Interim report
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1 NOTE’s Interim report Q3 2025 Financial performance in July-September • Sales amounted to SEK 830 (809) million. Adjusted for currency effects, organic growth was 6%. • Operating profit was SEK 74 (64) million. Adjusted operating profit was SEK 77 (67) million, adjusted for revaluations of operating assets and liabilities in foreign currencies. • The operating margin amounted to 9.0% (8.0%). The adjusted operating margin was 9.3% (8.3%). • Profit after financial items was SEK 67 (55) million. • Profit after tax amounted to SEK 54 (43) million, corresponding to SEK 1.92 (1.52) per share. • Adjusted for items affecting comparability, such as investments in the property in Torsby, Sweden and acquisition-related pay- ments made in the comparative period, operating cash flow amounted to SEK 121 (157) million. Total cash flow after investments amounted to SEK 105 (120) million, or SEK 3.69 (4.21) per share. Financial performance in January-September • Sales amounted to SEK 2,813 (2,876) MSEK. Organic growth was 0%, currency adjusted. • Operating profit was SEK 268 (254) million. Adjusted operating profit was SEK 271 (256) million, adjusted for revaluations of operating assets and liabilities in foreign currencies, and for a SEK 18 million provision for restructuring of the UK operation in the first quarter. • The operating margin amounted to 9.5% (8.8%). The adjusted operating margin was 9.6% (8.9%). • Profit after financial items was SEK 243 (219) million. • Profit after tax amounted to SEK 196 (175) million, corresponding to SEK 6.84 (6.06) per share. • Adjusted for items affecting comparability, such as investments in the property in Torsby, Sweden and acquisition-related pay - ments made in the comparative period, operating cash flow amounted to SEK 379 (398) million. Total cash flow after investments amounted to SEK 317 (341) million, or SEK 11.13 (11.97) per share. Interim Report Q3 2025 ** Operating margin adjusted for revaluations of operating assets and liabilities in foreign currency. Also for non-recurring items, by SEK -5 m in Q4 2021, SEK +30 m in Q3 2022, SEK -15 m in Q4 2022, SEK -12 m in Q4 2023, SEK +7 m in Q3 2024 and SEK +18 m in Q1 2025. * NOTE Haddenham is included from June 2021, NOTE Herrljunga from July 2022, NOTE Sofia from April 2023, and NOTE Basildon from July 2023. 1200 1400 1600 1800 2000 2200 2400 2600 2800 3000 3200 3400 3600 3800 4000 4200 202520242023202220212020 Net sales, rolling 12 months * SEK m 6 7 8 9 10 202520242023202220212020 % Operating margin, rolling 12 months **
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2 NOTE’s Interim Report Q3 2025 Events in January-September • The resolutions of the AGM on 24 April included approving a dividend of SEK 7 (–) per share, corresponding to SEK 199.4 million, and on cancelling the 500,000 shares the company re-purchased and held in treasury. The background to this resolution is the company’s high profitability and rationalisation of working capital tied-up, which has generated strong cash flows. • In early April, Swedish telecom company Waystream announced it had appointed NOTE as exclusive production partner for its products. NOTE commenced the production partnership when Waystream saw the advantages of inshoring production into Sweden in addition to resources already in place in Asia. The collaboration between Waystream and NOTE’s Lund plant progressed well in the year, and the partnership will intensify now that NOTE is becoming Waystream’s exclusive production partner. NOTE Lund’s pre - vious volume share was approx. 60%, the transition to full volume was completed in the summer. Waystream’s sales were SEK 115 million in 2024, representing growth of 15%, and it enjoys a secure market position in its segment. • In early-July, NOTE announced an upscaled partnership with an existing customer in the Security & Defence segment. This custo - mer has decided to place an order worth SEK 132 million with NOTE, with sales scheduled to start in October 2025, and continue for a two-year period. • In September, NOTE announced that it had appointed Bahare Mackinovski as its Chief Sales & Marketing Officer. This appoint - ment is a strategic step in the company’s long-term investment in growth, increased customer value and greater market presence. Bahare has been a Board member of NOTE since 2015, but gave up her Board seat to take on an executive role within Group Mana- gement at year-end. Events after the end of the period • At the end of September, NOTE reported that the company had signed an agreement to acquire 100% of the shares of Kas- don Group, a UK electronics contract manufacturer with strong positioning in the defence sector, which accounts for 50% of the company’s revenue. This acquisition advances NOTE’s positioning on the UK EMS market, and brings strategic depth in this high- demand segment. Kasdon reported revenues of just over GBP 12 million in 2024/2025 and has ambitious growth plans. The initial purchase consideration is GBP 28.2 million, on a cash-free/debt-free basis, with a potential maximum earn-out of GBP 5.9 million, or a total purchase consideration of GBP 34.1 million, equivalent to an adjusted EV/EBITDA multiple of about 6. This acquisition is being financed from NOTE’s existing cash and credit facilities, with a minority potentially payable in NOTE shares. The transaction is subject to approval under the UK National Security & Investment Act and is scheduled to close in mid-October 2025.
