Interim report
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Interim Report January – September 2026
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Interim Report | January – September 2026 .1 Key figures The English version of the interim report is a translation of the official Swedish report. In event of any discrepancies, the Swedish version shall prevail. LTM Jan-Dec MSEK 2026 2025 ∆ 2026 2025 ∆ Oct-Sep 2025 Net sales 581.5 436.1 33% 1,623.4 1,226.5 32% 2,084.5 1,687.6 EBITDA 143.9 91.5 57% 354.4 234.1 51% 439.4 319.1 EBITA 120.0 69.4 73% 286.4 170.7 68% 348.5 232.8 EBITA margin. % 20.6 15.9 17.6 13.9 16.7 13.8 Operating profit (EBIT) 107.3 62.3 72% 253.8 152.8 66% 308.6 207.6 Net profit after tax for the period 45.9 46.4 -1% 127.5 103.0 24% 166.0 141.5 Net debt excl. leasing/ EBITDA excl. leasing 1.4 1.2 Cash flow from operating activities 134.8 46.4 191% 255.6 88.6 189% 386.6 219.5 Earnings per share before dilution (SEK) 0.86 0.88 -2% 2.39 1.95 23% 3.11 2.67 Earnings per share after dilution (SEK) 0.83 0.85 -3% 2.31 1.89 22% 3.00 2.59 Number of employees, closing day 863 748 15% 863 748 15% 863 753 Number of shares outstanding ('000) 53,367 52,921 53,367 52,921 53,367 53,367 Q3 Jan-Sep 582 SEKm Sales Q3 120 SEKm EBITA Q3 20.6% EBITA margin Q3 January - September 2026 Third quarter Net sales increased by 33.4% to SEK 581.5 million (436.1), of which organic growth amounted to 18.8%. EBITA increased by 73.0% to SEK 120.0 million (69.4), corresponding to a margin of 20.6% (15.9). On an organic basis, EBITA increased by 42.6%. The quarter was affected by SEK 0.9 million (1.9) in acquisition costs. Operating profit (EBIT) amounted to SEK 107.3 million (62.3), an increase of 72.3%. Cash flow from operating activities amounted to SEK 134.8 million (46.4). Diluted earnings per share amounted to SEK 0.83 (0.85). January - September Net sales increased by 32.4% to SEK 1,623.4 million (1,226.5), of which organic growth amounted to 17.3%. EBITA increased by 67.8% to SEK 286.4 million (170.7), corresponding to a margin of 17.6% (13.9). On an organic basis, EBITA increased by 40.7%. The period was affected by SEK 6.2 million (5.0) in acquisition costs. Operating profit (EBIT) amounted to SEK 253.8 million (152.8), an increase of 66.1%. Cash flow from operating activities amounted to SEK 255.6 million (88.6). Diluted earnings per share amounted to SEK 2.31 (1.89). Two acquisitions were completed during the period.
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Interim Report | January – September 2026 .2 CEO Comments The third quarter of 2026 is the strongest in Karnell’s history in terms of earnings. In line wi th the preliminary figures we published on October 12, 2026, the quarter was very strong. EBITA increased by 73.0% to SEK 120 million and the EBITA margin was 20.6% (15.9). Performance was strong in both business areas. At the same time, I would like to emphasize t h a t p a r t o f t h e r e s u l t i s a t t r i b u t a b l e t o f a c t o r s o f a temporary nature. In additi on, the third quarter is seasonally the Group’s strongest, and the quarter’s outcome should therefore not be seen as a new normal level for coming quarters. Group development Net sales increased by 33.4% to SEK 582 million, of which organic growth accounted for 18.8%. Acquisitions contributed 14.6%, and currency effects were marginal. On an organic basis, EBITA increa sed by 42.6%, acquisitions contributed 30.9%, and currency effects had an impact of - 0.5%. The last twelve months’ EBITA margin was 16.7%, which is above our target of at least 15 percent in the medium term. Cash flow from operating acti vities amounted to SEK 135 million (46) for the quarter an d SEK 256 million (89) for the first nine months of the year. During the quarter, organic earnings growth was broadly based, with significant contributions from several companies in both business areas. Even adjusted for the factors of a temporary nature described be low, underlying performance is good. Market conditions remain mixed, although we are seeing some improvement in Finland. Growth is primarily driven by our companies gaining market share and developing customers with good growth potential, where new customer relationships that we have been working on for some time are now starting to contribute. Business areas In Niche Production, net sales increased by 45.1% to SEK 271 million and EBITA increased by 86.5% to SEK 64 million, corresponding to an EBITA margin of 23.6%. Organic sales growth amounted to 28.0%. The high demand from a single customer of one of the companies in the business area, which we have communicated during the earlier quarters of the year, continued in the third quarter. The company increased its EBITA organically by approximately SEK 10 million, corresponding to roughly one third of the Group’s organic earnings growth in the quarter. This is a clearly lower share than in the first half of th e year, which shows that the improvement is now more broadly based. Lead times from order to delivery are short and we have limited visibility going forward, but we continue to a ssess that demand is at levels that are not sustainable in the long term. In Product Companies, net sales increased by 24.6% to SEK 310 million, of which organic growth accounted for 11.8%. EBITA increased by 54.0% to SEK 71 million, corresponding to an EBITA margin of 22.8%. Performance reflects both underlying strength and effects of a temporary nature. Several companies grew organically by gaining market share. In addition, certain companies benefited from larger deliveries, which naturally vary between quarters, and from price adjustments taking effect ahead of cost increases. Other companies, however, performed weaker than in the previous year. Acquisitions and outlook The two acquisitions we complet ed during the year, OBA Tf and flex7, are developing in line with our expectations and are contributing positively to the Group’s profitability. We have had several interesting processe s that did not materialize, which is a natural consequence of us maintaining our discipline regarding valuation and choice of companies. At the same time, we are continuously working to broaden and deepen our acquisition pipeline. With strong cash flows, combined with the earnings from this year’s acquisitions now having full effect, the leverage ratio has decreased to 1.4x, compared with 1.9x at the end of the second quarter. This gives us the flexibility to ac t when the right opportunities arise. Our decentralized model, geographical reach and sector diversification enable us to continue developing our business regardless of short-term econ omic fluctuations. With good underlying strength in our compa nies and a stable financial position, we are well position ed to continue developing Karnell, both organically and through acquisitions. Petter Moldenius Chief Executive Officer “A record quarter with broad-based organic growth in both business areas. Despite some temporary effects, the underlying trend is stable – a strong platform for continued profitable growth.”
