion in Hungary resulted in high investments during the period. In the first quarter, an operating property in Poland was also acquired for SEK 69 million to enable future expansion in Europe. During the first quarter of the previous year, an operating property in Sweden was acquired within Medical Solutions for SEK 141 million.

Financial position

Interest-bearing assets decreased to SEK 476 million (770), and interest-bearing financial liabilities to credit institutions amounted to SEK 1,514 million (1,877). Net financial liabilities consequently totaled SEK 1,038 million (1,107). There are also interest-bearing pension liabilities of SEK 199 million (220) and interest-bearing lease liabilities of SEK 197 million (218). Shareholders' equity was SEK 5,297 million (5,280). The equity/assets ratio increased to 57% (54).

Financial position

	Jun	Jun	Dec
SEK million	2025	2024	2024
Interest-bearing liabilities, credit institutions	1,514	1,877	1,343
Cash and bank	476	770	672
Net financial liabilities	1,038	1,107	671
Interest-bearing pension liabilities	199	220	241
Net financial liabilities, incl. pension liabilities	1,237	1,327	912
Lease liabilities	197	218	188
Net financial liabilities, including pension & lease liabilities	1,434	1,545	1,100
Working capital	1,415	1,433	1,292
As a percentage of sales (average) (%)	14.8	14.8	13.8
Capital employed	7,207	7,595	7,510
Return on capital employed (average) (%)	13.4	9.9	12.3
Shareholders' equity	5,297	5,280	5,738
Return on shareholders' equity (average) (%)	13.6	8.9	12.2

2024 2024 2024 2025 2025 Q2 Q3 Q4 Q1 Q2

Personnel

The average number of employees during the period was 5,522 (5,956).

Events after the balance sheet date

No significant events have occurred since the end of the period, but geopolitical tensions are, of course, also affecting Nolato's business and its customers. It is not currently possible to foresee the extent of this or how long it is likely to continue, nor is it possible to quantify its effects on the Group.

Significant risks and uncertainty factors

The Group's and Parent Company's business risks and risk management, as well as the management of financial risks, are described on pages 67–69 and in Note 30 on pages 97–99 of the 2024 annual report.

No events of material significance occurred in the period that materially affect or change these descriptions of the Group's and Parent Company's risks and their management.

Seasonal effects

Nolato does not experience any significant seasonal variations. However, the third quarter can be adversely affected by the fact that the vacation period falls in this quarter both for Nolato and its customers.

Ownership and legal structure

Nolato AB (publ), Swedish corporate identity number 556080-4592, is the Parent Company of the Nolato Group.

Nolato's Class B shares are listed on Nasdaq Stockholm in the Large Cap segment, where they are included in the Industrials sector.

There were 14,475 shareholders at June 30. The largest owners are Nordea Fonder with 10%, the Jorlén family, the Boström family, the Hamrin family and the First Swedish National Pension Fund (AP1) with 9% each, as well as Handelsbanken Fonder with 6% of the capital.

The Parent Company

For the parent company, which has no operating activities, sales amounted to SEK 48 million (47). Profit after financial income and expense amounted to SEK 240 million (7), and increased thanks to higher earnings from investments in Group companies.

Contingent liabilities totaled SEK 132 million (283).

Accounting and valuation principles

The interim report for the Group has been prepared in accordance with IAS 34 Interim Financial Reporting and applicable provisions of the Swedish Annual Accounts Act. Publication of this interim report is subject to the Swedish Securities Market Act.

The consolidated accounts have been prepared according to the same principles as in the most recent annual accounts, as set out in the Annual Report 2024.

IASB and the IFRS Interpretations Committee have issued new standards and statements that apply to financial years starting January 1, 2025, or later. There are no plans for early adoption of new or amended standards for future application. None of the standards or interpretations published by IASB are expected to have a material impact on the Group or Parent Company's financial statements.

The interim report for the Parent Company has been prepared in accordance with Chapter 9 of the Swedish Annual Accounts Act.

