Interim report
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Kristine Lund CEO Henning Hesjedal CFO Q2 2025…….. Interim Report
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Q2 2025………. Interim Report Highlights Q2 2025 1 ● Revenues of NOK 215.0 million (229.5), a decrease of 6.3 per cent ● EBIT 2 of NOK 19.0 million (19.0); corresponding to an EBIT² margin of 8.9 per cent (8.3) ● Net profit of NOK 14.8 million (14.1), an increase of 5.3 per cent ● Cash flow from operations of NOK 18.8 million (32.5) ● Earnings per share of NOK 0.57 (0.51); fully diluted of NOK 0.57 (0.50) ● Number of FTE end of period 438 (451) First-half 2025¹ ● Revenues of NOK 451.4 million (459.2), a decrease of 1.7 per cent ● EBIT² of NOK 41.7 million (40.4), an increase of 3.2 per cent; corresponding to an EBIT² margin of 9.2 per cent (8.8) ● Net profit of NOK 31.2 million (29.7), an increase of 4.6 per cent ● Cash flow from operations NOK 42.2 million (1.8) ● Earnings per share of NOK 1.20 (1.07), fully diluted of NOK 1.20 (1.07) Significant events during and after the period ● Positive EBIT margin development despite a soft market ● Launched new visual identity and branding at our first-ever gathering for all employees in June (25th anniversary) ● Data & AI share of business is growing rapidly, taking market position and mindshare ● Major contract wins at Statnett, BaneNOR, Norway Tax and Norwegian Offshore Directorate NOK million Q2 2025 Q2 2024 YTD 2025 YTD 2024 FY 2024 Revenues 215.0 229.5 451.4 459.2 874.1 Change -6.3% 8.0% -1.7% 1.8% 1.5% EBITDA² 23.3 23.7 50.3 49.9 85.1 EBITDA² margin 10.9% 10.3% 11.1% 10.9% 9.7% EBIT² 19.0 19.0 41.7 40.4 66.7 EBIT² margin 8.9% 8.3% 9.2% 8.8% 7.6% Net profit 14.8 14.1 31.2 29.7 49.5 Net free cash flow² 18.1 30.9 40.8 -2.3 22.2 Cash flow from operations 18.8 32.5 42.2 1.8 28.1 Equity ratio² 54.0% 51.1% 54.0% 51.1% 50.7% Earnings per share (NOK) 0.57 0.51 1.20 1.07 1.80 Earnings per share fully diluted (NOK) 0.57 0.50 1.20 1.07 1.79 Number of FTE, average 442 448 442 448 448 Number of FTE, end of period 438 451 438 451 446 Revenue per FTE (TNOK) 486.9 512.9 1,022.0 1,024.7 1,951.5 EBIT per FTE (TNOK) 43.1 42.4 94.3 90.1 149.0 2 Alternative performance measure. See appendix. 1 All reported figures include continuing operations from Webstep AS and Webstep ASA, only. See note 5 for further information. 2
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Q2 2025………. Interim Report Letter from the CEO Getting ready to step up In May it was one year since I took over as CEO of Webstep with great excitement and anticipation. Webstep has over the last couple of decades built a leading position in the high end of the IT consultant industry, offering experienced consultants with capabilities for advanced and strategic problem solving. At the same time, operating in an extremely competitive and dynamic industry, Webstep needs constant development and renewal. We have the ambition to be the most performance-oriented and agile in the industry. We have over the last year come a long way on the journey and made significant achievements. At the same time, changing a company amid a challenging market takes time and requires patience. In the process we also find ourselves faced with difficult choices, where we seek to prioritise long-term strategic goals over short-term gains. The launch of Webstep’s new visual identity and branding at our first-ever gathering for all employees in June was a major milestone. While the event, which also marked the 25th anniversary of the company, was highly successful in itself, it serves as a great symbol of the changes we are making. We are transitioning to become “One Webstep”, embracing integration and seamless collaboration across disciplines and regional offices. The new branding, communication platform and visual identity are essential both for internal and external purposes. Circling around the communication theme “Next step”, we have a clear goal of increasing our visibility in the market to strengthen our ability to compete for the right talent and the most attractive assignments. Customer orientation, progress, agility, and performance culture are key words for the renewed Webstep. 3
