Nolato B

Quarterly Report • May 6, 2025

JANUARY-MARCH INTERIM REPORT 2025

Strengthened earnings and substantial margin increase

NOLATO AB THREE-MONTH INTERIM REPORT 2025 1

FIRST QUARTER OF 2025 IN BRIEF

• Sales totaled SEK 2,453 million (2,442)
• Operating profit (EBITA) increased to SEK 271 million (238)
• EBITA margin of 11.0% (9.7)
• Profit after tax was SEK 199 million (162)
• Earnings per share, basic and diluted, rose to SEK 0.74 (0.60)
• Cash flow from operating activities amounted to SEK 135 million (136)
• Net financial liabilities in relation to adjusted operating profit (EBITDA) were 0.5x

Comments from the CEO

Gratifyingly, our EBITA margin increased by as much as 1.3 percentage points to 11.0% in relation to the comparative quarter. Fundamentally, we have a tried-and-tested business model and it is positive that our strategic price adjustments, cost adjustments and focused efforts throughout the supply chain are bearing fruit. The Group's net sales, adjusted for currency, decreased by 1% in the first quarter.

In the Medical Solutions business area, sales increased by 2% adjusted for currency in the quarter, now accounting for 57% of the Group's revenues. We will continue our profitable growth journey with innovation and sustainability in focus – a strategy that is validated by us having won significant customer contracts. These factors contributed to an increase in the EBITA margin of a strong 1.9 percentage points to 12.2%.

In the Engineered Solutions business area, sales adjusted for currency decreased by 3%; as expected, this was driven by reduced volumes in the Automotive market area. Materials increased organic sales by a full 12%. This was thanks to a strong performance for new prodChrister Wahlquist, President and CEO, Nolato AB

ucts and technological areas in Automotive, as well as support from a recovery in Telecom. A favorable product mix and cost adjustments, particularly in the Chinese operations, helped strengthen the EBITA margin by 0.6 percentage points to 10.1%.

Cash flow from operating activities was in line with the previous year, despite an increased working capital requirement at the end of the quarter. Net financial liabilities in relation to adjusted operating profit (EBITDA) amounted to 0.5x, and thus remained low. After the end of the quarter, fears of a global trade war have increased significantly. It is currently difficult to predict how events will unfold, even though Nolato is not impacted by any significant direct effects. We have production and deliveries at several locations both inside and outside new tariff areas, and can thus support and assist our customers with finding the best solutions.

At our Capital Markets Day in March, which can be viewed on our IR pages, the Board of Directors set new financial targets. Annual organic growth is to exceed 8%, EBITA margin is to exceed 12% and return on capital employed is to exceed 15%. All over a business cycle.

Our flexibility, global production capacity and close customer relationships, together with a strong financial position, enable us to invest in both new customer projects and bolt-on acquisitions. The foundation has been laid for increasingly profitable growth over time.

Group highlights

		Q1	Q1		Full year
SEK million unless otherwise specified	Note	2025	2024	R12M	2024
Net sales	1	2,453	2,442	9,675	9,664
Operating profit (EBITDA)		401	374	1,543	1,516
Operating profit (EBITA)		271	238	991	958
EBITA margin, %		11.0	9.7	10.2	9.9
Operating profit (EBIT)	2	260	227	946	913
Profit after financial income and expense	2	252	209	891	848
Profit after tax		199	162	695	658
Earnings per share, basic and diluted, SEK	3	0.74	0.60	2.58	2.44
Cash flow from operating activities		135	136	1,376	1,377
Net investments affecting cash flow, excl. acquisitions and disposals		271	230	677	636
Financial net debt in relation to adjusted operating profit EBITDA, times				0.5	0.4
Return on capital employed, %		12.7	9.5	12.7	12.3
Return on shareholders' equity, %		12.7	8.5	12.7	12.2
Equity/assets ratio, %		59	57	59	59
Net financial liabilities, excluding pension & lease liabilities		757	1,026	757	671

See definitions of IFRS measures and alternative performance measures on page 17.

