Interim report
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Half-Year Report 2026 January – June KEY RATIOS GROUP Our focus now is to work constructively with the FDA to identify the most efficient path for- ward and advance Orviglance toward approval.” “ Advancing Orphan Oncology Focus on the Path Forward for Orviglance® KEY EVENTS IN Q2 2026 Ascelia Pharma completed a directed share issue of SEK 20 million before transaction costs Bulletin from the Annual General Meeting in Ascelia Pharma AB on 4 May 2026 Orviglance data presented at the Annual Radiology Congress ESGAR 2026 Orviglance IP Portfolio expanded with new patent filing Ascelia Pharma receives a Complete Response Letter from the U.S. Food and Drug Administration regarding the Company’s New Drug Application for Orviglance Ascelia Pharma announces CFO Anton Hansson's departure, alongside measures to reduce the cost base Ascelia Pharma announces that FDA has scheduled a Type A meeting on September 9, 2026 KEY EVENTS AFTER THE PERIOD Q2 (Apr-Jun) H1 (Jan-Jun) 2026 2025 2026 2025 OPERATING RESULT (SEKm) -12.1 -23.0 -28.6 -43.3 EARNINGS PER SHARE (SEK) -0.09 -0.20 -0.22 -0.43 CASH FLOW FROM OPERATIONS (SEKm) -14.0 -18.0 -29.8 -34.9 LIQUID ASSETS (SEKm) 38.0 60.4 38.0 60.4
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2 Ascelia Pharma Half-Year Report January-June 2026 Corporate overview Regulatory status and next steps. Following the end of the quar- ter, the FDA completed its review of the NDA for Orviglance and issued a CRL, indicating that the application cannot be approved in its present form and has raised issues related to clinical data and product documentation. We remain confident and fully com- mitted to the potential of Orviglance. To advance the regulatory process, we have requested a Type A meeting with the FDA to discuss the matters raised in the CRL. The FDA has accepted the request, and the meeting is scheduled for 9 September, with of - ficial meeting minutes to be provided within 30 days thereafter. Ascelia Pharma seeks marketing approval for Orviglance as a liv - er magnetic resonance imaging (MRI) contrast agent for patients with severe kidney impairment. These patients have the highest risk of developing the serious and potentially fatal condition Nephrogenic Systemic Fibrosis (NSF) after exposure to the gadolinium-based contrast agents normally used today. Regulatory bodies have issued warnings for the use of these agents in this vulnerable patient population and Orviglance has been granted an Orphan Drug Designation by the FDA. Development program. Orviglance is supported by a compre - hensive clinical development program with consistent positive efficacy and safety results. The program includes nine clinical studies with a total of 286 patients and healthy volunteers. 85 patients with known or suspected focal liver lesions and severely impaired kidney function were included in the global multi-center pivotal Phase 3 SPARKLE study. In 2024, the SPARKLE study successfully met the primary end - point, demonstrating that Orviglance significantly improved visu- alization of focal liver lesions compared to unenhanced MRI. The positive results had an acceptable level of variability and high statistical significance (P values <0.001) for all three independent readers, who scored study images according to the FDA agreed methodology. Common adverse events in the vulnerable patient population were in line with previous studies, such as mild- to moderate nausea. No serious adverse drug reactions were ob - served. Orviglance aims to give patients with impaired kidney function access to safe and effective liver imaging and the strong results from the clinical studies reinforce our confidence in the market potential for Orviglance. Our focus in the second quarter was on facilitating the finalization of the U.S. Food and Drug Administration (FDA) regulatory review of Orviglance® and preparing the partnering dialogues for entering into a deal following approval of Orviglance. Shortly after the quarter ended, we received a Complete Response Letter (CRL) from the FDA regarding our New Drug Application (NDA) for Orviglance. This was an unexpected outcome of the review process, but it has not changed our confidence in Orviglance and its potential to address a significant unmet medical need. The Ascelia Pharma team and I remain fully committed to making Orviglance available to patients with severe kidney impairment who require safe and effective liver imaging. We have submitted a request for a Type A meeting with the FDA to clarify the matters outlined in the CRL and align with the FDA on the path forward. The FDA has accepted the meeting request, and the meeting is scheduled for 9 September. Official meeting minutes are to be provided by the FDA within 30 days following the meeting. We believe the completed clinical development program, including the positive Phase 3 SPARKLE results, supports approvability of Orviglance. We will continue to engage constructively with the FDA and will provide further updates as we gain greater clarity on the regulatory path ahead. Following the receipt of the CRL, we implemented cost-saving measures to reduce our cash burn rate and strengthen liquidity, providing increased financial flexibility to support the work required to address issues raised in the CRL. CEO STATEMENT
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3 Ascelia Pharma Half-Year Report January-June 2026 Corporate overview Recognition in the scientific community. We are pleased to see the acceptance of Orviglance data for presentation at major scientific conferences. In total five oral presentations and six abstract presentations have been accepted since the announce - ment of our Phase 3 results, underscoring the interest in the medical and scientific community for an alternative to gadolini - um-based contrast agents. Strategy to commercialize with partners. Orviglance address - es a well-defined unmet medical need representing an annual global addressable market of USD 800 million, with 100,000 annual procedures in the target patient population in the US alone. Our strategy is to launch Orviglance with commercializa - tion partners. This strategy enables us to leverage established commercialization capabilities of a partner with a low invest - ment from Ascelia Pharma required for launch. The Complete Response Letter has changed the timeline for ap - proval, which affects the partnering discussions; however, we continue our discussions with potential partners and believe the commercial