Interim report
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SEMI-ANNUAL REPORT 20 26
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LETTER FROM THE CEO 3 BUSINESS OVERVIEW 4 EXECUTIVE SUMMARY FIRST HALF OF 2026 5 MARKET OUTLOOK 6 CORPORATE GOVERNANCE 13 BOARD OF DIRECTORS REPORT 15 INCOME STATEMENTS 21 BALANCE SHEETS 22 ACCOUNTING POLICIES 27 NOTES 30 Content
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Semi-Annual Report Lokotech Group AS 2026 I 3 Letter from the CEO If 2025 was the year we built the foundation for our transition from startup to scale-up, the first half of 2026 was when that transition began to take shape. I want to start with the team, because it is one of the things about the past six months that have genuinely surprised me. Over the past months, the effort we've put into building real leadership depth - rather than just filling seats - has started to pay off. It is showing in an unexpected way: good people are starting to find us, rather than the other way around. We've had extraordinary technical people reach out on their own initiative, wanting to be part of what we're building. That's not something you can manufacture overnight. It tells me that the story we're telling about this company is starting to travel on its own, and that the changes we made to our management structure earlier this year - freeing up capacity at the top to focus on where it matters most - are giving the right people the room they need to lead. It has also been a half-year that has given me an opportunity to reflect on how far this company has come and where we are heading. We set out on this journey chasing energy-efficient blockchain hardware - a narrower, more technical ambition than it might sound. But the same underlying work, the same silicon, is now opening a door we didn't originally foresee becoming as important as it is: a new generation of agentic AI edge chips. Watching our core ASIC go from GDS-II sign-off to a completed tape-out this spring was already one of the proudest moments of my time leading this company. Realizing that the same architecture might carry us into one of the most important compute categories of the coming decade is something else entirely. We're still early - the letter of intent we signed this June is exactly that, a letter of intent, not a done deal - but I don't think I'm overstating it when I say this will most likely overshadow the rest of the verticals we are pursuing. Our supporting verticals - the pool, the hosting business, the data center build-out in the north - have kept developing steadily regardless of what asset prices did in any given week. Powerpool's hosting operation went fully live and commercial in the north of Norway. Arctic Core broke ground in Kautokeino. Our own power electronics product found its way from a pilot in the U.S. into its first production order. None of that depended on the market cooperating with us, and that resilience matters more to me than any single quarter price chart. I'll also say, plainly, that I believe there's something important about who we are, not just what we build. I believe a company that was born Norwegian has an important seat at the table as the world builds out the next generation of data center infrastructure and blockchain operations and chooses the winners within AI. This is not a sentimental point for me - it's a strategic one. So yes - I'm optimistic, more than I've perhaps had reason to be before. We have silicon inbound, a team that's getting stronger by the month, and verticals that are quietly compounding even through a rough market. When we scale this the way we intend to, I think it's going to surprise people - including, frankly, some of us. I look forward to showing you why. Ola Stene-Johansen
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4 I Semi-Annual Report Lokotech Group AS 2026 Business Overview Group Structure Lokotech Group AS operates as a holding and management company with several subsidiaries focused on blockchain technologies, AI hardware, supporting products and data center operations: Lokotech AS (100% owned) – The flagship technology company is developing dual-purpose ASICs for cryptocurrency mining and edge AI computing. The company has completed the design phase and is preparing for mass production, scheduled to commence in 2026. Powerpool Mining SL (66.65% owned) – Operates the Powerpool.io mining pool, which serves 13,187 clients globally. The pool added 2,372 new users in the first half of 2026. Powerpool Hosting AS (100% owned by Powerpool Mining SL) – Operates hosting facilities in Norway. The pilot project is running at full scale. The company will continue developing Norwegian hosting operations and remains fully integrated with Powerpool Mining SL’s pool software. Arctic Core AS (100% owned) – Developing and operating data centers across Norway, including a 5,000 m² mountain hall facility in Telemark and an upcoming project in Finnmark. Trosvikvegen 49 AS (100% owned by Arctic Core AS) – A real estate company that owns the 5,000 m² mountain hall in Telemark. Nordic Green Data Center AS (100% owned) – Activities have been paused. No current operations. Arctic AI AS (100% owned) – A special-purpose vehicle for a potential future AI licensing deal. Highlights Corporate • Strengthening the company's Executive Management team. • Capital raise, 97% of warrants converted in the RI Q2 2026, giving gross proceeds of more than NOK 32 million. Something that the company notes as a sign of strong support from shareholders. • Starting to notice significant interest in a joint AI effort with relevant partners. Hardware • Lokotech achieved GDS-II sign-off and tape-out. • Maskset completed • Processing (“fabrication”) of wafers initiated and progressing as expected. • Smart PDU (SPDU) has been produced and sent for CE certification. Marketing efforts have been initialized while pilot testing continues Real estate • Arctic Core AS broke ground at its site in Kautokeino, Finnmark. Approximately 2 MW of power is expected to come online later in H2 2026. Will function as a test and verification site for various supporting verticals. Software and Services • Powerpool Hosting AS's pilot site in Northern Norway is fully operational. This enables Powerpool to develop and mature custom firmware updates for field testing. • Launched support for new algorithms in Powerpool.
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Semi-Annual Report Lokotech Group AS 2026 I 5 Executive Summary of First Half of 2026 The first half of 2026 marked the transition of Lokotech Group AS from a development-stage company into an operating commercial group across its three core verticals: ASIC hardware, mining pool services, and data center infrastructure. Following the completion of the Rights Issue in 2025, the Company used the strengthened balance sheet to execute on the milestones flagged at year-end, most notably bringing its flagship ASIC to silicon and its hosting and data center operations into commercial production. The Company's most significant technical achievement of the half-year was completing final quality control on the ASIC design and reaching GDSII sign-off and tape- out on the full commercial design, concluding that all prerequisites had been met and that residual technical risk in the signed-off design was low. The GDS-II file and supporting documentation were submitted to the Company's IC assembly partner for manufacturability review ahead of transfer to the foundry. On April 13th, 2026, Lokotech AS announced that tape-out had been successfully completed, marking the transition from design to silicon and the most important milestone since the project's inception in late 2020. The Company has now placed its first wafer order, with maskset fabrication progressing as expected. Alongside the core ASIC vertical, Lokotech AS placed its first production order for its in-house developed Smart Power Distribution Unit ("SPDU"), following successful pilot testing at a U.S. client site. The initial order is limited in scale and intended for customer sampling ahead of a broader sales launch later in 2026, once the full product suite - designed to support a majority of popular legacy mining hardware - has completed required certification and the cloud-based back-end has undergone QC. Powerpool's hosting business, Powerpool Hosting AS, reached full hosting capability at its pilot site in Northern Norway during the period, completing infrastructure deployment, system validation, and operational testing and enabling the start of full commercial operations. The facility is now live, running Antminer L9, L11, and S21 Pro units across both SHA-256 and Scrypt algorithms. Electricity is priced at USD 0.07/kWh for SHA-256 and USD 0.075/kWh for Scrypt, with costs settled automatically from mining revenue rather than through separate invoicing - a simplified model consistent with the Group's stated hosting strategy. Arctic Core AS broke ground at its site in Kautokeino, Finnmark, targeting 2 MW of operational computing capacity by the end of summer or early autumn 2026. Installation is scheduled for completion in approximately September/October 2026. The site benefits from Arctic climate conditions that reduce mechanical cooling needs and access to low-cost renewable hydroelectric power. The initial 2 MW phase is intended to meet the Group’s own requirements while serving as a test site for Lokotech’s hardware and cooling infrastructure, as well as for evaluating heat recovery. If heat recovery results are positive, the Company will work with local authorities to put the surplus heat to use for the benefit of the local residents. It may also support the expansion of Powerpool Hosting. A second phase, targeting more than 5 MW, is planned if testing confirms that operating in the cold climate can provide a positive impact on margins and that equipment otherwise can endure cold start in such extreme conditions. Management expects the site, once fully utilized, to increase the Group's current run-rate revenue by 100-200%. On the corporate side, the Company adjusted its management structure in January 2026: Benjamin Miklozek moved from Chief Financial Officer into a role supporting the CEO on operational matters, including leading the Company's early-stage exploration of a new business opportunity in the United States, while Christoffer Løvdal stepped in as interim Chief Financial Officer. In June 2026, Lokotech Group AS entered into a non- binding letter of intent with one U.S.-based and one Canadian-based party to form a joint venture aimed at developing, maturing, and commercializing the AI inferencing functionality of Lokotech's ASIC into an edge AI inferencing solution with agentic capabilities. Under the contemplated structure, the Company would sell a non-controlling aggregated stake in its wholly owned subsidiary Arctic AI AS to the two JV partners, with the resulting venture expected to operate out of Norway with a globally distributed team. The initiative targets the edge AI inference and agentic AI compute market, which combined industry estimates project to exceed $20 billion. Gartner - AI-optimized infrastructure-as-a- service spending forecast: approximately $42.3 billion in 2026, of which approximately $23.3 billion (55%) inference. The LOI is non-binding, and there is no assurance that a definitive agreement will be reached. Negotiations are still underway at the time of this report. Taken together, the developments of H1 2026 show the Group converting the investments and preparatory work of 2025 into operating results: silicon in hand for the core ASIC program, a commercially live hosting business, a second data center site developing, and an emerging strategic path to monetize the ASIC's AI capabilities through a dedicated joint venture.
