Interim report
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S.D. STANDARD ETC PLC SECOND QUARTER REPORT 2026 STANDARD ETC
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1 CONTENTS STATEMENT OF THE MEMBERS OF THE BOARD OF DIRECTORS AND OTHER RESPONSIBLE PERSONS OF THE COMPANY FOR THE INTERIM CONDENSED FINANCIAL STATEMENTS 2 SECOND QUARTER MANAGEMENT REPORT 3 INTERIM CONDENSED STATEMENT OF COMPREHENSIVE INCOME 7 INTERIM CONDENSED STATEMENT OF FINANCIAL POSITION 8 INTERIM CONDENSED STATEMENT OF CHANGES IN EQUITY 9 INTERIM CONDENSED STATEMENT OF CASH FLOWS 10 NOTES TO THE FINANCIAL INFORMATION 11
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S.D. Standard ETC Plc – Second Quarter Report 2026 2 STATEMENT OF THE MEMBERS OF THE BOARD OF DIRECTORS AND OTHER RESPONSIBLE PERSONS OF THE COMPANY FOR THE INTERIM CONDENSED FINANCIAL STATEMENTS In accordance with Article 10 sections ( 3) (c) and (7) of the Transparency Requirements (Securities for Trading on Regulated Markets) Law of 2007 and 2009 (‘’Law’’) we, the members of the Board of Directors and other responsible persons for the drafting of the interim condensed financial statements of S.D. Standard ETC Plc (the “Company”), for the six months ended 30 June 2026 we confirm that, to the best of our knowledge: a) The interim condensed financial statements of the Company for the six months ended 30 June 2026 which are presented on pages 7 to 16: (i) were prepared in accordance with International Financial Reporting Standards IAS 34 “Interim Financial Reporting”, as adopted by the European Union in accordance with provisions of Article 10, section (4) of the Law, and (ii) give a true and fair view of the assets and liabilities, the financial position and the profit or losses of the Company, and the business that are included in the financial statements as a total, and b) The Interim Management Report provides a fair overview of the information required as per section 6 of article 10 of Law 190(I)/2007. Limassol, 5 August 2026 ____________________________ ______________________________ Konstantinos Pantelidis George Crystallis Independent Director / Chairman Independent Director _____________________ _______________________ Christos Neokleous Evangelia Panagide Chief Financial Officer General Manager
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S.D. Standard ETC Plc – Second Quarter Report 2026 3 Second Quarter Management Report 2026 Selected Financial Information Three Months Ended Six Months Ended (Amounts in USD 000) 2026 Q2 Unaudited 2025 Q2 Unaudited 2026 Q2 Unaudited 2025 Q2 Unaudited Operating (loss) / profit (3 435) 4 954 1 799 (1 514) (Loss) / profit for the period before tax (3 511) 4 945 1 615 (1 535) Total comprehensive (loss) / profit for the period (3 718) 4 738 1 383 (1 742) (*) Analytical statement of comprehensive income is presented on page 7 of the second quarter report. Presentation of Interim Condensed Financial Statements These interim -condensed financial statements for the second quarter of the year 202 6 are prepared and presented on a standalone basis, since the Company is an investment entity and does not consolidate its subsidiary. The Company’s subsidiary Standard Invest AS, is not part of the investment portfolio of the Company and its main purpose is to provide services relating to the investment activity of the Company. The management of the Company decided not to consolidate the subsidiary since the effect of its results for the second quarter of the year 2026 are considered immaterial. Highlights Second Quarter 1. In Q2 2026, the Company recognised a loss from the revaluation of other financial assets held for trading of USD 3,4 million. The fair value of the financial assets held for trading as of 30 June 2026 was USD 39,2 million. 2. In addition, for Q2 2026 interest income earned mainly from other marketable securities which includes debt securities and cash balances, was USD 296 thousands and the dividend income was USD 622 thousands.
