Interim report
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Q3 Interim Report January–September 2026 MilDef Group
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Interim report January–September 2026 2 Interim report January–September 2026 Summary of the period Strong order intake, high delivery pace and good profitability Third quarter 2026 • The order intake amounted to SEK 2,091 million (907), equivalent to an increase of 130%. The increase is entirely organic. The order backlog grew by 34% in the third quarter. • Net sales increased by 54% to SEK 829 million (540). Growth in the quarter was exclusively organic and was driv- en mainly by the Swedish and German markets. • The gross margin amounted to 45.4% (45.0). The margin was positively impacted by higher growth for system and integration solutions, but was lowered slightly by the per- centage of sales of mobile products. • Adjusted EBITA amounted to SEK 180.5 million (84.6), equivalent to an adjusted operating margin of 21.8% (15.7). Good profitability development is being driven by strong net sales. • Adjusted operating profit (EBIT) amounted to SEK 161.1 million (64.7), corresponding to an operating margin of 19.4% (12.0). • Free cash flow amounted to SEK -112 million (-53). The cash flow impact from good profitability was offset by increased capital tied up to secure deliveries in the upcoming quarters and by increased accounts receivable resulting from the high sales volumes. Summary of significant events in the third quarter, July–September 2026 • MilDef secured a hardware order worth around SEK 553 million from a European NATO country. The order involves digitalization of the country’s armed forces. Deliveries are expected to take place in 2027. • MilDef signed a seven-year extension of a framework agreement for deliveries to the German armed forces (Bundeswehr), poten- tially worth around EUR 527 million, and received a call-off order worth around EUR 95.4 million. Deliveries within the framework of the order are expected to begin in the latter part of 2026 and continue in 2027. • MilDef decided to continue the expansion of its production and office facility in Rosersberg. The facility of around 6,500 sq m, which was opened in 2025, will be expanded by an additional 7,600 sq m with opening planned for the first quarter of 2028. The investment was made to address the growing demand in the defense industry. • As part of MilDef’s ongoing integration of roda computer GmbH and Westek Technology Ltd., both companies have formally assumed the name MilDef and are now called MilDef GmbH and MilDef UK Ltd. The name change consolidates MilDef’s position as a leading European supplier of tactical IT. Summary of significant events after the end of the period • There have been no significant events after the closing day with an impact on financial reporting. Last 12 months, October 2025–September 2026 Net sales SEK 2,950 m Adjusted operating margin (EBITA) 18.7 % Adjusted operating profit (EBITA) SEK 552.6 m January–September 2026 • The order intake amounted to SEK 3,907 million (2,189), equivalent to an increase of 78%. • Order backlog as of September 30, 2026 increased by 61% to SEK 5,654 million compared with the same date in 2025 (3,507). • Net sales increased by 72% to SEK 2,167 million (1,263). All geographic markets developed well during the first nine months of the year. • The gross margin amounted to 46.9% (46.2). The margin was positively impacted by higher growth for system and integration solutions, but was lowered slightly by the per- centage of sales of mobile products. • Adjusted EBITA amounted to SEK 401.7 million (125.5), equivalent to an adjusted operating margin of 18.5% (9.9). • The adjusted operating profit (EBIT) amounted to SEK 344.5 million (77.4), equivalent to an adjusted operating margin of 15.9% (6.1). • Free cash flow amounted to SEK 55 million (-93). The change was attributable to good profitability development as well as the strong growth that took place without the addition of working capital to the same extent. • Earnings per share after dilution over the last 12-month period amounted to SEK 7.03 (full year 2025: 3.16).
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Interim report January–September 2026 3 Interim report January–September 2026 Summary of the period Financial summary July 1–September 30 January 1–September 30 Rolling 12 months Full year All figures are in SEK million unless otherwise indicated 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Net sales 829 540 2,167 1,263 2,950 2,045 Sales growth, % 54 116 72 61 76 70 Of which organic, % 54 36 54 4 44 6 Of which acquisition-driven, % 0 80 18 57 32 64 Gross margin, % 45.4 45.0 46.9 46.2 45.9 45.0 Adjusted operating profit (EBITA) 180.5 84.6 401.7 125.5 552.6 276.3 Adjusted operating margin (EBITA), % 21.8 15.7 18.5 9.9 18.7 13.5 Order intake 2,091 907 3,907 2,189 4,911 3,193 Order backlog 5,654 3,507 5,654 3,507 5,654 3,595 Free cash flow -111.9 -53.1 54.8 -93.1 114.3 -33.5 All amounts are presented in SEK million unless otherwise indicated. Rounding differences in totals may occur. If, when rounded off, an underlying number becomes SEK 0 m, this is written as 0.
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Interim report January–September 2026 4 CEO’s comments Strong growth, record margins and sustained high demand MilDef saw strong development in the third quarter of the year. Net sales, operating profit and margins reached the highest levels to date for an individual quarter. This development shows that our investments in increased capacity are yielding clear results and it also confirms the operational leverage contained in our business model. Net sales increased organically by 54% compared with the previous year. Adjusted operating profit (EBITA) increased by 113% and the adjusted EBITA margin improved to 21.8% (15.7). Earnings per share increased from SEK 0.96 to SEK 2.34 which is equivalent to an increase of 143%. The most important improvement during the quarter was the strong order intake of SEK 2.1 billion (0.9), equivalent to a book-to-bill ratio of 2.5x. This development reflects continued high investment activity among our customers and a growing need for robust digital infrastructure, for both the short and the long term. Thanks to our steadily strengthening delivery capac- ity, we are well positioned to meet the demand. The quarter’s results are further proof of our ability to turn a strong order backlog into profitable growth and long-term shareholder value. Meanwhile it is important to remember that the defense market typically has natural quarter-on-quarter variations in order intake and deliveries. For this reason, the development should be assessed based on a longer time perspective than an individual quarter. Throughout the year our operations have been characterized by a high level of activity and a focus on expanding capacity to deliver on our strong order intake. The third quarter was no ex- ception. The ongoing expansion in Rosersberg will double the production space and strengthen our ability to handle increas- ing volumes, especially under the recently signed framework agreement with the Swedish Defence Materiel Administration. In parallel with this we are continuing to reinforce our organiza- tion to support our future development. Thanks to our long-term investment in high quality, delivery precision and close cooperation with customers, we have been able to sign a seven-year extension of our existing framework agreement with the German armed forces (Bundeswehr). The extension of this framework agreement is proof of the trust one of Europe’s most important defense customers has placed in MilDef – trust that we have built up from many years of success- ful deliveries. The framework agreement covers deliveries of computers, displays and network infrastructure. The agreement has a potential value of up to EUR 527 million, and an initial suborder worth EUR 95.4 million was received immediately fol- lowing the signing of the framework agreement. The previous framework agreement had a potential value of EUR 80 million. There are no guarantees associated with this clear increase in the potential value of the agreement, but it is an obvious sign of the direction and pace of procurement. The integration of roda continues to progress well. During the quarter there was a name change from roda computer GmbH to MilDef GmbH, which strengthens our joint market position and creates a uniform commercial platform for customers and partners. Similar to previous quarters, there continue to be challenges in the supply chains for electronic components – in terms of both lead times and price levels. We are continuing to take proactive measures to secure our delivery capacity. This involves a variety of actions, such as selective inventory build-up, working closely with suppliers to ensure deliveries, and frequent dialogue with customers regarding levels of price absorption. In conclusion, it is fair to say that the quarter confirms that MilDef is a stronger company today than ever before. We have combined a record order backlog with high delivery capacity, improved profitability and an organization that continues to de- velop in line with the needs in the market. The geopolitical forc- es behind defense expenditure are long-term, and demand for robust digital infrastructure continues to increase. The invest- ments we have made, the position we have established among strategically important customers and the market develop- ment we see ahead of us, put us in a good position to continue our journey with sustained growth and solid profitability. We therefore enter the final quarter of the year with a fundamentally positive view of our ability to create long-term value for both customers and shareholders for many years to come. Daniel Ljunggren, President & CEO