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6 I Semi-Annual Report Lokotech Group AS 2026 Market Outlook Scrypt-based cryptocurrencies remained under pressure in the first half of 2026 amid broader digital- asset volatility. Litecoin (LTC) closed near $41.961, down from roughly $79–80 at the start of the year; Dogecoin (DOGE) closed near $0.0721 2. Network fundamentals stayed resilient: Litecoin’s hashrate remained elevated, supporting continued security and miner participation. These conditions highlight the importance of energy efficiency. With elevated difficulty and volatile prices, efficient hardware is essential to competitive costs. Lokotech’s air-cooled ASIC portfolio - Double Barrel, Single Barrel and Hashblade - targets efficiency below 0.1 J/MH, with initial deliveries scheduled for the second half of 2026. The Group’s PowerHosting offering, combined with Norway’s renewable hydropower, provides a low- cost, low-carbon foundation for mining and compute operations.23 Network Security and Hashrate Trends Litecoin hashrate reached an all-time high of approximately 3.94 PH/s in December 2025, then settled in a 2.8–2.98 PH/s range in Q1 2026 (2.96 PH/s on 20 March). It remained elevated, but volatile through Q2, near 2.48–2.95 PH/s on 30 June 3. The decline from the December peak represents normalization; hashrate remains well above levels around the August 2023 halving. This environment reinforces the value of power efficiency. Lokotech’s next-generation designs target approximately 0.1 J/MH versus roughly 0.20 J/MH for older hardware, materially lowering electricity consumption and improving economics when prices are low or difficulty high.23 Asset Performance Litecoin entered 2026 near $79–80, traded in a $40–80 range and closed on 30 June at approximately $41.961, 17. Dogecoin followed a similar path from near $0.13 to approximately $0.0721 at period-end2, 18. Although prices weakened, network activity and mining participation remained robust. Dogecoin continues to benefit from its merge-mining relationship with Litecoin12. Litecoin Price Chart Litecoin (L TC/USD), daily, Coinbase - period shown January 2025 to August 2026; latest price $45.42 on 11 August 2026. Source: TradingView.17
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Semi-Annual Report Lokotech Group AS 2026 I 7 Dogecoin Price Chart Dogecoin (DOGE/USD), daily, Coinbase - period shown January 2025 to August 2026; latest price $0.0705 on 11 August 2026. Source: TradingView.18 Industry Developments On March 17th, 2026, the U.S. SEC and CFTC issued a joint interpretation establishing a taxonomy for digital assets and clarifying the application of federal securities laws to protocol mining, staking, airdrops and wrapping of non-security assets4, 5. The guidance covers both self- mining and pool mining and is viewed as constructive for proof-of-work networks and institutional participation. Corporate treasury adoption advanced. Lite Strategy, Inc. (Nasdaq: LITS) continued to manage its Litecoin treasury strategy, originally launched with a $100 million commitment and an initial acquisition of 929,548 LTC 6, including active management such as covered-call strategies and capital allocation decisions7. The Agentic AI Chip Market Artificial intelligence is shifting toward inference- dominated economics. Agentic AI - systems that plan, call multiple models, use tools and iterate - can require 5–30 times more tokens per task than standard generative chatbots19. Gartner expects the cost of inference for a one-trillion-parameter model to fall by more than 90% between 2025 and 2030, driving higher usage 19. Global AI-optimized infrastructure-as-a-service spending is forecast at approximately $42.3 billion in 2026, with inference accounting for roughly 55% ($23.3 billion)20. The broader AI accelerator market (GPUs, ASICs and specialized processors) is estimated at approximately $26.4 billion in 2026, rising to approximately $68.4 billion by 2030 (CAGR ~26.9%) 21. Competition is intensifying around cost per token, energy efficiency, latency and total cost of ownership, with hyperscalers developing in-house silicon and specialized entrants targeting inference22. Lokotech’s AI-inference ASIC is designed for local, on- demand, low-power inference and edge deployment 23. Electricity is a material cost component of serving tokens; energy efficiency is therefore central. The capability remains at an early technology-readiness level and is treated as long-term strategic optionality rather than near-term revenue. Commercial validation is expected to follow performance confirmation. The market is highly competitive and dominated by better-resourced players with established ecosystems. LitVM and the Emerging AI Agent Economy Blockchain and AI infrastructure are converging toward an agent economy in which autonomous systems interact, purchase resources and settle payments without human approval of each transaction. Litecoin’s fast confirmation, low predictable fees and operating history position it well for machine-to-machine settlement9. LitVM, an EVM-compatible zkRollup Layer 2 built on Arbitrum Nitro and BitcoinOS technology, adds programmable smart-contract functionality. Applications and agents can hold wallets, execute transactions and interact with dApps using LTC as the settlement
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asset while retaining Litecoin security 9. The public testnet launched on 15 April 2026 and had processed approximately 265.8 million transactions as of the date of this report (testnet activity only)10. Broader machine-to-machine payment activity is growing; Coinbase’s x402 protocol had processed more than 100 million transactions by early 2026 9. Lokotech’s dual- purpose Scrypt/AI ASIC, merge-mining operations and hosting infrastructure provide exposure to both efficient compute and blockchain-based settlement23. MimbleWimble Extension Blocks In August 2026 the amount of LTC pegged into Litecoin’s MimbleWimble Extension Blocks (MWEB) surpassed 537,864 LTC8. MWEB, activated in May 2022, provides opt-in privacy and fungibility via peg-in/peg-out transactions12. Growth in the pegged balance expands the privacy set and signals continued demand for confidential functionality. Management monitors potential regulatory and exchange implications while regarding MWEB adoption as a constructive long-term development for the Scrypt ecosystem. Quantum Computing and Long-T erm Security Quantum computing remains a long-term consideration for networks relying on elliptic-curve signatures, including Litecoin. A sufficiently powerful fault-tolerant quantum computer could, in principle, compromise exposed public keys via Shor’s algorithm11. Litecoin uses the same ECDSA/secp256k1 signatures as Bitcoin and is not post- quantum secure today 12. MWEB's privacy features do not, however, make wallets and transactions that use it quantum-proof. Mitigations are advancing. NIST finalized post-quantum signature standards (ML-DSA, SLH-DSA) in 202413. Within Litecoin, LIP-0003 offers a path for MWEB commitment security but does not address base-layer signatures; any broader upgrade would require community consensus 16. Management views quantum risk as industry-wide and long-term rather than near-term, consistent with comments from Litecoin creator Charlie Lee, who has described it as a credible but manageable risk that can be addressed when the technology matures14, 15. “[Quantum computing] is a potential threat to Litecoin, and Bitcoin. Potentially people can hack wallets and steal coins, and that obviously is a bad thing. So it’s something we’re keeping a very close eye on. … We can switch to a quantum-safe algorithm when the time comes. So I’m not that concerned about quantum computing.” - Charlie Lee, Dutch Blockchain Week, June 202614 8 I Semi-Annual Report Lokotech Group AS 2026
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Semi-Annual Report Lokotech Group AS 2026 I 9 Smart Power Distribution Unit (SPDU) The SPDU is an intelligent power distribution unit developed in-house by subsidiary Lokotech AS for high-density computing and mining environments. It combines revenue-grade per-socket metering, dual independent AC relays, inrush-safe switching and configurable protection with a cloud platform for multi- tenant metering, automated invoicing, load curtailment and fleet-wide monitoring. The SPDU addresses the need for accurate, attributable power measurement in hosting and colocation environments, enabling operators to accurately bill customers, monitor SLA performance and automatically reduce loads when electricity prices exceed predefined thresholds. Current status. The SPDU is undergoing product certification and in-house pilot testing has started, while an initial production run is being manufactured for selected customers for field testing and feedback ahead of commercialization. Commercial model Lokotech intends to offer the SPDU through a few different models: outright hardware sales; hardware supplied at cost-plus-margin combined with a recurring platform subscription; and a subscription waiver for customers mining through Powerpool.io. The latter is intended to support Powerpool.io hashrate growth while reducing customer costs. Final commercial terms will be established following certification and completion of the pilot program. The Company expects a broad launch in 2026, with first meaningful revenue in 2027. Sources and References 1. Composite USD daily close for Litecoin (LTC/USD), June 30 2026: approximately $41.96 ($41.957). Coinbase-referenced series align closely; minor differences reflect exchange- specific timing. 2. Composite USD daily close for Dogecoin (DOGE/USD), 30 June 2026: approximately $0.0721. Coinbase-referenced series align closely; minor differences reflect exchange-specific cut-off timing. 3. CoinWarz, Litecoin Hashrate Chart - June 30 2026: approximately 2.43 PH/s; late-June daily history also shown. 4. U.S. Securities and Exchange Commission, “SEC Clarifies the Application of Federal Securities Laws to Crypto Assets,” March 17th 2026. 5. SEC, “Application of the Federal Securities Laws to Certain Types of Crypto Assets,” Joint Interpretation, 17 March 2026, including discussion of self-mining and pool mining. 6. Lite Strategy, Inc., Q1 FY2026 results / treasury strategy announcement - $100 million Litecoin treasury strategy and initial 929,548 LTC acquisition. 7. Lite Strategy, Inc., Q2 2026 reporting - active Litecoin treasury management, including covered-call activity and capital allocation. 8. Public August 2026 reporting on Litecoin MWEB balance surpassing 537,864 LTC; figure should be treated as an on-chain / community-data milestone rather than an audited company figure. 9. Litecoin LitVM (EVM-compatible zkRollup Layer 2) and Coinbase’s x402 machine-to-machine payment standard; descriptions and the >100 million transactions figure reflect prior company disclosure and public reporting. 10. LitVM public testnet - launched 15 April 2026; approximately 265.8 million transactions to date. 11. P. W. Shor, “Algorithms for Quantum Computation: Discrete Logarithms and Factoring” (1994); L. K. Grover, “A Fast Quantum Mechanical Algorithm for Database Search” (1996). 12. Litecoin protocol: ECDSA signatures over the secp256k1 curve, Scrypt proof-of-work with Dogecoin merge-mining (AuxPoW), and pay-to-public-key-hash addressing. 13. U.S. National Institute of Standards and Technology (NIST), Post-Quantum Cryptography standards - FIPS 203 (ML-KEM), FIPS 204 (ML-DSA) and FIPS 205 (SLH-DSA), finalized August 2024. 14. Charlie Lee, creator of Litecoin, interview at Dutch Blockchain Week, June 2026. 15. Charlie Lee, interview with BeInCrypto, March 2026 - remarks on Litecoin’s capacity, as a smaller network, to adopt and test cryptographic upgrades. 16. Litecoin Improvement Proposal LIP-0003 (“Switch Commitment”), litecoin-project/lips repository - specification-level quantum-safety mechanism for MWEB commitment binding; not implemented or activated on mainnet. 17. TradingView, Litecoin / U.S. Dollar (LTCUSD, Coinbase), daily chart, retrieved 11 August 2026. 18. TradingView, Dogecoin / U.S. Dollar (DOGEUSD, Coinbase), daily chart, retrieved 11 August 2026. 19. Gartner - agentic-workload and inference-cost estimates: agentic models may require 5–30 times more tokens per task than a standard generative-AI chatbot, and the cost of inference for a one-trillion-parameter model is expected to fall by more than 90% between 2025 and 2030. 20. Gartner - AI-optimized infrastructure-as-a-service spending forecast: approximately $42.3 billion in 2026, of which approximately $23.3 billion (55%) inference. 21. The Business Research Company - global AI accelerator market: approximately $26.4 billion in 2026 rising to approximately $68.4 billion by 2030 (CAGR approximately 26.9%); category spans GPUs, ASICs and other AI processors. 22. Competitive landscape of AI silicon - hyperscaler in-house accelerators and inference-focused entrants; based on vendors’ public product disclosures and understood as of early 2026. 23. Company information; Lokotech Group AS Annual Report 2025 - the Company’s ASIC and its AI-inference capability, on-demand and low-power inference design intent, efficiency on a mature process node, early technology-readiness level of the AI features, and hosting operations using Norwegian renewable hydropower.