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S.D. Standard ETC Plc – Second Quarter Report 2026 4 Second Quarter Management Report 2026 (Continued) Selected Financial Information Alternative Performance Measures The Company is an investment entity and does not consolidate its subsidiary. The Company measures its investment in subsidiary Standard Invest AS at fair value through profit or loss. In reporting financial information, the Company presents alternative performance measures, “APMs”, which are not defined or specified under the requirements of IFRS. The Company believes that these APMs, which are not considered to be a substitute for or superior to IFRS measures, provide stakeholders with additional helpful information on the performance of the subsidiary and associate companies. More information on the APMs used in the Q2 2026 Report, their definition and calculation are provided below, as well as a reference to the respective pages of Q2 2026: APM Definition and Calculation Reference Operating Profit / (Loss) Income from operating activities subtracting administration expenses as presented in the income statement Q2 2026 Report – Interim Condensed Statement of Comprehensive Income on page 7 Profit / (Loss) before tax Operating profit less finance costs Profit / (Loss) after tax Operating profit less finance costs and income tax Subsequent Events There have been no material events that took place between the date of the Statement of Financial Position and the dat e of approval of these interim condensed financial statements.
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S.D. Standard ETC Plc – Second Quarter Report 2026 5 SECOND QUARTER MANAGEMENT REPORT 2026 (CONTINUED) RESULTS FOR THE SECOND QUARTER 2026 The operating loss for the three months ended on 3 0 June 2026 was USD 3,4 million compared to the three months ended 30 June 2025 profit of USD 5 million. The operating loss includes a fair value loss USD 3,4 million from investments held for trading (compared to a fair value profit of USD 1,1 million in Q2 25), dividend income of USD 622 thousands (compared to USD 621 thousands in Q2 25), interest income of USD 296 thousands (compared to USD 770 thousands in Q2 25) and is after deducting a net foreign currency loss of USD 493 thousands (compared to USD 1,5 million profit in Q2 25), administration expenses of USD 425 thousands (compared to USD 303 thousands in Q2 25) and finance expenses of USD 76 thousands (compared to USD 9 thousands in Q2 25). There has been no fair value gain or loss on revaluation of financial assets (compared to a fair value gain of USD 1,3 million in Q2 25). Profit per share was USD 0,00 for the Quarter. The Company’s results for the three months ended 30 June 2026 are considered satisfactory. The operating profit / (loss) and profit / (loss) before tax for Q2 2026 are presented on the interim condensed statement of comprehensive income on page 7. RESULTS FOR THE SIX MONTHS OF 2026 AND FINANCIAL COMPARISON WITH THE SIX MONTHS OF 2025 The operating profit for the six months ended on the 30 June 2026 was USD 1,8 million compared to the six months ended 30 June 2025 loss of USD 1, 5 million. The operating profit for the first six months of 2026 compared to the respective period in 2025 includes a fair value profit of USD 1,6 million from investments held for trading (compared to a fair value profit of USD 11,8 million in Q2 2025), dividend income of USD 729 thousands (compared to USD 746 thousands in Q2 25), interest income of USD 918 thousands (compared to USD 2 million in Q2 25) , no fair value gain or loss on the revaluation of financial assets (compared to a revaluation loss of USD 9,9 million in Q2 2 5), no fair value gain or loss on loans receivable (compared to a loss of USD 6,9 million in Q2 25), a net foreign currency loss of USD 625 thousands (compared to a profit of USD 1,4 million in Q2 25) and is after deducting administration expenses of USD 835 thousands (compared to USD 689 thousands in Q2 25) and finance expenses of USD 184 thousands (compared to USD 21 thousands in Q2 2025). Profit after the deduction of income tax expense is approximately USD 1,4 million (compared to a l oss after tax of USD 1, 7 million in Q2 25 ). Profit per share was USD 0,00 for the six months. The Company’s results for the six months of the year 202 6 are considered satisfactory when compared to the results of the respective period in 2025. The operating loss and loss before tax for the six months are presented on the interim condensed statement of comprehensive income on page 7. LIQUIDITY AND CAPITAL STRUCTURE The available cash position of the Company as of 30 June 2026 was USD 85,6 million. During the six months of 2026, net cash generated from operating activities was USD 10,1 million and net cash generated from investing activities was USD 538 thousands. As of 30 June 2026, the Company had 869 shareholders. The share price as of 30 June 2026 was NOK 1,84 (USD 0,19). PRINCIPLE RISK AND UNCERTAINTIES The Company’s activities are exposed to the overall economic environment as well as regulatory, market, political and other financial risks associated with the market in which the specific investments are held, as disclosed in Note 3 of the annual report a nd financial statements for the year ended 31 December 2025. The management of the Company has established and implemented sufficient systems and procedures to monitor the markets it has invested into and stay alert to changes in the marketplace in order to help mitigate any financial and operational risks in a timely manner. OUTLOOK The objective of the Company is to generate significant medium to long -term capital growth in a sustainable manner. The Company focus on energy, transport and commodities segments, with direct or indirect holdings in companies, securities and / or assets, although the Company will pursue any attractive investment opportunities that may arise within the framework of industries it operates.
