Interim report
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Successful rights issue strengthens the company's position SIGNIFICANT EVENTS DURING THE SECOND QUARTER ■ On April 3, Isofol announced that the Japanese development and commercialization partner, Solasia Pharma K.K., intends to conduct and finance the upcoming phase II and III studies of arfo - litixorin in Japan. ■ On May 12, the company resolved on a fully guaranteed Rights Issue of units amounting to app - roximately SEK 85 million and proposes an over-allotment issue of approximately SEK 10 million. The Rights Issue was approved at an extraordinary general meeting on June 11, 2025. ■ On June 12, the company announced that the first cohort level in the ongoing phase Ib/II clinical study has been completed and that the company is preparing the next cohort. ■ On June 17, the company published the prospectus in connection with the company's rights issue. SIGNIFICANT EVENTS AFTER THE END OF THE PERIOD ■ On July 4, Isofol announced the outcome of the Rights Issue, which was oversubscribed by 120 %. The overallotment issue was utilised with half the amount to the Japanese partner Solasia Phar - ma K.K. The issues provided the company with approximately SEK 91 million gross and approx - imately SEK 84 million net after deducting transaction costs. ■ On July 16, Isofol announced that the company had successfully completed a pre-IND meeting with the U.S. Food and Drug Administration, FDA. FINANCIAL INFORMATION Second quarter, April-June 2025 ■ Net revenue amounted to kSEK 0 (0) ■ The result for the period amounted to kSEK -14,670 (-11,045) ■ Earnings per share amounted to SEK -0.09 (-0.07) ■ Cash and cash equivalents on June 30 amounted to kSEK 65,650 (119,150) First half of the year, January-June 2025 ■ Net revenue amounted to kSEK 0 (0) ■ The result for the period amounted to kSEK -28,327 (-19,527) ■ Earnings per share amounted to SEK -0.18 (-0.12) KEY FIGURES kSEK 2025 Apr-Jun 2024 Apr-Jun 2025 Jan-Jun 2024 Jan-Jun 2024 Jan-Dec Net revenue - - - - - Result for the period -14,670 -11,045 -28,327 -19,527 -43,488 Earnings per share (SEK) -0.09 -0.07 -0.18 -0.12 -0.27 Cash and cash equivalents 65,650 119,150 65,650 119,150 96,157 Isofol is developing the cancer drug candidate arfolitixorin Isofol Medical AB (publ) is a research-based biotechnology company working to improve the prognosis for patients with severe forms of cancer. The company’s drug candidate arfolitixorin aims to increase the effect of first-line standard treatment for several forms of solid tumors and is currently being studied in colorectal cancer, the world’s third most common cancer, where the medical need for better treatments is urgent. A phase Ib/II study is now being conducted with a new dosing regimen that are expected to optimi- ze the effect of the drug candidate. Isofol Medical AB (publ) handlas på Nasdaq Stockholm. Isofol issues all its reports in Swedish language and this report has been translated into English. In the event of differences between the two, the Swedish version shall apply. ISOFOL MEDICAL AB (PUBL) INTERIM REPORT JANUARY - JUNE 2025 1 ISOFOL | Interim report, January-June 2025
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After a successful financing round, we are well-positioned to accelerate the clinical development of our drug candidate, arfolitixorin. The first phase of the clinical study is ongoing, and we have already reported positive results with the study’s initial dose level. During the summer, we had a successful and constructive meeting with the U.S. Food and Drug Administration (FDA) to validate our study design and clear the path for clinical studies with arfolitixorin in the U.S. Strengthened finances and clinical progress define the quarter Strengthened financial position In early July, the subscription period for our ful - ly guaranteed rights issue ended, providing the company with SEK 91 million before issue costs. We are pleased to welcome new investors, in - cluding our Japanese partner Solasia Pharma K.K., while noting stable and, in many cases, in - creased commitments from our existing share - holders. Solasia’s decision to participate in the issue is a clear acknowledgment of their deep commitment to our development project and the potential seen in arfolitixorin. The strengthened financial position gives us even better conditions to drive the company's development projects forward at an undiminis - hed pace while simultaneously capitalizing on opportunities that arise during the development journey. Our main focus is currently on genera - ting new study data, and intensive work on the study is ongoing both within our company and at our partner clinic Charité – Universitätsmedizin Berlin, as well as with other partners. In parallel, we continue our business development efforts and maintain dialogues with potential partners. First milestones reached in the study The aim of the