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Interim Report | January – September 2026 .3 Karnell over time All values refer to the last twelve months (LTM) – for definitions, see page 24. 880 970 1 027 1 065 1 103 1 141 1 207 1 304 1 402 1 476 1 550 1 629 1 688 1 786 1 939 2 084 11.2% 12.6% 11.6% 13.6% 16.7% Q4 Q2 2023 Q4 Q2 2024 Q4 Q2 2025 Q4 Q2 2026 Net sales and EBITA margin, LTM Net sales LTM, SEK m EBITA margin LTM Target EBITA margin >15% 98 115 126 134 137 129 134 151 166 184 206 221 233 261 298 349 11.2% 12.6% 11.6% 13.6% 16.7% Q4 Q1 Q2 2023 Q3 Q4 Q1 Q2 2024 Q3 Q4 Q1 Q2 2025 Q3 Q4 Q1 Q2 2026 Q3 EBITA and EBITA margin, LTM EBITA LTM, SEK m EBITA margin LTM Target EBITA margin >15% 137 135 172 174 175 165 175 220 265 307 387 2.7 2.6 3.3 3.3 3.3 3.1 3.3 4.1 5.0 5.8 7.2 Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Cash flow from operating activities per share, LTM (SEK) Operating cash flow LTM, SEK m Operating cash flow per share LTM, SEK 129 134 151 166 184 206 221 233 261 298 349 10.9% 10.4% 10.8% 10.9% 11.5% 12.2% 12.5% 12.8% 13.8% 14.7% 16.4% Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Return on capital employed (ROCE), LTM EBITA LTM, SEK m ROCE (EBITA LTM / avg. capital employed 4 quarters) 137 135 172 174 175 165 175 220 265 307 387 107% 101% 114% 105% 95% 80% 79% 94% 102% 103% 111% Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Cash flow from operating activities and cash conversion, LTM Cash flow LTM, SEK m Cash conversion 0.5x 0.6x 1.2x 0.9x 1.0x 1.4x 1.6x 1.2x 1.4x 1.9x 1.4x Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Debt ratio excl. leasing (net debt/EBITDA), LTM Net debt excl. leasing/EBITDA excl. leasing Target debt ratio <2.0x
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Interim Report | January – September 2026 .4 Group performance Net sales Net sales increased by 33.4% in the third quarter to SEK 581.5 million (436.1). Organic re venue growth was 18.8%, acquisitions accounted for 14.6% growth, and currency effects had an impact of 0.0%. Both business areas, Niche Production and Product Compa nies, showed good growth, driven by strong organic development and positive contributions from companies acquired in the past year. Net sales for January-September increased by 32.4% to SEK 1,623.4 million (1,226.5). Organic revenue growth was 17.3%, acquisitions accounted for 16.6% growth, and currency effects had a negative impact of 1.6%. Profit EBITA increased by 73.0% in the third quarter to SEK 120.0 million (69.4). Organically, EBITA grew by 42.6%, acquisitions accounted for 30.9%, and FX effects had an impact of -0.5%. EBITA increased in both business areas, Niche Production and Product Companies, driven by strong organic growth and positive development in companies acquired in the past year. Karnell’s acquisition costs for the quarter amounted to SEK 0.9 million (1.9). Overall, the EBITA margin was 20.6%, the Group’s highest to date. Operating profit (EBIT) rose by 72.3% to SEK 107.3 million (62.3). Product Companies increased EBITA compared with the same quarter last year, driven by or ganic growth and acquisitions, and the EBITA margin improved to 22.8% (18.4). The margin was also supported by larger deliveries, which vary between quarters, and by price adjustments that temporarily took effect ahead of costs. At the same time, some companies performed weaker than last year. Recent acquisitions continue to perform in line with expectations and contribute positively to the business area’s performance. Niche Production followed up the first half of the year with another quarter of high organic growth, supplemented by growth from the acquisition of OBA Tf. As earlier in the year, earnings benefited from continued high demand from a single customer of one of the business area’s companies, but the earnings increase is now more broadly based, with stronger margins across the business area compared with the previous year. For January-September, EBITA increased by 67.8% to SEK 286.4 million (170.7). Organica lly, EBITA grew by 40.7%, acquisitions accounted for 29.8%, and currency effects had an impact of -2.8%. During the period, the Group incurred transaction costs of SEK 6.2 million (5.0) for completed and terminated acquisitions. Operating profit (EBIT) increased by 66.1% to SEK 253.8 million (152.8). Product Companies increased EBITA compared with the same period last year, driven by high organic growth and acquisitions. Recent acquisiti ons continue to perform as expected and contribute to the business area’s development. Niche Production performed strongly in the first nine months of the year, with high orga nic growth compared with the same period last year. Performance partly benefited from high demand from a single customer at levels we do not consider sustainable in the long term. During the third quarter, the earnings increase became more broadly based, with strong margins within the business area. Completed acquisitions also contributed to earnings growth. Net financial items Net financial items amounted to SEK -39.6 million (-3.2) in the third quarter. Net financial items consisted of interest expenses to credit institutions of SEK -9.2 million (-6.9), interest on lease liabilities of SEK -2.1 million (-2.4), interest income of SEK 0.6 million (0.5), and SEK -16.1 million (3.2) from currency effects. Net financial items for the quarter were affected by the revaluation of put/call options and earn- outs of SEK -8.8 million (2.4), as well as other financial items of SEK -4.0 million (0) which primarily relates to dividends paid to minority shareholders. See Note 5. For January-September, net financial items amounted to SEK -75.2 million (-20.5). Net financial items consisted of interest expenses to credit institutions of SEK -22.8 million (-20.6), interest on lease liabilities of SEK -6.3 million (-6.8), interest income of SEK 1.7 million (3.1), and SEK -17.1 million (4.8) from currency effects. Net financial items were also affected by the revaluation of put/call options and earn-outs of SEK -21.4 million (-0.9) and other financial items of SEK -9.2 million (0) which primarily relates to dividends paid to minority shareholders. See Note 5. Income tax For the Group, the effective tax rate for the third quarter was 32.3% (21.5), affected by non-deductible fair value revaluations. For the January-September period, the Group’s effective tax rate was 28.6% (22.2), affected by non-deductible fair value revaluations.
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Interim Report | January – September 2026 .5 Cash flow and financial position Cash flow Cash flow from operating acti vities for the third quarter amounted to SEK 134.8 million (46.4). The increase in cash flow compared with the corr esponding quarter of the previous year is primarily attributable to higher earnings, but also to a positive contribution from changes in working capital of SEK 19.3 million (-19.6). During the quarter, SEK 14.3 million (12.5) was invested in property, plant and equipment, and SEK 0.9 million (0.9) in intangible assets. No acquisitions were completed during the quarter, compared with one acqui sition that affected cash flow by SEK -97.7 million in the corresponding quarter of the previous year. Cash flow from financing activities amounted to SEK -78.5 million (-57.2), the majority of which relates to loan repayments. Cash flow from operating activities for the January- September period amounted to SEK 255.6 million (88.6). Compared with the same period last year, earnings increased while the increase in capital tied up in working capital was smaller, SEK -19.6 million (-85.7). During the period, SEK 40.8 million (29.9) was invested in property, plant and equipment, and SEK 9.5 million (1.8) in intangible assets. During the period, two acquisitions were completed, which affected cash flow by SEK -348.6 million; in addition, deferred cash payments and earn-outs totaling SEK -31.3 million related to previous acquisitions were paid. Cash flow from financing activities amounted to SEK 299.0 million (-85.5), the majority of which relates to loans raised in connection with the aforementioned acquisitions. Financial position Amounts in parentheses in the Financial Position section refer to corresponding values as of December 31, 2025. Shareholders’ equity at the end of the period amounted to SEK 1,455.2 million (1,234.8). Total assets amounted to SEK 3,026.2 million (2,226.7), and the equity ratio was 48.1% (55.5). Non-current interest-bearing liabilities amounted to SEK 697.9 million (340.6) at the end of the period and consisted of corporate loans from credit institutions. The increase is due to loans raised in connection with this year’s acquisitions. Other non-current liabilities cons isted of put/call options as well as earn-outs totaling SE K 182.3 million (122.8). Long- term lease liabilities amounted to SEK 95.1 million (103.6) and primarily relate to real estate leases. Total non-current liabilities and provisions amounted to SEK 1,122.4 million (659.8) at the end of the period. Current interest-bearing liabilit ies consisted of the current portion of corporate loans and overdraft facilities and amounted to SEK 27.6 million (29.7). Current lease liabilities amounted to SEK 50.0 million (40.9), and the current portion of put/call options and earn-outs amounted to SEK 2.4 million (27.4). Cash and cash equivalents at the end of the period totaled SEK 188.3 million (57.1). Property, plant and equipment totaled SEK 328.7 million (283.6) at the end of the peri od. Right-of-use assets totaled SEK 142.4 million (140.9) at the end of the period. At the end of the period, the Group’s goodwill amounted to SEK 1,105.8 million (871.9). Other intangible assets amounted to SEK 452.5 million (255.6) at the end of the period. The increase compared with the start of the year is attributable to acquisitions and currency translation. Acquisitions No acquisitions were complet ed during the third quarter. During the January-September period, two acquisitions were completed: OBA Tradizione Futura S.R.L (“OBA Tf”) on March 16, 2026, and flex7 Ltd (“flex 7”) on April 10, 2026. The acquisition balance sheets are preliminary, as retroactive adjustments may still be made if they reflect new information regarding the circumstances that existed as of the acquisition date. Further information is provided in Note 3.