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S.D. Standard ETC Plc – Second Quarter Report 2026 6 SECOND QUARTER MANAGEMENT REPORT 2026 (CONTINUED) The Company has a sound financial position with no debt and the Board of Directors believe that the Company is well positioned to take advantage of opportunities that may appear in markets the Company operates within. The Company aims to achieve solid returns over time at attractive risk levels. On Behalf of the Board of Directors of S.D. Standard ETC Plc. 5 August 2026 Konstantinos Pantelidis Christos Neokleous Independent Director/Chairman CFO
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S.D. Standard ETC Plc – Second Quarter Report 2026 7 INTERIM CONDENSED STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD ENDED 30 JUNE 2026 Three Months Ended Ended Six Months Ended (Amounts in USD 000) Note 2026 Q2 2025 Q2 2026 Q2 2025 Q2 Unaudited Unaudited Unaudited Audited Income Changes in fair value on financial assets at fair value through profit or loss 4.1 - 1 334 - (9 937) Changes in fair value on financial assets at fair value through profit or loss – held for trading 4.2 (3 435) 1 060 1 612 11 803 Changes in fair value on financial assets through profit or loss- loans receivable 12.3 - - - (6 890) Dividend income on financial assets at fair value through profit or loss 5 622 621 729 746 Interest income from cash balance and loan at amortised cost 296 770 918 2 033 Net foreign currency (losses) / profits (493) 1 472 (625) 1 420 Total net (loss) / profit (3 010) 5 257 2 634 (825) Expenses Administration and operating expenses 11 (425) (303) (835) (689) Total operating expenses (425) (303) (835) (689) Operating (loss) / profit (3 435) 4 954 1 799 (1 514) Finance costs Sundry finance expenses (76) (9) (184) (21) (Loss) / profit for the period before tax (3 511) 4 945 1 615 (1 535) Income tax expense 6 (207) (207) (232) (207) (Loss) / profit for the period after tax (3 718) 4 738 1 383 (1 742) Other comprehensive income for the period - - - - Total comprehensive (loss) / income for the period (3 718) 4 738 1 383 (1 742) Earnings per share Basic earnings per share (USD) 3 0,00 0,01 0,00 (0,00)
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S.D. Standard ETC Plc – Second Quarter Report 2026 8 INTERIM CONDENSED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2026 (Amounts in USD 000) Note 30.06.2026 31.12.2025 ASSETS Unaudited Audited Financial assets at fair value through profit or loss 4.1 115 115 Property plant and equipment 6 5 Total non-current assets 121 120 Financial assets at amortised cost 7.1 429 2 153 Other non-financial assets 7.2 452 534 Financial assets at fair value through profit or loss held for trading 4.2 39 215 42 752 Cash and bank balances 85 649 75 538 Total current assets 125 745 120 977 Total Assets 125 866 121 097 EQUITY AND LIABILITIES Ordinary shares 8 15 734 15 734 Other paid-in equity - - Retained earnings 104 591 103 208 Total equity 120 325 118 942 Trade and other payables 9 5 240 1 980 Current tax liability 301 175 Total current liabilities 5 541 2 155 Total Equity and Liabilities 125 866 121 097 On Behalf of the Board of Directors of S.D. Standard ETC Plc. Konstantinos Pantelides Christos Neokleous Independent Director / Chairman CFO
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S.D. Standard ETC Plc – Second Quarter Report 2026 9 INTERIM CONDENSED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30 JUNE 2026 (Amounts in USD 000) Share Capital Other paid- in equity Retained Earnings Total Balance at 01.01.2025 15 734 708 100 446 116 888 Comprehensive income Loss for the period - - (1 742) (1 742) Option and share program (note 13) - (708) (737) (1 445) Balance at 30.06.2025 (Unaudited) 15 734 - 97 967 113 701 Balance at 01.01.2026 15 734 - 103 208 118 942 Comprehensive income Profit for the period - - 1 383 1 383 Balance at 30.06.2026 (Unaudited) 15 734 - 104 591 120 325
