Annual report
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Annual Report 2025 Nosa Plugs AB (publ)
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Introduction 1 Financial Targets 5 Reasons to Invest in NOSA 7 About the Company 10 CSR Strategy & Approach 15 Directors’ Report 17 Group Statement of Comprehensive Income 23 Group Balance Sheet 24 Group Statement of Changes in Equity 26 Group Cash Flow Statement 27 Parent Company Income Statement 28 Parent Company Balance Sheet 29 Parent Company Statement of Changes in Equity 31 Parent Company Cash Flow Statement 32 Notes 33 Auditor’s Report 61 Table of Content This English version is a translation of the Swedish annual report of Nosa Plugs AB (publ). In the event of any discrepancies, the Swedish version shall prevail.
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We develop innovative and scientifically proven solutions that enable people remove everyday barriers and enable people to live fully NOSA is a Swedish medical technology company that develops and sells breathing products that improve users’ quality of life. We strive to help people live fully and enjoy their surroundings, rather than being limited by them. VISION Improving quality of life one breath at a time The business is based on a technology platform that enables so-called “slow release” of various types of substances. The technology development began prior to the launch of the company’s first product, the intranasal odor protection “Odor control” in 2016. Since then, the offering has expanded to include products that provide protection against viruses and bacteria “Microbial control”, smell training kits for individuals who want to improve their sense of smell “Smell training”, and the moisturizing nasal spray Nozoil, based on sesame oil, used to hydrate and protect dry and irritated nasal mucosa. Further development of the technology continues, with the objective of creating a future platform for drug delivery. All nasal plugs are patented or patent pending. The company’s products are primarily sold to healthcare providers, including hospitals, ambulance services, police, elderly care, and nursing homes, as well as to consumers through pharmacies. TSEKRevenue Gross Margin Net sales B2B 61% B2C 39% Gross margin 66% 157,9M Market capitalization 2025-12-31 23,9 Net sales M INTRODUCTION MISSION 6 850 10 393 16 097 23 907 70% 67% 70% 66% 50% 60% 70% 80% 90% 100% 0 5 000 10 000 15 000 20 000 25 000 30 000 2022 2023 2024 2025 3 Annual Report 2025
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Highlights INTRODUCTION Financial Development Revenue increased by 49% for the full year 2025 compared to 2024, reaching SEK 23,907 thousand. The gross margin amounted to 66%, and EBITDA for the full year totaled SEK -4,395 thousand, with a positive EBITDA result of SEK 748 thousand in the fourth quarter. At year-end, the Group’s tax loss carryforwards amounted to SEK 151,738 thousand. At year-end, the Group’s tax loss carryforwards amounted to SEK 151,738 thousand. The tax effect of these losses has not been recognized as a deferred tax asset due to previous uncertainty regarding their utilization. As the company is now expected to become profitable, this item will be communicated continuously. On 16 June 2025, Nosa Plugs AB, through its wholly owned subsidiary NoseOption AB, entered into an agreement to acquire all shares in Pharmacure Health Care International AB, owner of the Nozoil brand. The acquisition was carried out in line with the company’s strategy to broaden its offering within nasal products and strengthen its position within the ear, nose, and throat (ENT) segment. Through this transaction, the Group adds an established brand in nasal health with a leading position in all active markets. The purchase price amounted to SEK 25.2 million on a cash- and debt-free basis. The strategic acquisition enables continued rollout beyond the five existing Nozoil markets into an additional 15 NOSA markets, with a focus on Europe. Aquisition Rollout of Nozoil Drug delivery At the beginning of 2025, NOSA started selling Nozoil, a moisturizing nasal spray, to evaluate the product, its market potential, and the company behind it. Demand from pharmacies proved strong, and in March the company launched Nozoil Original and Nozoil Menthol in the German and Swiss pharmacy markets in collaboration with three major existing distributors. This marked a strategic expansion into Central Europe and demonstrated the strength of NOSA’s global distribution network. During the autumn, NOSA further expanded by launching the product in Norway and Iceland, where it has already been well received. By year-end, more than 700 pharmacies had introduced Nozoil, primarily in Germany and Iceland, with continued rollout across Europe expected. During 2025, NOSA made significant progress in the development of the Company’s intranasal drug delivery platform, Drug Delivery. In December, researchers at Lund University published a scientific report demonstrating that NOSA’s intranasal drug delivery platform achieves therapeutic levels of pharmaceuticals in the brain. The study, based on an in vivo model using the Alzheimer’s drug memantine, confirmed pharmacologically relevant brain concentrations and high brain-to-plasma ratios, indicating efficient uptake in brain tissue.The results suggest that the platform enables transport across the blood–brain barrier, one of the most significant challenges in neurological drug development. The publication strengthens the platform’s proof of concept and establishes Drug Delivery as a promising technology for future pharmaceutical applications. Several successful tenders Following a successful launch of Odor control in the Norwegian healthcare market, the product was shortly thereafter procured nationwide in Norway, with rollout commencing in December. The expansion of Odor control into hospital aligns well with the launch of the consumer range in the Norwegian pharmacy market. At the end of the year, Odor control was also procured by the French healthcare region APHM, covering Provence. The tender applies to public healthcare institutions, military hospitals, and certain other entities in the region, including Marseille University Hospital. These procurements represent important milestones that will strengthen the Company’s growth profile for many years to come. 4 Annual Report 2025
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Financial Targets Financial targets, mid-term – 2027–2028 • Growth target – Average organic net sales growth of at least 25 percent per year • Profitability target – EBITDA margin of at least 18 percent • Capital structure – Net debt in relation to EBITDA shall not exceed 3x • Dividend policy – Surplus shall be distributed to shareholders when free cash flow exceeds available investments in profitable growth. Dividend distribution is conditional upon the capital structure target being met • NOSA will continue to evaluate acquisition opportunities within Ear, Nose and Throat (ENT) The Company’s financial targets were announced in June 2025, replacing previously communicated targets. FINANCIAL TARGETS Financial targets, short-term – 2025–2026 • Growth target – Net sales of at least SEK 50 million in 2026 Profitability target – Positive EBITDA from Q4 2025 and an EBITDA margin of at least 15 percent in 2026 5 Annual Report 2025
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© Australian Bureau of Statistics, GeoNames, Geospatial Data Edit, Microsoft, Navinfo, Open Places, OpenStreetMap, Overture Maps Fundation, TomTom, Wikipedia, Zenrin Använder Bing 0,5% 20,5% Serie1 Revenue Distribution ”Heat map” 2025 Rest of the World 1,0% © Australian Bureau of Statistics, GeoNames, Geospatial Data Edit, Microsoft, Navinfo, Open Places, OpenStreetMap, Overture Maps Fundation, TomTom, Wikipedia, Zenrin Använder Bing 0,5% 20,5% Serie1 © Australian Bureau of Statistics, GeoNames, Geospatial Data Edit, Microsoft, Navinfo, Open Places, OpenStreetMap, Overture Maps Fundation, TomTom, Wikipedia, Zenrin Använder Bing 0,5% 20,5% Serie1 © Australian Bureau of Statistics, GeoNames, Geospatial Data Edit, Microsoft, Navinfo, Open Places, OpenStreetMap, Overture Maps Fundation, TomTom, Wikipedia, Zenrin Använder Bing 20,5% 4,0% 3,0% 3,0% 4,5% 3,5% 3,5% 3,5% 1,0% 1,5% 0,5% 2,0% 0,5% 2,0% 0,5% 19,0% 10,0% 10,0% 6,5% FINANCIAL TARGETS 6 Annual Report 2025
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NOSA as Investment NOSA is a world-leading medical technology company within intranasal breathing products. The Company has developed proprietary technology and manufacturing processes that enable the controlled release of substances into inhaled air, thereby facilitating breathing in various situations. REASONS TO INVEST IN NOSA The Company currently sells its products in 20 markets and is experiencing strong growth, with a CAGR exceeding 45% in recent years. The objective is to continue penetrating existing markets while gradually launching in strategically selected new markets, alongside the continued rollout of new products. The Company offers unique, proprietary and patented products in a global market. NOSA currently has a gross margin of 66%. The Company has already completed the most significant CAPEX investments related to production facilities and will now focus on building sales volumes. Increased production volumes will further improve margins. Growing rapidly Strong margins 1 2 Technology platform The Company’s technology platform is based on a proprietary method for integrating sensitive substances into plastic and subsequently enabling their controlled release. This ”know-how”, combined with the Company’s strong patent and trademark portfolio, forms the foundation of its assets and serves as a key driver for future growth. NOSA has progressively increased its focus on building strong clinical evidence demonstrating that the technology is both effective and safe. Clinical studies are becoming increasingly important in order to reach more customers, gain broader professional acceptance, and verify product effectiveness and usage. Combined with expertise in regulatory requirements and approval processes, clinical studies represent a strategic competitive advantage when negotiating and securing new tenders and partnerships. Clinical evidence The market potential is substantial and continuously growing, while the Company’s product portfolio is steadily expanding with new products. The Company estimates that it has penetrated less than 2% of the European healthcare market and less than 3% of the pharmacy market with its current product portfolio. At the same time, significant growth is being observed in larger European markets, creating favorable conditions for continued expansion in both healthcare procurement and pharmacy channels. The North American market has primarily been penetrated in Canada, with larger-scale efforts in the United States expected once the Company’s products receive FDA approvals. NOSA is a profitable growth company with a clear strategy for future expansion. The strategy involves focusing on two therapy areas in strategically selected markets. Sales will increase through deeper penetration in existing markets, combined with expansion into new markets and a broadened product portfolio within Ear, Nose and Throat (ENT). Both in-house product development and acquisitions form part of the long-term growth strategy. Significant market potential Clear growth strategy 3 4 5 6 7Annual Report 2025
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REASONS TO INVEST IN NOSA The Company’s founders, as well as the Board of Directors and management, are major shareholders and maintain a long-term perspective on their ownership. The Board represents broad experience from industry, financial services, entrepreneurship, corporate development, research, and medical fields. The Group management team has extensive tenure within the Company and possesses solid experience across sales, marketing, finance, life science, and medical technology. The Company is profitable and reported its first positive EBITDA result in the fourth quarter of 2025. It has low leverage and is experiencing rapid growth with high gross margins and a proven business model. As the Company is in a strong growth phase, strategic investment opportunities may arise that lead to prioritizing growth over short- term profitability in individual quarters, such as strategic partnerships, acquisitions, or clinical studies. Long-term owners and engaged management Strong financial position 7 8 Unique market position In most of its product areas, NOSA has identified a problem and subsequently developed a solution, in several cases creating entirely new niche markets. This has resulted in a unique position as a market leader across all offered products. The Company delivers significant value to customers and addresses complex user challenges, enabling pricing that reflects its investments while maintaining strong profitability and gross margins. NOSA aims to position itself as a market leader in niches where it has clear competitive advantages, enabling both rapid and profitable growth. The Company pursues an acquisition strategy aimed at strengthening its position as a leader in nasal health. Through acquisitions, the Company can diversify its product portfolio while leveraging its extensive distribution network to efficiently reach global markets. Target companies are expected to be profitable, leading within the ENT segment, and complementary to NOSA’s product portfolio. Significant emphasis is placed on both cost and revenue synergies. NOSA is developing an innovative technology for drug administration via the nasal route. The Company has developed a method for releasing pharmaceuticals in gaseous form through inhalation via the nose. The technology enables controlled and efficient delivery of pharmaceuticals through the Company’s patented nasal plug. The advantages are numerous, including the ability to deliver drugs via the olfactory bulb, thereby bypassing the blood–brain barrier. Such a method enables a direct effect on the central nervous system without first passing through the bloodstream and liver. This delivery method therefore represents an effective alternative to injections, tablets, sprays, and patches. Acquisition strategy Drug delivery 9 10 11 8Annual Report 2025
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The NOSA Share In March 2023, NOSA was listed through a reverse acquisition, whereby NoseOption AB was sold to FRISQ Holding AB (publ) in exchange for shares, after which the Company changed its name to Nosa Plugs AB (publ). Source: Monitor by Modular Finance AB. Compiled and processed data from, among others, Euroclear, Morningstar and the Swedish Financial Supervisory Authority. Verification dates may vary for certain shareholders. Major shareholders Shareholder Shares Ownership % Eiffel Investment Group SAS 16 505 521 6.34 Nordnet Pensionsförsäkring AB 15 164 925 5.83 The OneLife Company S.A. 8 273 258 3.94 Per Arvid Stefan Sjöberg 9 071 881 3.49 Avanza Pension 8 733 550 3.36 Swedbank Försäkring 7 499 479 2.88 Gunneflo Life Science AB 7 209 168 2.77 Dalecarlia Growth Fund 1 AB 6 434 554 2.47 Håkan Sjunnesson 6 057 161 2.33 Almi Invest 5 679 562 2.18 Total 90 629 068 35.59 Total number of shares 260 172 581 REASONS TO INVEST IN NOSA 9 Annual Report 2025
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Protection & Prevention NOSA odor control NOSA microbial control Indication Against unpleasant odors Against viruses and bacteria in inhaled air Customer Healthcare professionals Individuals seeking protection against infection Channel Healthcare distributors, Pharmacies, E-commerce Healthcare distributors, Pharmacies, E-commerce Treatment NOSA smell training NOSA Nozoil Indication Enables recovery of the sense of smell Moisturizing nasal oil Customers Individuals with reduced sense of smell due to viral infection Individuals with dry nasal mucosa Channel Healthcare distributors, E-commerce Pharmacies, E-commerce NOSA is a world-leading medical technology company within intranasal breathing products. The Company has developed proprietary technology and manufacturing processes that facilitate breathing in demanding situations while improving quality of life. Product Portfolio ABOUT THE COMPANY 10 Annual Report 2025
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2025 has been a turbulent year, marked by tariff disruptions and a more uncertain United States. At the same time, we have rolled out our consumer portfolio into four new markets and completed the acquisition of Pharmacure Healthcare International, which has quickly delivered above expectations. The year ended with 49% revenue growth and a gross margin of 66%, which is solid, though not fully in line with our ambitions. One reason for the lower gross margin is that we purchased Nozoil from Pharmacure prior to the acquisition and have since sold it at a lower margin. Adjusted for this temporary effect, the gross margin would instead have reached 71%, which is clearly satisfactory. We have continued to see strong growth in our core portfolio, although we experienced a temporary slowdown during the autumn as we adjusted our cost base to achieve profitability. In simple terms, we reduced marketing activities in the Nordics for a period, which resulted in lower revenues over five months. This trend has now reversed, and we are back at the growth levels we have historically seen in the Nordics. We also continue to see solid growth in Germany and France, driven by new customers and procurement contracts. The US market is also growing, although our own activities there have been limited during 2025. A notable new customer this year is NASA, which has begun purchasing Odor control. We hope to gain insight into whether the products are primarily used in training environments, or perhaps even in active space missions? The strongest development, however, has been on the consumer side. We have more than doubled revenue from the consumer portfolio (excluding acquisitions), driven by launches in new markets as well as increased penetration in our key markets. In addition, Nozoil has performed strongly in markets where we manage sales and marketing ourselves. Our marketing and sales teams have delivered excellent results in a short period, particularly in Germany. We have also restructured our operations in the Canadian market, where we previously had limited presence. Through this, we have strengthened our distribution footprint and have already seen increased sales. During 2025, Drug Delivery experienced a longer delay in launch following the highly positive organ data published in December. Unfortunately, the delay resulted in a loss of approximately five months. We are now working intensively to recover this time. Despite the delay, we can confirm that the Drug Delivery technology is functioning – and performing very well – with blood and brain plasma levels significantly above therapeutic thresholds. This clearly indicates that lower doses can be administered while maintaining efficacy, potentially resulting in fewer side effects. This is something that should be of interest to most pharmaceutical companies. Looking ahead, we remain confident in the financial targets that form the basis of our strategy going forward. Net sales of SEK 50 million and an EBITDA margin of 15% for 2026 are targets that guide all our decisions. We also remain open to strategic acquisitions within leading products and brands in the ENT segment. Overall, I expect 2026 to be at least as eventful as the past year. CEO’s Statement ABOUT THE COMPANY 11 Annual Report 2025