Financial information schedule

• Nine-month interim report 2025: October 28, 2025
• Year-end report 2025: February 5, 2026
• Three-month interim report 2026: May 6, 2026
• 2026 Annual General Meeting: May 6, 2026
• Six-month interim report 2026: July 17, 2026
• Nine-month interim report 2026: October 29, 2026
• Year-end report 2026: February 8, 2027

Contact

Christer Wahlquist, President and CEO, telephone +46705 804848.

Per-Ola Holmström, Executive Vice President and CFO, telephone +46705 763340.

Prior to publication this information constituted inside information that Nolato AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was issued for publication by the above contact persons on July 18, 2025 at 8:00 a.m. CET.

Webcast conference call on July 18

In connection with the interim report, Nolato will hold a webcast conference call in English at 8:45 a.m. CET.

Nolato will be represented by President and CEO Christer Wahlquist and CFO Per-Ola Holmström, who will present the interim report and answer questions.

Information regarding telephone numbers and website is available at: https://www.finwire.tv/webcast/nolato/q2- 2025/

The presentation will be available at: www.nolato.com/ir after publication of the interim report.

The webcast will be available at the same address after the live broadcast.

The Board of Directors and the President give their assurance that this interim report provides a true and fair view of the operations, financial position and earnings of the company and the Group, and describe the significant risks and uncertainty factors faced by the company and the companies included in the Group.

The content of the interim report was decided on July 17, 2025

Torekov July 18, 2025

Klas Forsström Chairman of the Board

Carina van den Berg Board member

Tomas Blomquist Board member

Sven Boström Board member

Lovisa Hamrin Board member

Åsa Hedin Board member Erik Lynge-Jorlén Board member

Steven Gorial Board member Employee representative

Björn Jacobsson Board member Employee representative Christer Wahlquist President and CEO

Review report

Nolato AB, corporate identity number 556080-4592.

Introduction

We have reviewed the condensed interim report for Nolato AB as at June 30, 2025 and for the six 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.

Torekov July 18, 2025

Ernst & Young AB Karoline Tedevall Authorized public accountant

Consolidated income statement - condensed

		Q2 2025	Q2 2024	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
SEK million unless otherwise specified	Note
Net sales	1	2,395	2,439	4,848	4,881	9,631	9,664
Cost of goods sold		-1,948	-2,027	-3,951	-4,066	-7,936	-8,051
Gross profit		447	412	897	815	1,695	1,613
Selling expenses		-59	-62	-122	-120	-244	-242
Administrative expenses		-129	-117	-256	-235	-508	-487
Other operating- income and expenses, net		8	1	8	1	36	29
		-180	-178	-370	-354	-716	-700
Operating profit	2	267	234	527	461	979	913
Financial income and expense	2	-3	-19	-11	-37	-39	-65
Profit after financial income and expense	2	264	215	516	424	940	848
Tax		-52	-46	-105	-93	-202	-190
Profit after tax		212	169	411	331	738	658
All earnings are attrib. to the Parent Co.'s shareh.
Depreciation/amortization reg. non-current assets		-136	-149	-277	-296	-584	-603
Earnings per share, basic and diluted, SEK	3	0.79	0.63	1.53	1.23	2.74	2.44
Number of shares at the end of the period, bef. dil.		269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080
Number of shares at the end of the period, after dil.		269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080
Average number of shares, before dilution		269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080
Average number of shares, after dilution		269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080

At the end of the period, the Group had two incentive programmes, see note 4.

Consolidated comprehensive income

SEK million	Q2 2025	Q2 2024	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
Profit after tax	212	169	411	331	738	658
Other comprehensive income
Items that cannot be transferred to profit for the period
Revaluations of defined benefit pension plans	45	6	45	6	24	-15
Tax attrib. to items that cannot be transferred to profit	-8	-1	-8	-1	-4	3
	37	5	37	5	20	-12
Items that have been converted or can be converted into profit for the period
Translation differences on translation of foreign operations	-108	-31	-490	182	-346	326
Changes in the fair value of cash flow hedges	-2	1	6	-6	2	-10
Tax attrib. to changes in the fair value of cash flow hedges	1	—	-1	1	—	2
	-109	-30	-485	177	-344	318
Other comprehensive income, net of tax	-72	-25	-448	182	-324	306
Total comp. inc. for the period attrib. to the Parent Co.'s shareh.	140	144	-37	513	414	964

Financial instruments are measured at fair value in the statement of financial position, pursuant to measurement hierarchy Level 2.