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3 NOTE’s Interim Report Q3 2025 CEO’s comments We’re returning to growth despite a continued slow market I’m pleased to report that we achieved growth in the third quarter. We’ve made this turnaround in a period of geopolitical tensions, economic uncertainty and altered trading conditions impacting our sector and many others, which has delayed recovery. Growth is in the lower range of our expectations, but we know that when the business cycle and demand growth accelerate, we’re well positioned. Our sector is in an exciting phase, with trends like regionalisation, electrification and security & defence being strong drivers going forward. With our close customer relations- hips and an organisation with proven capability to deliver in every situation, we’re ready to take a leading position. This is why we’re investing, expanding and developing our business even when the business environment is uncertain. Acquisition for expansion and positioning in a strong segment In recent years, we’ve made major investments in capacity and capabilities to stay one step ahead and address the increasingly stringent quality, flexibility and efficiency standards our custo- mers apply. We’re satisfying them by continuing to improve our technology, skills and production flows. We’re aware of our custo- mers plans for growth, and are responding by making substantial investments at several of our plants, which we’re extending to gain more production capacity or relocate to new premises offering more production space and more efficient utilisation of plants. We made our single biggest investment in NOTE when we signed an agreement to acquire UK EMS provider Kasdon at the end of the quarter. Kasdon’s sales are around GBP 12 mil- lion, and it has strong positioning in the defence sector, which generates some 50% of the company’s revenue. This acquisition, scheduled to close in early-Q4, strengthens our positioning on the UK market and brings strategic depth in a high-demand seg- ment. Kasdon has ambitious growth plans in the coming years, combined with high profitability. Strategy for sustainable growth with high profitability Kasdon’s plans are a good fit with NOTE, which has been executing a long-term strategy for sustainable growth with high profitability for many years. Third-quarter sales of SEK 830 mil - lion translate to organic growth of 6%. We still have individual customers, or even whole sectors, facing challenges. In uncer - tain times particularly, we view being an EMS partner to a large base of customers across a variety of sectors and markets as a strength, enabling us to diversify our exposure and risk. With the global outlook, Security & Defence is a segment in high growth, and will remain so. But in this context, we are seeing some defence projects facing challenges associated with the difficulty of scaling up all links in supply chains, causing de- lays to projects that also affect us. Project deferrals, combined with robust growth numbers in the second half-year 2024, mean we’re reporting negative growth in this segment for Q3. One segment that’s returning to growth after having faced chal- lenges for a period is Greentech. I’m delighted that our Greentech segment grew by as much as 47% in the quarter and 23% for the year. The EV companies that previously burdened this segment now represent a substantial growth share. But we’re not just proud of our sales growth, we have an organi- sation with the proven capability to combine quality, flexibility and profitability. Now that we’re achieving growth, we’re seeing that our profitability is rising from an already-high level. The underlying operating margin of 9.3% for the quarter demonstrates that our strategy and work on continuous improvement is paying off. Positioned to keep exploiting the opportunities on the market Sustained high profitability, combined with efficient progress in the utilisation of working capital generated continued high cash flows, with SEK 121 million of operating cash flow in the quarter, corresponding to SEK 379 million for the year. With an equity to assets ratio of 50% and net debt of SEK 27 million (adjusted for leased premises pursuant to IFRS 16), we have stability and room to manoeuvre, even after the expected completion of the Kasdon takeover in Q4, and are thus well positioned to exploit the opportunities on the market. Cautious recovery on a slow market The market remains hesitant, which is causing caution among customers that is delaying the recovery. More uncertain market conditions mean many customers are deferring order placement. Currency adjusted, total order backlog is unchanged on the pre- vious year. Overall, we anticipate sales in the SEK 1,000-1,050 million interval in the fourth quarter, which includes a negative currency effect of SEK 30-40 million, with an operating margin in the 10.0–11.0% interval. Given the positive drivers for the sector, our strong positioning as an EMS partner and efficient organisation, we’re ready to meet the demand that lies ahead. Johannes Lind-Widestam I’m delighted that we ´re now able to report the growth we’ve been anticipating for some time. This is also being reflected in our profitability, which is continuing the increase from an al- ready high level.