rationale for Orviglance remains compelling. Financial position. In April 2026, we carried out a directed share issue, raising SEK 20 million before transaction costs. Af - ter the quarter ended, we implemented cost-saving measures to strengthen our financial position and improve liquidity. This provides flexibility to support activities related to the CRL and the cash runway has been extended into Q2, 2027. ”While the disappointing receipt of the Complete Response Letter has changed our immediate priorities, our value-creating opportunities for Orviglance remain unchanged.” The path ahead. While the disappointing receipt of the Com - plete Response Letter has changed our immediate priorities, our value-creating opportunities for Orviglance remain unchanged: advancing toward approval and establishing a partnership. With a disciplined and cost-effective approach, we remain focused on executing the activities that support the regulatory path for - ward and long-term value creation. Magnus Corfitzen CEO
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4 Ascelia Pharma Half-Year Report January-June 2026 Corporate overview ADVANCING ORPHAN ONCOLOGY Building Ascelia Pharma and building value ■ Orviglance market leader ■ Oncoral Phase 3 ■ Pipeline development ■ Pipeline further expanded ■ Orviglance revenue ■ Oncoral Phase 2 ■ Pipeline expansion ■ Orviglance in registration phase ■ Oncoral Phase 2 ready ESTABLISHED MARKET POSITION IN ORPHAN ONCOLOGY PRODUCT LAUNCH AND EXPANDING PIPELINE ADVANCING PIPELINE AND COMMERCIAL CAPABILITIES Our headquarter is in Malmö, Sweden, and our US base is in New Jersey. The shares in the Company are listed on NASDAQ Stockholm (ticker: ACE). To be a leader in identifying, developing and commercializing novel drugs that address unmet needs of people with rare cancer conditions. FOCUS We are devoted to improving the lives of patients and creating value for our stakeholders. COURAGE We work tirelessly and follow our convictions even when it means changing the status quo. INTEGRITY We build powerful relationships with mutual respect and adhere to the high ethical standards of our industry. OUR VALUES OUR VISION OUR BASE
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5 Ascelia Pharma Half-Year Report January-June 20265 OUR PIPELINE Our pipeline products Phase 2 results Orviglance Liver MRI contrast agent for patients with severe kidney impairment Market launch Market approval Phase 2 ready Oncoral Gastric cancer treatment with expansion potential to other cancer types ORVIGLANCE Diagnostic drug for liver MRI in registration phase Orviglance is our first-in-class non-gadolinium diagnostic drug (contrast agent) to be used for magnetic resonance imaging (MRI) of the liver. Orviglance is developed to improve the visualiza - tion of focal liver lesions (liver metastases and primary liver cancer) in patients with impaired kidney function at risk of severe side-effects from the gadolinium contrast agents currently on the market. ■ First-in-class manganese-based diagnostic drug with FDA Orphan Drug Designation ■ USD 800 million global annual addressable market ■ Clinical development completed, incl. pivotal Phase 3, with consistent positive efficacy and safety data from nine clinical studies with 286 patients and healthy volunteers ONCORAL Daily tablet chemotherapy ready for Phase 2 Oncoral is our novel oral irinotecan chemotherapy tablet developed initially for the treatment of gastric cancer. The potential anti-tumor effect of irinotecan is well established. ■ Oral daily dosing of irinotecan chemotherapy ■ Potential for better efficacy and safety by frequent low dosing ■ Ready for Phase 2 in gastric cancer; potential to expand into other cancers
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6 Our pipeline products / ORVIGLANCE ® Ascelia Pharma Half-Year Report January-June 2026 ORVIGLANCE ADDRESSES UNMET NEED FOR LIVER MRI IN PATIENTS WITH KIDNEY IMPAIRMENT Orviglance aims to be the standard of care liver MRI contrast agent for patients also suffering from severe kidney impairment. These patients are at risk of severe side-effects from using gadolinium-based contrast agents. USD 800 million global annual addressable market The target group for Orviglance is patients who need liver imaging and have severely impaired kidney function. This patient group is at risk of serious, and potentially fatal, side effects from using the currently available gadolinium-based contrast agents. These contrast agents carry black box warnings for patients with severely reduced kidney function. The completed clinical studies show that Orviglance improves the diagnostic performance of MRI and offers a significantly better alternative than unenhanced MRI (i.e., MRI without con - trast agent). Consequently, Orviglance fills a significant unmet medical need to improve the diagnosis, and subsequently, the treat- ment of liver metastases and primary liver cancer for these patients. The immediate addressable market for Orviglance is estimated at USD 800 million yearly and Orviglance is expected to be the only gadolinium-free product on the market for this patient segment. Orphan Drug Designation Orviglance has received Orphan Drug Designation from the FDA. One major advantage of orphan drug status is, among other things, that orphan drugs can obtain longer market exclusivity after regulatory approval. Early detection of liver metastases is key Orviglance is a contrast agent used in MRIs to improve the detection and visualization of focal liver lesions (liver metasta - ses and primary tumors). The liver is the second most common organ for metastasis after the lymph nodes. Detecting liver metastases at an early stage is crucial for determining the right treatment method and for the patient’s chances of survival. Studies show that the five-year survival rate can increase from 6 percent to 46 percent if liver metastases can be removed sur - gically. An accurate MR scan using contrast agents is therefore critical to evaluate the possibility for surgical resection, but also for monitoring of treatment effect and surveillance for recur - rence of the disease. Suspected cancer in the liver Test kidney function Liver MRI scanMRI contrast agent decision MRI with gadolinium contrast agent Q All gadolinium contrast agents have regulatory Black Box warnings Q Risk of severe and potentially fatal side-effect (NSF - Nephrogenic Systemic Fibrosis) A) Healthy kidneys B) Poor kidneys Solution MRI with ORVIGLANCE