current study is to evaluate arfo- litixorin as part of standard treatment for me - tastatic colorectal cancer – with potential for additional cancer indications in the longer term. Arfolitixorin aims to enhance the efficacy of the standard treatment, 5-FU-based chemothera - py; and in the first part of the study now under - way, escalating doses of the drug are being evaluated in a new dosing regimen where the drugs are administered in an optimized sequen- ce. We have already demonstrated the efficacy of arfolitixorin in a previous phase III study using a different dosing regimen that was de - emed suboptimal, and available data suggest that this new regimen should generate even better results. Patient recruitment for the first dose level began in April, and in mid-June, we received the encouraging recommendation from the study’s safety committee to proceed to the next dose level, which is currently under evaluation. The completion of the first dose level marked an important milestone for Isofol. It was the first time the new dosing regimen devel - oped in 2024 had been tested in a clinical study. The safety committee's recommendation to continue the study to the next dose level is pos - itive, and we are now moving step by step to - wards demonstrating that what we observed in last year ’s extensive preclinical studies and data analyses – that a modified dose and ad - ministration sequence should lead to better outcomes – will also hold true in the clinical set - ting. We will now continue to evaluate the new dosing regimen at escalating doses, cohort by cohort, with the goal of selecting optimal dose levels to advance into the second part of the study, which is expected to begin in 2026. It is very gratifying that the study is progressing at a good pace, and I look forward to reporting ongoing progress throughout the year. Successful interaction with the FDA During the summer, we interacted with the U.S. Food and Drug Administration (FDA) regarding a potential Investigational New Drug (IND) app- lication for arfolitixorin. An IND application is part of the process required to initiate clinical trials with arfolitixorin in the U.S., an important step in the global development of our drug can- didate. The FDA is responsible for the approval of new drugs and medical treatments for the U.S. market, and the purpose of the meeting was to confirm that our development program is properly designed according to FDA require - ments. The feedback from the agency was po - sitive and validated our development program in its entirety, laying the foundation for continu - ed development and commercialization in the U.S. With this validation, our development stra - tegy has now been endorsed both in Europe by the German regulatory authority that approved the phase I/II study, and by the FDA in the U.S. We now look forward to future interactions with the Japanese Pharmaceuticals and Medical Devices Agency (PMDA). Networking at scientific conferences During the quarter, we participated in several international conferences, both investor- and partnering-focused meetings as well as scienti - fic congresses. In connection with the scientific congress ASCO in Chicago, USA, held at the end of May/beginning of June, we had our first me - eting with Isofol’s newly established scientific advisory board consisting of prominent cancer experts: Dr. Takayuki Yoshino of National Can - cer Center Hospital East, Japan, and Chairman of Japan Society of Clinical Oncology; Profes - sor Heinz-Josef Lenz of USC Norris Compre - hensive Cancer Center & Kerck School of Medi - cine, USA; and Professor Sebastian Stintzing After a successful financing round, we are well-positioned to accelerate the clinical deve - lopment of our drug candidate, arfolitixorin. Petter Segelman Lindqvist, CEO, Isofol Medical AB (publ) ” | MESSAGE FROM THE CEO 2 ISOFOL | Interim report, January-June 2025
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of Charité – Universitätsmedizin Berlin, Germa - ny, who is also is the principal investigator for Isofol’s ongoing phase Ib/II study. ASCO is the world’s largest medical cancer congress, bringing together the most promi - nent oncology experts in the world. Our pres - ence there was an excellent opportunity to launch the work of our new advisory board. At Isofol, we are very proud to have these re - nowned experts working with us and helping to drive the development of arfolitixorin forward. Like us, they see the great potential in improv - ing the efficacy of standard treatments with a drug candidate like arfolitixorin. During the ESMO-GI conference, held in Barcelona from July 2 to 5, a study conducted in collaboration with the Norwegian biotech company Oncosyne AS and Akershus Universi - ty Hospital was presented. Results from the preclinical study, using patient-derived organ - oids from colorectal cancer patients, showed that higher doses of arfolitixorin produced a