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10 I Semi-Annual Report Lokotech Group AS 2026 Powerpool Mining SL – A Summary of First Half of 2026 Operational Highlights The first half of 2026 tested Powerpool's business model, and the model held up. The pool kept growing where it matters most over time: more clients, more hashrate on SHA-256, and a new Zcash (ZEC) vertical supporting the Z11 and Z15 series of Equihash miners, which is already generating significant revenue. Measured in fiat currencies, however, financial performance was more moderate than in previous periods, as cryptocurrency prices fell across the whole sector during the first half of the year. Management considers this a market cycle rather than anything structural and has used the period to keep growing volumes and to prepare the business for when prices recover. Financial Development of Powerpool Mining SL Powerpool Mining SL delivered net revenues of €322,138 in the first half of 2026, compared with €447,951 in H1 2025 and €426,268 in H2 2025. That is a decrease of approximately 24% versus H2 2025 and 28% year-over- year. Average daily net revenue was €1,780, against €2,316 in H2 2025 and a full-year 2025 average of €2,395. Daily revenue has not kept up the growth pace of 2024 and 2025, when average daily net revenue grew around 54% year-over-year. The reason is external. Powerpool charges its fees as a percentage of the mining proceeds generated by its clients, so when cryptocurrency prices fall, revenue measured in euros follows, even if the hashrate connected to the pool (volume), the number of clients, and the amount of cryptocurrency produced stay stable or grow. The pool's operational metrics kept improving throughout the period: the larger client base and hashrate will increase the impact if prices normalize. Period Net revenue (€) Avg. daily net revenue (€) H1 2025 447,951 2,475 H2 2025 426,268 2,316 H1 2026 322,138 1,780 For comparability, the 2025 figures above reflect a change in accounting treatment that Powerpool applied from the second half of 2025: server costs and management remuneration are now expensed as incurred instead of being capitalized. This gives a more conservative H1 2026 figures per the interim financial statements at 30/06/2026 (revenue €322,138; EBITDA €142,848; operating costs €179,290). The H2 2025 figures reflect the revised accounting treatment described below.
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Semi-Annual Report Lokotech Group AS 2026 I 11 and transparent picture of the cost base, and it has a positive impact on the tax position at group level. On this comparable basis, operating costs in the first half of 2026 were in line with the second half of 2025. The main items were ongoing server costs, increased spending on audit preparations and governance, as well as marketing efforts like advertising, conferences, and travel. Despite the weaker revenue, Powerpool remained profitable, with a net result of €21,194 for the period, and closed the half with €183,559 in cash and cash equivalents. Operations and ongoing development continue to be funded entirely from the pool's own cash flow. Since June 30, the sentiment has already begun to turn. The recent increase in cryptocurrency prices has positively impacted the revenue and value of current assets in the balance sheet. Cryptocurrency Price Development The price correction that started in the second half of 2025 continued into 2026, and it hit the whole market, Scrypt and SHA-256 assets alike. Litecoin, which ended 2025 at around $76–79, traded near $55–56 in late March and closed the period at around $42 on June 30, 2026, roughly 45% below year-end 2025. Dogecoin, the main asset by value produced through Powerpool's Scrypt vertical via merge mining, followed the same path, moving from around $0.117 at year-end 2025 to around $0.070 on June 30, down approximately 40%. Bitcoin fell from around $87,900 at the start of the year to around $58,800 on June 30: a drop of roughly 33%, which affected proceeds on the pool's SHA-256 side as well. It is worth noting that network activity and mining participation have stayed strong throughout the correction. That gap between market sentiment and actual usage supports a constructive multi-year view of the mining ecosystem. Mining difficulty eased on both of the pool's main algorithms. SHA-256 difficulty went from about 148.3T at the start of the year to about 133T on June 30, down roughly 10%, while Scrypt difficulty went from about 97.9G to 90.8G, down roughly 7%. Lower difficulty means more coins produced per unit of hashrate, which softened part of the price effect for the pool's clients. Downturns like this also tend to favor efficient, well-run operators, as hashrate consolidates toward the pools with the better technology and service, which is where we strive to position Powerpool. Algorithm Expansion – Zcash and Equihash During the first half of 2026, Powerpool launched support for Zcash (ZEC) mining on the Equihash algorithm, with full support for the Z11 and Z15 series of miners. The launch went better than expected. The service had been publicly accessible for only 31 days when the half year ended, and in that time the pool attracted 75 MH/s of Equihash hashrate, about 0.35% of the global network of 21.64 GH/s. Meaningful revenue has already come from this market. The momentum has continued after period- end: at the time of this report, Powerpool's Equihash hashrate stands at 200 MH/s, more than two and a half times the June level. After the ETCHash launch in December 2025, this is the second new vertical the team has opened within six months, and it follows the same strategy of adding blockchains, diversifying revenue for miners, and strengthening the pool's position across ecosystems. Operational Fundamentals The underlying drivers of the business kept moving in the right direction. The pool served 13,187 clients globally at period-end, up from 10,815 at the end of 2025. Retention among new clients remains strong. Adoption of the Powerbridge dedicated-server solution has been slower than expected, but the rollout has taught us something useful about the market: mining farms prefer to start with a hosted solution nearby, keeping dedicated infrastructure without having to manage it on site, rather than running an installation themselves. That preference plays to Powerpool's strengths as an infrastructure operator, and the Powerbridge go-to- market approach is being adjusted to match it. On the compliance side, Powerpool continues to build on the SOC 2 certification completed in 2025. Preparations for a SOC 1 certification are done, and all documentation is in place. The audit itself will be commissioned when customer requirements show a concrete need for it. This way the pool can meet institutional standards at short notice, while compliance spending goes where it creates value. The pool's hashrate held up well in a shrinking market. SHA-256 hashrate grew from 714 PH/s in January to 788 PH/s in June, up about 10% in a period when network- wide SHA-256 difficulty fell by roughly the same amount, which indicates a clear increase in market share. Scrypt hashrate stayed broadly stable at 53.66 TH/s (January: 56.83 TH/s), easing slightly less than the network-wide decline in Scrypt difficulty, so Powerpool kept its relative position through the downturn. Holding and gaining share while prices fall puts the pool in a good spot to turn the eventual recovery into fee revenue. Management remains focused on what it can control: volume growth, platform and product development, and fee structure optimization, with the aim of building a revenue base that is more resilient and diversified through the cycle.
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12 I Semi-Annual Report Lokotech Group AS 2026 Powerpool Hosting AS Commercial Launch Powerpool Hosting reached a major milestone in the first half of 2026: commercial operations are up and running, completing the move from the pilot groundwork laid in 2025. The PowerHosting service, available at hosting. powerpool.io, brings hardware ownership, power management, and mining rewards together in one place. Customers select a machine, Powerpool hosts and operates it in Norway using renewable hydropower, and mining proceeds flow directly through the pool with electricity costs deducted. No separate hosting invoices, no electricity bills, no hidden fees. The launch coincided with the weaker price environment described above. The exceptional pre-launch demand, a waitlist of roughly 400% of pilot capacity, was built at a time when high cryptocurrency prices made hosted mining especially attractive, and onboarding has since moved at a more measured pace than that early interest suggested. Management sees this as a question of timing rather than demand. The waitlist showed that the market for hosted mining is real, and the operating model described below lets Powerpool run the facility at full capacity while customer demand converts as conditions improve. Full Facility Utilization and Flexible Deployment The facility offers 36 hosting spots, of which 18 are deployed with customer machines. The other 18 run for Powerpool's own account, operated from Powerpool Hosting's balance sheet. This follows the dual-track approach set out at launch, where part of the hardware was intentionally meant to operate from the company's balance sheet while enabling opportunistic sales when terms are favorable. All 36 slots are allocated and have generated mining proceeds from day one, and capacity can be released to customers as demand converts. In the meantime, Powerpool itself captures the upside of its own low-cost, renewable-powered infrastructure. Eight of the internally operated machines are currently under repair and are expected to return to production before the fourth quarter of 2026, which will further strengthen internally generated mining output in the second half of the year. The maintenance rate underlines the importance of sourcing from a quality-oriented hardware manufacturer. Outlook for the Hosting Vertical Customers' appetite for hosted mining closely tracks cryptocurrency prices, so the current environment could arguably represent a good entry point for new hosting clients if market conditions normalize. The contract structure, with lifetime agreements defined as a 30-year lease term and a buyback option from Powerpool once a machine becomes unprofitable, is designed to keep the offering attractive throughout the market cycle. The pilot infrastructure, a liquid-cooled Modular Data Center Unit in Northern Norway, keeps producing valuable operational experience for future site buildouts. Powerpool Hosting expects to be able to test different cooling solutions, as the harsh Arctic conditions require special attention to choice of liquids and maintenance regimes. Norway and the United States remain the primary geographies for future expansion. The plan to scale hosting to multiple megawatts stands, but the pace of expansion will have to reflect demand.