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7 Ascelia Pharma Half-Year Report January-June 2026 Our pipeline products / ORVIGLANCE ® How Orviglance works Orviglance is an orally administered contrast agent developed for use with MRI of the liver. It is based on the chemical element manganese, which is a natural trace element in the body. Orviglance also contains L-alanine and vitamin D3 to enhance the function of manganese as a contrast agent. After having been absorbed from the small intestine, the manganese is transported to the liver where it is taken up by and retained in the normal liver cells. The high manganese uptake causes the normal liver tissue to appear bright on MR images. Metastases and tumor cells do not take up manganese to the same extent as normal liver tissue and therefore appear dark on MR images. Liver metastases are easier to identify due to this contrast effect by Orviglance. Successful clinical development Clinical development of Orviglance has been completed with consistent positive efficacy and safe- ty data from nine studies with 286 patients and healthy volunteers. The pivotal Phase 3 study for Orviglance, SPARKLE successfully met the primary endpoint and demonstrated that Orviglance significantly improved visualization of focal liver lesions compared to unenhanced MRI. The pos - itive results were strong and conclusive and had both an acceptable level of variability and high statistical significance (P values <0.001) for all three readers. Common adverse events in this vul- nerable patient population were in line with previous studies with Orviglance, such as mild- to moderate nausea. No serious adverse drug reactions were observed. Advanced to registration phase The NDA for Orviglance was submitted to the FDA in early September 2025. To reach this milestone, the Full Clinical Study Report from the Phase 3 SPARKLE study was com - pleted in Q4 2024, and a pre-NDA meeting with the FDA was held in Q1 2025. In mid-November 2025, the FDA formally accepted the NDA filing in its Day 74 Letter. In July 2026, the FDA completed its review and issued a Complete Response Letter (CRL). Ascelia Pharma has subsequently requested and been granted a Type A meeting with the FDA to discuss the matters raised in the CRL and clarify the regulatory path forward. The meeting has been sched- uled for 9 September, and official meeting minutes are provided within 30 days thereafter. ORVIGLANCE CLINICAL DEVELOPMENT COMPLETED Orphan liver MRI contrast agent in registration phase Improved visualization Improved visualization Improved detection Example from a patient with metastases in the SPARKLE Phase 3 study Improved visualization of focal liver lesions with Orviglance Without Orviglance (T1, Pre-contrast) With Orviglance (T1, post-contrast) Without Orviglance (T1, Pre-contrast) With Orviglance (T1, post-contrast)
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8 Ascelia Pharma Half-Year Report January-June 2026 Strong positive Phase 3 results ■ For unenhanced images, the median BD and LC scores ranged from 2.1 to 3.0 across readers ■ For Orviglance-enhanced images, the median BD and LC scores increased to 3.0 and 4.0 across readers ■ Increases were statistically significant (p<0.001) for all three readers The results of secondary endpoints generally support the superiority of Orviglance compared to unenhanced MRI, e.g. with at least one additional lesion detected in 40-52% of patients with Orviglance across readers. No analysis favours unenhanced MRI, including in patient sub-group analysis. Superiority vs. unenhanced was demonstrated both when unenhanced was compared to images with Orviglance combined with unenhanced and for images with Orviglance alone. Phase 3 primary endpoint met The pivotal Phase 3 study, SPARKLE, successfully met the pri - mary endpoint and demonstrated that Orviglance significantly improved the visualization of focal liver lesions compared to MRI without contrast, unenhanced MRI. The results for all three readers were highly statistically significant (P values <0.001). Common adverse events in this vulnerable patient population were in line with previous studies with Orviglance, such as mild- to moderate nausea. No serious adverse drug reactions were ob - served. Designed to support regulatory approval The pivotal Phase 3 study (SPARKLE) is a global multicenter study, which was completed with 85 enrolled patients with sus - pected or known focal liver lesions and severely impaired kidney function. The evaluation of the primary endpoint was carried out by three blinded, independent radiologists (readers), in accordance with regulatory guidance to the industry. The readers assessed the changes in visualization of liver lesions with and without Orviglance, as well as other secondary eff icacy endpoints. Our pipeline products / ORVIGLANCE ® PHASE 3 SUCCESSFULLY COMPLETED Following an unacceptably high intra-reader variability in the first image scoring by readers mid-2023, a new evaluation of the images with new readers was successfully completed with the announced positive headline results and acceptable variability in May 2024, in line with the planned timeline. The full Phase 3 program was designed in accordance with in - dustry standards, regulatory guidance for imaging agent devel - opment and based on discussions with regulatory agencies. The program aims to support a regulatory filing and approval for use of Orviglance for liver imaging in patients where the use of gad - olinium may be medically inadvisable. -1,5 -1 -0,5 0 0,5 1 1,5 Mean paired difference in* LBD (●) and LC (●) score (CMRI - UMRI) Favors OrviglanceFavors unenhanced Reader 1 (n=61) p<0.001 Reader 2 (n=53) p<0.001 Reader 3 (n=61) p<0.001 *Visualization assessed by 3 independent readers as the improvement of Lesion border delineation (LBD) and Lesion contrast (LC) on combined Orviglance-enhanced + unenhanced (CMRI) images compared to unenhanced (UMRI) images for all matched lesions, using a 4-point scale (from 1 (“poor”) to 4 (“excellent”)). Data presented as mean paired differences for matched lesions per patient for CMRI and UMRI with 95% Confidence Intervals. One-sided paired t-test (α=0.025). Total N=85, n=number of patients with matched lesions (per reader). -1,5 -1 -0,5 0 0,5 1 1,5 Mean paired difference in* LBD (●) and LC (●) score (CMRI - UMRI) Favors OrviglanceFavors unenhanced Reader 1 (n=61) p<0.001 Reader 2 (n=53) p<0.001 Reader 3 (n=61) p<0.001
