Slides
Page 1
Interim Management Statement Q2/H1 2026 Kartik Srinivasan, CEO Klaus H. Skovrup, CFO August 25, 2026 Q2 2026 INVESTOR PRESENTATION © NAPATECH 2026
Page 2
Q&A Session Following the presentation DK: +45 32 74 07 10 NO: +47 57 98 94 30 US: +1 646 307 1963 UK: +44 20 3481 4247 Participant Access Code: 4258574 To ask a question, press *1 on your telephone keypad. To withdraw your question, press *2 Texted questions can be submitted using the button on the website 2 Q2 2026 INVESTOR PRESENTATION © NAPATECH 2026
Page 3
Safe Harbor Statement This presentation has been prepared by Napatech A/S solely for information purposes. The presentation does not constitute an invitation or offer to acquire, purchase or subscribe for securities. Certain statements included in this presentation contain various forward-looking statements that reflect management’s current views with respect to future events and financial and operational performance. The words “believe,” “expect,” “anticipate,” “intend,” “may,” “plan,” “estimate,” “should,” “could,” “aim,” “target,” “might,” or, in each case, their negative, or similar expressions identify certain of these forward-looking statements. Others can be identified from the context in which the statements are made. Although we believe that the expectations reflected in such forward-looking statements are reasonable, these forward-looking statements are based on a number of assumptions and forecasts that, by their nature, involve risk and uncertainty. Various factors could cause our actual results to differ materially from those projected in a forward-looking statement or affect the extent to which a particular projection is realized. Factors that could cause these differences include but are not limited to the Company’s ability to operate profitably, maintain its competitive position, to promote and improve its reputation, to successfully operate its strategy and the impact of changes in pricing policies, political and regulatory developments in the markets in which the Company operates, and other risks. The information and opinions contained in this document are provided as at the date of this presentation and are subject to change without notice. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, the fairness, accuracy or completeness of the information contained herein. Accordingly, neither the Company nor its subsidiary undertakings or any of such person’s officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. 3 Q2 2026 INVESTOR PRESENTATION © NAPATECH 2026
Page 4
Q2 2026 INVESTOR PRESENTATION © NAPATECH 20264 Proven Core Infrastructure Strong, profitable foundation with continued design-win momentum AI Infrastructure Moving to Scale From design win to production and higher-volume deployment Expanding Customer and Partner Ecosystem Broader routes to market across Core and AI Infrastructure Leading with Adaptive AI NICs Programmable data movement for heterogeneous AI infrastructure Our Momentum Core strength today. AI infrastructure growth tomorrow.
Page 5
Q2/H1 2026 - Strong Financial Performance Q2 2026 INVESTOR PRESENTATION © NAPATECH 20265 1 2 3 4 5 6 7 8 0.0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 0.9 1.0 0 0.0 4.8 2025-Q2 0.2 6.0 2025-Q3 0.3 7.6 2025-Q4 0.0 5.7 4.8 6.3 7.9 5.7 7.4 0.3 7.1 2026-Q22026-Q1 AI Infrastructure Core Infrastructure Quarterly Revenue Trend ($M)Q2 results • Revenue: $7.4M (+55% YoY) • Driven by Core Infrastructure demand • Test orders in AI Infrastructure • Gross margin: 67% • Reflecting product mix and execution H1 results • Revenue: $13.1M (+61% YoY) • 2,671 units sold vs. 2,233 (+20% YoY) • Gross margin: 68% • Revenue guidance for 2026 is unchanged
Page 6
H1 2026 – Performance by Market Segment Core Infrastructure – Profitable Foundation • Revenue grew 65% year-over-year to $12.8M • ~70% gross margin demonstrates strong business quality • 12 design wins expanded our position across enterprise, telecom and cybersecurity • Provides the profitable foundation that funds our AI Infrastructure growth Q2 2026 INVESTOR PRESENTATION © NAPATECH 20266 0 5 10 15 0.0 0.5 1.0 2025 H1 2026 H1 7.8 12.8 Revenue ($M) AI Infrastructure – Next Growth Engine • Engineering engagements are progressing toward commercial production • Strategic investments today position the business for significant long-term margin expansion • Commercialization momentum continues to build across AI Infrastructure programs • Growing pipeline supports long-term revenue acceleration 0.0 0.5 1.0 1.5 2.0 0.5 1.0 2025 H1 2026 H1 0.4 0.3 Revenue ($M)
Page 7
H1 2026 – Performance by Geography Americas – Investing for Future Growth • Revenue grew 27% year-over-year to $7.3M • Strategic investments in AI Infrastructure position the region for long-term growth • Strong customer engagement across enterprise, AI and strategic accounts Q2 2026 INVESTOR PRESENTATION © NAPATECH 20267 0 2 4 6 8 0.0 0.5 1.0 2025 H1 2026 H1 5.7 7.3 Revenue ($M) Rest of World – Driving Profitable Growth • Revenue grew 141% year-over-year to $5.9M • Strong execution across OEM, telecom and enterprise customers • High-margin Core Infrastructure business continues to generate profitable growth 0 5 10 0.0 0.5 1.0 2025 H1 2026 H1 2.4 5.9 Revenue ($M)