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S.D. Standard ETC Plc – First Quarter Report 2026 10 INTERIM CONDENSED STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED 30 JUNE 2026 Six Months Ended (Amounts in USD 000) 2026 Q2 2025 Q2 Note Unaudited Unaudited CASH FLOWS FROM OPERATING ACTIVITIES Profit/ (loss) for the period before income tax 1 615 (1 535) Unrealised exchange loss / (profit) 625 (1 420) Interest income (918) (2 033) Dividend Income 5 (729) (746) Fair value loss in financial assets fair value through profit or loss 4.1 - 9 937 Gain in financial assets fair value through profit or loss – held for trading 4.2 (1 612) (11 803) Changes in fair value on financial assets through profit or loss-loan receivable from related parties - 6 890 Option and share program 13 - 25 CHANGES IN WORKING CAPITAL Payments to acquire financial assets at fair value through profit or loss 4.1 - (471) Receipts from sale/return of capital of financial assets at fair value through profit or loss 4.1 - 4 895 Payments to acquire financial assets at fair value through profit or loss held for trading 4.2 (163 699) (59 217) Receipts from disposal of financial assets at fair value through profit or loss held for trading 4.2 168 848 102 106 Decrease / (increase) in receivables and prepayments 7 2 240 (6 079) Increase in trade and other payables 9 3 260 6 Dividends received – net of withholding tax 5 495 746 Receipts from loans granted to related companies - 2 250 Interest received from financial assets at fair value through profit or loss 4 - Net cash generated from operating activities 10 129 43 551 CASH FLOWS FROM INVESTING ACTIVITIES Interest received from financial assets at amortised cost 539 2 033 Payments to acquire equipment and machinery (1) - Net cash generated from investing activities 538 2 033 CASH FLOWS FROM FINANCING ACTIVITIES Exercise of share options 13 - (1 445) Net cash used in financing activities - (1 445) Net increase in cash and cash equivalents 10 667 44 139 Cash and cash equivalents at beginning of period 75 538 40 732 Effect of exchange rate changes on the balance of cash held in foreign currencies (556) (1 205) Cash and cash equivalents at end of the period 85 649 86 076 S.D. Standard ETC Plc – Second Quarter Report 2026 10
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S.D. Standard ETC Plc – Fourth Quarter Report 2025 11 NOTES TO THE FINANCIAL INFORMATION NOTE 1 – INCORPORATION AND PRINCIPAL ACTIVITIES Country of Incorporation S.D. Standard ETC Plc (the “Company”) is a limited liability Company incorporated and domiciled in Cyprus on 2 December 2010 in accordance with the provisions of the Cyprus Companies Law, Cap. 113. The Company was renamed from S.D. Standard Drilling Plc to S.D. Standard ETC Plc in January 2022 through a decision by its shareholders. The Company was converted into a public company on 23 December 2010. On 25 March 2011 the Company’s sh ares were listed on Oslo Axess and on 31 May 2017 on Oslo Bors. The address of the Company’s registered office is Chrysanthou Mylona 1, Panayides Building, 2nd floor, Office 3, 3030, Limassol, Cyprus. Principal Activities The principal activity of the Company is to operate as an investment entity with a special focus on energy, transport and commodities segments, with direct or indirect holdings in companies, securities and/or assets. The Company’s strategy is focused on the energy, transport and commodities markets, although the Company will pursue any attractive investment opportunities that may arise within the framework of industries it operates. The objective of the Company is to generate significant medium to long-term capital growth in a sustainable manner. NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES Basis of Preparation The i nterim condensed financial statements for the six m onths ended 30 June 2026, have been prepared in accordance with International Accounting Standard 34 “Interim Financial Reporting”. The interim condensed financial statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025. The accounting policies applied are consistent with those of the annual financial statements for the year ended 31 December 2025 which have been prepared in accordance with IFRS as adopted in the (EU) and the requirements of the Cyprus Companies Law, Cap. 113, except from income tax expense which is recognised based on management’s best estimate of the weighted average effective annual income tax rate expected for the full financial year. In the current period the Company has adopted all the new and revised standards and Interpretations issued by the International Accounting Standards Board (the IASB) and the International Financial Reporting Interpretations Committee (the IFRIC) of the IASB that are relevant to its operations and effective for annual periods beginning on 1 January 2026. Going Concern These interim condensed financial statements for the six months ended 30 June 2026, have been prepared under the assumption that the Company is going concern. NOTE 3 – EARNINGS PER SHARE Basic earnings per share is calculated by dividing the profit attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the period. Three Months Ended Six Months Ended (Amounts in USD 000) 30.06.2026 30.06.2025 30.06.2026 30.06.2025 Basic/diluted EPS (Loss) / profit attributable to equity holders of the Company (3 718) 4 738 1 383 (1 742) Weighted average number of ordinary shares in issue (thousands) 524 483 524 483 524 483 524 483 Weighted average number of ordinary shares diluted (thousands) - - - - Basic (loss) / earnings per share (USD) (0,00) 0,01 0,00 (0,00) S.D. Standard ETC Plc – Second Quarter Report 2026 11
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S.D. Standard ETC Plc – Second Quarter Report 2026 12 NOTES TO THE FINANCIAL INFORMATION NOTE 4 – FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT AND LOSS 4.1 Investments at fair value through profit or loss (Amounts in USD 000) 30.06.2026 31.12.2025 Balance at 1 January 115 18 306 Additions - 744 Sales / Return of capital - (7 575) Changes in fair value - (11 360) Balance at the end of the period / year 115 115 Investment designated at fair value through profit or loss is analysed as follows: Name of Investment Principal activity Place of establishment and principal place of business Proportion of ownership/ interest held 30.06.2026 31.12.2025 Standard Invest AS Provision of services Norway 100% 100% The above investment is measured at fair value. (Amounts in USD 000) 30.06.2026 30.06.2025 Other net changes in fair value on financial assets at fair value through profit or loss Realised losses - (11 330) Unrealised change - 1 393 Total net losses - (9 937) Other net changes in fair values on assets designated at fair value through profit or loss - (9 937) Total net losses - (9 937) 4.2 Investments held for trading (Amounts in USD 000) 30.06.2026 31.12.2025 Balance at 1 January 42 752 46 212 Additions 163 699 241 657 Disposals (168 848) (261 945) Changes in fair value 1 612 16 828 Balance at the end of the period / year (note 10.1) 39 215 42 752 During the six months of the year 2026, the Company invested USD 163,7 million for the acquisition of securities listed on the US and Oslo Stock Exchange, some of which were disposed realizing a profit of USD 3 million. As of 30 June 2026, investments held for trading had a fair value of USD 39,2 million. All investments traded in active markets are valued based on quoted prices and are classified as level 1, whereas those unlisted investments are classified as level 2.