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ABOUT THE COMPANY • Market-leading • Niche-focused • Strong IP • Profitable products • High growth potential • Synergies in sales and distribution channels Long-term value creation Develop & acquire products & brands Strong market position Scalable profitable growth Our Business Model NOSA is a platform company that, through its proprietary technology for incorporating substances into plastic – combined with patented designs for releasing these substances via “slow release” – enables the development of unique products that, in various ways, help people achieve a better quality of life. The business model is based on continuous in-house development of the Company’s technology platform, enabling new innovative products, as well as the acquisition of niche, profitable products and brands. The objective is to generate superior returns by developing and acquiring products and brands that possess, or have the potential to achieve, the following characteristics: Through this approach, we ensure that we remain attractive to both customers and shareholders, both today and in the future. We have a rigorous product development process where we work closely with users and purchasers to ensure that products are developed to solve a real need while meeting clear customer demand. We operate to high standards in accordance with ISO standards and relevant medical device directives to ensure the highest possible quality in our products and offerings. Since 2024, NOSA has been certified in accordance with the medical device standard ISO 13485, which underscores the Company’s commitment to quality and safety. All products are patented or patent pending, supported by strong trademark protection in strategically selected parts of the world. PRODUCTION SALES DISTRIBUTION CUSTOMER R&D Key accounts Distributors B2B B2C Marketing Wholesalers Police Pharmacies Manufacturing Hospitals E-commerce Packaging Ambulance Elderly care Home care 12 Annual Report 2025
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SUSANNA FRANCKE RODAU Board member Board member since 2023 in Nosa Plugs AB (publ). Born: 1979 Education: MSc in Financial Management, Stockholm School of Economics Current assignments: CEO/Managing Partner at Segulah Medical Acceleration. Chairman of the Board of Groschinskys Minnesfond. Shareholding: 220,000 shares in Nosa Plugs. DAN MANGELL Board member Board member since 2023 in Nosa Plugs AB (publ). Born: 1963 Education: Degree in Marketing Economics, Linnaeus University Current assignments: Chairman of the Board of Pond Design AB, Pond Labs AB, LBA Maskin & Handel Aktiebolag and Sthlm HC AB. Board member of Ben L International AB, Styrelseledamot in Nosa Plugs AB, Upptac AB, 360Player AB and Tilla Care Ltd. Shareholding: Indirectly through companies, 4,474,648 shares in Nosa Plugs. JOHAN PROM Board member Board member since 2023 in Nosa Plugs AB (publ). Born: 1972 Education: MSc in Business Administration, Stockholm School of Economics Current assignments: Board member of Kanaan Sellers Group AG, Watersprint AB, Publit Sweden AB, Cactus Holding AB (alternate). Johan Prom is a consultant and investment advisor as well as a board member. Shareholding: Directly and indirectly through companies, 2,253,473 shares in Nosa Plugs. ANDERS HÅKANSSON Board member Board member since 2023 in Nosa Plugs AB (publ). Born: 1958 Education: Registered nurse, Mid Sweden University Current assignments: Board member of Loer AB, Loer Nybro AB, Board member in Stockbo AB, EnCap Development AB, Farmacia Nordic AB, Artemo Holding AB, Mavator AB. Shareholding: Indirectly through companies, 2,405,710 shares in Nosa Plugs. DAN JOSEFSBERG Chairman of the Board Chairman of the Board since 2023 in Nosa Plugs AB (publ). Born: 1973 Education: MScin Business Admin, Lund University Current assignments: Owner and Board member of Endaent Invest AB. Board member of Ludvig Josefsberg AB. Partner at Mimir AB. Shareholding: Indirectly through companies, 291,209 shares in Nosa Plugs. TOMAS LUDVIGSSON Board member Board member since 2023 in Nosa Plugs AB (publ). Born: 1969 Education: Degree in Marketing and Economics, Lund University Current assignments: Partner and Chairman of the Board of Medhouse AB. Owner and Board member of Ludvigsson & Co. Board member of Rippler Communication AB and Jepp & Stolen AB. Shareholding: Indirectly through companies, 636,215 shares in Nosa Plugs. NOSAs styrelse ABOUT THE COMPANY Board of Directors All Board members’ shareholdings are independent in relation to the Company, its executive management, and the Company’s major shareholders. 13 Annual Report 2025
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Executive Management NOSAs ledning KARIN NILSSON Position: CFO Born: 1973 Employed since: 2023 Shareholding: 0 Education: MSc in Business Administration, Lund University Relevant experience: Extensive experience as CFO in listed companies Adrian Liljefors Position: CEO Born: 1989 Employed since: 2015 Shareholding: 5,166,759 Education: Bachelor of Science in Business Administration, Strategic Management, Lund University Relevant experience: Founder and CEO of Studiepoolen, which was acquired by My Academy in 2015. Employed at NOSA since 2015. ABOUT THE COMPANY 14 Annual Report 2025
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CSR Strategy and Approach CSR STRATEGY AND APPROACH NOSA’s CSR strategy is an integrated part of the Company’s overall business model and is based on the ambition to improve people’s quality of life through better nasal health. Sustainability is therefore not a separate initiative, but a natural extension of the Company’s core operations and products, which contribute to improved health, well-being, and dignity in everyday life. The CSR strategy is based on the three central pillars of ESG (Environmental, Social, Governance) and aims to create long-term value for customers, employees, partners, and investors. Social Responsibility The social dimension is at the core of NOSA’s operations. The Company’s products help people manage, for example, odor sensitivity, allergies, and infections, while also supporting healthcare professionals in demanding environments. Beyond the direct societal benefits of its products, NOSA actively works with: • High product quality and patient safety through an ISO 13485-certified quality management system • Employee well-being, development, and engagement • Equality and an inclusive work environment with balanced gender representation • Building a strong corporate culture and increasing employee retention in a growing organization Environmental Responsibility NOSA strives to reduce its environmental impact across the entire value chain. Focus areas: • Reducing climate impact from production and logistics • Developing more sustainable materials and reducing dependence on plastics • Optimizing packaging through an increased share of recyclable materials • Working with local and European suppliers to reduce transport emissions The company identifies both risks and opportunities related to material choices, plastic usage, and regulatory requirements, which drive innovation in more sustainable products and packaging. 15 Annual Report 2025
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CSR STRATEGY AND APPROACH Responsible Corporate Governance Within governance, NOSA works to ensure transparent and responsible management. Key elements include: • A structured quality and management system in accordance with ISO 13485 • Clear policies regarding business ethics and anti-corruption • The Board of Directors’ overall responsibility and follow-up • Progressive integration of ESG matters into strategic and operational decisions The company’s size also provides opportunities – as an agile organization, CSR can be integrated quickly and efficiently into operations. How NOSA works with CSR in practice NOSA has adopted a pragmatic and scalable approach to CSR, adapted to the Company’s size and growth phase. The work is carried out through: • An appointed CSR/ESG responsible who coordinates initiatives • A concrete action plan with clear targets, activities, and KPIs • Regular follow-up within the management team and reporting to the Board of Directors • Continuous development of measurement and reporting of ESG data Examples of ongoing and planned activities include: • Establishment of a clear CSR structure and governance • Implementation of climate mapping (CO₂ baseline) • Reduction of plastic in packaging • Introduction of sustainability requirements in supplier agreements • Development of KPI dashboards for monitoring • Initiatives focused on employee development and retention 16 Annual Report 2025
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Information about the business Nosa Plugs AB is a Swedish medical technology company and a world-leading supplier of intranasal breathing products under the “NOSA” brand. Operations are conducted through the wholly owned subsidiaries NoseOption AB, NoseOption Inc, and Pharmacure Health Care International AB. Nosa Plugs AB (publ) is a medical technology company based in Stockholm, Sweden. The company was founded in 2011, and its operations are built on a technology platform that enables so-called “slow release” of various types of substances. The platform is based on a medical-grade plastic which, through design and the addition of selected substances, is given specific properties. Initially, the technology was used for products that eliminate unpleasant odors (odor control). The offering has since been expanded to include products that provide protection against viruses and bacteria (microbial control), as well as treatment for individuals with a reduced sense of smell (smell training). In 2025, Nosa Plugs AB acquired the company Pharmacure Health Care International AB and thereby added the product Nozoil—a natural nasal oil based on sesame oil that moisturizes dry and irritated nasal mucous membranes. Product portfolio The current product portfolio consists of five product categories: nasal protection against unpleasant odors, nasal products that reduce exposure to viruses and bacteria in the nasal mucosa, nasal filters that protect against harmful particles such as pollen and other airborne allergens, as well as smell training kits for individuals with reduced sense of smell, and Nozoil, a moisturizing nasal spray for individuals with dry or irritated nasal mucosa. During 2025, the Company has also further developed its product line through an extension in the form of nasal plugs for drug delivery (“Drug Delivery”), for which proof of concept has been achieved. The products build on the Company’s “slow release” technology and are now ready for licensing to pharmaceutical companies. Odor control - nasal protection against unpleasant odors Odor control is a discreet nasal plug used in environments with unpleasant odors. The menthol oil integrated into the product’s lamellar structure releases a scent that stimulates the olfactory receptors in the nose without otherwise affecting breathing capacity. The product also blocks other odors, thereby contributing to a significantly improved working environment for individuals operating in odor-intensive environments. Odor control can be used for up to 8 hours and is disposed of after use. The product is free from allergens and has undergone toxicological testing. It is not classified as a medical device or protective equipment and therefore cannot be CE-marked. Smell training – olfactory training for individuals with reduced sense of smell Smell training is a medical treatment for individuals with reduced sense of smell. The product consists of a kit containing 10 different scented nasal plugs, which the user inserts into the nose and inhales through four times per day according to a structured Directors’ Report The Board of Directors and the Chief Executive Officer of Nosa Plugs AB (publ), company registration number 556959-2867, hereby submit the annual report and consolidated financial statements for the financial year 1 January 2025 – 31 December 2025. The Company has its registered office in Stockholm. The financial statements are presented in Swedish kronor (SEK). FÖRVALTNINGSBERÄTTELSE 17 Annual Report 2025
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schedule. The treatment duration is two months, which is shorter than previous treatment methods. As a complement to smell training, an application is also available that guides the user in how to perform the training as effectively as possible. The application also enables synchronization with a calendar in order to receive notifications and feedback. The product has been developed in collaboration with leading researchers in olfaction and perception. In June 2024, results from a clinical study conducted at Karolinska Institutet, in collaboration with Lund University Hospital and Monell Chemical Senses Center in the USA, were published. The study demonstrates that Smell training is a more effective treatment method than current recommended treatments for olfactory loss (hyposmia). Smell training is classified as a medical device, Class I, in Europe. The product has undergone clinical evaluation as well as external laboratory testing and is also registered for sale in the United Kingdom. Microbial control – reduces exposure to viruses and bacteria in inhaled air For a virus to enter the body and spread, it must first enter a cell. Different viruses use different pathways to enter cells, but common entry routes include the mucous membranes of the mouth or nose. For example, the coronavirus primarily infects via the nasal mucosa, which highlights the importance of protecting the nose. Microbial control inactivates viruses and kills bacteria upon contact with the product, thereby reducing exposure to the nasal mucosa. The patented product design enables use together with a face mask. This is made possible through a unique incorporation of ceramic-encapsulated silver ions, which are an integrated part of the lamellar structure. The product does not release any silver ions. Microbial control is easy to breathe through, discreet, and comfortable to wear. The product has been tested in external laboratories against most common cold viruses, including coronavirus, rhinovirus, norovirus, and adenovirus. Bacterial strains shown to be eliminated include Staphylococcus/MRSA, pneumococci, and E. coli. All virus and bacteria tests have been conducted in external laboratories. NOSA Microbial Control is classified as a medical device, Class I. NOSA Nozoil Nozoil is one of the world’s most widely used moisturizing nasal sprays for individuals with dry or irritated nasal mucosa. The product contains sesame oil, which helps to lubricate and protect the nasal passages against dryness caused, for example, by colds, dry air, or the use of other nasal sprays with decongestant effects. NOSA has launched NOSA Nozoil in two variants: NOSA Nozoil Original and NOSA Nozoil Menthol. Nozoil is classified as a medical device, Class I, in Europe. DIRECTORS’ REPORT 18 Annual Report 2025
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Significant events during the financial year • On 16 June 2025, Nosa Plugs AB announced that its wholly owned subsidiary NoseOption AB had entered into an agreement to acquire all shares in Pharmacure Health Care International AB, with its main product Nozoil. The Company acceded to Pharmacure on 8 September after all conditions for completion had been fulfilled and, in connection therewith, paid 47.5% of the total preliminary purchase price of approximately MSEK 25. The Board of Directors of Nosa Plugs, based on the authorization from the Annual General Meeting on 9 May 2025, resolved on a directed share issue of 563,142 shares to the seller of Pharmacure as part of the purchase consideration. The seller of Pharmacure has thereby subscribed for and been allotted 563,142 newly issued shares in Nosa Plugs AB. All of the seller’s shares in Nosa Plugs AB are subject to a “lock-up” period of 12 months from the transaction date. • NOSA Smell Training shows long-term improvement in patients’ quality of life in a clinical study conducted by Karolinska Institutet and Lund University. • NOSA reported positive results from an in vivo study conducted for its intranasal drug delivery platform, Drug Delivery. • NOSA presented financial targets, including net sales of at least MSEK 50 in 2026. • NOSA launched on the French pharmacy market together with France’s largest Pharmacy wholesaler. Future development The Company’s growth is expected to continue in the coming years, driven by several strategic initiatives. A key factor is increased penetration in existing markets, where the Company sees continued strong demand and significant potential to reach new customer segments through deepened collaboration with resellers and distributors. At the same time, efforts to expand internationally are intensifying, where new geographical markets are successively being entered, strengthening the Company’s global presence. In addition to organic growth, the Company is also evaluating opportunities for strategic acquisitions that can complement the product portfolio, broaden distribution channels and further accelerate growth. In parallel, investments in product development continue, where the launch of new and innovative products is expected to contribute to increased sales and enhanced competitiveness. Overall, the Company believes that these initiatives create favorable conditions for continued profitable growth and a strong position in both existing and new markets going forward. DIRECTORS’ REPORT 19 Annual Report 2025