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5 Interim report January–September 2026 MilDef’s financial development Order status The columns in the chart show MilDef’s order intake over the last 12 months (LTM) in SEK million. Order intake is the total orders received during the period in question. The columns in the chart show MilDef’s order backlog at the end of each cal- endar quarter in SEK million. Delivery may take place over a number of years. The table presents the development of MilDef’s order backlog in SEK million during the first nine months of 2026, and the size of the components includ- ed, to arrive at the difference in the order backlog as of September 30, 2026 in comparison with January 1, 2026. The pie chart shows future planned deliveries by year in SEK million and is based on MilDef’s order backlog at the end of the period. The diagram above should not be seen as a guideline for 2026 because, in addition to the existing order backlog, additional orders will be invoiced during the year. In addition, the actual outcome may differ significantly from the above planned deliveries, mainly due to postponements. Order intake LTM (SEK m) Order backlog (SEK m) Order backlog by planned deliveries (SEK m) Change in order backlog January–September 2026 (SEK m) Order backlog as of January 1, 2026 3,595 Order intake January–September 2026 3,907 Sales January–September 2026 -2,167 Sales January–September 2026 not impacting order backlog 59 Currency effect in order backlog during the period 260 Order backlog as of September 30, 2026 5,654 Increase of 61% 2026 After 2028 2028 2027 Increase of 66% 1 627 3 507 5 654 0 1 000 2 000 3 000 4 000 5 000 6 000 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2023 2024 2025 2026 3,274 1,088 369 923 1 445 2 962 4 911 0 1 000 2 000 3 000 4 000 5 000 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2023 2024 2025 2026
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6 Interim report January–September 2026 6% 8% 10% 12% 14% 16% 18% 20% Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2023 2024 2025 2026 MilDef’s financial development Net sales The columns above show MilDef’s net sales for the full years 2022–2025 and for January–September for the years 2022–2026. The diagram’s columns show MilDef’s net sales over the last 12 months (LTM) in SEK million. Each column shows MilDef’s operating profit (EBITA) over the last 12 months (LTM) in SEK million, adjusted for non-recurring items. The chart shows MilDef’s operating margin (EBITA) over the last 12 months (LTM) as a percentage, adjusted for non-recurring items. The adjusted EBITA margin is stated as a percentage of net sales. MilDef considers the adjusted EBITA margin to be a useful indicator to measure the Group’s operational efficiency. Net sales (SEK m) Net sales LTM (SEK m) Adjusted operating profit (EBITA) LTM (SEK m) Adjusted operating margin (EBITA) LTM (%) Adjusted operating profit (EBITA) and adjusted operating margin (EBITA) 11.5% 11.7% 18.7% Increase of 72% Increase of 76% Increase of 181% January–September Full year 1 136 1 680 2 950 0 500 1 000 1 500 2 000 2 500 3 000 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2023 2024 2025 2026 130,7 196,5 552,6 0 100 200 300 400 500 600 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2023 2024 2025 2026 0 400 800 1 200 1 600 2 000 2 400 2022 2023 2024 2025 2026 Januari-september Helår
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7 Interim report January–September 2026 Financial overview Profit/loss items and cash flow are compared with the corresponding period the previous year. The balance sheet items refer to the end of the period and are compared with the corresponding date the previous year. Third quarter: July–September 2026 Order status Order intake for the quarter amounted to SEK 2,091 million (907), equivalent to an increase of 130%. MilDef’s order intake has historically been volatile quarter-on quarter, with an underlying positive trend. The good order intake for the quarter was driven by the major orders announced in July. The order backlog grew by 34% in the third quarter. Net sales Net sales increased in the third quarter by 54% compared with the same quarter the previous year and amounted to SEK 829 million (540). Growth in the quarter was exclusively organic. The good growth was evident in all European markets during the quarter, with Germany and Sweden as the strongest con- tributing countries. In terms of the different revenue categories, hardware as well as system and integration solutions saw the highest positive development in the quarter. Gross profit Gross profit amounted to SEK 376 million (243), equivalent to a gross margin of 45.4% (45.0). The Company’s gross profit may vary quarter-on-quarter depending on sales volumes, and the gross margin may vary based on the product and customer mix. The margin was positively impacted by higher growth for system and integration solutions, but was lowered slightly by the percentage of sales of mobile products. Operating expenses Operating expenses amounted to SEK 215 million (175) in the quarter, SEK -4.6 million (0.2) of which consisted of revalua- tion-related currency effects. In the third quarter of 2025 there were non-recurring items that reduced the Company’s operating expenses by SEK 3.4 million net. The increase in operating ex- penses, excluding non-recurring items, was 21%, which consti- tuted 26% (33) of sales. The quarter-on-quarter decrease from the second quarter of 2026 amounted to 15%, excluding currency effects in connec- tion with revaluation. The decrease is primarily related to a seasonal variation in expenses over the summer and the fact that there was a one-off item of SEK 12 million in the second quarter of 2026. Non-recurring items No non-recurring items were reported during the third quarter. Operating profit (EBIT) Operating profit (EBIT) in the third quarter of 2026 amounted to SEK 161.1 million (68.1). This is equivalent to an operating mar- gin of 19.4% (12.6). MilDef’s sales and profits are also affected by volume variations between periods. Adjusted operating profit (EBITA) Adjusted operating profit before amortization and impairment of intangible non-current assets amounted to SEK 180.5 million (84.6), equivalent to an adjusted margin of 21.8% (15.7). Amorti- zation and impairment of intangible non-current assets amount- ed to SEK 19.4 million (19.8), with amortization of acquired in- tangible non-current assets accounting for most of this amount. Financial items Financial items for the quarter amounted SEK -22.7 million (-16.5) net. Increased unrealized exchange losses were the main explanation for the change compared with the comparison quarter. Tax The tax effect for the quarter impacted net profit in the amount of SEK -29.0 million (-6.2). This makes the effective tax rate 21.0% (12.1). Net profit Profit after tax, attributable to the parent company’s sharehold- ers, amounted to SEK 110.1 million (45.4). Earnings per share before dilution amounted to SEK 2.34 (0.96) and earnings per share after dilution SEK 2.34 (0.96). Cash flow Cash flow for the quarter was recognized at SEK -100 million (-81). Free cash flow for the period amounted to SEK -112 million (-53). Cash flow from operating activities amounted to SEK -97 million (-44). The cash flow was negatively impacted by the change in working capital of SEK -228 million (-119). The increased tied-up capital was in part due to the need to guaran- tee deliveries for the fourth quarter and in part to high accounts receivable as a consequence of good sales volumes in the third quarter. Cash flow from investing activities amounted to SEK -15 million (-47). During the third quarter of 2025 the final purchase con- sideration for the roda acquisition was paid. This had a negative impact on cash flow in investing activities of SEK 37.8 million. Cash flow from financing activities amounted to SEK 11 million (10). During the quarter the Group’s existing financing agree-
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8 Interim report January–September 2026 ment was replaced by a new facility, also with SEB. The total bor- rowing headroom within the Group was SEK 509 million at the end of the quarter, which is in line with previous quarters. Also, the Group still has a revolving credit facility of SEK 120 million. At the end of the third quarter of 2026 it was unutilized. First nine months: January–September 2026 Order status The order intake for the first nine months of the year increased by 78% to SEK 3,907 million, compared with the corresponding period the previous year when it was SEK 2,189 million. From March 1, 2026 roda was included as organic growth and was therefore not recognized separately. Both the roda acquisition and the rest of MilDef’s business developed well during the period. The order backlog as of September 30 amounted to SEK 5,654 million (3,507). Net sales In the first nine months net sales increased by 72% compared with the same period the previous year and amounted to SEK 2,167 million (1,263). Organic growth was 54%. Good growth was evident in all geographies during the period, with the mar- kets in Sweden and Germany making the strongest contribution. Among the various income categories, hardware made the main contribution to MilDef’s good sales growth but system and inte- gration solutions also saw good growth during the period. Gross profit Gross profit amounted to SEK 1,017 million (583), equivalent to a gross margin of 46.9% (46.2). The Company’s gross profit may vary across periods depending on sales volumes, and the gross margin may vary based on the product and customer mix. The margin was positively impacted by higher growth for system and integration solutions, but was lowered slightly by the percent- age of sales of mobile products. Operating expenses Operating expenses amounted to SEK 672 million (500), SEK -17 million (-4.9) of which consisted of revaluation-related currency effects. The increase in operating expenses during the period was 34%, and 31% (40) as a percentage of sales. Neutralized for revaluation-related currency effects and non-recurring items in the comparison period, the increase was 31% during the period. The increase in operating expenses was primarily related to personnel costs and was driven by sales growth. Non-recurring items No non-recurring items were reported during the first nine months of the year. Operating profit (EBIT) Operating profit (EBIT) during the period amounted to SEK 344.5 million (82.7). This is equivalent to an operating margin of 15.9% (6.6). MilDef’s sales and profits are also affected by volume variations between periods. Adjusted operating profit (EBITA) Adjusted operating profit before amortization and impairment of intangible non-current assets amounted to SEK 401.7 million (125.5), equivalent to an adjusted margin of 18.5% (9.9). Amorti- zation and impairment of intangible non-current assets amount- ed to SEK 57.3 million (48.1) and is fully in line with amortization according to plan. The increase is mainly attributable to amorti- zation of acquired intangible non-current assets relating to roda. Financial items Net financial expense for the period