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9 Ascelia Pharma Half-Year Report January-June 2026 Clear and attractive addressable market Orviglance addresses a well-defined unmet medical need representing an attractive commercial potential with an annual global addressable market of USD 800 million. This estimate is based on: ■ Patients with primary liver cancer or liver metastases and severe kidney impairment (~4 percent) ■ Actual imaging procedures (real-world data) 1 ■ Payer and expert input (+75 stakeholders) 2 ANNUAL ADDRESSABLE MARKET OF USD 800 MILLION Our pipeline products / ORVIGLANCE ® US Europe Rest of World Japan Unique opportunity to address an unmet need Orviglance addresses an attractive market opportunity by offer - ing contrast enhanced liver imaging for cancer patients with poor kidney function ■ not associated with gadolinium safety risks for patients with poor kidney function ■ addressing the increasing demand for alternatives to gadolin - ium 90 percent of health care professionals are concerned by safety issues related to gadolinium contrast agents including NSF. In fact, according to market research, 16 percent of healthcare providers have experienced gadolinium-induced NSF 3. In the US alone, real-world data shows that 100,000 abdom - inal imaging procedures are performed every year in 50,000 patients that fall under the black-box warning for gadolinium con - trast agents, which is about 4 percent of the cancer patient popu - lation undergoing abdominal imaging. FOCUSED, AMBITIOUS STRATEGY Ensure OPTIMAL LABEL, timely SUPPLY and launch READINESS Drive EARLY ADOPTION AND PREFERENCE by decision makers with focused efforts and a strong value proposition Partnering strategy The go-to-market strategy for Orviglance is to launch with com - mercialization partners. This approach enables Ascelia Pharma to leverage established commercialization capabilities and maintain a low investment requirement for launch. The focus of Ascelia Pharma is to create value by ensuring launch readiness and collaboration with a partner by preparing for optimal adoption by key stakeholders at launch. UNIQUE OPPORTUNITY Give people with cancer in the liver and poor kidney function ACCESS TO SAFE AND EFFECTIVE IMAGING to live healthier and longer lives CLEAR AMBITION Be the STANDARD OF CARE liver imaging choice for cancer patients with poor kidney function 1) Ascelia Pharma market research on real-world volumes with DRG (2020) 2) Market access research and analyses with Charles River Associates (2020), Triangle (2022) and Trinity (2022), incl. 75 stakeholder and expert interactions. Final pricing and access strategy subject to Phase 3 data and payer evidence 3) Ascelia Pharma market research with Two Labs including 254 US HCPs (2022).
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10 Ascelia Pharma Half-Year Report January-June 2026 Our pipeline products / ONCORAL TODAY – Intravenous bolus infusionsONCORAL – a novel formulation of irinotecan Oral, daily dosingIntravenous New cancer indications Approved cancer indications TOMORROW – Oncoral oral daily dosing Gastric cancer ONCORAL Colorectal cancer Pancreatic cance r Proven anti-cancer effect The active substance in Oncoral is irinotecan, which has an established and proven effect in killing cancer cells. Irinotecan is a so-called antineoplastic agent that after meta - bolic activation inhibits the enzyme topoisomerase 1, there - by inducing cancer cell death via the prevention of their DNA replica tion. Irinotecan is converted by carboxylesterases, primarily in the liver, to the active metabolite SN-38 which is 100–1,000 more potent than irinotecan in killing tumor cells. Potential to be the first oral version of irinotecan Oncoral is a new patented oral tablet formulation of irinotecan, which enables a reliable release and efficient absorption of irino- tecan from the gastro intestinal tract after oral administration. With oral administration, irinotecan can be given with low daily doses. This is very different from the current standard of giving a high intravenous doses every third week. All-oral chemo combination Oncoral has the potential to be combined with other chemother- apies and targeted cancer drugs and enables an all-oral combi - nation chemotherapy option with improved clinical outcomes. Oncoral is a novel daily irinotecan chemotherapy in development. Irinotecan chemotherapy has an established potent anti-tumor effect. Oncoral is a daily irinotecan tablet with the potential to offer better efficacy with improved safety following the daily dosing at home compared to intra- venous high-dose infusions at the hospital. Potential to expand Oncoral into other solid tumor indications Infrequent high-dose IV irinotecan ■ Gastrointestinal and hematological side effects ■ Dose limiting toxicity: 30 percent severe or life- threatening (grade 3 or 4) Potential – Frequent low-dose irinotecan ■ Improved efficacy driven by pharmacokinetic profile ■ Improved tolerability due to lower peak exposure with less severe side effects and manageable toxicity with flexible dosing ONCORAL - POTENTIAL WITH DAILY DOSING
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11 Ascelia Pharma Half-Year Report January-June 2026 Our pipeline products / ONCORAL PHASE 2 STUDY DESIGN AND COLLABORATION Phase 2 study design Oncoral + Lonsurf vs. Lonsurf COMPARATOR Q Around 100 patients Q Metastatic gastric cancerPATIENTS Primary: Progression Free Survival Secondary: Response rate, Pharmacokinetics, Safety and Overall Survival data in a follow up analysis ENDPOINTS 2 - 2½ years, study start pendingSTUDY PERIOD Clinical collaboration with Taiho Oncology Q Clinical Phase 2 collaboration with Taiho Oncology Inc. (part of Otsuka Group) Q Taiho Oncology Inc. will supply Lonsurf and provide scientific expertise Q The collaboration may be extended for further development Q Ascelia Pharma retains full development and commercialization rights LONSURF® is approved for treatment of metastatic gastric cancer and metastatic colorectal cancer