Consolidated balance sheet - condensed

	Jun	Jun	Dec
SEK million	2025	2024	2024
Assets
Non-current assets
Non-current intangible assets	2,257	2,473	2,526
Property, plant and equipment	3,153	2,999	3,129
Rights of use	190	208	181
Non-current financial assets	2	2	2
Other non-current receivables	2	1	1
Deferred tax assets	12	14	13
Total non-current assets	5,616	5,697	5,852
Current assets
Inventories	1,062	1,208	1,183
Accounts receivable	1,726	1,714	1,558
2) Other current assets	444	420	423
Cash and bank	476	770	672
Total current assets	3,708	4,112	3,836
Total assets	9,324	9,809	9,688
Shareholders' equity and liabilities
Shareholders' equity	5,297	5,280	5,738
Liabilities and provisions
1) Long-term liabilities and provisions	1,930	2,034	1,793
Deferred tax liabilities	233	233	241
1) 3) Current liabilities and provisions	1,864	2,262	1,916
Total liabilities and provisions	4,027	4,529	3,950
Total shareholders' equity and liabilities	9,324	9,809	9,688
1) Interest-bearing/non-interest-bearing liabilities and provisions:
Interest-bearing liabilities and provisions	1,910	2,315	1,772
Non-interest-bearing liabilities and provisions	2,117	2,214	2,178
Total liabilities and provisions	4,027	4,529	3,950
Financial instruments are measured at fair value in the statement of financial position, pursuant to measurement hierarchy Level 2.
2) Derivative assets are included in other current assets at	13	9	3
3) Derivative liabilities are included in current liabilities and provisions at	25	11	4

Changes in consolidated shareholders' equity - condensed

	Jun	Jun	Dec
SEK million	2025	2024	2024
Shareholders' equity at the beginning of the period	5,738	5,171	5,171
Total comprehensive income for the period	-37	513	964
Dividends	-404	-404	-404
Share warrants included in incentive programmes	—	—	7
Shareholders' equity at the end of period attrib. to Parent Co's shareholders	5,297	5,280	5,738

At the end of the period, the Group had two incentive programmes, see note 4.

Consolidated cash flow statement - condensed

SEK million	Q2 2025	Q2 2024	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
Cash flow from oper. activities bef. changes in working cap.	324	324	641	615	1,305	1,279
Changes in working capital	-8	110	-190	-45	-47	98
Cash flow from operating activities	316	434	451	570	1,258	1,377
Cash flow from investment activities	-188	-98	-459	-328	-767	-636
Cash flow before financing activities	128	336	-8	242	491	741
Cash flow from financing activities	-206	-226	-127	-181	-744	-798
Cash flow for the period	-78	110	-135	61	-253	-57
Cash and cash equivalents at the beginning of the period	568	664	672	688		688
Exchange rate difference in liquid assets	-14	-4	-61	21		41
Cash and cash equivalents at the end of the period	476	770	476	770		672

Note 1 - Revenue

	January - June - 2025			January - June - 2024				Full year - 2024
SEK million	Group	Elim.	Med. Sol.	Eng. Sol.	Group	Elim.	Med. Sol.	Eng. Sol.	Group	Elim.	Med. Sol.	Eng. Sol.
Total	4,848	-5	2,751	2,102	4,881	-3	2,720	2,164	9,664	-13	5,434	4,243
Europe	2,892	-4	1,478	1,418	2,902	—	1,469	1,433	5,656	-6	2,905	2,757
Sweden	581	-3	77	507	621	—	100	521	1,122	-3	170	955
Hungary	643	—	357	286	660	—	390	270	1,343	—	799	544
Other Europe	1,668	-1	1,044	625	1,621	—	979	642	3,191	-3	1,936	1,258
North America	1,421	—	1,135	286	1,399	-1	1,098	302	2,790	—	2,193	597
USA	1,307	—	1,061	246	1,266	—	1,021	245	2,533	—	2,048	485
Other North America	114	—	74	40	133	-1	77	57	257	—	145	112
Asia	447	-1	66	382	497	-2	81	418	1,032	-7	176	863
Rest of World	88	—	72	16	83	—	72	11	186	—	160	26

The above table essentially covers products transferred at a specific date.