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Q2 2025………. Interim Report As a foundation for our changes lies a sharpened focus on three service areas: ● Digital solutions, software and product development ● Insight and data driven business ● Digitalisation and AI Right now , we see topics related to AI receiving enormous attention in the public space, and for Webstep AI represents a fantastic opportunity. Strategic business-oriented advice related to the use of AI, as well as efficient implementation will represent a significant part of Webstep’s activity in the years to come. During the quarter we have launched, and successfully delivered, multiple AI - training events for major clients within the public sector. In order to support the change agenda, we have enhanced and broadened the executive management team and support functions of the company. Looking at the second quarter, we delivered revenues of NOK 215.0 million, a decline of 6.3 per cent compared to the same period last year. The decline is primarily explained by a decline in utilisation and a slight reduction in the number of consultants. Our average hourly rates were higher than in the second quarter 2024, reflecting our ambition to maintain premium positioning in the market despite price pressures. Our EBIT was NOK 19.0 million in the second quarter, same as last year. This implies an EBIT margin increase of 0.6 percentage points to 8.9 per cent. Given the soft revenue development, we are satisfied with the margin increase. This is the result of the cost reduction programme completed in 2024, our continuous focus on cost efficiency and the successful increase of average rates. Looking ahead, while it takes time to reap the full benefits of our strategic shift, we are confident that our renewed positioning will lead to growth and increased profitability over time. We are facing an autumn with uncertainty in the growth outlook amid macroeconomic and geopolitical volatility, but Webstep is well positioned to benefit from any market recovery and deliver growth and margin improvement. Wrapping up, as we embark on the second half of the year, it is inspiring for me as CEO to feel the energy and optimism in our team. I would like to take this opportunity to thank all my colleagues for their effort and dedication during a challenging period with many changes. I have no doubt: We are getting ready to take the next step - together. Lund Kristine CEO, Webstep ASA 4
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Q2 2025………. Interim Report Financial review After divesting the Swedish operation in the third quarter of 2024 (see note 5), the Norwegian operation remains the sole reporting segment for the Group, and is considered a continuing operation. The following sections in this report are commented for the continuing operation only. Operating revenues Second quarter revenues were NOK 215.0 million (229.5), down 6.3 per cent from the corresponding quarter last year. Revenues from own consultants decreased by 7.0 per cent and amounted to NOK 197.3 million (212.1). Webstep’s revenue model is primarily based on hourly rates, number of consultants and number of workdays. The development was primarily driven by reduced utilisation, in addition to 1 less working day in the quarter and slightly reduced number of consultants, while increased hourly rates impacted positively. Total revenues for the first half-year were NOK 451.4 million (459.2), down 1.7 per cent compared to 2024. Revenue from own consultants decreased by 1.5 per cent and amounted to NOK 417.2 million (423.7). The decline was mainly driven by lower utilisation, however partly offset by higher hourly rates. Revenue breakdown (NOK million) NOK'000 Q2 2025 Q2 2024 QoQ change YTD 2025 YTD 2024 YoY change FY 2024 Oslo 96.0 104.7 -8.3% 201.0 212.7 -5.5% 392.0 Regional offices 101.3 107.4 -5.7% 216.2 211.0 2.5% 416.2 Subcontractors 14.7 14.2 3.5% 28.0 29.3 -4.5% 52.9 Resale of licenses 2.9 3.2 -8.5% 6.0 5.8 2.5% 12.6 Other 0.2 0.1 121.5% 0.2 0.3 -37.4% 0.5 Total 215.0 229.5 -6.3% 451.4 459.2 -1.7% 874.1 Revenues from subcontractors for the quarter amounted to NOK 14.7 million (14.2), while year to date revenue from subcontractors were NOK 28 million (29.3). The use of subcontractors was related to services outside Webstep consultants core competencies, and for frame agreements where Webstep were supported by partners. Rolling 12 month operating revenues (NOK million) 5