stronger cytotoxic effect compared to the cur - rent standard drug leucovorin. Encouragingly, this held true across several different combina - tions of the drugs used in the standard treat - ment regimen. The results of this study, togeth - er with other available data on arfolitixorin, have played an important role in designing the ongoing clinical study of arfolitixorin. Additionally, we participated in BIO Internation - al, the major annual life science partnering meeting held in Boston, USA. We had several fruitful meetings and intend to continue build - ing relationships with various stakeholders and potential partners as clinical development pro - gresses. Focused on progress Our strengthened financial position means that we can now fully focus on what is impor - tant: driving clinical development forward at a rapid pace so that we can achieve our goal: for arfolitixorin to reach the market and help hundreds of thousands of cancer patients achieve better treatment outcomes. During the autumn, we plan to hold an investor me - eting to provide updates on the latest deve - lopments in the company, and we look for - ward to interacting more with you then! Gothenburg, 26 augusti, 2025 Petter Segelman Lindqvist CEO, Isofol Medical AB (publ) | MESSAGE FROM THE CEO New data on arfolitixorin presented at ESMO-GI Higher doses of arfolitixorin futher enhance cytotoxic activity in che- motherapy treatment, according to a follow-up study conducted by a research team from Isofol, Oncosyne and Akershus University Hospital, presented at the European cancer congress ESMO-GI this summer. The results support the development plan for arfolitixorin and its potential to improve current standard cancer treatment. The research team behind the study has pre- viously observed that the concentrations of arfolitixorin used in the completed phase III AGENT study had limited cytotoxic activity in preclinical models. Using organoids from pa - tients with colorectal cancer, they evaluated higher doses of arfolitixorin and then com - pared the activity with that seen in supple - mentary treatment with leucovorin. “The results show that there is synergistic activity between arfolitixorin and the chemothe- rapy drug 5-FU, as well as between leucovorin and 5-FU, but the total cytotoxic activity is grea- ter with arfolitixorin,” says Jarle Bruun, CEO at Oncosyne. Also, the results show that adding arfolitixo- rin to the cancer drug oxaliplatin (one of the drugs included in the standard treatment) alone or to a combination of 5-FU and oxaliplatin pro- duces a stronger cytotoxic effect than that seen in combinations with leucovorin. ”We think these are really interesting results that have supported the initiation of a clinical phase Ib/II study to further optimize the dose of arfolitixorin in colorectal cancer. I am really hop- eful that these data will translate into clinical be- nefit for patients with colorectal cancer”, says Jarle Bruun. | ONCOSYNE KEY RESULTS WHEN COMPARING ARFOLITIXORIN WITH LEUCOVORIN ■ Increasing the dose of arfolitixorin led to stronger cytotoxic activity than leucovorin ■ New study shows that the cytotoxic acti- vity is higher with 5-FU + arfolitixorin than 5-FU + leucovorin ■ The cytotoxic activity is also higher with arfolitixorin + oxaliplatin compared to leucovorin + oxaliplatin ■ 5-FU + oxaliplatin + arfolitixorin has a much more potent activity than 5-FU + oxaliplatin + leucovorin The abstract ”Cytotoxicity of arfolitixorin versus leucovorin (LEU) with 5-fluorouracil (5FU) and oxaliplatin in colorectal cancer (CRC) patient-derived tumoroids (PDTs)” and Jarle Bruun's video clip is available on Isofol's website, https:/ /isofolmedical.com/ publications/ 3 ISOFOL | Interim report, January-June 2025
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Isofol is conducting a phase Ib/II clinical study to evaluate the efficacy and safety of a new dosing regimen for the drug candidate arfolitixorin as a potential new colorectal cancer treatment. The study is initially being conducted at the prestigious academic hospital Charité – Universitätsmedizin Berlin, with a possible expansion to Japan planned for next year. In March 2025, Isofol received approval from the German regulatory authority, BfArM, to initiate a phase Ib/II clinical study (Clinical Trial Applica - tion, CTA). In April, the first patient was enrolled and treated at Charité – Universitätsmedizin Berlin, one of Europe’s leading cancer hospitals. The aim of the study is to evaluate the efficacy of the drug candidate at an optimized dosing re- gimen in combination with 5-FU-based che - motherapy in patients with metastatic colorectal cancer. The study aims to generate both efficacy and safety data for further clinical development. The study is conducted in two stages The study is conducted in two phases, with the first part, phase Ib, evaluating escalating doses. The maximum tolerable dose without severe