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

First quarter 2025

• Consolidated sales totaled SEK 2,453 million (2,442) which, adjusted for currency, was a decrease of 1%
• Growth for Medical Solutions, while sales were lower for Engineered Solutions
• Operating profit (EBITA) increased sharply to SEK 271 million (238)
• EBITA margin increased to 11.0% (9.7), mainly thanks to a strong performance for Medical Solutions

Sales

Consolidated sales totaled SEK 2,453 million (2,442); a 1% decrease, adjusted for currency.

Medical Solutions sales amounted to SEK 1,397 million (1,355); adjusted for currency, sales increased by 2%. Most market areas experienced stable volumes. The Drug Delivery market area continued to grow on the back of increasing volumes for insulin pumps, for example. After a protracted period of inventory adjustments for Surgery, volumes stabilized from low levels. However, in vitro diagnostics (IVD) exhibited lower volumes in the quarter. During the quarter, an operating property was acquired in Poland in connection with existing operations, to create opportunities for future expansion in Europe.

Engineered Solutions sales totaled SEK 1,058 million (1,087). Adjusted for currency, this was a decrease of 3%. As expected, volumes in the Automotive market area decreased. Production volumes in the area have generally been adjusted downwards and the quarter also contained closed delivery days in some cases. Other markets had stable volumes.

Volumes for Materials sharply increased year on year, with a full 12% rise in sales, adjusted for currency. Good leverage for new products and areas of technology in Automotive and new product areas is resulting in increased market share and strong growth. Compared with low volumes for network equipment in telecom in the first half of 2024, levels increased during the quarter, which also made a positive contribution.

Strong margin improvement of 1.3 percentage points

Operating profit (EBITA) SEKm

Profit

The Group's operating profit (EBITA) rose to SEK 271 million (238).

Operating profit (EBITA) increased to SEK 171 million (140) for Medical Solutions and to SEK 107 million (103) for Engineered Solutions.

The EBITA margin for Medical Solutions rose by as much as 1.9 percentage points to 12.2% (10.3). The business area's focus on profitability has led to a sharp increase in the margin. A margin improvement has been possible in the US operations in particular, through cost adjustments and focused work throughout the supply chain.

For Engineered Solutions, the margin rose to 10.1% (9.5). A favorable product mix and cost adjustments, particularly in the Chinese business, had a positive impact on the margin.

Overall, the Group's EBITA margin increased by a full 1.3 percentage points to 11.0% (9.7).

Operating profit (EBIT) grew to SEK 260 million (227).

Profit after net financial income/expense was SEK 252 million (209).

Profit after tax was SEK 199 million (162). Earnings per share, basic and diluted, rose to SEK 0.74 (0.60). The effective tax rate was 21.0% (22.5).

Return on capital employed rose to 12.7% for the last 12 months (12.3 for the 2024 calendar year). Return on equity rose to 12.7% for the last 12 months (12.2 for the 2024 calendar year).

Sales, operating profit (EBITA) and EBITA margin by business area

SEK million	Sales	Sales	EBITA	EBITA	EBITA marg.	EBITA marg.
	Q1/2025	Q1/2024	Q1/2025	Q1/2024	Q1/2025	Q1/2024
Medical Solutions	1,397	1,355	171	140	12.2%	10.3%
Engineered Solutions	1,058	1,087	107	103	10.1%	9.5%
Intra-Gr. adjustm., Parent Co. Group total	-2 2,453	— 2,442	-7 271	-5 238	11.0%	9.7%

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

Medical Solutions - Sales and profit

	Q1 2025	Q1 2024
SEK million
Sales	1,397	1,355
Operating profit (EBITA)	171	140
EBITA margin (%)	12.2%	10.3%
Operating profit (EBIT)	163	132

Medical Solutions sales amounted to SEK 1,397 million (1,355); adjusted for currency, sales increased by 2%. Most market areas experienced stable volumes. The Drug Delivery market area continued to grow on the back of increasing volumes for insulin pumps, for example. After a protracted period of inventory adjustments for Surgery, volumes stabilized from low levels. However, in vitro diagnostics (IVD) exhibited lower volumes in the quarter.