For the first six months of the year, the Group recognised increased provision of impaired trade receivables of SEK 1 million. Impairment losses are recognised in the cost of goods sold.

Note 2 - Reconciliation of consolidated income before tax

SEK million	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
Operating profit (EBIT) Medical Solutions	326	273	606	553
Engineered Solutions Group adjustments, Parent Company	218 -17	205 -17	410 -37	397 -37
Consolidated operating profit (EBIT) Financial income and expense (not distrib. by business areas)	527 -11	461 -37	979 -39	913 -65
Consolidated profit before tax	516	424	940	848

Note 3 - Earnings per share (IFRS measures/alternative performance measures)

SEK million	Q2 2025	Q2 2024	Q1 - Q2 2025	Q1 - Q2 2024	R12M	Full year 2024
Profit after tax Average number of shares, before dilution	212 269,377,080	169 269,377,080	411 269,377,080	331 269,377,080	738 269,377,080	658 269,377,080
Basic earnings per share (SEK)	0.79	0.63	1.53	1.23	2.74	2.44
Non-recurring items	—	—	—	—	—	—
Profit after tax excl. non-recurring items	212	169	411	331	738	658
Basic earnings per share excl. non-rec. items (SEK)	0.79	0.63	1.53	1.23	2.74	2.44
Average number of shares, after dilution	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080
Diluted earnings per share (SEK)	0.79	0.63	1.53	1.23	2.74	2.44
Diluted earnings per share excl. non-rec. items (SEK)	0.79	0.63	1.53	1.23	2.74	2.44
Number of shares at the end of the period, before dilution	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080
Number of shares at the end of the period, after dilution	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080	269,377,080

Note 4 - Incentive programmes

	Jun	Jun	Dec
	2025	2024	2024
Incentive Programme 2019/2024
Series 2021/2024
Redemption 01/05/2024 - 15/12/2024 with subscription price SEK		140.20
Maximum new class B shares		257,000
Incentive Programme 2022/2028
Series 2022/2026
Redemption 15/12/2025 - 15/06/2026 with subscription price SEK	57.80	57.80	57.80
Maximum new class B shares	1,685,000	1,685,000	1,685,000
Series 2023/2027
Redemption 15/12/2026 - 15/06/2027 with subscription price SEK	59.20	59.20	59.20
Maximum new class B shares	1,750,000	1,750,000	1,750,000
Series 2024/2028
Redemption 15/12/2027 - 15/06/2028	68.00		68.00
Maximum new class B shares	1,525,000	2,660,000	1,525,000
Maximum new class B shares in the programmes	4,960,000	6,352,000	4,960,000

Five-year overview

	2024	2023	2022	2021	2020
IFRS measures
Operating profit (EBIT) (SEK million)	913	657	867	1,333	1,048
Basic earnings per share (SEK)	2.44	1.61	2.59	4.32	3.03
Diluted earnings per share (SEK)	2.44	1.61	2.59	4.32	3.02
Alternative performance measures
Net sales (SEK million)	9,664	9,546	10,774	11,610	9,359
Operating profit (EBITA) (SEK million)	958	701	908	1,369	1,066
EBITA margin (%)	9.9	7.3	8.4	11.8	11.4
Profit after financial income and expense (SEK million)	848	616	875	1,401	1,014
Profit after tax (SEK million)	658	435	697	1,160	806
Cash flow after investments, excl. acq. and disposals (SEK million)	743	446	8	446	905
Return on capital employed (%)	12.3	9.0	12.8	22.8	20.7
Return on shareholders' equity (%)	12.2	8.1	13.6	28.0	23.9
Net financial liabilities, excl. pension- & lease liabilities (SEK million)	671	895	708	51	298
Equity/assets ratio (%)	59	56	54	47	43
Dividend per share (SEK)	1.50	1.50	1.90	1.90	1.60
Average number of employees	5,837	5,732	6,627	8,669	6,721

Including any non-recurring items.