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Q2 2025………. Interim Report Operating costs Cost of services and goods sold, primarily related to use of subcontractors and cost related to resale of licenses, amounted to NOK 16.5 million (16.4) for the quarter, and NOK 31.7 million (33.2) year to date. Salaries and personnel costs include salaries and benefits, pension, tax, vacation pay and other items like social gatherings for employees. A high proportion of salary is variable and correlates with revenues. Salaries and personnel costs for the second quarter amounted to NOK 163.0 million (178.2), a decrease of 8.5 per cent. The change is explained by reduced revenue and reduced headcount. Year to date, salaries and personnel cost amounted to NOK 342.9 million (354.5). The Group had higher costs related to culture building activities during the quarter, including for the 25 year anniversary, while the removal of the temporary increased employer’s contributions in 2025 represent a cost reduction of NOK 1.4 million compared with the corresponding quarter last year, and NOK 2.9 million year to date. Other operating expenses for the quarter amounted to NOK 12.2 million (11.2). The increase compared to the corresponding quarter last year is primarily driven by external services related to strategy implementation. Year to date, other operating expenses amounted to NOK 26.5 million (21.6), after a significant investment in the strategy process and the branding project. Other operating expenses are expected to come down going forward. Depreciation and impairment for the quarter amounted to NOK 4.3 million (4.7) and NOK 8.6 million (9.5) for the first half-year. Operating profit Total EBIT for the quarter amounted to NOK 19.0 million (19.0), the same as for the corresponding quarter last year, with a lower revenue base. EBIT year to date was NOK 41.7 million (40.4). EBIT margin for the quarter was 8.9% (8.3), an increase of 60 basis points compared with the corresponding quarter last year. EBIT year to date was NOK 41.7 million (40.4), an increase of 40 basis points to 9.2% EBIT margin. Rolling 12-month operating profit (EBIT) and EBIT margin Adj. EBIT excludes one-off costs in 2023 and 2024 related to the cost reduction programme and strategic organisational restructuring. Net financial income for the quarter was NOK 0.0 million (negative 0.9) and tax expense amounted to NOK 4.2 million (4.0). Net profit for the quarter was NOK 14.8 million (14.1), and NOK 31.2 million (29.7) year to date. 6
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Q2 2025………. Interim Report Financial position Total assets 30 June 2025 amounted to NOK 595.9 million (693.6). Non-current assets were NOK 386.3 million (403.7) and consisted mainly of goodwill that amounted to NOK 313.6 million (313.6), right-of-use assets amounted to NOK 62.2 million (77.5). Total current assets of NOK 209.6 million (289.9) consisted of trade receivables, other short-term receivables and cash and short-term deposits. The decrease reflects the sale of Webstep AB, where NOK 81.9 million was included in current assets last year. Trade receivables amounted to NOK 143.0 million (150.4). Other current receivables were NOK 12.2 million (12.5). Cash and short-term deposits amounted to NOK 54.4 million (45.0). The increase is related to the remaining payment for the sale of Webstep AB and movements in trade receivables. Total equity 30 June 2025 was NOK 321.9 million (365.8). Non-current liabilities amounted to NOK 51.1 million (61.2). Current liabilities of NOK 222.9 million (266.6) consisted of other short-term liabilities, current leasing liabilities, trade payables, social taxes and VAT. Cash flow Cash flow from operations was NOK 18.8 million (32.5) for the quarter, and NOK 42.2 million (1.8) for the first half-year. Changes in cash flow from operating activities for the quarter are explained by the second installment of the proceeds from the sale of Webstep AB, and movement in trade receivables. Cash flow from investing activities amounted to negative NOK 0.6 million in the quarter (negative 0.8) and negative NOK 1.4 million (negative 1.7) for the first half-year. The investments are related to office equipment and inventory. Cash flow from financing activities is negative NOK 65.1 million (negative 29.3) for the quarter, and negative NOK 68.8 million (negative 30.5) for the first half-year. Dividend payment in May was NOK 62.3 million. Webstep has a facility agreement with SpareBank1 SR-Bank of NOK 110 million, of which NOK 0.0 million was utilised as of 30 June 2025. Employees Webstep is headquartered in Oslo and has offices in Bergen, Stavanger, Trondheim, Kristiansand and Haugesund. The Group provides high-end IT consultancy services to public and private clients across the country. Webstep had 438 FTE at the end of the quarter, a decrease of 14 FTE since the same quarter last year. The FTEs are distributed across the regional offices in Norway. Webstep believes in the power of local business and the decentralised model is based on strong local presence. The regional offices provide expertise and capacity to local clients, while leveraging the full organisational capacity. 7