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12 Ascelia Pharma Half-Year Report January-June 2026 EARNINGS AND PROFITABILITY Net sales and other operating income The Group’s net sales in Q2 (Apr-Jun 2026) amounted to SEK 0 (SEK 0). Other operating income totaled SEK 0.1 MSEK (SEK 0). The income refers to exchange rate gains. Administrative costs Administrative costs amounted to SEK 3.4 million (SEK 4.4 million). The decrease in costs is primarily related to lower recognized expenses for employee incentive programs. The costs of the incentive programs have been revised as a result of changes in personnel. Research and development costs (R&D) R&D costs amounted to SEK 8.8 million (SEK 18.7 million).Costs have decreased compared to the same period last year as a result of the NDA application being completed in early September 2025. Operating results (EBIT) The operating result amounted to SEK -12.1 million (SEK -23.0 million). The cost decrease is primarily related to the finalized NDA submission early September 2025 as well as decreased recognized costs for personnel. Net Profit/Loss for the period and financial items The Group’s net loss in Q2 2026 amounted to SEK -12.2 million (SEK -23.0 million). A net financial loss of SEK 0.1 million was recognized, which mainly reflects currency loss related to weakening of USD against SEK. The net loss corresponds to a loss per share, before and after dilution, of SEK -0.09 (SEK -0.20). Financial overview FINANCIAL OVERVIEW Q2 (APR-JUN 2026) Financial key ratios for the Group Q2 (April-June) 2026 2025 Operating result (SEK 000’) -12,100 -23,010 Net result (SEK 000’) -12,211 -22,983 Earnings per share (SEK) -0.09 -0.20 Weighted avg. number of shares 131,923,739 112,960,988 R&D costs/operating costs (%) 72% 81% Cash flow used in operating activities (SEK 000’) -13,985 -17,987 Equity (SEK 000’) 89,827 93,710 Liquid assets incl. marketable securities (SEK 000’) 38,046 60,443 CASH FLOW AND FINANCIAL POSITION During the period, cash flow from operating activities before changes in working capital amounted to SEK -11.4 million (SEK -21.8 million). Changes in working capital for the quarter showed an outflow of SEK -2.6 million (SEK 3.8 million) reflecting a decrease in accounts payable as well as other liabilities. Cash flow from investing activities amounted to SEK 0 (SEK 0). Furthermore, cash flow from financing activities amounted to an inflow of SEK 18.1 million (inflow of SEK 21.3 million) which relates to the new share issue in April 2026. On the closing date, equity amounted to SEK 89.8 million, compared with SEK 93.7 million per 30 June 2025 and SEK 99.5 million per 31 December 2025. The decrease since 30 June 2025 reflects the net loss incurred. Liquid assets amounted to SEK 38.0 million on the closing date, compared to SEK 60.4 million per 30 June 2025 and SEK 49.9 million per 31 December 2025.
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13 Financial overview Ascelia Pharma Half-Year Report January-June 2026 FINANCIAL OVERVIEW H1 (JAN-JUN 2026) EARNINGS AND PROFITABILITY Net sales and other operating income The Group’s net sales for the first half of the year amounted to SEK 0 (SEK 0). Other operating income totaled SEK 0.3 million (SEK 0.1 million). The income refers to exchange rate gains and the redemption of a leased car. Administrative costs Administrative costs in the period amounted to SEK 6.5 million (SEK 8.9 million). The cost decrease compared to the same period last year, is mainly driven by lower recognized costs for employee incentive programs. Research and development costs (R&D) R&D costs amounted to SEK 22.3 million (SEK 34.3 million). The costs have decreased compared to the same period last year as a result of the NDA application being completed in early September 2025. Operating results (EBIT) The operating result for the Group amounted to SEK -28.6 million (SEK -43.3 million). The cost decrease is primarily related to the finalized NDA submission early September 2025 as well as decreased recognized costs for personnel. Net Profit/Loss for the period The Group’s net loss in the period amounted to SEK -28.6 million (SEK -44.7 million). The net loss corresponds to a loss per share, before and after dilution, of SEK -0.22 (SEK -0.43). CASH FLOW AND FINANCIAL POSITION Cash flow from operating activities before changes in working capital amounted to SEK -28.0 million (SEK -42.4 million). Changes in working capital for the period showed an outflow of SEK -1.8 million (SEK 7.5 million) mainly reflecting a decrease in other liabilities. Cash flow from investing activities amounted to SEK 0 (SEK -57 thousand). Cash flow from financing activities totaled an inflow of SEK 17.9 million (inflow of SEK 21.1 million) reflecting the new share issue of SEK 20 million in April 2026. In April, a directed share issue was carried out. The share issue raised SEK 20 million before costs. On the balance sheet date, liquid assets amounted to SEK 38.0 million. Financial key ratios for the Group H1 (January-June) 2026 2025 Operating result (SEK 000’) -28,622 -43,343 Net result (SEK 000’) -28,590 -44,715 Earnings per share (SEK) -0.22 -0.43 Weighted avg. number of shares 129,410,230 104,005,455 R&D costs/operating costs (%) 77% 79% Cash flow used in operating activities (SEK 000’) -29,843 -34,902 Equity (SEK 000’) 89,827 93,710 Liquid assets incl. marketable securities (SEK 000’) 38,046 60,443
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14 Ascelia Pharma Half-Year Report January-June 2026 Incentive programs Ascelia Pharma has two outstanding share saving programs. If the terms of the share saving programs are met, employees are enti- tled to receive matching and performance shares according to the terms of the program. The Group recognizes share-based remuner- ation, which personnel may receive. A personnel cost is recognized, together with a corresponding increase in equity, distributed over the vesting period. Social security costs are revalued at fair value and the liability is recognized on an ongoing basis. Further infor - mation can be found in the Annual Report 2025 on pages 68-70. In case all outstanding incentive programs per 30 June 2026 are exercised in full, a total of 1.6 million common shares will be issued (including hedge for future payment of social security charges). This corresponds to an aggregate maximum dilution of approximately 1.2 percent of Ascelia Pharma’s share capital after full dilution (calculated on the number of common shares that will be added upon full exercise of all incentive programs). Risks and uncertainties Ascelia Pharma is exposed to a range of operational risks and uncertainties that affect, or could affect, its business, operations, financial position, and results. The risks assessed as having the greatest potential impact relate to clinical drug development, reg- ulatory conditions, commercialization and licensing, intellectual property rights and other protective mechanisms, financing con- ditions, and broader macroeconomic factors. These include the effects of pandemics, geopolitical developments, inflation, and foreign exchange fluctuations. The Group’s overarching risk management approach is to mitigate and limit undesirable impacts on earnings and