Quarterly data (summary)

	Note	Year	Q1	Q2	Q3	Q4	Full year
IFRS measures
Operating profit (EBIT) (SEK million)	2	2025	260	267
	2	2024	227	234	224	228	913
		2023	183	186	123	165	657
Earnings per share, basic & diluted (SEK)	2	2025	0.74	0.79
	2	2024	0.60	0.63	0.61	0.61	2.44
		2023	0.50	0.58	0.26	0.28	1.61
Alternative performance measures
Net sales (SEK million)	1	2025	2,453	2,395
	1	2024	2,442	2,439	2,401	2,382	9,664
		2023	2,476	2,478	2,340	2,252	9,546
Operating profit (EBITDA) (SEK million)		2025	401	403
		2024	374	383	371	388	1,516
		2023	326	333	276	318	1,253
Operating profit (EBITA) (SEK million)		2025	271	277
		2024	238	245	235	240	958
		2023	193	198	133	177	701
EBITA margin (%)		2025	11.0	11.6
		2024	9.7	10.0	9.8	10.1	9.9
		2023	7.8	8.0	5.7	7.9	7.3
Profit after financial income and exp. (SEK million)		2025	252	264
		2024	209	215	209	215	848
		2023	173	192	102	149	616
Profit after tax (SEK million)		2025	199	212
		2024	162	169	164	163	658
		2023	136	155	69	75	435
Net financial liabilities, excluding pension-		2025	757	1,038
and lease liabilities (SEK million)		2024	1,026	1,107	913	671	671
		2023	763	1,163	1,003	895	895

Including a non-recurring item of SEK -60 million in operating profit in Q3-2023 and a non-recurring item of SEK -50 million in profit after tax in Q4-2023.

	Year	Q1	Q2	Q3	Q4	Full year
Alternative performance measures
Cash flow from operating activities (SEK million)	2025	135	316
	2024	136	434	327	480	1,377
	2023	75	240	280	186	781
Cash flow from operations per share	2025	0.50	1.17
before dilution (SEK)	2024	0.50	1.61	1.21	1.78	5.11
	2023	0.28	0.89	1.04	0.69	2.90
Net investments affecting cash flow, excluding	2025	-271	-188
acquisitions and disposals (SEK million)	2024	-230	-98	-136	-172	-636
	2023	-121	-106	-92	-106	-425
Cash flow after investments, excluding acquisitions	2025	-136	128
and disposals (SEK million)	2024	-92	336	191	308	743
	2023	-46	224	188	80	446
Cash flow after investments, excl. acquisitions and	2025	-0.50	0.48
disposals per share before dilution (SEK)	2024	-0.34	1.25	0.71	1.14	2.76
	2023	-0.17	0.83	0.70	0.30	1.66
Cash conversion (%)	2025	77	51
	2024	57	70	68	86	86
	2023	0	21	25	65	65
Return on total capital (%)	2025	9.9	10.4
	2024	7.4	7.7	8.9	9.5	9.5
	2023	8.4	7.9	7.0	6.9	6.9
Return on capital employed (%)	2025	12.7	13.4
	2024	9.5	9.9	11.5	12.3	12.3
	2023	11.5	10.7	9.4	9.0	9.0
Return on operating capital (%)	2025	13.9	14.5
	2024	10.2	10.9	12.5	13.5	13.5
	2023	12.5	11.0	9.5	9.7	9.7
Return on shareholders' equity (%)	2025	12.7	13.6
	2024	8.5	8.9	10.7	12.2	12.2
	2023	12.0	11.2	9.4	8.1	8.1
Shareholders' equity per share, before	2025	21	20
dilution (SEK)	2024	21	20	20	21	21
	2023	21	20	20	19	19
Closing share price Nolato B (Nasdaq Stockholm)	2025	56.95	57.90
	2024	47.84	57.50	55.90	54.20	54.20
	2023	52.55	50.70	44.82	52.90	52.90
Average number of employees	2025	5,405	5,522
	2024	5,552	5,956	5,766	5,837	5,837
	2023	5,815	5,919	5,727	5,732	5,732

Quarterly data (summary)