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S.D. Standard ETC Plc – Second Quarter Report 2026 13 NOTES TO THE FINANCIAL INFORMATION NOTE 5 – DIVIDEND INCOME ON FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS During the six months of the year 2026, the Company received dividends of USD 729 thousands (Q2 2025: USD 746 thousands) from its financial assets held for trading. NOTE 6 – INCOME TAX EXPENSE (Amounts in USD 000) 30.06.2026 30.06.2025 Current tax: Current year corporation tax 126 38 Prior year corporation tax - 169 Withholding tax on dividend income 106 - Total current tax 232 207 NOTE 7 – FINANCIAL AND OTHER NON-FINANCIAL ASSETS 7.1 Financial assets at amortised cost (Amounts in USD 000) 30.06.2026 31.12.2025 Accrued interest receivable 25 62 Amounts due from related parties - - Amounts due from brokers 404 2 091 Total financial assets at amortised cost 429 2 153 7.2 Other Non- financial assets (Amounts in USD 000) 30.06.2026 31.12.2025 Tax refund on dividends received 358 467 VAT refundable 16 19 Prepayments 78 48 Total non-financial assets 452 534 The fair value of financial and other non-financial assets due within one year approximate to their carrying amounts as presented above. NOTE 8 – SHARE CAPITAL AND PREMIUM Authorised (Amounts in USD 000) Number of shares (thousands) Ordinary shares Total 2026 Balance at the beginning of the period 865 000 25 950 25 950 Balance at the end of the period 865 000 25 950 25 950 2025 Balance at the beginning of the year 865 000 25 950 25 950 Balance at the end of the year 865 000 25 950 25 950 Issued and fully paid (Amounts in USD 000) Number of shares (thousands) Ordinary shares Total 2026 Balance at the beginning of the period 524 483 15 734 15 734 Balance at the end of the period 524 483 15 734 15 734 2025 Balance at the beginning of the year 524 483 15 734 15 734 Balance at the end of the year 524 483 15 734 15 734 As of 30 June 2026, the Company didn’t hold any own shares.
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S.D. Standard ETC Plc – Second Quarter Report 2026 14 NOTES TO THE FINANCIAL INFORMATION NOTE 9 – TRADE AND OTHER PAYABLES (Amounts in USD 000) 30.06.2026 31.12.2025 Creditors and accrued expenses 92 132 Amounts due to brokers 5 148 1 837 Amounts due to related parties (note 12.1) - 11 Total trade and other payables at the end of the period at amortised cost 5 240 1 980 The fair value of trade and other payables which are due within one year approximates their carrying amount at the balance sheet date. NOTE 10 – FAIR VALUE MEASUREMENTS 10.1 The table below analyses financial instruments carried at fair value by valuation method. The different levels have been defined as follows: • Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1). • Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices) (Level 2). • Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs) (Level 3). The following tables present the Company's fair value hierarchy of the financial assets that are measured at fair value: (Amounts in USD 000) Level 1 Level 2 Level 3 Total At 30 June 2026 Assets Financial Assets through profit or Loss - Financial assets at fair value through profit or loss (note 4.1) - - - - - Financial assets at fair value through profit or loss-held for trading – equity securities (note 4.2) 33 767 - - 33 767 - Financial assets at fair value through profit or loss-held for trading – debt securities (note 4.2) - 5 448 - 5 448 Total financial assets measured at fair value 33 767 5 448 - 39 215 At 31 December 2025 Assets Financial Assets through profit or Loss - Financial assets at fair value through profit or loss (note 4.1) - - - - - Financial assets at fair value through profit or loss-held for trading – equity securities (note 4.2) 37 618 - 37 618 - Financial assets at fair value through profit or loss – debt securities/loans receivable (notes 4.2) 5 134 5 134 Total financial assets measured at fair value 37 618 5 134 - 42 752 10.2 Valuation processes a) Investment in traded equity securities (Level 1) The fair values of securities that are quoted in active markets are determined by the traded share prices. b) Investment in debt securities (Level 2) The fair values for debt securities have been determined by using the traded security price at the end of the reporting period.