amounted to SEK -43.6 million (-18.4). Currency revaluation was not as favorable in 2026 as in the first nine months of 2025, which is the main reason for the increased expense. The higher interest expense resulting from the roda acquisition also contributed to the increase for the period. Tax The tax effect for the period impacted net profit in the amount of SEK -61.9 million (-9.8). This makes the effective tax rate 20.6% (15.2). Loss carryforwards from previous years were able to be used in 2025, which resulted in a lower effective tax rate. The loss carryforwards were used up in 2025, which explains the change. Net profit Profit after tax, attributable to the parent company’s sharehold- ers, amounted to SEK 237.9 million (54.5). Earnings per share before dilution was SEK 5.05 (1.17) and earnings per share after dilution SEK 5.05 (1.17). Cash flow Cash flow reported for the period amounted to SEK -56 million (-408). Free cash flow for the period amounted to SEK 55 million (-93). Cash flow from operating activities amounted to SEK 96 million (-76). The cash flow was affected by the change in working capital of SEK -263 million (-202), mainly as a consequence of building up inventory to secure the delivery schedule for future quarters, and due to accounts receivable from the good sales volumes during the third quarter. Cash flow from investing activities amounted to SEK -41 million (-718). The change was mainly due to the acquisition of roda, which had an impact on cash flow from investing activities in 2025. The increase in investments in property, plant and equip- ment was primarily related to additional facilities in Rosersberg and Helsingborg. Financial overview
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9 Interim report January–September 2026 Financial overview Cash flow from financing activities amounted to SEK -111 million (386). During the period the Group’s existing financing agree- ment was replaced with a new facility which was also with SEB. The total borrowing headroom within the Group was SEK 509 million at the end of the period, which is in line with previous quarters. Also, the Group still has a revolving credit facility of SEK 120 million. At the end of the period it was unutilized. Equity The Group’s equity amounted to SEK 1,809 million (1,432) at the end of the period. The equity/assets ratio as of September 30, 2026 was SEK 53% (52). The 2025 Annual General Meeting voted in favor of the Board’s proposal for a performance-based long-term incentive program (LTIP 2025/2028) for MilDef’s Management Team comprising six employees. The total cost of the share-based remuneration amounted to SEK 0.7 million during the period, with an equiva- lent increase reported directly in equity. In addition to this, social security contributions have been expensed at SEK 0.3 million and an equivalent liability for the contributions was the same amount. Net working capital Net working capital amounted to SEK 919 million (653) at the end of the period. Compared with the same date the previous year, net working capital in relation to net sales decreased to 31.2% (38.9). The roda acquisition increased working capital – both in absolute numbers and in relation to net sales. The rest of the Group developed in a positive direction during the period when growth was strong and took place without the addition of working capital to the same extent. The position compared to the previous quarter increased from 25.7% as a consequence of building up inventory to secure the delivery schedule for future quarters, and due to accounts receivable from the good sales volumes during the third quarter. Net debt and cash and cash equivalents The net debt including lease liabilities amounted to SEK 612 million (598) at the end of the period. Cash and cash equiva- lents as of September 30 amounted to SEK 98 million (118). At the end of the period there was an unutilized revolving over- draft facility of SEK 120 million (84). Net debt at the end of the period in relation to adjusted operating profit (EBITDA) over the last 12-month period, excluding the effects of IFRS 16 Leases, amounted to 0.7 (1.9). Calculated including the effects of IFRS 16, the net debt/equity ratio was 1.0 (2.6). SEK m Sept. 30, 2026 Sept. 30, 2025 Dec. 31, 2025 Inventories 885.3 620.2 531.8 Accounts receivable 611.4 327.1 513.9 Other current receivables 209.0 169.6 140.0 Accounts payable -394.0 -216.5 -169.8 Other current liabilities -392.2 -246.8 -328.2 Net working capital 919.4 653.6 687.7 as a percentage of net sales LTM (%) 31.2% 38.9% 33.6% SEK m Sept. 30, 2026 Sept. 30, 2025 Dec. 31, 2025 Other interest-bearing liabilities 508.9 567.5 550.3 Lease liabilities 201.1 148.2 222.5 Cash and cash equivalents -98.1 -118.1 -148.6 Net debt incl. IFRS 16 611.9 597.6 624.3 relative to adjusted operating profit (EBITDA) LTM, times 1.0 2.6 2.0
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10 Interim report January–September 2026 Other information Parent Company The operations of MilDef Group AB (corp. reg. no. 556893- 5414), registered office in Helsingborg, Sweden, are primarily focused on the Group’s strategic development and Group-wide functions such as HR, IT, finance, etc. Most of the funds from the Group’s external financing are held within the Parent Company. As of the end of the period the Company had 72 employees. MilDef Group AB’s share MilDef Group AB (publ) has been listed on NASDAQ Stockholm since June 4, 2021 in the Industrial Goods and Services sector. The share’s ISIN code is SE0016074249. The share is traded under the ticker MILDEF. A trading unit is one (1) share. As of January 1, 2023 the share is being traded on NASDAQ Stock- holm in the Mid Cap Index. Share capital and number of shares The total number of shares as of September 30, 2026 was 47,114,895 (47,114,895) and the share capital was SEK 11,778,723.75 (11,778,723.75). All of the shares are ordinary shares carrying the same voting rights. The shares have a quota value of SEK 0.25. At the end of the period the closing price was SEK 240.50 and the market capitalization was SEK 11,331 mil- lion. The total number of shareholders at the end of the period was 45,474. Repurchased shares Repurchased shares include the acquisition cost of treasury shares held by the Parent Company. As of September 30, 2026 the Group held 20,000 treasury shares (20,000). Repurchase of treasury shares is recognized as a deduction from equity. Proceeds from the divestment of these types of equity instru- ments are recognized as an increase in unrestricted equity. Any transaction costs are recognized directly in equity. Accounting principles MilDef prepares its consolidated accounts in accordance with the International Financial Reporting Standards (IFRS) as adopted by the EU. This interim report was prepared in accor- dance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The Parent Company applies the Swedish Financial Reporting Board’s recommendation RFR 2, Accounting for Legal Entities, and the Annual Accounts Act. The accounting principles applied correspond to the accounting and valuation principles presented in the 2025 Annual and Sustainability Report. This has been available at www.mildef.com since April 15, 2026. MilDef is currently assessing how standard IFRS 18 Presentation and Disclosure in Financial Statements, issued by the IASB, will impact financial reporting. The standard will be applicable for reporting periods that start as of January 1, 2027. Judgements and estimates in the financial statements Preparation of the financial statements in accordance with IFRS requires the Management Team to make judgements and estimates that affect the application of the accounting principles and the carrying amounts of assets, liabilities, revenue and ex- penses. The actual outcomes may deviate from these estimates and judgements. Estimates and assumptions are reviewed on a regular basis. Changes in estimates are reported in the period the change is made if the change has only affected that period, or in the period the change is made and in future periods if the change affects both the current period and future periods. Alternative performance measures MilDef applies the guidelines for alternative performance measures issued by ESMA, the European Securities and Markets Authority. Alterative performance measures are financial metrics that cannot be directly derived or deduced from the financial statements. These financial metrics are intended to facilitate the Management Team’s and investors’ analysis of the Group’s development. Investors should not regard these alternative per- formance measures as substitutes for the financial statements prepared in accordance with IFRS, but rather as complements to the statements. Definitions of the alternative performance measures are presented on page 24. Segments MilDef’s operations are treated as one segment as this reflects the Group’s business, financial monitoring and management structure. MilDef’s CEO, who is the chief operating decision- maker, monitors and analyzes results and financial position for the Group as a whole. The CEO thus also decides on allocation of resources and takes strategic decisions based on consolida- tion as a whole. Based on IFRS 8, the analysis concludes that the MilDef Group consists of only one reporting segment. Volatility between periods MilDef’s sales and profits are affected by quarter-on-quarter volatility. Year-on-year comparisons between quarters can be made. The Group’s strongest quarter in terms of sales and prof- its is normally the fourth quarter. MilDef’s markets are characterized by substantial procurements at irregular intervals. The lead times are often long due to extensive administrative processes and long sales cycles. Both order intake and sales may fluctuate significantly between the quarters. The Company’s development should therefore be eval- uated in a longer perspective and not based on an individual quarter or year. Significant events during the third quarter of 2026 MilDef secured a hardware order worth around SEK 553 million from a European NATO country. The order involves digitalization of the country’s armed forces. Deliveries are expected to take place in 2027. MilDef signed a seven-year extension of a framework agree- ment for deliveries to the German armed forces (Bundeswehr), potentially worth around EUR 527 million, and received a suborder worth around EUR 95.4 million. Deliveries within the framework of the suborder are expected to begin in the latter part of 2026 and continue in 2027.