Quarterly data business areas
	Note	Year	Q1	Q2	Q3	Q4	Full year
Alternative performance measures Net sales (SEK million)
Medical Solutions	1	2025	1,397	1,354
	1	2024	1,355	1,365	1,355	1,359	5,434
		2023	1,324	1,364	1,320	1,300	5,308
Engineered Solutions	1	2025	1,058	1,044
	1	2024	1,087	1,077	1,046	1,033	4,243
		2023	1,153	1,114	1,020	958	4,245
Group adjustments, Parent Company	1	2025	-2	-3
	1	2024	—	-3	—	-10	-13
		2023	-1	—	—	-6	-7
Group total	1	2025	2,453	2,395
	1	2024	2,442	2,439	2,401	2,382	9,664
		2023	2,476	2,478	2,340	2,252	9,546
Operating profit (EBITA) (SEK million)
Medical Solutions		2025	171	170
		2024	140	149	145	152	586
		2023	132	138	126	129	525
Engineered Solutions		2025	107	117
		2024	103	108	103	95	409
		2023	68	72	74	52	266
Group adjustments, Parent Company		2025	-7	-10
		2024	-5	-12	-13	-7	-37
		2023	-7	-12	-67	-4	-90
Group total		2025	271	277
		2024	238	245	235	240	958
		2023	193	198	133	177	701
EBITA margin (%)
Medical Solutions		2025	12.2	12.6
		2024	10.3	10.9	10.7	11.2	10.8
		2023	10.0	10.1	9.5	9.9	9.9
Engineered Solutions		2025	10.1	11.2
		2024	9.5	10.0	9.8	9.2	9.6
		2023	5.9	6.5	7.3	5.4	6.3
Group total		2025	11.0	11.6
		2024	9.7	10.0	9.8	10.1	9.9
		2023	7.8	8.0	5.7	7.9	7.3
Depreciation/write-downs/amortization (SEK million)
Medical Solutions		2025	-91	-88
		2024	-90	-93	-91	-93	-367
		2023	-84	-87	-93	-92	-356
Engineered Solutions		2025	-50	-48
		2024	-57	-56	-56	-67	-236
		2023	-59	-60	-60	-61	-240
Group adjustments, Parent Company		2025	—	—
		2024	—	—	—	—	—
		2023	—	—	—	—	—
Group total		2025	-141	-136
		2024	-147	-149	-147	-160	-603
		2023	-143	-147	-153	-153	-596

Including a non-recurring item of SEK -60 million in operating profit in Q3 2023. The non-recurring item has been recognized at Group level and has therefore not affected the earnings of the business areas.

Definitions - IFRS measures

Earnings per share

Earnings for the period that are attributable to the parent company's owners divided by the average number of outstanding shares.

Definitions - Alternative performance measures

Nolato presents certain financial measures in this report that are not defined according to IFRS. Nolato considers that these measures provide valuable supplementary information for investors and company management, as they enable an assessment of trends and the company's performance. Since not all companies calculate financial measures in the same way, these are not always comparable to measures used by other companies. These financial measures should not therefore be regarded as substitutes for measures defined according to IFRS.

Average number of shares

The average basic number of shares comprises the parent company's weighted average number of outstanding shares during the period. After dilution, a weighted average of the shares that may be issued under the ongoing share warrant programme is added, if they are in-the-money, but only insofar as the average listed share price for the period exceeds the subscription price of the warrants.

Cash conversion

Cash flow after investments, excl. acquisitions and disposals, divided by operating profit (EBIT). Cash flow and operating profit have been adjusted by non-recurring items, if any.

Cash flow after investments, excl. acquisitions and disposals per share

Cash flow after investing activities excl. acquisitions and disposals, divided by the average number of shares.

Cash flow from operating activities per share Cash flow from operating activities, divided by the average number of shares.

Debt/equity ratio

Interest-bearing liabilities and provisions divided by shareholders' equity.

EBITA margin

Operating profit (EBITA) as a percentage of net sales.

Equity/assets ratio

Shareholders' equity as a percentage of total capital in the balance sheet.

Financial net debt in relation to adjusted operating profit (EBITDA)

Interest-bearing short- and long-term liabilities, excl. net provisions for pensions and leasing, with a deduction for cash and cash equivalents, divided by R12M EBITDA adjusted for any non-recurring items.