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S.D. Standard ETC Plc – Second Quarter Report 2026 15 NOTES TO THE FINANCIAL INFORMATION NOTE 11 – ADMINISTRATIVE AND OPERATING EXPENSES (Amounts in USD 000) 30.06.2026 30.06.2025 Legal, consulting and professional fees 55 95 Management fees from related company (note 12.1) - 60 Service fees from subsidiary company (note 12.1) 251 232 Other expenses 81 92 Transactions costs for trading in shares 163 96 Directors’ fees, salaries and other short-term employee benefits 285 114 Total administrative and operating expenses 835 689 NOTE 12 – RELATED-PARTY TRANSACTIONS 12.1 Provision of services The following transactions were carried out with related parties and are included in the operating expenses of the period: (Amounts in USD 000) Nature of transactions 30.06.2026 30.06.2025 Ferncliff TIH AS * Management fees - 60 Standard Invest AS Service fees 251 232 Total 251 292 * Ferncliff TIH AS holds 100% of the issued share capital of Ferncliff Listed Dai AS, the major shareholder of the Company. a) The Company has entered into a consultancy agreement with Ferncliff TIH AS whereby Ferncliff TIH AS provide d certain management services to the Company. The agreement was terminated in October 2025. b) In 2021 the Company entered into a services agreement with its wholly owned subsidiary Standard Invest AS, whereby Standard Invest AS provides services to the Company related to its assets. Fees paid under this agreement for the three months ended 30 June 2026 amounted to USD 251 thousands (Q2 2025: USD 944 thousands). As of 30 June 2026, the Company owed to its subsidiary the amount of USD nill thousands (in Q2 2025 the Company owed to its subsidiary the amount of USD 444 thousands). 12.2 Dividend income During the six months of the year 2026, the Company has not received any dividends from its subsidiary (Q2 2025: USD nill). 12.3 Related party loans – at fair value through profit or loss In March 2025, the Company agreed to transfer all of its rights and obligations under the shareholder bridge loan facility (the "Shareholder Loan") provided to Dolphin Drilling AS in March 2023 by the Company and certain other lenders. The rights and obligations under the Shareholder Loan have been transferred for consideration corresponding to 30% of the Company’s principal amount of USD 7,5 million under the Shareholder Loan, i.e. USD 2,25 million. As a result, the Company recognized a total loss of USD 6,9 million since the interest charge was not recoverable as well. The Company had no transactions with shareholders or other related parties other than those disclosed above.
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S.D. Standard ETC Plc – Second Quarter Report 2026 16 NOTES TO THE FINANCIAL INFORMATION NOTE 13 – OPTION AND SHARE PROGRAM An equity settled option and share program was initiated by the Company in January 2022 towards a certain key employee of the subsidiary Standard Invest AS, granting the employee the option to purchase 10 000 000 shares of the Company on the date falling 18 months after 1 August 2021 and 10 000 000 shares on the date falling 30 months after 1 August 2021 at the strike prices of NOK1,25 and NOK 1,40 respectively. Total estimated fair value of the option at the grant date was calculated in Q1 2022 to USD 1,1 million. The Company has recognized the amount of USD 708 thousands as an expense with a corresponding increase in equity and a provision for social security cost of the option program of USD 91 thousands from the grant date up to 31 December 2024. The vesting periods of the current program end in the period between 20 January 2023 and 30 January 2024. At initial recognition, the fair value of the options, as estimated by the Black -Scholes model, are straight -lined through the vesting period as administration expenses with corresponding entry against other paid in equity. Since the options are equity settled, no subsequent measurement is required under IFRS. In January 2025, the Board of Directors of the Company was informed of an exercise of a total of 10,000,000 share options by the employee of the subsidiary. The share options were exercised at a price of NOK 1.05 per share, which equals the original exer cise price of NOK 1.25 adjusted for a dividend distribution of NOK 0.20 per share in November 2024. The Company's Board of Directors has resolved to cash settle the exercised share options and the Company paid an amount to the employee equal to the differenc e between the exercise price of NOK 1.05 per share and the closing share price of the Company on the 17 th of January 2025 of NOK 1.71 a total of USD 701 thousand. In June 2025, the remaining 10,000,000 share options were exercised by the employee of the subsidiary through a cash settlement. As a result of the above cash settlements, the amounts previously recognized by the Company in equity and as a provision for social security cost of the option program, have been settled. NOTE 14 – APPROVAL OF INTERIM CONDENSED FINANCIAL STATEMENTS These interim condensed financial statements have been approved by the Board of Directors of the Company on 5 August 2026.
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S.D. Standard ETC Plc – Second Quarter Report 2026 17 S.D. Standard ETC Plc Financial Calendar (Release of Financial Reports) Q2 2026 6 August 2026 Q3 2026 5 November 2026 Q4 2026 18 February 2027 S.D. Standard ETC Plc Chrysanthou Mylona 1, Panayides Building, 2nd Floor, Office 3 CY 3030 Limassol, Cyprus Tel: +357 25875474 www.standard-etc.com