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4 NOTE’s Interim report Q3 2025 Sales Comments to Q3 0 100 200 300 400 500 600 700 800 Q3Q2Q1Q4Q3Q2Q1 0 2 4 6 8 10 12 14 16 SEK m %Western Europe The operating margin in the above chart has been adjusted for non-recurring items 0 100 200 300 400 500 600 700 800 Q3Q2Q1Q4Q3Q2Q1 0 2 4 6 8 10 12 14 16 SEK m %Rest of World Operating margin 0 200 400 600 800 1000 1200 Net sales Q3Q2Q1Q4Q3Q2Q1 0 2 4 6 8 10 12 SEK m %Net sales and Operating margin Group, July-September Sales in the quarter progressed in line with expectations and were SEK 830 (809) million. Adjusted for currency effects of -3%, organic growth was 6%. Group, July-September Sales in the first three quarters were SEK 2,813 (2,876) million. Adjusted for currency effects of -2%, organic growth was 0%. Uncertainty on the market caused caution at the customer level in terms of placing longer-term orders. Currency adjusted, the total order backlog was unchanged on the corresponding point of the previous year. NOTE’s 15 largest customers in sales terms represented 47% (44%) of sales in the period. No single customer (group) made up more than approx. 6% (5%) of total sales. the third quarter, with growth for the first three quarters being -5%. Rest of World The Rest of World operating segment consists of our units in Estonia, China and Bulgaria. They are located close to major end markets and regions with strong production traditions and high skills levels. Sales from Rest of World, which faced challenges in the pre- vious year, were up by 28% in the quarter and 10% for the first three quarters of the year. Sales from the Estonian plant, which are mainly to customers in northern Europe, achieved growth of 22% for the quarter and 8% for the first three quarters. Sales from the plant in China were up by 39% in the quarter and by 10% for the period overall. Sales from NOTE’s plant in Bulgaria, a smaller unit, increased sharply, as expected. Intra-group Intra-group consists of business support functions in the parent company and the sourcing operations of NOTE Components. Group eliminations are also included. Operating segments The operating margin in the above chart has been adjusted for non-recurring items Operating margin in the above chart is adjusted for revalua - tions of operating assets and liabilities in foreign currency, also for non-recurring items, by SEK +7 m net in Q3 2024 and SEK +18 m net in Q1 2025. Western Europe NOTE’s Western Europe operating segment consists of units located in geographical regions with high industrial activity and innovation standards in Sweden, Finland and the UK. Demand from the Western Europe segment reduced by 5% in the quarter and 6% for the first three quarters of the year. Sales in Sweden, NOTE’s largest market, were in growth for the year. Growth of 6% was achieved in the third-quarter, and for the first three quarters, was 3%. Progress in Sweden varies between plants and is closely linked to their customers and the progress of customer projects. The UK market continued to face challenges, with sales down by -34% in the first three quarters of the year. Given the challenges on the UK market, NOTE took a decision in the first quarter to consolidate the UK operation and closed the smal - lest of its UK plants in the year. A majority of the customers transferred to other NOTE operations. Sales from the Finnish plant, which makes up a smaller unit of the group, increased sharply in the previous year, achieving 37% growth for the full year. With the brisk growth of the pre - vious year, and thus high comparative figures, sales slowed in
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5 NOTE’s Interim Report Q3 2025 0 100 200 300 400 500 Q3Q2Q1Q4Q3Q2Q1 Security & DefenceSEK m 0 100 200 300 400 500 Q3Q2Q1Q4Q3Q2Q1 IndustrialSEK m 0 100 200 300 400 500 Q3Q2Q1Q4Q3Q2Q1 MedtechSEK m 0 100 200 300 400 500 Q3Q2Q1Q4Q3Q2Q1 CommunicationSEK m NOTE divides its sales into five customer segments: Industrial, Security & Defence, Communication, Medtech and Greentech. Industrial The manufacture of products in segments like automation, con- trol, infrastructure, energy and construction technology. NOTE’s largest customer segment saw growth of 1% for the quarter, and negative growth of 10% for the first three quarters of the year. Previously, Defence was included in this segment, but effective 2025 (and in comparative figures) is reported as a sepa- rate segment. Progress between customers varies, and there was one UK customer that had an especially large impact because it zeroed volumes in the first half-year due to inventory adaptation; NOTE resumed shipments to this customer in the third quarter. A customer of one of the Swedish plants experienced declining demand from its customer base, which had a sizeable negative impact on NOTE’s volumes focused on the first two quarters of the year. Security & Defence Manufacture of products intended for the defence industry and other security solutions that may have defence, commercial and personal applications. Previously a sub-segment, mainly of Industrial. The segment was in expansive growth in the previous year, increasing by 91%. Sales growth was especially high late in the previous year. Given the high comparative figures and periodicity of shipments to defence projects, sales were down 12% in the third quarter. For the first three quarters of the year overall, sales were up by 8%. Communication Manufacture includes network products, antennae and IoT devices. The segment, which was negatively impacted by delayed in- vestments linked to the roll-out of the 5G network and the resul - ting postponement of field installations of customers’ products, achieved growth of 6% in the third quarter. A 4% decrease was reported for the first three quarters overall. Medtech Medical technology products in diagnostics, treatment and X-ray are the foundation of this segment. Sales decreased by 22% in the quarter and were down by 10% for the first three quarters of the year. Medtech was also subject to variation between customers, but market uncertainty meant that several customers experienced reduced demand for their products, resulting in lower output. Greentech The Greentech segment consists of customers active in the green technology transition. The segment achieved growth of 47% for the third quar- ter, and 23% for the first three quarters of the year. Variation between customers was substantial, with one customer zeroing Customer segments0 100 200 300 400 500 Q3Q2Q1Q4Q3Q2Q1 Greentech SEK m