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Interim Report | January – September 2026 .6 Other information Significant risks and uncertainties The uncertainties that are primarily expected to affect the Group are as follows: Economic activity – The general state of the manufacturing sector is expe cted to have a significant impact on the Group, as most of the companies sell to other manufacturing companies. However, the geographic diversification of sales means that dependence on the economic conditions of any single country is not decisive. Geopolitical unrest – The ongoing war in Ukraine, the conflict in Iran, and other conflicts have not had any significant impact on the Group’s operations. The long- term economic consequences de pend on the duration of the war and the measures taken by governments, central banks, and other authorities. The increased tariffs imposed and announced by the U.S. have not yet had any direct impact but may affect the Group’s companies and financial position. Direct exposure to the U.S. is limited, but indirect and global effects are currently uncertain. Currencies – The Group is to some extent dependent on the Swedish krona’s performance against major currencies, as a portion of it s costs is paid in SEK while corresponding sales are denominated in foreign currencies. Consequently, an appreciation of the Swedish krona would affect competitiveness. The primary currency risk consists of translation exposure to the euro (EUR) in the Finnish and Italian subsidiaries and to the British pound (GBP) in the British subsidiaries. Interest rates – The Group is partially financed through external borrowing. A significant increase in interest rates would therefore increase financial expenses and impair liquidity. For more information, including the Group’s management of identified risks, please refer to the section “Risks and Uncertainties” on page 66 and Note 20 in the 2025 Annual Report. Personnel At the end of the period, the Group had 863 employees (748). The change is primarily due to recent acquisitions. Number of shares At the end of the period, share capital amounted to SEK 5.3 million (5.3) and the number of shares was 53,367,032 (53,367,032). Parent company Operating profit for the third quarter amounted to SEK -14.7 million (-7.8). For the January-September period, operating profit was SEK -40.9 million (-26.2). Events after the end of the reporting period No significant events have occurred after the end of the reporting period. Transactions with related parties All transactions between Karnell Group AB (publ) and its subsidiaries have been elim inated in the consolidated financial statements. Remuneration to the Board of Directors is disclosed in Note 5 of the 2025 Annual Report. Financial targets Karnell’s financial targets are set to help drive long-term, sustainable, and profitable gr owth through the acquisition and development of profitable businesses. EBITA growth – Average annual EBITA growth shall amount to at least 15% over a business cycle. Growth shall be achieved both organically and through acquisitions. EBITA margin – The EBITA margin shall be at least 15% in the medium term. Leverage ratio – Net debt excluding leases/EBITDA excluding leases should normally not exceed 2x. This ratio may temporarily exceed this level in connection with acquisitions. Dividend – Karnell’s retained earnings and available cash flows will, in the short term, be reinvested in the business and primarily used for expansion through new acquisitions. In the medium te rm (3-5 years), Karnell intends to distribute 20-30% of net income for the year.
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Interim Report | January – September 2026 .7 The Product Companies business area focuses on B2B industrial technology companies. These are companies that develop products, own the rights to them, and have a unique product offering. The business area consists of thirteen business units. Business Area – Product Companies Net sales for the third quarter increased by 24.6% to SEK 310.2 million (249.0). Organic net sales growth was 11.8%; acquisitions accounted for 12.9%, and currency effects amounted to -0.1%. EBITA increased by 54.0% and amounted to SEK 70.7 million (45.9). On an organic basis, EBITA in creased by 30.2%, acquisitions accounted for 24.8%, and currency effects amounted to -0.9%. Product Companies had a strong third quarter, with both increased net sales and improved margins compared with the corresponding quarter of the previous year. Several companies showed strong organic development, partly as a result of market share gains, while performance in some companies was weaker than the year before. The EBITA margin was 22.8% (18.4). The margin was positively affected by a few larger deliveries, the scope of which naturally varies between quarters , and by price adjustments that temporarily took effect ahead of cost increases. The acquisitions continue to perform in line with expectations and are contributing positively to profitability. For the January-September period, net sales increased by 31.1% to SEK 839.6 million (640.3). Organic net sales growth was 11.3%, acquisitions accounted for 21.0% , and currency effects had a negative impact of 1.1%. EBITA increased by 57.8% and amounted to SEK 151.0 million (95.7). Organically, EBITA increased by 27.4%, acquisitions accounted for 32.1% , and currency effects had a negative impact of 1.8%. Share of Group sales Companies in the business area as of September 30, 2026 52% MSEK 2026 2025 ∆ 2026 2025 ∆ Net sales 310.2 249.0 25% 839.6 640.3 31% EBITA 70.7 45.9 54% 151.0 95.7 58% EBITA margin 22.8% 18.4% 18.0% 14.9% LTM Jan-Dec MSEK Oct-Sep 2025 Net sales 1,091.1 891.8 EBITA 188.9 133.6 EBITA margin 17.3% 15.0% Jan-Sep Q3
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Interim Report | January – September 2026 .8 Business Area – Niche Production Net sales increased by 45.1% in the third quarter, totaling SEK 271.4 million (187.1). Organic gr owth amounted to 28.0%. Acquisitions and currency effect s contributed 16.9% and 0.2%, respectively. EBITA increased by 86.5% during the quarter, totaling SEK 64.1 million (34.3). Organically, EBITA rose by 57.0%; acquisitions contributed positively by 29.3% and currency effects had an impact of 0.2%. The business area had a strong third quarter, continuing the strong momentum from the first half of the year, with both increased net sales and higher margins compared with the corresponding quarter of the previous year. The EBITA margin was 23.6% (18.4). Earnings were largely driven by organic development and also benefited from continued high demand from a single customer of one of the companies, at levels not considered sustainable in the long term. At the same time, the share of the organic earnings growth attributable to the company concerned was clearly lower than in the first half of the ye ar, meaning that the improvement now rests on a broader base. In addition, the acquisition of OBA Tf contributed to performance. For the January-September period, net sales increased by 33.7% to SEK 783.8 million (586.1). Organic growth amounted to 24.0%, while acquisitions and currency e ffects contributed 11.9% and - 2.2%, respectively. EBITA increase d by 66.7% during the period and amounted to SEK 179.3 million (107.5). On an organic basis, EBITA increased by 50.9%; acquisit ions contributed positively by 18.7%, and currency effects had an impact of -2.9%. Share of Group sales Companies in the business area as of September 30, 2026 48% MSEK 2026 2025 ∆ 2026 2025 ∆ Net sales 271.4 187.1 45% 783.8 586.1 34% EBITA 64.1 34.3 87% 179.3 107.5 67% EBITA margin 23.6% 18.4% 22.9% 18.3% LTM Jan-Dec MSEK Oct-Sep 2025 Net sales 993.4 795.7 EBITA 215.1 143.4 EBITA margin 21.7% 18.0% Jan-Sep Q3 The Niche Production business area focuses on companies that are market leaders in producing products within their niche areas. Our companies often work closely with customers’ development departments and add value to the product development process. Niche Production consists of seven business units.