During the quarter, an operating property was acquired in Poland in connection with existing operations, to create opportunities for future expansion in Europe.

Operating profit (EBITA) for Medical Solutions rose to SEK 171 million (140).

The EBITA margin for Medical Solutions was 12.2% (10.3). The business area's focus on profitability has led to a sharp increase in the margin, of 1.9 percentage points. A margin improvement has been possible in the US operations in particular, through cost adjustments and focused work throughout the supply chain.

Sales for the last twelve months increased to SEK 5,476 million, compared with SEK 5,434 million for the 2024 calendar year. EBITA margin for the last 12 months increased to 11.3% compared with 10.8% for the 2024 calendar year.

Medical Solutions - EBITA SEKm & EBITA margin %

Engineered Solutions - Sales and profit

	Q1	Q1
SEK million	2025	2024
Sales	1,058	1,087
Operating profit (EBITA)	107	103
EBITA margin (%)	10.1%	9.5%
Operating profit (EBIT)	104	100

Engineered Solutions sales totaled SEK 1,058 million (1,087). Adjusted for currency, this was a decrease of 3%. As expected, volumes in the Automotive market area decreased. Production volumes in the area have generally been adjusted downwards and the quarter also contained closed delivery days in some cases. Other markets had stable volumes.

Volumes in Materials sharply increased year on year, with a full 12% rise in sales, adjusted for currency. Good leverage for new products and areas of technology in Automotive and new product areas is resulting in increased market share and strong growth. Compared with low volumes for network equipment in telecom in the first half of 2024, these increased during the quarter, which also made a positive contribution.

Operating profit (EBITA) for Engineered Solutions was SEK 107 million (103).

The EBITA margin for Engineered Solutions rose to 10.1% (9.5). A favorable product mix and cost adjustments, particularly in the Chinese business, had a positive impact on the margin.

Sales for the last twelve months amounted to SEK 4,214 million, compared with SEK 4,243 million for the 2024 calendar year. EBITA margin for the last 12 months increased to 9.8% compared with 9.6% for the 2024 calendar year.

Engineered Solutions - Sales SEKm

15% (14)

Cash flow after investments, excluding

Cash flow

Cash flow from operating activities amounted to SEK 135 million (136) in the first 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 -182 million (-155), which had a negative impact. Increased activity and sales at the end of the quarter compared with the end of 2024 have mainly resulted in higher trade receivables.

Net investments affecting cash flow rose to SEK 271 million (230). 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. During the quarter, an operating property in Poland was 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. Cash flow after investments, excluding acquisitions and disposals, amounted to SEK -136 million (-92) in the first quarter.

Financial position

Interest-bearing assets amounted to SEK 568 million (664), and interest-bearing financial liabilities to credit institutions declined to SEK 1,325 million (1,690). Net financial liabilities consequently fell to SEK 757 million (1,026). There are also interest-bearing pension liabilities of SEK 236 million (226) and interest-bearing lease liabilities of SEK 179 million. Shareholders' equity was SEK 5,561 million (5,540). The equity/assets ratio increased to 59% (57). Adjusted for the proposed dividend of SEK 404 million, the equity/assets ratio amounted to 57%.

Financial position

	Mar	Mar	Dec
SEK million	2025	2024	2024
Interest-bearing liabilities, credit institutions	1,325	1,690	1,343
Cash and bank	568	664	672
Net financial liabilities	757	1,026	671
Interest-bearing pension liabilities	236	226	241
Net financial liabilities, incl. pension liabilities	993	1,252	912
Lease liabilities	179	231	188
Net financial liabilities, incl. pension & lease liabilities	1,172	1,483	1,100
Working capital	1,401	1,586	1,292
As a percentage of sales (average) (%)	15.4	15.3	13.8
Capital employed	7,301	7,691	7,510
Return on capital employed (average) (%)	12.7	9.5	12.3
Shareholders' equity	5,561	5,540	5,738
Return on shareholders' equity (average) (%)	12.7	8.5	12.2

Personnel

The average number of employees during the period was 5,405 (5,552). The decrease in the number of employees was mainly attributable to Engineered Solutions' operations in China.