financial position. A detailed description of the Group’s risks and uncertainties is provided in the Annual Report 2025 on pages 37-39. Ascelia Pharma’s operations in R&D activities require continuous access to capital as the available liquidity is gradually consumed. The Group does not currently have a steady inflow of revenues; in - stead, revenues arise irregularly, for example through partnership agreements with pharmaceutical companies. As of today's date, Ascelia Pharma assesses that it does not have full financing for the coming twelve months but that Ascelia Pharma currently has a cash runway extending into Q2 2027. Beyond that point, Ascelia Pharma will be dependent on reve - nues or other financing sources. Depending on the timing of when cash flow becomes positive, Ascelia Pharma may require additional capital. There is a risk that such financing may not be available when needed or on favorable terms, which could have a material impact on the operations and create uncertainty regarding ongoing and future operations. Following the receipt of the Complete Response Letter (CRL), the Company has requested and been granted a Type A meeting with the U.S. Food and Drug Administration (FDA) on 9 September to obtain further guidance regarding the path forward for Orviglance. As this meeting has not yet taken place, there are un- certainties regarding the outcome of the discussions, the scope of any additional activities that may be required, and the associ - ated costs. Consequently, there is a risk that the Company will require additional financing to finance all requirements that the FDA may request. The extent, timing, and form of such financing cannot currently be determined. The Board of Directors continuously evaluates various financing possibilities and risks as described above and has concluded that the interim report can be prepared on a going concern basis in accordance with IAS 8. Significant events after the end of the reporting period On 3 July, Ascelia Pharma announced that the Company had received a Complete Response Letter (CRL) from the FDA. On 15 July, Ascelia Pharma announced cost reduction initia - tives and that CFO Anton Hansson will be leaving the Compa - ny in the latter part of August 2026. On 17 August, Ascelia Pharma announced that FDA has sched - uled a Type A meeting for Orviglance NDA on September 9, 2026. Auditor’s review This interim report has not been reviewed by the Company’s auditor. Due to organizational constraints, the timing of the au - ditor's review has been changed from the Q2 report to the Q3 report compared with the previous year. This interim report has been prepared in both Swedish and English versions. In the event of any differences between the translations and the Swedish original, the Swedish version shall prevail. The Board and the CEO declare that this Interim report provides a true and fair overview of the Company and the Group’s operations, positions and earnings and describes the material risks and uncertainty factors faced by the Parent company and the companies within the Group. Malmö, 19 Aug 2026 Ascelia Pharma AB (publ) Peter Benson Chairman Lauren Barnes Member of the board Marianne Kock Member of the board Hans Maier Member of the board Helena Wennerström Member of the board Magnus Corfitzen CEO Other information OTHER INFORMATION
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15 Ascelia Pharma Half-Year Report January-June 2026 Financial information / Group Consolidated Income Statement Consolidated Statement of Comprehensive Income Q2 (Apr-Jun) H1 (Jan-Jun) SEK in thousands (unless otherwise stated)* 2026 2025 2026 2025 Net sales – – – – Gross profit/loss – – – – Administrative costs -3,358 -4,445 -6,548 -8,890 Research and development costs -8,804 -18,657 -22,311 -34,319 Commercial preparation costs – – – – Other operating income 64 124 252 124 Other operating costs -2 -31 -16 -259 Operating result -12,100 -23,010 -28,622 -43,343 Finance income 190 1,839 587 2,547 Finance costs -296 -2,029 -550 -4,270 Net financial items -107 -191 37 -1,723 Loss before tax -12,206 -23,201 -28,585 -45,066 Tax -5 218 -5 351 Loss for the period -12,211 -22,983 -28,590 -44,715 Attributable to: Owners of the Parent Company -12,211 -22,983 -28,590 -44,715 Non-controlling interest – – – – Earnings per share Before and after dilution (SEK) -0.09 -0.20 -0.22 -0.43 Q2 (Apr-Jun) H1 (Jan-Jun) SEK in thousands (unless otherwise stated)* 2026 2025 2026 2025 Profit/loss for the period -12,211 -22,983 -28,590 -44,715 Other comprehensive income Currency translation of subsidiaries** 216 -31 124 93 Other comprehensive income for the period 216 -31 124 93 T otal comprehensive income for the period -11,995 -23,014 -28,466 -44,622 * Some figures are rounded, so amounts might not always appear to match when added up. ** Will be classified to profit and loss when specific conditions are met
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16 Ascelia Pharma Half-Year Report January-June 2026 Consolidated Balance Sheet Financial information / Group 30 Jun 30 Jun 31 Dec SEK in thousands* 2026 2025 2025 ASSETS Non-current assets Intangible assets 57,073 57,074 57,070 Tangible assets - Equipment 44 61 52 Right-of-use assets 442 1,200 885 T otal non-current assets 57,559 58,335 58,007 Current assets Advance payments to suppliers 145 1,755 145 Current receivables Income tax receivables 831 1,402 1,014 Other receivables 2,681 2,446 1,756 Prepaid expenses and accrued income 967 949 1,159 Cash and bank balances 38,046 60,443 49,861 T otal current assets 42,669 66,994 53,935 T otal assets 100,228 125,329 111,941 EQUITY Share capital 134,569 117,113 127,903 Other paid-in capital 784,699 744,657 771,366 Reserve of exchange differences on translation 1,232 1,067 1,108 Loss brought forward (incl. net profit/loss for the period) -830,673 -769,127 -800,904 Equity attributable to Parent Company shareholders 89,827 93,710 99,472 T otal equity 89,827 93,710 99,472 LIABILITIES Long-term liabilities Lease liabilities – 490 72 Other long-term liabilities 31 – – T otal long-term liabilities 31 490 72 Current liabilities Accounts payable 2,259 4,312 2,042 Tax payable – – – Other liabilities 775 901 973 Interest bearing liabilities – 6,961 – Current lease liabilities 490 756 898 Accrued expenses and deferred income 6,847 18,201 8,484 T otal current liabilities 10,371 31,129 12,397 T otal liabilities 10,402 31,619 12,469 T otal equity and liabilities 100,228 125,329 111,941 * Some figures are rounded, so amounts might not always appear to match when added up.