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11 Interim report January–September 2026 MilDef decided to continue the expansion of its production and office facility in Rosersberg. The facility of around 6,500 sq m, which was opened in 2025, will be expanded by an additional 7,600 sq m with opening planned for the first quarter of 2028. The investment was made to address the growing demand in the defense industry. As part of MilDef’s ongoing integration of roda computer GmbH and Westek Technology Ltd., both companies have formally as- sumed the name MilDef and are now called MilDef GmbH and MilDef UK Ltd. The name change consolidates MilDef’s position as a leading European supplier of tactical IT. Acquisitions and acquisition analysis On the acquisition date a preliminary acquisition analysis is per- formed based on estimates and judgments that are as accurate as possible. This analysis may, however, need to be adjusted at some point in the future. All acquisition analysis is subject to final adjustments no later than twelve months after the acquisi- tion date. Employees The number of employees in the Group, recalculated to full-time equivalents (FTEs), was 575 (460) at the end of the period. 415 (339) of the employees were men and 160 (121) were women. The average number of FTEs during the period was 565, com- pared with 462 in the same period the previous year. Research and development MilDef conducts extensive research and development. This is considered a critical factor for continued organic growth and to penetrate new markets. It is important to quickly identify chang- ing customer requirements and transform them into the best solutions for every given market situation. Around 6% of MilDef’s employees work in R&D-related posi- tions. Further resources were added in 2026 to the R&D depart- ment – both contracted staff and MilDef employees – to handle an increased number of projects, many of which are highly complex. Significant risks and factors of uncertainty MilDef’s operations and profits are affected by a number of external and internal factors. A constant process is under way to identify all of the risks that occur and to assess how to manage each risk. MilDef’s risks can be divided into market-related, operational and financial risk. For a more detailed description of financial risk, see pages 79–81 in the Company’s 2025 Annual and Sustainability Report. No other material financial risks, other than those described there, have been identified. Transactions with related parties No board member or senior executive has or has had any direct or indirect participation in any business transactions with Group companies during the current or previous financial years on terms that are or were unusual in nature. Nor has any Group company provided loans or guarantees to, or entered into any surety agreement for, any of the members of the Board or senior executives. Contingent liabilities There have been no changes in the Group’s contingent liabilities during the period which are described in more detail on page 111 in Note 21 of the 2025 Annual and Sustainability Report. Disputes The Company was not a party in any material dispute as of the end of the period. Annual General Meeting 2026 The Annual General Meeting on May 21, 2026 decided to re-elect board members Björn Karlsson, Charlotte Darth, Carl Mellander, Lennart Pihl and Elisabeth Åbom. Åsa Sundberg and Nicolas Hassbjerr were elected as new members. Björn Karlsson was re-elected as Chair of the Board. At the subsequent statutory board meeting Björn Karlsson (Chair) and Nicolas Hassbjer were elected as members of the Remuneration Committee until the next statutory board meeting. For the same period, Carl Mellander (chair), Charlotte Darth and Åsa Sundberg were elected as members of the Audit Committee. Öhrlings PricewaterhouseCoopers AB with Eric Salander as Auditor-in-Charge was re-elected as the Company’s auditor for a term of one year. Auditors’ fees are payable as invoiced. The AGM voted to approve the Board’s proposed dividend to shareholders of SEK 0.75 per share for the 2025 financial year. In accordance with the Board’s proposal, the AGM voted in favor of a performance-based and cash-based incentive program (LTIP 2026/2029) for MilDef’s Management Team of circa six (6) employees, with a three-year vesting period. LTIP 2026/2029 is performance-based and linked to development of the Compa- ny’s earnings per share (EPS) as well as MilDef’s EcoVadis sus- tainability rating. The maximum cash remuneration is 50% of the participants’ fixed annual cash salary during the vesting period. Payout is also contingent upon the Company’s total return on the share exceeding development on OMX Stockholm Mid Cap Gross Index during the measurement period. Provided that performance goals are met, payout will take place in June 2029 and is contingent upon the participant being employed throughout the vesting period. The participants undertake to reinvest a minimum of 50% of the net amount paid out in shares in MilDef, which must be retained for at least twelve (12) months. With the maximum outcome, the total cost of LTIP 2026/2029 is estimated to be SEK 21 million before tax, including social security contributions and administrative costs. The program is cash-based and will not result in any dilution for existing shareholders. The meeting also authorized the Board of Directors, on one or more occasions in the period up to the next Annual General Meeting, to decide to issue new shares, with or without waiver of shareholders’ preferential rights. The authorization includes the right to decide to issue new shares for payment in kind Other information
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12 Interim report January–September 2026 Other information or by offset or otherwise subject to terms in accordance with the Swedish Companies Act. Further to a decision pursuant to the authorization, the number of shares may be increased by a number equivalent to a maximum of ten (10) per cent of the total number of shares outstanding in the Company at the time the Board first exercises the authorization. The total number of shares comprised by such new issues is to be within the limits on the share capital set out in the Articles of Association. The aim of the authorization, and the reasons for any waiver of shareholders’ preferential rights, is to enable the Company to finance the acquisition of entities or activities, or to strengthen the Company’s capital base and equity/assets ratio. If sharehold- ers’ preferential rights are waived, new share issues pursuant to the authorization must be effected on market terms. The Board of Directors is further authorized, in observance of the above terms, to decide on such other terms as the Board may consider necessary to carry out the share issues. Forward-looking statements This report may contain forward-looking statements based on the Management Team’s current expectations. Even though management considers the expectations expressed in such forward-looking statements to be reasonable, there can be no guarantee that these expectations will prove to be correct. Consequently, future outcomes may vary significantly com- pared with those expressed in the forward-looking statements, depending on factors such as changed conditions in the market for MilDef’s products and more general changes in, for example, the economy, markets and competition, legal requirements and other political measures, and fluctuations in exchange rates. Audit review This interim report has been reviewed by the Company’s audi- tors. Significant events after the end of the period There have been no significant events after the closing day with an impact on financial reporting.