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Interim Report | January – September 2026 .9 Certification by the Board of Directors and the CEO The undersigned certify that the in terim report provides a fair ov erview of the Group’s and the parent company’s operations, financial position, and results, and describes the significant risks and uncertainties facing the parent company and the companies included in the Group. The Swedish version of this report has been reviewed by the company’s auditors. Stockholm, October 23, 2026 Patrik Rignell Per Nordgren Chairman of the Board Board Member Dajana Mirborn Hans Karlander Board Member Board Member Helena Nordman-Knutson Lars-Ola Lundkvist Board Member Board Member Petter Moldenius CEO
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Interim Report | January – September 2026 .10 Auditor’s Review Report THIS IS A TRANSLATION FROM THE SWEDISH ORIGINAL Karnell Group AB (publ), org.nr. 559043-3214 Introduction We have reviewed the condensed interim re port for Karnell Group AB (publ) as at Se ptember 30th, 2026 and for the nine months period then ended. The Board of Directors and the Managing Dire ctor are responsible for the prep aration and presentation of thi s interim report in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review. Scope of review We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying an alytical and other review procedures. A review is substantially less in scope than an audit conducted in accordan ce with International Standards on Auditi ng and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in al l material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act regarding the Group, and in accordance with the Swedish Annual Accounts Act regarding the Parent Company. Date indicated by the electronic signature Ernst & Young AB Michaela Nilsson Authorized Public Accountant
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Interim Report | January – September 2026 .11 Consolidated income statement in summary Consolidated comprehensive income report in summary LTM Jan-Dec MSEK Note 2026 2025 2026 2025 Oct-Sep 2025 Net sales 2 581.5 436.1 1,623.4 1,226.5 2,084.5 1,687.6 Other operating revenue 4.0 2.3 11.7 7.1 13.3 8.7 Total income 585.5 438.3 1,635.1 1,233.6 2,097.8 1,696.3 Change in inventories -11.1 -6.2 11.6 13.6 8.5 10.6 Raw materials and consumables - 235.3 -189.6 -700.9 -546.3 -895.5 -740.8 Employee benefits expense -138.3 -106.5 -417.6 -334.5 -547.9 -464.9 Other external expenses -56.8 -44.5 -173.8 -132.3 -223.5 -182.0 Depreciation and amortisation of property, plant and equipment -13.6 -11.7 -37.7 -33.2 -50.2 -45.7 Depreciation and amortisation of right-to-use assets -10.3 -10.4 -30.3 -30.3 -40.7 -40.7 Depreciation and amortisation of intangible assets -12.7 -7.1 -32.6 -17.8 -39.9 -25.1 Operating income 107.3 62.3 253.8 152.8 308.6 207.6 Net financial items 5 -39.6 -3.2 -75.2 -20.5 -83.7 -29.1 Profit/loss before tax 67.7 59.1 178.6 132.3 224.9 178.6 Tax on profit/loss for the period -21.9 -12.7 -51.1 -29.4 -58.9 -37.1 Profit/loss for the period 45.9 46.4 127.5 103.0 166.0 141.5 Earnings per share, SEK - before dilution 0.86 0.88 2.39 1.95 3.11 2.67 - after dilution 0.83 0.85 2.31 1.89 3.00 2.59 Q3 Jan-Sep LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 Profit/loss for the period 45.9 46.4 127.5 103.0 166.0 141.5 Items that may be reversed to the statement of income Translation differences 41.9 -16.0 89.5 -45.9 66.8 -68.6 Other comprehensive income 41.9 -16.0 89.5 -45.9 66.8 -68.6 Total comprehensive income for the period 87.7 30.4 217.0 57.0 232.8 72.8 Q3 Jan-Sep
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Interim Report | January – September 2026 .12 Summary of the Group’s Statement of Financial Position MSEK Note 30 Sep 2026 30 Sep 2025 31 Dec 2025 Fixed assets Intangible fixed assets 3 1,558.3 1,148.4 1,127.5 Right of use asset 142.4 152.7 140.9 Property plant and equipment 328.7 279.7 283.6 Other financial assets 4 2.5 2.2 3.0 Total non-current assets 2,032.0 1,583.1 1,555.0 Current assets Inventories 408.2 333.3 325.1 Accounts receivable 4 353.8 327.7 266.1 Other current receivables 31.0 21.0 14.0 Prepaid expenses and accrued income 12.9 13.0 9.4 Cash and cash equivalents 4 188.3 46.8 57.1 Total current assets 994.2 741.7 671.6 Total assets 3,026.2 2,324.8 2,226.7 Equity 1,455.2 1,209.1 1,234.8 141.8 88.7 88.1 5.4 4.9 4.6 4 697.9 386.9 340.6 4 182.3 121.6 122.8 Deferred tax liability Provisions Non-current interest-bearing liabilities Other non-current liabilities Non-current leasing liabilities 95.1 112.7 103.6 Total non-current liabilities 1,122.4 714.8 659.8 Current liabilities Current interest-bearing liabilities 4 27.6 69.9 29.7 Trade payables 4 159.6 114.2 104.2 Contract liabilities 4 15.7 2.2 3.4 Current tax liabilities 32.8 11.7 9.6 Current leasing liabilities 50.0 43.6 40.9 Other current liabilities 60.0 79.1 63.3 Accrued expenses and prepaid income 102.9 80.4 80.9 Total current liabilities 448.6 401.0 332.1 Total equity and liabilities 3,026.2 2,324.8 2,226.7
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Interim Report | January – September 2026 .13 Consolidated report on Changes in Equity in summary MSEK Share capital Other contributed capital Translation reserve Retained earnings incl. this year's profit/loss Total equity Opening balance, equity 1 Jan 2026 5.3 1,002.4 -26.2 253.3 1,234.8 Net profit for the year 127.5 127.5 Other comprehensive income for the year 89.5 89.5 Comprehensive income for the year 89.5 127.5 217.0 Option premiums 5.8 5.8 Repurchase warrants -2.5 -2.5 Closing balance, equity 30 Sep 2026 5.3 1,008.2 63.3 378.4 1,455.2 MSEK Share capital Other contributed capital Translation reserve Retained earnings incl. this year's profit/loss Total equity Opening balance, equity 1 Jan 2025 5.3 987.3 42.4 130.0 1,164.9 Net profit for the year 103.0 103.0 Other comprehensive income for the year -45.9 -45.9 Comprehensive income for the year -45.9 103.0 57.0 Dividends paid to non-controlling interests -2.9 -2.9 Option premiums 5.3 5.3 Repurchase warrants -15.3 -15.3 Closing balance, equity 30 Sep 2025 5.3 992.6 -3.6 214.8 1,209.1
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Interim Report | January – September 2026 .14 Consolidated cash flow statement in summary LTM Jan-Dec MSEK Note 2026 2025 2026 2025 Oct-Sep 2025 Operating activities Operating profit (EBIT) 107.3 62.3 253.8 152.8 308.6 207.6 Adjustments for non-cash items 41.4 27.1 107.5 78.4 138.8 109.7 Interest received 0.6 0.5 1.7 3.1 2.5 3.9 Interest paid -11.3 -9.3 -29.1 -27.4 -37.2 -35.6 Paid tax -22.5 -14.7 -58.8 -32.7 -62.1 -36.0 Cash flow before changes in working capital 115.5 65.9 275.1 174.2 350.6 249.7 Changes in working capital Changes in inventories 3.6 7.9 -45.5 -22.0 -41.1 -17.5 Changes in trade receivables -21.4 -14.6 -46.8 -72.7 11.6 -14.4 Change in other operating receivables 6.9 0.1 0.2 -2.4 -0.0 -2.5 Change in trade payables 23.1 -9.7 42.3 0.0 34.5 -7.8 Change in other operating liabilities 7.1 -3.2 30.3 11.3 31.0 12.1 Cash flow from changes in working capital 19.3 -19.6 -19.6 -85.7 36.0 -30.1 Cash flow from operating activities 134.8 46.4 255.6 88.6 386.6 219.5 Investing activities Acquisition of subsidiaries - -97.7 -379.9 -205.2 -379.9 -205.2 Investments in intangible assets -0.9 -0.9 -9.5 -1.8 -12.7 -5.1 Investments in property, plant and equipment -14.3 -12.5 -40.8 -29.9 -62.2 -51.3 Divestments of tangible assets -- -- 0 . 2 0 . 2 Changes in other financial assets 0.0 0.6 0.8 0.1 -0.0 -0.6 Cash flow from investing activities -15.2 -110.4 -429.4 -236.8 -454.6 -262.0 Financing activities Borrowings - 75.0 417.3 132.9 417.3 132.9 Loan repayments -61.3 -33.6 -75.5 -133.8 -116.4 -174.7 Loan repayments, leasing -10.3 -10.2 -30.5 -28.8 -40.3 -38.6 Change in current credit facility -3.0 -87.5 -6.5 -1.8 -57.7 -53.1 Dividends paid to non-controlling interests -3.6 -0.5 -8.8 -2.9 -10.1 -4.2 New share issue -- -- 9 . 9 9 . 9 Warrants -0.2 - 3.4 -10.0 3.4 -10.0 Cash-settled put/call options -0.3 -0.4 -0.3 -41.1 -0.3 -41.1 Cash flow from financing activities -78.5 -57.2 299.0 -85.5 205.5 -179.1 Cash flow for the period 41.0 -121.3 125.2 -233.8 137.5 -221.5 Cash and cash equivalents at the beginning of the period 144.5 168.7 57.1 286.3 46.8 286.3 Effects of translation differences in cash and cash equivalents 2.7 -0.6 6.0 -5.7 4.0 -7.7 Cash and cash equivalents at the end of the period 188.3 46.8 188.3 46.8 188.3 57.1 Q3 Jan-Sep