Clinical development plan for arfolitixorin side effects will then be compared with a lower dose and further evaluated in the subsequent phase II portion of the study, which focuses on efficacy assessment. Isofol is also evaluating the possibility of adding a control arm where patients will receive the current standard treat - ment leucovorin, to be able to show the differ - ence in efficacy between the two drugs. The study is initially conducted at Charité, and addi - tional hospitals will be added at a later stage. Study expansion to Japan At the end of 2024, Isofol’s partner Solasia made a strategic decision to actively participa - te in the clinical study, with the aim of including Japanese patients in 2026. Isofol will collabora - te with Solasia Pharma K.K. on preparations for the Japanese expansion/bridging study while the study continues at Charité. Including Japa - nese patients in the program increases the total number of participants and enhances patient population diversity, establishing a solid foun - dation for subsequent regulatory processes in both Japan and in other geographic markets. Clinical development in collaboration with partners To optimize implementation and maximize the chances of a successful clinical study, the com - pany conducts clinical development in collabo - ration with existing partnerships, including Cha - rité – Universitätsmedizin Berlin, Solasia, and Merck KGaA, as well as selected suppliers and collaborators. Latest updates in the phase Ib study In mid-June, we announced the completion of the first cohort of the phase Ib/II clinical study of arfolitixorin being conducted at Charité – Universitätsmedizin Berlin. The study is conducted in two phases, with the first part, phase Ib, evaluating esca - lating doses of the drug substance. In the first cohort, an initial, lower dose of arfolitix - orin was evaluated. Following a meeting with the study’s safety review committee, we re - ceived the recommendation to proceed to the next dose level and have subsequently initiated the next cohort in the dose-escala - ting portion of the study. We are very pleased that the safety committee has given the go-ahead to pro - ceed with a higher dose of the drug substan- ce, and we now look forward to studying the next dose level. We are well on our way toward reaching the goal of evaluating the higher dosage of arfolitixorin, which has indi- cated better efficacy in preclinical studies. Overview timetable 2025-2027 We are well on our way toward reaching the goal of evaluating the higher dosage of arfo - litixorin, which has indicated better efficacy in preclinical studies. Roger Tell, Chief Medical Officer, Isofol Medical AB (publ) ” | ABOUT ARFOLITIXORIN AND THE STUDIES 4 ISOFOL | Interim report, January-June 2025
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| FINANCIAL INFORMATION, SECOND QUARTER Financial information, April-June 2025 AMOUNTS STATED IN PARENTHESES REFERS TO CORRESPONDING PERIOD 2024 REVENUE Operating revenue Net revenue amounted to mSEK 0 (0) during the period. OPERATING COSTS Other external costs Other external costs amounted to mSEK 11.5 (10.2), corresponding to an increase of mSEK 1.3. Costs during the year are primarily attributable to the Phase 1b study related to clinical CRO, patient costs, regulatory and advisory services, along with other ongoing operating expenses. Personnel costs Personnel costs amounted to mSEK 4.0 (1.9), corresponding to an increase of mSEK 2.1, which is mainly due to the increase in the number of employees from four to six people. These two were previously engaged as consultants in the company. Depreciation and amortization Depreciation, amortization and impairment of tangible and in - tangible fixed assets during the period amounted to mSEK 0 (0). Financial items Financial revenue amounted to mSEK 0.3 (1.1), attributable to in - terest income in cash and cash equivalents. Financial costs amounted to mSEK 0 (0). RESULT The operating result amounted to mSEK -15.0 (-12.1), correspond - ing to an increased loss of mSEK 2.9. The result after financial items was mSEK -14.7(-11.0), corresponding to an increased loss of mSEK 3.7. The company has no tax costs since there is no profit. Due to the uncertainty in future profit generation, no deferred tax in - come and deferred tax assets are recognized regarding the tax losses. CASH AND CASH EQUIVALENTS The company's cash and cash equivalents as of June 30, 2025 amounted to mSEK 65.7 (119.2). No loans had been taken up as of June 30, 2025 or have been taken up since then. SEK 0 (0) has been pledged as collateral from cash and equivalents. The Board of Directors and management deem that the company, after the new share issue in July 2025, has adequate funding to pursue its planned operations over the next 12 months. CASH FLOW Cash flow from operating activities Cash flow from operating activities during the period amounted to mSEK -17.0 (-9.3), corresponding to a change of mSEK -7.7. The negative cash flow is primarily attributable to the operating re - sult but also to change in working capital. Cash flow from investing activities Cash flow from investing activities during the period amounted to mSEK 0 (0). Cash flow from financing activities Cash flow from financing activities during the period amounted to mSEK 0 (0). Cash flow for the period Cash flow for the period amounted to mSEK -17.0 (-9.3), corre - sponding to a change of mSEK -7.7. INVESTMENTS The investments during the period amounted to mSEK 0 (0). Most of the company´s costs are related to research and development. These costs are expensed on an ongoing basis and are thus not classified as investments. The company has no material ongoing or planned investments. 5 ISOFOL | Interim report, January-June 2025
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| FINANCIAL INFORMATION, FIRST HALF OF THE YEAR Financial information, January-June 2025 AMOUNTS STATED IN PARENTHESES REFERS TO CORRESPONDING PERIOD 2024 REVENUE Operating revenue Net revenue amounted to mSEK 0 (0) during the period. OPERATING COSTS Other external costs Other external costs amounted to mSEK 20.9 (18.3), correspond - ing to an increase of mSEK 2.6. Costs during the year are primar - ily attributable to the Phase 1b study related to clinical CRO, pa - tient costs, regulatory and advisory services, along with other ongoing operating expenses. Personnel costs Personnel costs amounted to mSEK 7.5 (3.5), corresponding to an increase of mSEK 4.0, which is mainly due to the increase in the number of employees from four to six people. These two were previously engaged as consultants in the company. Research and development costs Research and development costs, which are included in both oth- er external costs and personnel costs, amounted to mSEK 19.1 (11.0) during the period. Depreciation and amortization Depreciation, amortization and impairment of tangible and in - tangible fixed assets during the period amounted to mSEK 0 (0). Financial items Financial revenue amounted to mSEK 0.7 (2.3), attributable to in - terest income in cash and cash equivalents. Financial costs amounted to mSEK 0 (0). RESULT The operating result amounted to mSEK -29.1 (-21.8), correspond- ing to an increased loss of mSEK 7.3. The result after financial items was mSEK -28.3(-19.5), corresponding to an increased loss of mSEK 8.8. The company has no tax costs since there is no profit. Due to the uncertainty in future profit generation, no deferred tax in - come and deferred tax assets are recognized regarding the tax losses. CASH AND CASH EQUIVALENTS The company's cash and cash equivalents as of June 30, 2025 amounted to mSEK 65.7 (119.2). No loans had been taken up as of June 30, 2025 or have been taken up since then. SEK 0 (0) has been pledged as collateral from cash and equivalents. The Board of Directors and management deem that the company, after the new share issue in July 2025, has adequate funding to pursue its planned operations over the next 12 months. CASH FLOW Cash flow from operating activities Cash flow from operating activities during the period amounted to mSEK -29.8 (-19.0), corresponding to a change of mSEK -10.8. The negative cash flow is primarily attributable to the operating result but also to change in working capital. Cash flow from investing activities Cash flow from investing activities during the period amounted to mSEK 0 (0). Cash flow from financing activities Cash flow from financing activities during the period amounted to mSEK 0 (0). Cash flow for the period Cash flow for the period amounted to mSEK -29.8 (-19.0), corre - sponding to a change of mSEK -10.8. INVESTMENTS The investments during the period amounted to mSEK 0 (0). Most of the company´s costs are related to research and development. These costs are expensed on an ongoing basis and are thus not classified as investments. The company has no material ongoing or planned investments. 6 ISOFOL | Interim report, January-June 2025
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Largest shareholders at June 30, 2025 Shareholder Number of shares Share capital/votes Avanza Pension 13,280,060 8 .22 % Swedbank Försäkring 7,876,339 4. 88 % Christian Haglund 7,636,506 4.7 3 % Göran Gustafsson* 5,539,489 3 .43 % Mats Franzén* 5,136,025 3 . 1 8 % Hans Enocson 4,555,236 2. 82 % Bengt Gustafsson* 3,749,459 2. 32 % Claes Ekman 3,302,511 2.04 % Movestic Livförsäkring AB 2,547,196 1 . 58 % Futur Pension 2,143,150 1 . 