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6 NOTE’s Interim report Q3 2025 volumes in the period, and others in high growth. Greentech has faced growth challenges for some time, and the EV companies that previously burdened the segment now represent a substan - tial growth share. Results of operations Group, July-September Gross profit was SEK 111 (101) million, with a gross margin of 13.3% (12.5%). Sales and administration overheads for the period were SEK 34 (35) million. As a share of sales, overheads were 4.1% (4.3%). The UK operation’s restructuring is a partial explanation for the reduction between periods, with employees and other expenses changing functions, which is reflected in cost of goods sold and covered by gross profit. Other operating income/expenses were SEK -3 (-2) million, mainly consisting of revaluations of operating assets and liabili- ties in foreign currencies. Operating profit for the period was SEK 74 (64) million, with an operating margin of 9.0% (8.0%). Adjusted for revaluations of operating assets and liabilities in foreign currencies, adjusted operating profit was SEK 77 (67) million, and the adjusted opera- ting margin was 9.3% (8.3%). Lower net debt, and a lower interest rate, were contributors to financial expenses reducing to SEK -6 (-9) million net. Revalua- tions of financial assets and liabilities in foreign currencies, such as factoring liabilities in foreign currencies, amounted to SEK -1 (-1) million. In total, net financial items for the period were SEK -7 (-10) million. Profit after financial items was SEK 67 (55) million, equivalent to a profit margin of 8.1% (6.8%). Profit after tax was SEK 54 (43) million, or SEK 1.92 (1.52) per share. The tax expense for the period was equivalent to 19% (22%) of profit before tax. Group, January-September Gross profit was SEK 375 (371) million, with a gross margin of 13.3% (12.9%). Sales and administration overheads for the period were SEK 104 (115) million. As a share of sales, overheads were 3.7% (4.0%). The UK operation’s restructuring is a partial explanation for the reduction between periods, with employees and other expenses changing functions, which is reflected in cost of goods sold and covered by gross profit. Other operating income/expenses were SEK -3 (-2) million. This item, which usually consists of revaluations of operating assets and liabilities in foreign currencies, included an SEK 18 million provision for restructuring the UK operation in the first quarter. Operating profit for the period was SEK 268 (254) million, with an operating margin of 9.5% (8.8%). Adjusted operating profit amounted to SEK 271 (256) million, and the adjusted operating margin was 9.6% (8.9%). The adjustment was for revaluations of operating assets and liabilities in foreign currencies and the restructuring provision of SEK 18 million. Lower net debt, and a lower interest rate, were contributors to financial expenses decreasing to SEK -22 (-32) million net. Revaluations of financial assets and liabilities in foreign curren - cies, such as factoring liabilities in foreign currencies, amounted to SEK -3 (-3) million. In total, net financial items for the period were SEK -25 (-35) million. Profit after financial items was SEK 243 (219) million, equivalent to a profit margin of 8.6% (7.6%). Profit after tax was SEK 195 (175) million, or SEK 6.84 (6.06) per share. The tax expense for the period was equivalent to 20% (20%) of profit before tax. Cash flow One of NOTE’s key missions is to maintain good and cost-efficient supply of materials to customers. With continued relatively good availability of materials and electronic components, NOTE has worked actively to achieve more effective capital tied up in inven- tory. Capital tied up in inventory was down 17% on the correspon- ding point of the previous year. NOTE is making continuous efforts to monitor credit risks and limit the number of outstanding customer credit days. Accounts receivable-trade were down by 3% year on year. Overdue recei- vables reduced both against the same point of the previous year, and on the previous year-end. Accounts payable-trade mainly consist of purchases of electronic components and other production materials. NOTE is working actively on a partner model on the supplier side, which has implications including sourcing being concentrated on fewer, quality-assured suppliers wherever possible. This working method simultaneously helps rationalise the utilisation of working capital. At the end of the period, accounts payable-trade had increased by 11% on the corresponding point of the previous year. Reduced capital tied-up in working capital and continued positive profit performance generated a positive operating cash flow for the period. Adjusted for items affecting comparability such as investments in the property in Torsby, Sweden, and acquisition- related payments in the comparative period, operating cash flow after investments was SEK 121 (157) million for the quarter. Total cash flow after investments for the same period was SEK 105 (120) million, or SEK 3.69 (4.21) per share. The operating cash flow after investments for the first three quarters of the year was SEK 379 (398) million. Total cash flow after investments for the same period was SEK 317 (341) million, or SEK 11.13 (11.97) per share. Liquidity and net debt NOTE puts a sharp focus on measures that further improve the group’s liquidity and cash flow. The group’s reported available cash and cash equivalents, including unused credit facilities, amounted to SEK 735 (505) million at the end of the period. Excluding estimated financial liabilities on the additional right-of-use assets for leased pro - perties under IFRS 16 (Leases), net debt at the end of the period was SEK 27 (204) million. Equity to assets ratio NOTE has a strong financial position. According to NOTE’s finan - cial targets, its minimum equity to assets ratio should be 30%. At the end of the quarter, the equity to assets ratio was 49.6% (48.8%). The reported equity to assets ratio includes the SEK 199 million dividend paid in the second quarter.