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Group, TSEK 2025 2024 2023 2022 Net sales 23 907 16 097 10 393 6 850 Operating profit* -8 309 -10 320 -46 541 -13 835 Operating profit before depreciation (EBITDA)* -4 395 -8 440 -45 056 -7 451 Profit (loss) before tax* -8 210 -10 122 -46 554 -14 136 Earnings per share before/after dilution -0,03 -0,05 -0,29 -0,16 Gross margin 66% 70% 67% 70% Total assets 64 714 20 695 33 079 10 526 Equity ratio 63% 80% 81% 64% Parent company, TSEK 2025 2024 2023 2022 2021 Net sales 600 600 500 3 149 5 854 Operating profit -1 685 -1 548 -6 550 -7 289 -6 460 Total assets 104 587 83 617 96 130 21 667 40 085 Equity ratio 100% 99% 98% 85% 98% Definitions of key figures are provided in Note 45. *The result for the period January–December 2023 includes a non-recurring item amounting to TSEK 32,404, which relates to an accounting adjustment for the stock exchange listing. This is recognized in accordance with the rules for reverse acquisitions as an item in operating profit. The non-recurring item has no cash flow impact. MULTI-YEAR OVERVIEW DIRECTORS’ REPORT 20 Annual Report 2025
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Development of the Group’s results Net sales amounted to TSEK 23,907 (16,097), representing an increase of 49% compared with the previous year, attributable to increased organic growth and the acquisition of Pharmacure Health Care International AB. Since the large-scale market launch of NOSA Plugs began in 2017, sales have increased continuously. The only exception was 2021, when sales declined due to the pandemic and reduced demand in healthcare and public environments globally. Cost of goods sold amounted to TSEK -8,168 (-4,899), resulting in a gross margin of 66% (70%). The lower gross margin is attributable to Pharmacure having been a purchasing customer in the past compared with NoseOption, which has its own production with higher margins. The gross margin for NoseOption is in line with previous years. Other external expenses amounted to TSEK -13,621 (-12,961). Costs increased both as a result of acquisition-related expenses related to Pharmacure, amounting to TSEK 603, and continued product development of Drug Delivery. Investments recognized as costs during the year amounted to TSEK 822 (1,606). Personnel expenses amounted to TSEK -6,237 (-6,706). The average number of employees during the year was 5 (7). The change in personnel costs is attributable to changes in the personnel structure. At year-end, the number of employees amounted to 5 (7). Depreciation and amortisation of tangible and intangible assets amounted to TSEK -3,914 (-1,880). The increase compared with the previous year is attributable partly to investments in production equipment and application development, and partly to amortisation of the excess value arising from the acquisition of Pharmacure in September. Operating profit amounted to TSEK -8,309 (-10,320). The improved operating result, despite being burdened by acquisition- related costs, is attributable to increased sales in combination with a stable cost base. The Company is continuously working on efficiency improvements and cost savings in order to improve operating profit in the coming years. Financial items amounted to TSEK 99 (198) and consist mainly of interest income, interest expenses related to loans from credit institutions, interest expenses related to lease liabilities, and exchange rate differences. Tax for the period amounted to TSEK 169 (-36) and consists of corporate tax in the US subsidiary as well as deferred tax related to trademarks arising from the acquisition of Pharmacure. Tax loss carryforwards in the Group amounted to TSEK 151,738 at the balance sheet date. The tax effect of these losses has not been recognized as a deferred tax asset, as there is uncertainty regarding when they will be utilized. Profit for the year amounted to TSEK -8,041 (-10,158) and earnings per share amounted to -0.03 (-0.05). Liquidity and financing At year-end, total assets amounted to TSEK 64,714 compared with TSEK 20,695 at the previous year-end. The increase is mainly attributable to the share issue carried out in the second quarter and the acquisition of the subsidiary Pharmacure during the third quarter. Cash and cash equivalents amounted to TSEK 17,298 compared with TSEK 4,314 at the previous year-end. Liabilities to credit institutions amounted to TSEK 0 compared with TSEK 337 at the previous year-end. Cash flow for the year was positively affected by the share issue carried out in the second quarter, which contributed approximately MSEK 32.4 net after issue costs, and negatively affected by the acquisition carried out in the third quarter, amounting to approximately MSEK 11.4. Cash flow from operating activities amounted to TSEK -6,395 (-10,075). The negative cash flow is due to continued focus on product development and commercialization. However, operating cash flow has improved significantly compared with the comparative period, with the acquisition of Pharmacure being a contributing factor. Cash flow from investing activities amounted to TSEK -12,398 (-4,686) and relates to investments in application development. Investing activities were significantly impacted by the acquisition of Pharmacure in September, where acquisition liquidity amounted to TSEK 11,554. Cash flow from financing activities amounted to TSEK 31,965 (17,830). The positive cash flow from financing activities is attributable to the capital raising carried out in the second quarter. The item also includes amortisation of liabilities to credit institutions and lease liabilities. Significant events after the end of the financial year Launch of Nozoil in Austria NOSA launched Nozoil on the Austrian pharmacy market during the period in collaboration with the pharmaceutical DIRECTORS’ REPORT 21 Annual Report 2025
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wholesaler PHOENIX. Austria. The launch means that the product is distributed via approximately 1,400 pharmacies in the country, both through physical pharmacies and online. The collaboration is part of the Company’s strategy to expand the distribution of Nozoil in the European market. Distribution of Odor control in Sweden NOSA entered into a distribution agreement with Abena Sweden regarding the product NOSA Odor Control. Through the collaboration, the product becomes available for sale in the Swedish market via Abena’s established distribution channels, including healthcare, elderly care, and other organizations. The collaboration represents an expansion of the existing partnership between the companies, which already includes Denmark and France. Scientific study on the Drug Delivery platform Researchers at Lund University published a scientific study demonstrating that NOSA’s intranasal drug delivery platform, Drug Delivery, can achieve therapeutic levels of pharmaceuticals in the brain. The results strengthen the proof of concept for the technology and indicate that the platform may enable effective drug administration by potentially bypassing the blood–brain barrier. The Company intends to continue working on the commercialization of the technology through collaborations with pharmaceutical companies.. Significant risks and uncertainties A number of factors may affect Nosa Plugs’ results and operations. Many of these are managed through internal processes, while others are influenced by external factors. Risks and uncertainties related to Nosa include, among others, dependence on distribution and suppliers, incomplete patent protection for newly developed products, supply of raw materials, key personnel, employees, economic cycles, exchange rate fluctuations, financing, and future capital requirements. The Group’s management and Board of Directors actively work to minimize these risks. Uncertainty in the external environment, such as geopolitical tensions, changes in trade conditions, and macroeconomic uncertainty, may result in delivery disruptions, cost increases, shortages of raw materials and components, as well as increased financing costs due to higher interest rates. The Company may also be affected by changes in international trade regulations, such as the introduction or increase of tariffs, trade barriers, or other regulatory measures between markets. Such changes may lead to increased purchasing or distribution costs and, in certain cases, impact the Company’s margins or competitiveness in specific markets. However, the Board of Directors’ assessment is that the material uncertainties described above are not of such a nature or magnitude that the Company’s ability to continue its operations would be affected in the foreseeable future. The Company’s ability to meet future liquidity needs is primarily dependent on continued sales growth and profitability. There is no guarantee that the Company will be able to secure necessary liquidity or additional capital on favorable terms if needed. However, the Board of Directors assesses that the Company has sufficient liquidity to finance operations during the coming twelve-month period. Ownership structure There are no shareholders who own more than 10% of the shares in the Company. The following funds (SEK) are available to the Annual General Meeting: Share premium reserve 626 288 613 Retained loss -523 554 405 Loss for the year -11 529 403 91 204 805 The Board of Directors proposes the balance to be carried forward 91 204 805 PROPOSED APPROPRIATION OF EARNINGS With regard to the Parent Company’s and the Group’s results and financial position in general, reference is made to the following income statements and balance sheets, statements of changes in equity, cash flow statements, and notes. All amounts are expressed in thousands of Swedish kronor (TSEK) unless otherwise stated. 22 Annual Report 2025
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TSEK Note 2025 2024 Operating income Net sales 5 23 907 16 097 Other operating income 7 215 29 Total operating income 24 122 16 126 Operating expenses Cost of goods sold -8 168 -4 899 Other external expenses 8, 9 -13 621 -12 961 Personnel expenses 10 -6 237 -6 706 Depreciation and amortisation of tangible and intangible assets 11 -3 914 -1 880 Other operating expenses 12 -491 0 Total operating expenses -32 431 -26 446 Operating profit -8 309 -10 320 Financial income and expenses Interest income and similar items 14 147 279 Interest expenses and similar items 14 -48 -81 Net financial items 99 198 Profit before tax -8 210 -10 122 Tax on profit for the year 15 169 -36 Profit for the year -8 041 -10 158 Other comprehensive income Items that may be reclassified to profit or loss: Exchange differences on translation of foreign operations -101 6 Other comprehensive income for the year, net of tax -101 6 Total comprehensive income for the year -8 142 -10 152 Earnings per share before/after dilution (SEK) 28 -0,03 -0,05 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Profit for the year is entirely attributable to the Parent Company’s shareholders. CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 23 Annual Report 2025
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CONSOLIDATED BALANCE SHEET TSEK Note 2025-12-31 2024-12-31 ASSETS Non-current assets Capitalised development costs and similar work 16 675 729 Concessions, patents, licences, trademarks and similar rights 17 22 415 663 Goodwill 18 9 303 0 Leasehold improvements 19 195 262 Machinery and other technical equipment 20 3 364 4 590 Fixtures, tools and installations 21 679 986 Right-of-use assets 22 216 601 Other long-term receivables 24 200 200 Total non-current assets 37 047 8 031 Current assets Finished goods and goods for resale 4 804 4 135 Trade receivables 25 4 189 2 273 Other current receivables 803 1 474 Current tax receivables 52 25 Prepaid expenses and accrued income 26 521 443 Cash and cash equivalents 27 17 298 4 314 Total current assets 27 667 12 664 TOTAL ASSETS 64 714 20 695 CONSOLIDATED BALANCE SHEET 24 Annual Report 2025
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CONSOLIDATED BALANCE SHEET TSEK Note 2025-12-31 2024-12-31 EQUITY AND LIABILITIES Equity Share capital 29 13 009 10 509 Other contributed capital 31 139 724 109 575 Translation reserve -126 -25 Retained earnings (including profit for the year) -111 544 -103 503 Total equity attributable to Parent Company shareholders 41 063 16 556 Non-current liabilities Deferred tax liabilities 33 4 505 0 Lease liabilities 34 0 229 Other non-current liabilities 35 5 660 0 Total non-current liabilities 10 165 229 Current liabilities Liabilities to credit institutions 36 0 333 Bank overdraft facility 37 485 0 Lease liabilities 34 231 444 Trade payables 1 612 2 024 Other current liabilities 35 7 917 276 Accrued expenses and deferred income 38 3 241 833 Total current liabilities 13 486 3 910 TOTAL EQUITY AND LIABILITIES 64 714 20 695 CONSOLIDATED BALANCE SHEET 25 Annual Report 2025
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY TSEK Share capital Ongoing issue Other contributed capital Translation- reserve Retained earnings incl. profit for the year Total equity Opening balance 1 January 2024 10 421 17 529 92 176 -31 -93 345 26 750 Total comprehensive income Profit for the year -10 158 -10 158 Other comprehensive income Translation differences 6 6 Total comprehensive income 6 -10 158 -10 152 Transactions with shareholders Share options, premiums received 117 117 New share issue 88 -17 529 17 441 0 Issue costs -159 -159 Total transactions with shareholders 88 -17 529 17 399 0 0 -42 Closing balance 31 December 2024 10 509 0 109 575 -25 -103 503 16 556 Opening balance 1 January 2025 10 509 0 109 575 -25 -103 503 16 556 Total comprehensive income Profit for the year -8 041 -8 041 Other comprehensive income Translation differences -101 -101 Total comprehensive income -101 -8 041 -8 142 Transactions with shareholders New share issue 2 472 32 128 34 600 Set-off issue 28 366 394 Issue related to exercise of warrants 41 41 Issue costs -2 386 -2 386 Total transactions with shareholders 2 500 0 30 149 0 0 32 649 Closing balance 31 December 2025 13 009 0 139 724 -126 -111 544 41 063 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 26 Annual Report 2025
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CONSOLIDATED STATEMENT OF CASH FLOWS TSEK Note 2025 2024 Operating activities Operating profit -8 309 -10 320 Adjustments for items not included in cash flow 39 4 001 1 826 Interest received etc 14 147 279 Interest paid etc 14 -48 -81 Income tax paid -104 0 Cash flow from operating activities before changes in working capital -4 313 -8 296 Cash flow from changes in working capital Increase/decrease in inventories -669 -1 513 Increase/decrease in current receivables 1 906 -174 Increase/decrease in current liabilities -3 319 -92 Cash flow from operating activities -6 395 -10 075 Investing activities Capitalised development costs and similar work 16 -194 -162 Acquisition of machinery and other technical equipment 20 0 -3 801 Acquisition of fixtures, tools and installations 21 0 -823 Deposits paid 24 0 100 Acquisition of subsidiaries 40 -12 204 0 Cash flow from investing activities -12 398 -4 686 Financing activities Repayment of loans from credit institutions 41 -333 -505 Repayment of lease liabilities 41 -442 -366 Change in bank overdraft facility 41 485 0 New share issue, net of transaction costs 32 214 18 646 Share options 41 55 Cash flow from financing activities 31 965 17 830 Cash flow for the year 13 172 3 069 Cash and cash equivalents at the beginning of the year 4 314 1 185 Exchange rate differences in cash and cash equivalent -188 60 Cash and cash equivalents at the end of the year 27 17 298 4 314 CONSOLIDATED STATEMENT OF CASH FLOWS 27 Annual Report 2025
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PARENT COMPANY INCOME STATEMENT TSEK Note 2025 2024 Operating income Net sales 5, 6 600 600 Total operating income 600 600 Operating expenses Other external expenses 9 -2 127 -1 990 Personnel expenses 10 -158 -158 Total operating expenses -2 285 -2 148 Operating profit -1 685 -1 548 Financial income and expenses Income from shares in Group companies 13 -10 000 -10 000 Interest income and similar items 14 156 277 Net financial items -9 844 -9 723 Profit before tax -11 529 -11 271 Tax on profit for the year 15 0 0 Profit for the year -11 529 -11 271 In the Parent Company, there are no items recognized in other comprehensive income; accordingly, total comprehensive income corresponds to profit (loss) for the year. Total comprehensive income corresponds to profit (loss) for the year. PARENT COMPANY INCOME STATEMENT 28 Annual Report 2025
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PARENT COMPANY BALANCE SHEET TSEK Note 2025-12-31 2024-12-31 ASSETS Non-current assets Financial non-current assets Investments in Group companies 23 75 247 75 247 Total financial non-current assets 75 247 75 247 Total non-current assets 75 247 75 247 Current assets Current receivables Receivables from Group companies 16 569 5 300 Other current receivables 36 181 Prepaid expenses and accrued income 26 77 93 Total current receivable 16 682 5 574 Cash and bank Cash and bank 27 12 658 2 796 Total cash and bank 12 658 2 796 Total current assets 29 340 8 370 TOTAL ASSETS 104 587 83 617 PARENT COMPANY BALANCE SHEET 29 Annual Report 2025
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TSEK Note 2025-12-31 2024-12-31 EQUITY AND LIABILITIES Equity Restricted equity Share capital 29 13 009 10 509 Total restricted equity 13 009 10 509 Non-restricted equity 32 Share premium reserve 626 288 596 180 Retained earnings -523 554 -512 324 Årets resultat -11 529 -11 271 Profit for the year 91 205 72 585 Total non-restricted equity 104 214 83 094 Current liabilities Trade payables 198 348 Accrued expenses and deferred income 38 175 175 Total current liabilities 373 523 TOTAL EQUITY AND LIABILITIES 104 587 83 617 PARENT COMPANY BALANCE SHEET PARENT COMPANY BALANCE SHEET 30 Annual Report 2025