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Interim Report | January – September 2026 .15 Summary of the Parent Company’s Income Statement Profit for the period corresponds to total comprehensive income for the period. LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 Net sales 1.0 0.9 3.0 2.7 3.9 3.7 Other operating revenue 0.0 0.0 0.8 0.0 0.8 0.0 Total income 1.0 0.9 3.8 2.8 4.7 3.7 Operating costs Employee benefits expense -10.7 -5.8 -30.2 -19.4 -36.5 -25.8 Other external expenses -5.0 -2.9 -14.4 -9.4 -18.1 -13.1 Depreciation of tangible and intangible fixed assets -0.0 -0.0 -0.1 -0.1 -0.2 -0.1 Other operating expenses -0.0 -0.0 -0.0 -0.0 -0.0 -0.0 Operating income -14.7 -7.8 -40.9 -26.2 -50.1 -35.4 Profit/loss from financial items Interest income and similar profit/loss items 90.8 0.2 169.9 40.1 190.7 61.0 Interest expenses and similar profit/loss items -27.1 -1.0 -43.6 -30.4 -54.3 -41.1 Profit/loss after financial items 49.1 -8.6 85.3 -16.5 86.3 -15.5 Group contribution received - - - - 32.8 32.8 Profit/loss before tax 49.1 -8.6 85.3 -16.5 119.1 17.3 Tax on profit/loss for the period -- -- - - Profit/loss after tax 49.1 -8.6 85.3 -16.5 119.1 17.3 Q3 Jan-Sep
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Interim Report | January – September 2026 .16 Summary of the Parent Company’s Financial Position MSEK 30 Sep 2026 30 Sep 2025 31 Dec 2025 Fixed assets Intangible fixed assets 0.0 0.1 0.1 Property plant and equipment 0.3 0.1 0.2 Shares in subsidiaries 1,647.4 1,168.7 1,168.6 Non-current receivables from subsidiaries 254.2 310.3 282.9 Total non-current assets 1,901.9 1,479.2 1,451.8 Current assets Current receivables from subsidiaries 11.7 6.3 38.5 Other current receivables 2.2 0.6 0.9 Prepaid expenses and accrued income 0.5 0.2 0.7 Cash and cash equivalents 89.9 - 0.0 Total current assets 104.3 7.1 40.0 Total assets 2,006.2 1,486.3 1,491.9 Equity Restricted equtiy 5.3 5.3 5.3 Non-restricted equity 961.0 828.7 872.3 Total equity 966.3 834.0 877.6 Non-current liabilities Liabilities to credit institutions 689.6 373.1 329.1 Other non-current liabilities 156.3 100.0 100.1 Current liabilities Liabilities to credit institutions 27.3 144.2 29.5 Liabilities to Group companies 150.1 - 119.4 Trade payables 0.6 0.6 1.2 Other current liabilities 4.4 29.5 29.3 Accrued expenses and prepaid income 11.6 5.0 5.6 Total liabilities 1, 039.9 652.4 614.2 Total equity and liabilities 2, 006.2 1,486.3 1,491.9
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Interim Report | January – September 2026 .17 Notes This quarterly report covers the Swedish parent company Karnell Group AB (publ), corporate identity number 559043- 3214, hereinafter referre d to as Karnell, with its registered office in Stockholm, Sweden, and its subsidiaries (the consolidated financial statemen ts). The address of the head office is Riddargatan 13D, 114 51 Stockholm. The company’s principal business is investment activities. Note 1. Accounting principles Karnell’s consolidated financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) and related interpretation s (IFRIC), as adopted by the EU. The Group’s interim report is prepared in accordance with the applicable provisions of the Annual Accounts Act and IAS 34 Interim Financial Reporting. The interim report for the parent company has been prepared in accordance with Chapter 9 of the Annual Accounts Act, “Interim Reports.” For the Group and the parent company, the same accounting principles, calculation method s, and estimates have been applied as in the most recent annual report. New or amended accounting standards IFRS 18 Presentation and Disclosure in Financial Statements replaces IAS 1 and is applied re trospectively from January 1, 2027. The standard is not expected to affect the Group’s earnings or financial position, but will result in changes to presentation, including the structure of the income statement and disclosures about management-defined performance measures (MPMs). Karnell is currently analyzing the effects of the new standard. A more detailed description of the Group’s accounting principles, as well as new and upcoming standards, can be found in the most recently published annual report. Disclosures in accordance with IAS 34.16A are presented, in addition to the financial statements and their accompanying notes in the interim report, on p a g e s 4 – 8 , w h i c h f o r m a n integral part of this financial report. All amounts in this report are stated in millions of Swedish kronor (MSEK) unless otherw ise indicated. Rounding may occur in tables and calculations, which means that the total amounts stated are not always the exact sum of the rounded partial amounts. Note 2. Segment and distribution of net sales Net sales relate to external revenue from contracts with customers. Sales of services and project sales are recognized over time; other revenue is recognized at a single point in time. Net sales by geographic area Net sales are based on the customer’s geographic location. Jan-Dec MSEK 2026 2025 2026 2025 2025 Product companies 310.2 249.0 839.6 640.3 891.8 Sale of products 293.2 233.5 769.4 589.6 823.3 Project sales 9.0 8.0 49.3 32.2 42.0 Sale of services 8.0 7.5 20.9 18.4 26.5 Niche production 271.4 187.1 783.8 586.1 795.7 Sale of products 271.4 187.1 783.8 586.1 795.7 Central and eliminations - 0.0 0.0 0.1 0.1 Total Group 581.5 436.1 1,623.4 1,226.5 1,687.6 Q3 Jan-Sep Jan-Dec MSEK 2026 2025 2026 2025 2025 Sweden 80.5 85.4 302.7 276.4 404.5 Finland 247.7 212.3 694.9 590.8 793.8 UK 90.8 43.7 206.1 118.5 160.0 Europe, other 114.3 48.6 285.6 156.1 222.8 Other countries 48.3 46.0 134.1 84.8 106.6 Total 581.5 436.1 1,623.4 1,226.5 1,687.6 Q3 Jan-Sep
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Interim Report | January – September 2026 .18 Note 2. Segment and distribution of net sales, continued Q3 2026 (MSEK) Product companies Niche production Central and eliminations Total Group Net sales 310.2 271.4 0.0 581.5 EBITA 70.7 64.1 -14.7 120.0 Depreciation and amortisation of intangible fixed assets -12.7 Net financial items -39.6 Profit/loss before tax 67.7 Q3 2025 (MSEK) Product companies Niche production Central and eliminations Total Group Net sales 249.0 187.1 0.0 436.1 EBITA 45.9 34.3 -10.8 69.4 Depreciation and amortisation of intangible fixed assets -7.1 Net financial items -3.2 Profit/loss before tax 59.1 Jan-Sep 2026 (MSEK) Product companies Niche production Central and eliminations Total Group Net sales 839.6 783.8 0.0 1,623.4 EBITA 151.0 179.3 -43.9 286.4 Depreciation and amortisation of intangible fixed assets -32.6 Net financial items -75.2 Profit/loss before tax 178.6 Jan-Sep 2025 (MSEK) Product companies Niche production Central and eliminations Total Group Net sales 640.3 586.1 0.1 1,226.5 EBITA 95.7 107.5 -32.6 170.7 Depreciation and amortisation of intangible fixed assets -17.8 Net financial items -20.5 Profit/loss before tax 132.3