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7 NOTE’s Interim Report Q3 2025 Investments Expenditure on property, plant and equipment in the first three quarters of the year, excluding right-of-use assets for leased properties (IFRS 16 Leases), was SEK 104 (107) million, cor- responding to 3.7% (3.7%) of sales. This expenditure mainly consisted of projects to increase capacity, efficiency and quality. The investment in the ongoing expansion of the Torsby, Sweden plant was SEK 62 (27) million for the period. Planned depreciation on property, plant and equipment, excluding right- of-use assets for leased properties (IFRS 16 Leases), increased to SEK 58 (54) million. Parent company The parent company, NOTE AB (publ), is primarily focused on management, co-ordination and development of the group. Revenue was SEK 72 (68) million in the first three quarters of the year, mainly from intra-group services. Profit before tax amoun - ted to SEK 47 (58) million in the period. Profit for the period includes a SEK 71 million dividend from subsidiaries. Other information Financial definitions Average number of employees Average number of employees calculated on the basis of hours worked. Cash flow per share Cash flow after investments divided by the number of outstanding shares at end of the period. Equity per share Equity divided by the number of outstanding shares at end of the period. Equity to assets ratio Equity as a percentage of total assets. Gross profit margin Gross profit as a percentage of net sales. Net debt Interest-bearing liabilities and provisions less cash and cash equivalents. Net sales per employee Net sales divided by the average number of full-time employees. Operating capital Total assets less cash and cash equivalents, non-interest bearing liabilities and provisions. Operating margin Operating profit as a percentage of net sales. Order backlog A combination of fixed orders and customer forecasts. Profit margin Profit after financial items as a percentage of net sales. Return on equity Net profit as a percentage of the average equity for the most recent twelve-month period. Return on operating capital Operating profit as a percentage of the average operating capital for the most recent twelve-month period. Annual General Meeting The Annual General Meeting in April re-elected the Board Mem - bers Anna Belfrage, Bahare Mackinovski, Charlotte Stjerngren, Johan Hagberg and Egil Dahl. Anna Belfrage was elected Chair- man of the Board. The Meeting approved the Board’s proposed dividend of SEK 7 (-) per share, corresponding to SEK 199.4 million, and cancelation of the 500,000 shares the company re- purchased and held in treasury. The background to this decision is the company’s high profitability and rationalisation of working capital, which has generated strong cash flows. New customer segmentation Effective the first quarter 2025, NOTE reporting its sales in five customer segments: Industrial, Security & Defence, Communica - tion, Medtech and Greentech. Defence was previously a sub- segment of Industrial, and with its high sales growth and NOTE’s continued strategic focus on this segment, reporting is clarified by reporting it separately going forward. Some other customers have also been indicated transferred. Comparative periods have been adjusted to conform to the new segmentation, see below: 2024 2024 2024 2024 External net sales, SEK m Q1 Q2 Q3 Q4 Industrial 477 454 369 425 Security & Defence 112 110 107 172 Communication 149 151 114 143 Medtech 160 167 116 145 Greentech 157 130 103 140 Total external net sales 1,055 1,012 809 1,025 Transactions with related parties There were no transactions with related parties in the period. Significant operational risks NOTE is one of northern Europe’s leading EMS partners. It has especially strong market positioning in the high mix market segment, i.e. for products that require high technology compe - tence and flexibility. NOTE produces PCBAs, subassemblies and box build products. The customer offering covers the complete product lifecycle, from design to after-sales. For a more detailed review of the group’s operational and fi- nancial risks, refer to NOTE’s Annual Report for 2024, specifically to the Report of the Directors on pages 43-45, as well as note 24, Financial risks and finance policy, on pages 65-66. NOTE’s operations set relatively high standards for working capital financing. Accordingly, NOTE puts a sharp focus on managing liquidity risk.