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Q2 2025………. Interim Report Webstep’s consultants have on average more than 10 years of relevant experience. This creates a solid foundation for a strong professional environment and high-quality deliveries. The Webstep work culture is driven by the values of being skilled, innovative, generous and uncomplicated. Webstep strives to assign its consultants interesting and challenging projects that ensure personal development and contentment. By constantly developing the consultants’ skill sets, the quality of Webstep’s services are also improved. The incentive model for consultants is designed to attract and motivate experienced expert consultants. The salary model for consultants has been a pillar in Webstep ever since its inception in 2000. Number of FTE (end of quarter) 8
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Q2 2025………. Interim Report Market update and outlook Webstep is positioned as a provider of high-competence senior consultants, and we continue to sharpen this profile. While continuing to benefit from our multi-local presence, we are tailoring the organisation to ensure that we can leverage our total strength, competence base, and domain expertise to solve our customers’ challenges regardless of geography and industry. This agile and flexible approach provides resilience and improves the capability to absorb market fluctuations across regions and industries. The enduring, long-term trends of digitalisation remain stable both in the private and public sectors, underpinning Webstep’s growth outlook. However, the short-term market conditions are more uncertain, as the extraordinary geopolitical and macroeconomic uncertainty reduces visibility. Looking at the services most in demand, we see that the strategic use of data and insight technologies continues to be prominent. At Webstep, this area is now a central part of our strategy. We see strong demand for services in data engineering, cloud-based data architecture, analytics and decision support, and machine learning. Our consultants have deep expertise in platforms such as Databricks, Snowflake, Microsoft Fabric, and Power BI, and support clients in both modernising Newlegacy systems and building new cloud-native capabilities. The focus has led to several attractive assignments, particularly in Oslo, and we see growing interest across several other regions. AI is utilised internally to improve efficiency, such as in reactive sales processes. Externally, efforts are made to provide expertise in the application of AI technology. In the second quarter, we introduced a new practical course titled “Strengthen your business with AI” for companies considering AI implementation. We also hosted a breakfast seminar on AI, which created engagement and attracted a significant number of customers and contacts. 10
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Q2 2025………. Interim Report The second quarter of this year has been marked by significant contract acquisitions, each with strategic importance for Webstep: ● We have been included as a sub-provider for a very significant 4+4 year framework agreement with Statnett, representing a continuation of an important customer relationship for our Oslo office ● We won a 2+1+1 year framework agreement as the main sole provider for parts of a project with Bane NOR ● We won a 2+1+1 year framework agreement, as a sub provider, with The Norwegian Tax Administration. This represents a significant potential for the Oslo and Kristiansand offices ● We won a 2+1+1 year framework agreement with the Norwegian Offshore Directorate, manifesting our position as an important provider for the energy cluster in the Stavanger region Looking ahead, while the macroeconomic backdrop remains challenging, Webstep has made significant progress in sharpening the sales organisation, strengthening sales capabilities, and taken measures to improve visibility in the market. We will continue the development of our organisation in the second half, and we are confident that the change measures we are taking will contribute to enhanced growth in the long term. In the near term, however, a transition towards reduced activity within segments of the energy market may restrain revenue performance due to both the scaling back of specific contracts and ongoing price pressures. With our highly qualified staff, we will prioritise maintaining our premium prices. Not unexpected in a period of changes Webstep experiences churn among consultants and enters the second half with a somewhat reduced headcount. It may take some time to make the right recruitments to return to headcount growth. Webstep has a good standing in the hiring market and is able to attract candidates, but given the current market conditions we have increased focus on balancing supply and demand. At the same time, our cost base is lean, and once we return to a healthy top-line growth we are well positioned to achieve our long-term goal of exceeding a 10 per cent EBIT margin. 11