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13 Interim report January–September 2026 July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m Note 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Net sales 1 829.2 539.7 2,167.4 1,262.5 2,950.1 2,045.2 Cost of goods sold -453.1 -296.6 -1,150.5 -679.7 -1,595.9 -1,125.1 Gross profit 376.1 243.1 1,017.0 582.8 1,354.3 920.1 Selling expenses -131.6 -117.5 -411.0 -323.8 -544.9 -457.6 Administrative expenses -39.7 -33.6 -128.7 -99.5 -167.6 -138.4 Research and development expenses -39.2 -27.6 -115.7 -77.2 -150.5 -112.0 Acquisition costs 2 - - - -3.5 - -3.5 Restructuring costs 2, 3 - 3.4 - 8.9 - 8.9 Other operating income/expenses -4.6 0.2 -17.0 -4.9 -15.2 -3.1 Operating profit 161.1 68.1 344.5 82.7 476.1 214.4 Net financial items -22.7 -16.5 -43.6 -18.4 -68.0 -42.8 Profit after financial items 138.4 51.7 300.9 64.3 408.1 171.6 Income tax -29.0 -6.2 -61.9 -9.8 -75.6 -23.6 Profit for the period 109.4 45.4 239.0 54.5 332.5 148.0 Attributable to: MilDef Group AB shareholders 110.1 45.4 237.9 54.5 331.1 147.7 Non-controlling interests -0.7 0.0 1.1 0.0 1.4 0.3 Other comprehensive income for the Group Items that may be reclassified subsequently to profit or loss Translation differences 41.5 -4.3 85.2 -18.8 79.1 -24.9 Other comprehensive income for the period 41.5 -4.3 85.2 -18.8 79.1 -24.9 Comprehensive income for the period 150.9 41.1 324.2 35.7 411.6 123.1 Attributable to: MilDef Group AB shareholders 151.6 41.1 323.1 35.7 410.2 122.8 Non-controlling interests -0.7 0.0 1.1 0.0 1.4 0.3 Condensed consolidated statement of comprehensive income Consolidated financial statements July 1–September 30 January 1–September 30 Rolling 12 months Full year 2026 2025 2026 2025 Oct 2025–Sept 2026 2025 Number of shares at the end of the period 47,114,895 47,114,895 47,114,895 47,114,895 47,114,895 47,114,895 Weighted average number of shares in the period before dilution 47,114,895 47,114,895 47,114,895 46,713,927 47,114,895 46,814,993 Weighted average number of shares in the period after dilution 47,114,895 47,114,895 47,114,895 46,789,477 47,114,895 46,871,500 Earnings per share before dilution (SEK) 2.34 0.96 5.05 1.17 7.03 3.16 Earnings per share after dilution (SEK) 2.34 0.96 5.05 1.17 7.03 3.16 Earnings per share
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14 Interim report January–September 2026 Condensed consolidated balance sheet Consolidated financial statements SEK m Note Sept. 30, 2026 Dec. 31, 2025 Sept. 30, 2025 ASSETS Non-current assets Capitalized product development expenses 5.6 8.4 9.6 Acquisition-related intangible assets 1,262.4 1,263.8 1,304.4 Other intangible non-current assets 0.3 0.7 0.9 Right-of-use assets 186.9 211.6 131.9 Other property, plant and equipment 71.7 43.0 40.2 Deferred tax assets 77.2 41.5 38.9 Other financial non-current assets 1.5 3.4 3.1 Total non-current assets 1,605.6 1,572.5 1,529.0 Inventories 885.3 531.8 620.2 Accounts receivable 611.4 513.9 327.1 Other current receivables 209.0 140.0 169.6 Cash and cash equivalents 98.1 148.6 118.1 Total current assets 1,803.7 1,334.3 1,235.0 TOTAL ASSETS 3,409.3 2,906.8 2,764.0 EQUITY AND LIABILITIES Equity* 1,808.9 1,519.3 1,431.7 Non-current liabilities Lease liabilities 160.0 182.8 115.8 Non-current interest-bearing liabilities 508.9 452.3 474.3 Deferred tax liabilities 93.5 105.0 141.7 Total non-current liabilities 762.4 740.1 731.8 Current liabilities Current interest-bearing liabilities - 98.0 93.1 Lease liabilities 41.1 39.7 32.4 Accounts payable 394.0 169.8 216.5 Other provisions 3 10.7 11.6 11.7 Other current liabilities 392.2 328.2 246.8 Total current liabilities 838.0 647.4 600.5 TOTAL EQUITY AND LIABILITIES 3,409.3 2,906.8 2,764.0 *Equity attributable to MilDef Group AB shareholders amounted to SEK 1,800.2 million (1,431.7) and to non-controlling interests, SEK 8.7 million (0.0).
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15 Interim report January–September 2026 July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Cash flow from operating activities Operating profit 161.1 68.1 344.5 82.7 476.1 214.4 Reversal of depreciation, amortization and impairment 33.1 30.5 96.8 77.8 129.3 110.3 Other non-cash items 3.0 -3.2 17.1 -15.1 44.0 11.8 Net financial items -23.9 -16.5 -44.3 -18.4 -68.7 -42.8 Income taxes paid -41.9 -3.8 -55.7 -1.5 -68.1 -13.9 Change in working capital -228.4 -119.4 -262.7 -202.0 -343.5 -282.8 Cash flow from operating activities -97.0 -44.3 95.7 -76.5 169.2 -3.0 Cash flow from investing activities Investments in intangible non-current assets - -2.0 - -2.0 -0.1 -2.0 Investments in property, plant and equipment -14.9 -6.9 -40.0 -14.7 -53.9 -28.6 Acquisition of subsidiaries, net of acquired cash and cash equivalents - -37.8 - -701.0 - -701.0 Change in other non-current receivables - - -0.9 - -0.9 - Cash flow from investing activities -14.9 -46.6 -40.9 -717.6 -54.8 -731.5 Cash flow from financing activities Dividend - - -35.3 -23.5 -35.3 -23.5 New share issues, net - - - 6.6 - 6.6 Repurchase of treasury shares - -3.8 - -3.8 - -3.8 Change in liabilities to credit institutions 20.2 35.6 -20.8 469.3 -15.9 474.2 Repayment of interest-bearing liabilities - -14.4 -20.0 -43.0 -42.2 -65.1 Repayment of lease liabilities -8.7 -7.0 -35.0 -19.9 -44.0 -28.9 Cash flow from financing activities 11.5 10.4 -111.2 385.8 -137.2 359.7 Total cash flow for the period -100.4 -80.5 -56.4 -408.3 -22.8 -374.8 Change in cash and cash equivalents Cash and cash equivalents at beginning of period 196.3 199.9 148.6 530.4 118.1 530.4 Exchange rate difference in cash and cash equivalents 2.2 -1.3 5.9 -4.0 2.9 -7.0 Cash and cash equivalents at end of period 98.1 118.1 98.1 118.1 98.2 148.6 Condensed consolidated statement of changes in equity Consolidated financial statements SEK m Sept. 30, 2026 Dec. 31, 2025 Sept. 30, 2025 Equity, opening balance 1,519.3 1,101.7 1,101.7 Comprehensive income for the period 324.2 123.1 35.7 New share issues - 321.3 321.3 Repurchase of treasury shares - -3.8 -3.8 Share-based remuneration 0.7 0.5 0.3 Dividend -35.3 -23.5 -23.5 Equity, closing balance* 1,808.8 1,519.3 1,431.7 *Equity attributable to MilDef Group AB shareholders amounted to SEK 1,800.2 million (1,431.7) and to non-controlling interests, SEK 8.7 million (0.0). Condensed consolidated cash flow statement
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16 Interim report January–September 2026 Quarterly overview for the Group Consolidated financial statements 2026 2025 2024 SEK m Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Net sales 829.2 630.4 707.8 782.7 539.7 383.3 339.5 417.5 249.9 Cost of goods sold -453.1 -303.4 -394.0 -445.4 -296.6 -206.9 -176.3 -219.8 -125.0 Gross profit 376.1 327.0 313.9 337.3 243.1 176.5 163.2 197.8 124.9 Operating expenses -215.0 -246.4 -211.1 -205.7 -175.0 -170.6 -154.5 -455.8 -103.1 Operating profit 161.1 80.6 102.8 131.6 68.1 5.9 8.7 -258.0 21.8 Net financial items -22.7 -8.4 -12.6 -24.4 -16.5 10.9 -12.9 -1.7 -0.5 Profit before tax 138.4 72.2 90.2 107.3 51.7 16.8 -4.2 -259.7 21.4 Income tax on profit for the period -29.0 -13.6 -19.3 -13.8 -6.2 -7.6 4.1 10.2 -4.1 Profit for the period 109.4 58.7 70.9 93.5 45.4 9.2 -0.1 -249.5 17.2 2025 2024 2023 2022 2021 Net sales, SEK m 2,045 1,201 1,151 739 470 Gross margin 45.0% 49.0% 48.3% 47.7% 44.7% Adjusted operating margin (EBITA) 13.5% 12.5% 12.2% 6.1% 4.2% Adjusted operating margin (EBIT) 10.2% 9.3% 9.4% 4.0% 1.8% Adjusted profit margin (EBT) 8.1% 8.2% 7.7% 2.6% 1.3% Earnings per share before dilution, SEK 3.16 -5.43 1.73 0.38 -0.03 Earnings per share after dilution, SEK 3.16 -5.43 1.71 0.37 -0.03 Cash and cash equivalents, SEK m 148.6 530.4 81.5 59.9 169.2 Cash flow from operating activities, SEK m -3.0 144.4 54.5 -76.8 -55.5 Total assets, SEK m 2,907 1,684 1,526 1,394 808 Equity, SEK m 1,519 1,102 845 788 568 Equity/assets ratio 52.3% 65.4% 55.4% 56.5% 70.3% Return on capital employed 12.6% -15.7% 10.1% 3.4% 0.0% Return on equity 11.3% -22.6% 8.5% 2.1% -0.2% Equity per share, SEK 32.25 24.17 21.19 19.77 15.61 Dividend per share, SEK 0.75 0.50 0.50 - 0.75 Number of employees at year-end 479 327 309 291 188 Average number of employees 443 319 302 233 154 Multi-year overview for the Group