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PARENT COMPANY STATEMENT OF CHANGES IN EQUITY Restricted equity Non-restricted equity TSEK Share capital Ongoing share issue Share premium reserve Retained earnings incl. profit for the year Total equity Opening balance 1 January 2024 10 421 17 529 578 833 -512 379 94 404 Total comprehensive income Profit for the year -11 271 -11 271 Total comprehensive income -11 271 -11 271 Transactions with shareholders New share issue 88 -17 529 17 441 0 Share options, premiums received 117 117 Issue costs -94 -62 -156 Total transactions with shareholders 88 -17 529 17 347 55 -39 Closing balance 31 December 2024 10 509 0 596 180 -523 595 83 094 Opening balance 1 January 2025 10 509 0 596 180 -523 595 83 094 Total comprehensive income Profit for the year -11 529 -11 529 Total comprehensive income -11 529 -11 529 Transactions with shareholders New share issue 2 472 32 128 34 600 Share options, premiums received 28 366 394 Warrants, premiums received 41 41 Issue costs / warrant costs -2 386 -2 386 Total transactions with shareholders 2 500 0 30 108 41 32 649 Closing balance 31 December 2025 13 009 0 626 288 -535 083 104 214 PARENT COMPANY STATEMENT OF CHANGES IN EQUITY 31 Annual Report 202
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PARENT COMPANY STATEMENT OF CASH FLOWS TSEK Note 2025 2024 Operating activities Operating profit -1 685 -1 548 Interest received etc. 14 156 277 Income tax paid 0 0 Cash flow from operating activities before changes in working capital -1 529 -1 271 Cash flow from changes in working capital Increase/decrease in current receivables 98 79 Increase/decrease in current liabilities -150 133 Cash flow from operating activities -1 581 -1 059 Investing activities Loans granted to Group companies -21 206 -15 300 Cash flow from investing activities -21 206 -15 300 Financing activities New share issue, net of transaction costs 32 608 18 649 Warrants (premiums received) 41 55 Cash flow from financing activities 32 649 18 704 Cash flow for the year 9 862 2 345 Cash and cash equivalents at the beginning of the year 2 796 451 Cash and cash equivalents at the end of the year 27 12 658 2 796 PARENT COMPANY STATEMENT OF CASH FLOWS 32 Annual Report 2025
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This Annual Report and Consolidated Financial Statements comprise the Swedish parent company Nosa Plugs AB (publ) and its wholly owned subsidiaries NoseOption AB, Pharmacure Health Care International AB and the subsidiary of Pharmacure, NoseOption Inc (USA). Nosa Plugs AB (publ), reg. no. 556959-2867, was registered on 22 January 2014. The Company is a public limited liability company and is governed by the Swedish Companies Act (2005:551). The Company’s registered office is in Stockholm Municipality. The Company’s shares are listed on Nasdaq First North Growth Market under the ticker symbol Nosa. In this report, Nosa Plugs AB (publ) is referred to either by its full name or as the Parent Company, and Nosa Plugs Group is referred to as Nosa or the Group. All amounts are expressed in TSEK unless otherwise stated. Amounts in parentheses refer to the previous year. The Board of Directors approved these Annual and Consolidated Financial Statements on 7 April 2026. They will be submitted for adoption at the Annual General Meeting on 8 May 2026. Basis of preparation of the Parent Company and the Group’s financial statements The most significant accounting principles applied in the preparation of these consolidated financial statements are set out below. These principles have been consistently applied for all periods presented, unless otherwise stated. The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the International Accounting Standards Board (IASB) and interpretations issued by the IFRS Interpretations Committee (IFRS IC), as endorsed by the European Union (EU). In addition, the Group applies the Swedish Annual Accounts Act (1995:1554) and RFR 1 Supplementary Accounting Rules for Groups issued by the Swedish Financial Reporting Board. The Parent Company applies the same accounting principles as the Group, except in the cases described under the section “Parent Company accounting principles”. The Parent Company prepares its financial statements in accordance with the Swedish Annual Accounts Act (1995:1554) and RFR 2 Accounting for Legal Entities. Deviations from IFRS arise due to limitations in applying IFRS in the Parent Company as a result of the Annual Accounts Act and applicable tax regulations. New or amended standards applied by the Group No new standards or amendments to existing standards have come into force for the financial year beginning on 1 January 2025. New standards and interpretations not yet applied by the Group A number of new or amended accounting standards have not yet come into force and have not been early adopted in the Group’s and the Parent Company’s financial statements. These standards and amendments issued by the IASB are not expected to have a material impact on the Group’s or the Parent Company’s financial statements. Measurement basis for the preparation of the financial statements Assets and liabilities are recognised at historical cost, except for certain financial instruments that are measured at fair value. Classification Non-current assets and long-term liabilities mainly comprise amounts expected to be recovered or settled more than twelve months after the balance sheet date. Current assets and current liabilities mainly comprise amounts expected to be recovered or settled within twelve months after the balance sheet date. Currency Functional currency and presentation currency Items included in the financial statements of the various entities in the Group are measured using the currency of the primary economic environment in which each entity operates (the functional currency). The consolidated financial statements are presented in Swedish kronor (SEK), which is the Parent Company’s functional currency and the Group’s presentation currency. Transactions in foreign currency Transactions in foreign currencies are translated into the functional currency using the exchange rates prevailing at the transaction dates. Monetary assets and liabilities in foreign currencies are translated into the functional currency using the exchange rate at the balance sheet date. Non-monetary items measured at historical cost in a foreign currency are not retranslated. Exchange differences arising from translation are recognised in profit or loss. Exchange gains and losses related to operating items are recognised in operating profit, while exchange gains and losses related to financial receivables and liabilities are recognised as financial items. Translation of foreign subsidiaries Assets and liabilities in foreign operations are translated from the functional currency into the Group’s presentation currency at the closing rate on the balance sheet date. Income and expenses are translated into SEK at average exchange rates, which approximate the exchange rates at the transaction dates. Translation differences arising on the translation of foreign operations are recognised in other comprehensive income and accumulated in the translation reserve in equity. When control over a foreign operation ceases, the accumulated translation differences are reclassified from equity to profit or loss. Consolidated financial statements i Subsidiaries are all entities over which Nosa Plugs AB has control. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its influence over the entity. Control normally exists when the Parent Company, directly or indirectly, holds share representing more than 50 NOTE 1 GENERAL INFORMATION NOTE 2 ACCOUNTING AND VALUATION PRINCIPLES Notes NOTES 33 Annual Report 2025
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percent of the voting rights Subsidiaries are included in the consolidated financial statements from the date on which control is obtained and are excluded from consolidation from the date on which control ceases. Subsidiaries are accounted for using the acquisition method. This method means that the acquisition of a subsidiary is treated as a transaction whereby the Group indirectly acquires the subsidiary’s assets and assumes its liabilities. In the acquisition analysis, the fair value at the acquisition date is determined for identifiable assets acquired and liabilities assumed, as well as any non- controlling interests.Transaction costs, except those attributable to the issuance of equity instruments or debt instruments, are recognised directly in profit or loss. In business combinations where the consideration transferred exceeds the fair value of the acquired identifiable assets and assumed liabilities, the difference is recognised as goodwill. When the difference is negative, so- called bargain purchases, it is recognised directly in profit or loss. If, at the acquisition date, it is probable that the purchase consideration will be adjusted at a later date and the amount can be reliably estimated, the amount is included in the calculation of the final acquisition cost of the acquiree. Adjustments to contingent consideration within twelve months of the acquisition date affect goodwill (or negative goodwill). Adjustments made later than twelve months after the acquisition date are recognised in profit or loss. Intra-group receivables and liabilities, income and expenses, and unrealised gains or losses arising from intra-group transactions are eliminated in full upon preparation of the consolidated financial statements. Segment reporting An operating segment is a component of an entity that engages in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the entity’s chief operating decision maker, and for which discrete financial information is available. The Company’s segment reporting is consistent with the internal reporting provided to the chief operating decision maker. The chief operating decision maker is the function responsible for assessing the performance of the operating segments and allocating resources. The CEO is identified as the chief operating decision maker. The accounting principles applied for reportable segments are consistent with those applied by the Group as a whole. The Group’s sales are primarily generated in Europe, North America and Australia. The products are intended for the same areas of use for customers. The Company reports its operations as a single segment, as sales are monitored and evaluated as a whole by the chief operating decision maker. Revenue from contracts with customers The Group’s revenues consist of sales of products for protection against unpleasant odours, nasal products that reduce exposure to viruses and bacteria in the nasal mucosa, nasal filters that protect against harmful particles such as pollen and other airborne allergens, smell training kits for individuals with impaired sense of smell, and Nozoil, a moisturizing nasal spray for individuals with dry or irritated nasal mucosa. Revenue is recognised at fair value, which normally corresponds to the sales value for the period, net of discounts and value added tax. Revenue is recognised based on the agreement with the customer and measured based on the consideration to which the Company expects to be entitled in exchange for transferring the promised goods, net of returns and discounts. Revenue is recognised when control of the goods has been transferred to the customer. The Company’s revenues are derived from two business areas based on the product’s target group – B2C and B2B. The Company primarily sells to distributors and wholesalers. The classification between B2C and B2B is based on the product’s target group. Sales of consumer products - B2C Sales of consumer products are classified as sales of smaller consumer packages directed directly to end consumers. These products are primarily sold through e-commerce, Amazon, and pharmacies targeting consumers. Sales of B2B products B2B revenues consist of sales of bulk packages primarily directed to companies and other professional customers. These products are intended for resale, industrial use, or use within larger organisations, such as healthcare providers. Revenue is recognised upon delivery in accordance with the delivery terms, which is the point in time when control is transferred to the customer. Payment terms are generally 30 days, although individual agreements may occur. Contract assets and contract liabilities The timing of revenue recognition, invoicing and customer payments gives rise to trade receivables, unbilled receivables (contract assets), as well as customer advances and prepayments (contract liabilities) in the consolidated statement of financial position. Invoicing occurs either during the course of the work in accordance with agreed contractual terms, when contractual milestones are reached, or when control of the goods has been transferred to the customer. The Group may, in certain cases, receive advance payments from customers before revenue is recognised, resulting in contract liabilities. These contract assets and contract liabilities are recognised in the consolidated statement of financial position on a contract-by-contract basis at the end of each reporting period. Unbilled receivables are presented within Prepaid expenses and accrued income. Payment terms vary between contracts and depend on the agreements entered into with customers. Government grants Government grants are recognised when there is reasonable assurance that the grant will be received and that the Group will comply with the conditions attached to the grant. Government grants related to income are recognised as other operating income and are recognised in profit or loss on a systematic basis over the same periods as the costs that the grants are intended to compensate. Repayment of government grants is recognised as other operating expenses. Employee benefits Short-term employee benefits Short-term employee benefits, such as salaries, social security contributions, paid leave and bonuses, are recognised as an expense as the employees earn them. Defined contribution pension plans Nosa’s pension obligations comprise only defined contribution plans. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate legal entity. The Group has no legal or constructive obligations to pay further contributions if the separate entity does not hold sufficient assets to pay all employee benefits relating to employee service in the current or prior periods. The Group therefore has no further risk. Contributions to defined contribution plans are recognised as an expense in profit or loss in the period in which the employees perform the services. Termination benefits A liability and expense for termination benefits are recognised only when the Company is demonstrably committed, without realistic possibility of withdrawal, to a formal detailed plan to terminate employment before the normal retirement date. NOTES 34 Annual Report 2025
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Financial income and expenses Financial income Financial income consists of interest income and any realised gains on financial assets. Interest income is recognised using the effective interest method. The effective interest rate is the rate that exactly discounts estimated future cash receipts over the expected life of the financial instrument to the financial asset’s gross carrying amount. The calculation includes all fees paid or received between the parties to the contract that are an integral part of the effective interest rate, transaction costs and all other premiums or discounts. Financial income is recognised in the period to which it relates. Financial expenses Financial expenses mainly consist of interest expenses on liabilities, calculated using the effective interest method, interest expenses on lease liabilities and exchange rate losses. Financial expenses are recognised in the period to which they relate. Income taxes Income taxes comprise current tax and deferred tax. Income tax is recognised in profit or loss except when the underlying transaction is recognised in other comprehensive income or directly in equity, in which case the related tax effect is recognised in other comprehensive income or equity. Current tax is the tax that is to be paid or received for the current year, using the tax rates that have been enacted or substantively enacted at the balance sheet date. Current tax also includes adjustments of current tax attributable to prior periods. Deferred tax is recognised in full using the balance sheet method, on all temporary differences arising between the tax bases of assets and liabilities and their carrying amounts. However, deferred tax is not recognised on goodwill or for the initial recognition of assets or liabilities in a transaction that does not affect either accounting or taxable profit. Nor is deferred tax recognised for temporary differences attributable to shares in subsidiaries that are not expected to be reversed in the foreseeable future. Deferred tax is calculated based on how and in which jurisdiction the underlying assets are expected to be realised or the liabilities settled. Deferred tax is measured using the tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date and are expected to apply when the related deferred tax asset is realised or the deferred tax liability is settled. Deferred tax assets relating to deductible temporary differences and tax loss carryforwards are recognised only to the extent that it is probable that these can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that they can be utilised. Deferred tax assets and liabilities are offset when there is a legal right to offset current tax assets against current tax liabilities and when the deferred taxes relate to the same entity within the group and the same taxation authority. Earnings per share Earnings per share before dilution are calculated by dividing profit for the period attributable to the Parent Company’s shareholders by the weighted average number of outstanding shares during the period. Intangible assets An intangible asset is recognised when it is probable that the future economic benefits attributable to the asset will flow to the company and the acquisition cost can be measured reliably. An intangible asset is initially measured at cost at the time of acquisition and subsequently recognised at cost less accumulated amortisation and any impairment losses. Intangible assets with a finite useful life are amortised over their estimated useful life. The useful life is reviewed annually for impairment and also whenever there is an indication of impairment. Goodwill Goodwill arising on consolidation represents the difference between the acquisition cost and the Group’s share of the fair value of an acquired subsidiary’s identifiable assets and liabilities at the acquisition date. At the acquisition date, goodwill is recognised at cost and, after the first reporting period, it is measured at cost less any accumulated impairment losses. When testing for impairment, goodwill is allocated to the cash- generating units that are expected to benefit from the synergies arising from the acquisition. Goodwill is tested annually for impairment, or more frequently when there is an indication that the carrying amount may not be recoverable. If the recoverable amount of a cash-generating unit is determined to be lower than the carrying amount, the impairment loss is allocated by first reducing the carrying amount of goodwill attributable to the cash-generating unit and then reducing the carrying amount of other assets in the unit. An impairment loss recognised for goodwill is not reversed in a subsequent period. Upon disposal of a cash-generating unit, any goodwill attributable to that unit is included in the calculation of the gain or loss on disposal. Capitalised development expenditure Capitalised development costs are recognised at cost less accumulated amortisation and any impairment losses. The assets are amortised on a straight-line basis over their estimated useful lives from the time the product is completed. The residual values and useful lives of the assets are tested at each reporting date and adjusted as necessary. Capitalised development expenditure includes costs for subcontractors as well as personnel costs arising from the development work of the Company’s products. Costs incurred during the development phase are capitalised as intangible assets when, according to management’s assessment, it is probable that they will generate future economic benefits for the Group, the criteria for capitalisation are met and the costs can be measured reliably. The expenditure that is capitalised includes consultancy costs and other costs directly attributable to the project. All other costs that do not meet the criteria for capitalisation are expensed when incurred. Development expenditure that has previously been expensed is not recognised as an asset in a subsequent period. Patent Patents are recognised at cost less accumulated amortisation. Recognised patents relate to the Nosa brand. Trademarks Trademarks are recognised at cost less accumulated amortisation. Recognised trademarks relate to the acquisition of the subsidiary Pharmacure. Amortisation principles Intangible assets are amortised systematically over the asset’s estimated useful life. The useful life is reassessed at each balance sheet date. When determining the amortisable amount of the asset, the residual value is taken into account where applicable. Intangible assets are amortised from the date they are available for use. Estimated useful lives are as follows: Property, plant and equipment Property, plant and equipment are recognised as assets in the statement of financial position when it is probable that future economic benefits will accrue to the company and the NOTES Capitalised development expenditure and similar work 5 years Concessions, patents, licences, trademarks and similar rights 5 years 35 Annual Report 2025