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Q2 2025………. Interim Report Statement by the board of directors and the CEO We confirm to the best of our knowledge that: the consolidated financial statements for the period ended 30 June 2025 have been prepared in accordance with IAS as adopted by the EU, as well as additional information requirements in accordance with the Norwegian Accounting Act and generally accepted accounting practice in Norway, and that the information presented in the financial statements gives a true and fair view of the Group’s assets, liabilities, financial position and results for the period viewed in their entirety, and that the Board of directors’ report gives a true and fair view of the development, performance and financial position of the Group, and includes a description of the material risks that the Board of directors, at the time of this report, deem might have a significant impact on the financial performance of the Group. The Board of directors and CEO WEBSTEP ASA Oslo, 13 August 2025 Sign. Sign. Sign. Kjell Magne Leirgulen Siw Ødegaard Bendik Nicolai Blindheim Chair of the Board Board member Board member Sign. Sign. Sign. Tone Lunde Bakker David Bjerkeli Kristine Lund Board member Board member Chief Executive Officer 12
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Q2 2025………. Interim Report Financial statements Consolidated statement of comprehensive income Unaudited Unaudited Unaudited Unaudited Audited NOK'000 Note Q2 2025 Q2 2024 YTD 2025 YTD 2024 FY 2024 Revenues 215,030 229,501 451,393 459,163 874,131 Total revenues 215,030 229,501 451,393 459,163 874,131 Cost of services and goods 16,537 16,418 31,652 33,190 61,441 Salaries and personnel cost 161,576 178,185 341,500 354,505 681,992 Depreciation and impairment 4,303 4,744 8,628 9,507 18,343 Other operating expenses 13,570 11,199 27,949 21,570 45,630 Total operating expenses 195,986 210,547 409,728 418,773 807,405 Operating profit/(loss) 19,043 18,954 41,665 40,391 66,726 Net financial items 20 −888 −1,576 −2,289 −3,680 Profit/(loss) before tax from continuing operations 19,064 18,066 40,090 38,102 63,046 Tax expense (income) 4,221 3,975 8,863 8,382 13,856 Profit/(loss) from continuing operations 14,842 14,091 31,226 29,719 49,190 Profit/(loss) after tax from discontinuing operations Profit/(loss) from discontinued operations 5 - −208 - 123 325 Profit/(loss) from total operations 14,842 13,883 31,226 29,842 49,514 Earnings per share (NOK) from continuing operations 4 0.57 0.51 1.20 1.07 1.80 Earnings per share, fully diluted (NOK) from continuing operations 4 0.57 0.50 1.20 1.07 1.79 Earnings per share (NOK) from discontinuing operations 4 - -0.01 - 0.00 0.01 Earnings per share, fully diluted (NOK) from discontinuing operations 4 - -0.01 - 0.00 0.01 Total Earnings per share (NOK) 0.57 0.50 1.20 1.08 1.81 Total Earnings per share, fully diluted (NOK) 0.57 0.50 1.20 1.07 1.80 13
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Q2 2025………. Interim Report Other comprehensive income: Presentation currency effects - −986 - −905 −905 Recycling of currency translation differences 5 - 12,952 - 12,952 −13,07 Other comprehensive income for the period, net of tax - 11,966 - 12,047 −13,975 Total comprehensive income for the year, net of tax 14,842 25,849 31,226 41,889 35,539 Total comprehensive income is attributable to: Equity holders of the parent company 14,842 25,849 31,226 41,889 35,539 Profit/(loss) is attributable to: Equity holders of the parent company 14,842 13,883 31,226 29,842 49,514 14
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Q2 2025………. Interim Report Consolidated statement of financial position Unaudited Unaudited Audited NOK'000 Note 6/30/25 6/30/24 12/31/24 ASSETS Deferred tax asset 3,487 2,888 3,487 Goodwill 313,575 313,575 313,575 Fixed assets 7,062 9,793 8,274 Right-of-use-assets 62,189 77,471 63,164 Non-current financial assets - 2 - Total non-current assets 386,313 403,729 388,500 Trade receivables 143,001 150,37 131,276 Other current receivables 12,182 12,53 30,592 Assets held for sale 5 - 81,944 - Cash and short-term deposits 54,384 45,048 82,369 Total current assets 209,567 289,892 244,237 Total assets 595,879 693,621 632,738 EQUITY Share capital 4 28,188 27,969 28,188 Treasury shares −1,013 −30 −1,091 Share premium 187,953 184,686 187,953 Retained earnings 106,758 153,191 136,563 Total Shareholders equity 321,885 365,816 351,612 Total equity 321,885 365,816 351,612 15