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17 Ascelia Pharma Half-Year Report January-June 2026 Consolidated Statements of Changes in Equity Financial information / Group H1 (Jan-Jun) Full Year (Jan-Dec) SEK in thousands* 2026 2025 2025 Equity at start of the period 99,472 78,944 78,944 Comprehensive income Profit/loss for the period -28,590 -44,715 -76,253 Other comprehensive income 124 93 134 T otal comprehensive income -28,466 -44,622 -76,119 Transactions with shareholders New issue of common shares 20,000 42,827 80,325 Settlement of debt for warrants – 16,100 16,100 Common shares: Conversion from C-shares – – -53 C-shares: Resolution of C-shares – – 53 Issuance expenses -1,699 -1,323 -3,808 Call option premium in relation to loan facility – – – Share based remuneration to employees 519 1,785 4,030 T otal transactions with shareholders 18,820 59,388 96,647 Equity at end of the period 89,827 93,710 99,472 * Some figures are rounded, so amounts might not always appear to match when added up.
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18 Ascelia Pharma Half-Year Report January-June 2026 Consolidated Cash Flow Statement Financial information / Group Q2 (Apr-Jun) H1 (Jan-Jun) SEK in thousands* 2026 2025 2026 2025 Operating activities Operating result -12,100 -23,010 -28,622 -43,343 Expensed share based remuneration not included in cash flow 586 1,581 361 2,102 Adjustment for other items not included in cash flow 200 163 388 436 Interest received 103 210 172 333 Interest paid -22 -542 -52 -1,492 Income tax paid/received -154 -202 -284 -417 Cash flow from operating activities before changes in working capital -11,387 -21,799 -28,038 -42,382 Cash flow from changes in working capital Increase (-)/Decrease (+) of advance payments – – – – Increase (-)/Decrease (+) of operating receivables 698 1,042 -370 2,820 Increase (+)/Decrease (-) of accounts payable -1,210 -685 216 -436 Increase (+)/Decrease (-) of other liabilities -2,086 3,455 -1,653 5,096 Change in working capital -2,598 3,813 -1,806 7,480 Cash flow used in operating activities -13,985 -17,987 -29,843 -34,902 Investing activities Investment in equipment – -57 – -57 Divestment of right-of-use assets – – – – Cash flow from investing activities – -57 – -57 Financing activities New share issue 20,000 42,827 20,000 42,827 Transaction costs for issuance -1,699 -1,323 -1,699 -1,323 Amortisation of loan – -20,000 – -20,000 Amortisation of lease liabilities -199 -173 -410 -402 Cash flow from financing activities 18,102 21,331 17,891 21,102 Cash flow for the period 4,117 3,287 -11,952 -13,857 Cash and cash equivalents at start of period 33,887 57,300 49,861 75,256 Exchange rate differences in cash and cash equivalents 42 -144 137 -955 Cash and cash equivalents at end of period 38,046 60,443 38,046 60,443 * Some figures are rounded, so amounts might not always appear to match when added up.
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19 Ascelia Pharma Half-Year Report January-June 2026 Parent Company – Income Statement Financial information / Parent Q2 (Apr-Jun) H1 (Jan-Jun) SEK in thousands* 2026 2025 2026 2025 Net sales 272 70 635 137 Gross profit/loss 272 70 635 137 Administrative costs -3,301 -4,428 -6,465 -8,814 Research and development costs -7,948 -17,730 -19,440 -32,807 Commercial preparation costs – – – – Other operating income 5 63 135 63 Other operating costs -2 – -16 -53 Operating result -10,974 -22,025 -25,150 -41,474 Finance income 1,655 2,750 3,223 4,322 Finance costs -57 -1,982 -300 -4,210 Result from other long-term receivables 1,062 -870 2,227 -4,595 Net financial costs 2,660 -102 5,150 -4,483 Loss before tax -8,314 -22,127 -20,001 -45,957 Tax – – – – Loss for the period -8,314 -22,127 -20,001 -45,957 * Some figures are rounded, so amounts might not always appear to match when added up.