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acquisition cost of the asset can be measured reliably. Property, plant and equipment are recognised in the group at acquisition cost less accumulated depreciation and any impairment losses. The acquisition cost includes the purchase price as well as expenditures directly attributable to the asset to bring it to the location and condition necessary for it to be used in accordance with the purpose of the acquisition. The carrying amount of an asset is derecognised from the statement of financial position upon disposal or retirement, or when no future economic benefits are expected from its use or disposal/retirement. Any gain or loss arising on the disposal or retirement of an asset is determined as the difference between the selling price and the carrying amount of the asset less direct selling costs. Gains and losses are recognised as other operating income/expense. Subsequent expenditure Subsequent expenditure is added to the acquisition cost only when it is probable that the future economic benefits associated with the asset will accrue to the Group and the acquisition cost can be measured reliably. All other subsequent expenditure is recognised as an expense in the period in which it is incurred. Depreciation principles Depreciation is applied on a straight-line basis over the asset’s estimated useful life. Applied depreciation methods, residual values and useful lives are reviewed at each financial year-end. All tangible fixed assets relate to the Swedish companies within the Group. Estimated useful lives are as follows: Leases At the inception of a contract, the Group assesses whether the contract is, or contains, a lease based on the substance of the contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Lease liabilities At the commencement date of a lease, the Group recognises a lease liability corresponding to the present value of the lease payments to be made over the lease term. The lease term is determined as the non-cancellable period together with periods covered by options to extend or terminate the lease if the Group is reasonably certain to exercise those options. Individual assessments are made for material contracts annually. Lease payments include fixed payments (less any lease incentives receivable), variable lease payments that depend on an index or a rate (e.g. a reference interest rate), and amounts expected to be payable under residual value guarantees. Lease payments also include the exercise price of a purchase option if it is reasonably certain that the option will be exercised, as well as penalties for terminating the lease if the lease term reflects the Group exercising a termination option. Variable lease payments that do not depend on an index or a rate are recognised as an expense in the period to which they relate. To calculate the present value of lease payments, the Group uses the interest rate implicit in the lease if it can be readily determined; otherwise, the incremental borrowing rate at the commencement date of the lease is used. After the commencement date of a lease, the lease liability increases to reflect interest on the lease liability and decreases by lease payments made. In addition, the value of the lease liability is remeasured as a result of modifications, changes in the lease term, changes in lease payments, or changes in the assessment of whether to purchase the underlying asset. Right-of-use assets The Group recognises right-of-use assets in the statement of financial position at the commencement date of the lease (i.e. the date on which the underlying asset becomes available for use). Right-of-use assets are measured at cost less accumulated depreciation and any impairment losses, and adjusted for any remeasurements of the lease liability. The cost of right-of-use assets includes the initial amount of the related lease liability recognised, initial direct costs, and any lease payments made at or before the commencement date less any lease incentives received. Provided that NOSA is not reasonably certain to obtain ownership of the underlying asset at the end of the lease term, the right-of- use asset is depreciated on a straight-line basis over the shorter of the lease term and the useful life. Application of practical expedients Nosa applies the practical expedients for short-term leases and leases for which the underlying asset is of low value. Short- term leases are defined as leases with an initial lease term of a maximum of 12 months, taking into account any options to extend the lease. Leases for which the underlying asset is of low value include, for example, office equipment within the Group. Lease payments for short-term leases for which the practical expedient is applied, and leases for which the underlying asset is of low value, are recognised as an expense on a straight-line basis over the lease term. Impairment of non-financial assets The Group performs impairment testing when there are indications that a decline in value has occurred in tangible or intangible assets, i.e. whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. This also applies to right-of-use assets related to leases. In addition, assets with indefinite useful lives, i.e. any goodwill and internally generated intangible assets not yet available for use, are tested annually for impairment by calculating the recoverable amount of the asset, regardless of whether there are indications of impairment. An impairment loss is recognised in the amount by which the carrying amount of the asset exceeds its recoverable amount. The recoverable amount is the higher of fair value less costs to sell and value in use, which represents an internally generated value based on future cash flows. For the purpose of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units). When an impairment need is identified for a cash-generating unit (group of units), the impairment loss is first allocated to any goodwill. Thereafter, a proportional impairment is made of the other assets included in the unit (group of units). In calculating value in use, future cash flows are discounted using a discount rate that reflects the risk-free interest rate and the risks specific to the asset. An impairment loss is recognised in profit or loss. Previously recognised impairment losses are reversed if the recoverable amount is assessed to exceed the carrying amount. However, a reversal is not recognised in an amount exceeding what the carrying amount would have been had no impairment loss been recognised in prior periods. Any reversal is recognised in the income statement. Impairment of goodwill is never reversed. Financial instruments Financial instruments are any form of contract that gives rise to a financial asset in one entity and a financial liability or an equity instrument in another entity. Financial instruments recognised in the statement of financial position include, on the asset side: rental deposits, trade receivables, other receivables and cash and cash equivalents. Liabilities include: liabilities to credit institutions, trade payables and accrued expenses. The accounting depends on how the financial instruments have been classified. NOTES Leasehold improvements 5 years Furniture, fixtures and equipment 5 years Machinery and other technical equipment 5 years Right-of-use assets 3 years 36 Annual Report 2025
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Recognition and derecognition Financial assets and liabilities are recognised when the Group becomes a party to the contractual provisions of the instrument. Transactions relating to financial assets are recognised on the trade date, which is the date on which the Group commits to acquire or dispose of the asset. Trade receivables are recognised in the statement of financial position when the Group’s right to consideration is unconditional. Liabilities are recognised when the counterparty has performed and a contractual obligation to pay exists, even if an invoice has not yet been received. Trade payables are recognised when an invoice has been received. A financial asset is derecognised from the statement of financial position (in whole or in part) when the rights in the contract have been realised or have expired, or when the Group no longer has control over them. A financial liability is derecognised from the statement of financial position (in whole or in part) when the obligation in the contract has been fulfilled or otherwise extinguished. A financial asset and a financial liability are offset in the statement of financial position when there is a legal right to offset the recognised amounts and the intention is either to settle on a net basis or to realise the asset and settle the liability simultaneously. Gains and losses arising from derecognition in the statement of financial position, as well as from modifications, are recognised in profit or loss. At each reporting date, the company assesses the need for impairment based on expected credit losses for a financial asset or group of financial assets, as well as any other existing credit exposure. Classification and measurement Financial assets Debt instruments: the classification of financial assets that are debt instruments is based on the Group’s business model for managing the assets and the characteristics of the contractual cash flows of the asset. The instruments are classified as: • Amortised cost • Fair value through other comprehensive income, or • Fair value through profit or loss Financial assets classified at amortised cost are held in accordance with the business model to collect contractual cash flows that consist solely of payments of principal and interest on the outstanding principal amount. Financial assets classified at amortised cost are initially measured at fair value plus transaction costs. After initial recognition, the assets are measured using the effective interest method. The assets are subject to a loss allowance for expected credit losses. The Group’s financial assets that are debt instruments classified at amortised cost are disclosed in Note 15 Financial instruments. The Group does not hold any financial assets classified at fair value through other comprehensive income. The Group also does not hold any financial assets classified at fair value through profit or loss. Financial liabilities The Group’s financial liabilities are classified at amortised cost. Financial liabilities measured at amortised cost are initially measured at fair value including transaction costs. After initial recognition, they are measured at amortised cost using the effective interest method. Borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date. Borrowing costs are recognised in the income statement in the period to which they relate. Accrued interest is recognised as part of current borrowings from credit institutions when the interest is expected to be settled within 12 months from the balance sheet date. Impairment of financial receivables Financial assets, except for those classified at fair value through profit or loss or equity instruments measured at fair value through other comprehensive income, are subject to impairment for expected credit losses. In addition, impairment also includes contract assets. Impairment for credit losses in accordance with IFRS 9 is forward-looking, and a loss allowance is recognised when there is exposure to credit risk, typically at initial recognition of an asset or receivable. Expected credit losses reflect the present value of all shortfalls in cash flows attributable to default events either over the next 12 months or over the expected remaining life of the financial instrument, depending on the asset class and on changes in credit risk since initial recognition. Inventories Inventories are measured at the lower of cost and net realisable value. Cost consists of the purchase price after deduction of supplier discounts attributable to items in inventory. In addition to the purchase price, cost also includes other direct costs to bring the goods to their present location and condition. Cost is determined using the first-in, first-out (FIFO) method. Net realisable value corresponds to the estimated selling price in the ordinary course of business less selling costs. Only marketable goods are included in inventories. Cash and cash equivalents Cash and cash equivalents include cash on hand and bank balances, as well as other short-term liquid investments that can readily be converted into cash and are subject to an insignificant risk of changes in value. To qualify as cash and cash equivalents, the maturity must not exceed three months from the date of acquisition. As bank balances are payable on demand, the carrying amount corresponds to the nominal amount. Equity The company’s shares consist of ordinary shares, which are recognised as share capital. Share capital is recognised at its quota value, and any excess is recognised as other contributed capital. Transaction costs that are directly attributable to the issue NOTES 37 Annual Report 2025
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of new shares are recognised, net of tax, in equity as a deduction from the proceeds of the issue. Share options The parent company and the subsidiary NoseOption AB have share option programmes directed at senior executives and other key personnel, see Note 29. Share options are acquired for consideration corresponding to their fair value, calculated in accordance with the Black & Scholes valuation model. Contingent liabilities A contingent liability is recognised when there is a possible obligation arising from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events, or when there is a present obligation that is not recognised as a liability or provision because it is not probable that an outflow of resources will be required. Cash flow The cash flow statement is prepared in accordance with the indirect method. This means that the result is adjusted for transactions that have not resulted in cash inflows or outflows, as well as for income and expenses attributable to investing and/or financing activities. Interest is recognised as part of operating activities. Accounting principles of the Parent Company The Parent Company prepares its financial reports in accordance with the Swedish Annual Accounts Act (1995:1554) and the recommendation issued by the Swedish Financial Reporting Board, RFR 2 “Accounting for Legal Entities”. The Parent Company applies the same accounting principles as the Group, with the exceptions and additions specified in RFR 2. This means that IFRS is applied with the deviations specified below. The accounting principles set out below for the Parent Company have been applied consistently for all periods presented in the Parent Company’s financial reports, unless otherwise stated. The changes in RFR 2 Accounting for Legal Entities that entered into force as of 1 January 2025, as well as the changes that will enter into force as of 1 January 2026, have not had/will not have any material impact on the Parent Company’s financial reports. The differences between the Group’s and the Parent Company’s accounting principles are set out below. The accounting principles stated below for the Parent Company have been applied consistently for all periods presented in the Parent Company’s financial reports. Classification and presentation formats The income statement and balance sheet of the Parent Company are prepared in accordance with the presentation formats of the Annual Accounts Act. The main difference compared to IAS 1 Presentation of Financial Statements, which is applied in the preparation of the Group’s financial reports, relates to the presentation of financial income and expenses, non-current assets, equity, and the occurrence of provisions as separate line items. The statement of comprehensive income, the statement of changes in equity and