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Semi-Annual Report Lokotech Group AS 2026 I 13 Corporate Governance The Board of Directors was reduced in size in June 2026 by removing management from the Board to increase independence and strengthen corporate governance. The Board currently consists of five members with diverse expertise in technology, finance, and business development. Åbyholm, Kristin: Master of Science in computer technology from NTNU in Trondheim and an Executive Master of Management from the Norwegian Business School (BI) in Oslo. She has 15+ years’ experience in IT companies, working in Oslo, London, and San Francisco. She has several years of board experience with listed companies. Fosse, Hans Jørgen: Master of Science in Electrical Engineering from South Dakota School of Mines and Technology. He has worked as an electronics developer and team leader in several companies and has experience from product development and production. He currently holds the position as Senior System Engineer at WLF Energy GmbH. Flataker, Ståle: Norwegian energy professional and entrepreneur with a diverse career spanning financial trading, renewable energy, and consumer innovation. He holds a Cand.polit. degree in Macroeconomics from the University of Bergen. He currently serves as Senior Originator at Statkraft, Europe’s largest generator of renewable energy. He is also founder and chairman of Babliss AS, the company behind the globally successful baby rocker Sleepytroll®. Johansen, Yngve: Cand.scient. in physics from NTNU. Has been involved in technology development for the oil industry internationally and nationally for 26 years (9 years at SLB, 4 years at Statoil and 13 years at AkerBP). He currently serves as R&D Manager for AkerBP’s Business Unit Subsurface. Johansen has a broad technology network within academia and industrial R&D. Johansen also has experience from board positions in several smaller Norwegian companies. Johansen is the chairman of the board. Nuguru, Susheel: Holds an M.Sc. in Electronics from Tampere University of Technology in Finland. He has worked as a Senior Software Designer at Nokia, Ericsson, and ARM, and currently serves as Senior Engineering Manager at Nordic Semiconductor ASA. He served four years on the board of Nordic Semiconductor during the years 2018–2022 and has been a board member of Lokotech Group AS since 2023. In addition to the Board of Directors, the Company has an advisory board, where the newest addition is Mrs. Deepali Yemul. She works as Principal Performance Analysis Engineer at ARM in Trondheim and will be an important part of testing and quality assurance when we receive the first physical silicon. The advisory board may be expanded in the second half of 2026.
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14 I Semi-Annual Report Lokotech Group AS 2026
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Semi-Annual Report Lokotech Group AS 2026 I 15 Board of Directors Report The Group's revenue was NOK 3,818,366 in H1 2026 compared to NOK 5,227,119 in H1 2025 and NOK 10,309,355 in FY 2025. For the parent company, revenue ended at NOK 2,785,308 for H1 2026, where NOK 2,917,707 was booked in H1 2025. The figure was NOK 6,297,095 for FY 2025. The parent company only sells labor and forwards contractors' invoices to its subsidiaries. The slight decrease from H1 2025 to H1 2026 is due to fewer hours invoiced to daughter companies. The H1 result for 2026 was NOK -14,250,314 for the Group, and NOK -4,092,537 for the parent company. The Group's primary costs relate to operational expenses, depreciation of R&D from previous years, and payroll expenses, with a large non-cash item accounting for the majority of these costs, as explained below. The difference between the parent company and the Group is mainly due to the depreciation of R&D conducted in Lokotech AS in previous years. For H1 2026, depreciation of R&D connected with the ASIC accounts for NOK 4,839,609. The rest of the deficit originates from other operational expenses, being 4,326,380 in the parent company, while in total 8,625,745 for the group. NOK 4,309,524 originates from Lokotech AS, while the rest from other subsidiaries. The payroll costs were NOK 3,543,987 for the Group, down from NOK 9,771,684 in H1 2025. The decrease is due to no new issued stock options and no accrued board fees as of 30.06.2026. Comparing the H1 2026 figures for the Group against the H1 2025 figures, the main difference is a decrease in revenue from Powerpool Mining SL, although Powerpool delivered better than the market. Total operating expenses also decreased, driven primarily by lower payroll costs following the absence of new stock option grants and lower depreciation, partly offset by an increase in other operating expenses. Total cash flow from operations in the Group was NOK -35,417,458 in the first half of 2026, while the operating result for the Group amounted to NOK -14,175,556. The difference is mainly due to accounting for prepayments of equipment related to the ASIC. For the parent company, total cash flow from operations was NOK -7,789,710, while the operating result for the parent company amounted to NOK -4,092,537. The Group's current assets as of 30 June 2026 were NOK 137,342,320, mainly consisting of the prepaid amount for the maskset and related production equipment NOK 99,621,038, and NOK 31,429,379 in cash or cash equivalents. For the parent company, the current assets were NOK 44 ,367,189. The large discrepancy stems from the parent company financing Lokotech ’s Production equipment, which is prepaid to the supplier at the balance date as well as inter-group invoicing of labor. Comparing the total cash to 31.12.2025, when the Group held NOK 37,002 ,186 in cash, the decrease of NOK 5,572,807 stems mainly from negative cash flow from operations related to prepayments of equipment for the ASIC, partly offset by continued equity contributions to the Group. The Group's ability to self-finance investments is considered good. As of 30 June, 2026, short-term debt represented 100% of total debt for both the Group and the parent company, unchanged from December 31, 2025. This is d ue to the Group having no long-term debt. As of June 30, 2026, the Group had sufficient liquid assets to cover its short-term d ebt using only a small portion of its most liquid assets. Total capital f or the Group was NOK 160,225,605 as of 30 June 2026, compared to NOK 142,314,068 at 31 December 2025. The equity ratio as of 30 June 2026 was 96 .28%, compared to 87.46% as of 30th of June 2025. For the parent company, total capital was NOK 186,509,799 as of 30 June 2026, compared to NOK 156,588,009 at 31 December 202 5. The parent company's equity ratio was 99.2% as of 30 June 2026, compared to 93% as of 30 June 2025. The Board proposes the following coverage of the deficit of NOK -4,092,537 in the parent company: Transferred from other equity. Subsequent Events On 2 July 2026, Lokotech AS announced that the first batch of wafers started fabrication at the foundry. On 27 August 2026, the company received confirmation that the maskset was completed and could reconfirm that fabrication is progressing as expected. Executing, validating and concluding gate-level power simulations have proved more challenging than expected due to the size and complexity of this design. Efforts continue on this task, but as the physical silicon is approaching quickly, management is considering whether it continues to be worthwhile pursuing a conclusion so close to the ar rival of the first ASICs. Tests performed on the physical silicon will reveal the true and final efficiency numbers for this design without further optim izations. Lokotech AS ordered the first production grade SPDUs and submitted them for certifications.
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16 I Semi-Annual Report Lokotech Group AS 2026 Arctic Core AS broke ground in Kautokeino and the site is steadily developing into a site available for operation with 2 MW power online. Future Development Market development in the coming years continues to be uncertain. We operate in an unusually volatile industry, as previously described in the market outlook section. We continue to observe general political risk, as certain nations or political parties seek either to ban or to facilitate cryptocurrency technology. Meanwhile, the current U.S. administration supports such facilitation through clearer regulatory frameworks. The outlook appears positive at this point, particularly as the SEC (in coordination with the CFTC) has classified 16 crypto assets, including Litecoin (LTC) and Dogecoin (DOGE), as digital commodities rather than securities. This means these assets (along with others on the list) are treated as commodities that can be traded under commodity regulations, providing greater regulatory clarity and reducing securities-law burdens. For Europe, the transition period for adoption of MiCAR ended July 1st 2026, effectively strengthening and clarifying regulations for cryptocurrency actors. Given that the outlook for blockchains continues on a positive trend when it comes to implementation into the world, Lokotech might transition its existing technology into new and even more competitive versions. As soon as the first physical tests are completed later in 2026, it is expected that the Scrypt features of the chip will move rapidly from TRL 6 up to TRL 8. At that point the company might refine the maskset further for improved production yield and other optimizations. Once the first commercial ASIC reaches the market, the company intends to pursue 2.0 versions with refined algorithms on more advanced process nodes, achieving significantly denser and more efficient computations than now. The company is also likely to start maturing and exploring the AI inferencing capabilities of the chip, regardless of the success of forming a JV as announced. Besides this, the company will also naturally pursue its position within the mining pool and hosting market by securing more power in rural districts in Northern Norway and elsewhere. It is the company’s opinion that data centers will be an important part of future Norwegian infrastructure. It is also the company’s view that with increased international geopolitical tension and the rule- based international order being weakened, it is likely that Norwegian authorities will appreciate Norwegian ownership in this industry. Early crypto operations, which are not particularly bandwidth-intensive, are a useful way to get started on a new and rural location while investing in improved infrastructure and then later transitioning into more traditional data center operations: high-performance compute, cloud infrastructure or AI specialized clusters. Transitioning into more traditional data center operation would also normally bring investments in infrastructure such as fiber, power grid, remote heating systems which all would be of value to rural districts. For the main business verticals, the short-term goals for 2026 include growing the powered land leasehold contracts to at least four megawatts, doubling the hashrate of the main algorithms in Powerpool and moving PowerHosting from its pilot scale to at least three megawatts. We aim to begin deliveries of the pre- ordered ASIC miners as soon as possible and initiate the second round of presales. We aim to launch the Smart Power Distribution Unit (SPDU) module on a broad scale, divest properties that are no longer considered strategically important for the group's core verticals, and find one or more partnerships to jointly commercialize the edge AI inferencing capabilities of this and the coming generations of the ASIC. Significant Risk Factors Research and development of new technology always involves an inherent risk of being delayed and not delivering results as expected or desired. The board considers this risk to be the most important for the company. If the results of the R&D efforts for the group's most important product prove to be unprofitable, despite the fact that the core technology has now been proven, the company will have to make significant write-downs. For the Scrypt use case, management believes that sufficient mitigation on a technical level has been done, and we are well on our way to proving this in physical silicon. In a simulated environment, however, there is no guarantee that every possible corner case has been verified, and there are financial and other risks related to “time to market” increases if these corner cases materialize. For any ASIC fabrication, there is a risk that the maskset will require “re-spins”. “Re-spins” are corrections or improvements to one or more layers either to solve functional errors from imprecision or to improve silicon yield. We classify such “re-spins” as engineering risk, and they will be closely monitored by the company now that tape-out has occurred. Geopolitical risk and increased friction in the Middle East may both directly and indirectly impact the company’s operations. Directly, shipping times and disruption of delivery on important input factors can limit production output, or impact prices for the semiconductor industry. Indirectly, the cryptocurrency markets followed the general markets with increased volatility and reduced investor appetite during the continued turmoil in the Middle East, which has had an unfavorable impact on global energy prices. The company also remembers COVID-19, with a spike in prices of raw materials used in the semiconductor industry. The continued threat of pandemic events like that of COVID-19 and the closure of societies entails a risk for the entire value chain in the company from the delivery of goods, illness among employees in production, quality control, as well as delivery from our R&D team.