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 negatively affected by the fact that the holiday 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 14,439 shareholders at 31 March. 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 5% of the capital.

The Parent Company

For the parent company, which has no operating activities, sales amounted to SEK 24 million (24). Profit after financial income and expense was SEK 225 million (2) , and increased owing to higher earnings from investments in Group companies.

Contingent liabilities totaled SEK 132 million (284).

Accounting and valuation principles

Nolato's consolidated accounts have been prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the EU.

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

• 2025 Annual General Meeting: May 6, 2025
• Six-month interim report 2025: July 18, 2025
• Nine-month interim report 2025: October 28, 2025
• Year-end report 2025: February 5, 2026

Torekov, May 6 2025 Nolato AB (publ) Christer Wahlquist, President and CEO

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. The information was submitted for publication, through the above contact persons, at 1 p.m. CET on 6 May 2025.

This report has not been audited by the Company's auditors.

Webcast conference call on 6 May

In connection with the interim report, Nolato will hold a webcast conference call in English at 1.30 p.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/q1- 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.

Consolidated income statement - condensed

		Q1	Q1		Full year
SEK million unless otherwise specified	Note	2025	2024	R12M	2024
Net sales	1	2,453	2,442	9,675	9,664
Cost of goods sold		-2,003	-2,039	-8,015	-8,051
Gross profit		450	403	1,660	1,613
Selling expenses		-63	-58	-247	-242
Administrative expenses		-127	-118	-496	-487
Other operating income and operating expenses, net		—	—	29	29
		-190	-176	-714	-700
Operating profit	2	260	227	946	913
Financial income and expense	2	-8	-18	-55	-65
Profit after financial income and expense	2	252	209	891	848
Tax		-53	-47	-196	-190
Profit after tax		199	162	695	658
All earnings are attrib. to the Parent Co.'s shareholders
Depreciation/amortization regarding non-current assets		-141	-147	-597	-603
Earnings per share, basic and diluted, SEK	3	0.74	0.60	2.58	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
Number of shares at the end of the period, after dilution		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
Average number of shares, after dilution		269,377,080	269,377,080	269,377,080	269,377,080

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

Consolidated comprehensive income

	Q1	Q1		Full year
SEK million	2025	2024	R12M	2024
Profit after tax	199	162	695	658
Other comprehensive income
Items that cannot be transferred to profit for the period
Revaluations of defined benefit pension plans	—	—	-15	-15
Tax attributable to items that cannot be transferred to profit for the period	—	—	3	3
	—	—	-12	-12
Items that have been converted or can be converted into profit for the period
Translation diff. for the period on translation of foreign operations	-382	213	-269	326
Changes in the fair value of cash flow hedges for the period	8	-7	5	-10
Tax attributable to changes in the fair value of cash flow hedges	-2	1	-1	2
	-376	207	-265	318
Other comprehensive income, net of tax	-376	207	-277	306
Total comp. income for the period attrib. to the Parent Co.'s shareholders	-177	369	418	964