the statement of cash flows are based on IAS 1 Presentation of Financial Statements and IAS 7 Statement of Cash Flows, respectively. Investments in subsidiaries In the Parent Company, investments in subsidiaries are recognised at cost less accumulated impairment losses. The value of the investments is tested for impairment when there is an indication that the value has decreased. Acquisition-related costs are included as part of the acquisition cost. Dividends received are recognised in the income statement. Group contributions and shareholder contributions Group contributions are recognised as an appropriation of profit. Shareholder contributions paid are recognised as an increase in the line item investments in subsidiaries for the giver. For the recipient, shareholder contributions are recognised directly against equity. Financial instruments The Parent Company applies IFRS 9, except for the measurement of the net realisable value of trade receivables, contract assets and other receivables, where the same impairment principles and loss allowance approach are applied as in the Group. In the Parent Company, financial non-current assets are measured at cost less any impairment losses, and financial current assets at the lower of cost and fair value less selling costs. Leasing The Parent Company applies the exemption regarding the application of IFRS 16, Leases, which means that all lease agreements in the Parent Company are recognised as an expense on a straight-line basis over the lease term. Taxes In the Parent Company, untaxed reserves are recognised in the balance sheet without allocation between equity and deferred tax liability, in contrast to the Group. In the income statement, the Parent Company recognises tax in accordance with the same allocation of appropriations as deferred tax expense. NOTE 3 SIGNIFICANT ESTIMATES AND JUDGEMENTS n preparing the financial reports, management and the Board of Directors must make certain judgements and assumptions that affect the reported values of assets and liabilities, as well as income and expense items and other disclosures. The assessments are based on experience and assumptions that management and the Board consider reasonable under prevailing circumstances. Actual outcomes may differ from these assessments if other conditions arise. Estimates and assumptions are evaluated on an ongoing basis and are not considered to involve a significant risk of material adjustments to the carrying amounts of assets or liabilities in the coming financial year. Changes in estimates are recognised in the period in which the change occurs if the change affects only that period, or in the period of the change and future periods if the change affects both the current and future periods. The following describes the estimates that are most significant in the preparation of the company’s financial reports. Inventories The Group recognises an allowance for inventory obsolescence at the end of the reporting period, based on the best available information. The assessment is based on systematic and continuous monitoring of inventory. Consideration is given to the age, condition, age structure and volume of the items in relation to estimated demand when determining the amount of the allowance. Trade receivables Trade receivables are recognised net of allowances for doubtful receivables. The net value corresponds to the amount expected to be received. The expectations are based on circumstances known at the balance sheet date. A change in the financial position of a significant customer may result in a different valuation. The Group monitors customers’ financial positions on an ongoing basis and adjusts the valuation of trade receivables as necessary. NOTES 38 Annual Report 2025
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NOTE 4 FINANCIAL RISKS The Group’s results, financial position and cash flow are affected both by changes in the external environment and by the Group’s own actions. The purpose of risk management is to identify and analyse the risks faced by the Group and, as far as possible, to prevent and limit any negative effects. The finance function is managed centrally by the Parent Company. The Board of Directors is ultimately responsible for the Group’s exposure to and management of financial risks. Through its operations, the Group is exposed to various types of financial risks; credit risk, market risk (interest rate risk, currency risk and other price risks) as well as financing and liquidity risk. The Board of Directors has the overall responsibility for the Group’s risk management, including financial risks. Risk management involves identifying, assessing and evaluating the risks to which the Group is exposed. Priority is given to those risks which, based on an overall assessment of potential impact, likelihood and consequences, could have the most significant negative effect on the Group. The Group’s overall objective in managing financial risks is to handle financial exposures in order to reduce volatility in the Group’s reported profit and financial position, safeguard future cash flows and the value of financial assets, and ensure optimal financing. Credit risk Credit risk is the risk that a counterparty in a financial instrument will fail to fulfil its obligation and thereby cause the Group to incur a financial loss. The Group’s credit risk primarily arises from receivables from customers and from the placement of liquid funds. The Group evaluates, at each reporting date, existing exposures to credit risk, taking into account forward- looking factors. Given the Group’s diversified customer base, as well as customers operating across different market segments and geographical areas, the general underlying credit risk is considered low. For larger exposures, individual credit assessments are performed. The Group’s financial assets that are neither past due nor impaired are considered to be of good credit quality. The Group has sales both to the public sector, where credit risk is generally low, and to private sector entities where credit risk is generally higher. Historically, credit losses in the Group have been very low, and therefore the overall risk is assessed as low. An ageing analysis of trade receivables is presented in Note 25. Financial instruments by category Group Parent Company Financial assets measured at amortised cost 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Trade receivables 4 189 2 273 0 0 Receivables from group companies 0 0 16 569 5 300 Other receivables 803 1 474 36 181 Accrued income (contract assets) 0 0 0 0 Cash and cash equivalents 17 298 4 314 12 658 2 796 Total 22 290 8 061 29 263 8 277 Group Parent Company Financial liabilities measured at amortised cost 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Contingent consideration 13 207 0 0 0 Liabilities to credit institutions 0 333 0 0 Overdraft facility 485 0 0 0 Lease liabilities 231 673 0 0 Trade payables 1 612 2 024 198 348 Other liabilities 370 276 0 0 Total 15 905 3 306 198 348 Deferred tax assets Deferred tax assets relating to tax loss carryforwards are recognised only to the extent that it is probable that the amounts can be utilised against future taxable profits. Management has assessed that deferred tax assets should not be recognised due to the uncertainty regarding when future taxable profits will be available. For further information on tax loss carryforwards in the Group and the Parent Company, see Note 15. Investments in subsidiaries In the Parent Company, shares in subsidiaries are recognised at cost less accumulated impairment losses. The carrying amount of investments in subsidiaries is tested for impairment in accordance with IAS 36 Impairment of Assets. An impairment test is performed at the end of each reporting period, and any impairment loss is recognised in the income statement. Dividends received are recognised in the income statement. NOTES 39 Annual Report 2025
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Market risk Market risk is the risk that the fair value of, or future cash flows from, a financial instrument will fluctuate due to changes in market prices. In accordance with IFRS, market risks are divided into three types: currency risk, interest rate risk and other price risks. The market risks affecting the Group consist primarily of currency risk and other price risks. Currency risk Currency risk is the risk that the fair value of, or future cash flows from, a financial instrument will fluctuate due to changes in foreign exchange rates. Currency risk primarily arises from the Group’s transaction exposure, which consists of sales and purchases in foreign currencies. The main purchase currencies are EUR and SEK, and the main sales currencies are EUR, USD and SEK. Normally, there is a time lag (2–6 months) between purchase and sale, which gives rise to additional currency risk. The Group is also exposed to currency risk in the translation of the net assets of foreign subsidiaries into Swedish kronor, as well as in intercompany financing. Translation of foreign operations’ net assets is carried out from USD into Swedish kronor. For 2025, the translation of foreign subsidiaries affected the Group’s equity by -101 (6) TSEK. A 5% change in exchange rates affects the Group’s profit and loss by +/- 103 (+/- 65) TSEK and the Group’s total comprehensive income for the year by +/- 52 (+/- 14) TSEK. Interest rate risk Interest rate risk is the risk that the fair value of, or future cash flows from, a financial instrument will fluctuate due to changes in market interest rates. The Group’s objective is to limit exposure to interest rate changes that may affect cash flows and results. At the balance sheet date, the Group has no liabilities to credit institutions and therefore no external borrowings. Interest rate risk is therefore assessed as low. Other price risks Other price risks are the risk that the fair value of, or future cash flows from, a financial instrument will fluctuate due to changes in market prices (other than those arising from interest rate or currency risk). For Nosa, other price risks relate to changes in raw material or freight prices. Financing and liquidity risk Financing risk is the risk that the Group, at a given point in time, does not have access to sufficient financing on acceptable terms. Liquidity risk is the risk that the Group will be unable to meet its payment obligations. The Company manages liquidity risk by continuously monitoring the Group’s available cash and ensuring sufficient cash reserves. The Group’s ability to meet future capital requirements is highly dependent on sales growth and profitability. There is no guarantee that the Company will be able to obtain necessary capital should the need arise, even if the business develops positively. Furthermore, the general market conditions for capital supply are of great importance. Liquidity risk also includes the risk that banks terminate credit facilities or that the Company is not granted new credit facilities. Cash flow analysis of contractual payments for financial liabilities: Maturity analysis of contractual payments for financial liabilities Group 2025-12-31 Within 3 months 3-12 months 2-5 years After 5 years Total Contingent consideration 0 7 547 5 660 0 13 207 Overdraft facility 485 0 0 0 485 Lease liabilities 231 0 0 0 231 Trade payables 1 612 0 0 0 1 612 Other liabilities 370 0 0 0 370 Total 2 698 7 547 5 660 0 15 905 Group 2024-12-31 Within 3 months 3-12 months 2-5 years After 5 years Total Liabilities to credit institutions 118 215 0 0 333 Lease liabilities 108 356 232 0 696 Trade payables 2 024 0 0 0 2 024 Other liabilities 276 0 0 0 276 Total 2 526 571 232 0 3 329 Parent Company 2025-12-31 Within 3 months 3-12 months 2-5 years After 5 years Total Trade payables 198 0 0 0 198 Total 198 0 0 0 198 NOTES Parent Company 2024-12-31 Within 3 months 3-12 months 2-5 years After 5 years Total Trade payables 348 0 0 0 348 Total 348 0 0 0 348 40 Annual Report 2025
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Measurement of financial instruments at fair value For financial assets and financial liabilities, the reported carrying amounts are considered to be a good approximation of fair value, as maturities and/or interest terms are such that discounting based on current market conditions is not deemed to have any material effect. Capital structure The Group’s objective in managing capital is to ensure the Group’s ability to continue as a going concern in order to generate reasonable returns for shareholders and benefits for other stakeholders. The Group monitors its capital structure based on the gearing ratio. The gearing ratio is calculated as net debt divided by total equity. Net debt is calculated as liabilities to credit institutions less cash and cash equivalents. At the end of the financial year, cash and cash equivalents exceed liabilities to credit institutions. The Group’s current policy is not to pay dividends. Dividend proposals will only be made once the Company has achieved long-term profitability. NOTE 5 NET SALES Group Parent Company Net sales by customer category 2025 2024 2025 2024 B2B 14 696 12 717 0 0 B2C 9 211 3 380 0 0 Other 0 0 600 600 Total 23 907 16 097 600 600 Group Parent Company Net sales by geographic market 2025 2024 2025 2024 Europe 17 567 13 199 600 600 North America 3 936 1 610 0 0 Oceania 2 404 1 288 0 0 Total 23 907 16 097 600 600 Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Borrowings 485 333 0 0 Less cash and cash equivalents 17 298 4 314 12 658 2 796 Net debt -16 813 -3 981 -12 658 -2 796 Total equity 41 063 16 556 104 214 83 094 Gearing ratio 0,0% 0,0% 0,0% 0,0% The Group has no customers that individually accounted for 10% or more of the Group’s revenue. NOTES 41 Annual Report 2025
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NOTE 8 LEASES Group Effects of IFRS 16 on profit or loss 2025 2024 Amounts recognised in the income statement: Depreciation of right-of-use assets 385 436 Interest expense on lease liabilities 21 41 Expenses relating to variable lease payments not included in the measurement of lease liabilities 26 26 Expenses relating to low-value leases 23 30 Expenses relating to short-term leases 0 0 Total 455 533 At the balance sheet date, the Group has lease agreements relating to office premises, which are recognised as right-of-use assets and lease liabilities. The lease agreement is entered into for a period of 3 years and has extension options. Short-term lease agreements and lease agreements of low value mainly relate to inventories. The Group has no purchase options and does not guarantee residual values. Under lease agreements for premises, the Group must maintain the properties in good condition and restore the premises to an acceptable condition upon termination of the lease. The Group must also perform and bear the cost of necessary maintenance in accordance with the lease agreements. Extension options relating to lease agreements for premises have not been included in the lease liability as the Group can replace the assets without significant cost or disruption to operations. Lease payments are primarily fixed payments. For certain lease agreements, future lease payments are based on a consumer price index or a variable interest rate and are therefore not included in the lease liability, as no changes in the consumer price index or variable interest rate have occurred. Property tax and insurance are recognised as a component, as these do not transfer a service or a good to the Group and are therefore not included in the lease liability. The weighted average incremental borrowing rate used in the calculation amounts to 3.6–5.6%. The Company has no obligations relating to short-term lease agreements. The total cash outflow for lease agreements amounted to 1,464 (431) TSEK. A maturity analysis of contractual payments for lease liabilities is presented in Note 4. Right-of-use assets relating to financial leases are presented in Note 22. The Parent Company has no lease agreements. NOTE 7 OTHER OPERATING INCOME Group Parent Company 2025 2024 2025 2024 Foreign exchange gains 142 29 0 0 Gain on disposal of property, plant and equipment 73 0 0 0 Total 215 29 0 0 NOTE 6 PURCHASES AND SALES BETWEEN GROUP COMPANIES Parent Company 2025 2024 Purchases from subsidiaries 0% 0% Sales to subsidiaries 100% 100% NOTES 42 Annual Report 2025
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NOTE 9 FEES TO AUDITORS NOTE 10 EMPLOYEES AND PERSONNEL COSTS Group Parent Company 2025 2024 2025 2024 Forvis Mazars AB Audit services 440 495 440 495 Total 440 495 440 495 Audit services refer to the auditor’s work in connection with the statutory audit as well as other types of assurance services. Other services are those that do not form part of audit services, audit-related activities or tax advisory services. 2025 2024 Average number of employees Total Men Total Men Parent Company 0 0 0 0 Subsidiaries 5 2 7 4 Total 5 2 7 4 Group Parent Company Salaries and other remuneration 2025 2024 2025 2024 Board of Directors/CEO and senior executives 1 599 1 590 120 120 Other employees 2 844 2 766 0 0 Bonus – other employees 0 177 0 0 Total 4 443 4 532 120 120 Group Parent Company Social security costs and pension costs 2025 2024 2025 2024 Pension costs for Board/CEO and senior executives 120 120 0 0 Pension costs for other employees 177 63 0 0 Social security costs 1 199 1 392 38 38 Total 1 496 1 575 38 38 Total personnel costs 5 939 6 107 158 158 NOTES 43 Annual Report 2025
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Remuneration to the Board, CEO and other senior executives – 2025 Fixed salary / Board fees Variable remuneration Pension costs Other benefits Total Chair of the Board Dan Josefsberg 120 0 0 0 120 Board members Board members Dan Magnell 0 0 0 0 0 Johan Prom 0 0 0 0 0 Tomas Ludvigsson 0 0 0 0 0 Anders Håkansson 0 0 0 0 0 Susanna Francke Rodau 0 0 0 0 0 CEO / Group CEO Adrian Liljefors 1 299 180 179 0 1 658 Other senior executives (1) 248 0 0 0 248 Group total 1 667 180 179 0 2 026 During the year, remuneration to management functions without an employment relationship amounted to 248 (239) TSEK. The amount is not included in personnel costs in the income statement but is recognised as other external expenses. Group Parent Company 2025 2024 2025 2024 Total Men Total Men Total Men Total Men Board members 6 5 6 5 6 5 6 5 Other persons in executive management incl. CEO 3 2 3 2 3 2 3 2 Total 9 7 9 7 9 7 9 7 NOTES 44 Annual Report 2025