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Interim Report | January – September 2026 .19 Note 3. Acquisitions OBA Tradizione Futura S.R.L On March 16, 2026 1, Karnell completed the acquisition of OBA Tradizione Futura S.R.L (“OBA Tf”), acquiring a 90.0% stake. The acquisition includes a put/call option conferring the right and obligation to acquire the remaining 10.0% of the shares from the other owners. Consequently, the acquisition is reported as 100% owned with no non-controlling interest. The expected purchase price for the remaining 10.0% is instead recognized as a liability. OBA Tf, based outside Bologna, Italy, is a niche manufacturer of premium products specializing in solutions for exterior and interior automotive customization. The company has annual sales of approximately EUR 11 million and is part of the Niche Production business area. The acquired goodwill is attributable to the company’s expected future earning capacity and strong customer relationships. No portion of the goodwill is expected to be tax-deductible. Transaction cost s for the acquisition amount to approximately SEK 1.3 million and are included in the item “Other external expenses” in the consolidated income statement. In addition to the cash consideration, there is also a performance-based contingent additional purchase price (earn-out) that may amount to a maximum of EUR 7.2 million. The acquisition balance sheet is preliminary, as retroactive adjustments may still be made if they reflect new information regarding the circumstances that existed as of the acquisition date. 1) For the sake of simplicity, OBA Tf has been consolidated as of March 1, 2026. This is not expected to have any material impact on the Group’s financial statements. flex7 Ltd On April 10, 20262, Karnell completed the acquisition of flex7 Ltd, with 98.0% of the compa ny acquired. Th e acquisition includes a put/call option conferring the right and obligation to acquire the remaining 2.0% of the shares from the other owners. Consequently, the acqui sition is reported as 100% owned with no non-controlling interest. The expected purchase price for the remaining 2.0% is instead recognized as a liability. flex7, based in Twyford, United Kingdom, is a developer and manufacturer of modular connection and control systems for lighting in commercial and public buildings. The company has annual revenue of approximately GBP 9 million and is part of the Product Companies business area. The acquired goodwill is attributable to the company’s expected future earning capacity and strong customer relationships. No portion of the goodwill is expected to be tax-deductible. Transaction cost s for the acquisition amount to approximately SEK 3.2 million, a large portion of which is attributable to transfer tax, and are included in the item “Other external expenses” in the consolidated income statement. The acquisition balance sheet is preliminary, as retroactive adjustments may still be made if they reflect new information regarding the circumstances that existed as of the acquisition date. 2) For the sake of simplicity, flex7 has been consolidated as of April 1, 2026. This is not expected to have any material impact on the Group’s financial statements.
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Interim Report | January – September 2026 .20 Purchase price allocation 2026 1) The operating profit for the period prior to Karnell’s acquisition includes one-time items that affect historical comparability. MSEK OBA flex7 Total Intangible fixed assets 83.7 114.0 197.6 Property plant and equipment 18.6 22.0 40.6 Inventories 14.5 12.1 26.5 Current receivables 13.8 20.1 33.9 Cash and cash equivalents 29.4 33.6 62.9 Deffered tax -23.8 -30.2 -54.0 Non-current liabilities -8.7 -0.3 -9.1 Current liabilities -20.8 -16.4 -37.3 Net identifiable assets and liabilities 106.5 154.7 261.2 Cash purchase price 136.1 275.5 411.6 Retained amount 7.0 - 7.0 Contingent liability 7.9 - 7.9 Put/call option 18.5 5.1 23.6 Total purchase price 169.4 280.6 450.0 Net assets acquired 106.5 154.7 261.2 Goodwill 62.9 125.9 188.8 Total net assets acquired and goodwill 169.4 280.6 450.0 Impact on the Group's cash and cash equivalents Cash compensation -136.1 -275.5 -411.6 Acquired cash and cash equivalents 29.4 33.6 62.9 Net cash and cash equivalents -106.7 -241.9 -348.6 MSEK OBA flex7 Total Impact after acquisition date included in consolidated earnings Net sales 70.0 64.5 134.5 Operating profit (EBIT) 21.2 22.2 43.4 Impact if the acquisitions were completed on Jan 1 Net sales 86.5 95.0 181.5 Operating profit (EBIT)¹ 21.7 29.4 51.1
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Interim Report | January – September 2026 .21 Note 4. Financial assets and liabilities 30 Sep 2026 (MSEK) Financial assets and liabilities measured at fair value through profit/loss Financial assets and liabilities measured at amortised cost Total fair value Financial assets Non-current receivables -0 . 9 0.9 Accounts receivable - 353.8 353.8 Cash and cash equivalents - 188.3 188.3 Total - 542.9 542.9 Financial liabilities Liabilities to credit institutions - 725.5 725.5 Trade payables - 159.6 159.6 Contract liabilities - 15.7 15.7 Contingent liabilities 11.2 - 11.2 Put/call options attributable to non-controlling interests 173.4 - 173.4 Total 184.7 900.8 1,085.4 30 Sep 2025 (MSEK) Financial assets and liabilities measured at fair value through profit/loss Financial assets and liabilities measured at amortised cost Total fair value Financial assets Non-current receivables -0 . 5 0.5 Accounts receivable - 327.7 327.7 Cash and cash equivalents - 46.8 46.8 Total - 375.0 375.0 Financial liabilities Liabilities to credit institutions - 456.8 456.8 Trade payables - 114.2 114.2 Contract liabilities -2 . 2 2.2 Contingent liabilities 33.1 - 33.1 Put/call options attributable to non-controlling interests 116.9 - 116.9 Total 149.9 573.1 723.0
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Interim Report | January – September 2026 .22 The carrying amount is considered a good approximation of fair value. For the period 2026, there are two items measured at fair value through profit or loss. The fair value of contingent liabilities (earn-outs) has been calculated based on the expected outcome of financial and operational targets for each individual agreement. The estimated expected settlemen t will vary over time depending on, among other things, the degree of fulfilment of the conditions for the contingent earn-outs and the development of certain exchange rates against the Swedish krona. Contingent earn-outs classified as financial liabilities are measured at fair value. The measurement is therefore in accordance with Level 3 of the valuation hierarchy. Significant unobservable input data consists of forecast revenue, a risk-adjusted discount rate and operational targets. The put/call options relating to non-controlling interests concern put/call options in co mpleted transactions where the selling shareholder retains a certain ownership stake in connection with subsequent transactions and there is an agreement that Karnell shall purchase the remaining holding if the holder of th e put/call option chooses to exercise the right to sell. The liability relating to put/call options is usually recognized as non-current. When there is an indication that the holder of a put option wishes to exercise their option, the liability is recognized as current. The valuation and payment are made in a similar manner as for contingent earn-outs (Level 3 Fair Valuation). The fair value of the put/call options in respect of non-controlling interests has been calculated by assessing the likely outcome of the financial and operational targets for each individual agreement. The estimated probability of payment will vary over time depending on, among other things, the extent to which conditions for the put/call options have been met, as well as how exchange rates develop. The levels are as follows: Level 1: Financial instruments are valued based on prices quoted in an active market. Level 2: Financial instruments are valued based on directly or indirectly observable market data and are not included in Level 1. Level 3: Financial instruments are valued based on inputs that are not observable in the market. Reconciliation of put/call options and earn-outs Note 5. Net financial items Changes in put/call options, MSEK Opening balance, Jan 1 2026 122.1 Additional put/call options 23.6 Settled liabilities during the period -0.3 Revaluations through profit/loss 22.2 Exchange rate differences 5.8 Closing balance, Sep 30 2026 173.4 Opening balance, Jan 1 2026 28.1 Additional earn-outs 7.9 Settled liabilities during the period -24.2 Revaluations through profit/loss -0.8 Exchange rate differences 0.3 Closing balance, Sep 30 2026 11.2 Changes in earn-outs, MSEK MSEK 2026 2025 2026 2025 Interest income 0.6 0.5 1.7 3.1 Interest expenses -9.2 -6.9 -22.8 -20.6 Interest expenses leasing -2.1 -2.4 -6.3 -6.8 Net interest -10.7 -8.8 -27.4 -24.4 Net exchange rate effects -16.1 3.2 -17.1 4.8 Revaluation of put/call options and earn-outs -8.8 2.4 -21.4 -0.9 Other financial items -4.0 - -9.2 - Net financial items -39.6 -3.2 -75.2 -20.5 Q3 Jan-Sep