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Q2 2025………. Interim Report LIABILITIES Non-current leasing liabilities 51,114 61,184 52,751 Total non-current liabilities 51,114 61,184 52,751 Current leasing liabilities 11,689 16,487 10,413 Trade and other payables 9,62 12,111 8,555 Tax payable 14,37 6,402 14,496 Social taxes and VAT 69,91 75,134 84,046 Liabilities directly associated with assets held for sale 5 - 35,56 - Other short-term debt 117,292 120,927 110,865 Total current liabilities 222,88 266,62 228,375 Total liabilities 273,994 327,805 281,126 Total equity and liabilities 595,879 693,621 632,738 16
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Q2 2025………. Interim Report Consolidated statement of change in equity NOK'000 Issued capital Treasury shares Share premium Foreign currency translation reserve Retained earnings Total earned equity 1 January 2024 27,671 −30 179,938 13,975 137,624 359,178 Profit for the period 49,514 49,514 Recycling of currency translation differences on disposal of subsidiary −13,975 −13,975 Purchase of treasury shares −1,087 −24,095 −25,182 Sale of treasury shares 26 409 435 Share incentive program 900 900 Share issue 517 8,014 8,531 Dividends −27,789 −27,789 31 December 2024 28,188 −1,091 187,952 - 136,563 351,612 Profit for the period 31,226 31,226 Share incentive program 244 244 Dividends −62,322 −62,322 Sale of treasury shares 78 1,048 1,126 30 June 2025 28,188 −1,013 187,952 - 106,758 321,885 17
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Q2 2025………. Interim Report Consolidated statement of cash flows Unaudited Unaudited Unaudited Unaudited Audited NOK'000 Q2 2025 Q2 2024 YTD 2025 YTD 2024 FY 2024 Operating activities Profit/(loss) before tax from continuing operations 19,064 18,066 40,09 38,102 63,046 Profit/(loss) before taxes from discontinuing operations 5 - −262 - 155 325 Profit/(loss) before taxes from total operations 19,064 17,804 40,090 38,257 63,371 Adjustments for: Taxes paid for the period - −469 −8,989 −12,184 −10,163 Depreciation of property, plant and equipment 4,303 5,909 8,628 12,028 20,864 Share-based payment expense 139 304 244 445 900 Net gain/loss sale of subsidiary 5 - - - - −169 Net change in trade and other receivables 31,861 61,126 6,686 −908 −26,306 Net change in other liabilities −36,614 −51,716 −4,436 −35,352 −19,964 Net foreign exchange differences - −490 - −482 −396 Net cash flow from operating activities 18,753 32,468 42,222 1,804 28,136 Investing activities Proceeds from sale of discontinued operations net of cash disposed 5 - - - - 38,620 Purchase of property and equipment −605 −822 −1,44 −1,746 −3,630 Net cash flow from investing activities −605 −822 −1,44 −1,746 34,989 Financing activities Payment of principal portion of lease liabilities −3,935 −3,949 −7,569 −7,775 −12,261 Purchase of treasury shares - - - - −25,182 Sale of treasury shares 1,126 - 1,126 - 435 Net proceeds from equity - 2,447 - 5,045 8,531 Payment of dividends −62,322 −27,789 −62,322 −27,789 −27,789 Net cash flows from financing activities −65,132 −29,291 −68,766 −30,519 −56,266 Net increase/(decrease) in cash and cash equivalents −46,983 2,355 −27,984 −30,461 6,860 18
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Q2 2025………. Interim Report Cash and cash equivalents at the beginning of the period 101,368 42,694 82,369 75,509 75,509 Cash and cash equivalents at the end of the period 54,384 45,049 54,384 45,048 82,369 Of which cash and cash equivalents in discontinued operations - 12,249 - 12,249 - Cash and cash equivalents excluding discontinuing operations 54,384 32,800 54,384 32,799 82,369 19