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Remuneration to the Board, CEO and other senior executives – 2024 Fixed salary / Board fees Variable remuneration Pension costs Other benefits Total Chair of the Board Dan Josefsberg 120 0 0 0 120 Board members Dan Magnell 0 0 0 0 0 Johan Prom 0 0 0 0 0 Tomas Ludvigsson 0 0 0 0 0 Anders Håkansson 0 0 0 0 0 Susanna Francke Rodau 0 0 0 0 0 Mats Dörring - resigned during the year 0 0 0 0 0 Oscar Ingdahl - resigned during the year 0 0 0 0 0 Jörgen Malmberg - resigned during year 0 0 0 0 0 Mats Rosén - resigned during the year 0 0 0 0 0 CEO / Group CEO Adrian Liljefors 1 417 53 120 0 1 590 Other senior executives (2) 767 0 0 0 767 Group total 2 304 53 120 0 2 477 Pension obligations The Company has no pension obligations to current or former Board members, the Chief Executive Officer or other senior executives. Severance pay agreements The notice period is 9 months from the employer’s side and 4.5 months from the employee’s side. NOTE 11 DEPRECIATION AND AMORTISATION OF PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS Group Parent Company 2025 2024 2025 2024 Capitalised development expenditure and similar items -248 -292 0 0 Concessions, patents, licences, trademarks and similar rights -1 682 -115 0 0 Leasehold improvements (improvements to property held by others) -67 -65 0 0 Machinery and other technical equipment -1 226 -619 0 0 Equipment, tools and installations -306 -353 0 0 Right-of-use assets -385 -436 0 0 Total -3 914 -1 880 0 0 NOTES 45 Annual Report 2025
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NOTE 12 OTHER OPERATING EXPENSES Group Parent Company 2025 2024 2025 2024 Exchange rate losses -491 0 0 0 Total -491 0 0 0 Parent Company 2025 2024 Impairments -10 000 -10 000 Total -10 000 -10 000 NOT 13 RESULTAT FRÅN ANDELAR I KONCERNFÖRETAG NOTE 14 FINANCIAL INCOME AND EXPENSES Group Parent Company 2025 2024 2025 2024 Interest income 147 279 156 277 Total financial income 147 279 156 277 Interest expenses -12 -40 0 0 Interest expenses on lease liabilities -21 -41 0 0 Exchange rate differences -15 0 0 0 Total financial expenses -48 -81 0 0 NOTES 46 Annual Report 2025
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NOTE 15 INCOME TAX ON PROFIT FOR THE YEAR Group Parent Company 2025 2024 2025 2024 Current tax -153 0 0 0 Deferred tax 322 -36 0 0 Tax recognised 169 -36 0 0 Reconciliation of effective tax rate Profit before tax -8 210 -10 122 -11 529 -11 271 Tax at statutory tax rate, 20.6% 1 691 2 085 2 375 2 322 Tax effects of: Tax relating to unrecognised deferred tax assets -1 717 -2 147 -807 -294 Non-deductible expenses -404 -30 -2 060 -2 060 Tax effect of deductible expenses recognised directly in equity 492 0 492 0 Other 107 56 0 32 Total 169 -36 0 0 Tax loss carryforwards in the Group amount to 151,738 (137,771) TSEK as of the balance sheet date. For the Parent Company, tax loss carryforwards amount to 71,987 (68,070) TSEK. All tax losses may be carried forward without time limitation. All tax losses may be carried forward without time limitation. During the year, 822 (1,606) TSEK has been expensed relating to research and development costs concerning Drug Delivery. NOTE 16 CAPITALISED DEVELOPMENT EXPENDITURE AND SIMILAR ITEMS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 2 325 2 163 0 0 Additions during the year 194 162 0 0 Closing accumulated acquisition cost 2 519 2 325 0 0 Opening depreciation -1 596 -1 304 0 0 Depreciation for the year -248 -292 0 0 Closing accumulated depreciation -1 844 -1 596 0 0 Closing carrying amount 675 729 0 0 NOTES 47 Annual Report 2025
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NOTE 17 CONCESSIONS, PATENTS, TRADEMARKS AND SIMILAR RIGHTS NOTE 18 GOODWILL Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 2 087 2 087 0 0 Acquisitions 23 434 0 0 0 Closing accumulated acquisition cost 25 521 2 087 0 0 Opening amortisation -1 424 -1 309 0 0 Amortisation for the year -1 682 -115 0 0 Closing accumulated amortisation -3 106 -1 424 0 0 Closing carrying amount 22 415 663 0 0 Group 2025-12-31 2024-12-31 Acquisitions 9 303 0 Closing carrying amount 9 303 0 Group The Group’s goodwill is allocated to the following cash-generating units: 2025-12-31 2024-12-31 Pharmacure Health Care International AB 9 303 0 Closing carrying amount 9 303 0 NOTES The assessment of the value of the Group’s goodwill is based exclusively on the value in use of the cash-generating units, where assumptions regarding future growth and operating margins are key variables. Value in use is based on the cash flows after tax expected to be generated by the units over their remaining useful lives, with the assumption of an indefinite useful life. The calculation of the value of the cash-generating units is based on management’s cash flow forecasts for a five-year period. Thereafter, the cash flows are based on an assumed annual growth rate of 2 percent. The forecasted cash flows have been discounted using a discount rate of 16 percent after tax. The discount rate corresponds to Nosa Plugs’ estimated weighted average cost of capital (WACC), i.e. the weighted average return required by equity and the cost of externally borrowed capital. A sensitivity analysis has been performed regarding the discount rate and growth assumptions. Management assesses that reasonably possible changes in these variables would not have such effects that they would reduce the recoverable amount to a value lower than the carrying amount. 48 Annual Report 2025
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NOTE 19 LEASEHOLD IMPROVEMENTS HELD BY OTHERS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 332 310 0 0 Additions during the year 0 22 0 0 Closing accumulated acquisition cost 332 332 0 0 Opening depreciation -70 -5 0 0 Depreciation for the year -67 -65 0 0 Closing accumulated depreciation -137 -70 0 0 Closing carrying amount 195 262 0 0 NOTE 20 MACHINERY AND OTHER TECHNICAL EQUIPMENT Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 7 182 3 381 0 0 Additions during the year 0 3 801 0 0 Closing accumulated acquisition cost 7 182 7 182 0 0 Opening depreciation -2 592 -1 973 0 0 Depreciation for the year -1 226 -619 0 0 Closing accumulated depreciation -3 818 -2 592 0 0 Closing carrying amount 3 364 4 590 0 0 NOTE 21 EQUIPMENT, TOOLS AND INSTALLATIONS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 2 182 1 359 0 0 Additions during the year 0 823 0 0 Closing accumulated acquisition cost 2 182 2 182 0 0 Opening depreciation -1 197 -843 0 0 Depreciation for the year -306 -353 0 0 Closing accumulated depreciation -1 503 -1 196 0 0 Closing carrying amount 679 986 0 0 49 Annual Report 2025
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NOTE 22 RIGHT-OF-USE ASSETS NOTE 23 SHARES IN SUBSIDIARIES Group 2025-12-31 2024-12-31 Opening acquisition cost 1 595 1 595 Disposals during the year (lease contracts) -731 0 Closing accumulated acquisition cost 864 1 595 Opening depreciation -994 -584 Disposals during the year (lease contracts) 731 0 Reclassifications 0 26 Depreciation for the year -385 -436 Closing accumulated depreciation -648 -994 Closing carrying amount 216 601 Of which office premises 216 504 Of which equipment 0 97 Closing carrying amount 216 601 Parent Company 2025-12-31 2024-12-31 Opening acquisition cost 98 747 88 747 Shareholder contributions paid 10 000 10 000 Closing accumulated acquisition cost 108 747 98 747 Opening impairment -23 500 -13 500 Impairment -10 000 -10 000 Closing accumulated impairment -33 500 -23 500 Closing carrying amount 75 247 75 247 NOTES Name Registered office Reg. no. Number of shares Owner ship (%) Voting rights Carrying amount 2025- 12-31 Carrying amount 2024-12-31 NoseOption AB Stockholm 556861-2294 307 575 100% 100% 75 247 75 247 NoseOption Inc Delaware, USA 20190380823 10 000 100% 100% - - Pharmacure Health Care International AB Stockholm 556951-74355 500 100% 100% - - 75 247 75 247 The Parent Company has made shareholder contributions to the subsidiary NoseOption AB amounting to 10 MSEK in order to cover accumulated losses in the company. Based on the Board of Directors’ assessment that the contributed funds will not be recovered through the value of the shares in the subsidiary, the Board has decided that the value of the contribution should be written down. The impairment affects the Group’s result and financial position, as the subsidiary’s result is continuously recognised in the consolidated financial statements. The impairment is an effect of reduced confidence in the future revenues of the subsidiary’s operations. The impairment of shares in subsidiaries is recognised as a financial item in the Parent Company’s income statement. 50 Annual Report 2025
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NOTE 24 OTHER NON-CURRENT RECEIVABLES The amount relates to deposits paid for lease agreements. Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Opening acquisition cost 200 300 0 0 Disposals 0 -100 0 0 Disposals 200 200 0 0 NOTE 25 TRADE RECEIVABLES AND CONTRACT ASSETS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Trade receivables, gross 4 189 2 367 0 0 Allowance for doubtful receivables 0 -94 0 0 Accrued income (contract assets) 0 0 0 0 Total 4 189 2 273 0 0 Group Parent Company Maturity analysis of non-impaired trade receivables 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Not past due 2 121 1 583 0 0 1-30 days 1 928 490 0 0 31-90 days 68 64 0 0 91-180 days 72 32 0 0 More than 181 days 0 104 0 0 Total 4 189 2 273 0 0 During the year, the Group recognised 1 TSEK (94) as bad debt expense. At the balance sheet date, trade receivables amounting to 2,068 TSEK (596) were past due without any impairment being considered necessary. The maximum exposure to credit risk at the balance sheet date is the carrying amount of trade receivables and contract assets, which corresponds to their recognised value. NOTES NOTE 26 PREPAID EXPENSES AND ACCRUED INCOME Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Prepaid rent expenses 176 171 0 0 Prepaid lease payments 64 2 0 0 Prepaid insurance 56 53 23 20 Other items 225 217 54 73 Total 521 443 77 93 51 Annual Report 2025
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NOTE 27 CASH AND CASH EQUIVALENTS NOTE 28 EARNINGS PER SHARE Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Bank balances 17 298 4 314 12 658 2 796 Total 17 298 4 314 12 658 2 796 Group 2025 2024 Profit for the year (TSEK) - parent company’s shareholders -8 041 -10 158 Weighted average number of outstanding ordinary shares* 236 958 277 210 166 542 Earnings per share before/after dilution (SEK) -0.03 -0.05 * The weighted average number of outstanding shares has been calculated as a weighted average over the period. The number of shares has changed during the year as a result of share issues. NOTE 29 SHARE CAPITAL Change shares Increase share capital SEK Total number shares Total share capital SEK Quota value SEK New share issue 2021 15 750 000 787 500 47 954 773 2 397 739 0.05 New share issue 2022 18 816 022 940 800 66 770 795 3 338 539 0.05 Set-off issue 2023 1 100 000 55 000 67 870 795 3 393 539 0.05 Non-cash issue 2023 111 612 230 5 580 612 179 483 025 8 974 151 0.05 Issue of shares through warrants 2024 5 000 000 250 000 184 483 025 9 224 151 0.05 New share issue 2024 23 932 432 1 196 622 208 415 457 10 420 773 0.05 New share issue 2024 1 765 597 88 280 210 181 054 10 509 053 0.05 New share issue 2025 49 428 385 2 471 419 259 609 439 12 980 472 0.05 Set-off issue 2025 563 142 28 157 260 172 581 13 008 629 0.05 The share capital of Nosa Plugs AB amounted to SEK 13,008,629 at the end of the reporting period, and the number of shares amounted to 260,172,581, corresponding to a quota value of SEK 0.05 per share. According to the Articles of Association, the share capital shall be not less than SEK 5,000,000 and not more than SEK 20,000,000, and the number of shares shall be not less than 100,000,000 and not more than 400,000,000. Each share in the company entitles the holder to one vote at the general meeting, and each shareholder is entitled to vote for all shares held by them without limitation in voting rights. All shares in the company carry equal rights to dividends and to the company’s assets and any surplus in the event of liquidation. NOTES 52 Annual Report 2025
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Nosa Plugs AB Share option programme series 2024/2029 The Annual General Meeting on 3 May 2024 resolved to issue a maximum of 2,587,500 share options within the framework of an incentive programme for the company’s employees and certain consultants, of which a total of 1,842,500 share options were subscribed for and 1,342,500 share options remained outstanding after 500,000 share options were cancelled in accordance with a resolution at the Extraordinary General Meeting on 23 October 2025. For each share option acquired, market-based consideration has been paid calculated in accordance with Black & Scholes. Each share option entitles the holder to subscribe for one new share in the company at a subscription price of SEK 1.63 per share during the period 1 July 2027 – 30 June 2029. Upon full exercise of the outstanding share options, the share capital may increase by a maximum of SEK 67,125. Share option programme series 2025/2030 The Extraordinary General Meeting on 23 October 2025 resolved to issue a maximum of 2,000,000 share options within the framework of a new incentive programme for senior executives, key employees and certain consultants, which in its entirety replaced the incentive programme adopted at the Annual General Meeting 2025, of which in total 1,150,000 share options were subscribed for and allotted. Each share option in the programme entitles the holder to subscribe for one new share in the company at a subscription price of SEK 1.685 per share. Subscription of shares with the support of the share options may take place during the period from 1 January 2029 up to and including 31 October 2030. For each share option acquired, market-based consideration has been paid calculated in accordance with Black & Scholes. Upon full exercise of the subscribed and allotted share options in the new programme, the share capital may increase by a maximum of SEK 57,500. Upon full exercise of all outstanding share options in the three outstanding option programmes, in accordance with the terms for subscription of new shares in Nosa Plugs, this corresponds to a dilution effect of approximately 1.1%. Apart from the above-mentioned share option programmes, there are currently no other outstanding share options, convertibles or similar financial instruments that may entitle subscription of new shares or otherwise affect the share capital of the company. NOTE 30 SHARE OPTIONS NOTE 31 OTHER CONTRIBUTED CAPITAL Other contributed capital has arisen from share issues carried out at a premium. Share issues conducted during 2025 increased contributed capital by TSEK 32,649, after deduction of issue costs of TSEK 2,386. NOTE 32 PROPOSED APPROPRIATION OF EARNINGS The following earnings (SEK) are at the disposal of the Annual General Meeting: Share premium reserve 626 288 613 Retained earnings (loss) -523 554 405 Loss for the year -11 529 403 91 204 805 The Board of Directors proposes that the following amount be carried forward: 91 204 805 NOTES 53 Annual Report 2025
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NOTE 33 DEFERRED TAX LIABILITY Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Deferred tax liability Trademarks 4 505 0 0 0 Total 4 505 0 0 0 Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Liabilities falling due within 1 year 7 547 0 0 0 Liabilities falling due within 2–5 years 5 660 0 0 0 Total 13 207 0 0 0 2025-01-01 Acquisition of operations Recognised in profit or loss 2025-12-31 Group Trademarks 0 4 827 -322 4 505 Total 0 4 827 -322 4 505 NOTE 34 LEASE LIABILITIES NOTE 35 OTHER NON-CURRENT LIABILITIES Group 2025-12-31 2024-12-31 Due within 1 year 231 444 Due within 2–5 years 0 229 Total 231 673 NOTES Changes in deferred tax are presented in the table below: Deferred tax on trademarks has arisen during the year as a result of the acquisition of Pharmacure Health Care International AB. Other non-current liabilities relate to contingent consideration for shares in Pharmacure Health Care International AB, which were acquired during the year. The short-term portion of the contingent consideration is included in the Group’s statement of financial position under Other current liabilities. 54 Annual Report 2025
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NOTE 38 ACCRUED EXPENSES AND DEFERRED INCOME NOTE 39 ADJUSTMENTS FOR ITEMS NOT INCLUDED IN CASH AND CASH EQUIVALENTS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Personnel-related items 2 594 388 0 0 Other items 647 445 175 175 Total 3 241 833 175 175 Group Parent Company Non-cash items: 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Depreciation and amortisation 3 914 1 880 0 0 Foreign exchange adjustments 87 -54 0 0 Total 4 001 1 826 0 0 NOTE 37 OVERDRAFT FACILITY NOTE 36 LIABILITIES TO CREDIT INSTITUTIONS Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Approved amount 500 500 0 0 Total 500 500 0 0 Group Parent Company 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Liabilities falling due within 1 year 0 333 0 0 Total 0 333 0 0 55 Annual Report 2025
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NOTE 41 CASH FLOW ATTRIBUTABLE TO FINANCING ACTIVITIES Group Liabilities to credit institutions 2025 2024 Opening balance 333 838 Cash flow from financing activities: Amortisation -333 -505 Total 0 333 Group Lease liabilities 2025 2024 Opening balance 673 1 039 Cash flow from financing activities: Amortisation -442 -366 Total 231 673 Group Overdraft facility 2025 2024 Opening balance 0 0 Cash flow from financing activities: Drawdown of credit 485 0 Total 485 0 NOTE 40 ACQUISITION OF SUBSIDIARIES Group Parent Company 2025 2024 2025 2024 Cash and cash equivalents in acquired companies -650 0 0 0 Purchase price, instalment payment -11 554 0 0 0 Total -12 204 0 0 0 NOTES NOTE 42 RELATED PARTY TRANSACTIONS Purchases and sales between the parent company and subsidiaries have been eliminated in the consolidated financial statements, and disclosures regarding these transactions are presented in Note 6. The parent company has short-term receivables from subsidiaries amounting to TSEK 16,569 (5,300) and liabilities of TSEK 0 (0). The subsidiary NoseOption AB has received an unconditional shareholder contribution of TSEK 10,000 (10,000) from the parent company. Apart from purchases of consulting services from key management personnel, no purchases or sales have taken place between the Group and related parties. Information on salaries and other remuneration to key management personnel and other related parties is presented in Note 10. 56 Annual Report 2025