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Semi-Annual Report Lokotech Group AS 2026 I 17 Elevated public debt, fiscal pressures, monetary-policy uncertainty, geopolitical developments, and a potential loss of confidence in sovereign debt could contribute to significant volatility or stress in global financial markets. Such developments could adversely affect the availability and cost of financing, interest rates, foreign-exchange rates, energy and equipment costs, the value of digital assets, and the ability of customers, suppliers and financial counterparties to meet their obligations. Given the Group’s international exposure, a loss of confidence in government debt or financial institutions in one major market could transmit rapidly to other regions and adversely affect the Group’s financial position and operations. Political risk in Norway and the overarching political negativity toward data centers, particularly those serving the blockchain industry, is something the company follows closely. Although we believe the debate remains insufficiently nuanced and far less future-oriented than it should be, with politicians seeking to discriminate against and regulate certain activities such as energy- intensive Proof-of-Work chains, we consider this risk to be adequately mitigated from a risk perspective. Several other jurisdictions with favorable regulations and low power prices are continuously under consideration. Our strong view, however, is that prohibiting this activity would violate the EEA Agreement. Driving the activity out of Norway would not only reduce tax revenues but also diminish the positive local impacts where mining takes place: better grid utilization lowers grid fees for everyone, and the opportunity to capture and reuse waste heat can reduce energy costs associated with heating. There is also significant global regulatory risk for the Company, as some jurisdictions are considering or implementing restrictions or bans on cryptocurrency mining, or on cryptocurrencies more generally. We consider the SEC’s approval of cryptocurrency ETFs to be a risk-reducing factor when assessing these risks from a global perspective rather than a national one. Readers should bear in mind that new regulations, taxes, and/or fees may affect costs and revenue potential related to operating miners, operating data centers, and delivering software services. Other external factors, such as labor strikes, may also affect the progress and results of the Company’s development and operations. Market risk means that the company will be exposed to the general risks associated with new technological solutions within hardware and software for blockchain technologies. Competing solutions can diminish the attractiveness of the company’s products and services, and we’ve seen both new entrants and incumbents that have continued to develop their product offerings. The risk of a competing product emerging that beats us on efficiency increases as time goes by, and the company would like readers to consider this risk higher than in earlier years. The main mitigating factor for Lokotech is the fact that our ASIC design is made on a relatively mature production node and incorporates quality-of- life features that do not exist in this niche today. Moving to a more advanced node will drastically improve the design’s efficiency without relying on major research breakthroughs to get there. Financial risk consists mainly of investment, currency, credit, and liquidity risk. Lokotech Group monitors these factors continuously, and these risks are explained in the sections below. Credit risk consists of the risk that counterparties do not have the financial ability to fulfill their obligations and is currently considered to be relatively low. The majority of the group's suppliers are considered to carry low credit risk. Where applicable, the group of companies uses extra precautionary measures to reduce such risks. The group's liquidity risk is low. The liquidity of the company is considered satisfactory under the current size of the operation, and it has not been decided to introduce measures that change liquidity risk. Currency risk, however, is considered more relevant for the company. Future revenues are expected in currencies other than Norwegian kroner: US dollars or cryptocurrency converted into US dollars or Euros, while parts of the operating, development and production costs are incurred in Norwegian kroner and US Dollars. The company will in the future consider using currency hedging strategies if the risk becomes too high and has sourced suppliers to assist in hedging such risks when it becomes more applicable. For now, the company has taken some currency positions to reduce currency risk for its expected obligations. We are concerned that the continued accumulation of global public debt could result in fiscal tightening, sustained higher interest rates, inflation volatility, and reduced investor risk appetite, potentially leading to tighter global liquidity and heightened macroeconomic instability, all of which can affect the company negatively. Cryptocurrency prices are a risk factor that is relevant to the group. The group has exposure to various cryptocurrencies from time to time, and the attractiveness of its products is related to cryptocurrency market fluctuations, including cryptocurrency prices, network difficulty and hashrate volumes. The company has in the above text given the reader information that the company finds relevant in considering this risk. Both directly and indirectly, volatile and/or sustained high energy prices can be considered a risk factor for the company. Higher energy prices reduce the profit potential of the company’s customers, and could affect future sales prices, as well as impact the profitability of the hosting and data center businesses. Going Concern In accordance with Section 2-5, paragraph eight of the Norwegian Accounting Act, the Board of Directors has performed a thorough assessment of the Group’s ability to continue as a going concern in connection with the preparation of the financial statements for the half-year ended June 30, 2026. The assessment is based on the Group’s financial position at period-end (30 June 2026),
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18 I Semi-Annual Report Lokotech Group AS 2026 expected cash flows, capital structure, and the Board’s plans for future operations. The Board’s assessment is based on realistic assumptions regarding future operations, taking into account existing contracts, market conditions, and planned activities within the Group’s main business verticals. Based on this assessment, the Board is of the opinion that the going concern assumption is appropriate. Accordingly, the financial statements for the first half of 2026 have been prepared on a going concern basis. Location, Working Environment and Gender Equality The company operates out of its headquarters in Oslo, Norway. The group of companies, however, has sites and operations in Telemark, Halden, Kautokeino, and other smaller sites across northern Norway. Powerpool Mining SL is headquartered in Madrid, Spain. Employees benefit from working remotely when preferred. There are five employees in the group at the time of submission of the report, all men. The company prioritizes gender equality when there are equally qualified candidates to be hired, and there is an overall expressed wish among the employees to hire qualified women. Informal feedback from employees indicates highly positive attitudes towards the working environment, pointing to flexible work hours and stable salary payments even in months where contributions subjectively have not been in line with expectations. Health-wise, the company’s biggest concern is ergonomics. The company allows and supports any employee’s wishes or requirements to alleviate issues related to such, for example, free choice of office chair and other equipment. All employees also enjoy health insurance to cover injuries or health issues related to this topic, including physiotherapy and ergonomics advice. All employees are remunerated with fixed annual salaries. The company has recorded 2.1% sick leave. Management believes this figure is artificially low and is related to reporting, or more precisely the lack thereof. There have been no instances where sick leave has surpassed 14 days in length. External Environment Lokotech Group AS focuses on sustainable blockchain systems that can contribute to reduced energy consumption and a smaller CO₂ footprint. The Company also explores opportunities where stranded energy, surplus energy that would otherwise not reach the power grid, can be utilized for decentralized or centralized computing. Lokotech Group AS considers the operation of mobile distributed computing units (MDCUs) and decentralized computing systems, whether based on blockchain technology or not, to be a potential part of the future energy landscape. Such systems can help enable more efficient utilization of surplus power generated by solar, wind, and other energy sources. The company encourages employees to use public transportation when available and provides free parking and charging for those who drive electric vehicles to our office location. All employees commuting by car have opted for electric vehicles. We prioritize digital meetings over physical travel whenever feasible. CO₂ offsetting for air travel is voluntary, and the company covers the cost if an employee chooses to offset their carbon footprint. Loans and Other Transactions with Employees and Related Parties The group offers liquidity loans to its employees from time to time, secured in future salary or other monetary compensation. At the balance date, no such loans were outstanding. The group also holds certain liabilities towards employees from time to time, connected with outlays in company procurement of goods and services. On June 30, 2026, such liabilities totaled NOK 3,874. A group company, Arctic Core AS, has a lease agreement on a property owned by an entity that the group’s Chairman, Yngve Johansen, controls. The annual rent for 2026 amounted to NOK 45,000. Liability Insurance & Additional Scheme The company has taken out liability insurance for the members of the board and senior employees. The insurance sum covers damages of up to NOK 10 million per claim. An additional arrangement was adopted by the general meeting in 2022. The additional arrangement means that the company indemnifies the members of the board of directors or senior employees against any liability that third parties and/or shareholders may have or incur against the relevant representatives in their capacity as directors of the company and applies regardless of whether the liability arose in the past or arises in the future. The Board of Directors' Statement We confirm, to the best of our knowledge, that the unaudited, consolidated interim financial statements for the period from January 1 to June 30, 2026 have been prepared in accordance with accounting standards for the group and that the information in these financial statements gives a true and fair view of the company and the group's assets, liabilities, financial position and profit or loss as a whole, and that the half-year report gives a true and fair view of the information specified in Section 5-6 of the Securities Trading Act.