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17 Interim report January–September 2026 July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Net sales 46.6 33.2 138.0 98.5 198.8 159.3 Selling expenses -12.6 -14.1 -45.2 -36.8 -63.1 -54.7 Administrative expenses -17.5 -12.5 -56,8 -43.3 -76.5 -63.0 Research and development expenses -9.6 -11.3 -32.8 -27.7 -44.3 -39.3 Acquisition costs - - - - - - Restructuring costs - 1.4 - 1.4 0.0 1.4 Other operating income/expenses 0.2 0.4 0.6 -19.8 6.0 -14.3 Operating profit 7.1 -2.8 3.8 -27.6 20.9 -10.5 Net financial items 6.0 26.4 97.0 27.2 93.4 23.7 Profit after financial items 13.1 23.7 100.7 -0.4 114.3 13.1 Year-end appropriations - - - - 84.9 84.9 Profit before tax 13.1 23.7 100.7 -0.4 199.2 98.0 Income tax -2.7 -5.0 -8.4 0.4 -28.4 -19.7 Profit for the period 10.4 18.6 92.3 -0.1 170.8 78.4 Other comprehensive income Profit for the period 10.4 18.6 92.3 -0.1 170.8 78.4 Other comprehensive income Items that may be reclassified subsequently to profit or loss - - - - - - Other comprehensive income for the period - - - - - - Comprehensive income for the period 10.4 18.6 92.3 -0.1 170.8 78.4 Condensed Parent Company income statement Parent Company financial statements
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18 Interim report January–September 2026 Condensed Parent Company balance sheet Parent Company financial statements SEK m Sept. 30, 2026 Dec. 31, 2025 Sept. 30, 2025 ASSETS Non-current assets Property, plant and equipment 10.3 8.0 5.7 Holdings in Group companies 542.6 542.6 542.9 Non-current receivables from Group companies 1,171.8 1,118.7 - Total non-current assets 1,724.7 1,669.3 548.6 Current receivables from Group companies 468.0 437.1 1,494.2 Other current receivables 17.9 24.6 27.9 Cash and cash equivalents 32.3 1.2 1.2 Total current assets 518.2 463.0 1,523.3 TOTAL ASSETS 2,242.8 2,132.3 2,071.9 EQUITY, PROVISIONS AND LIABILITIES Equity 1,421.5 1,376.2 1,297.5 Untaxed reserves 4.7 4.7 3.6 Provisions Charitable contributions 0.6 1.6 1.3 Restructuring reserve - 0.4 1.1 Total provisions 0.6 2.0 2.3 Non-current liabilities Non-current interest-bearing liabilities 508.7 452.2 474.2 Deferred tax liabilities - - - Total non-current liabilities 508.7 452.2 474.2 Current liabilities Current interest-bearing liabilities - 98.0 93.1 Current liabilities to Group companies 240.3 146.0 175.0 Accounts payable 11.9 12.7 8.8 Other current liabilities 55.1 40.5 17.4 Total current liabilities 307.3 297.2 294.2 TOTAL EQUITY, PROVISIONS AND LIABILITIES 2,242.8 2,132.3 2,071.9 SEK m Sept. 30, 2026 Dec. 31, 2025 Sept. 30, 2025 Equity, opening balance 1,376.2 1,003.2 1,003.2 Comprehensive income for the period 80.0 78.4 -0.1 New share issues - 321.3 321.3 Repurchase of treasury shares - -3.8 -3.8 Share-based remuneration 0.7 0.5 0.3 Dividend -35.3 -23.5 -23.5 Equity, closing balance 1,421.5 1,376.2 1,297.5 Condensed Parent Company statement of changes in equity
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19 Interim report January–September 2026 Geographical breakdown July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Sweden 197 121 656 308 928 579 Nordics (excl. Sweden) 163 118 354 252 460 358 Germany 343 161 738 369 977 608 Europe (excl. Nordics & Germany) 94 91 252 166 349 263 North America 18 29 111 91 173 153 Other countries 15 20 57 77 64 84 Total revenue 829 540 2,167 1,263 2,950 2,045 Notes Note 1. Net sales July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Acquisition-related expenses - - - 3.5 - 3.5 Restructuring costs - -3.4 - -8.9 - -8.9 Total - -3.4 - -5.3 - -5.3 Note 2. Non-recurring items July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Charitable contributions 0.6 1.3 0.6 1.3 0.9 1.6 Restructuring costs - 1.0 - 1.0 -0.6 0.4 Warranty expenses 10.2 9.4 10.2 9.4 10.4 9.6 Total 10.7 11.7 10.7 11.7 10.7 11.6 Note 3. Provisions Charitable contributions For many years MilDef has been donating around 1% of its operating profit to charitable causes. As a result of the Group’s strong growth, a ceiling for this provision of SEK 1 million per year was introduced. The causes to which the Group donates span everything from protecting victims of domestic violence to giving hope to people with substance abuse problems, offering a safe and dry place to sleep and get a meal, helping young students to finish school, and giving underserved people the chance to take part in sport. Quite simply, actions that make things a little easier and restore hope to those who have lost hope. Restructuring costs Outstanding provisions as of September 30, 2026 amounted to SEK 0.0 million. Warranty expenses A provision has been made to assess the warranty costs for products that have been sold where warranties were still in effect as of the end of the financial year. The warranties are expected to be adjusted in the upcoming financial year. Revenue categories SEK m Percentages SEK m Percentages SEK m Percentages SEK m Percentages SEK m July 1–Sept 30, 2026 July 1–Sept 30, 2025 Jan 1–Sept 30, 2026 Jan 1–Sept 30, 2025 Hardware sales (specific point in time) 612 74% 442 82% 1,587 73% 956 76% Software sales (specific point in time) 35 4% 43 8% 82 4% 76 6% Sales of system and integration solutions (over time) 183 22% 56 10% 499 23% 232 18% Total 829 100% 540 100% 2,167 100% 1,263 100%