Net financial assets/liabilities

Interest-bearing liabilities from credit institutions less interest-bearing assets.

Operating profit (EBITA)

Earnings before financial income and expense, taxes and amortization of intangible assets arising from acquisitions.

Operating profit (EBITDA)

Earnings before financial income and expense, taxes and depreciation/amortization.

Profit margin

Profit after financial income and expense as a percentage of net sales.

Return on capital employed

Profit after financial income and expense, plus financial expenses as a percentage of average capital employed. Capital employed consists of total capital less non-interest-bearing liabilities and provisions.

Return on operating capital

Operating profit as a percentage of average operating capital. Operating capital consists of total capital less non-interest-bearing liabilities and provisions, less interest-bearing assets.

Return on shareholders' equity

Profit after tax as a percentage of average shareholders' equity.

Return on total capital

Profit after financial income and expense, plus financial expenses as a percentage of average total capital in the balance sheet.

Forward-looking information

Some of the items reported relate to future events and actual outcomes may differ materially. In addition to those factors explicitly commented on, other factors may also materially affect the actual outcome, such as economic conditions, exchange rates and interest rate levels, political risks, competition and pricing, product development, commercialisation and technical difficulties, supply problems and customer credit losses.

Operating profit (EBIT) Earnings before financial income and expense and taxes.

Alternative performance measures

		Q2	Q2	Q1 - Q2	Q1 - Q2		Full year
SEK million unless otherwise specified	Note	2025	2024	2025	2024	R12M	2024
Operating profit (EBITDA)		403	383	804	757	1,563	1,516
Operating profit (EBIT) Reversal of amortization of intangible assets arising	2	267	234	527	461	979	913
in connection with acquisitions		10	11	21	22	44	45
Operating profit (EBITA)		277	245	548	483	1,023	958
EBITA margin (%)		11.6	10.0	11.3	9.9	10.6	9.9
Profit after financial income and expense	2	264	215	516	424	940	848
Profit margin (%)		11.0	8.8	10.6	8.7	9.8	8.8
Profit after tax		212	169	411	331	738	658
Cash flow after investm., excl. acquisitions and disposals						491	743
Non-recurring items (affecting cash flow)						7	41
Adjusted cash flow after investments, excl. acq. and disp.						498	784
Operating profit (EBIT)	2					979	913
Cash conversion (%)						51	86

Alternative performance measures

	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2
SEK million unless otherwise specified	2025	2025	2024	2024	2024	2024	2023	2023	2023
Profit after financial income and exp., roll. 12 months	940	891	848	782	675
Financial expense, rolling 12 months	52	62	69	77	77
Adj. profit after financial inc. and exp., roll. 12 months	992	953	917	859	752
Total capital, at the end of period	9,324	9,413	9,688	9,476	9,809	9,746	9,300	9,924	10,211
Average total capital, last 5 quarters	9,542	9,626	9,604	9,651	9,798
Return on total capital (%)	10.4	9.9	9.5	8.9	7.7
Adj. profit after financial inc. and exp., roll. 12 months	992	953	917	859	752
Capital employed, at the end of period	7,207	7,301	7,510	7,366	7,595	7,691	7,275	7,581	7,826
Average capital employed, last 5 quarters	7,396	7,493	7,487	7,502	7,594
Return on capital employed (%)	13.4	12.7	12.3	11.5	9.9
Operating profit (EBIT), rolling 12 months	979	946	913	850	749
Capital employed, at the end of period	7,207	7,301	7,510	7,366	7,595	7,691	7,275	7,581	7,826
Cash and bank, at the end of period	476	568	672	718	770	664	688	720	815
Operating capital, at the end of period	6,731	6,733	6,838	6,648	6,825	7,027	6,587	6,861	7,011
Average operating capital, latest 5 quarters	6,755	6,814	6,785	6,790	6,862
Return on operating capital (%)	14.5	13.9	13.5	12.5	10.9
Profit after tax, rolling 12 months	738	695	658	570	475
Shareholders' equity, at the end of period	5,297	5,561	5,738	5,315	5,280	5,540	5,171	5,382	5,349
Average shareholders' equity, latest 5 quarters	5,438	5,487	5,409	5,338	5,344
Return on shareholders' equity (%)	13.6	12.7	12.2	10.7	8.9