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Semi-Annual Report Lokotech Group AS 2026 I 19 Oslo, 31 August 2026 The Board of Directors of Lokotech Group AS Yngve Johansen Chairman of the Board (Electronically signed) Hans Jørgen Fosse Member of the Board (Electronically signed) Kristin Åbyholm Member of the Board (Electronically signed) Susheel Nuguru Member of the Board (Electronically signed) Ståle Flataker Member of the Board (Electronically signed) Semi-Annual Report Lokotech Group AS 2026 I 19
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20 I Semi-Annual Report Lokotech Group AS 2026
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Semi-Annual Report Lokotech Group AS 2026 I 21 Income Statements Lokotech Group AS PARENT COMPANY GROUP 30/06/2026 31/12/2025 30/06/2025 Appx. 30/06/2026 31/12/2025 30/06/2025 OPERATING INCOME AND OPERATING EXPENSES 2,785,308 6,297,095 2,917,707 Revenue 3,818,366 10,309,355 5,227,119 - - - Other operating income - 16,010 5,816 2,785,308 6,297,095 2,917,707 Total operating income 1 3,818,366 10,325,365 5,232,935 - - - Cost of goods sold 7,059 5,595 919,215 3,160,103 16,716,940 9,435,911 Payroll expenses 2 3,543,987 17,209,472 9,771,684 18,400 39,400 12,500 Depreciation 3,4 4,839,609 11,342,641 6,640,806 4,326,380 6,622,172 3,017,516 Other operating expenses 2,5 8,625,745 16,236,117 6,142,006 7,504,883 23,378,512 12,465,927 Total operating expenses 17,016,400 44,793,825 23,473,711 -4,719,575 -17,081,417 -9,548,220 Operating profit (EBIT) -13,198,034 -34,468,460 -18,240,776 FINANCIAL INCOME AND FINANCIAL EXPENSES 1,737,758 3,170,000 711,125 Interest income from group companies - - 210,985 868,782 193,402 Other interest income 247,993 924,873 197,908 517 3,371,975 2,901,625 Other financial income 100,970 538,810 500,169 10,053,200 - Impairment of financial assets 802,972 - - - Interest expense 1,326,485 1,036,421 - 1,322,222 567,041 540,524 Other financial expenses 819,565 627,038 -3,209,484 3,265,628 Net financial items -977,522 -375,709 -121,488 -4,092,537 -20,290,901 -6,282,592 Profit before tax -14,175,556 -34,844,169 -18,362,264 - 329,819 - Income tax expense 6 74,758 1,959,388 - -4,092,537 -20,620,720 -6,282,592 Net profit for the year -14,250,314 -36,803,557 -18,362,264 - - Non-controlling interests 78,951 1,632,451 1,054,763 -4,092,537 -20,620,720 -6,282,592 Total appropriations -14,329,265 -38,436,008 -19,417,027
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22 I Semi-Annual Report Lokotech Group AS 2026 Balance Sheets Lokotech Group AS PARENT COMPANY GROUP 30/06/2026 31/12/2025 30/06/2025 Appx. 30/06/2026 31/12/2025 30/06/2025 ASSETS Non-current assets (Fixed assets) Intangible assets - - Development costs 3 9,580,304 15,291,423 6,415,913 - - Goodwill 3 3,904,994 4,351,602 5,564,869 - - Deferred tax 553,484 579,542 - - - Total intangible assets 14,038,782 20,222,567 11,980,782 Property, plant and equipment - - Land, buildings and other real estate 4 7,624,093 3,492,407 4,286,584 - - Machinery 4 444,354 62,000 12,666,343 46,618 65,018 91,918 Eqiupment 4 776,056 497,426 46,618 65,018 91,918 Total property, plant and equipment 8,844,503 4,051,833 16,952,927 Financial non-current assets 13,361,598 13,361,598 13,361,598 Investments in subsidiaries 7 - - 128,734,394 95,642,462 98,022,770 Loans to group companies 8 - - 142,095,992 109,004,060 111,384,368 Total financial non-current assets - - - 142,142,610 109,069,078 111,476,286 Total assets 22,883,285 24,274,400 28,933,709 CURRENT ASSETS - - Inventories 9 780,061 825,322 - Receivables Prepayments to suppliers 73,884,074 19,506,691 16,025,055 - Trade receivables from group companies 10 - - -1,130,504 -788,342 12,853,337 Other current receivables 10 104,162,646 79,313,338 5,544,051 18,376,187 15,236,713 12,853,337 Total receivables 104,162,646 79,313,338 79,428,125 Investments - - Other financial instruments 11 970,234 898,822 2,270,429 - - Total investments 970,234 898,822 2,270,429 25,991,002 32,282,218 44,658,624 Cash and cash equivalents 12 31,429,379 37,002,186 52,387,488 44,367,189 47,518,931 57,511,961 Total current assets 137,342,320 118,039,668 134,086,042 186,509,800 156,588,009 168,988,247 Total assets 160,225,605 142,314,068 163,019,751
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Semi-Annual Report Lokotech Group AS 2026 I 23 Lokotech Group AS PARENT COMPANY GROUP 30/06/2026 31/12/2025 30/06/2025 Appx. 30/06/2026 31/12/2025 30/06/2025 EQUITY AND LIABILITIES Contributed equity 34,543,025 31,451,529 31,451,528 Share capital 13 34,543,024 31,451,529 31,451,528 240,493,195 208,994,266 199,641,872 Share premium 13 240,493,195 208,994,266 199,641,872 19,915,389 19,915,389 17,637,488 Other paid-in equity 13 19,915,389 19,915,389 17,637,488 294,951,609 260,361,184 248,730,888 Total contributed equity 294,951,608 260,361,184 248,730,888 Retained earnings -105,849,974 -105,849,974 -85,229,253 Other equity (– accumulated losses) 13.14 -132,563,630 -131,266,351 -92,550,981 -4,092,536 -6,282,592 Unallocated profit for the year -14,329,265 -19,417,027 -109,942,510 -105,849,974 -91,511,845 Total retained earnings 13 -146,892,895 -131,266,351 -111,968,008 - - Non-controlling interests 13.14 6,209,800 6,105,918 5,813,300 185,009,099 154,511,210 157,219,043 Total equity 154,268,513 135,200,751 142,576,180 Liabilities Provisions for liabilities - - - Defferes tax liabilities 45,135 47,260 - - - - Total Provisions 45,135 47,260 - 3,194 3,194 - Other non-current liabilities 8 - - 3,194 3,194 - Total other non-current liabilities 45,135 47,260 - Current liabilities 609,654 322,826 11,018,080 Trade payables 622,019.91 922,328 12,611,483 - - Income taxes payable 6 928,439 1,448,107 - 570,641 1,053,719 431,882 Public duties payable 613,594 1,117,824 135,153 317,212 697,061 319,241 Other current liabilities 12 3,747,904 3,577,800 7,696,936 1,497,507 2,073,606 11,769,203 Total current liabilities 5,911,956.91 7,066,059 20,443,572 1,500,701 2,076,800 11,769,203 Total liabilities 5,957,091.91 7,113,319 20,443,572 186,509,800 156,588,010 168,988,246 Total equity and liabilities 13 160,225,604.91 142,314,070 163,019,752
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24 I Semi-Annual Report Lokotech Group AS 2026 Group Cash Flow Statement 30/06/2026 31/12/2025 Cash flows from operational activities Profit before tax expense -14,175,556 -34,844,169 Taxes paid for the period -594,426 -1,029,847 Share-based compensation expenses - 7,839,872 Depreciation 4,839,609 11,342,641 Inventories 45,261 -825,322 Change in other receivables -24,897,912 -2,672,526 Change in accounts payable -300,308 -735,892 Change in accruals/prepaid items -334,126 -5,802,022 Net cash flow from operational activities -35,417,458 -26,727,265 Cash flow from investing activities Payments for purchase of intangible assets 5,905,155 -1,865,835 Payments for purchase of property, plant and equipment -9,353,649 -75,196,558 Net cash flows from investing activities -3,448,494 -77,062,393 Cash flows from financing activities Contribution of equity 34,590,424 129,903,871 Dividends paid - -1,965,203 Net cash flows from financing activities. 34,590,424 127,938,668 Net cash flow for the period -4,275,528 24,149,010 Exchange differences -1,297,275 Net cash flow from financing activities 37,002,186 12,853,176 Net cash flow from financing activities for the period 31,429,383 37,002,186 This consists of: Bank deposits, etc. 31,429,379 37,002,186
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Semi-Annual Report Lokotech Group AS 2026 I 25 Parent Company Cash Flow Statement 30/06/2026 31/12/2025 Cash flows from operational activities Profit before tax expense -4,092,537 -20,290,901 Taxes paid for the period (withholding tax Spain) -329,819 Share-based compensation expenses - 7,839,872 Depreciation 18,400 39,400 Impairment of financial non-current assets - 10,053,200 Change in accounts receivable -3,139,474 -7,871,172 Change in accounts payable 286,828 -321,186 Change in other accruals/prepaid items -862,927 -18,929,556 Net cash flows from operational activities -7,789,710 -29,810,162 Cash flow from investing activities Payments for purchase of property, plant and equipment -39,418 Payments on group loans (short-/long-term) -33,091,932 -76,549,978 Net cash flows from investing activities -33,091,932 -76,589,396 Cash flows from financing activities Contribution of equity. 34,590,425 129,933,871 Net cash flows from financing activities. 34,590,425 129,933,871 Net cash flow for the period -6,291,217 23,534,313 Net cash flow from financing activities 32,282,218 8,747,906 Net cash flow from financing activities for the period 25,991,000 32,282,218 This consists of: Bank deposits, etc. 25,991,002 32,282,218
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26 I Semi-Annual Report Lokotech Group AS 2026
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Semi-Annual Report Lokotech Group AS 2026 I 27 Accounting Policies The interim financial statements are prepared in accordance with the Norwegian Accounting Act and generally accepted accounting principles. Use of estimates Preparation of financial statements in accordance with the Accounting Act requires the use of estimates. Furthermore, the application of the company’s accounting policies requires management judgment. Areas that involve significant judgments, high complexity, or areas where assumptions and estimates are material to the financial statements are described in the notes. Investments in subsidiaries and associates Subsidiaries are companies over which the parent company has control, i.e., the power to govern the financial and operating policies of the entity, usually through ownership of more than half of the voting rights. Investments where the company owns 20–50% of the voting rights and has significant influence are classified as associates. The following companies are included in the group as of 30 June 2026: Parent, subsidiaries and sub-subsidiaries Ownership Powerpool Hosting AS 66,65% Lokotech AS 100% Arctic Core AS 100% Harmonychain Development AS 100% Nordic Green Data Center AS 100% Arctic AI AS 100% Powerpool Mining, Spain 66.65% Trosvikvegen 49 AS 100% Associates: Winstone Holding AS 49.92% Accounting policies for investments in subsidiaries and associates The cost method is used for investments in subsidiaries and associates in the separate financial statements. The cost is increased when additional capital is contributed or when group contributions are made to a subsidiary. Dividends received are recognized as income in the income statement. Dividends exceeding the share of post-acquisition retained earnings reduce the carrying amount. Dividends/group contributions from subsidiaries are recognized in the same year as the subsidiary appropriates the amount. Dividends from other companies are recognized as financial income when declared. In the consolidated financial statements, the equity method is used for investments in associates. This results in the carrying amount in the balance sheet reflecting the share of equity in the associate, adjusted