Page 8
The Bottleneck in Heterogeneous AI Inference is Data Movement The market shift AI inference increasingly spans CPUs, GPUs and specialized accelerators, expanding the infrastructure layer we serve. Where the bottleneck moves Latency, utilization and cost per token now hinge on moving data efficiently, not on compute alone. Where we win Adaptive AI NICs: programmable infrastructure at the center of heterogeneous AI systems, and a durable attach point as deployments scale. Q2 2026 INVESTOR PRESENTATION © NAPATECH 20268
Page 9
Strong revenue and improving operating performance Continued momentum on revenue while costs are under control 0 20 40 60 80 0 2 4 6 8 66.9% 2025-Q2 70.5% 2025-Q3 69.9% 2025-Q4 69.8% 2026-Q1 67.3% 2026-Q2 4.8 6.3 7.9 5.7 7.4 55% GM% Revenue Revenue $M & GM% OPEX MDKK 0 20 40 60 0.0 0.5 1.0 2025-Q2 2025-Q3 2025-Q4 2026-Q1 2026-Q2 42.6 35.1 40.4 44.5 41.2 13.2 29.4 9.6 25.5 12.2 28.2 11.3 33.1 9.6 31.6 -3.4% Other external costs Staff costs Q2 2026 INVESTOR PRESENTATION © NAPATECH 20269 Q2 H1 Q2 YTD DKK million 2026 2025 2026 2025 ∆ ∆ Revenue 48.1 31.6 84.7 55.4 52% 53% Gross profit 32.3 21.1 57.9 37.9 53% 53% Gross margin 67.3% 66.9% 68.3% 68.4% Staff & Other ext. Costs -41.2 -42.6 -85.6 -91.5 -3.4% -6.4% Transferred to devolopment costs 2.2 1.8 3.0 4.9 19% -39% EBITDA -6.6 -19.6 -24.8 -48.7 Depreciation & amortization -2.6 -5.9 -5.9 -12.3 -55% -52% Operating result (EBIT) -9.2 -25.5 -30.7 -61.0
Page 10
Negative cash flow in Q2 mainly due to Working Capital Backloaded invoicing in Q2 2026 and ramp-up of inventories are driving increased working capital Cash & Cash equivalents, MDKK Net Working Capital, MDKK Q2 2026 INVESTOR PRESENTATION © NAPATECH 202610 Q2 H1 DKK million 2026 2025 2026 2025 Earnings before tax (EBT) -9.5 -28.2 -30.9 -65.0 Adjustments 5.1 10.6 10.9 21.2 Working capital adjustments -26.1 -0.4 -15.3 0.7 Net cash flow from operating activities -32.1 -18.6 -36.9 -44.3 Net cash flow used in investing activities -3.3 -2.5 -4.3 -6.3 Free cash flow -35.3 -21.2 -41.1 -50.6 Net cash flow used in financing activities -0.8 121.1 -23.5 121.6 Net change in cash and cash equivalents -36.2 -99.9 -64.6 71.0 Cash available, end of period 84.3 136.8 84.3 136.8 Cash beginning of Q Net cash adjusted EBT WC adjustments Interest, tax, & FX Investing activities Financing & FX Cash end of Q Undrawn committed facilities Cash available 99.1 -4.4 -26.1 -1.6 -3.3 -1.0 62.7 21.6 84.3 NWC Q1-26 19.5 Inventories 16.4 Receivables -9.6 Payables and provisions NWC Q2-26 72.8 99.1
Page 11
Financial outlook for 2026 Guidance Previous guidance Revenue DKK 200 – 240M DKK 200 – 240M Units sold 7,700-9,700 8,700-10,700 Gross margin 60 - 70% 60 - 70% Staff expenses & Other external costs DKK 170 – 180M DKK 170 – 180M Staff costs transferred to capitalized development costs DKK 5 – 8M DKK 5 – 8M The company is exposed to risks that might affect our ability to reach our goals, such as currency fluctuations, general market uncertainty, and material changes in our large OEMs’ needs for Napatech’s products. We have seen increasing market uncertainty, particularly related to potential trade barriers, including tariff increases in the United States. With our products manufactured in the US and most of our customers also located in the US, we do not feel overly exposed. However, the lack of predictability and uncertainty surrounding tariff increases is a concern, and we will be monitoring the development closely. Further, we have seen an elevated risk driven by a supply-constrained, high-volatile environment across several key areas. This leads to extended lead times and increased prices for certain components. • Revenue of $32-38M is unchanged • First commercial AI infrastructure orders are planned for delivery in H2 • We are decreasing our expected units sold following the mix of products experienced and expected • Products for AI infrastructure comes with a lower gross margin • Staff expenses & Other external costs to increase slightly compared to 2025, whereas staff costs transferred to capitalized development costs are in line with 2025 • With performance in the middle of the guided ranges, EBITDA would be negative around DKK 25M Comments Q2 2026 INVESTOR PRESENTATION © NAPATECH 202611
Page 12
19-21 Aug 2026 Virtual AI Infrastructure Where to Find Us https://www.napatech.com/about/events/ 21 Oct 2026 New York, USA Core Infrastructure 15-17 Sep 2026 Santa Clara, USA AI Infrastructure Q2 2026 INVESTOR PRESENTATION © NAPATECH 202612 6-8 Oct 2026 Dubai, UAE Core Infrastructure Core Infrastructure
Page 13
Q&A Session Following the presentation DK: +45 32 74 07 10 NO: +47 57 98 94 30 US: +1 646 307 1963 UK: +44 20 3481 4247 Participant Access Code: 4258574 To ask a question, press *1 on your telephone keypad. To withdraw your question, press *2 Texted questions can be submitted using the button on the website 13 13 © NAPATECH 2026 Q2 2026 INVESTOR PRESENTATION © NAPATECH 2026
Page 14
14 Stay Connected with Napatech 14 www.napatech.com www.euronext.com On the web Social Media www.napatech.com/newsletter www.google.com/alerts Other news Q2 2026 INVESTOR PRESENTATION © NAPATECH 2026