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NOTE 43 PLEDGED ASSETS AND CONTINGENT LIABILITIES Group Parent Company Pledged assets 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Corporate mortgages 6 100 2 000 0 0 Total 6 100 2 000 0 0 NOTES Group Parent Company Liabilities for which security has been pledged 2025-12-31 2024-12-31 2025-12-31 2024-12-31 Liabilities to credit institutions 0 333 0 0 Total 0 333 0 0 NOTE 44 SIGNIFICANT EVENTS AFTER THE END OF THE FINANCIAL YEAR • NOSA launched the product Nozoil on the Austrian pharmacy market during the period, in collaboration with the pharmacy wholesaler PHOENIX Austria. The launch means that the product is distributed through approximately 1,400 pharmacies in the country, both through physical pharmacies and online. The collaboration is part of the company’s strategy to expand the distribution of Nozoil in the European market. • NOSA entered into a distribution partnership with Abena Sweden regarding the product NOSA Odor Control. Through this collaboration, the product becomes available for sale in the Swedish market via Abenas established distribution channels to, among others, healthcare, elderly care and other organisations. The collaboration represents an expansion of the existing partnership between the companies, which previously covered Denmark and France. • Researchers at Lund University published a scientific study demonstrating that NOSA’s intranasal drug delivery platform, Drug Delivery, can deliver therapeutic levels of pharmaceuticals to the brain. The results strengthen the proof of concept for the technology and indicate that the platform may enable effective drug administration through potential penetration of the blood– brain barrier. The company intends to continue working towards commercialisation of the technology through collaborations with pharmaceutical companies. NOTE 45 DEFINITIONS OF KEY RATIOS Operating profit (EBIT) Profit before net financial items. Earnings before interest, taxes, depreciation and amortisation (EBITDA) Profit before tax, financial items and depreciation/amortisation. Gross margin Total net sales less the cost of all goods sold, expressed as a percentage of total net sales. Equity ratio Equity as a percentage of total assets. Earnings per share before dilution Profit for the period after tax attributable to the parent company’s shareholders divided by the weighted average number of shares outstanding during the period. Earnings per share after dilution Profit for the period after tax attributable to the parent company’s shareholders divided by the weighted average number of shares outstanding during the period, including shares that may be issued as a result of potential shares, which give rise to a dilution effect, converted to all shares. If the result is negative, no consideration is given to the dilution effect, as this would improve earnings per share. Only option programmes where the subscription price was below the average market price during the period may give rise to a dilution effect. Average number of employees Average number of employees during the period, converted to full-time equivalents. 57 Annual Report 2025
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NOTE 46 BUSINESS COMBINATION Acquisition of Pharmacure Health Care International AB On 8 September 2025, NoseOption AB acquired 100% of the outstanding shares in Pharmacure Health Care International AB. In connection with the acquisition, 47.5% of the total preliminary purchase consideration of TSEK 25,155 was paid, partly through cash and partly through payment with 563,142 newly issued shares valued at TSEK 394. The total preliminary additional purchase consideration amounts to TSEK 13,059 and is to be settled after 12 months at 17.5%, after 15 months at 12.5%, after 24 months at 15% and after 27 months at 7.5%. Below, the effects of the acquisition of Pharmacure on the Group’s financial position are specified. The acquisition analysis is preliminary, and the final analysis of the acquired net assets will be completed within one year from the acquisition date. The difference between the purchase consideration and the fair value of the company’s identifiable assets and liabilities has been allocated to goodwill. The acquisition of Pharmacure adds a strong, established brand which, together with synergies from NOSA’s existing operations, is expected to create significant revenue growth for the Group. TSEK Fair value of acquired assets and liabilities Trademarks 23 434 Trade receivables 3 221 Other receivables 84 Cash and cash equivalents -650 Deferred tax liability -4 827 Trade payables -1 297 Other current liabilities -4 112 Net identifiable assets and liabilities 15 852 Purchase consideration 25 155 Goodwill arising on acquisition 9 303 Cash flow impact: Consideration paid Cash and cash equivalents (acquired) -650 Set-off issue (non-cash) 394 Contingent consideration (unsettled) 13 340 Net cash impact -12 072 If the acquired company had been consolidated from the beginning of the reporting period, its contribution to the Group’s net sales would have been TSEK 16,568 and to the Group’s operating profit TSEK -2,842. The presented figures also include net sales and results from other business segments than those acquired. The acquired company contributed net sales of TSEK 5,402 and operating profit of TSEK 1,289 for the period from the acquisition date up to and including 31 December 2025. Acquisition-related costs amounted to TSEK 603 and are recognised as part of the acquisition cost in the parent company and as other external expenses in the Group. 58 Annual Report 2025
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59 Nosa Plugs AB (publ) Nosa Plugs AB Surbrunnsgatan 42 113 48 Stockholm www.nosaplugs.com CEO: adrian.liljefors@nosaplugs.com Contacts FNCA Sweden AB (cert. Advisor) Box 5855 102 40 Stockholm Karin Nilsson CFO Karin.nilsson@nosaplugs.com Adrian Liljefors CEO Adrian.liljefors@nosaplugs.com
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60 Nosa Plugs AB (publ) The annual report and the consolidated financial statements have been approved for issuance by the Board of Directors on 17 April 2026. The Group’s income statement and statement of financial position, and the parent company’s income statement and balance sheet, will be submitted for adoption at the Annual General Meeting on 8 May 2026. The Board of Directors and the Chief Executive Officer hereby certify that the annual report has been prepared in accordance with the Annual Accounts Act and RFR 2 Accounting for Legal Entities, and that it gives a true and fair view of the Company’s financial position and results of operations, and that the Directors’ Report provides a fair overview of the development of the Company’s operations, financial position and results, and describes significant risks and uncertainties facing the Company. The Board of Directors and the Chief Executive Officer further certify that the consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the EU, and give a true and fair view of the Group’s financial position and results of operations, and that the Directors’ Report for the Group provides a fair overview of the development of the Group’s operations, financial position and results, and describes significant risks and uncertainties facing the companies included in the Group. Statement of Assurance Susanna Francke Rodau Board Member Dan Josefsberg Chairman of the Board Adrian Liljefors Chief Executive Officer Johan Prom Board Member Anders Håkansson Board Member Dan Mangell Board Member Tomas Ludvigsson Board Member Stockholm, date as shown by our electronic signatures Our auditor’s report was issued on 17 april, 2026 Forvis Mazars AB Samuel Bjälkemo Authorized Public Accountant
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Opinions We have audited the annual report and the consolidated financial statements of Nosa Plugs AB (publ) for the year 2025. The annual report and the consolidated financial statements are included on pages 17–60 of this document. In our opinion, the annual report has been prepared in accordance with the Annual Accounts Act and presents fairly, in all material respects, the financial position of the parent company as of 31 December 2025 and its financial performance and cash flows for the year in accordance with the Annual Accounts Act. The consolidated financial statements have been prepared in accordance with the Annual Accounts Act and present fairly, in all material respects, the financial position of the Group as of 31 December 2025 and its financial performance and cash flows for the year in accordance with International Financial Reporting Standards (IFRS), as adopted by the EU, and the Annual Accounts Act. The Directors’ Report is consistent with the other parts of the annual report and the consolidated financial statements. We therefore recommend that the General Meeting adopts the income statement and balance sheet for the parent company and the Group. Basis for Opinions We conducted our audit in accordance with International Standards on Auditing (ISA) and generally accepted auditing standards in Sweden. Our responsibilities under those standards are further described in the section Auditor’s Responsibilities. We are independent of the parent company and the Group in accordance with good auditor ethics in Sweden and have otherwise fulfilled our ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinions. Other Information than the Annual Report and Consolidated Financial Statements This document also contains other information than the annual report and consolidated financial statements and is found on pages 1–16. The Board of Directors and the Chief Executive Officer are responsible for this other information. Our opinion regarding the annual report and the consolidated financial statements does not cover this information and we do not express any form of assurance conclusion regarding this other information. In connection with our audit of the annual report and the consolidated financial statements, our responsibility is to read the information identified above and consider whether the information is materially inconsistent with the annual report and consolidated financial statements. In this review we also consider the knowledge otherwise obtained during the audit and assess whether the information otherwise appears to be materially misstated. If, based on the work performed regarding this information, we conclude that the other information contains a material misstatement, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Board of Directors and the Chief Executive Officer The Board of Directors and the Chief Executive Officer are responsible for the preparation of the annual report and consolidated financial statements and that they give a true and fair view in accordance with the Annual Accounts Act and, regarding the consolidated financial statements, in accordance with IFRS as adopted by the EU. The Board of Directors and the Chief Executive Officer are also responsible for such internal control as they determine is necessary to enable the preparation of an annual report and consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the annual report and consolidated financial statements, the Board of Directors and the Chief Executive Officer are responsible for assessing the company’s and the Group’s ability to continue as a going concern. They disclose, as applicable, matters that may affect the ability to continue as a going concern and to use the going concern basis of accounting. The going concern assumption is not applied if the Board of Directors and the Chief Executive Officer intend to liquidate the company, cease operations, or have no realistic alternative but to do so. Auditor’s Report To the General Meeting of Nosa Plugs AB (publ) Corporate registration number 556959-2867 Report on the Annual Report and Consolidated Financial Statements AUDITOR’S REPORT 61 Annual Report 2025
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Auditor’s Responsibilities Our objectives are to obtain reasonable assurance about whether the annual report and the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISA and generally accepted auditing standards in Sweden will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the annual report and consolidated financial statements. As part of an audit in accordance with ISA, we exercise professional judgment and maintain professional scepticism throughout the audit. We also: • identify and assess the risks of material misstatement in the annual report and the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinions. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentation, or the override of internal control. • obtain an understanding of the company’s internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. • evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors and the Chief Executive Officer. • conclude on the appropriateness of the use of the going concern basis of accounting by the Board of Directors and the Chief Executive Officer and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s and the Group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the annual report and consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of the auditor’s report. However, future events or conditions may cause a company or a group to cease to continue as a going concern. • evaluate the overall presentation, structure and content of the annual report and consolidated financial statements, including the disclosures, and whether the annual report and consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation. • obtain sufficient and appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our opinions. We must inform the Board of Directors of, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. AUDITOR’S REPORT 62 Annual Report 2025
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AUDITOR’S REPORT Report on Other Legal and Regulatory Requirements Opinions In addition to our audit of the annual report and consolidated financial statements, we have also audited the administration of the Board of Directors and the Chief Executive Officer of Nosa Plugs AB (publ) for the year 2025, as well as the proposed appropriations of the company’s profit or loss. We recommend to the General Meeting that the profit be appropriated in accordance with the proposal in the Directors’ Report and that the members of the Board of Directors and the Chief Executive Officer be discharged from liability for the financial year. Basis for Opinions We conducted the audit in accordance with generally accepted auditing standards in Sweden. Our responsibilities under those standards are further described in the section Auditor’s Responsibilities. We are independent of the parent company and the Group in accordance with good auditor ethics in Sweden and have otherwise fulfilled our ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinions. Responsibilities of the Board of Directors and the Chief Executive Officer The Board of Directors is responsible for the proposal regarding the appropriation of the company’s profit or loss. In the case of a proposed dividend, this includes, among other things, an assessment of whether the dividend is justifiable considering the requirements that the nature, scope and risks of the company’s and the Group’s operations place on the size of the parent company’s and the Group’s equity, consolidation requirements, liquidity and position in general. The Board of Directors is responsible for the company’s organisation and the management of the company’s affairs. This includes, among other things, continuously assessing the company’s and the Group’s financial situation and ensuring that the company’s organisation is designed so that accounting, asset management and the company’s financial affairs in general are controlled in a satisfactory manner. The Chief Executive Officer shall manage the ongoing administration in accordance with the Board of Directors’ guidelines and instructions and, among other things, take the measures necessary to ensure that the company’s accounting is carried out in accordance with law and that asset management is handled in a satisfactory manner. Auditor’s Responsibilities Our objective regarding the audit of the administration, and thereby our opinion on discharge from liability, is to obtain audit evidence to assess with reasonable assurance whether any member of the Board of Directors or the Chief Executive Officer in any material respect: • has undertaken any action or been guilty of any omission which may give rise to liability to the company, or • has in any other way acted in contravention of the Swedish Companies Act, the Annual Accounts Act or the Articles of Association. Our objective regarding the audit of the proposed appropriations of the company’s profit or loss, and thereby our opinion on this, is to assess with reasonable assurance whether the proposal is in accordance with the Swedish Companies Act. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with generally accepted auditing standards in Sweden will always detect actions or omissions that may give rise to liability to the company, or that a proposal for appropriations of the company’s profit or loss is not in accordance with the Swedish Companies Act. As part of an audit in accordance with generally accepted auditing standards in Sweden, we exercise professional judgment and maintain professional scepticism throughout the audit. The examination of the administration and the proposed appropriations of the company’s profit or loss is based primarily on the audit of the accounts. Which additional audit procedures are performed is based on our professional judgment, taking into account risk and materiality. This means that we focus the examination on such actions, areas and relationships that are material for the operations and where deviations and breaches would have particular significance for the company’s situation. We review and test decisions undertaken, the basis for decisions, measures taken and other circumstances that are relevant to our opinion on discharge from liability. As a basis for our opinion on the Board of Directors’ proposal for appropriations of the company’s profit or loss, we have examined whether the proposal is in accordance with the Swedish Companies Act. Our auditor’s report was issued in Stockholm on the date shown by our electronic signatures. Forvis Mazars AB Samuel Bjälkemo Authorized Public Accountant 63 Annual Report 2025