for any residual fair value adjustments from the acquisition and unrealized intercompany profits. The share of profit is recognized in the income statement based on the associate’s profit after tax, adjusted for amortization of fair value adjustments and unrealized gains. The share of profit is presented under financial items in the income statement. Consolidation principles Subsidiaries are consolidated from the date control is transferred to the group (acquisition date). Acquired subsidiaries are accounted for in the consolidated statements based on the parent company’s acquisition cost. Acquisition cost is allocated to identifiable assets and liabilities at fair value at the acquisition date. Any excess over the identifiable net assets is recognized as goodwill. Goodwill is treated as a residual and capitalized according to the share observed in the acquisition. Fair value adjustments in the consolidated financial statements are amortized over the expected useful life of the acquired assets. Revenue recognition Revenue from sale of goods and services is measured at the fair value of the consideration, net of VAT, returns, discounts, and other allowances. Sale of goods is recognized when the entity has delivered the products to the customer and there are no unfulfilled obligations that could affect customer acceptance. Delivery is not complete until the products are dispatched to the agreed location and risk of loss and obsolescence has passed to the customer. Historical data are used to estimate and recognize provisions for quantity discounts and returns at the time of sale. Provisions for expected warranty work are recognized as expense and liability. Service revenue is recognized over time as the service is performed. Classification of balance sheet items Assets intended for long-term ownership or use are classified as non-current assets. Assets related to the operating cycle are classified as current assets. Other
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28 I Semi-Annual Report Lokotech Group AS 2026 receivables are classified as current assets if expected to be repaid within one year. Similar criteria apply for liabilities. First-year installments of long-term receivables and liabilities are not classified as current. Acquisition cost Acquisition cost of assets includes the purchase price, less discounts, and adds directly attributable purchase costs (freight, customs, non-recoverable taxes, and other direct costs). For foreign currency purchases, the asset is recognized at the transaction date exchange rate, or at the forward rate when a forward contract is used. For property, plant, equipment, and intangible assets, acquisition cost also includes direct costs to prepare the asset for use, e.g., testing costs. Intangible assets and goodwill Goodwill arises from acquisitions of subsidiaries and is amortized over the expected useful life. Property, plant, and equipment Leased assets are capitalized if the lease is considered financial. Other long-term investments The cost method is applied to other equity investments. Dividends are recognized as financial income when declared. Dividends exceeding post-acquisition retained earnings reduce the carrying amount. Impairment of non-current assets If there are indications that the carrying amount of an asset exceeds its recoverable amount, an impairment test is performed. The test is done at the lowest level of assets generating independent cash flows. If the carrying amount exceeds both fair value and value in use, the asset is written down to the higher of fair value and value in use. Previous impairments, except for goodwill, are reversed if the reasons for impairment no longer exist. Receivables Trade receivables are recognized net of provisions for expected losses. Provisions are based on individual assessment and a general provision for other expected losses. Indicators include financial difficulties of the customer, likelihood of bankruptcy or restructuring, and payment delays. Other receivables are recognized at the lower of nominal and fair value (present value of expected future cash flows), unless discounting is immaterial. Provisions for losses are made similarly to trade receivables. Foreign currency Receivables and liabilities in foreign currencies are measured at the closing rate. Exchange gains/losses on sales and purchases in foreign currency are recognized as revenue and cost of goods sold. Liabilities Liabilities, except for certain provisions, are recognized at nominal value. Tax Income tax expense comprises both current tax and changes in deferred tax. Deferred tax is based on temporary differences between accounting and tax values, as well as tax loss carryforwards. Offsetting of temporary differences reversing in the same period is applied. Deferred tax assets are recognized to the extent future taxable profits are probable. Deferred tax assets and liabilities are presented net in the balance sheet. Inventories Inventories are measured at the lower of cost and net realizable value. Cost is determined using the FIFO method and comprises purchase price, import duties, non-refundable taxes, transport and handling costs, and other costs directly attributable to the acquisition of finished goods, materials and services. Trade discounts, rebates and similar items are deducted in determining the cost of purchase. Forregn currency The Group’s presentation currency is NOK. The financial statements of foreign operations whose functional currency differs from the presentation currency are translated in accordance with IAS 21 The Effects of Changes in Foreign Exchange Rates. For the subsidiary operating in Spain, whose functional currency is EUR, the income statement is translated into the presentation currency using average exchange rates for the period, as these approximate the exchange rates at the dates of the transactions. Assets and liabilities are translated at the average exchange rates prevailing during the period. Equity items are translated at historical exchange rates.
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Semi-Annual Report Lokotech Group AS 2026 I 29
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30 I Semi-Annual Report Lokotech Group AS 2026 Notes Note 1 Revenue PARENT COMPANY GROUP 30/06/2026 31/12/2025 30/06/2026 31/12/2025 2,785,308.00 6,297,095 Sales revenue 4,404,986 10,309,355 - - Other income -586,620 16,010 2,785,308 6,297,095 Total 3,818,366 10,325,365 Allocation by Business Segment 2,785,308 6,297,095 Administration - - - - Sale of goods - - - - Other income 3,818,366 10,325,365 2,785,308 6,297,095 Total 3,818,366 10,325,365 Geographical allocations 2,785,308 6,297,095 Norway 540,897 16,010 - - Other countries 3,277,469 10,309,355 2,785,308 6,297,095 Total 3,818,366 10,325,365 Note 2 Payroll expenses, number of employees, remuneration, loans to employees etc. PARENT COMPANY GROUP 30/06/2026 31/12/2025 Employee benefits expenses 30/06/2026 31/12/2025 2,665,963 5,670,323 Salaries 3,026,548 6,111,768 1,650,000 Accrued board fees - 1,650,000 387,531 1,292,548 Employer’s contribution 393,170 1,353,991 69,572 169,170 Pension expenses 69,572 169,170 7,869,872 Stock options 7,869,872 37,038 65,027 Other benefits 54,697 54,671 3,160,104 16,716,940 Total 3,543,987 17,209,472
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Semi-Annual Report Lokotech Group AS 2026 I 31 The Company has established a mandatory occupational pension scheme in accordance with applicable legislation. Remuneration to senior executives CEO Board Salary 747,944.00 - Board fees Pension expenses 19,254.00 - Other remuneration 5,062.00 - Options - - The Chief Executive Officer and the Chair of the Board have not entered into any severance agreements with the Company. No loans, guarantees or other security have been granted by the Company to members of the Board of Directors, the Chief Executive Officer or the shareholders. Options A total of 35,650,000 options have been issued as of the date of the financial statements, with a total valuation of NOK 7,869,872. The market value may deviate considerably from this figure, but the financial statements follow NRS (Norwegian Accounting Standards), which in turn refers to IFRS. Calculation of option value: The value of options granted during the period has been calculated using the Black-Scholes option pricing model. The model has been adjusted to account for a flexible strike price of 15% between NOK 0.423 and the market price at the time of exercise, by adjusting down the price of the security at the time of grant. The accounting provisions made in connection with employer's tax on the option programme are sought to be offset through the flexible strike price. Future changes in employer's taxation have been contractually accounted for. Assumptions used in the calculations: Parameter 2025 – Two-year options Comment Price at grant 0.3808 Adjusted down from 0.51 due to flexible strike Exercise price 0.423 Option term (years) 2 Risk-free interest rate (%) 3.55 % 2-year zero-coupon rate from Norges Bank Implied annualised volatility (%) 94.42 % Number issued 35,650,000
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32 I Semi-Annual Report Lokotech Group AS 2026 Shares and Options Held by Board Members and Group Management as of 30 June 2026 Name Position Ordinary shares ¹⁾ Options ²⁾ Repair options ²⁾ Benjamin Woodruff Miklozek 13,115,000* 3,200,000 — Ola Johan Stene-Johansen CEO 23,817,604** 6,000,000 — Yngve Johansen Chairman of the Board 8,102,162*** 4,750,000 — Susheel Nuguru Board Member 986,881 2,200,000 — Ståle Flataker Board Member 10,965,367**** 2,350,000 — Hans Jørgen Fosse Board Member 0 2,200,000 — Kristin Skau Åbyholm Board Member 0***** 2,200,000 — Ruben Gómez CPO and Board Member Lokotech AS 3,016,843 6,000,000 — Christoffer Løvdal CFO 300,000 — — Total 95,496,865 28,900,000 - ¹⁾ Shares * Benjamin Miklozek owns 12,115,000 shares through Blipit AS and 1,000,000 shares privately. 555,555 shares are owned by his wife, Marianne Løvdal. At the balance sheet date, Benjamin Miklozek holds 3,200,000 options. ** Ola Stene-Johansen owns 20,739,104 shares through Infigent AS, and 3,078,500 privately. He also holds 6,000,000 options at the balance sheet date. *** Yngve Johansen owns 8,102,162 shares through Black Monday Holding AS. He also holds 4,750,000 at the balance sheet date. **** Ståle Flataker owns 10,895,445 shares through BFS Invest AS. His three children collectively own 69,922 shares. He holds 2,200,000 options at the balance sheet date. ***** Kristin Skau Åbyholm owns 0 shares at the balance sheet date. Her related parties collectively control 41,485,819 shares in total: 22,291,014 shares through Norda ASA; 17,270,481 shares through INSR ASA; and 1,924,324 shares through Caaby AS. She holds 2,200,000 options at the balance sheet date. ²⁾ Exercise price NOK 0.423 per share, plus 15% of the difference between the share price at exercise and NOK 0.423. Options expire 24 June 2027 and repair options expired 24 June 2026.