33 % 10 largest shareholders 55,765,971 34.53 % Other shareholders 105,749,469 6 5 .47 % TOTAL 161,515,440 100.00 % * Own or related natural or legal person’s holding of shares (direct and indirect) and other financial instruments in the company. SOURCE: MONITOR OF MODULAR FINANCE AB. COMPILED AND PROCESSED DATA FROM SOURCES INCLUDING EUROCLEAR, MORNINGSTAR AND THE SWEDISH FINANCIAL SUPERVISORY AUTHORITY. | OTHER INFORMATION Other information ORGANIZATION AND EMPLOYEES There were six (four) full-time employees at the end of the reporting period, of whom two men and four women, all employed at the company's head office in Gothenburg, Sweden. In addition, the company has a number of consultants in important key functions who work full-time or almost full- time for Isofol. INFORMATION ABOUT TRANSACTIONS WITH RELATED PARTIES Transactions with related parties take place on market terms. Chairman of the board, Jan-Eric Österlund and board member Lars Lind, have in addition to their regular work in the board performed professional advisory service in connection with the Com - pany´s Rights issue that was finished in July. The remuneration for the advisory service was TSEK 200 to Jan-Eric Österlund and TSEK 100 to Lars Lind. The remuneration was paid during the second quarter of 2025. As announced in the interim report for the first quarter of 2025, a remuneration of TSEK 250 was paid to Roger Tell until the employment of Roger Tell as of February 1, 2025. Remuneration to the company’s senior executives was paid according to applicable policies and guidelines during the year. SIGNIFICANT RISKS AND UNCERTAINTY FACTORS Isofol’s main business is the research and development of a drug candidate, arfolitixorin. This busi - ness is capital-intensive and associated with risk. Isofol’s operations are associated with risks that could have a material negative impact on the company’s operations, financial position and result. The risks that are considered to be of special significance in regard to Isofol’s future development are linked to the availability of the financial and clinical resources to conduct the company’s clinical activities. Isofol works continuously to identify, evaluate and manage risks in various systems and process- es. Risk analyses are conducted on an ongoing basis for the business, but also for activities that lie outside Isofol’s normal quality system. The most significant strategic and operational risks that affect the company are described in the 2024 Annual Report. The company’s assessment is that there have been no material changes to these risks and uncertainties as of June 30, 2025. ISOFOL’S SHARE The number of shares at the end of the period was 161,515,440 (161,515,440), with a nominal value of SEK 0.0306 (0.0306). The average number of shares in the third quarter was 161,515,440 (161,515,440). Since 2021, the share is listed on Nasdaq Stockholm’s main list, under the commercial name “ISOFOL” and ISIN SE0009581051. The number of shares has increased by 119,591,784 shares during July 2025 and therefore amounts to 281, 107,224 shares with a nominal value of SEK 0.0306. EVENTS AFTER THE END OF THE REPORTING PERIOD No significant events other than those stated on page 1 have occurred since the end of the re - porting period. FORWARD-LOOKING INFORMATION Even if the available data appears to be positive, there can be no guarantee that the clinical studies that the company intends to carry out will be successful. Consequently, actual future outcomes may differ significantly compared with what is stated in the forward-looking information, depending on factors including changed conditions in the economy and the market, changes in legal and regulatory requirements as well as political measures. AUDIT REPORT This report has not been reviewed by the company’s auditors. 7 ISOFOL | Interim report, January-June 2025
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| OTHER INFORMATION ANALYSTS As of June, the analysis and investment company, Redeye, will cover the company on behalf of Isofol. Redeye conducts analyses and reports on an ongoing basis. An initial analysis was done in July by equity analyst Kevin Sule and a further update was made in July after the rights issue was completed. FINANCIAL REPORTS Major fluctuations in revenue and costs for various periods may occur due to the nature of the busi - ness. Revenue is not seasonal or regular in any other way; instead, it is partly related to when mile - stones that generate remuneration are achieved in licensed research projects. Exactly as with reve - nue, costs may fluctuate between different periods. This is affected by the phases that various projects are in since some phases generate more costs. Figures in parentheses indicate the outcome for the corresponding period in the preceding year for items related to the income statement and cash flow. All stated amounts are rounded, which means that some totals may occasionally appear to be incorrect as a result. FINANCIAL CALENDAR Isofol intends to publish financial reports and hold meetings according to the following schedule: Interim report July-September 2025 November 12, 2025 Year-end report 2025 February 18, 2026 Interim report January-March 2026 May 19, 2026 Annual General Meeting 2026 May 19, 2026, Gothenburg The interim reports are published on the company's website, and updates about upcoming events take place continuously at the company´s website, www.isofolmedical.com. For further information Petter Segelman Lindqvist, CEO Phone: +46 (0)739 60 12 56 E-mail: petter.s.lindqvist@isofolmedical.com Margareta Hagman, CFO Phone: +46 (0)738 73 34 18 E-mail: margareta.hagman@isofolmedical.com Isofol Medical AB (publ) Biotech Center Arvid Wallgrens Backe 20 413 46 Gothenburg, Sweden www.isofolmedical.com | info@isofolmedical.com Corporate identity number: 556759-8064 | Registered office: Gothenburg This report has been prepared in a Swedish original and has been translated into English. In the event of differences between the two, the Swedish version shall apply. 