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Q2 2025………. Interim Report Notes to the consolidated financial statements Note 1 Significant accounting principles Basis for preparation The financial statements are presented in NOK, rounded to the nearest thousand, unless otherwise stated. As a result of rounding adjustments, the figures in one or more rows or columns included in the financial statements and notes may not add up to the total of that row or column. Statements These condensed consolidated interim financial statements for the second quarter 2025 have been prepared in accordance with IAS 34 as approved by the EU (IAS 34). They have not been audited or subject to a review by the auditor. They do not include all the information required for full annual financial statements of the Group and should consequently be read in conjunction with the consolidated financial statements for 2024. The accounting policies applied are consistent with those applied and described in the consolidated annual financial statements for 2024, which are available on www.webstep.com and upon request from the Company’s registered office at Universitetsgata 2, 0164 Oslo, Norway. These condensed consolidated interim financial statements for the second quarter 2025 were approved by the Board of Directors and the CEO 13 August 2025. Accounting policies The Group prepares its consolidated annual financial statements in accordance with IFRS as adopted by the EU (International Financial Reporting Standards - IFRS) and the Norwegian Accounting Act. References to IFRS in these accounts refer to IFRS as approved by the EU. The date of transition was 1 January 2016. The accounting policies adopted are consistent with those of the previous financial year. Changes to IFRSs which have been effective from 1 January 2021 have had no material impact on the Group's financial statements. Note 2 Estimates, judgments and assumptions The preparation of condensed consolidated interim financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates. In preparing these condensed consolidated interim financial statements, the significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those applied to the annual consolidated financial statements for 2024 and as described in note 3 to the 2024 statements. 21
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Q2 2025………. Interim Report Note 3 Seasonality or cyclicality of interim operations The Group's net operating revenues are affected by the number of workdays within each reporting period while employee expenses are recognised for full calendar days. The number of workdays in a month is affected by public holidays and vacations. The timing of public holidays’ during quarters and whether they fall on weekdays or not impact revenues. The second quarter of 2025 had one less work day than the second quarter of 2025. Note 4 Earnings per share NOK'000 (except number of shares in thousand) Q2 2025 Q2 2024 YTD 2025 YTD 2024 FY 2024 Profit for the period from continued operations 14,842 14,091 31,226 29,719 49,19 Profit for the period from discontinued operations - −208 - 123 325 Total profit for the period 14,842 13,883 31,226 29,842 49,514 Average number of shares (excl. treasury shares) 26,058 27,806 26,032 27,748 27,374 Average number of shares fully diluted (excl. treasury shares) 26,074 27,937 26,051 27,874 27,463 Earnings per share (NOK) from continuing operations 0.57 0.51 1.20 1.07 1.80 Earnings per share, fully diluted (NOK) from continuing operations 0.57 0.50 1.20 1.07 1.79 Earnings per share (NOK) from discontinuing operations - -0.01 - 0.00 0.01 Earnings per share, fully diluted (NOK) from discontinuing operations - -0.01 - 0.00 0.01 Earnings per share (NOK) 0.57 0.50 1.20 1.08 1.81 Earnings per share, fully diluted (NOK) 0.57 0.50 1.20 1.07 1.80 Based on the number of share options outstanding, the strike price of the options, the average share price during the quarter, and the remaining vesting period of the options, the dilution effect of the long-term incentive program accounts for 16,633 shares for the quarter and 19,441 shares for the first half of the year. 22
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Q2 2025………. Interim Report Note 5 Discontinued operations On 23 May 2024, Webstep ASA publicly announced that the Company had entered into an agreement to sell the subsidiary Webstep AB. The sale of Webstep AB was completed in the third quarter, on 9 July 2024, and the financials related to the sale were recorded in the third quarter. The total net effect from the sale of Webstep AB is NOK 0.2 million, and includes NOK 13.1 million currency translation differences recycled from the equity. Operating profit before tax excluding net effect from the sale, amounts to NOK 155 million for the full year. The consideration for the sale of the Swedish business is SEK 51 million, corresponding to an enterprise value of SEK 38, including the dividend of SEK 10.0 million. The dividend was exercised from Webstep AB to Webstep ASA in the second quarter of 2024. From the second quarter of 2024, Webstep AB is classified as a discontinued operation: Statement of comprehensive income, discontinuing operations NOK'000 Q2 2025 Q2 2024 YTD 2025 YTD 2024 Revenues - 29,673 - 62,887 Total revenues - 29,673 - 62,887 Cost of services and goods - 5,191 - 12,081 Salaries and personnel cost - 21,593 - 43,878 Depreciation and impairment - 1,165 - 2,521 Other operating expenses - 1,754 - 3,684 Operating profit/(loss) - −30 - 723 Net financial items - −232 - −568 Profit/(loss) before tax - −262 - 155 Tax expense (income) - −54 - 32 Profit (loss) - −208 - 123 Cash flow from discontinuing operations NOK'000 Q2 2025 Q2 2024 YTD 2025 YTD 2024 Net cash flow from operating activities - 10,705 - 12,276 Net cash flow from investing activities - −32 - −48 Net cash flow from financing activities - −10,978 - −12,42 Total cash flow from discontinuing operations - −304 - −192 23
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Q2 2025………. Interim Report The major classes of assets and liabilities sold for Webstep AB are as follows: Assets NOK'000 9 July 2024 Goodwill 43,868 Non-current tangible assets 361 Right-of-use assets 11,914 Total non-current assets 56,143 Trade receivables 23,238 Other receivables 2,561 Cash and cash equivalents 12,249 Total current assets 38,048 TOTAL ASSETS 94,191 Liabilities Deferred tax liability 1,196 Non-current leasing liabilities 6,422 Total non-current liabilities 7,618 Current leasing liabilities 5,203 Other current liabilities 20,596 Total current liabilities 25,799 TOTAL LIABILITIES 33,416 Note 6 Events after the balance sheet date There have been no events after the balance sheet date significantly affecting the Group’s financial position. 24
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Q2 2025………. Interim Report Appendix EBITDA NOK'000 Q2 2025 Q2 2024 YTD 2025 YTD 2024 FY 2024 Operating profit/(loss) 19,043 18,954 41,665 40,391 66,726 Depreciation 4,303 4,744 8,628 9,507 18,343 EBITDA - Continuing operations 23,347 23,698 50,293 49,898 85,070 NIBD (Net Interest Bearing Debt) NOK'000 6/30/25 6/30/24 12/31/24 Cash and cash equivalents (minus indicates positive amount) −54,384 −45,048 −82,369 Restricted cash 2,301 28,368 544 Leasing liabilities (non-current and current) 62,802 16,487 63,164 NIBD 10,719 −193 −18,661 Group equity ratio NOK'000 6/30/25 6/30/24 12/31/24 Total equity 321,885 365,816 351,612 Total assets 595,879 693,621 632,738 Group equity ratio 0.54 0.53 0.56 NIBD/EBITDA NOK'000 6/30/25 6/30/24 12/31/24 EBITDA rolling 12 months 72,565 65,32 75,413 NIBD 10,719 −193 −18,661 NIBD/EBIDTA (rolling 12 months) 0.15 0.00 -0.25 NIBD/EBITDA (rolling 12 months)* -0.72 -0.26 -1.12 *Effects related to IFRS 16 (leasing) are excluded 26
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Q2 2025………. Interim Report Alternative performance measures Webstep discloses alternative performance measures as a supplement to the financial statements prepared in accordance with IFRS. Webstep believes that the alternative performance measures provide useful supplemental information to management, investors, equity analysts and other stakeholders. These measures are commonly used and are meant to provide an enhanced insight into the financial development of Webstep’s business operations and to improve comparability between periods. ● EBITDA is short for Earnings before Interest and other financial items, Taxes, Depreciation and Amortisation and is a term commonly used by equity analysts and investors. ● EBIT is short for Earnings before Interest and other financial items and Taxes and is a term commonly used by equity analysts and investors. ● Net free cash flow is calculated as net cash flow from operating activities plus net cash flow from investing activities. ● NIBD is short for Net Interest Bearing Debt and is defined as interest bearing debt minus unrestricted cash and cash equivalents. ● NIBD/EBITDA is calculated as Net Interest Bearing Debt divided by Earnings before Interest and other financial items, Taxes, Depreciation and Amortisation (EBITDA). The ratio is one of the debt covenants of the Group and it is based on the rolling twelve months EBITDA. If the Group has more cash than debt, the ratio can be negative. ● Equity ratio is defined as the total consolidated equity of the Group divided by total assets. 27
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Oslo Universitetsgata 2, 0164 Oslo xxx Bergen Damsgårdsveien 14, 5058 Bergen Stavanger Verksgata 1a, 4013 Stavanger Trondheim Kongens gate 16, 7011 Trondheim Sørlandet Skippergata 19, 4611 Kristiansand Haugalandet Haraldsgata 90, 5528 Haugesund +47 916 83 601 ir@webstep.no www.webstep.no