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Semi-Annual Report Lokotech Group AS 2026 I 33 Exercised options during 2025 A total of 8,550,000 options were exercised with share deliveries in H1 2026. The volume weighted average strike prices for the options was 0,45637, bringing in a total capital of NOK 3,901,987 Number of options exercised Strike price T otal capital paid in Benjamin Miklozek 1,000,000 0.48205 482,045 Harald Wibye 1350000 0.47159 636646.5 Kjetil Westeng 425,000 0.46180 196,265 Kjetil Westeng 425,000 0.44520 189,210 Wiktor Miesok 1,000,000 0.46120 461,200 Henrik Danielsen 1,350,000 0.44520 601,020 Christian Rustad 3000000 0.44520 1335600 Total options 8,550,000 kr 3,901,987 Volume weighted average strike price 0,45367 Auditor’s remuneration expensed Parent company Group Statutory audit (including technical assistance with the annual financial statements) 185,000 534,718 Other assurance services Advisory services 115,000 115,000 Total 300,000 649,718
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34 I Semi-Annual Report Lokotech Group AS 2026 Note 3 Intangible assets and godwill Parent company Development Patent Sum Acquisition cost 01.01 408,538 133,367 541,905 Additions - - - Disposals - - - Acquisition cost 30.06 408,538 133,367 541,905 Accumulated depreciation 30.06 408,538 133,367 541,905 Book value 30.06 - - - Depreciation for the year - - - Group Patent Goodwill Development Sum Acquisition cost 01.01 133,367 9,105,430 50,536,303 59,775,100 Additions - - - Disposals - - -1,401,684 -1,401,684 Reclassification from intangible assets - - -268,170 -268,170 Other adjustments - Acquisition cost 30.06 133,367 9,105,430 48,866,449 58,105,246 Accumulated depreciation 30.06 133,367 5,200,435 39,286,146 44,619,948 Book value 30.06 - 3,904,995 9,580,303 13,485,298 Depreciation for the year - 446,608 4,041,266 4,487,874 Economic life: 3–5 years Goodwill is amortised on a straight-line basis over its estimated useful life of 10 years Depreciation method: Straight-line See note 7 for further details
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Semi-Annual Report Lokotech Group AS 2026 I 35 Note 4 Tangible fixed assets Parent company Operating assets Sum Acquisition cost 01.01 496,724 496,724 Additions - - Disposals - - Acquisition cost 30.06 496,724 496,724 Accumulated depreciation 30.06 450,106 450,106 Book value 30.06 46,618 46,618 Depreciation for the year 18,400 18,400 Economic life: 3–5 years Depreciation method: Straight-line Group Operating assets Buildings and plot Sum Acquisition cost 01.01 3,890,655 4,351,621 8,242,276 Additions 388,654 4,140,086 4,528,740 Disposals - - Reclassification to tagible assets 268,169 - 268,169 other adjustmenst 347,497 347,497 Other Acquisition cost 30.06 4,894,975 8,491,707 13,386,682 Accumulated depreciation 30.06 3,674,565 867,614 4,542,179 Book value 30.06 1,220,411 7,624,093 8,844,503 Depreciation for the year 343,335 8,400 351,735 Economic life: 3–20 years Depreciation method: Straight-line See note 7 for further details Annual lease of off-balance sheet operating assets Means of operation Rent Period Carrying amount Office 01.06.2021-31.12.2026 833,948
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36 I Semi-Annual Report Lokotech Group AS 2026 Note 5 Related party transactions Remuneration to key management is disclosed in Note 3, and balances with group companies are disclosed in Note 6. Parent company transactions with related parties as of 30/06/2026 Sale of services: Subsidiary: 2,785,308 Total sale of services: 2,785,308 Note 6 – Income Taxes Calculation of deferred tax / deferred tax asset Parent company Group 30/06/2026 2025 30/06/2026 2025 Temporary differences -94,032 -119,289 Property, plant and equipment -616,319 -1,129,711 - - Financial instruments - - -1,521,925 -1,521,925 Receivables 4,338,041 5,959,916 -1,615,957 -1,641,214 Net temporary differences 3,721,722 4,830,205 -46,445,822 -42,328,029 Losses carried forward -164,488,496 -153,072,695 -48,061,779 -43,969,243 Basis for deferred tax -160,766,774 -148,242,490 - - -10,573,591 -9,673,233 Deferred Tax Assets and Liabilities -33,540,438 -32,613,348 10,573,591 9,673,233 Of which not recognized deferred tax asset 33,540,438 32,613,348 - - Deferred tax in the balance sheet - - The reason for not recognizing the deferred tax asset is the uncertainty as to whether future taxable profits will be sufficient to utilize the tax benefit. The figures for the Group do not include amounts from Powerpool Mining SL.
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Semi-Annual Report Lokotech Group AS 2026 I 37 Basis for tax expense, changes in deferred tax, and current tax payable Parent company Group 30/06/2026 2025 30/06/2026 2025 Basis for current tax payable -4,092,537 -20,290,901 Profit before tax -14,601,498 -49,344,060 - -9,172,233 Permanent differences - -7,240,958 -4,092,537 -29,463,134 Basis for tax expense for the year -14,601,498 -56,585,018 4,092,537 29,463,134 Change in temporary differences 14,601,498 56,585,018 - - Basis for current tax in the income statement - - Taxable income (basis for current tax in the balance sheet) - - - - - - Basis for current tax in the income statement from Spain 311,491 4,894,905 Current tax payable in the balance sheet - - Current tax included in the tax expense - - - 329,819 Current tax included in the tax expense (Spain) 74,758 1,959,388 - - Current tax payable (Spain) 928,439 1,448,107 - 329,819 Current tax payable in the balance sheet 928,439 1,448,107
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38 I Semi-Annual Report Lokotech Group AS 2026 Note 7 – Equity Parent company Subsidiaries Office Ownership Equity 30.06.2026 (100 %) Result 30.06.2026 (100 %) Book Value Powerpool Hosting AS Oslo 100 % 82,100 -36,802 200,000 Nordic Green Data Center AS Oslo 100 % 357,068 -200,466 956,000 Lokotech AS Oslo 100 % -81,707,548 -9,100,485 - Arctic Core AS Oslo 100 % -13,860,443 -1,099,840 - Arctic AI AS Oslo 100 % 163,707 -24,995 178,984 Powerpool Mining Spain 66.65 % 16,724,303 311,491 12,026,614 Book Value 30.06.2026 13,361,598 Shares and receivables in subsidiaries Lokotech AS and Arctic Core AS have been written down to NOK 0. The shares in Nordic Green Data Center AS have been impaired by NOK 2,050,000. Group Investments in associates are accounted for using the equity method. Associate Office Ownership Equity 30.06.2026 (100 %) Result 30.06.2026 (100 %) Book Value Winstone Holding AS Oslo 49.92 % -5,823,698 -15,000 - Associate Office Ownership Winstone Holding AS Oslo 49.92 % Calculation of share of profit for the year Share of profit for the year - Share of profit for the year - Calculation of carrying amount as of 30 June Carrying amount as of 1 January - Share of profit for the year - Carrying amount as of 30 June - The receivable from the associate has been written down to NOK 0
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Semi-Annual Report Lokotech Group AS 2026 I 39 Note 8 Receivables and liabilities to group companies Parent company Trade receivables Other Receivables 30/06/2026 2025 30/06/2026 2025 Associated Companies 19,506,691 16,025,055 192,062,745 158,970,815 Written-down Value -1,521,925 -1,521,925 -63,328,352 -63,328,352 Associate - - 122,643 122,643 Written-down Value - - -122,643 -122,643 Total 17,984,766 14,503,130 128,734,393 95,642,463 Spec of short term-debt Parent Company Group Accrued vacation pay and salaries, including social security contributions 317,211 317,211 Other accrued expenses -11,170 2,831,364 697,061 3,577,800 Intercompany debt 2026 2025 Associated Companies 3,194 3,194 Written-down Value - - Total 3,194 3,194 Group Other receivables 2026 2025 Associate 92,643 92,643 Written-down Value -92,643 -92,643 Total - -
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40 I Semi-Annual Report Lokotech Group AS 2026 Note 9 Inventories Inventories are measured at the lower of cost and net realisable value in accordance with IAS 2 Inventories. Cost is determined using the FIFO method. The cost of inventories recognised as an expense during the period is listed below, and is included in cost of sales. 2026 2025 Inventories 780,061.00 825,322.00 Note 10 Prepayments for Property, Plant, and Equipment As of the reporting date, the Company has made prepayments for the acquisition of a machinery set. These prepayments are recognized as non-current assets and will be reclassified to property, plant, and equipment upon delivery and when the risks and rewards associated with ownership are transferred to the Company. The advance payment relates to a mask set, consisting of stencils used in semiconductor manufacturing. The mask set is employed to create patterns for etching circuits on silicon wafers. The prepayment is NOK 99 621 038.43. Note 11 – Investments in bonds, equity funds, and other financial instruments The Parent Company and the Group have invested funds in cryptocurrency amounting to NOK 0 and NOK 898 822,-, respectively. The amounts are measured at the lower of cost and fair value. Accordingly, an impairment loss has been recognized in the income statement regarding the bitcoin, reducing the carrying amount of the cryptocurrency to nil Note 12 Restricted Bank Deposits, Credit Facilities and Guarantees for the Financing of Subsidiaries Parent company Group 2026 2025 Restricted funds 2026 2025 146,763 146,763 Rental deposit 146,763 146,763 - 297,834 Employee tax withholdings - 312,520 Lokotech Group AS has committed to financing Locotech AS and Arctic Core AS until the ongoing development projects are completed.
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Semi-Annual Report Lokotech Group AS 2026 I 41 Note 13 Share Capital and Shareholder Information Share capital NOK 34 543 024,80 number of shares 690 860 496 nominal value NOK 0,05 per share Largest stockholders 30.06.2026 Overview of Major Shareholders as of 30 June 2026 Shareholder no. Number of shares Ownership interest 1 79,804,758 11.55 % NORDNET LIVSFORSIKRING AS 2 32,728,248 4.74 % PROZIUM AS 3 22,750,000 3.29 % GL FORVALTNING AS 4 22,291,014 3.23 % NORDA ASA 5 20,739,104 3.00 % INFIGENT AS 6 17,270,481 2.50 % INSR ASA 7 12,115,000 1.75 % BLIPIT AS 8 11,933,670 1.73 % Nordnet Bank AB 9 10,895,445 1.58 % BFS INVEST AS 10 9,000,000 1.30 % JUVEREN AS 11 8,941,850 1.29 % STRANDLI 12 8,806,270 1.27 % HOVE 13 8,102,162 1.17 % BLACK MONDAY HOLDING AS 14 8,000,000 1.16 % MPH CAPITAL PARTNERS AS 15 8,000,000 1.16 % AVANTO RIGHT TAIL AS 16 7,743,556 1.12 % MEUB INVEST AS 17 7,500,000 1.09 % GRAN 18 6,978,415 1.01 % PATIL 19 6,606,097 0.96 % WAXA AS 20 6,370,806 0.92 % PAPE Top 20 shareholders, total 316,576,876 45.82 % Other shareholders 374,283,620 54.18 % Total number of shares 690,860,496 100.00 %
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42 I Semi-Annual Report Lokotech Group AS 2026 Note 14 Equity Parent company Changes in equity for the period Share capital Share premium Other contributed capital Other equity Tot a l Equity as of 1 January 31,451,529 208,994,266 19,915,389 -105,849,973 154,511,211 Capital increase 3,091,495 31,498,929 - - 34,590,424 Share issue costs - Options - - - - Profit for the period - - -4,092,536 -4,092,536 Equity of 30.06 34,543,024 240,493,195 19,915,389 -109,942,509 185,009,099 Group Changes in equity for the period Share capital Share premium Other contributed capital Other equity Non- controlling interests Tot a l Equity as of 1 January Capital increase 31,451,529 208,994,266 19,915,389 -131,266,353 6,105,918 135,200,749 Share issue costs 3,091,495 31,498,929 34,590,424 Options - - - Profit for the period - - - - Dividens - - -14,329,265 78,951 -14,250,314 Exchange differences - Equity of 30.06 -1,297,275 24,931 -1,272,344 34,543,024 240,493,195 19,915,389 -146,892,893 6,209,800 154,268,515
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Semi-Annual Report Lokotech Group AS 2026 I 43
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post@lokotech.no Org. nr.: 818 709 692 www.lokotechgroup.com Address: St. Olavsgate 21B, 0165 Oslo, Norway