A CONTINUED STRONG SECOND QUARTER

CEO Atey Ghailan comments:

I am pleased to present Envar's second quarter for the 2025 financial year, a quarter in which the Company again delivered a strong financial performance. Compared to Q2 2024, sales increased by just over 50 percent and operating profit (EBIT) improved by approximately SEK 5 million.

The trend of the gaming industry continues to be towards cost efficiency and outsourcing, and during the second quarter Envar’s focus remained on developing existing customer relationships and raising the Company's profile. This is reflected in the robust sales recorded, of around SEK 24.4 million in Q2, compared to around SEK 16.2 million in Q2 2024.

SECOND QUARTER│APRIL–JUNE 2025

• Net sales amounted to SEK 24,368 thousand (16,164), an increase of 50,75 percent compared to the same period last year
• Operating profit before depreciation (EBITDA) totaled SEK 6,222 thousand (1,182), representing an operating margin of 25.53 percent (7,31) before depreciation.
• Operating profit (EBIT) totaled SEK 6,045 thousand (978) representing an operating margin of 24.81 percent (6.05).
• Earnings per share, basic, amounted to SEK 0.38 (1,692.12). A 20,000-for-1 share split and a quota value issue of 2,500,000 shares were registered in the fourth quarter of 2024.
• Cash and cash equivalents totaled SEK 54,324 thousand (3,062). Cash flow from operating activities amounted to SEK 7,475 thousand (1,119).
• Net cash totaled SEK 54,324 thousand. The Company has no interest-bearing liabilities.

(Figures for comparison in parentheses refer to the corresponding period of the previous year).

ACCUMULATED │JANUARY – JUNE

• Net sales amounted to SEK 47,044 thousand (27,229), an increase of 72.77 percent compared to the same period last year.
• Operating profit before depreciation (EBITDA) totaled SEK 11,283 thousand (-2,243), representing an operating margin of 23.98 percent (-8.24) before depreciation.
• Operating profit (EBIT) totaled SEK 10,928 thousand (-2,651), representing an operating margin of 23.23 percent (-9.74).
• Earnings per share, basic, amounted to SEK 0.65 (-5,474.93). A 20,000-for-1 share split and a quota value issue of 2,500,000 shares were registered in the fourth quarter of 2024.
• Cash and cash equivalents totaled SEK 54,324 thousand (3,062). Cash flow from operating activities amounted to SEK 2,922 thousand (971).
• Net cash totaled SEK 54,324 thousand. The Company has no interest-bearing liabilities.

(Figures for comparison in parentheses refer to the corresponding period of the previous year).

SIGNIFICANT EVENTS DURING THE QUARTER

• In April, the Board of Directors of Envar Holding AB decided that Swedish and English would be established as the Company’s languages of communication, starting with publication of the interim report for the first quarter of 2025. In the event of any differences in language versions, the Swedish version is authoritative.
• In early May, Envar announced a major order from a leading game developer in the Multiplayer Online Battle Arena (MOBA) category. The order is valued at approximately SEK 7.3 million and the counterparty has been a customer of Envar since 2020.
• Envar Holding's Annual General Meeting was held on May 27, attended by approximately 80 percent of the shareholders in the Company. The meeting resolved, among other things, to appoint Grant Thornton Sweden AB as the Company’s auditor, with John Liljenfeldt as Key Audit Partner. The meeting also resolved that regular Board member Pernilla Jennesäter would depart from the Board of Directors.
• In June, Envar's first CEO letter was presented to the market. The Company's CEO letter is intended to better inform market about Envar, to increase awareness of developments in Envar's business areas and to supplement the quarterly reports.

SIGNIFICANT EVENTS AFTER THE QUARTER

• In July, Envar Holding AB announced an update of the financial calendar for 2025/2026 published earlier. The background to this is that Envar's financial monitoring has been streamlined, making it possible to bring forward the quarterly reporting to the market as of the Q3 report in 2025.
• In July, Envar Holding AB published a “reverse” profit warning as a result of a materially higher operating profit (EBIT). The reason for the announcement was a preliminary positive EBIT of SEK 6,045 thousand, an increase of 518.10 percent compared to Q2 2024 and of 23.80 percent compared to Q1 2025.

Certified Adviser
Envar has appointed Amudova as the Company's Certified Adviser on Nasdaq First North Growth Market.
Tel: 08-546 017 58
E-mail: info@amudova.se

About Envar Holding
Envar Holding is an outsourcing and development studio focusing on game graphics to mainly game development companies or other companies active in the entertainment industry. The company has established itself as a provider of high-quality graphics and development services to some of the largest players in the gaming industry, including companies such as Riot Games, Netflix, NetEase, Blizzard, 2K, Hasbro, Tencent and EPIC Games.

For further information please contact:
Atey Ghailan, CEO
info@envarstudio.com

Envar Holding AB
Org.nr 559407-6563
Götgatan 78
118 30 STOCKHOLM

This information is information that ENVAR HOLDING AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-08-26 08:00 CEST.

Attachments
Q2 Envar Holding Delårsrapport 2025 06 30 ENG

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