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

Consolidated balance sheet - condensed

SEK million	Mar 2025	Mar 2024	Dec 2024
Assets
Non-current assets
Non-current intangible assets	2,332	2,492	2,526
Property, plant and equipment	3,109	3,013	3,129
Rights of use	171	221	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	5,628	5,743	5,852
Current assets
Inventories	1,088	1,177	1,183
Accounts receivable	1,685	1,723	1,558
2 Other current assets	444	439	423
Cash and bank	568	664	672
Total current assets	3,785	4,003	3,836
Total assets	9,413	9,746	9,688
Shareholders' equity and liabilities
Shareholders' equity	5,561	5,540	5,738
Liabilities and provisions
1 Long-term liabilities and provisions	1,761	2,051	1,793
Deferred tax liabilities	234	237	241
1, 3 Current liabilities and provisions	1,857	1,918	1,916
Total liabilities and provisions	3,852	4,206	3,950
Total shareholders' equity and liabilities	9,413	9,746	9,688
1 Interest-bearing/non-interest-bearing liabilities and provisions:
Interest-bearing liabilities and provisions	1,740	2,147	1,772
Non-interest-bearing liabilities and provisions	2,112	2,059	2,178
Total liabilities and provisions	3,852	4,206	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	16	8	3
3 Derivative liabilities are included in current liabilities and provisions at	15	7	4

Changes in consolidated shareholders' equity - condensed

	Mar	Mar	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	-177	369	964
Dividends	—	—	-404
Share warrants included in incentive programmes	—	—	7
Shareholders' equity at the end of period attrib. to Parent Co's shareholders	5,561	5,540	5,738
At the end of the period, the Group had incentive programmes, see note 4.

Consolidated cash flow statement - condensed
	Q1	Q1		Full year
SEK million	2025	2024	R12M	2024
Cash flow from operating activities before changes in working capital	317	291	1,305	1,279
Changes in working capital	-182	-155	71	98
Cash flow from operating activities	135	136	1,376	1,377
Cash flow from investment activities	-271	-230	-677	-636
Cash flow before financing activities	-136	-94	699	741
Cash flow from financing activities	79	45	-764	-798
Cash flow for the period	-57	-49	-65	-57
Cash and cash equivalents at the beginning of the period	672	688		688
Exchange rate difference in liquid assets	-47	25		41
Cash and cash equivalents at the end of the period	568	664		672

Note 1 - Revenue

			January - March - 2025				January - March - 2024				Full year - 2024
SEK million			Med.	Eng.			Med.	Eng.			Med.	Eng.
	Group	Elim.	Sol.	Sol.	Group	Elim.	Sol.	Sol.	Group	Elim.	Sol.	Sol.
Total	2,453	-2	1,397	1,058	2,442	—	1,355	1,087	9,664	-13	5,434	4,243
Europe	1,454	-2	744	712	1,505	—	757	748	5,656	-6	2,905	2,757
Sweden	287	-1	38	250	318	—	60	258	1,122	-3	170	955
Hungary	327	-1	185	143	329	—	193	136	1,343	—	799	544
Other Europe	840	—	521	319	858	—	504	354	3,191	-3	1,936	1,258
North America	734	—	583	151	684	—	529	155	2,790	—	2,193	597
USA	675	—	546	129	617	—	489	128	2,533	—	2,048	485
Oth. North Am.	59	—	37	22	67	—	40	27	257	—	145	112
Asia	222	—	36	186	212	—	34	178	1,032	-7	176	863
Rest of World	43	—	34	9	41	—	35	6	186	—	160	26

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

For the first three months of the year, the Group recognized an unchanged provision of impaired trade receivables.

Note 2 - Reconciliation of consolidated income before tax

	Q1	Q1		Full year
SEK million	2025	2024	R12M	2024
Operating profit (EBIT)
Medical Solutions	163	132	584	553
Engineered Solutions	104	100	401	397
Group adjustments, Parent Company	-7	-5	-39	-37
Consolidated operating profit (EBIT)	260	227	946	913
Financial income and expense (not distrib. by business areas)	-8	-18	-55	-65
Consolidated profit before tax	252	209	891	848