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20 Interim report January–September 2026 Alternative performance measures The Group’s performance measures are detailed below. Some of these are defined in accordance with IFRS. Other than these, the Group has identified certain additional performance measures that provide the Company’s investors and management with supple- mentary information to facilitate the assessment of relevant trends as well as the Company’s performance. Since not all companies calculate financial measures in the same way, these are not always comparable with measures used by other companies. These financial measures are therefore to be seen as supplementing the performance measures defined according to IFRS. July 1–September 30 January 1–September 30 Rolling 12 months Full year SEK m 2026 2025 2026 2025 Oct 2025– Sept 2026 2025 Operating profit (EBIT) 161.1 68.1 344.5 82.7 476.1 214.4 Restructuring costs - -3.4 - -8.9 - -8.9 Acquisition-related expenses - - - 3.5 - 3.5 Adjusted operating profit (EBIT) 161.1 64.7 344.5 77.4 476.1 209.0 Adjusted operating profit (EBIT) 161.1 64.7 344.5 77.4 476.1 209.0 Net sales 829 540 2,167 1,263 2,950 2,045 Adjusted operating margin (EBIT), % 19.4% 12.0% 15.9% 6.1% 16.1% 10.2% Operating profit (EBITA), SEK m Operating profit (EBIT) 161.1 68.1 344.5 82.7 476.1 214.4 Amortization of intangible non-current assets 19.4 19.8 57.3 48.1 76.4 67.3 Operating profit (EBITA) 180.5 88.0 401.7 130.8 552.6 281.7 Adjusted operating profit (EBITA), SEK m Operating profit (EBITA) 180.5 88.0 401.7 130.8 552.6 281.7 Restructuring costs - -3.4 - -8.9 - -8.9 Acquisition-related expenses - - - 3.5 - 3.5 Adjusted operating profit (EBITA) 180.5 84.6 401.7 125.5 552.6 276.3 Adjusted operating profit (EBITA) 180.5 84.6 401.7 125.5 552.6 276.3 Net sales 829 540 2,167 1,263 2,950 2,045 Adjusted operating margin (EBITA), % 21.8% 15.7% 18.5% 9.9% 18.7% 13.5% Operating profit (EBITDA), SEK m Operating profit (EBIT) 161.1 68.1 344.5 82.7 476.1 214.4 Depreciation/amortization 33.1 30.5 96.8 77.8 129.8 110.7 Operating profit (EBITDA) 194.2 98.6 441.3 160.5 605.9 325.1 Adjusted operating profit (EBITDA), SEK m Operating profit (EBITDA) 194.2 98.6 441.3 160.5 605.9 325.1 Restructuring costs - -3.4 - -8.9 - -8.9 Acquisition-related expenses - - - 3.5 - 3.5 Adjusted operating profit (EBITDA) 194.2 95.2 441.3 155.2 605.9 319.8 Adjusted operating profit (EBITDA) 194.2 95.2 441.3 155.2 605.9 319.8 Net sales 829 540 2,167 1,263 2,950 2,045 Adjusted operating margin (EBITDA), % 23.4% 17.6% 20.4% 12.3% 20.5% 15.6%
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21 Interim report January–September 2026 SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Cash and bank balances 98.1 196.3 241.4 148.6 118.1 Unutilized overdraft facility 120.0 120.0 120.0 78.1 84.4 Available cash and cash equivalents 218.1 316.3 361.4 226.7 202.5 Available cash and cash equivalents SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Total current assets excluding cash and bank balances 1,705.7 1,413.9 1,209.0 1,185.7 1,116.8 Cash and bank balances 98.1 196.3 241.4 148.6 118.1 Current liabilities, non-interest-bearing -786.2 -730.7 -587.0 -498.1 -463.3 Working capital including cash and bank balances 1,017.5 879.6 863.5 836.3 771.7 Net sales last 12 months 2,950 2,661 2,414 2,045 1,680 Working capital including cash and bank balances in relation to net sales, % 34.5% 33.1% 35.8% 40.9% 45.9% Working capital including cash and bank balances SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Inventories 885.3 771.9 566.5 531.8 620.2 Current receivables 820.4 642.0 642.6 653.9 496.6 Current liabilities, non-interest-bearing -786.2 -730.7 -587.0 -498.1 -463.3 Working capital excluding cash and bank balances 919.4 683.2 622.2 687.7 653.6 Net sales last 12 months 2,950 2,661 2,414 2,045 1,680 Working capital excluding cash and bank balances in relation to net sales, % 31.2% 25.7% 25.8% 33.6% 38.9% Working capital excluding cash and bank balances SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Profit after financial items, last 12 months 408.1 321.4 266.0 171.6 -195.4 Financial expense, last 12 months* -260.9 -195.3 -115.5 -55.6 -32.3 Of which unrealized exchange rate recalculations -204.9 -137.3 -68.8 -15.9 6.1 Profit before financial expense, last 12 months 669.0 516.7 381.4 227.2 -163.0 Capital employed at beginning of period 2,147 2,106 2,115 1,322 1,117 Capital employed at end of period 2,519 2,350 2,322 2,292 2,147 Average capital employed 2,333 2,228 2,219 1,807 1,632 Return on capital employed, % 28.7% 23.2% 17.2% 12.6% -10.0% Return on capital employed *Includes (from Q1 2026) unrealized exchange rate recalculations previous recognized as other operating expenses.
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22 Interim report January–September 2026 SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Profit after tax, last 12 months 332.5 268.6 219.0 148.0 -195.0 Equity at beginning of period 1,432 1,388 1,408 1,102 852 Equity at end of period 1,809 1,658 1,615 1,519 1,432 Average equity 1,620 1,523 1,511 1,311 1,142 Return on equity, % 20.5% 17.6% 14.5% 11.3% -17.1% Return on equity SEK m Sept. 30, 2026 June 30, 2026 March 31, 2026 Dec. 31, 2025 Sept. 30, 2025 Non-current liabilities, interest-bearing 668.9 595.3 611.1 635.1 590.2 Current liabilities, interest-bearing 41.1 97.4 96.2 137.8 125.5 Cash and bank balances -98.1 -196.3 -241.4 -148.6 -118.1 Net debt incl. IFRS 16 611.9 496.5 465.9 624.3 597.6 Operating profit, last 12 months 476.1 383.2 308.4 214.4 -175.3 Depreciation, amortization and impairment, last 12 months 129.8 127.2 125.9 110.7 93.2 Non-recurring items, last 12 months - -3.4 -3.7 -5.4 315.5 Adjusted EBITDA, last 12 months 605.9 506.9 430.6 319.8 233.4 Net debt/EBITDA, multiple 1.0 1.0 1.1 2.0 2.6 Net debt/EBITDA
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23 Interim report January–September 2026 Board of Directors’ assurance Board of Directors’ assurance The Board of Directors and CEO hereby provide an assurance that this interim report presents fairly the operations, position and results of the Parent Company and the Group, and describes material risks and uncertainties faced by the Parent Company and the other companies included in the Group. Board of Directors MilDef Group AB (publ) Helsingborg, October 22, 2026 Auditor’s report To the Board of directors in MilDef Group AB, corporate identity number 556893-5414 Introduction We have conducted a limited review of the condensed interim financial information (interim report) for MilDef Group AB as of September 30, 2026, and the nine-month period ending on that date. The board of directors and the managing director are responsible for preparing and presenting this 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 limited review. The focus and scope of the limited review We have conducted our limited review in accordance with the International Standard on Review Engagements ISRE 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity.” A limited review consists of making inquiries, primarily of persons responsible for financial and accounting matters, performing analytical procedures, and other review procedures. A limited review has a different focus and a significantly smaller scope compared to the focus and scope of an audit conducted in accordance with ISA and generally accepted auditing standards. The review procedures taken in a limited review do not enable us to obtain the assur- ance that we would become aware of all significant matters that might have been identified in an audit. Therefore, the con- clusion expressed based on a limited review does not have the assurance that a conclusion expressed based on an audit has. Conclusion Based on our limited review, nothing has come to our attention that causes us to believe that the interim report is not, in all ma- terial respects, prepared for the group in accordance with IAS 34 and the Annual Accounts Act and for the parent company in accordance with the Annual Accounts Act. Malmö, October 22, 2026 Öhrlings PricewaterhouseCoopers AB Eric Salander Johan Rönnbäck Authorized Public Accountant Authorized Public Accountant Auditor in charge This is a translation of the Swedish language original. In the event of any differences between this translation and the Swedish language original, the latter shall prevail.