Parent Company income statement - condensed

	Q2	Q2	Q1 - Q2	Q1 - Q2		Full year
SEK million	2025	2024	2025	2024	R12M	2024
Net sales	24	23	48	47	97	96
Selling expenses	-2	-2	-3	-3	-6	-6
Administrative expenses	-25	-22	-46	-44	-88	-86
Other operating income	9	3	14	6	18	10
Other operating expenses	-11	-12	-24	-23	-50	-49
Operating profit/loss	-5	-10	-11	-17	-29	-35
Profit/loss from participations in Group companies	39	16	241	16	233	8
Financial income	-11	14	27	34	45	52
Financial expenses	-8	-15	-17	-26	-53	-62
Profit/loss after financial income and expense	15	5	240	7	196	-37
Appropriations	—	—	—	—	346	346
Tax	3	2	6	2	-59	-63
Profit/loss after tax	18	7	246	9	483	246
Depreciation is included	—	—	—	—	—	—
Transactions with related parties
Services sold	24	23	48	47	97	96
Services bought	-8	-8	-17	-17	-36	-36
Interest income	10	12	21	24	46	49
Interest expenses	—	—	-1	—	-10	-9
Profit/loss from participations in Group companies	39	16	241	16	233	8

Parent Company balance sheet - condensed

	Jun	Jun	Dec
SEK million	2025	2024	2024
Assets
Intangible fixed assets	2	—	2
Property, plant and equipment	—	1	—
Financial assets	4,084	4,197	4,149
Deferred tax assets	11	7	6
Total non-current assets	4,097	4,205	4,157
Current assets
Other receivables	474	423	650
Cash and bank	6	43	23
Total current assets	480	466	673
Total assets	4,577	4,671	4,830
Shareholders' equity and liabilities
Shareholders' equity	2,472	2,392	2,630
Liabilities and provisions
Untaxed reserves	351	296	351
Other provisions	11	9	8
Long-term liabilities	1,618	1,569	1,536
Current liabilities	125	405	305
Total liabilities and provisions	2,105	2,279	2,200
Total shareholders' equity and liabilities	4,577	4,671	4,830
Transactions with related parties
Receivables from related parties on balance sheet day	1,071	1,159	1,338
Payables to related parties on balance sheet day	224	201	481

None of the company's Board members or senior executives currently have, or have previously had, any direct or indirect involvement in any business transaction with the company which is, or was, of an unusual character in terms of its conditions. Nor has the Group issued any loans, pledged any guarantees or entered into any surety arrangements for any of the company's Board members or senior executives.

VISION

Nolato aims to be the customer's first choice of innovative partner in sustainable design and production.

Nolato's business model

Nolato's business model is based on two decentralized business areas, which with their own decision-making and shared ambitions endeavour to fulfil our vision and the financial and sustainable goals. In this way, secure workplaces are created for employees and value is generated for the owners. With solid experience and broad expertise, close, long-term, and innovative partnerships are established and developed with customers. With well-developed and leading technology, broad development and design expertise, qualified project management, and highly efficient production, added value is created with minimal climate impact for both customers and owners.

Nolato's shared core values - Professional, Well organized, Responsible - inform all aspect of our business and are central to the sustainable development strategy.

Nolato is a Swedish group with operations in Europe, Asia and North America.

We develop and manufacture products in polymer materials such as plastic, silicone and thermoplastic elastomers (TPE) for leading customers within medical technology, pharmaceuticals, consumer electronics, telecom, automotive, hygiene and other selected industrial fields. Our offering spans the entire value chain - from solutions-oriented development focused on sustainability to product delivery.

Nolato's shares are listed on Nasdaq Stockholm Exchange in the Industrials sector of the Large Cap segment.

www.nolato.com

Nolato AB (publ), Nolatovägen 32, SE-269 78 Torekov, Sweden Tel. +46 431 442290 Fax +46 431 442291 Corp. id. number 556080-4592 E-mail: info@nolato.com, www.nolato.com