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

SEK million	Q1 2025	Q1 2024	R12M	Full year 2024
Profit after tax Average number of shares, before dilution	199 269,377,080	162 269,377,080	695 269,377,080	658 269,377,080
Basic earnings per share (SEK)	0.74	0.60	2.58	2.44
Non-recurring items	—	—	—	—
Profit after tax excl. non-recurring items	199	162	695	658
Basic earnings per share excl. non-recurring items (SEK)	0.74	0.60	2.58	2.44
Average number of shares, after dilution	269,377,080	269,377,080	269,377,080	269,377,080
Diluted earnings per share (SEK)	0.74	0.60	2.58	2.44
Diluted earnings per share excl. non-recurring items (SEK)	0.74	0.60	2.58	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
Number of shares at the end of the period, after dilution	269,377,080	269,377,080	269,377,080	269,377,080

Note 4 - Incentive programmes

	Mar 2025	Mar 2024	Dec 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
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 (2024 proposal) (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
	2	2024	227	234	224	228	913
		2023	183	186	123	165	657
Earnings per share, basic & diluted (SEK)	2	2025	0.74
	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
	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
		2024	374	383	371	388	1,516
		2023	326	333	276	318	1,253
Operating profit (EBITA) (SEK million)		2025	271
		2024	238	245	235	240	958
		2023	193	198	133	177	701
EBITA margin (%)		2025	11.0
		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
		2024	209	215	209	215	848
		2023	173	192	102	149	616
Profit after tax (SEK million)		2025	199
		2024	162	169	164	163	658
		2023	136	155	69	75	435
Net financial liabilities, excluding pension-		2025	757
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.

	Note	Year	Q1	Q2	Q3	Q4	Full year
Alternative performance measures
Cash flow from operating activities (SEK million)		2025	135
		2024	136	434	327	480	1,377
		2023	75	240	280	186	781
Cash flow from operations per share		2025	0.50
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
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
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
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
Return on total capital (%)		2025	9.9
		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
		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
		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
		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
dilution (SEK)		2024	21	20	20	21	21
		2023	21	20	20	19	19
Closing share price Nolato B (Nasdaq Stockholm)		2025	56.95
		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
		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)

	Note	Year	Q1	Q2	Q3	Q4	Full year
Alternative performance measures Net sales (SEK million)
Medical Solutions	1	2025	1,397
	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	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
	1	2024	—	-3	—	-10	-13
		2023	-1	—	—	-6	-7
Group total	1	2025	2,453
	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
		2024	140	149	145	152	586
		2023	132	138	126	129	525
Engineered Solutions		2025	107
		2024	103	108	103	95	409
		2023	68	72	74	52	266
Group adjustments, Parent Company		2025	-7
		2024	-5	-12	-13	-7	-37
		2023	-7	-12	-67	-4	-90
Group total		2025	271
		2024	238	245	235	240	958
		2023	193	198	133	177	701
EBITA margin (%)
Medical Solutions		2025	12.2
		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
		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
		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
		2024	-90	-93	-91	-93	-367
		2023	-84	-87	-93	-92	-356
Engineered Solutions		2025	-50
		2024	-57	-56	-56	-67	-236
		2023	-59	-60	-60	-61	-240
Group adjustments, Parent Company		2025	—
		2024	—	—	—	—	—
		2023	—	—	—	—	—
Group total		2025	-141
		2024	-147	-149	-147	-160	-603
		2023	-143	-147	-153	-153	-596

Quarterly data business areas

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 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)

Operating profit (EBIT)

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

Earnings before financial income and expense and taxes.

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.

Alternative performance measures

		Q1	Q1		Full year
SEK million unless otherwise specified	Note	2025	2024	R12M	2024
Operating profit (EBITDA)		401	374	1,543	1,516
Operating profit (EBIT) Reversal of amortization of intangible assets arising	2	260	227	946	913
in connection with acquisitions		11	11	45	45
Operating profit (EBITA)		271	238	991	958
EBITA margin (%)		11.0	9.7	10.2	9.9
Profit after financial income and expense	2	252	209	891	848
Profit margin (%)		10.3	8.6	9.2	8.8
Profit after tax		199	162	695	658