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8 NOTE’s Interim Report Q3 2025 Auditor’s report NOTE AB (publ) org nr 556408-8770 Introduction We have reviewed the condensed interim financial information (interim report) of NOTE AB (publ) as of 30 September 2025 and the nine-month period then ended. The board of directors and the CEO are responsible for the preparation and presentation of the inte - rim financial information in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclu - sion on this interim report based on our review. Scope of Review We conducted our review in accordance with the International Standard on Review Engagements ISRE 2410, Review of Interim Report Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing, ISA, and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all ma- terial respects, in accordance with IAS 34 and the Swedish Annual Accounts Act, regarding the Group, and with the Swedish Annual Accounts Act, regarding the Parent Company. Stockholm, Sweden, 15 October 2025 Andreas Skogh Authorized Public Accountant Öhrlings PricewaterhouseCoopers AB Accounting and valuation principles NOTE observes International Financial Reporting Standards (IFRS) as endorsed by the EU. Significant accounting and valuation principles are stated on pages 54–56 of the Annual Report for 2024. The group’s Interim Report has been prepared in accordance with the Swedish Annual Accounts Act and IAS 34, Interim Financial Reporting. The parent company observes RFR 2. All amounts are in SEK million unless otherwise stated. Discrepancies between reports Swedish and English-language versions of this Report have been produced. In the event of any discrepancy between the two, the Swedish version shall apply. The Board of Directors of NOTE AB (publ) Stockholm, Sweden, 15 October 2025
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9 NOTE’s Interim report Q3 2025 Consolidated summary Quarterly summary 2025 2025 2025 2024 2024 2024 2024 SEK million Q3 Q2 Q1 Q4 Q3 Q2 Q1 Net sales 830 980 1,003 1,025 809 1,012 1,055 Gross margin 13.3% 13.4% 13.3% 14.5% 12.5% 13.7% 12.4% Operating margin 9.0% 10.3% 9.2% 9.5% 8.0% 9.8% 8.6% Profit margin 8.1% 9.6% 8.2% 8.9% 6.8% 8.6% 7.4% Cash flow after investing activities 105 58 156 124 120 137 84 Cash flow per share, SEK 3.69 2.04 5.48 4.35 4.21 4.73 2.90 Equity per share, SEK 55.1 53.6 57.8 57.5 54.1 54.0 51.8 Equity to asset ratio 49.6% 48.9% 49.9% 51.1% 48.8% 49.1% 44.5% Average number of emplyees 1,476 1,467 1,453 1,433 1,455 1,478 1,489 Net sales per employee, SEK 000 562 668 690 715 556 685 709 Five-year summary SEK million Rolling 12 mth. 2024 2023 2022 2021 2020 Net sales 3,838 3,901 4,243 3,687 2,643 1,874 Gross margin 13.6% 13.3% 12.1% 12.8% 13.4% 12.0% Operating margin 9.5% 9.0% 10.1% 9.3% 9.5% 8.0% Profit margin 8.7% 8.0% 9.2% 8.4% 9.0% 7.6% Earnings per share, before dilution, SEK 9.40 8.61 11.04 8.79 6.82 4.11 Cash flow after investing activities 441 465 98 -31 -142 172 Cash flow per share, SEK 15.48 16.33 3.38 -1.07 -4.97 6.06 Equity per share, SEK 55.1 57.5 48.2 37.9 28.0 20.0 Return on operating capital 20.4% 21.5% 24.3% 25.3% 27.6% 22.7% Return on equity 17.1% 18.1% 25.7% 26.8% 28.4% 22.5% Equity to asset ratio 49.6% 51.1% 43.3% 39.7% 37.0% 49.8% Average number of emplyees 1,457 1,465 1,504 1,366 1,218 1,101 Net sales per employee, SEK 000 2,634 2,663 2,821 2,699 2,170 1,702
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10 NOTE’s Interim Report Q3 2025 Income Statement 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Net sales 830 809 2,813 2,876 3,838 3,901 Cost of goods and services sold -719 -708 -2,438 -2,505 -3,315 -3,382 Gross profit 111 101 375 371 523 519 Selling expenses -18 -17 -54 -60 -75 -81 Administrative expenses -16 -18 -50 -55 -69 -74 Other operating income/expenses -3 -2 -3 -2 -13 -12 Operating profit 74 64 268 254 366 352 Net financial income/expenses -7 -9 -25 -35 -32 -42 Profit after financial items 67 55 243 219 334 310 Income tax -13 -12 -48 -44 -66 -62 Profit after tax 54 43 195 175 268 248 Other Comprehensive Income 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Profit after tax 54 43 195 175 268 248 Other comprehensive income Items that can be subsequently reversed in the income statement: Exchange rate differences -12 -1 -66 31 -42 55 Cash flow hedges 0 0 0 0 0 0 Tax on hedges and exchange rate difference 0 0 0 0 0 0 Total other comprehensive income after tax -12 -1 -66 31 -42 55 Comprehensive income after tax 42 42 129 206 226 303 Earnings per Share 2025 2024 2025 2024 Rolling 2024 Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Number of shares at end of period (000) 28,484 28,484 28,484 28,484 28,484 28,484 Weighted average number of shares (000)* 28,484 28,836 28,484 28,934 28,484 28,821 Weighted average number of shares (000)** 28,511 28,836 28,484 28,934 28,484 28,821 Earnings per share, SEK* 1.92 1.52 6.84 6.06 9.40 8.61 Earnings per share, SEK** 1.92 1.52 6.84 6.06 9.40 8.61 * Before dilution ** After dilution Consolidated Financial Reports