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20 Ascelia Pharma Half-Year Report January-June 2026 Parent Company – Balance Sheet Financial information / Parent 30 Jun 30 Jun 31 Dec SEK in thousands* 2026 2025 2025 ASSETS Non-current assets Tangible assets Equipment 44 61 52 Financial assets Shares in affiliated companies 58,068 58,068 58,068 Other long-term receivables from group companies 46,396 36,436 39,187 T otal non-current assets 104,508 94,566 97,307 Current assets Advance payments to suppliers 145 1,755 145 Current receivables Receivables from group companies 4,036 2,853 3,229 Income tax receivables 831 947 551 Other receivables 1,786 2,019 1,702 Prepaid expenses and accrued income 948 949 1,151 Cash and bank balances 37,398 60,164 48,685 T otal current assets 45,144 68,686 55,462 T otal assets 149,652 163,251 152,769 EQUITY Restricted equity Share capital 134,569 117,113 127,903 Non-restricted equity Other paid-in capital 784,699 744,657 771,366 Loss brought forward -759,112 -681,393 -681,632 Loss for the period -20,001 -45,957 -76,300 T otal equity 140,156 134,420 141,336 LIABILITIES Long-term liabilities Other long-term liabilities 31 – – T otal long-term liabilities 31 – – Current liabilities Accounts payable 2,237 2,795 2,031 Other liabilities 775 901 973 Interest bearing liabilities – 6,961 – Accrued expenses and deferred income 6,454 18,176 8,428 T otal current liabilities 9,466 28,832 11,432 T otal equity and liabilities 149,652 163,251 152,769 * Some figures are rounded, so amounts might not always appear to match when added up.
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21 Ascelia Pharma Half-Year Report January-June 2026 Notes General information This interim report for the Group has been prepared according to IAS 34 Interim Financial Reporting and applicable rules in the Swedish Annual Accounts Act (ÅRL). The interim report for the Parent company has been prepared according to the Swedish Annual Accounts Act chapter 9, Interim Reporting. For the Group and the Parent company, the same accounting principles and basis for calculations have been applied as in the recent Annual Report. Fair value of financial instruments The recognized value for other receivables, cash and cash equiv- alents, trade payables and other liabilities constitutes a reason - able approximation of fair value. Purchases from related parties No significant transactions with related parties have occurred during the period. Use of non-international financial reporting standards (IFRS) performance measures Reference is made in this interim report to alternative perfor - mance measures that are not defined according to IFRS. Ascelia Pharma considers these performance measures to be an import - ant complement since they enable a better evaluation of the Company´s economic trends. The Company believes that these alternative performance measures give a better understanding of the Company´s financial development and that such key per - formance measures contain additional information to the inves - tors to those performance measures already defined by IFRS. Furthermore, the key performance measures are widely used by the management in order to assess the financial development of the Company. These financial key performance measures should not be viewed in isolation or be considered to substitute the key performance measures prepared by IFRS. Furthermore, such key performance measures should not be compared to oth- er key performance measures with similar names used by other companies. This is due to the fact that the above-mentioned key performance measures are not always defined identically by other companies. These alternative performance measures are described below. Important estimations and judgements Valuation of intangible assets The recognized research and development project in progress is subject to management’s impairment test. The most critical as - sumption, subject to evaluation by management, is whether the recognized intangible asset will generate future economic benefits that at a minimum correspond to the intangible asset’s carrying amount. Management’s assessment is that the expected future cash flow will be sufficient to cover the intangible asset’s carrying amount and accordingly no impairment loss has been recognized. Each year, the Group tests whether there is an impairment re - quirement with regards to intangible assets. For Ascelia Pharma, the recognized intangible assets refer to the R&D project in prog- ress (Oncoral), which was acquired through the subsidiary Oncoral Pharma ApS. No impairment indicators for Oncoral have been identified as of the reporting date, but the impairment assessment is sensitive to underlying assumptions and valuation is contingent on access to sufficient funding. Further information can be found in the Annual Report 2025 on pages 74 and 75. Capitalization of development expenses In H1 2026, the criteria for classifying R&D costs as an asset ac - cording to IAS 38 has not been met (capitalization of development expenses is normally done in connection with final regulatory ap- proval). Hence, all R&D costs related to the development of the product candidates have been expensed. Share-based incentive programs Employee option programs Ascelia Pharma implemented an employee option program in February 2025. The program expired in June 2026 without any options being exercised. The parameter that had the greatest impact on the valuation of the options was the publicly traded share price. The total expense recognized during the first half of 2026 in rela- tion to the share option program, including social security charges, amounted to SEK 0.4 million. Share saving programs Ascelia Pharma has two active long-term incentive programs for employees in the form of performance-based share saving pro - grams. The parameter which has the largest impact on the value of the programs is the publicly traded share price. In H1 2026, a positive effect of SEK 18 thousand was recognized related to the share saving programs, including social security charges. The costs for the programs have been revised due to personnel changes. Financial information / Notes
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22 Ascelia Pharma Half-Year Report January-June 2026 Notes Reconciliation table for alternative performance measures for the Group Definitions of alternative performance measures Alternative performance measures Operating results (TSEK) Research and development costs/Operating costs (%) Definition Profit before financial items and tax. The research and development expenses in relation to total operating costs (consisting of the sum of administrative expenses, R&D, costs for commercial prepara - tions and other operating expenses). Aim The performance measure shows the Company´s operational performance. The performance measure is useful in order to understand how much of the operating costs that are related to research- and development expenses. Financial information / Notes Q2 (April-June) H1 (January-June) SEK in thousands* 2026 2025 2026 2025 Administrative costs -3,358 -4,445 -6,548 -8,890 R&D costs -8,804 -18,657 -22,311 -34,319 Commercial preparation costs – – – – Other operating costs -2 -31 -16 -259 T otal operating costs -12,164 -23,133 -28,874 -43,468 R&D costs/Operating costs (%) 72% 81% 77% 79%
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ASCELIA PHARMA AB (publ) Hyllie Boulevard 34 SE-215 32 Malmö, Sweden ascelia.com Financial calendar Interim report 9M 2026 (Jan-Sep): 5 November 2026 Full-year report 2026 (Jan-Dec): 11 February 2027 Contact Magnus Corfitzen, CEO moc@ascelia.com | +46 735 179 118 Anton Hansson, CFO anton.hansson@ascelia.com | +46 735 179 113