Alternative performance measures

	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
SEK million unless otherwise specified	2025	2024	2024	2024	2024	2023	2023	2023	2023
Profit after financial income and exp., roll. 12 months	891	848	782	675	652
Financial expense, rolling 12 months	62	69	77	77	74
Adj. profit after financial inc. and exp., roll. 12 months	953	917	859	752	726
Total capital, at the end of period	9,413	9,688	9,476	9,809	9,746	9,300	9,924	10,211	10,147
Average total capital, last 5 quarters	9,626	9,604	9,651	9,798	9,866
Return on total capital (%)	9.9	9.5	8.9	7.7	7.4
Adj. profit after financial inc. and exp., roll. 12 months	953	917	859	752	726
Capital employed, at the end of period	7,301	7,510	7,366	7,595	7,691	7,275	7,581	7,826	7,726
Average capital employed, last 5 quarters	7,493	7,487	7,502	7,594	7,620
Return on capital employed (%)	12.7	12.3	11.5	9.9	9.5
Operating profit (EBIT), rolling 12 months	946	913	850	749	701
Capital employed, at the end of period	7,301	7,510	7,366	7,595	7,691	7,275	7,581	7,826	7,726
Cash and bank, at the end of period	568	672	718	770	664	688	720	815	932
Operating capital, at the end of period	6,733	6,838	6,648	6,825	7,027	6,587	6,861	7,011	6,794
Average operating capital, latest 5 quarters	6,814	6,785	6,790	6,862	6,856
Return on operating capital (%)	13.9	13.5	12.5	10.9	10.2
Profit after tax, rolling 12 months	695	658	570	475	461
Shareholders' equity, at the end of period	5,561	5,738	5,315	5,280	5,540	5,171	5,382	5,349	5,534
Average shareholders' equity, latest 5 quarters	5,487	5,409	5,338	5,344	5,395
Return on shareholders' equity (%)	12.7	12.2	10.7	8.9	8.5

Parent Company income statement - condensed

	Q1	Q1		Full year
SEK million	2025	2024	R12M	2024
Net sales	24	24	96	96
Selling expenses	-1	-1	-6	-6
Administrative expenses	-21	-22	-85	-86
Other operating income	5	3	12	10
Other operating expenses	-13	-11	-51	-49
Operating profit/loss	-6	-7	-34	-35
Profit/loss from participations in Group companies	202	—	210	8
Financial income	38	20	70	52
Financial expenses	-9	-11	-60	-62
Profit/loss after financial income and expense	225	2	186	-37
Appropriations	—	—	346	346
Tax	3	—	-60	-63
Profit/loss after tax	228	2	472	246
Depreciation is included	—	—	—	—
Transactions with related parties
Services sold	24	24	96	96
Services bought	-9	-9	-36	-36
Interest income	11	12	48	49
Interest expenses	-1	—	-10	-9
Profit/loss from participations in Group companies	—	—	8	8

Parent Company balance sheet - condensed

	Mar	Mar	Dec
SEK million	2025	2024	2024
Assets
Intangible fixed assets	2	—	2
Property, plant and equipment	—	1	—
Financial assets	4,159	4,253	4,149
Deferred tax assets	9	5	6
Total non-current assets	4,170	4,259	4,157
Current assets
Other receivables	602	645	650
Cash and bank	72	39	23
Total current assets	674	684	673
Total assets	4,844	4,943	4,830
Shareholders' equity and liabilities
Shareholders' equity	2,858	2,790	2,630
Liabilities and provisions
Untaxed reserves	351	296	351
Other provisions	10	9	8
Long-term liabilities	1,363	1,491	1,536
Current liabilities	262	357	305
Total liabilities and provisions	1,986	2,153	2,200
Total shareholders' equity and liabilities	4,844	4,943	4,830
Transactions with related parties
Receivables from related parties on balance sheet day	1,293	1,447	1,338
Payables to related parties on balance sheet day	308	273	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.

NOLATO AB THREE-MONTH INTERIM REPORT 2025 21

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