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Interim Report | January – September 2026 .23 Key figures - Group 1) This key figure is an alternative performance measure in accordance with ESMA guidelines Net sales and EBITA per quarter LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 Net sales 581.5 436.1 1,623.4 1,226.5 2,084.5 1,687.6 EBITDA¹ 143.9 91.5 354.4 234.1 439.4 319.1 EBITA¹ 120.0 69.4 286.4 170.7 348.5 232.8 EBITA margin. %¹ 20.6 15.9 17.6 13.9 16.7 13.8 EBITA growth. %¹ 73.0 26.4 67.8 47.6 - 40.3 Operating profit (EBIT) 107.3 62.3 253.8 152.8 308.6 207.6 EBIT margin. % 18.5 14.3 15.6 12.5 14.8 12.3 Profit/loss before tax 67.7 59.1 178.6 132.3 224.9 178.6 Cash flow from operating activities 134.8 46.4 255.6 88.6 386.6 219.5 Earnings per share before dilution (SEK) 0.86 0.88 2.39 1.95 3.11 2.67 Earnings per share after dilution (SEK) 0.83 0.85 2.31 1.89 3.00 2.59 Return on equity. %¹ - - - - 12.5 11.8 Return capital employed (new). %¹ - - - - 16.4 12.8 Return capital employed (old). %¹ - - - - 16.0 13.7 Equity ratio. %¹ 48.1 52.0 48.1 52.0 48.1 55.5 Financial net debt¹ 866.9 716.2 866.9 716.2 866.9 608.0 Net debt¹ 682.3 566.3 682.3 566.3 682.3 457.8 Net debt excl. leasing¹ 537.2 410.0 537.2 410.0 537.2 313.3 Financial net debt/EBITDA¹ - - --2 . 01 . 9 Net debt/EBITDA¹ - - --1 . 61 . 4 Net debt excl. leasing/EBITDA excl. leasing¹ - - --1 . 41 . 2 Number of employees, closing day 863 748 863 748 863 753 Average number of shares. before dilution ('000) 53,367 52,921 53,367 52,921 53,295 52,961 Average number of shares. diluted ('000) 55,395 54,591 55,095 54,382 55,289 54,572 Q3 Jan-Sep MSEK Q3 2026 Q2 2026 Q1 2026 Q4 2025 Q3 2025 Q2 2025 Q1 2025 Q4 2024 Q3 2024 Net sales Product companies 310.2 305.4 224.0 251.5 249.0 218.3 173.0 210.6 171.4 Niche production 271.4 279.1 233.4 209.6 187.1 212.7 186.3 192.2 185.2 Central and eliminations 0.0 -0.0 -0.0 -0.0 0.0 0.0 0.1 0.0 0.0 Total Group 581.5 584.5 457.4 461.1 436.1 431.0 359.4 402.9 356.6 EBITA Product companies 70.7 50.3 30.0 37.9 45.9 32.3 17.6 31.8 28.5 Niche production 64.1 64.5 50.7 35.8 34.3 41.9 31.3 26.1 34.7 Central and eliminations -14.7 -14.8 -14.4 -11.6 -10.8 -11.2 -10.6 -7.7 -8.3 Total Group 120.0 100.0 66.3 62.1 69.4 62.9 38.3 50.2 54.9 EBITA margin. % Product companies 22.8% 16.5% 13.4% 15.1% 18.4% 14.8% 10.2% 15.1% 16.6% Niche production 23.6% 23.1% 21.7% 17.1% 18.4% 19.7% 16.8% 13.6% 18.8% Total Group 20.6% 17.1% 14.5% 13.5% 15.9% 14.6% 10.7% 12.5% 15.4%
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Interim Report | January – September 2026 .24 Definitions Return on equity: Net income for the year after ta x as a percentage of average equity (opening balance plus closing balance for the period, divided by two). The purpose is to show the return on shareholders’ invested capital during the period. Return on capital employed: EBITA for the last twelve months as a percentage of average capital employed, calculated as the average of the closing balances of the four most recent quarters. The purpose is to show the return the business generates on the capital tied up in it, regardless of how it is financed. The definition was changed in connection with the interim report for the third quarter of 2026, see “Amended definition of return on capital employed” below. Previous definition: Profit after financial items plus financial expenses as a percentage of average capital employed (opening balance plus closing balance for the period, divided by two). The purpose is to show the business’s profitability in relation to its capital employed. EBITA: Operating profit before amorti zation of inta ngible assets. EBITA complements operating profit. The purpose is to measure the underlying earnings from ongoing operations, excluding amortization and impairment charges on intangible assets. EBITA margin: EBITA as a percentage of net sales. The purpose is to show the operational profitability of the business, independent of amortization and impairment charges on intangible assets. EBITA per share: EBITA for the last twelve months (LTM) divided by the number of shares outstanding at the end of the period before dilution. The purpose is to show the Group’s operating earnings performance per share over time. EBITA growth: Change in EBITA compared to the same period the previous year. The purpose is to analyze earnings growth. EBITDA: Operating profit before depreciation and amortization. EBITDA is a supplement to operating profit. The purpose is to measure earnings from ongoing operations, independent of depreciation and amortization. EBITDA excluding leasing: Operating profit before depreciation, adjusted for the reclassification of lease expenses in accordance with IFRS 16. EBITDA excluding leases is a supplement to operating profit. The purpose is to measure earnings from ongoing operations, independent of depreciation a nd adjustments for leases in accordance with IFRS 16. EBIT margin: Operating profit (EBIT) as a percentage of net sales. The purpose is to provide an indication of profitability relative to sales. Financial net debt: Net debt, plus put/call options and earn-outs. The purpose is to clarify the size of the debt minus current cash and cash equivalents (which, in theory, could be used to repay loans). Financial net debt/EBITDA: Financial net debt divided by EBITDA for the most recent 12- month period. This key ratio is relevant for assessing the company’s ability to make investments and meet its financial obligations. Cash flow from operating activities per share: Cash flow from operating activities for the last twelve months (LTM) divided by the number of shares outstanding at the end of the period before dilution. The purpose is to show the Group’s cash generation per share over time. Cash conversion: Cash flow from operating activities for the last twelve months (LTM) as a percentage of EBITA for the same period. The purpose is to show how large a share of operating earnings is converted into cash flow. Net sales growth: Change in the Group’s net sales compared to the prior-year period. The purpose is to show the total growth in net sales for all Group companies that are part of the Group relative to the prior-year period. Net debt: Non-current interest-bearing liabilities, long-term lease liabilities, current interest-bearing liabilities, and short-term lease liabilities, less cash and cash equivalents. The purpose is to clarify the amount of debt minus current cash and cash equivalents (which, in theory, could be used to repay loans). Net debt excluding leases: Non-current interest-bearing lia bilities and current interest- bearing liabilities, less cash and cash equivalents. The purpose is to assess the Group’s inde btedness without taking lease liabilities into account, as th ese have a different maturity structure. Net debt excluding leases/EBITDA excluding leases: Net debt excluding lease liabilities divided by EBITDA excluding leases for the most recent 12-month period. This key ratio provides an indication of the Group’s ability to pay its debts, excluding items related to IFRS 16, leases.