8 ISOFOL | Interim report, January-June 2025
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kSEK Note 2025 Apr-Jun 2024 Apr-Jun 2025 Jan-Jun 2024 Jan-Jun 2024 Jan-Dec OPERATING REVENUE Net revenue 2 - - - - - Total operating revenue - - - - - OPERATING COSTS Other external costs -11,490 -10,196 -20,899 -18,343 -38,734 Personnel costs -4,034 -1,925 -7,517 -3,452 -8,480 Depreciation - -1 - -2 -3 Other operating costs* 530 12 -647 6 8 Total operating costs -14,995 -12,110 -29,064 -21,791 -47,209 Operating result -14,995 -12,110 -29,064 -21,791 -47,209 FINANCIAL ITEMS Financial revenue 324 1,065 737 2,264 3,721 Financial costs - - -1 - - Total financial items 324 1,065 736 2,264 3,721 Result after financial items -14,670 -11,045 -28,327 -19,527 -43,488 Result before tax -14,670 -11,045 -28,327 -19,527 -43,488 Tax on result for the period - - - - - Result -14,670 -11,045 -28,327 -19,527 -43,488 EARNINGS PER SHARE Before dilution (SEK) -0.09 -0.07 -0.18 -0.12 -0.27 After dilution (SEK) -0.09 -0.07 -0.18 -0.12 -0.27 * Refers to currency effects associated with the business. There are no amounts to be recognized as other comprehensive income, which is why the result for the period/year corresponds to comprehensive income for the period/year. | AREA DESCRIPTION Income statement | FINANCIAL INFORMATION 9 ISOFOL | Interim report, January-June 2025
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kSEK Note Jun 30, 2025 Jun 30, 2024 Dec 31, 2024 ASSETS FIXED ASSETS Intangible fixed assets Patents, licenses and similar rights - - - Total intangible fixed assets - - - Tangible fixed assets Equipment, tools and right-of-use assets - 1 - Total tangible fixed assets - 1 - Total fixed assets - 1 - - CURRENT ASSETS - Other receivables 2,177 1,835 1,806 Prepaid expenses and accrued income 3 1,285 2,884 454 Cash and cash equivalents 3 65,650 119,150 96,157 Total current assets 69,112 123,868 98,417 Total assets 69,112 123,869 98,417 | AREA DESCRIPTION Balance sheet | FINANCIAL INFORMATION 10 ISOFOL | Interim report, January-June 2025
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kSEK Note Jun 30, 2025 Jun 30, 2024 Dec 31, 2024 EQUITY AND LIABILITIES EQUITY Restricted equity Share capital 4,945 4,945 4,945 Total restricted equity 4,945 4,945 4,945 Non-restricted equity Share premium reserve 1,218,276 1,218,276 1,218,276 Retained earnings -1,145,277 -1,101,789 -1,101,789 Result for the year -28,327 -19,527 -43,488 Total non-restricted equity 44,672 96,961 73,000 Total equity 49,617 101,906 77,945 PROVISIONS Other provisions 4 629 630 648 Total provisions 629 630 648 LIABILITIES Current liabilities Accounts payable 3 2,065 2,263 2,028 Other liabilities 904 619 976 Accrued expenses and deferred income 3 15,896 18,451 16,821 Total current liabilities 18,866 21,333 19,824 Total liabilities 19,495 21,963 20,472 Total equity and liabilities 69,112 123,869 98,417 | AREA DESCRIPTION Balance sheet | FINANCIAL INFORMATION 11 ISOFOL | Interim report, January-June 2025
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Restricted equity Non-restricted equity kSEK Share capital Share premium reserve Retained earnings Total equity Opening balance, Jan 1, 2024 4,945 1,218,276 -1,101,789 121,433 Result for the period - - -19,527 -19,527 Equity, Jun 30, 2024 4,945 1,218,276 -1,121,316 101,906 Opening equity, Jul 1, 2024 4,945 1,218,276 -1,121,316 101,906 Result for the period - - -23,961 -23,961 Equity, Dec 31, 2024 4,945 1,218,276 -1,145,277 77,945 Opening equity, Jan 1, 2025 4,945 1,218,276 -1,145,277 77,945 Result for the period - - -28,327 -28,327 Equity, Jun 30, 2025 4,945 1,218,276 -1,173,605 49,617 Statement of changes in equity | FINANCIAL INFORMATION 12 ISOFOL | Interim report, January-June 2025