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11 NOTE’s Interim report Q3 2025 Balance Sheet 2025 2024 2024 SEK million 30 sep 30 sep 31 dec Assets Goodwill 257 268 272 Intangible assets—customer relationships 22 37 34 Other intangible assets 43 16 21 Right of use assets—rented properties 117 136 131 Property, plant and equipment 475 409 438 Deferred tax assets 15 15 15 Other financial assets 1 1 1 Total non-current assets 930 882 912 Inventories 862 1,067 963 Accounts receivable—trade 786 813 856 Other current receivables 111 82 65 Cash and bank balances 473 316 411 Total current asset 2,232 2,278 2,295 TOTAL ASSETS 3,162 3,160 3,207 Equity and liabilities Equity 1,568 1,541 1,638 Liabilities Long-term interest-bearing liabilities 128 145 144 Long-term liabilities, right of use asset—rented properties 99 110 106 Deferred tax liabilities 82 65 81 Total non-current liabilities 309 320 331 Current interest-bearing liabilities 372 374 355 Short-term liabilities, right of use asset—rented properties 22 27 25 Advance payment from customers 93 139 95 Accounts payable—trade 574 518 534 Other current liabilities 223 240 228 Other short term provisions 1 1 1 Total current liabilities 1,285 1,299 1,238 TOTAL EQUITY AND LIABILITIES 3,162 3,160 3,207 Changes in Equity 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Opening equity 1,526 1,565 1,638 1,396 1,541 1,396 Comprehensive income after tax 42 42 129 206 226 303 Warrants - - - 5 0 5 Dividend - - -199 - -199 - Repurchase of own shares - -66 - -66 - -66 Closing equity 1,568 1,541 1,568 1,541 1,568 1,638
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12 NOTE’s Interim Report Q3 2025 Cash Flow Statement 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Operating activities Profit after financial items 68 55 243 219 335 310 Reversed depreciation and amortisation 29 30 90 91 121 122 Other non-cash items 2 1 -11 1 -2 10 Tax paid -20 -18 -69 -57 -72 -60 Change in working capital 54 100 172 182 209 220 Cash flow from operating activities 133 168 425 436 591 602 Cash flow from investing activities -28 -48 -108 -95 -150 -137 Cash flow from financing activities 2 -70 -235 -199 -272 -236 Change in cash and cash equivalents 107 50 82 142 169 229 Cash and cash equivalents At beginning of period 372 269 411 170 316 170 Cash flow after investing activities 105 120 317 341 441 465 Cash flow from financing activities 2 -70 -235 -199 -272 -236 Exchange rate difference in cash and cash -6 -3 -20 4 -12 12 Cash and cash equivalents at end of period 473 316 473 316 473 411 Un-utilised credits 262 189 262 189 262 212 Available cash and cash equivalents 735 505 735 505 735 623
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13 NOTE’s Interim report Q3 2025 Operating Segments 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year WESTERN EUROPE External net sales 584 618 2,074 2,207 2,879 3,012 Internal net sales 5 0 7 5 10 8 Operating profit 56 56 207 217 307 317 Operating margin 9.5% 9.1% 9.9% 9.8% 10.6% 10.5% Inventories 668 851 668 851 668 750 External accounts receivable—trade 601 655 601 655 601 670 Average number of employees 930 955 951 955 956 958 REST OF WORLD External net sales 246 191 739 669 959 889 Internal net sales 6 13 29 29 36 36 Operating profit 22 9 63 38 74 49 Operating margin 8.7% 4.4% 8.3% 5.4% 7.4% 5.2% Inventories 194 216 194 216 194 213 External accounts receivable—trade 184 158 184 158 184 185 Average number of employees 527 481 496 502 483 489 INTRA-GROUP Internal net sales -11 -13 -36 -34 -46 -44 Operating profit -4 -1 -2 -1 -15 -14 External accounts receivable—trade 1 0 1 0 1 1 Average number of employees 19 19 18 18 18 18