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Interim Report | January – September 2026 .25 Net debt/EBITDA: Net debt divided by EBITDA for the most recent 12-month period. This key ratio is relevant for assessing the company’s ability to make investments and meet its financial obligations. Organic EBITA growth: Change in EBITA adjusted for currency effects as well as acquired and divested EBITA, compared with the same period the previous year. Acquired companies are included in organic growth from the point in time when they have comparable figures for the current period. The purpose is to analyze the underlying earnings growth in current operations. Organic net sales growth: Change in net sales adjusted for currency effects and for net sales from acquired and divested companies, compared with the same period the previous year. Acquired companies are included in organic growth from the point in time when they have comparable figures for the current period. The purpose is to analyze the underlying net sales growth in current operations. Earnings per share, diluted: Net income after tax divided by the weighted average number of outstanding shares during the period, plus the number of shares that would have been issued as a result of ongoing incentive programs. Earnings per share, before dilution: Net income after tax divided by the weighted average number of outstanding shares during the period. Equity ratio: Equity as a percentage of total assets. The purpose is to assess financial risk and shows what proportion of assets is financed by equity. Capital employed: Equity plus financial net debt. The calculation corresponds to the capital tied up in the business, i.e. non-current assets and current assets excluding cash and cash equivalents, less non- interest-bearing liabilities and provisions excluding liabilities relating to put/call options and earn-outs. The purpose is to show the capital tied up in the business, regardless of how it is financed. Previous definition: Balance sheet total reduced by non- interest-bearing provisions and liabilities. The purpose is to show the capital financed by owners and lenders. Amended definition of return on capital employed: As of the interim report for the third quarter of 2026, Karnell has amended the definition of the key ratio return on capital employed. The return measure is now EBITA instead of profit after financial items plus financial expenses. Capital employed is now calculated as equity plus financial net debt instead of total assets less non-interest-bearing provisions and liabilities. The average is calculated based on the balances of the four most recent quarters instead of the opening and closing balances. The change is made so that the key ratio better reflects the return on th e capital tied up in operating activities, independent of financing, cash and acquisition- related liabilities. Comparative figures have been restated in accordance with the new definition. For the last twelve months as of September 30, 2026, return on capital employed amounted to 16.4 percent, compared with 16.0 percent under the previous definition. For the full year 2025, it amounted to 12.8 percent under the new definition and 13.7 percent under the previous definition. To facil itate comparison, this report also presents the key ratio according to the previous definition; see the key figures table and the reconciliation of alternative performance measures.
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Interim Report | January – September 2026 .26 Reconciliation and calculation of alternative performance measures (APM) Karnell uses financial measures that are not defined in IFRS but are so-called alternative performance measures (APMs). These measures provide the reader with supplementary data and facilitate further analysis of the Group’s performance over time. Below are reconciliations and descriptions of the components included in the alternative performance measures used in this report . Reconciliations are performed against the most directly comparable line item, subtotal, or total amount reported in the financial statements for the corresponding period. EBITDA, EBITA, and Operating profit (EBIT) EBITA margin and operating margin Organic net sales growth, % Organic EBITA growth, % LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 EBITDA 143.9 91.5 354.4 234.1 439.4 319.1 Depreciation and amortization -23.9 -22.1 -68.0 -63.5 -90.9 -86.4 EBITA 120.0 69.4 286.4 170.7 348.5 232.8 Depreciation and amortisation of intangible assets -12.7 -7.1 -32.6 -17.8 -39.9 -25.1 Operating profit (EBIT) 107.3 62.3 253.8 152.8 308.6 207.6 Q3 Jan-Sep LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 Net sales 581.5 436.1 1,623.4 1,226.5 2,084.5 1,687.6 EBITA 120.0 69.4 286.4 170.7 348.5 232.8 EBITA margin. % 20.6% 15.9% 17.6% 13.9% 16.7% 13.8% Operating profit (EBIT) 107.3 62.3 253.8 152.8 308.6 207.6 Operating margin. % 18.5% 14.3% 15.6% 12.5% 14.8% 12.3% Q3 Jan-Sep MSEK. % Growth net sales 145.5 33.4% 79.5 22.3% 396.9 32.4% 227.1 22.7% Net sales 581.5 - 436.1 - 1,623.4 - 1,226.5 - Acquired net sales growth 63.6 14.6% 74.8 21.0% 204.1 16.6% 208.1 20.8% Net exchange rate effects 0.0 0.0% -8.3 -2.3% -19.9 -1.6% -16.7 -1.7% Organic net sales growth 81.8 18.8% 13.1 3.7% 212.7 17.3% 35.6 3.6% Q3 Jan-Sep 2026 2025 2026 2025 MSEK. % Growth EBITA 50.6 73.0% 14.5 26.4% 115.8 67.8% 55.0 47.6% EBITA 120.0 - 69.4 - 286.4 - 170.7 - Acquired EBITA growth 21.4 30.9% 15.3 27.8% 50.9 29.8% 42.9 37.1% Net exchange rate effects -0.3 -0.5% -1.6 -3.0% -4.7 -2.8% -2.9 -2.5% Organic EBITA growth 29.5 42.6% 0.9 1.6% 69.5 40.7% 15.0 13.0% Q3 Jan-Sep 2026 2025 2026 2025
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Interim Report | January – September 2026 .27 Net debt Leasing impact on EBITDA Net debt/EBITDA Return on equity Return on capital employed (new) LTM Jan-Dec MSEK 2026 2025 2026 2025 Oct-Sep 2025 Interest-bearing liabilities 725.5 456.8 725.5 456.8 725.5 370.4 Cash and cash equivalents 188.3 46.8 188.3 46.8 188.3 57.1 Net debt excl. leasing 537.2 410.0 537.2 410.0 537.2 313.3 Lease liabilities 145.1 156.3 145.1 156.3 145.1 144.6 Net debt 682.3 566.3 682.3 566.3 682.3 457.8 Other liabilities 184.7 149.9 184.7 149.9 184.7 150.2 Financial net debt 866.9 716.2 866.9 716.2 866.9 608.0 Q3 Jan-Sep LTM Jan-Dec MSEK Oct-Sep 2025 EBITDA 439.4 319.1 Leasing impact EBITDA -49.4 -48.1 EBITDA LTM excl. leasing 390.0 271.1 LTM Jan-Dec MSEK Oct-Sep 2025 Financial net debt/EBITDA 2.0 1.9 Net debt/EBITDA 1.6 1.4 Net debt excl. leasing/EBITDA excl. leasing 1.4 1.2 R12 Jan-Dec MSEK Oct-Sep 2025 166.0 141.5 1 332.1 1 199.8 Profit/loss for the period Equity, average Return on equity 12.5% 11.8% LTM Jan-Dec MSEK Oct-Sep 2025 EBITA 348.5 232.8 Capital employed, 4-quarter average 2,120.8 1,816.1 Return on capital employed. % 16.4% 12.8% Q3 Jan-Dec MSEK 2026 2025 Equity 1,455.2 1,234.8 Net debt 682.3 457.8 Put/call options and additional purchase considerations 184.7 150.2 Capital employed 2,322.1 1,842.8
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Interim Report | January – September 2026 .28 Return on capital employed (old) Ca sh flow from operating activities per share Cash conversion EBITA per share LTM Jan-Dec MSEK Oct-Sep 2025 Profit/loss after financial items 224.9 178.6 Financial expenses (+) -107.2 -62.5 Profit after financial items plus financial expenses 332.0 241.1 Balance sheet total, average 2,675.5 2,229.9 Non-interest-bearing liabilities (-), average 481.3 391.4 Non-interest-bearing provisions (-), average 120.4 81.8 Capital employed 2,073.8 1,756.7 Return on capital employed. % 16.0% 13.7% LTM Jan-Dec MSEK Oct-Sep 2025 Cash flow from operating activities 386.6 219.5 Number of shares outstanding ('000) 53,367 53,367 Cash flow from operating activities per share (SEK) 7.24 4.11 LTM Jan-Dec MSEK Oct-Sep 2025 Cash flow from operating activities 386.6 219.5 EBITA 348.5 232.8 Cash conversion 110.9% 94.3% LTM Jan-Dec MSEK Oct-Sep 2025 EBITA 348.5 232.8 Number of shares outstanding ('000) 53,367 53,367 EBITA per share (SEK) 6.53 4.36
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Interim Report | January – September 2026 .29 Contact Petter Moldenius, CEO ir@karnell.se +46 8 545 891 00 Karnell Group AB (publ) Riddargatan 13D 114 51 STOCKHOLM www.karnell.se Org. number 559043-3214