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kSEK 2025 Apr-Jun 2024 Apr-Jun 2025 Jan-Jun 2024 Jan-Jun 2024 Jan-Dec OPERATING ACTIVITIES Result after financial items -14,670 -11,045 -28,327 -19,527 -43,488 Adjustments for non-cash items -744 -1,073 81 -2,542 -255 Income tax paid - - - - - Cash flow from operating activities before changes in working capital -15,414 -12,118 -28,246 -22,069 -43,743 CASH FLOW FROM CHANGES IN WORKING CAPITAL Increase (-)/decrease (+) in other current receivables -864 -108 -575 -12 186 Increase (+)/decrease (-) in other current liabilities -726 2,884 -959 3,080 1,571 Change in working capital -1,590 2,776 -1,534 3,068 1,757 Cash flow from operating activities -17,004 -9,342 -29,780 -19,001 -41,986 INVESTING ACTIVITIES Cash flow from investing activities - - - - - FINANCING ACTIVITIES Cash flow from financing activities - - - - - Cash flow for the period -17,004 -9,342 -29,780 -19,001 -41,986 Cash and cash equivalents at the beginning of the period 82,108 128,494 96,157 138,148 138,148 Exchange rate difference in cash and cash equivalents 546 -1 -728 4 -5 Cash and cash equivalents at the end of the period 65,650 119,150 65,650 119,150 96,157 Cash flow statement | FINANCIAL INFORMATION 13 ISOFOL | Interim report, January-June 2025
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Note 1 Accounting principles This interim report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The company’s financial statements have been prepared in accor - dance with the Swedish Annual Accounts Act and the Swedish Corporate Reporting Board’s recom - mendation RFR 2 Accounting for legal entities. Disclosures in accordance with IAS 34 are provided in the notes and in other sections of the report. New and amended standards adopted from 2025 are not expected to have any significant im - pact on the company's financial position. The company does not apply IFRS 16 in accordance with the exception in RFR 2. Note 2 Operating segments NET SALES The company’s revenue amounted to mSEK 0 (0) during second quarter. OPERATING SEGMENTS Operations comprise the development of a drug candidate and are organized as coherent opera - tions in the clinical development program that is expected to optimize the efficacy of the drug candi- date. Accordingly, all of the company’s operations comprise one operating segment. The operating segment is followed up in a manner that complies with the internal reporting submitted to the chief operating decision-maker, namely the CEO. Only one segment is used in the internal reporting to the CEO. Note 3 Financial assets and liabilities There are no significant differences between fair value and carrying amount in respect of financial assets and liabilities. Financial assets and liabilities are measured at amortized cost. As of the bal - ance sheet date, the carrying amount of the Group’s financial assets amounted to kSEK 66,277 (121,411) and financial liabilities to kSEK 16,145 (20,245). As of June 30, 2025, the company had no financial instruments measured at fair value. Note 4 Provisions In 2022, Isofol entered into an agreement with a supplier for purchases of packaging material for the potential future sale of arfolitixorin. Use of the material depends on an approval for the commercial- ization of arfolitixorin. The agreement contains a financial guarantee totaling EUR 75,963, in which Isofol commits to purchasing material for an equivalent amount. Notes | NOTES 14 ISOFOL | Interim report, January-June 2025
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Key figures and definitions kSEK Jun 30, 2025 Jun 30, 2024 Equity 49,617 101,906 Total assets 69,112 123,869 Solvency 71,8% 82,3% Working capital 50,246 102,535 Solvency Solvency is calculated by comparing equity in relation to total assets and is thus a measure of the proportion of assets that are financed with equity. Equity Equity consists of share capital, other contributed capital and retained earnings, including the com - pany´s result for the year. Working capital Working capital consists of the Group’s current assets less current liabilities. Earnings per share The result for the period divided by the weighted average number of shares during the period, be - fore and after dilution. This report includes key figures that are not defined in IFRS, but are included in the report because management believes that this information allows investors to analyze the company´s earnings trend and financial position. Investors should consider these key figures as a supplement to the IFRS financial information. The Board’s certification The Board of Directors and the CEO hereby affirm that the interim report provides a fair overview of the operations, financial position and result of the company and describes the material risks and uncertainties facing the company. Gothenburg, August 26, 2025 Jan-Eric Österlund Chairman Lars Lind Board member Sten Nilsson Board member Alain Herrera Board member Helena Taflin Board member Petter Segelman Lindqvist CEO | AREA DESCRIPTION | KEY FIGURES AND DEFINITIONS 15 ISOFOL | Interim report, January-June 2025
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© Isofol Medical AB (publ) Interim report Q2 2025, August 2025. ISO-546 ISOFOL MEDICAL AB (publ) | Biotech Center | Arvid Wallgrens Backe 20 | SE-413 46 Gothenburg, Sweden | www.isofolmedical.com A DRUG CANDIDATE FOR THE TREATMENT OF COLORECTAL CANCER ARFOLITIXORIN