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24 Interim report January–September 2026 Definitions Number of shares outstanding Number of registered shares less repurchased shares, held by the Company. Return on equity Profit after tax attributable to owners of the parent as a percent- age of average equity. Return on capital employed Profit before tax after reversal of financial expense, on a last 12-month basis, expressed as a percentage of average capital employed. EBIT Earnings before interest and taxes according to the income statement. EBITA Operating profit excluding amortization of intangible non-cur- rent assets. EBITDA Earnings before interest, taxes, depreciation and amortization of property, plant and equipment and intangible non-current assets. Free cash flow Cash flow from operating activities and cash flow from investing activities excluding acquisitions and divestments of intangible non-current assets and of property, plant and equipment. Adjusted profit margin (EBT) Earnings after financial items adjusted for non-recurring items in relation to net sales. Non-recurring items Non-recurring items are specific material items that are reported separately because of their size or frequency, e.g. restructuring costs, impairment, divestments and acquisition costs. Net debt Long-term and short-term interest-bearing liabilities less in- come-bearing financial assets. Organic growth Annual growth in net sales excluding acquisition-related net sales, calculated as increase in net sales excluding acquisi- tion-related net sales compared with the previous year, ex- pressed as a percentage. Earnings per share before dilution Profit after tax attributable to owners of the parent as a percent- age of the average number of outstanding shares. Earnings per share after dilution Profit after tax attributable to owners of the parent as a percent- age of average number of outstanding shares plus average number of shares added upon conversion of outstanding con- vertibles and warrants. Working capital Current assets, excluding cash and cash equivalents and current tax assets, minus interest-free current liabilities, excluding cur- rent tax liabilities. Operating margin Operating profit as a percentage of net sales. Equity/assets ratio Equity as a percentage of total assets. Capital employed Average total assets less non-interest-bearing liabilities and provisions.
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Interim report January–September 2026 25 MilDef in brief Brief facts MilDef’s shares are listed on the NASDAQ Stockholm Mid Cap Index. Ticker: MILDEF. • Supplier of tactical IT solutions • Founded in 1997 • Stock exchange listing on June 4, 2021 • Around 580 employees • Key markets: Nordics, Europe and selected NATO nations • Customers: Security and defense • Product portfolio: Hardware, software and services Vision Your number one choice for tactical IT. Mission In an ever-changing and increasingly digitalized world, there is an urgent need for tactical IT systems – systems that are robust, fit for purpose and produce the desired effect. MilDef will provide unique solutions to meet those needs with high quality, speed and accuracy. Business concept MilDef’s business concept is to develop, offer and deliver tactical IT products and services for operations and functions that are critical for society. MilDef customizes solutions to meet the customers’ specific requirements in the demanding environments in which they are used. MilDef’s hardware and software products are combined with services to deliver effec- tive digitalization. MilDef operates in the international security and defense market and within other areas that are critical for society. Financial targets Growth MilDef’s target is to grow sales over time by at least 25% per year, including acquisitions. Profitability MilDef’s target is an operating margin (EBITA) over time of at least 15%. Capital structure MilDef’s target is for interest-bearing net debt not to exceed 2.5 times operating profit (EBITDA), other than temporarily. Dividend policy MilDef’s target is to pay out an annual dividend of 20–40% of profit after tax. MilDef will, however, take long-term develop- ment, capital structure and prevailing market conditions into account. Growth strategies MilDef’s growth strategy is based on three prioritized areas. Organic growth In established markets MilDef is aiming to increase the share of long-term contracts and framework agreements. A long- term presence, strong position and proven delivery capability increase the opportunities to win large contracts in markets that are already established. Acquisitions MilDef has a structured acquisition strategy to support market entry and add complementary technologies to its portfo- lio where the Company’s strong international distribution channels can be reused. Based on implemented acquisitions, MilDef has created a structured model to identify potential acquisition candidates, address and evaluate these and, once the transaction is complete, integrate them. Expanded customer offering MilDef has expanded its customer offering, which in the past was mainly focused on hardware, to also include services and software. Complete solutions for a strong defense and increased safety.
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Interim report January–September 2026 26 Sustainability strategy Our reason to exist is to safeguard society’s sustainable struc- tures. To stand up for freedom and democracy. To make the world a safer place and protect our way of life. We integrate our focus on sustainability into all aspects when taking respon- sibility for a sustainable world. We aim to maintain a good balance between business, envi- ronmental and social sustainability. This is considered crucial in order to meet current needs without jeopardizing the ability of future generations to meet their needs. MilDef complies with mandatory requirements, such as those in laws and regulations, applicable organization and industry standards, contractual obligations and codes of conduct. MilDef strives to maintain a sustainable strategy to ensure that investments are made responsibly. A framework for KYC (know your customer) is used to ensure that the actors MilDef chooses to do business with live up to both regulatory and ethical standards.
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Interim report January–September 2026 27 The presentation will be held in English and will conclude with a Q&A. The meeting will start at 10:00 CEST on October 22, 2026 and will last for about 45 minutes. The report will be made available at www.mildef.com the same morning. Connecting to the meeting Connect to the meeting either by clicking on this Teams link or by calling the relevant telephone number below (audio only). Invitation to a presentation of MilDef’s interim report for January–September 2026 Telephone numbers: +46 8 502 413 79 (Sweden) +47 23 52 52 25 (Norway) +45 32 73 03 21 (Denmark) +358 9 23106849 (Finland) +44 20 3855 6017 (UK) +1 323 486 4735 (USA) Enter conference ID: 506 080 982# This information is the information that MilDef Group AB (publ) is required to publish in accordance with the EU market abuse regulation and the Swedish Securities Market Act. The information is disclosed through the contact person below for publication on October 22, 2026 at 08:00 CEST. Financial calendar Year-End Report 2026 February 4, 2027 Annual Report 2026 April 14, 2027 Interim Report Q1 2027 April 27, 2027 Annual General Meeting 2027 May 18, 2027 Interim Report Q2 2027 July 16, 2027 Interim Report Q3 2027 October 26, 2027 The Company’s financial reports are made available via MFN and on MilDef’s website, www.mildef.com. For further information please contact: Daniel Ljunggren, CEO +46 70 668 00 15 daniel.ljunggren@mildef.com Olof Engvall, Head of IR & Communications +46 735 41 45 73 olof.engvall@mildef.com Viveca Johnsson, CFO +46 704 62 75 05 viveca.johnsson@mildef.com Important information This interim report may contain forward-looking information that reflects MilDef’s current view of future events, as well as financial and oper- ative development. Words such as “intends,” “sees,” “expects,” “may,” “assesses,” “plans,” “considers,” “estimates” and other expressions that convey indications or predictions regarding future development or trends, and that are not based on historical fact, constitute forward-look- ing information. Forward-looking information is by nature associated with both known and unknown risks and factors of uncertainty because it depends on future events and circumstances. Forward-looking information does not offer any guarantee regarding future performance or development, and actual outcomes may differ materially from those expressed in forward-looking information.
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MilDef provides rugged IT solutions, systems integration and services for the defense industry. Our systems are proven in real conditions and built to stand firm in every detail. We safeguard more than equipment, we safeguard the mission itself. mildef.com