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14 NOTE’s Interim Report Q3 2025 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year WESTERN EUROPE Industrial 245 270 814 997 1,131 1,314 Security & Defence 94 107 356 329 528 501 Communication 44 57 148 172 214 238 Medtech 82 97 359 383 488 512 Greentech 119 86 397 326 518 447 Total external sales 584 617 2,074 2,207 2,879 3,012 REST OF WORLD Industrial 128 99 363 303 471 411 Security & Defence - - - - - - Communication 77 57 250 242 327 319 Medtech 9 19 42 60 58 76 Greentech 32 17 84 64 103 83 Total external sales 246 192 739 669 959 889 TOTAL Industrial 373 369 1,177 1,300 1,602 1,725 Security & Defence 94 107 356 329 528 501 Communication 121 114 398 414 541 557 Medtech 91 116 401 443 546 588 Greentech 151 103 481 390 621 530 Total external sales 830 809 2,813 2,876 3,838 3,901 Sales per Customer Segment
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15 NOTE’s Interim report Q3 2025 Income Statement 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Net sales 20 21 72 68 102 98 Cost of services sold -12 -7 -40 -24 -50 -34 Gross profit 8 14 32 44 52 64 Selling expenses -3 -3 -8 -11 -13 -16 Administrative expenses -5 -4 -12 -11 -16 -15 Other operating income/expenses -10 2 -39 20 -29 30 Operating profit -10 9 -27 42 -6 63 Net financial income/expenses 4 4 74 16 81 23 Profit after financial items -6 13 47 58 75 86 Appropriations 0 - 0 - 50 50 Profit before tax -6 13 47 58 125 136 Income tax 0 -4 -4 -13 -21 -30 Profit after tax -6 9 43 45 104 106 Other Comprehensive Income 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Profit after tax -6 9 43 45 104 106 Other comprehensive income Items that can be subsequently reversed in the income statement: - - - - - - Total other comprehensive income - - - - - - Comprehensive income after tax -6 9 43 45 104 106 Parent Company Financial Reports
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16 NOTE’s Interim Report Q3 2025 Balance Sheet 2025 2024 2024 SEK million 30 sep 30 sep 31 dec Assets Intangible assets 0 0 0 Property, plant and equipment 0 0 0 Long-term receivables from group companies 329 361 356 Financial non-current assets 278 278 278 Total non-current assets 607 639 634 Receivables from group companies 126 101 131 Other current receivables 19 8 8 Cash and bank balances 180 0 77 Total current assets 325 109 216 TOTAL ASSETS 932 748 850 Equity and liabilities Equity 301 396 457 Untaxed reserves 111 66 111 Liabilities Liabilities to financial institutions 16 2 0 Liabilities to group companies 477 258 230 Other current liabilities and provisions 27 26 52 Total current liabilities 520 286 282 TOTAL EQUITY AND LIABILITIES 932 748 850 Changes in Equity 2025 2024 2025 2024 Rolling 2024 SEK million Q3 Q3 Q1-Q3 Q1-Q3 12 mth. Full year Opening equity 307 453 457 412 396 412 Comprehensive income after tax -6 9 43 45 104 106 Warrants - - - 5 - 5 Dividend - - -199 - -199 Repurchase of own shares - -66 - -66 - -66 Closing equity 301 396 301 396 301 457
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NOTE’s Interim report Q3 2025 NOTE AB (publ) Corporate ID no. 556408-8770 Calendar Year-end Report 2025 27 January 2026 Ordering financial information Financial and other relevant information can be obtained from NOTE on request. Out of con - sideration for the environment, an electronic subscription service is readily available from NOTE’s website. Website: www.note-ems.com E-mail: info@note-ems.com Tel: +46 (0)8 568 99000 Investor Relations contact Frida Frykstrand CFO Tel: +46 (0)70 462 09 39 E-mail: frida.frykstrand@note-ems.com Financial information NOTE produces PCBAs, subassemblies and box build products. NOTE is a competitive EMS provider and stable business partner to custo - mers with high standards. NOTE’s products are embedded in complex systems for electronic control, surveillance and security, for example. NOTE’s business model builds on delivering high end manufacture, custom logistics solu - tions and consulting for the best possible total cost through long-term customer relationships and partnerships. Its customer offering covers complete product lifecycles, from design to after-sales. Primarily, its customer base consists of large corporations operating on the global market, and enterprises whose main sales are in northern Europe. NOTE has a presence in Sweden, Finland, the UK, Estonia, Bulgaria and China. Sales over the last 12 months were SEK 3,838 million, and the group has approximately 1,450 employees. NOTE is listed on Nasdaq Stockholm. This is NOTE 17 Foto: Jann Lipka